Chinese Cars Avoiding Fierce Competition Go Overseas... Chery Cars Enter Thailand Market

China's automotive industry, experiencing a decline in profitability due to intense price competition, is accelerating its overseas expansion one after another.

According to Chinese economic media Caixin on the 19th, Chery Automobile plans to enter the Thai market with pure electric vehicles in the first half of next year. Chery Automobile announced this at the ASEAN Automotive Industry Cooperation and Development Forum held the day before.

Chery Automobile is among the leading groups in overseas business among local companies. Last year, Chery Automobile's export volume exceeded 450,000 units, ranking second after Shanghai Automotive Group. In the ASEAN market, it entered the Indonesian market at the end of last year and the Malaysian market at the end of July this year. Xu Qingsong, Vice President of Chery International, explained, "Thailand, Malaysia, and Indonesia are our strategic markets," adding, "We plan to establish local assembly plants and expand exports."

Thailand is a market where Chinese new energy vehicle companies are rushing to enter. Shanghai Automotive Group, BYD, and Changan Automobile have already entered the market and are competing for market share. According to Thai AutoLife data, the top-selling new energy vehicle model in Thailand from January to August this year was BYD's Atto 3, with cumulative sales reaching 14,314 units. The market share exceeds 30%. Additionally, among the top five best-selling models during the same period, all except Tesla Model Y are Chinese brands.

A representative from Thai Nata Automobile told Caixin, "The Thai new energy vehicle market is mainly led by Chinese brands," explaining, "In the era of fuel vehicles, Japanese brands such as Toyota, Suzuki, and Honda dominated the Thai market, but in the new energy vehicle era, Chinese car companies have changed lanes and seized the opportunity to lead the market."

Besides, XPeng Motors, Changan Automobile, and Geely Automobile are also planning to enter the Thai market. An overseas business official from an automobile company told Caixin, "Within the next one to two years, Thailand will become the most competitive market for Chinese new energy vehicles."

Thailand is also awaiting opportunities for new energy vehicle development. The Thai National New Energy Vehicle Policy Committee has set a goal for electric vehicles to account for 30% of total sales of passenger cars and pickup trucks by 2025, increasing to 50% by 2030. The target is to expand production to 10% of total output by 2025 and 30% by 2030.

This content was produced with the assistance of AI translation services.