MG Aims to Export 'Made in Thailand' EVs to Europe
SAIC Motor-CP Ltd, the Thai manufacturer of MG brand electric vehicles, aims to export EVs to Europe amid high tariffs on Chinese imports. Chinese automakers have shifted manufacturing abroad to avoid EU trade barriers. Thailand is positioned to become a key manufacturing base, requiring over 40% local parts in EVs to be classified as Thai-originated to bypass EU tariffs.
SAIC Motor-CP Ltd, the manufacturer of electric vehicles (EVs) under the MG brand, aims to be Thailand's first domestic EV-maker to export to European markets.
European countries have established a tariff wall as high as 38% for imports from China, prompting Chinese automakers to set up manufacturing bases abroad.
SAIC Motor-CP's executive vice president, Suroj Sangsit, highlighted the opportunity for Thailand to become a manufacturing base for Chinese EVs aiming to enter Europe.
To circumvent EU trade protection measures, Chinese EVs produced in Thailand need over 40% locally made parts to be considered 'originated from Thailand.' Increased investment in Thailand by Chinese automakers aims to stimulate technology development for EV parts to meet this requirement.
Currently, Thailand has no trade agreement with Europe and could face import duties of 10-20% when exporting EVs.
European countries have established a tariff wall as high as 38% for imports from China, prompting Chinese automakers to set up manufacturing bases abroad.
SAIC Motor-CP's executive vice president, Suroj Sangsit, highlighted the opportunity for Thailand to become a manufacturing base for Chinese EVs aiming to enter Europe.
To circumvent EU trade protection measures, Chinese EVs produced in Thailand need over 40% locally made parts to be considered 'originated from Thailand.' Increased investment in Thailand by Chinese automakers aims to stimulate technology development for EV parts to meet this requirement.
Currently, Thailand has no trade agreement with Europe and could face import duties of 10-20% when exporting EVs.
