Mazda, Ford Announce US$500 Million Investment in AAT in Thailand
JapanCorp: <http://www.japancorp.net/?page_num=1> Mazda, Ford Announce US$500 Million Investment in AAT in Thailand Tokyo, Japan, Oct. 14, 2003 - (JCN Newswire) - Mazda Motor Corporation and Ford Motor Company announced today that the automakers would invest an additional US$ 500 million (21 billion Baht) in their joint venture, AutoAlliance (Thailand) Company Limited (AAT). The additional investments will be made over the next several years to support new vehicle programs and expansion of the plant's capacity. Ford Motor Company Chairman and Chief Executive Officer William Clay Ford, Jr. made this announcement after a private meeting with Prime Minister Pol. Lt. Col. Dr. Thaksin Shinatwatra in Thailand. The announcements mark a new chapter for AAT. Within the next three years, AAT will embark on a growth plan driven by new vehicle programs, with investments in facility upgrades, additional tooling and engineering, as well as an expansion of the plant's capacity to 200,000 units (both CBU and CKD), up from the current 135,000. Thailand is an outstanding success story for Mazda and Ford in Asia Pacific. One of the reasons for the success can be attributed to the Thai government's open policy towards foreign investment. These include not only economic incentives and relaxation of foreign ownership restrictions but also the policies and economic stability. Thailand also offers the additional advantages of a large domestic market, the biggest pick-up market outside of the United States, excellent energy and transportation infrastructure, strong supply base and available pool of skilled labor. These were reasons that compelled Mazda and Ford to invest an initial US$500 million in establishing AutoAlliance Thailand in 1995, which has since proven to be a sound and rewarding investment for both companies. Despite the economic downturn of 1997, AAT had thrieved as a global exporter of one-ton pickups. AAT's operations have contributed to increased revenue and a positive trade balance of more than US$1 billion (48 billion Baht) to Thailand since the automakers started exporting the Mazda Fighter and Ford Ranger in 1998. AAT has surpassed 300,000 units production and is exporting the Fighter and Ranger to more than 130 markets worldwide, including Europe, South Africa, Australia, New Zealand and Asia. AAT's many achievements should be credited to its strong management team and empeloyees, which itself speaks volumes of the successful partnership between Mazda and Ford that combines the best of Mazda's engineering expertise with Ford's global truck and SUV heritage. About Mazda Motor Corporation Mazda Motor Corporation was established in 1920 and is one of Japan's leading automobile manufacturers. With its headquarters in Hiroshima, Mazda has two plants in Japan and manufacturing and assembly operations in sixteen other countries. Mazda cars and trucks are sold in more than one hundred and thirty countries. Ford Motor and Mazda agreed to collaborate in 1979, Ford Motor Company started investing in Mazda and increased its shareholding to 33.39% as of March 31, 1999. For further information, please visit the Mazda Motor Corporation home page at: www.mazda.com/flash.html <http://www.mazda.com/flash.html> About Ford Motor Company Ford Motor Company The principal activities of the Group are within two principal business segments. The Automotive segment consists of the design, manufacture, sale and service of cars and trucks, automotive components and systems. The Financial Services segment consists of vehicle-related financing, leasing and insurance, renting and leasing of cars and trucks and renting industrial and construction equipment and other activities. The Financial sector is operated through two subsidiaries, The Ford Credit Company and The Hertz Corporation. The Company operates in North America, South America, Europe, Africa and Asia-Pacific. In 2001, the Company acquired the remaining interest of 18% in Hertz Corporation. Automotive accounted for 81% of 2002 revenues; Ford credit services, 15%; automobile rental & leasing, 3% & other financial services, 1%.For further information, please visit the Ford Motor Company home page at: www.ford.com <http://www.ford.com> Contact Mazda Motor Corporation Mr K. Yoshitake yoshitake.k@tky.mazda.co.jp +81-3-3508-5022 _____ Oct. 14, 2003, 20:31 (JST) Source: Mazda Motor Corporation Mazda Motor Corporation www.mazda.com/flash.html <http://www.mazda.com/flash.html> Ford Motor Company www.ford.com <http://www.ford.com> From the Japan Corporate News Network www.japancorp.net <http://www.japancorp.net> Topic: Business Tieup Sectors: Auto General © 2003 JCN Newswire. A division of Japan Corporate News Network KK. All rights reserved.