New Nissan plant to double output in Thailand
A new 11.6 billion baht ($376 million) factory in Thailand’s Samut Prakan province is being built by Japan’s Nissan Motor Co in an effort to quench demand for eco-cars, such as mid-sized hybrid cars, and to diversify its portfolio.
The operation will double production output and bring increased competition to Toyota and Honda in Southeast Asia.
The factory will be set up in Samut Prakan province near an existing Nissan plant, according to Nikkei Business Daily, which survived last year’s record flooding without affecting the firm’s Thailand production.
Expected to open in 2014, the new factory will see an annual production of 100,000 vehicles, eventually rising to 200,000 per year, equaling that of the existing plant.
When this goal is met, Nissan will have a 15 per cent market share in Thailand, up from less than 10 per cent now.
In addition to this new production strategy, Nissan entered into a mutual cooperation agreement with French multinational car maker Renault earlier this month, hoping to aid each other’s firms save $5.6 billion by 2016.
The move towards Southeast Asia comes at a time of increased tension in the East China Sea that has led to boycotting of Japanese products in China.
[caption id="attachment_4927" align="alignleft" width="256"] Nissan wants to increase its market share in Thailand of currently below 10 per cent to 15 per cent[/caption] A new 11.6 billion baht ($376 million) factory in Thailand’s Samut Prakan province is being built by Japan’s Nissan Motor Co in an effort to quench demand for eco-cars, such as mid-sized hybrid cars, and to diversify its portfolio. The operation will double production output and bring increased competition to Toyota and Honda in Southeast Asia. The factory will be set up in Samut Prakan province near an existing Nissan plant, according to Nikkei Business Daily, which...
A new 11.6 billion baht ($376 million) factory in Thailand’s Samut Prakan province is being built by Japan’s Nissan Motor Co in an effort to quench demand for eco-cars, such as mid-sized hybrid cars, and to diversify its portfolio.
The operation will double production output and bring increased competition to Toyota and Honda in Southeast Asia.
The factory will be set up in Samut Prakan province near an existing Nissan plant, according to Nikkei Business Daily, which survived last year’s record flooding without affecting the firm’s Thailand production.
Expected to open in 2014, the new factory will see an annual production of 100,000 vehicles, eventually rising to 200,000 per year, equaling that of the existing plant.
When this goal is met, Nissan will have a 15 per cent market share in Thailand, up from less than 10 per cent now.
In addition to this new production strategy, Nissan entered into a mutual cooperation agreement with French multinational car maker Renault earlier this month, hoping to aid each other’s firms save $5.6 billion by 2016.
The move towards Southeast Asia comes at a time of increased tension in the East China Sea that has led to boycotting of Japanese products in China.
