South-east Asia gearing up for EV revolution

HIROTAKA UCHIDA

Governments in Southeast Asia are floating very ambitious plans to capture a share of the electric vehicle market. And rightfully so.

As countries around the globe prepare for carbon neutrality, the automotive industry has initiated a fundamental transformation. At the COP26 summit in November, various nations and leading car manufacturers pledged to phase out fossil fuel-powered vehicles by or before 2040.

With governments in the region aiming to get a slice of the pie, the aim is clearly to create various opportunities for the regional industry, both for the export business as well as domestically.

Thailand has the traditionally strongest footprint in the motor vehicle sector in the region, fabricating 2.5 million units at the peak in 2013 and - after the pandemic hit - 1.7 million in 2021. The country expects 30 per cent of the output to be electric by the end of this decade, according to a roadmap published last year. Indonesia, the world's largest producer of nickel - a key component in lithium batteries - aims to become an EV production and export hub. Vietnam, meanwhile, is growing…

GET BT IN YOUR INBOX DAILY

Start and end each day with the latest news stories and analyses delivered straight to your inbox.

Sign UpVIEW ALL