October 13, 2008

Japanese investors seek steel and auto investments in Thailand

It is reported that several major Japanese investors are keen to invest in high quality upstream steel and fuel saving eco cars in Thailand.

Mr Kosit Panpiemras deputy prime minister of Thailand after meeting with senior executives of Nissan and the Nippon Steel Corp said that they Nippon has expressed interest on investing in steel business in Thailand while Nissan queried on promotional incentives given by the Thai government on eco car industry.

Mr Kosit said that "Regarding eco cars, there're at least two manufacturers with a combined investment of about THB 15 billion wanting to invest. Investment in upstream steel will have a total value of more than THB 100 billion. Investment in both sectors will be on a long term basis and investors aren't worried about short term risks such as rising oil prices."

Mr Kosit said that the Thai government run National Economic and Social Development Board had been assigned to conduct a study on investment in upstream steel within the Southern Seaboard in order to prevent problems from arising like the one at Mab Ta Phut Industrial Estate in the eastern province of Rayong. He said that "Good project management and public participation should be considered to avoid protest like Mab Ta Phut.3 southern provinces Chumphon, Nakhon Si Thammarat and Surat Thani are presently considered as the most appropriate places for constructing upstream plants.”