In a significant development announced today by a government spokesperson, Thailand has uncovered an impressive lithium deposit totaling nearly 15 million tonnes. This discovery stands as a pivotal advancement in the nation's aspirations to emerge as a prominent regional center for electric vehicle (EV) production. Although this newfound reserve positions Thailand as the third-largest holder of lithium resources globally, trailing Bolivia and Argentina, the commercial viability of this vast deposit remains uncertain.

The colossal lithium deposit, amounting to 14.8 million tonnes, is strategically located across two distinct sites in the southern province of Phang Nga. Lithium, a pivotal component in the production of batteries essential for electric cars, smartphones, and various other electronic devices, has become increasingly crucial in the rapidly growing electric vehicle industry.

Prime Minister Srettha Thavisin's administration, which assumed office in August, has prioritized elevating Thailand's status as a regional hub for electric vehicle manufacturing. This initiative seeks to capitalize on the nation's historical prowess in assembling conventional automobiles. Demonstrating a proactive approach, Prime Minister Srettha engaged with industry leaders during the World Economic Forum in Davos, where discussions were held with influential figures such as the deputy chairman of Bosch. The prime objective of these talks was to encourage investments in electric vehicle production within Thailand.

As part of the concerted effort to solidify Thailand's position in the electric vehicle sector, the government's emphasis on attracting foreign investments has yielded positive outcomes. In a noteworthy development in December 2023, two prominent Chinese electric vehicle giants pledged a substantial investment of 2.3 billion baht (approximately RM301 million) to foster the development of Thailand as a key production hub for electric vehicles.

The discovery of nearly 15 million tonnes of lithium reserves propels Thailand into a strategically advantageous position within the global electric vehicle landscape. As the third-largest repository of lithium, the nation now has the potential to play a pivotal role in meeting the escalating demand for batteries powering electric cars and a spectrum of electronic devices.

The southern province of Phang Nga, where the lithium deposits are situated, holds newfound importance as a potential epicenter for the extraction and processing of lithium. While Bolivia and Argentina currently dominate the lithium market, Thailand's emergence as a significant player could reshape the dynamics of the industry, fostering healthy competition and diversification of lithium supply sources.

However, as with any major discovery, the viability of commercial exploitation remains a critical consideration. Determining the economic feasibility of extracting and utilizing the 14.8 million tonnes of lithium will be a key factor in shaping Thailand's role as a global lithium supplier. Technological advancements, coupled with sustainable and efficient extraction methods, will likely be instrumental in transforming this lithium wealth into a valuable economic asset.