South-East Asia A Hotspot For Chinese NEV Manufacturers

According to analysts, localised production will help businesses launch products more quickly and develop products that better satisfy regional demands.

In the latter part of July, PT Handal Indonesia Motor partnered with the Chinese EV startup. Beginning in the second quarter of 2024, the two will start putting together complete automobiles.

According to Hozon, it would like to introduce Chinese-made smart vehicles to the more than 200 million-person Indonesian market.
In 2022, the automaker began exploring international markets. Its models are now available in several countries, primarily in Southeast Asia, including Malaysia and Thailand, The Star reported.

Hozon has begun construction on a plant in Thailand with an annual production capacity of 20,000 vehicles that is scheduled to open in early 2024. Neta-branded electric vehicles from the carmaker are popular in the country. According to statistics, Neta was the best-selling EV brand in Thailand in June, accounting for 28.9 percent of the market.

According to Reuters, BYD, China's largest NEV manufacturer, is expected to begin production in Thailand in 2024, with vehicles sold in Thailand and exported to Southeast Asian markets.

Its wholly-owned plant will be the company's first passenger vehicle manufacturing facility, with an annual capacity of 150,000 vehicles.

Last week, EVE Energy, a China-based lithium battery manufacturer, held a groundbreaking ceremony for a $422 million manufacturing facility in Malaysia.

The new manufacturing facility, according to the company, will focus on the production of cylindrical lithium-ion batteries to support power tools and electric two-wheelers manufactured in the country and throughout Southeast Asia.

Meanwhile, Lim Bee Vian, deputy chief executive officer of the Malaysian Investment Development Agency, stated that the investment not only benefits EVE but also paves the way for more companies to invest in the electric vehicle industry and its ecosystems in Malaysia.

She also stated that Malaysia's robust ecosystem, which is supported by strong R&D and a thriving components subsector, positions the country to cater to the entire EV value chain.