PRZOOM - /newswire/ -
Delhi, New Delhi, India, 2008/06/21 - Government initiatives in the form of market liberalization and high import scenario are making Thailand a major manufacturing hub for the foreign automotive players, says RNCOS report.
A new market research report, “Asian Automotive Industry Outlook (2007-2011)”, by the leading market research firm RNCOS reveals that Thailand is emerging as a major manufacturing center for foreign automobile makers.
As per the report, automobile industry forms an integral part of the overall Thai economy. Thus, by offering various investment incentives to automotive manufacturers, the Thai government is actively pitching in the country as an automobile production base. Consequently, many big car manufacturers are establishing their regional production bases in the country.
Moreover, the Thai auto industry is fully liberalized and open to foreign investments. Foreign players are allowed to have majority share in vehicle assembly facilities of the country and assemblers are allowed to export their auto parts worldwide.
Apart from this, Thailand has one of the highest import duties in the region, which is encouraging many auto manufacturers to set up their production bases in the country to satisfy the demands of domestic as well as export market. Further, the demand for passenger cars is expected to increase in Thailand at a CAGR of around 14.4% during 2007-2011. Thus, to satisfy the rapidly increasing demand for automobiles in the country under a high import duty framework, manufacturers are likely to increase domestic production instead of depending upon the imports.
Further, increase in production of automobiles due to high import duty is leading to an increase in export of Completely Built Units (CBUs) of automobiles and this export had been steadily rising since 2000 till 2006.
Thailand is just one of the countries covered in “Asian Automotive Industry Outlook (2007-2011)”. The report provides complete overview of automotive industry of other Asian countries, including China, Japan, India, Malaysia and Taiwan. It gives rational and prudent analysis on various market segments, key drivers, challenges and opportunities critical to the success of the Asian automotive industry. The report also gives forecast on registration of passenger car and passenger car stocks by region.
RNCOS, incorporated in the year 2002, is an industry research firm. It has a team of industry experts who analyze data collected from credible sources. They provide industry insights and analysis that helps corporations to take timely and accurate business decision in today's globally competitive environment.