A memorandum of understanding (MoU) has been signed in Thailand between PTT, the largest publicly listed conglomerate in Thailand, and Hon Hai Technology Group, otherwise known as Foxconn, a global technology solution provider.
The objective of the MoU is to support the production of electric vehicles, with the main goal of setting up an end-to-end production platform to enable the upscaling of the electric vehicle manufacturing industry in Thailand. As part of the project, automotive manufacturers in Thailand that aim to assemble and produce electric vehicles will have access to the entire value chain of services offered by the partnership. The project seeks to help manufacturers access EV-specific services and bring vehicles to market faster at a competitive price.
Through the collaboration, PTT will bring its technology and experience in the energy business, alongside a network of partners, subsidiaries and existing ventures. Foxconn will provide its capabilities in smart manufacturing and its experience in reducing product-development cycles and bringing products to market quickly. The partnership aims to shape the future of sustainable, emissions-free mobility in Thailand.
The new platform will be part of an ecosystem consisting of state-of-the-art technologies across the EV value chain and auto parts manufacturing. The project is set to build on Foxconn’s newly established MIH industry alliance, an open network that enables developers and manufacturers to offer complete software and hardware platforms to build EVs.
Auttapol Rerkpiboon, president and chief executive officer of PTT, explained that the joint agreement is a significant milestone for the company’s EV value chain business, as it looks to foster sustainable growth in the coming era of clean-energy mobility solutions. “PTT, as a state-owned enterprise, supports the government’s policies for a green, emission-free future, and it shares the aspiration for sustainable mobility solutions,” he said. “The JV with Foxconn is part of its commitment towards those policies. The partnership will involve the transfer of knowledge and technology, helping Thai people to build skills in future-oriented industries and break through the middle-income trap, while also allowing Thai consumers to gain access to cost-competitive and sustainable mobility solutions with locally produced EVs.”
The two companies believe that the joint venture will enable the automotive industry to meet quality goals and sustainable global benchmarks, and help Thailand to become a leading regional EV manufacturing hub in Asia.
Young Liu, chairman of Foxconn, commented, “This cooperation with PTT and the Thai government to realize the vision of sustainable development of the EV industry demonstrates that the MIH ecosystem is growing. Moreover, this way of cooperation is widely recognized. Regarding PTT’s development in EV and battery charging infrastructure, Foxconn can contribute our expertise and technology to gradually build a complete and vertically integrated EV industry in Thailand. Through this open model and local industrial advantages, we believe that Thailand will become a leader in the global EV evolution.”
