Economy Thrives Amid Political Challenges

World Eye Reports World Eye Reports Thailand ISSNISSN 0289-1956 0289-1956 114114THTH YEAR YEAR NO. NO. 39,920 39,920 ©THE©THE JAPAN JAPAN TIMES, TIMES, LTD., LTD., 2010 2010 Saturday,Saturday, JuneJune 26, 26, 20102010 明治30年3月22日第3種郵便物認可 B1B1 Economy thrives amid political challenges eBOX The Bank of Thailand implements monetary policies that ensure lthough the domestic un- ity education and state-of-the-art the stability of the Thai economy and safeguard it against external rest in Thailand has domi- medical care (which even employ shocks. Led by Tarisa Watanagase, the central bank has kept key nated the news around the Japanese translators). The Thai lending rates low to encourage economic growth at a time when A the economy has just started to recover from its worst recession. world, the country can still look people are very hospitable,” says forward to positive growth due to Japanese Ambassador Kyoji Ko- www.bot.or.th its prudent economic policies and machi. well-supported industries. “Japan’s new growth strategy The Thai–Japanese Association was formed in 1935 to promote While the capital Bangkok may advocates the Free Trade Area of better relations between the two nations. Currently, it has 200 mem- have suffered from the politi- the Asia Pacific by 2020, wherein bers made up of local and Japanese companies and individuals. It cal standoff, in other parts of the ASEAN plays a very important organizes economic and social activities aimed at fostering closer country, it is business as usual. role. Japan has invested so much friendship between the two countries. www.thai-japanasso.or.th Thailand boasts among the in Thailand. And Thailand is like- world’s strongest electronics, au- ly to be Japan’s biggest investment The Technology Promotion Association, established in 1973 by tomotive, petroleum, agriculture recipient in Asia,” Komachi adds. Japanese alumni and Japan-trained Thai professionals, provides and tourism sectors and benefits With more than 1,300 Japanese various services ranging from management seminars and training from an abundant supply of rice, BANK OF THAILAND companies in Thailand that em- to lending expertise in producing academic journals on technology sugar, rubber, tungsten and tin. Bank of Thailand Gov. Tarisa ploy more than half a million local and quality. www.tpa.or.th Last year, the country emerged Watanagase workers, the country possesses the largely unscathed from the global percent), after China and the U.S. right conditions for increased in- Thai National Shippers’ Council, which celebrates its 15th an- financial downturn and generated “Japan and Thailand enjoy vestment from Japan. niversary this year, was set up to promote the Thai shipping indus- a gross domestic product (GDP) of one of the oldest relationships in “There is a huge concentration try and increase the efficiency and global competitiveness of the $538.6 billion thanks to its robust Asia. We have had 123 years of of Japanese businesses here and country’s ocean transportation industry. It also advises interested trade with all its Asian neighbors, good diplomatic relations and it the infrastructure is already well small- and medium-size Thai exporters on matters pertaining to including Japan, its top trading has been 600 years since the two paved for the Japanese. There are shipping costs and logistics. www.tnsc.com partner. countries first had contact. Thai- many opportunities for Japanese Thailand is the third-largest land can offer all the needs of the businessmen in this country,” the WER The Thai Bankers’ Association, set up in 1958, brings together exporter of goods to Japan (at 10 Japanese people: good food, qual- ambassador explains. Following the political turmoil that damaged parts of Bangkok, the government has shown a strong commitment the country’s top domestic banks and leads collaboration with the to rebuild the city and revive the tourism industry that generates millions of dollars in revenue. country’s economic agencies to promote the interests of the domestic banking industry. The TBA also facilitates information ex- Aside from tensions in the po- among them the fallout from the highest court suspended 65 large- change among member banks as a way to raise productivity and litical sphere, Thailand faced so-called Map Ta Phut Case. scale industrial projects in the competitiveness in the sector. www.tba.or.th other serious challenges this year, Last December, the country’s high-capacity port of Map Ta

CONTINUED ON PAGE B2 IRPC builds hope for ‘greener’ Thailand RPC, the only fully integrated re- The Phoenix project is focused on in- growth and expansion of investments fining and petrochemical complex vestments in 19 projects that will start and developing specialty- grade prod- Iin Thailand, has seen many changes operations between now and 2014 and ucts for added value. under the leadership of recently ap- is expected to enhance the economic “IRPC has a lot of land. With the pointed President Dr. Pailin Chuchot- value of the company and further in- government’s approval, we started an taworn. crease returns of investment. eco-industrial estate earlier this year As a leading producer of petrochem- This year, IRPC’s initiatives are fo- and we are developing another one in icals (specifically olefins, aromatics, cused on reaching operational excel- Rayong. We are looking for partners polymers, polyols and acetylene carbon lence, increasing production efficiency with expertise to help us maximize the black), IRPC’s activities also include and energy conservation, achieving op- development of this land,” Pailin says. services in petroleum, infrastructure, timum returns in production and sales As one of the largest petrochemical product refining, as well as in-port and and increasing inventory management companies in the country, IRPC was asset management. efficiency. not immune to the global financial “Our vision is to become the top- And from 2011 to 2014, the Phoenix crisis last year. But it successfully sur- quartile integrated petrochemical com- project will involve investing in utiliza- mounted the downturn by implement- plex in Asia by 2014. We have a five- tion and growth of existing businesses, ing a strategy that focused on custom- year plan called Phoenix wherein we developing deep-sea ports for commer- ers, cash, credit, cost reduction and revamped our company’s mission and cial use, increasing operating returns speed. corporate culture. Since I took over the for raw materials, finished goods and “In today’s high-tech world, speed is reins in January 2009, we’ve changed storage tanks and developing vacant very important. IRPC continues to be how we do business and we started no land to achieve the highest benefit and a forerunner in technology. Our clients less than 19 new initiatives,” Pailin ex- utilization. were able to trade over $6 million via plains. From 2015 onward, it will focus on CONTINUED ON PAGE B2

‘As a petrochemical company, IRPC remains focused on its green initiatives and environmental responsibility.... Our company was able

to reduce our carbon emissions by 400,000 tons last year.’ IRPC IRPC President Dr. Pailin Chuchottaworn

Daikin enjoys 20 years Kulthorn Kirby stays of success in Thailand ahead of the competition

stablished in 1990 as a production facility for room air condition- ncouraged by a government ers and later expanding to package air conditioners, Daikin Indus- program in 1977 to lessen Etries Thailand (DIT) has become one of the leading air condition- Edependence on imported ing manufacturers in the country over the last two decades by providing goods and develop a wide range of products that meet the homegrown industries, Thai busi- various needs of its cli- nessman Sumeth Simakulthorn ents. formed partnerships with Austra- “DIT has an extensive lia’s James N. Kirby and other ap- and diverse range of pliance manufacturers three years products developed with later that consequently made his our customers’ needs in company a leading producer of mind. Daikin’s technol- compressors. ogy can be found in a Since then, Kulthorn Kirby’s wide range of environ- founder and chairman has formed ments, from stores and other joint ventures that have offices to homes and brought world-class technology hotels,” says President to the country and made Thailand Satoru Kadoya. among the largest manufacturers “We have just manu- of compressors. factured our 10 mil- Among its partnerships is with lionth unit (both indoor Tecumseh, a leading U.S. manu- and outdoor units) here facturer of hermetic compressors in Thailand,” adds Ka- for refrigeration and air condition- KULTHORN KIRBY doya. ing products. Kulthorn Kirby Founder and Having reached those Its other joint ventures include Chairman Sumeth Simakulthorn major milestones, DIT Thai Compressor Manufacturing Industries, and Kulthorn Premier looks to the future with or THACOM (with Mitsubishi (with Premier Group), which pro-

WER a new set of objectives, Heavy Industries of Japan), which duces reciprocating compressors Daikin Industries Thailand President Satoru which include greener produces rotary compressors un- under license from Sanyo of Ja- Kadoya CONTINUED ON PAGE B2 der license from Mitsubishi Heavy CONTINUED ON PAGE B2

Researched and written by Melissa Tinitigan and Robert Kerwin in Bangkok. Produced by World Eye Reports. If you would like further information, including annual reports, from any of the companies featured in this business supplement, please send an e-mail message to [email protected] indicating your name, mailing address and speciﬁ c information requested. We will make sure that the companies concerned get your requests and comments.

PAGE:PAGE: 11 B2 THE JAPAN TIMES SATURDAY, JUNE 26, 2010 Special Economic Reports (1) 第３種郵便物認可

www.worldeyereports.com Thailand Thailand www.worldeyereports.com

Economy thrives amid political challenges CONTINUED FROM PAGE B1 Mektec finds the perfect partner Betagro exports a taste of Phut due to their failure to complete environ- tomed out in the first quarter of 2009 and Ricoh does it right mental and health impact assessments before recovery has been quite solid in 2010. Con- n its 15th year in the country, agrees. being permitted to operate. Among the biggest sumption and investments have increased. In Mektec Manufacturing Corp. “Japan treats Thailand like its n IT industry veteran, They enjoy this relationship be- hit were homegrown giants PTT and Siam Ce- January, we saw a 30 percent growth in exports Thailand Ltd. (MMCT) has a baby brother. We have similar cul- Ricoh Thailand President cause they have guests flying in ment, which own dozens of projects worth hun- and 33 percent in imports. Capacity utilization I lot to celebrate. tures and customs. Both countries Julian Fryett has run the from all over the world who want Thailand to Japanese market dreds of millions of dollars in the region. and consumer confidence was high. Leading A Despite the recent global reces- look out for each other,” Ishikawa company’s automation business to use their business centers at “Map Ta Phut is a pollution problem here indicators are pointing toward more invest- sion, MMCT has experienced un- says. in the country over the last 12 odd hours. If there is ever a prob- that the country needs to address. Japan is hap- ments in the future,” she adds. ith its fertile land, warm tropical climate, abundant labor and hampered growth in its business “Thailand develops products years and presided over its even- lem, our service engineers are on py to help in any way we can. Although Map Looking to the future, the central bank gov- central location, Thailand has sometimes been dubbed “the and became the best-performing that are up to par with Japan’s tual growth as the Japanese giant’s hand,” he explains. Ta Phut is an issue, this shouldn’t prevent us ernor is confident that the country will post Wkitchen of Asia.” subsidiary of parent company high quality standards and that’s second-largest sales company in Ricoh also offers a remote diag- from future collaborations. The political prob- healthy growth figures due to a range of mon- The country has long capitalized on these advantages to help build Nippon Mektron, Ltd., a leading helped us enter new markets. It the Asia-Pacific region. nostic system called @Remote – lem is a source of concern, but I believe Thai- etary and fiscal measures. a multibillion dollar agricultural and food industry that has remained manufacturer of flexible printed has been a very good investment “In 2009, when all the other an intelligent management system land is very capable of handling this issue,” “We cut interest rates by 250 basis points. largely unaffected by the recent global recession. circuits boards (FPC) in the world. for us,” he adds. companies were struggling, Ricoh that provides device management Komachi says. It went down to 1.25 percent, one of the low- “Thailand has long been a major supplier of many agricultural and “MMCT was able to prepare Having obtained a 47 percent continued to soar. We have a very solutions for automating service Meanwhile, the Thai economy has experi- est in the region. In terms of fiscal policy, we food products, such as rice, sugar, pork and poultry, to name but a few,” for the global financial crisis be- market share in hard disk drives large customer base comprising call procedures. This powerful tool enced growth, particularly in Japanese invest- introduced two stimulus packages. The first says Vanus Taepaisitphongse, CEO of local agricultural and food giant cause we recognized the signs in and 50 percent in automobile sen- 35,000 companies. Our business gives details and accurate informa- ment-heavy industries such as automotive and was mostly short-term measures to boost con- Betagro. 2007 when oil prices first started sors worldwide, MMCT and its model has been a very successful tion, such as toner supply levels, electronics. sumption, which worked quite well. The sec- This year, the Betagro Group allotted millions of dollars to strengthen to rise. We started reducing costs affiliated companies forecast 10 one. We go direct to the custom- thus ensuring that all devices are Electronics manufacturers such as Nikon and ond package is now being implemented. This its distribution channels across the country and secure production vol- very early and that helped us ride percent growth in its business this ers,” stresses Fryett, who has been always up and running. Toshiba have maintained their production fa- spans three years and focuses on long-term in- ume. Currently, Betagro exports to Japan frozen, cooked products made out the worst of it,” recalls Man- year. with Ricoh for 25 years. “We minimize the disruption cilities in the country. frastructure investment, which should help in- from premium poultry and pork. aging Director Sathid Jitjongruck, The ultra-thin construction, pre- By building document man- time of clients and we provide Referred to by some as the “Detroit of the crease productivity and the potential output of Each of Betagro’s product categories and specifications are reviewed WER who believes that the joint venture cision and flexibility of FPC have agement systems infrastructure seamless, personalized service and

East,” Thailand hosts several Japanese car the economy,” Tarisa explains. WER by Japanese partners to meet with consumer demand in Japan and com- Japanese Ambassador Kyoji Komachi succeeded also because Thais and made it a vital component in a tailored to the specific needs of solutions for them. Our engineers manufacturers such as Mitsubishi and Toyota, Thailand continues to provide attractive in- ply with the country’s food safety rules and regulations. Japanese complement each other. growing number of applications Mektec Manufacturing Corp. Thailand Managing Director Sathid an individual company and creat- create a training program for the which have their main production bases just higher growth of development each day,” says vestment opportunities in both the traditional Although its state-of-the-art facilities have passed the standards laid “Both nationalities are very in the products of several valuable Jitjongruck (left) with Nippon Mektron Senior Operating Ofﬁ cer ing seamless work environments, clients to make it as easy for them outside Bangkok and in the eastern seaboard Komachi. fields and new areas, especially among the down by Japan’s Ministry of Agriculture, Forestry and Fisheries, Beta- kind and polite. We trust each customers. Masaaki Ishikawa Ricoh achieved success in a fast- as possible,” Fryett says. of Rayong. For Bank of Thailand Gov. Tarisa Watana- Japanese. gro nevertheless established its own in-house quality management sys- other and that’s very important for Aside from digital still and vid- sponsors up to 20 foundations. on because we understand each changing field of office automa- “In Ricoh (Thailand), we have Thailand continues to be a favorite tourist gase, Thailand and other Asian economies have “Nanotechnology, solar energy and pharma- tem – Betagro Quality Management (BQM) – to ensure quality and food our business. And we didn’t have eo cameras, FPC are also found in “MMCT is very thankful to its other and help each other during tion and further consolidated its one simple rule: keep the custom- destination with the most popular destinations become more important to the growth of the ceuticals are areas that Thailand and Japan can safety standards are maintained at all times. to lay off anyone in the company mobile phones. partners for the trust and opportu- both good times and tough times. reputation as an industry pioneer. ers happy. Ricoh is one of the top being Bangkok, Phuket, Koh Samui and Chang world economy, especially in the aftermath of improve on. Both countries can also find ways Also, Betagro has been singled out for being the first food company in because at MMCT we treat our For MMCT, the investment nity to service them. We believe We want to work with our valu- “I spent my first three years on global 100 most sustainable com- Mai. the 2008 global economic downturn. to collaborate and care for their aging popula- Thailand to implement an electronic tracing system for all its products. employees like they are family,” does not stop at the factory as the in investing in long-term partner- able customers for the success the field in Thailand. I’ve been in panies and we make our workplace And a growing number of tourists, particu- “In 2008, Asia’s share of global trade was tions since more than 20 percent of both coun- A family-owned business that began in 1967, Betagro has never boasts Sathid. company also provides scholar- ships with our valuable custom- and prosperity of both parties,” he front of my customers. I listen to a great place to be. Happy people larly the Japanese, come to the country to avail 14 percent, which is considerably high. A close tries will be over 60 years old during the next put top priority on becoming the largest player in the industry, instead Nippon Mektron Senior Oper- ships for engineering students at ers,” Sathid says. adds.  what they want and do it right to are productive people. Ricoh cre- of its world-class medical care from Thai hos- production network in Asia has resulted in few years,” says Thai Foreign Minister Kasit choosing to focus on its business relationships. ating Officer Masaaki Ishikawa Chulalongkorn University and “Our partnerships will carry www.mektec.co.th satisfy them,” Fryett says. ates an atmosphere that is fun for “Integrity and fairness for each and every stakeholder — namely pitals. technology transfer and investment as well as Piromya. BETAGRO “Our engineers are available its workers and in turn we see very “The Thai economy recovered much quicker in greater intraregional trade, which accounts “We want Japanese businesses to continue shareholders, suppliers, customers, employees and the public at large — 24/7 for premium customers. We positive results,” he says. Betagro Group CEO Vanus Taepaisitphongse than the world anticipated. With the diffusion for 40 percent of our total trade. Thailand has investments here in Thailand. Japan will re- has always been, and always will be, the very foundation of our business created a graveyard shift so that The Ricoh (Thailand) chief also of political turmoil, we can expect more robust benefited from this trend. ASEAN is going to main a pillar of Thai socioeconomic develop- and practices,” says Vanus. we can cater to our customers any predicts robust growth and in- economic growth in Thailand than we did the be closely integrated by 2015 so the Chiang ment. We are very good partners and allies. We Ten years ago, Betagro established a foundation to support the educa- time, any day. Some of our main creased profits for 2010.  RICOH tion of students in remote areas across the nation, and more recently, the previous year. There are many new frontiers Mai Initiative needs to be strengthened and have commonalities in terms of the outlook and Aisin AI looks toward new horizons clients are in the hotel business. www.ricoh.co.th Ricoh Thailand President Julian Fryett firm launched a community development pilot project in an area adja- and horizons opening up for Thai-Japanese fostered,” she says. behavior. We can continue to do many great relations because Thailand is leveling up to a “The downturn in the Thai economy bot- things together,” Kasit adds. cent to its main production base in Lop Buri Province. ight years since starting op- ups and downs due to the global Working in cooperation with the Population Development Association, erations in Thailand, Japan- economic crisis. Last year was a ‘We minimize the disruption time of clients and we provide seamless, personalized a renowned nongovernmental organization in Thailand, the pilot project Ebased Aisin AI has become difficult year for everyone, espe- aims to develop the management capabilities of farmers of core agricul- ‘The Thai economy recovered much quicker than the world anticipated. With the a leading producer of manual cially the automotive industry. tural products so they can achieve sustainable and improved incomes. transmissions for pickup trucks in Car sales were down. However, service and solutions for them. Our engineers create a training program for the clients “Betagro Group has always been proud and deeply honored to be busi- diffusion of political turmoil, we can expect more robust economic growth in Thailand the country, thanks to a partner- we expect a 50 percent increase in ness partners with various prominent Japanese firms, and we would like ship with the world’s largest auto- revenue this year. With our new to make it as easy for them as possible.’ to express our heartfelt gratitude to all of them for their valuable contri- than we did the previous year. There are many new frontiers and horizons opening up maker, Toyota, and Mitsubishi. factory just outside Bangkok, we butions and sincerity,” says Vanus. Aisin AI set up its first overseas will be able to increase production “Since partnership has been one of the key factors in Betagro’s suc- for Thai-Japanese relations because (it) is leveling up to a higher growth of development manufacturing site in Thailand in and ramp up sales to recover from cess, our strategy is to search for trusted companions to mutually under- 2002 and the new investment loca- 2009,” says Okada. take and expand businesses together, not only in Japan but across Asia, tion has worked well for the parent Also, new partnerships, such

BETAGRO each day.’ especially in ASEAN countries,” he adds.  company. as one with agricultural machin- IHI achieves turbo-charged success www.betagro.com Betagro Group boasts state-of-the-art, world-class facilities. The parent company’s first ery giant Kubota, helped Aisin AI overseas manufacturing operation, Thailand recover from the finan- Aisin AI Thailand is the main pro- cial crisis as it started producing fter eight years of opera- ents include Toyota, Isuzu, Mit- ducer of the five-speed manual transmission parts for Kubota trac- tions in Thailand, Japa- subishi, Nissan, and AutoAlliance transmission system in Toyota’s tors earlier last year. Anese-owned IHI Turbo (Thailand) – a joint venture be- Daikin enjoys 20 years of success in compact pickup truck Hi-Lux “We’re looking at an exciting Thailand has become the first tween Mazda and Ford. Vigo and Mitsubishi’s Triton, road ahead. Toyota has decided company in the country to pro- It also recently added a new which remain very popular models to localize the Hi-Lux Vigo from WER duce turbochargers, which are program for other non-Japanese Thailand CONTINUED FROM PAGE B1 Aisin AI Thailand President Hiroyuki Okada Traveling across the Land in the Thai market. Japan to Thailand and Aisin AI used mainly for the diesel engines car manufacturers and is seeking “The Hi-Lux is recognized for has been awarded the job. We are expanding our customer base. We over Aisin AI in Thailand, we of pickup trucks. to build relationships with them. air conditioning units. We intend to expand there, too,” Daikin Industries Ltd. (DIL), the its stylish design, good value for launching the new transfer units produce very specialized, high- aimed to be No. 1 in ASEAN. I The parent company seized the “We’ve expanded over the years DIT also has been developing he says. parent company of DIT, is ready money and, of course, its high- for Toyota next year,” Okada says. quality parts that make the most believe we are already very close opportunity to invest in Thailand, to continuously meet the demands machines using alternative refrig- “As a company, we here at DIT to take the lead for DIL to become quality transmission system,” says Meanwhile, Aisin AI is looking sense for long-term partnerships to achieving that target. So, we Southeast Asia’s largest vehicle of our clients for turbochargers in erants that do not harm the ozone have achieved 20 years of experi- the No. 1 air conditioning manu- President Hiroyuki Okada, who for opportunities and partnerships with other businesses. Many of are aiming for the next step: We producer and one of the world’s Thailand. Now, our next agenda is layer, as well as recycling and ence and knowhow, enough for its facturer in the world,” he says.  drives a Hi-Lux Vigo himself at to make manual transmissions for our customers have told us that we will be No. 1 in the world. I have largest pickup truck markets, to be to expand further and become the reusing all waste materials gener- foundation to have been set. Now, www.daikinthai.com times. the eco-car, which Okada believes produce the best manual transmis- no doubt we will be No. 1 in the closer to its major Japanese cus- parts supplier to our other facto- ated in the factory in line with the “Since I took over operations at to be the future of automobiles. sions available,” Okada says. world. That is my wish,” he adds.  tomers and benefit from the huge ries all over the world,” says IHI company’s zero emissions policy. the end of 2007, there have been “Aisin AI is looking forward to “Three years ago, when I took www.aisin-ai.co.jp presence of Japanese companies. Turbo Thailand President Kazuhi- Aside from environmental IHI Turbo Thailand’s key cli- ro Onitsuka. of Smiles awareness, DIT also aims to become a valuable corporate citizen. hailand has been widely structure have made it a gateway “We want to provide a level of ‘Aisin AI is looking forward to expanding our customer base. Many of our customers known for the warmth and for trade to neighboring Laos and quality that will satisfy all of our Thospitality of its people Cambodia. customers. At the same time, we have told us that we produce the best manual transmissions available.’ and beautiful natural scenery that “Thai imports and exports are want our factory to also be consid- make it one the world’s most pop- growing due to its central geo- ered a good neighbor by the peo- IHI TURBO ular tourist destinations. graphical location in the Indochina ple in Thailand.” IHI Turbo Thailand President Kazuhiro Onitsuka Tourists from around the globe region,” points out Takao Furu- With its strong position in the Only a few years ago, IHI Tur- over the past seven years and the travel to the country year-round kawa, president of Mitsui O.S.K ASEAN and Australian markets, Producing more changes Mitsubishi breezes through bo Thailand bought parts from its level of quality of our products as it offers varied holiday options, Lines in Thailand. the Japan-based company has fo- parent company in Japan. Today, has been satisfying our custom- whether one seeks exotic urban “Thailand has all the capabili- cused on consolidating its position the company manufactures those ers. I would like for our customers CONTINUED FROM PAGE B4 life, a leisurely weekend on the ties to expand because of its good in other nearby markets. for the better CONTINUED FROM PAGE B4 Asia parts locally as it capitalizes on to continue to be pleased to work beach or a peaceful retreat in the infrastructure and cost-efficiency,” “ASEAN and Australia are very cost-effective production of quali- with us, but I would also really mountains. Furukawa adds. important markets, but India is DAIKIN companies but exports 60 percent of its output to Europe, the U.S., and exports its products to 84 countries, with demand increasing fastest in ty components and builds relation- like for our employees to be proud “Thailand has everything: For die-hard shoppers, Bangkok also very important as our market. Daikin Industries Thailand’s headquarters in Chonburi neighboring ASEAN countries. Vietnam, Australia and the Middle East. ships with other IHI subsidiaries to be working for IHI,” says Oni- beaches, jungles, countryside, boasts top-notch shopping centers, META, the second-largest auto parts producer of the Mitsubishi Elec- MCP recently launched its inverter-type air conditioner, a highly en- around the world. tsuka. temples, shopping and food. They such as Siam Paragon and Empo- tric Group, has enjoyed robust business because of its close partnerships ergy-efficient unit that comes with a computerized remote control and a Yearly production capacity has Looking to the future, IHI Tur- are all provided by the wonder- rium Mall, as well as the sprawl- with Mitsubishi Motors Thailand, Auto Alliance Thailand (a joint ven- high-tech sensor that automatically adjusts room temperature to a preset since tripled from just 400,000 bo Thailand hopes to be supplying ful, gracious Thai people at great ing bargain center MBK. IRPC builds hope for ‘greener’ Thailand CONTINUED FROM PAGE B1 ture of Ford and Mazda), Honda, Nissan and Isuzu. comfort level. units to 1.2 million units. some of the key components for value,” says Peter Henley, CEO of For the more adventurous, there “I’m proud that we have been able to utilize our resources efficiently “META’s sales increased in September 2009 because of incentives IHI TURBO “We have been manufacturing smaller-size gasoline engines.  Thailand-based Amari Hotels. are the floating markets and the the iPhone. Everything is computerized and we work since I took over the Thailand office last year. We’re very excited about in Europe, the U.S. and Japan to buy new cars and replace their parts. IHI Turbo’s factory in Chonburi, just outside Bangkok a huge volume of components for www.ihi.co.jp Many travelers start their holi- Chatuchak Weekend Market. with banks so we are fully integrated electronically. The economic crisis produced a very bad start for 2009 but we ended our two new models coming out in Thailand this summer: the ceiling- days in the capital Bangkok, which The Bangkok lifestyle offers a We’re one of the first in Thailand to implement this suspended model and the variable floor model. We think it will be very

WER the year very well. Entering the global crisis, our customers were cutting is determined to restore the city’s laid-back vibe both day and night. system,” Pailin boasts. popular for commercial businesses,” says Ito. Wat Arun in the Thai capital Bangkok costs but there was an increase in orders toward the end of it. Addition- attraction following the recent po- The relaxed atmosphere makes it a “As a petrochemical company, IRPC remains fo- ally, the launch of our new car audio products also helped us recover in “We’ve seen huge success in Vietnam, but we also recognize the litical troubles. safe place for foreigners, whether of golf or watch an exciting match for its cuisine, with the most pop- on the island of Koh Phi Phi, cused on its green initiatives and environmental re- 2010,” says President Mitsuru Koiwa. strong potential for growth in the Thai market. Only 20 percent of the Bangkok’s central location in they want to sample a soothing of Muay Thai kickboxing. ular meals consisting of pad Thai, which was the inspiration of the sponsibility. We were only 30 km away from the re- In Thailand, META has secured a market share of 30 percent for al- country utilizes air conditioning, so there’s a huge market for MCP to the region and developed infra- Thai-style massage, play a round Thailand is especially famous curries, mango with sticky rice, cult novel The Beach. cent Map Ta Phut crisis area but I want to stress that ternators, 20 percent for starter motors and 45 percent for EGR (exhaust grow in the coming years,” he adds. accompanied by ice-cold local Aside from sunbathing and IRPC did not contribute to that area in any way. We gas recirculation) valves for diesel automobiles. Aiming to become the third-largest air conditioner manufacturer in the Singha beer. lounging on the beach, many tour- want to make it clear that our company was not in- “These three products (alternator, starter and EGR valve) are key world after Carrier and Daikin, MCP has invested a lot in product devel- While most tourists head to ists go to the islands for water volved in the Map Ta Phut incident and we were not components of an automobile. Therefore, I believe our company is very opment and quality control. backpacker haven Khao San Road sports, such as diving, kayaking part of that problem,” stresses Pailin. important to the present Thai industry. We can contribute to the develop- “Mitsubishi is known for our high-quality products. We invest a lot in and to Chinatown to sample bud- and snorkeling. “We launched many new products this year and ment of the future,” he says. R&D and each product’s materials. Our machines are slightly more ex- get-friendly meals and street food, For partygoers, the monthly we’re very excited about a specific one called Green IRPC “META has five competitive advantages: good service, high quality, pensive, but they are all made with the highest standards in mind. When the city also features several res- full moon parties on Koh Phangan ABS. This styrenic material is a replacement for nat- IRPC has led a mangrove reforestation near its competitive price, prompt delivery and environmentally friendly tech- a customer buys a Mitsubishi product, they are certain to notice the good estate. taurants for a more upscale and have proven a strong lure. ural rubber and IRPC believes this to be the future. nology. We will keep and promote our good relations with our custom- quality that they are paying for,” explains Ito. comfortable dining experience. Centara Hotels and Resorts, Additionally, our company was able to reduce our the best we can to address them. Through the efforts ers and we look forward to their production strategies,” he adds. Aside from contributing to better Thai-Japanese relations, MCP’s ac- The most acclaimed restaurants Amari Hotels and the Manda- carbon emissions by 400,000 tons last year,” he adds. and initiatives of IRPC, we will be building a greener Since taking over the helm just a year ago, the company chief has en- tivities in Thailand have improved the technological knowhow in the in Bangkok include The Blue Ele- rin Oriental are among the most “We want our friends in Japan to know that we rec- Thailand,” he says.  joyed doing business in the country. country as Mitsubishi sends Thai engineers for training in Japan.  phant for authentic Thai cuisine as popular hotel chains in the coun- ognize the problems here in Thailand and we’re doing www.irpc.co.th “Thailand is very open to the Japanese, so it’s been an easy transition www.mitsubishi-mcp.co.th well as Le Normandie at the Man- try because of their reputation for for me to move here from Japan. At Mitsubishi Electric, we are always darin Oriental Hotel and D’Sens in luxurious amenities and reason- trying to better the relationship between Japan and the local market. We the Dusit Thani Hotel. able rates. send our Thai employees to Japan to get trained,” he says. CONTINUED FROM PAGE B1 For photographers, amateur and With its cooler weather, breath- Kulthorn Kirby stays ahead of the competition “I hope that our customers around the world decide to make Thailand professional, the city is not short taking mountain landscapes and their production hub, increasing our business as well,” he adds.  of breathtaking sights to capture. vast green fields, the province of pan. duces several million compressor is aimed at attracting additional in- www.meta.co.th A day in Bangkok should in- Chang Mai in northern Thailand Kulthorn Kirby’s alliances and units per year, helping Thailand vestment and making the industry clude a boat ride down the Chao provides a refreshing respite from its focus on quality strengthen its become one of the largest com- more competitive globally. Phraya River, a tour of the royal the bustling city and busy beaches. reputation and attract an impres- pressor producers all over the While Kulthorn Kirby wel- grounds at the Grand Palace, a vis- Closer to Bangkok lies the an- sive roster of clients that include world,” stresses Sumeth. comes other international partner- ‘Thailand is very open to the Japanese, so it to the giant reclining Buddha in cient ruins of Ayutthaya, the an- Japanese giants Mitsubishi, Sanyo, Staying on top of global trends, ships and plans to expand to new Wat Pho and a stop at the majestic cient capital of Thailand until an Toshiba and Fujitsu General. the Thai air conditioning industry markets such as Russia, Central it’s been an easy transition for me to move temple of Wat Arun. invading army plundered the city “Although production capacity is working on adapting energy- Europe and the Middle East, Su- For millions of tourists, the in 1767. was at 430,000 units, the company saving technology through the use meth remains grateful to his Japa- here from Japan. At Mitsubishi Electric, we main reason to visit Thailand is “Thailand is an exciting coun- started producing only less than of environmentally friendly refrig- nese partners and looks forward to for the famous white sand beaches try. If you write ‘Thailand’ in 200,000 per year. Today, Thai- erants. closer collaboration. are always trying to better the relationship and pristine blue-green waters in Japanese, it translates as ‘Land land is one of the most important To spur this effort, the govern- “We would like to continue the resort islands of Phuket, Krabi of 10,000 nations.’ There is un- manufacturing bases that exports ment has imposed an excise tax working with them and hope they and Koh Samui. limited possibility,” says Yasuo air conditioning and refrigeration exemption on household air con- continue to contribute more to the between Japan and the local market.’ WER Arguably the most famous of Ashizawa, president of Toshiba products and components world- ditioners that generate less than local society,” he says.  Maya Bay on world-famous Koh Phi Phi these beaches must be Maya Bay Semiconductors in Thailand.  wide. Also, Kulthorn Kirby pro- 72,000 Btu per hour. The measure www.kulthorn.com

PAGE: 2 第３種郵便物認可 (1) SpecialSpecial EconomicEconomic ReportsReports THETHE JAPANJAPAN TIMESTIMES SATURDAY, JUNE 26, 2010 BB33 www.worldeyereports.com Thailand Thailand www.worldeyereports.com

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www.worldeyereports.com Thailand Boonrawd masters the beer Producing more Mitsubishi breezes changes for the through Asia and beverage business itsubishi Electric Consumer Products Thailand (MCP) has seen demand for its air-conditioning products grow so fast locally better Mand internationally that the company’s factories have been run- s one of the oldest alcoholic beverag- ship, Boonrawd Brewery also produces other ning day and night. es in the world, beer possesses a very beer brands such as Leo and Thai Beer, as ased in Rayong Province, Mitsubishi Electric Thai Auto-Parts “With summer coming up, there has been a rise in demand for our air Arich history, particularly in Western well as Singha soda water, Singha drinking (META) has had an exciting year following the recent launch of conditioners. Asia has seen a strong economic boost in electronics, au- Europe, where German monasteries were water and B-Ing energy drinks. Bthe eco-car project in Thailand, whose instant popularity boosted tomotive and home appliances,” says MCP President Kenji Ito, who has brewing and selling beer as far back as the “We continue to look for opportunities to the demand for Mitsubishi-made alternators that are found in the coun- been with Mitsubishi for 30 years. seventh century. grow in our non-alcoholic beverage business, try’s first-ever “green” car. “The beginning of 2009 was a very quiet year. We had no overtime It was that illustrious tradition that prompt- but we are also keen on seeking joint ven- Producing car alternators, starter motors and car audio equipment in and had low production. However, the beginning of September produced ed Thai-born Boonrawd Sreshthaputra to tures with companies from Japan in other ar- the country since 1997, META boasts 10 partnerships with Thai car a dramatic change. The excise tax in Thailand dropped from 15 percent learn the art of beer in Germany and Den- eas outside the beverage and consumer prod- to zero, which was good for our business. The hot weather has also been mark in the late 1920s and fulfill a dream of ucts businesses,” says Santi. CONTINUED ON PAGE B3 an advantage for us with presales showing an increase in warm-weather founding his own brewery back home. In the past several years, Boonrawd has countries such as Spain, Vietnam and India. Our factories are now in full In 1933, Boonrawd Brewery rolled out worked with Japanese companies in various production capacity,” Ito adds. the country’s first local brew – Singha beer. fields. Having 17 complementary companies As Mitsubishi’s largest production facility for air conditioners, MCP Among beer lovers and aficionados, the and seven factories, the company is able to brand has become synonymous with top- operate efficiently and form new partner- CONTINUED ON PAGE B3 quality Thai beer and even the country itself. ships. Over the past 75 years, Boonrawd Brewery “We’ve enjoyed working with the Japanese has grown into a diversified beverage con- and cooperating with them. There has always glomerate that has captured numerous awards been a sense of trust between us,” says Santi. from some of the world’s most distinguished “As we aspire to diversify further, we are beer capitals, including Brussels and Osaka. hoping to learn more from them and solve “We have quite a strong hold locally in problems together. There are a lot of oppor- Thailand. Yet, we are still able to manage tunities for us to work together,” he contin- some growth in the country considering our ues. market share is over 60 percent, which is Backed by its respected reputation, Boon- BOONRAWD almost the maximum a company can reach rawd continues to rewrite its history as it em- Boonrawd President Santi Bhirom Bhakdi and (below) the company’s new greenfield in our industry,” says Santi Bhirom Bhakdi, barks on further diversification and consoli- flagship brewery, located about 60 km president and third-generation descendant of dates its market leadership and relations with northwest of Bangkok with an initial pro- Boonrawd’s founder. partners in Asia.  duction capacity of 280 million liters per Apart from Singha beer’s market leader- www.boonrawd.co.th year. WER META Mitsubishi Electric Thai Auto-Parts President Mitsuru Koiwa Mitsubishi Electric Consumer Products Thailand President Kenji Ito

Hino paves the way for natural gas vehicles BOONRAWD HINO

Hino Motor Sales Thailand HINO President Takeo Saito The team of Hino Motor Sales Thailand headed by Takeo Saito (front center)

ince Hino Motors Sales being able to save on fuel costs. customers, provide high technol- has been exporting more of these Thailand introduced its Although the NGV truck is more ogy and offer very reliable ser- products to other countries such Snatural gas vehicles to the expensive than a diesel one, the vice,” Saito says. as India. country last April, the Toyota- return on investment is evident “Trucks are used for every “Thailand’s central location affiliated company has received in just one year,” says President industry in the country. Trucks in ASEAN makes it a desirable more orders for these environ- Takeo Saito. work every day on rough roads location to manufacture products mentally friendly and cost-saving “Since we introduced the NGV and in heavy weather, so it’s and do business. Most Japanese trucks being promoted by the trucks, we’ve seen exciting and easier for them to be damaged companies believe Thailand is government. promising results. Hino has an than passenger cars. As such, du- a very competitive base. Asia While diesel trucks still domi- 80 percent market share for the rability and after-service is very will no doubt take the lead in the nate in Thailand, Hino’s orders NGV trucks. There are 600,000 important. Hino products are of global economy. Japan leads in for these new NGV trucks have units in the automotive indus- the highest quality with durable environmentally friendly technol- grown by nearly 50 percent, a try, of which commercial trucks power,” he continues. ogy and it will keep transferring promising sign of their growth make up 20,000. Hino has over a Living up to its slogan “Q.D.R. technology to Thailand,” he says. prospects in the ASEAN market. 40 percent market share for com- (Quality, Durability and Reliabil- “Thailand will produce more “The NGV is the future. Thai- mercial trucks,” Saito adds. ity),” Hino’s products in 2010 competitive and attractive units land produces natural gas from As always, Hino has empha- now include various safety fea- for global exports. At Hino, the gulf of Thailand and we can sized product reliability and af- tures, such as a more advanced we’ve increased the exchange of easily import natural gas from ter-sales service. brake system. human resources between Japan our neighboring countries. Die- “Hino’s corporate goal is to be While Hino Motors Sales only and Thailand. Both countries can sel and petroleum is not as eas- the most trusted and most reli- distributes trucks in Thailand, work together and be in a win- ily accessible. One of the biggest able brand in Thailand. I want to another subsidiary, Hino Mo- win relationship,” he adds.  advantages of the NGV trucks is maintain good relations with our tors Manufacturing Thailand, www.hinothailand.com

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