Incentives for EVs catch Mazda’s eye
Japanese carmaker Mazda is keen to make a foray into electric vehicle (EV) production in Thailand, saying the incentives approved by the cabinet last week match its mid-term business plan.
The distribution unit arm of the Japanese carmaker, Mazda Sales Thailand, said in a statement yesterday that Mazda is in the second phase of its “building block strategy”, which consists of introducing high-performance automotive and fuelsaving technology.
The third phase is the move towards the use of electric powertrain assistance components. The Thai government’s EV measures approved by the cabinet last week harmonise with Mazda’s philosophy, and the company is interested in studying the possibility of initialising such a project in Thailand, it said.
“Throughout the years, Mazda has shown its confidence in Thailand, making the country an integrated manufacturing base. It is also the first country outside of Japan featuring Mazda vehicle assembly, engine production and transmission production,” said Chanchai Trakarnudomsuk, President of Mazda Sales (Thailand).
He also said that Thailand is Mazda’s parts distribution centre for the Asean region.
“Mazda has invested heavily in Thailand for many important projects, such as the Eco Car Phase 2 programme, Super Cluster programme and the multi-million-dollar engine and transmission plant in Chon Buri province,” said Mr Chanchai.
Mazda Sales reported yesterday that the company’s vehicle sales in Thailand remained strong in the first quarter of 2017, with 11,562 units sold from January to March this year — 6% growth year-on-year.
March sales were even more impressive, surging by 30% to 5,015 vehicles.
He said its performance shows that Mazda has taken the right approach in the Thai market, and this year the company wants to further raise its level of service, on top of introducing the new Mazda Corporate Identity showroom theme in its drive to become a premium brand.
Mr Chanchai said the country’s overall auto market is also set to recover this year.
“From 2014-2016 the Thai auto market experienced a slowdown after the end of the first-time car buyer programme, which has been blamed for stealing future demand, leading to higher household debt and weakened auto sales in subsequent years. Thai auto sales fell to 800,000900,000 units, compared to an overblown 1.3-1.4 million units sold during the first car buyer programme years, while total production fell from 2.4 million units per year to 2 million units per year,” he said. “But the auto market is set to start recovering this year with 6-8% growth, reaching 800,000 units.”