So which country is leading the way in the development of green cars – perhaps Japan with its progressive auto industry, Australia with its green car fund or the USA inspired by California’s green push? Well, it seems they may all be left standing by South East Asia’s most important car-making centre – Thailand.
As of 2009, Toyota Thailand will begin production of Camry hybrids making it the manufacturer’s third site for hybrid vehicles. Indeed Thailand has been working on an “eco-car” project for more than five years with firm commitments from Toyota, Honda and Nissan as well as Volkswagen, Mitsubishi and Suzuki.
These manufacturers have committed to investments totalling 66billion baht with the first vehicles entering production in 2010.
In order to pick up duty and sales tax exemptions, along with an income tax holiday for eight years, the new vehicles must have engines smaller than 1.3 litres, achieve fuel consumption of 20km/l and emit less than 120g/km of carbon dioxide (CO2). Manufacturers must also invest five billion baht into producing 100,000 units by the fifth year.
The car makers have bowed to these demands mainly because of the strength of the export industry in the country. Exports will boost total production to 1.4million units this year.
