Tata Motors has signaled it will delay construction of a regional plant for south-east Asia until its sales reach adequate levels.
The new managing director, Karl Slym [previously head of GM India – ed], said regional sales would need to exceed 20,000 units per year before Tata would consider investing in a new assembly plant.
Tata has a small assembly facility in Samut Prakan, just outside Bangkok, with capacity of 9,000 vehicles a year.
The company sold just under 4,600 units in Thailand last year, mostly Xenon pickup trucks. But sales in the rest of south-east Asia are negligible.
The company had previously suggested it would build a 60,ooo-unit plant in either Indonesia or Thailand.
The company plans to start importing 600cc Nano models into Thailand later this year, priced at around THB 280,000 (US$10,000) including import duties and excise taxes.
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By GlobalData