Is Thailand Tesla's Next Growth Market?

Electric vehicle company Tesla Inc TSLA is the market leader in the U.S. and in several parts of the world. Does the company have one of its next growth markets mapped out?

What Happened: Tesla could soon be entering Thailand as one of its newest international markets, according to a report from Electrek.

The expansion would mark the first by the company in some time with plans to enter India currently on hold.

Along with selling electric vehicles, Tesla also plans to sell solar products and batteries in the country, according to the report. Solar products and batteries have typically been limited to sale in the U.S. and not in other international markets.

Tesla has not officially announced its entry into the country, but the filing was shared on social media.

Related Link: Tesla's China Sales Jumped 85.5% In March 

Why It’s Important: People in Thailand have been importing Tesla vehicles with no sales in the country.

The country, which has a population of around 70 million people, sells more than 750,000 vehicles a year. That total is expected to increase to closer to 900,000 for 2022.

While the majority of vehicles sold are not in the same price range as Tesla vehicles, Thailand is becoming more appealing to electric vehicle manufacturers.

The government of Thailand offers subsidies on electric vehicles and is pushing for more adoption in the country.

A total of 4,000 electric vehicles were registered in Thailand in 2021 with the number potentially doubling to more than 9,000 in 2022 according to several car manufacturers.

Among the major automotive companies pushing forward in Thailand is Honda Motor Co Ltd HMC, which displayed its HR-V electric vehicle in the country in February.

Thailand would become the first Southeast Asian country to sell Tesla vehicles if the filing turns into an official announcement and entry.

TSLA Price Action: Tesla shares closed at 7.43% to $707.73 on Thursday.

Photo: Champhei via Shutterstock