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Thread: GM Seeks Entry Into Thailand’s Phase 2 Eco-Car Program

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    GM Seeks Entry Into Thailand’s Phase 2 Eco-Car Program

    Looks like GM is going to be developing a direct competitor to the Mirage. And, it looks like they're even taking advantage of the same benefits as Mitsubishi has, tax breaks in Thailand. Though, it will take a few years to build a plant and develop a vehicle.

    GM Seeks Entry Into Thailand’s Phase 2 Eco-Car Program

    Marcos Purty, new managing director of GM Thailand, says GM’s intent to develop a new Chevrolet car for production in Thailand is well aligned with the objective of the eco-car program.

    ...

    The first phase, launched in 2007, attracted combined investment of TB28.8 billion ($884 million) by Mitsubishi, Honda, Toyota, Nissan and Suzuki. The five automakers built 712,292 eco-cars between 2010 and 2013



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  2. #2
    Very interesting!

    GM also recently announced expanded plans for a range of engines including a 3-cylinder. I wonder if that goes hand in hand with this announcement.

    To qualify for the Eco-car benefits, the car produced must meet minimum fuel economy targets, and I don't think the current Spark (1.2L 4-cyl) qualifies.

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  3. #3
    Moderator Eggman's Avatar
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    Quote Originally Posted by MetroMPG View Post
    Very interesting!

    GM also recently announced expanded plans for a range of engines including a 3-cylinder. I wonder if that goes hand in hand with this announcement.

    To qualify for the Eco-car benefits, the car produced must meet minimum fuel economy targets, and I don't think the current Spark (1.2L 4-cyl) qualifies.
    The Thailand government also required a new design, not something already in production.


    This article notes the beginning of the end for GM in Thailand:

    General Motors To Restructure Thailand Operations, Initiates Voluntary Separations

    Quote Originally Posted by GM Authority Staff - Mar 2, 2015
    On February 27th, 2015, General Motors’ Southeast Asia Operations announced a plan to restructure operations in Thailand. The objective behind the restructuring is to “better position the Chevrolet brand for long-term sustainable growth and is part of a series of restructuring actions the company is taking across the region.” The reorganization involves changes to the corporate office in Bangkok and manufacturing facilities in Rayong.

    ...

    Withdrawing From Eco Car Phase 2

    In shifting its focus to trucks and SUVs in the country, GM Thailand will withdraw from the country’s Eco Car Phase 2 program, which awards manufacturers of low carbon emission vehicles privileges such as reduced excise taxes and other tax incentives, as long as they meet government requirements on fuel consumption, safety standards, engine size and production levels.

    The automaker has already informed the Thailand Board of Investment (BOI) that it will no longer participate in the program.

    And this article from last year wraps it up:

    Chevrolet closure puts workers in limbo

    Quote Originally Posted by Bangkok Post | 18 Feb 2020 at 04:08
    More than 300,000 Chevrolet cars in Thailand risk losing maintenance services after the US car maker General Motors (GM) announced a halt in sales of the Chevrolet brand locally by 2020.

    Roughly 1,900 jobs from all local operations will be affected by GM's decision, including 1,200 at its Rayong plant.

    GM is selling manufacturing facilities in Rayong under a purchase agreement with Chinese car maker Great Wall Motors. Both parties want to close the deal and hand over the site within this year.

    ...

    Surapong Paisitpatanapong, spokesman for the automotive industry club at the Federation of Thai Industries, said Thailand's automotive industry will not suffer much from GM's exit.

    "The industry saw GM make moves to exit by ceasing the production of passenger cars in Rayong [2015], withdrawing from the government's eco-car scheme [2015], and cutting more than 300 jobs at the Rayong plant [2019]," he said.

    "GM produced a limited number of cars in Rayong with low sales and exports."

    Mr Surapong said GM is turning to high-potential markets in China, where it has sales of 3 million cars, rather than low competition markets in Southeast Asia.

    In 2019, GM sold 22,476 vehicles in this region, according to LMC.

    "GM has a mid-term plan to cut workers from all operations worldwide, so this is not surprising," said Mr Surapong.

    He said the government should review support policies for the automotive industry, which has been promoted for more than six decades to maintain Thailand's competitiveness in the long run.
    Did GM chairwoman and CEO Mary Barra have the final say in this?

    GM to exit Thailand, discontinue Chevrolet brand there, sell Rayong plant to China’s Great Wall Motors

    Quote Originally Posted by PaulTan.org | 17 February 2020 3:11 pm
    GM’s co-ordinated retreat is part of the company’s plan to exit unprofitable markets including Europe, while focusing on North America, China, Latin America and South Korea. With the planned sale of its Thai plant, GM has essentially given up on the rest of ASEAN as well, as the Land of Smiles is the company’s regional hub.

    GM is “focusing on markets where we have the right strategies to drive robust returns, and prioritising global investments that will drive growth in the future of mobility,” especially in electric and autonomous vehicles, GM chairman and CEO Mary Barra said in a statement. “I’ve often said that we will do the right thing, even when it’s hard, and this is one of those times,” she added.

    Since taking over the hot seat in 2014, Barra has prioritised profit margins over sales volume and a global presence. In 2017, GM sold its Opel/Vauxhall European arm to Peugeot and exited South Africa and other African markets. Subsequently, Barra made the call to pull out of Vietnam, Indonesia and India. In 2015, GM killed off the Chevrolet brand in Europe and left the Russian market.

    “Our decision to cease production at the Rayong site is based on GM’s global strategy and optimisation of our manufacturing footprint around the world. In this context, sale of the Rayong plants to GWM is best option to support future vehicle manufacturing at this site,” said GM’s international operations senior VP Julian Blissett.

    GM’s strategic markets, alliances and distributors president Andy Dunstan said GM had undertaken a detailed analysis of the business case to allocate a new vehicle program to Rayong. However, low plant utilisation, forecast domestic and export volumes impacted the business case significantly.

    “GM explored a range of options to maintain Chevrolet in Thailand’s new vehicle sales market. Regrettably, without a domestic manufacturing footprint, it is not viable for Chevrolet to compete in the Thai market,” he added.

    There are similarities with the geopolitical situation in Asia. As the Americans retreat, the Chinese are expanding their presence in the region. GWM, one of China’s biggest SUV makers and owner of the Haval brand, said that it will sell vehicles from the Thai plant across the region and Australia, essentially picking up where GM left off. China’s previously red hot auto market has slowed, and its car companies are now looking abroad for growth.
    GMs survival depended on cutting unprofitable ventures, and that included their eco-car initiative. How will this affect the rest of the Thailand eco-car industry?
    Last edited by Eggman; 06-22-2021 at 08:32 PM.

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    the problem of gm here in asia is the parts availability, its so hard to find and a bit expensive unlike with Japanese cars parts is just like buying a bread its just so many stores who offers it and very cheap its very easy even with the older models, i think the problem with american cars is especially ford they make almost all of their parts recently we have a ford escape here in our shop all of its components is made by them the harness and ecu all fomoco the ranger raptor is a perfect pick up truck if they just let aisin make the transmission for it.

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    Quote Originally Posted by allrock View Post
    the problem of gm here in asia is the parts availability, its so hard to find and a bit expensive unlike with Japanese cars parts is just like buying a bread its just so many stores who offers it and very cheap its very easy even with the older models
    Sounds like Mitsubishi part pricing here in North America.

        __________________________________________

        click to view fuel log View my fuel log 2015 Mirage ES 1.2 manual: 49.6 mpg (US) ... 21.1 km/L ... 4.7 L/100 km ... 59.5 mpg (Imp)


  8. #6
    ^ Ironic. I was going to say the same thing.


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        click to view fuel log View my fuel log 2014 Mirage ES 1.2 manual: 63.2 mpg (US) ... 26.9 km/L ... 3.7 L/100 km ... 75.9 mpg (Imp)


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