China's Chery Automobile will set up a plant in Thailand that will make vehicles for both the domestic and export markets, with production slated to begin in 2025, Thailand's Board of Investment (BOI) said on Monday.

The facility is forecast to produce 50,000 electric and hybrid vehicles in the first phase within 2025, and increase production to 80,000 vehicles by 2028, BOI secretary-general Narit Therdsteerasukdi said.

Chery Automobile will be the eighth automaker from China to set up a manufacturing plant in Thailand, joining others including BYD, Great Wall Motor and Changan, according to the BOI.

Thailand is a regional auto assembly and export hub which has long been dominated by Japanese brands like Toyota Motors and Honda Motors.

But in recent years, government subsidies and tax incentives for electric vehicles (EVs) have ushered a wave of investment from China, whose automakers have committed more than $1.44 billion worth of investments.

Thailand aims to convert about a third of its annual production of 2.5 million vehicles into EVs by 2030. (Reporting by Chayut Setboonsarng and Orathai Sriring, Editing by John Mair)