Mercedes-Benz Cars starts local battery production in Bangkok

The global battery production network within the Mercedes-Benz Cars production network has put the third production facility into operation: A factory for plug-in hybrid batteries has been opened in the Bangkok region in Thailand. Together with the local partners Thonburi Automotive Assembly Plant (TAAP) and Thonburi Energy Storage Systems (TESM), Mercedes-Benz AG has invested a total of more than 100 million euros in the battery production and a plant expansion of the existing vehicle production plant.

Der globale Batterie-Produktionsverbund innerhalb des Produktionsnetzwerks von Mercedes-Benz Cars hat die dritte Fertigungsstätte in Betrieb genommen: In der Region Bangkok wurde eine Fabrik für Plug-In-Hybrid-Batterien eröffnet. Die Mercedes-Benz AG hat gemeinsam mit den lokalen Partnern Thonburi Automotive Assembly Plant (TAAP) und Thonburi Energy Storage Systems (TESM) insgesamt mehr als 100 Millionen Euro in die Batterieproduktion und eine Werkserweiterung des bestehenden Fahrzeugwerks investiert. The global battery production network within the Mercedes-Benz Cars pr oduction network has put another production facility into operation: A factory for plug-in hybrid batteries has been opened in the Bangkok region in Thailand. Together with the local partners Thonburi Automotive Assembly Plant (TAAP) and Thonburi Energy Storage Systems (TESM), Mercedes-Benz AG has invested a total of more than 100 million euros in the battery production and a plant expansion of the existing factory.

The Mercedes-Benz plant in Bangkok in Thailand has started local production for Mercedes-Benz plug-in hybrid-batteries. The new battery factory was built on a 50,000 m² site located at the vehicle manufacturing plant in the Bangkok region. In addition, the existing automotive plant has been expanded. Mercedes-Benz AG has invested more than 100 million euros together with local partners Thonburi Automotive Assembly Plant (TAAP) and Thonburi Energy Storage Systems (TESM) for the plant extension and the battery factory. In total, more than 300 new jobs are created, 100 of these jobs are created in the battery production. The production facilities are highly standardised and flexible. As a result, they can be adapted to local market conditions in a short time. With the joint investment in the new factory building as well as the factory extension, Mercedes-Benz AG and the local partner TAAP are once again strengthening their cooperation.

“We have been successfully producing Mercedes-Benz vehicles for the local market at our Thai plant for more than 40 years. With the start of production of our battery factory in Bangkok, we are taking another important step in the expansion of our global battery production network at Mercedes-Benz Cars with nine factories worldwide. The local production of batteries enables us to make the best possible use of the potential for e-mobility in Thailand. As in the case of vehicle manufacturing, we have optimized all processes in terms of efficiency, flexibility and sustainability in the battery factory. We show, how sustainable products can be produced sustainably”, said Jörg Burzer, member of the board of Management of Mercedes-Benz AG, Production and Supply Chain Management.

The plug-in hybrid models of Mercedes-Benz Sedans, especially the C- and E-Class, are in particular demand in Thailand. “Our location is well prepared for the future of mobility and can react even more flexibly to developments in the Southeast Asian market. Above all this strategic course-setting was made possible by the long-standing, trusting cooperation with our local partners. This has laid the foundation for further expanding our commitment and adding additional electrified vehicles to our portfolio”, said Roland Folger, President and CEO Mercedes-Benz (Thailand) Limited.

Digital and sustainable battery production

The battery systems manufactured in the new battery factory, are used among others for the current Mercedes-Benz C-Class, E-Class, S-Class as well as for the Mercedes-Benz GLC and GLC Coupé. The high variety of product variants of the local market require very flexible and efficient production and facility concepts. Central assembly stations were set up in the same way as in the battery factory in Kamenz and were further developed for site-specific requirements. In this way, all battery types can be manufactured in the new line for all current and future plug-in hybrids.

The battery factory in Bangkok meets the high Mercedes-Benz standards in terms of ergonomics, industrial safety and digitalization. For example, a new benchmark has been implemented for process assurance: The excellent product quality is generated by a quality assurance system that monitors all production processes online along the value creation. In addition the plant has its own assessment and testing centre.

In order to prepare employees in the best possible way for their new, demanding tasks, they were intensively trained. Mercedes-Benz Cars benefits from the experience gained from its international production network. “The expertise in our global network is an advantage that we can use here in Thailand. We are dealing with highly complex future-oriented technologies in battery production. It makes me very proud to see the enthusiasm and dedication with which our employees approach their new tasks. Without this strong team, the project would not have been feasible in this short time and according to the high Mercedes-Benz standards,” says Andreas Lettner, Chief Executive Officer & Head of Operations Mercedes-Benz Manufacturing Thailand.

The decision for a local battery production in Thailand supports Mercedes-Benz’s overall sustainability goals under the heading “Ambition2039” as well. The aim is a carbon neutral new car fleet until 2039. By 2030, at least every second vehicle sold should have an electric drive – this includes full-electric vehicles and Plug-In hybrids. On the way to sustainable mobility, apart from products production plays a central role: All European Mercedes-Benz plants are to produce completely carbon neutral from 2022. The battery factory in Bangkok will meet this requirement by using large solar systems on the roofs of the production buildings. Excess solar power, for example, is temporarily stored in so-called 2nd-life battery storage systems from recycled electric vehicle batteries. The plant works closely with the Mercedes-Benz Energy GmbH. The stationary storage systems, which can compensate for local energy fluctuations and contribute significantly to grid stabilization, enable economical and resource-saving reuse for disused batteries of electric and hybrid vehicles. This is an important contribution to the economic efficiency and environmental balance of electric vehicles.