Chonburi: The Board of Investment (BOI) has joined forces with Samsung Group to foster local content production and support Thai entrepreneurs in integrating into global supply chains.
According to Thai News Agency, the collaboration was marked by the "Thai Samsung Electronics Sourcing Day," an initiative designed to connect Thai component manufacturers with global markets through business matchmaking.
During the event, Samsung Group reiterated its commitment to ongoing investment in Thailand, surpassing 30 billion baht and generating 1,900 jobs. By 2026, the company aims to elevate local content usage to over 70%. Mr. Narut Teodsathirasak, BOI's Secretary-General, emphasized the board's continuous effort to promote domestically produced components, particularly within the electric vehicle, electrical appliance, and electronics sectors. The 'Thai Samsung Electronics Sourcing Day,' held at Pattana Sports Resort in Chonburi Province, brought together over 200 domestic component manufacturers from 71 companies for business negotiations with Samsung.
Samsung Thailand, a leader in home appliance and electronics technology, has maintained investment in the region since 1988. The company's factory in Chonburi province stands as a testament to its confidence in Thailand's potential as a manufacturing hub. Currently, Samsung has received BOI investment promotion for eight projects, cumulatively exceeding 30 billion baht. These projects span the production of various appliances, with a collective output capacity of 15 million units annually, aimed at both local markets and export to 137 countries globally.
In a bid to enhance raw material security and mitigate external risks, Samsung has committed to increasing its use of locally produced components. Presently, the company sources approximately 32 billion baht in components annually from Thai suppliers, achieving a local content rate of 68%. By 2026, Samsung plans to increase domestic component purchases to over 70%, with specific targets set for various products. Additionally, Samsung's Partner Innovation activities focus on supplier development, improving production capabilities and component quality, and encouraging automated manufacturing technologies.
The 'Thai Samsung Electronics Sourcing Day' offered Thai manufacturers a platform to understand Samsung's procurement criteria and showcase their products directly to Samsung Group. This engagement could lead to subcontracting opportunities, technology transfer, or long-term business partnerships. Samsung's procurement interests include electronic components, metal and plastic parts, and essential equipment like compressors and motors.
Mr. Narut highlighted the BOI's dedication to promoting the use of domestic raw materials and components. The BOI has consistently organized events to bridge manufacturers and suppliers, including major annual events and Sourcing Days with leading sector companies. These efforts aim to foster business opportunities for Thai entrepreneurs and strengthen the domestic supply chain, supporting the emergence of new industries.
In the past three years, Thailand has seen 549 investment promotion applications for electrical appliance and parts manufacturing, with investments exceeding 195 billion baht. This trend underscores investors' confidence in Thailand's potential as a stable production base for sustained growth.