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2025-07-04
BAIC FOTON x CP Group: A Model of China-Thailand Economic Cooperation over 50 Years of Diplomatic Ties

As China and Thailand mark the 50th anniversary of diplomatic relations in 2025, the long-standing spirit of “China and Thailand are one family” continues to thrive. The journey of collaboration between BAIC FOTON and Thailand’s CP Group stands as a shining example of how the two nations have aligned their development strategies and deepened industrial cooperation. Their partnership not only showcases tangible results in bilateral trade, but also embodies real progress toward building a China-Thailand community with a shared future—particularly in the commercial vehicle industry.


Strategic Beginnings,Laying the Groundwork

The partnership began in April 2019, during the second “Belt and Road” Forum for International Cooperation. BAIC FOTON automobile and CP Group signed a joint venture agreement, establishing FOTON CP Manufacturing Co., Ltd. and CP FOTON Sales Co., Ltd. in Thailand. This marked the first time a Chinese commercial vehicle manufacturer formed a joint venture in Thailand. Combining BAIC FOTON’s expertise in commercial vehicle technology with CP Group’s strong local market presence, the collaboration brought fresh momentum to the development and upgrading of Thailand’s automotive industry, with a wider influence across Southeast Asia.

Building the Foundation: Channels and Growth

In February 2020, CP FOTON held its first dealer conference in Bangkok, where it rolled out its brand, sales strategy, and service model. This solidified the foundation for future growth and attracted the company’s first wave of dealers, quickly expanding its distribution network across the country.

By November 2021—two years into the partnership—the joint venture launched its first lineup of five fully electric commercial vehicles in Thailand, signaling its official entry into the country’s new energy vehicle market. In April 2022, during the “GO FOR ALL” dealer summit, BAIC FOTON also unveiled its latest AUMARK light truck, further enriching the local product portfolio.

Localizing for the Future: Smart Manufacturing in Thailand

In July 2023, BAIC FOTON and CP Group took a critical step toward localization by signing a strategic manufacturing agreement to base production in Thailand. The project, carried out in partnership with the TAAP factory, prioritized local production of key components such as engines and transmissions. Working with suppliers like Yuchai and Cummins, they laid the foundation for a localized powertrain ecosystem—transforming the partnership from sales and import operations into a truly local manufacturing initiative.

By November 2024, the BAIC FOTON factory in Thailand was completed, and the plant celebrated the export of its one-millionth vehicle. Covering 37,000 square meters, the facility has become one of BAIC FOTON’s global manufacturing hubs and a major base for the Asia-Pacific region. By March 2025, the 2,000th heavy-duty truck rolled off the line, marking a significant leap in both production capacity and market expansion.

Driving Green Innovation: Toward a Sustainable Future

As BAIC FOTON’s exclusive importer and distributor in Thailand, the FOTON CP always aims to be the product and technology leader in the Thai commercial vehicle market. Aligned with Thailand’s push for carbon neutrality and vehicle electrification, the company has leveraged BAIC FOTON’s dual strengths in “ICE+BEV”. Since 2021, it has delivered over 700 electric trucks, including light and heavy-duty models, all designed to meet local demand with globally competitive performance.Looking ahead, the full range of BAIC FOTON’s electric commercial vehicles will be produced locally, offering cleaner, more sustainable transport solutions for Thailand and the broader Southeast Asian market.

The partnership between BAIC FOTON heavy duty truck and CP Group is a powerful testament to the depth of China-Thailand industrial cooperation. From “hard connectivity” through joint manufacturing, to “soft connectivity” in technological standards, and ultimately to “heart connectivity” in shared vision, the two companies have successfully aligned China’s high-quality industrial productivity with Thailand’s economic transformation goals.

Amid global shifts, the FOTON CP venture is using Thailand as a launchpad to build a commercial vehicle manufacturing and supply chain network that reaches across the Asia-Pacific. Their model of cooperation not only fuels modernization in both countries but also offers a blueprint for win-win development between China and its partners across the Global South.