ID :
65430
Thu, 06/11/2009 - 20:34
Auther :
Shortlink :
https://oananews.org//node/65430
The shortlink copeid
Thailand ready to help Ford, GM expand production bases
BANGKOK, June 11 (TNA) - The Thai government is prepared to offer investment promotion privileges to American-owned giant automakers General Motors and Ford Motor Co. to expand their production bases in the kingdom, Thai Finance Minister Korn Chatikavanij said on Thursday.
Mr. Korn told journalists after meeting senior executives of the two automakers who had expressed interests in expanding investments in Thailand.
The finance minister said he had told them that the Thailand is willing to offer the firms promotional privileges of the Board of Investment (BoI) but they must seek low-interest loans from banks by themselves as the government cannot get involved in that.
Although privileges to be given by the BoI are less than in some other countries, he said, the two firms still wish to expand investment in this country as they believe in future growth of the industry in Thailand, Mr. Korn said.
Ford Motor plans to make Thailand its sole overseas base in order to trim its expenses although it is concerned about the political turbulence in this country, he said.
In recent years Ford closed more than a dozen plants and cut more than 40,000 jobs. The car maker lost more than US$15 billion in 2006 and 2007. The Michigan-based company is trying to secure hundreds of millions in direct loans and loan guarantees to aid its credit line and to comply with environmental regulations in North and South America, Europe and Australia.
Despite a bankruptcy declaration on June 1 by Detroit-based General Motors, its subsidiary GM Southeast Asia Operations Ltd., including General Motors (Thailand) Ltd., announced earlier this month that its units in Thailand and elsewhere in the Association of Southeast Asian Nations region would not be affected. (TNA)
Mr. Korn told journalists after meeting senior executives of the two automakers who had expressed interests in expanding investments in Thailand.
The finance minister said he had told them that the Thailand is willing to offer the firms promotional privileges of the Board of Investment (BoI) but they must seek low-interest loans from banks by themselves as the government cannot get involved in that.
Although privileges to be given by the BoI are less than in some other countries, he said, the two firms still wish to expand investment in this country as they believe in future growth of the industry in Thailand, Mr. Korn said.
Ford Motor plans to make Thailand its sole overseas base in order to trim its expenses although it is concerned about the political turbulence in this country, he said.
In recent years Ford closed more than a dozen plants and cut more than 40,000 jobs. The car maker lost more than US$15 billion in 2006 and 2007. The Michigan-based company is trying to secure hundreds of millions in direct loans and loan guarantees to aid its credit line and to comply with environmental regulations in North and South America, Europe and Australia.
Despite a bankruptcy declaration on June 1 by Detroit-based General Motors, its subsidiary GM Southeast Asia Operations Ltd., including General Motors (Thailand) Ltd., announced earlier this month that its units in Thailand and elsewhere in the Association of Southeast Asian Nations region would not be affected. (TNA)
