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BMW Group Thailand announced that it would begin local production of high voltage batteries starting in 2019, thereby confirming what had been announced earlier this year. The production will take place at a new production site in the WHA Chonburi 2 industrial sector and will be carried out in partnership with the long-standing partner of the BMW Group, the Dräxlmaier Group.
"We are very pleased to take another big step forward in our electromobility strategy. The launch of local battery production will allow us to better meet the growing demand for electrified vehicles in the ASEAN markets, "said Christian Wiedmann, president of BMW Group Thailand.
"In addition, this new capacity adds to the strengths of Plant Rayong, which has already served as an automotive production center in the region. With the four BMW plug-in hybrid models coming out of our assembly lines at Plant Rayong, local battery production will certainly complement our plug-in hybrid production, "he added.
BMW Group Manufacturing Thailand is preparing for local battery production through advanced training and qualification programs, including sending Dräxlmaier group personnel to the battery production training program at BMW Group's Dingolfing Plant. at the pilot plant for electronic transmissions.
When production begins, staff will work on battery cells provided by suppliers in the region, as well as on imported parts that meet BMW Group standards and Thai regulations for local content. The finished batteries will be sent to the Rayong factory for use in the currently assembled PHEV vehicles, namely the 330th, 530th, X5 xDrive40e and 740Le.
In 2017, the Board of Investment (BoI) of Thailand approved promotional privileges for green car manufacturers, including plug-in hybrids (PHEV) and all-electric vehicles (EVs), with incentives including tax exemptions from five to eight years.
According to BMW Group Thailand, the group plans to invest more than 400 million baht with Dräxlmaier in this campaign to promote electric mobility, and an additional 700 million baht are in the process of giving way to more BMW PHEV products locally.
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