Bangkok (dpa) – Thailand's goal to be a manufacturing hub for small, fuel-efficient cars came closer to reality last week when two Japanese auto makers launched their new made-in-Thailand eco-car models. On March 20 Mitsubishi Motors (Thailand) introduced its Mirage model, a compact that promises 22 kilometres to the litre and a day later Suzuki Motor (Thailand) launched a new version of its Swift compact model, a hatchback that can get more than 20 kilometres to the litre. Although the Swift has been around since 2004, small-car specialist Suzuki invested 10 billion baht (328 million dollars) in a new plant in Rayong, Thailand, to design a new 1.25 litre engined model of the compact to meet the specifications of the Thai government's eco-car promotion scheme. Launched in 2006, five Japanese automobile manufacturers won tax privileges to design and produce compact, fuel-efficient passenger cars in Thailand for the domestic and export market. Manufacturers of low carbon emission vehicles enjoy reduced excise taxes and other tax incentives, as long as they meet government requirements on fuel consumption, safety standards, engine size and production levels. All manufacturers are required to achieve a production of 100,000 vehicles a year by the fifth year of operation. Volkswagen of Germany and Tata Motors of India had both expressed interest in the program but dropped out of the running. The Thai government devised its eco-car program as a bid to attract more foreign investment in its local auto assembly and parts manufacturing industry, a major source of employment and export revenues. Thailand is already the world's largest exporter of one-ton pickup trucks, the most popular vehicle on the Thai market because of its multiple-commercial applications in the country's still largely agriculture-based economy. “The pickup will remain popular upcountry, but the eco-car is better suited to the cities,” said Vallop Tiasiri, president of the Thailand Automotive Institute – one of the chief architects of the eco-car program. Both the one-ton pickup and eco-car enjoy lower excise taxes than other models on the road, making them cheaper and thus more accessible to first-entry buyers. The eco-car models also offer lower fuel consumption, helping to cut carbon emissions while saving money for the owner. “Before they might have had to buy a second-hand car, which would be more polluting and consume more petrol,” Vallop said. Suzuki's eco-Swift, for example, will be available on the Thai market at prices ranging from 469,000 baht to 559,000 baht (15,370 dollars to 18,328 dollars), inexpensive by Thai standards. Mitsubishi's Mirage model will range between 380,000 to 546,000 baht, depending on options offered. Nissan Motor's March model, the first eco-car model that was launched on the Thai market in 2010, has been highly successful, selling about 3,000 units a month. Last year, Nissan produced about 100,000 March units, of which an estimated 60 percent were exported. Honda Motor's Brio eco-car model, launched last year, had its sales bogged down by massive floods that inundated Honda's manufacturing facilities in Ayutthaya province in October, disrupting production for almost five months. Toyota Motor is expected to launch its eco-car model before the end of the year. “They will come in last,” said Vallop. “I think this is usually the market leader's strategy, but I think they will come in a lot bigger than the others.” Toyota typically claims about 30 per cent of all vehicle sales in Thailand. One drag on eco-car sales is safety worries, since the models are all designed to be light-bodied to save on fuel consumption. But Vallop insisted that eco-cars are probably safer than most other models on Thai roads. “We knew people would be concerned about safety so we have asked that all eco-cars be crash tested according to EU regulations,” he said. “This is the only model for which this is required. And all eco-cars have the air bags, it's mandatory, not an option.” BM ShortURL: http://goo.gl/RcBzv Tags: Car, Eco Car, Going Green, Suzuki, Thailand Section: Features, Going Green, Latest News, Southeast Asia
