Four major Japanese automotive companies to use Thailand as car manufacturing base

[webfact]

Four major Japanese automotive companies to use Thailand as car manufacturing base

BANGKOK, 8 March 2016 (NNT) - Prime Minister Prayut Chan-o-cha has instructed the Ministry of Industry to be responsible for a plan to promote investment in automotive industry with a focus on the manufacturing of future cars.

The premier met with high-ranking executives of four automotive companies including Toyota, Isuzu, Nissan and Honda at Government House. The meeting was part of the “Prime Minister Meets CEOs” project aimed at exchanging opinions about their problems and obstacles about doing business in Thailand. The premier clarified the government’s economic, trade and investment policies.

Ministry of Commerce permanent secretary Chutima Bunyapraphasara said all of the executives, whose companies have had a combined 58% of Thailand’s total car export, confirmed to use Thailand as a manufacturing base with a plan to expand their investment in vehicles, especially future cars such as electric, hybrid and environmentally friendly cars. The promotion of future cars was the government’s policy to support and promote the manufacturing of vehicles to reduce greenhouse gas emissions, said the permanent-secretary.

The premier told the companies’ executives that the government was urgently revising regulations while promoting free and fair trade in support of foreign investment in Thailand. He said the Ministry of Industry had been tasked with developing a long-term plan to make Thailand a regional hub for future car production.


-- NNT 2016-03-08

[No1inbangkok]

They are already using Thailand as a base. Woopty doo.

[Usual Suspect]

This reads as...Go down there, listen to their complaints about using this country as a manufacturing base, agree to their wishes, then dangle a big envelope-shaped carrot to clinch the deals..(& stop them moving production to other ASEAN countries).

[Roomuck]

Thailand signed a Free Trade Agreement with Australia a few years back.

They outsmarted the Aussies big time. Clever people these Thais.

Now more than one in five of all vehicles sold in Australia is Thai made. And I don't think any Aussie cars are being sold here anymore. The Thais have an extra tax on engines over 2.5 or 3.0. Nearly all Aussie cars have bigger engines than this so the taxes placed on these cars make them too expensive in Thailand.

I think the last Aussie cars sold in any numbers here was the Vz commodore, only the 3.6 liter, none of the v8s, badged as a chev lumina. And they didn't sell many.

The Thais must have known this is what would happen and must have been laughing at the Aussies signing the FTA.

The Aussies also rushed into signing an FTA with China under the last PM Tony "Sir Pository" Abbott. I reckon it will be even more flawed.

Now the Thai car manufacturing is booming and the Australians will close all their car manufacturing factories next year and rely on exports only. Many of which will come from Thailand.

Clever people these Thais.

[Thian]

Thailand signed a Free Trade Agreement with Australia a few years back.

They outsmarted the Aussies big time. Clever people these Thais.

Now more than one in five of all vehicles sold in Australia is Thai made. And I don't think any Aussie cars are being sold here anymore. The Thais have an extra tax on engines over 2.5 or 3.0. Nearly all Aussie cars have bigger engines than this so the taxes placed on these cars make them too expensive in Thailand.

I think the last Aussie cars sold in any numbers here was the Vz commodore, only the 3.6 liter, none of the v8s, badged as a chev lumina. And they didn't sell many.

The Thais must have known this is what would happen and must have been laughing at the Aussies signing the FTA.

The Aussies also rushed into signing an FTA with China under the last PM Tony "Sir Pository" Abbott. I reckon it will be even more flawed.

Now the Thai car manufacturing is booming and the Australians will close all their car manufacturing factories next year and rely on exports only. Many of which will come from Thailand.

Clever people these Thais.

Why do all aussie cars have those big engines? That's so old. And an Opel commodore is from when i was a kid, my neighbours had one.

I thought Australia wanted to be a green climatesaving continent like Europe. Then they better build green cars as well.

[Srikcir]

Both Isuzu and Toyota see shrinking auto sales in Thailand by 100,000 units or more in 2016. Increasing household debt and decreased consumer buying power are partly to blame. The Finance Minister is starting a soft loan program for first time home buyers that will further depress consumer buying power. Meanwhile export growth is projected to be FLAT.

So why are they committing to expand their manufacturing base?

What could Prayut offer them that would offset their losses for increasing manufacuring? Whatever it is, it will no doubt commit future governments to more financial obligations and less capability to chart ther own economy.

[trogers]

Both Isuzu and Toyota see shrinking auto sales in Thailand by 100,000 units or more in 2016. Increasing household debt and decreased consumer buying power are partly to blame. The Finance Minister is starting a soft loan program for first time home buyers that will further depress consumer buying power. Meanwhile export growth is projected to be FLAT.

So why are they committing to expand their manufacturing base?

What could Prayut offer them that would offset their losses for increasing manufacuring? Whatever it is, it will no doubt commit future governments to more financial obligations and less capability to chart ther own economy.

Export base to Indochina...

[Oziex1]

Thailand signed a Free Trade Agreement with Australia a few years back.

They outsmarted the Aussies big time. Clever people these Thais.

Now more than one in five of all vehicles sold in Australia is Thai made. And I don't think any Aussie cars are being sold here anymore. The Thais have an extra tax on engines over 2.5 or 3.0. Nearly all Aussie cars have bigger engines than this so the taxes placed on these cars make them too expensive in Thailand.

I think the last Aussie cars sold in any numbers here was the Vz commodore, only the 3.6 liter, none of the v8s, badged as a chev lumina. And they didn't sell many.

The Thais must have known this is what would happen and must have been laughing at the Aussies signing the FTA.

The Aussies also rushed into signing an FTA with China under the last PM Tony "Sir Pository" Abbott. I reckon it will be even more flawed.

Now the Thai car manufacturing is booming and the Australians will close all their car manufacturing factories next year and rely on exports only. Many of which will come from Thailand.

Clever people these Thais.

Why do all aussie cars have those big engines? That's so old. And an Opel commodore is from when i was a kid, my neighbours had one.

I thought Australia wanted to be a green climatesaving continent like Europe. Then they better build green cars as well.

Australia retains an American attitude to cars with every kid wanting a V8 and they are available to young people, even up to 6 litre engines.

Yes we have all the clean green alternatives but V8's rock and until the insurance, prices kids out of the market it will continue to be attractive to burn all that petrol and to wipe themselves out at high speed. Now don't get me started on 4WD'S that have never seen a dirt track.

[Praematura]

Thailand, the hub of disinformation...

[webfact]

Prayut urges Japanese car makers to make Thailand hub for 'Cars of the Future'



BANGKOK: -- Prime Minister Prayut Chan-Ocha yesterday called on Japanese car-makers to make Thailand the hub for production of ‘Cars of the Future’ with promise to offer them incentive packages for this purpose.

The call was made as Gen Prayut Chan-o-cha, hosted a meeting with the CEOs of major car-makers in the country under the ‘Prime Minister Meets CEOs’.

At the meeting, Gen Prayut stressed that automobile production is one of the ten major industries targeted for growth.

As such, he voiced his desire for the major car manufacturers to make increased investments as well as the possibility of setting up new factories and test centers for ‘Cars of the Future’.

He placed a high priority towards bringing in new innovative automotive technology that he hoped will increase Thailand’s expertise in this field.

Furthermore, exposure to these high technologies will greatly benefit SMEs allowing them to grow and gain a foothold in the global car market.

Gen Prayut showed his commitment towards this goal by saying that the government would be willing to set a prototype test center for various new vehicles such as driverless vehicles which at present, no such facilities exist in Japan.

As for exports for these new innovative vehicles, he stated that Thailand stands ready to become the hub for global exports which will be supported by the country’s involvement in a number of free trade area trade agreements.

The government is also considering the possibility of joining the TPP (Trans-Pacific Partnership) which will help create even more markets for vehicle produced in Thailand.

He stressed that Thailand will be focusing on future vehicles with significantly reduced carbon dioxide emissions and alternative fuel vehicles. The latter will also as a consequence contribute to increased demand for local agricultural produce such as palm and sugarcane to produce alternative fuels for these vehicles.

In response to the prime minister’s call, Toyota, Isuzu, Nissan and Honda stated that they were all committed to plans to set up Thailand as the production hub for vehicle production for ASEAN and the Asia region.

They said Thailand will become the second largest vehicle manufacturer in the region second only to Japan.

They voiced support for the prime minister’s plans to make Thailand the hub for ‘Cars of the Future’ and were willing to bring in new specialized technology which they were willing to share with local manufacturers.

Toyota in particular revealed that it had plans to make Thailand the center for hybrid vehicle production and future development of new high-tech vehicles that will be powered by electricity and fuel cells.

Nissan is one of the leaders in the development of electric vehicles in the world and similarly stated that it had plans to make Thailand the production hub for these vehicles for global export.

Honda on the other hand revealed that its plans for Thailand centers on establishing the country as a major R&D base focusing on advanced vehicle development which allow the country to become the leader in future automotive development.

Source: http://englishnews.thaipbs.or.th/content/154048


-- Thai PBS 2016-03-08

[Praematura]

Hub for production....

HAHAHAHAHA[emoji23][emoji23][emoji23][emoji23][emoji23]

[Thian]

Thailand signed a Free Trade Agreement with Australia a few years back.

They outsmarted the Aussies big time. Clever people these Thais.

Now more than one in five of all vehicles sold in Australia is Thai made. And I don't think any Aussie cars are being sold here anymore. The Thais have an extra tax on engines over 2.5 or 3.0. Nearly all Aussie cars have bigger engines than this so the taxes placed on these cars make them too expensive in Thailand.

I think the last Aussie cars sold in any numbers here was the Vz commodore, only the 3.6 liter, none of the v8s, badged as a chev lumina. And they didn't sell many.

The Thais must have known this is what would happen and must have been laughing at the Aussies signing the FTA.

The Aussies also rushed into signing an FTA with China under the last PM Tony "Sir Pository" Abbott. I reckon it will be even more flawed.

Now the Thai car manufacturing is booming and the Australians will close all their car manufacturing factories next year and rely on exports only. Many of which will come from Thailand.

Clever people these Thais.

Why do all aussie cars have those big engines? That's so old. And an Opel commodore is from when i was a kid, my neighbours had one.

I thought Australia wanted to be a green climatesaving continent like Europe. Then they better build green cars as well.

Australia retains an American attitude to cars with every kid wanting a V8 and they are available to young people, even up to 6 litre engines.

Yes we have all the clean green alternatives but V8's rock and until the insurance, prices kids out of the market it will continue to be attractive to burn all that petrol and to wipe themselves out at high speed. Now don't get me started on 4WD'S that have never seen a dirt track.

I see, i thought australia was as green as Europe these days and wanted to stop the hole in the ozonlayer above them.

European cars can drive 20km a litre these days, even estates can. Thailand is also still far behind that and should invest in more economical cars. Also ban the dieselengines in Bangkok and start with those fuming ancient citybuses and trucks.

If Thailand got real Police the Thai wouldn't need SUV's in BKK, they even can't park them properly in the malls and need assitance for that.

It's time Australia starts protecting their own market and put their money where their mouth is. economic small cars is what they need for in the city.

Thailand just needs a real policeforce before we even think about anything else.

[terryp]

I was getting HUB Withdrawal, not been a decent Hub announcement for at least a week

[HauptmannUK]

I think Australia is pretty much finished as a car producer. A combination of high labour costs and small domestic market.

Thailand is doing pretty good. Nippon Denso recently opened an R&D centre on the Amata-Nakhon and Thai produced vehicles from Toyota are now selling on the European market.

Hino trucks built in Thailand are exported in large numbers thoughout ASEAN and Australia.... its not going too badly for them..

[trainman34014]

If he wants to see cars for the future he should go to Japan or Europe where the range of current and future models is far superior to the boring range produced here. With most Thai's wanting huge engined Pick-Ups just to go to work or shopping in (85% are running around empty) and never ending production lines of Minibuses for the use of Psychotic drivers hell bent on killing as many folks as possible, i can only presume that he wants these to be produced with electric motors !

[elgordo38]

They are already using Thailand as a base. Woopty doo.

I think they are focusing on other countries especially the ones joining the TPP. If the PM starts talks with the CEO'S he may get an earful more than he bargained for.

[elgordo38]

Both Isuzu and Toyota see shrinking auto sales in Thailand by 100,000 units or more in 2016. Increasing household debt and decreased consumer buying power are partly to blame. The Finance Minister is starting a soft loan program for first time home buyers that will further depress consumer buying power. Meanwhile export growth is projected to be FLAT.

So why are they committing to expand their manufacturing base?

What could Prayut offer them that would offset their losses for increasing manufacuring? Whatever it is, it will no doubt commit future governments to more financial obligations and less capability to chart ther own economy.

Maybe the PM could convince them to manufacture tanks here (cripes some of their vehicles are as big as one) and thus there would be no need to buy them from the Ruskkies. The arms race is a big business.

[Thian]

If he wants to see cars for the future he should go to Japan or Europe where the range of current and future models is far superior to the boring range produced here. With most Thai's wanting huge engined Pick-Ups just to go to work or shopping in (85% are running around empty) and never ending production lines of Minibuses for the use of Psychotic drivers hell bent on killing as many folks as possible, i can only presume that he wants these to be produced with electric motors !

And if he wants to see how educated drive their cars then also go to Japan or Europe and have a good look. They ALL use the indicators and drive as being taught.

Also have a look at how the police there works, Thailand can learn so much from them.

Especially Tokyo has perfect traffic, very silent cars/trucks and no traffic jam at all. Clean wide perfect pavements and a great metro/train-system.

[scorecard]

This reads as...Go down there, listen to their complaints about using this country as a manufacturing base, agree to their wishes, then dangle a big envelope-shaped carrot to clinch the deals..(& stop them moving production to other ASEAN countries).

So is there something wrong with doing that?

[Jdiddy]

It's time Australia starts protecting their own market and put their money where their mouth is. economic small cars is what they need for in the city.

Turbo six and V8 utes and big sedans are a cornerstone of Australia's culture, though ive noticed more tradesman move to the toyota hilux over the holden/ford ute, in a few decades we wont have any choice

[RT555]

That means ANOTHER BIG PAYOFF is lurking to stuff into their portfolio....and broadcasted on the front page of THE BANGKOK POST.

HOW about another go on 3G. 4G....might as well bid on the 2G...so everybody gets some more cash in their pockets..

Edited March 8, 2016 by RT555

[Roomuck]

My Aussie v8 in thailand. I can live without my big bogan sheilas, but couldn't live without a big bogan V8.

We don't have much culture in Oz but V8's are a part of it.

I really wish the Australian government had of been tougher with the Thais signing the FTA. I would love to get one of the last V8 Falcons or Commodores over here.

[williamgeorgeallen]

It's time Australia starts protecting their own market and put their money where their mouth is. economic small cars is what they need for in the city.

Turbo six and V8 utes and big sedans are a cornerstone of Australia's culture, though ive noticed more tradesman move to the toyota hilux over the holden/ford ute, in a few decades we wont have any choice

i lived in oz for 10 years in that time oz car manufacturers showed very little effort in producing efficient hatcnacks and sports waggons. i never understood why.

[ScotBkk]

I was getting HUB Withdrawal, not been a decent Hub announcement for at least a week

Thailand is the worlds foremost Hub Mania country always wanting to be in the forefront of anything that makes money with minimal effort ..... Just saying !!!!

[Dublin]

Oh Mr PM , Mr PM , Mr PM

[bark]

Come to the land of Flooded car factories. Using slave labor, and only make cars in White, Black, and Silver colors ( 90 % ). Next Hub !

[mesterm]

Cars of the future for a Government of the past.

[Jimbo2014]

This is a brilliant end to end solution. Hub of manufacture and hub of crashes. ???

[amdy2206]

WHAT. ANOTHER HUB?

[DeanAndrewC64]

Yes Free Trade Agreements with developing countries the Big Automotive companies love them, Thailand, Mexico where-ever. Australian domestic market sales 2015, 1.1 million new cars. Thailand expected domestic sales 2016 less than 800,000 double that exports! to OZ and elsewhere. Best selling cars in Australia 2015 #1 Corolla #2 Mazda 323 #3 Hilux..... Thailand offers the car makers a closed protected market, tax incentives, duty incentives, docile and inexpensive labour market. no environmental standards. Australian Government signs away 200,000 jobs to Thailand on the mantle of phony free trade... this is exactly what the Big 3 are trying in America with Mexico - the shipping of jobs overseas..... middle class shrinks... no wonder Donald Trump is on the rise.