Bangkok: Midea is moving forward with expanding its production base in Thailand, aiming to increase local content to 60-70%. According to Thai News Agency, Midea, a global leader in smart home appliances from China, continues its investment in Thailand by over 25 billion baht. The company aims to increase its use of locally produced components to 60-70% by 2026, making Thailand its largest production base outside of China. Midea is expanding its investment in air conditioners and refrigerators for export worldwide, reflecting its confidence in Thailand's potential in terms of infrastructure, human resources, and a strong industrial ecosystem. Mr. Narut Teodsathirasak, Secretary-General of the Board of Investment (BOI), revealed after visiting two Midea Group factories - Midea Refrigeration Equipment Co., Ltd., an air conditioner manufacturer in Pinthong Industrial Estate, Chonburi Province, and Midea Intelligent Manufacturing Co., Ltd., a refrigerator manufacturer in CPGC Industrial Estate, Rayong Province - that Midea Group has invested in Thailand since 2016. Initially, it was a merger with the Toshiba Group. Since 2020, it has fully invested in Thailand under the Midea Group name. Currently, it has eight factories producing air conditioners, refrigerators, washing machines, and kitchen appliances for export to the United States, the Middle East, and Asia. The total investment exceeds 25 billion baht, employing over 15,000 Thai personnel, and includes a research and development team of over 200 people. The Thai operations represent Midea's largest production base outside of China and its largest air conditioner manufacturing base globally, reflecting the global technology company's confidence in Thailand's readiness and potential. The company plans to expand its investment to increase production capacity in Thailand in the near future. Midea Group is one of the world's largest leaders in smart home appliance technology and manufacturing. It was selected as the No. 1 Smart Home Appliances Brand in the World b y Euromonitor International and received Time Magazine's 2025 Innovation Award for its new air conditioner model. Midea has continuously expanded its investment and upgraded its manufacturing base in Thailand with cutting-edge technology to become a Smart Factory. The Chonburi factory is the first outside of China to receive the Global Lighthouse Network award from the World Economic Forum (WEF), being one of the 12 most advanced smart factories in the world for 2025. This reflects its potential in applying AI and advanced data analytics to control machinery, automation, and robotics, as well as safety and human resource development, to enhance production efficiency, seamlessly connect the supply chain, and foster sustainable growth. In addition to developing smart factories, Midea Group is also increasing the use of components manufactured in Thailand, with the value of parts purchased in Thailand exceeding 32 billion baht per year, covering more than 400 product categories. It boasts a network of over 500 domestic suppliers, some of whom are existing Toshiba suppliers from whom Midea continues to source parts. By 2026, the group aims for refrigerator products to have a local content ratio of up to 70%, while air conditioners will reach 60%. 'Midea's significant increase in its use of Thai-made components reflects the potential of domestic manufacturers to upgrade production standards and connect to global supply chains. The BOI will continue to promote cooperation between leading global companies and Thai entrepreneurs through various activities such as SUBCON Thailand, Thailand Electronics Circuit Asia (THECA), and year-round Sourcing Day events. This aims to enhance the capabilities of the domestic supply chain to align with future industries such as electric vehicles, smart electronics and home appliances, and machinery and automation,' Mr. Narut said.
