Mitsubishi Motors plans to produce plug-in hybrid vehicles and batteries in Thailand, according to Thai deputy prime minister Somkid Jatusripitak.

The automaker is said to be preparing to meet the end of year deadline for submission of proposals to the country's Board of Investment (BoI) for tax incentives for its planned THB11bn (US$333m) investment. 

Somkid, who met Mitsubishi CEO Osamu Masuko at the end of last week at the launch ceremony of the revised Triton pickup truck, said Mitsubishi was looking to invest in full scale production of electric hybrid electric plug in vehicles and batteries in the country. 

The BoI has already approved tax incentives for plug in hybrid vehicle production projects for Toyota, Honda, Nissan, Mercedes-Benz, BMW and SAIC Motor-CP.

Mitsubishi is expected to produce a hybrid version of its popular Outlander compact SUV. The company is Thailand's second-largest vehicle exporter after Toyota, with a production capacity of 424,000 units per year split between three plants.

The government is also expected to release new eco car regulations by the end of the year detailing new incentives, including local excise taxes as low as 2% for electric vehicles.