Nissan Motor Co., Ltd. today announced plans to invest 11 billion baht (358 million dollars) for a second assembly plant in Thailand. Scheduled to start production in August 2014, the new plant will support Nissan’s growth strategy in the ASEAN region and will complement the existing Nissan Motor Thailand Co, Ltd. NMT facility.
The new plant will have an initial annual production capacity of 75,000 units and will expand up to 150,000 units.
“The new facility will keep Thailand as our largest manufacturing center in the ASEAN region,” said Hiroto Saikawa, executive vice president, Nissan Motor Co, Ltd.
“This investment is an important component to achieve the goals of our corporate mid-term business plan, Nissan Power 88 – to increase market share and sustain business growth in this very important region.”
Adding 150,000 units of production capacity will not only enable us to raise our competitiveness in the domestic market, but will ensure Thailand’s position as a key strategic global export hub for Nissan,” he added.
Currently, Nissan has one assembly facility in Thailand that produces passenger cars and pickup trucks
It is located on Bangna-Trat Road Km.21 in Samut Prakarn province. The plant employs 6,000 people and has an annual production capacity of 220,000 units.The new plant will also be located on Bangna-Trad Road and will serve the growing demands for Nissan vehicles in both the domestic and regional markets.
Once the second facility is operating at full capacity, the company will have a combined production capacity of 370,000 units per year.
“This investment is a key factor in achieving our target of 15 percent market share in Thailand by 2016, as outlined in our local mid-term business plan, Power Up 2016,” said Takayuki Kimura, president, NMT.
“Strengthening our operations here confirms Nissan’s commitment to and confidence in the Thai market. I am also excited that this new plant will add 2,000 new jobs to the Thai economy.”
Nissan, which established its local business entity in 1952, was the first Japanese automobile company in Thailand. During the last 60 years, the company has played a significant role in shaping the Thai auto industry. Today, seven models are offered in the Thai market – the Nissan Teana, Sylphy, Tiida, Almera, March, X-Trail and Navara.
Amounts of dollar are translated for the convenience of the reader at foreign exchange rates of 30.6804933 baht/ us dollar.