Tesla is reportedly ‘in talks’ with Thailand government representatives over the possibility of a Tesla manufacturing facility in the country. Chinese and Japanese automakers are already targeting Thailand for manufacturing investment in electric vehicles.

Reuters has reported that Tesla is in talks with Thailand's government for a potential production facility following a ‘site survey late last year’. Reuters cited an official from the prime minister's office and said that Tesla has been offered ‘100% green energy’ to run its facilities.

Thailand has ambitious plans to grow its BEV manufacturing presence as a regional hub. Besides incentives for sales of BEVs in Thailand itself, the Thai government has also reduced import duties on completely built-up electric vehicles by up to 40% for two years to help automakers grow their initial sales. Excise taxes have also been reduced to 2% from 8%.

Other incentives are available to help localise production, include import duty cuts on knocked down (CKD) vehicles, components and manufacturing equipment.

See also: Japanese automakers step up BEV investments in Thailand