Asian automotive industry had grown tremendously and soon it will play a bigger role in the global automotive industry.Read the full news from Bernama below.
ASIAN COMPANIES WILL PLAY A BIGGER ROLE IN THE GLOBAL AUTOMOTIVE MARKET
KUALA LUMPUR, — Asian companies will have a bigger role to play once the global automotive market starts to see positive growth next year, said Vivek Vaidya, the director of automotive and transportation, Asia Pacific, Frost & Sullivan.
He said the automotive industry would be fuelled by growth in demand and better sentiment due to the underlying global economic recovery.
“There is likely to be more sourcing of components from the Asean region. Companies may also relocate their plants to Asean from Europe or North America,” Vaidya said at a seminar on Thailand and Asean co-operation in automotive parts and accessories here Wednesday.
The seminar is part of Thailand’s Department of Export Promotion, Ministry of Commerce road show to promote the country’s Auto Parts and Accessories (TAPA) 2010 Exhibition in Bangkok.
The event will be from April 28-May 2 next year.
The vice president of the Thai Auto-Parts Manufacturers Association (TAPMA), Achana Limpaitoon said Asean had an even stronger role to play when it becomes a Free Trade Area (FTA) next year.
“The lifting of trade barriers will help Asean to be market competitive against major players such as China,” she told reporters after the seminar.
She said Asean’s automotive players had the competitive edge to produce quality parts at attractive prices.
According to Limpaitoon, Thailand is keen to work closely with other Asean countries to promote and develop the region as an auto parts and accessories sourcing hub.
“Thailand has the strongest original equipment and manufacturing (OEM) and replacement equipment manufacturing (REM) capability in Asia, with more than 200 billion baht annually in export value,” she highlighted.
The executive director, Office of Export Service 2 of the Department of Export Promotion (DEP), Supapat Ongsangkoon said Asean is currently the eighth largest automotive production base in the world.
He said that TAPA 2010 is an excellent platform to enhance co-operation in the automotive industry as well as to strengthen the market potential within Asean.
“TAPA will bring together more than 500 exhibitors across Asean at the Bangkok International Trade and Exhibition Center in Bangna, Bangkok,” he added.
According to Ongsangkoon, more than 16,000 visitors from Asean, Africa, India, Bangladesh, China, Japan, the Middle East, Europe, Latin America and the United States are expected to attend the event.
He said that in terms of having a strong local branding for the automotive industry in Asean, Malaysia is a leader.
“Malaysia is an important export market for Thai auto parts and accessories with an export value of about US$290.82 million for the six-months until June 2009,” he said.
Thailand’s total exports for motor cars, parts and accessories until June this year amounted to US$4.62 billion, acccording to data from the Board of Investment, Thailand.