India’s second largest commercial vehicles maker, Ashok Leyland, and Thai Summit Autoparts Industry are in talks to assemble commercial vehicles in Thailand.

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Thai Summit will make fuel tanks, bumpers and several other components for Ashok Leyland’s trucks, said Thanathorn Juangroongruangkit, Thai Summit’s executive vice president without disclosing financial details.


Primarily due to the cost effectiveness, producing in Thailand will open up South East Asia market for the company, which in itself is a huge market.


Production in Thailand will take advantage of the ASEAN preferential tariff applicable in the 10 member countries which sets the import tariff on fully-imported vehicles at 5% compared to 300% otherwise in, for example, Malaysia.


This deal would open up a whole new ‘window of opportunity’ for Ashok Leyland.


Deepesh Rathore / Tilak Swarup

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