Mazda Motor has announced a significant investment of Bt5bn ($150m) in Thailand to establish the production of electric compact SUVs. The investment, disclosed by Thailand’s Board of Investment (BOI), aims at an annual production capacity of 100,000 units. This strategic move is expected to cater to both domestic sales and exports to markets such as Japan, ASEAN countries, and other international destinations.
This initiative positions Thailand as Mazda’s manufacturing hub for the compact SUV product line. Mazda’s president and CEO, Masahiro Moro, emphasized the importance of this investment by stating that it marks a significant step towards transitioning to xEV production. The produced vehicles will be high-performance compact SUVs that meet international standards in terms of environmental friendliness and hybrid technology.
With over 70 years of presence in Thailand’s automotive market, Mazda currently operates two plants in the country. The AutoAlliance (AAT) plant, established in 1995, focuses on producing passenger cars and commercial vehicles, while the Mazda Powertrain Manufacturing Thailand (MPMT) plant, established in 2015, specializes in engines and transmissions. The new investment will involve upgrading both plants to support future electrified products, including vehicle assembly, engines, transmissions, powertrains, and key components like batteries.
Mazda’s expansion plans also include the development of a local supplier network to enhance production capabilities. Thailand BOI Secretary General, Narit Therdsteerasukdi, lauded Mazda’s commitment to Thailand, highlighting it as a significant investment that aligns with the country’s policies to support electrification in the automotive sector.
In a related development, Mazda recently unveiled plans to build a new battery pack plant in Iwakuni City, Yamaguchi Prefecture, Japan. The facility will focus on producing modules and packs for automotive cylindrical lithium-ion battery cells sourced from Panasonic Energy.
The investment by Mazda in Thailand underscores the country’s appeal as a manufacturing hub for various automotive segments and technologies, including hybrid technology. This move also sets the stage for potential future Japanese investments in Thailand’s automotive and tech sectors.
