Did Malaysia Lose Out? SAIC Maxus’s EV Van Expansion in Thailand Sparks Questions on ASEAN Investment Race
SAIC Maxus has confirmed significant expansion plans in Thailand, describing the nation as a “major ASEAN member and an important automotive market in the region”. The strategy is squarely aimed at electrifying commercial transport:
- Market Focus: SAIC Maxus is targeting corporate and government fleets with electric vans tailored for logistics and industrial applications. The models already introduced include the Maxus eDeliver 3, eDeliver 5, eDeliver 7, and eDeliver 9, offering driving ranges between 275 km and 375 km.
- Ambitious Target: The company aims to capture a significant 10% of Thailand’s LCV market within two years, a segment estimated at around 50,000 units.
- Production Strategy: To meet this future demand, SAIC Maxus will utilize SAIC Motor’s existing joint venture facility with Charoen Pokphand Group in Chon Buri, Thailand. This facility currently produces MG-branded vehicles, and the company is discussing the expansion of production lines for commercial vehicles. Crucially, this strategy benefits from existing infrastructure, rather than building a new factory.
- Driving Incentives: The decision is directly linked to Thailand’s robust government support, with schemes like the EV3.0 and EV3.5 incentives backing both the production and adoption of battery electric vehicles (BEVs).
Is Malaysia Lagging Behind in Securing LCV Production?
While SAIC Maxus anchors its commercial EV expansion in Thailand, Malaysian industry observers are left to ponder what this means for local investment. This isn’t the first time Malaysia has been pitted against Thailand (and Indonesia) in the regional investment race for automotive manufacturing.
Currently, SAIC’s primary investment focus in Malaysia is through its MG passenger car brand. SAIC Motor Malaysia announced plans in October 2025 to begin the local assembly (CKD) of MG vehicles in the first half of 2026. This commitment materialized in March 2026 with the first locally assembled MG S5 EV rolling off the production line at the PEPS-JV (Melaka) facility in Alor Gajah.
SAIC Motor Malaysia sees the local assembly of passenger EVs like the MGS5 EV (which has a 5-Star ASEAN NCAP rating) as a long-term commitment to localization, supporting local vendors, and developing the country’s EV ecosystem. The Melaka facility is set up to assemble various models, including BEV, HEV, and Internal Combustion Engine (ICE) vehicles.
The key difference lies in the specialization of investment:
- Thailand: Secured the regional LCV (electric van) production expansion by leveraging existing SAIC joint venture facilities.
- Malaysia: Secured passenger car EV assembly (MG), with local production already underway in Melaka.
While Malaysia has successfully attracted major commitments from other EV players—including the launch of affordable local assembly EV models like the TQ WULING Bingo EV, substantial investment from Hyundai Motor to establish Malaysia as an export basecamp, and local assembly initiatives from premium brands like BMW—the strategic SAIC Maxus LCV decision appears to be a clear win for Thailand.
The aggressive incentives and the pre-existing manufacturing base in Chon Buri seem to have made Thailand the preferred regional production hub for SAIC Maxus’s rapidly growing electric commercial division. As the ASEAN EV race continues, Malaysia must reflect on whether its current incentives and infrastructure are robust enough to capture all facets of future mobility, or if specialized segments, like commercial vehicle production, are increasingly defaulting to its neighbors.
