Mazda Motor Corporation said it would boost engine capacity at Mazda Powertrain Manufacturing (Thailand) (MPMT) in Chomburi to 100,000 units in the first half of 2018.
The company also plans to build a new engine machining factory with capacity similar to that of engine assembly.
Current annual capacity of MPMT's engine assembly plant, which began full-scale production in October 2015, is 30,000 units. The plant builds Skyactiv-D 1.5-litre 'clean' diesel engines and Skyactiv-G 1.3-litre petrol engines, which are shipped to Auto Alliance (Thailand) for installation in the Mazda 2 (badged Demio in Japan).
The automaker is spending JPY22.1bn to increase engine assembly capacity. It said the new engine machining plant would "enhance its system for comprehensive production in Thailand that includes vehicle bodies, engines and transmissions". The Skyactiv-G two-litre used in popular global models such as the CX-5, 3 and 6 will be added to the variants produced while engine exports to assembly plants in the ASEAN countries of Malaysia and Vietnam will start.
"Enhancing Mazda's comprehensive production system in Thailand is a key initiative in our effort to strengthen global production," said Masatoshi Maruyama, the managing executive officer in charge of global production. "By increasing production capacity and starting up the new engine machining factory as scheduled with quality assured, Mazda intends to further develop MPMT as its first overseas hub for engine export, thereby improving our global production efficiency and contributing to the development of Thailand's automotive industry."
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By GlobalData