The race to dominate the electric vehicle (EV) market in Southeast Asia is heating up, with Japanese, Chinese, and South Korean automakers all vying to establish production bases in the region. As a result, Thailand and Indonesia are emerging as two of the most sought-after destinations for investments in EV parts and materials.
Kuraray, a Japanese plastics manufacturer, recently inaugurated its first production plant in Thailand, as part of a joint venture with local petrochemical giant PTT Global Chemical and Japanese trading house Sumitomo Corp. The plant, which is one of several EV-related investments in Thailand, produces Kuraray’s high-performance Genestar resin. The resin has a higher heat resistance than standard resins and is used for high-voltage parts around vehicle batteries. The new plant is expected to double the annual production of Genestar to 26,000 tonnes.
Kuraray President Hitoshi Kawahara has announced that the company will consider further investments in Thailand by around 2026, of roughly the same scale as the new plant. The project received a whopping US$520 million in investment, demonstrating the level of interest that the EV market is generating in the region.
Thailand is the largest auto producer in Southeast Asia but has only recently entered the EV market. South Korea’s Hyundai Motor started EV production in Thailand in 2022, and Chinese EV giant BYD is planning to start assembling vehicles in the country in 2024. With Kuraray’s latest investment, Thailand is set to further cement its position as a key player in the EV parts and materials market.
 market in Southeast Asia is heating up, with Japanese, Chinese, and South Korean automakers all vying to establish production bases in the region.){kind=link}