Thai economic statistic of the day : Car exports increase more than 1000% over last 20 yearsBy Bangkok Pundit Oct 31, 2013 2:00PM UTC
While looking for some other information, BP come across this interesting article for Auto News. Key excerpt:
Thailand already exports to Japan and Europe, trading on its low costs, government incentives and liberal trade agreements.
In 1995, the country exported barely 8,800 vehicles. Last year, it shipped just over 1 million.
Turning to Thailand carries risks. Chief among them is quality. The 14 auto assemblers in Thailand churned out 2.45 million vehicles last year, making it the ninth-largest producer in the world, just behind Mexico and ahead of Canada. But it’s mostly a young industry with a young, inexperienced work force.
Mitsubishi executives, only half-jokingly, say they rescheduled their local factory’s daily flag-raising and national-anthem ceremony so that the compulsively patriotic but not so compulsively punctual Thai workers would show up on time.
“Back in 2001, so many workers came late,” says plant Senior Vice President Yasuhisa Yamamoto, who previously worked at Mitsubishi’s assembly plant in Normal, Ill. “So Japanese members decided to set the exercise time before 8:00. Then at 8:00 the national anthem starts … It’s much better than before.”
Thai production is skyrocketing. And capacity will grow to just over 3.4 million vehicles a year by 2015, predicts the Thailand Automotive Institute, a government-affiliated foundation that promotes the local industry.
About 40 percent of Thailand’s output is exported.
The bias is spurred partly by government policy that aspires toward replicating Japan’s export-led economic miracle.
BP: A very interesting article with some interesting tidbits.
According to the automotive industry group of the Federation of Thai Industries (FTI), the monthly export figure showed a 16.76 per cent increase from the same period last year and 13.47 per cent from August.
In terms of value, the exported vehicles were worth Bt52.35 billion, up 7.08 per cent from the same period last year.
Engine export value also rose 23.68 per cent on year to Bt2.6 billion. Auto parts export value went up by 11.54 per cent on year to Bt1.86 billion.
In the first nine months, a number of 847,341 vehicles were exported, up 14.22 per cent on year. The cumulative value went up by 7.88 per cent to Bt383.67 billion.
Below is car production for the first 6 months of 2013 which shows you (the % change from 2012 figures shows you the growth and how important a sector that the automotive sector is becoming for Thailand):
BP: You can see Thailand’s rapid increase which is one of the few economic successes so far this year…