Toyota (TM) Boosts Thai Engine Production 14%
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Toyota Motors (NYSE: TM) announced the company would by investing roughly ¥14 billion into its Siam Toyota Manufacturing Co. subsidiary in an effort to increase the capacity to produce engines by 14 percent.
Managers said Toyota is looking to increase the annual production of engines at the plant by 100,000 to 840,000. Toyota stated the new expansion would increase Siam Toyota Manufacturing’s workforce by 6.6 percent or 200 jobs.
The increase goes inline with the company’s plans to grow Thai sales by 55.1 percent in 2012 after sales fell 11 percent last year. This move would lift Toyota’s market share in the country from 36.5 percent last year to 40.9 percent. Toyota Motor Thailand Co., another Toyota subsidiary, sees sales throughout the industry increasing by 38.5 percent in 2012 as the demand for vehicles rises to 1.1 million.
The demand for vehicles in Asia has been strong as populations and income levels among some of the largest and smallest countries continue to grow. Last year’s devastating earthquake and tsunami in Japan also boosted demand for both new and used cars as a large portion of countries vehicle population was damaged.
Back in January, Toyota also stated plans to build a new vehicle assembly factory in Thailand. The company looks to take advantage of some of the incentives the Thailand government offers to manufacturing companies.
Managers said Toyota is looking to increase the annual production of engines at the plant by 100,000 to 840,000. Toyota stated the new expansion would increase Siam Toyota Manufacturing’s workforce by 6.6 percent or 200 jobs.
The increase goes inline with the company’s plans to grow Thai sales by 55.1 percent in 2012 after sales fell 11 percent last year. This move would lift Toyota’s market share in the country from 36.5 percent last year to 40.9 percent. Toyota Motor Thailand Co., another Toyota subsidiary, sees sales throughout the industry increasing by 38.5 percent in 2012 as the demand for vehicles rises to 1.1 million.
The demand for vehicles in Asia has been strong as populations and income levels among some of the largest and smallest countries continue to grow. Last year’s devastating earthquake and tsunami in Japan also boosted demand for both new and used cars as a large portion of countries vehicle population was damaged.
Back in January, Toyota also stated plans to build a new vehicle assembly factory in Thailand. The company looks to take advantage of some of the incentives the Thailand government offers to manufacturing companies.
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