Volkswagen group is planning to build a new vehicle in Thailand, according to sources close to the negotiations with the government – and other separate local reports.

The automaker is understood to have submitted an application to the Thai Board of Investment for tax incentives associated with an investment of at least THB6.5bn (US$202m) in local manufacturing.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Discover B2B Marketing That Performs

Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.

Find out more

A final decision on the investment has not yet been made, according to insiders, and no further details on the investment have emerged other than Volkswagen being the sole investor.

Volkswagen has a very limited presence in south-east Asia, mostly involving low-volume contract assembly in Thailand, Indonesia and Malaysia.

A comprehensive manufacturing strategy is regarding as fundamental in achieving a significant market share in this region.

Just Auto Excellence Awards - Nominations Closed

Nominations are now closed for the Just Auto Technology Excellence Awards. A big thanks to all the organisations that entered – your response has been outstanding, showcasing exceptional innovation, leadership, and impact.

Excellence in Action
Continental has secured the Window Displays Innovation Award in the 2025 Just Auto Excellence Awards for its Window Projection solution, transforming side windows into dynamic, data-rich canvases. Discover how this compact projection technology and intelligent software are reshaping in-car UX and opening fresh revenue streams for OEMs and mobility providers.

Discover the Impact