| July 1,1998 |
Mazda Motor Corporation Ford Motor Company |
AUTOALLIANCE (THAILAND) BEGINS PRODUCTION FOR ASIA-PACIFIC AND EUROPEAN MARKETS
PLUAKDAENG, Rayong Province, Thailand, July 1,1998-Autoalliance (Thailand) Co., Ltd.("AAT"), the new joint Ford and Mazda vehicle manufacturing operation, celebrated its official production launch at a plant dedication ceremony today, as pickup trucks designed specifically to Ford and Mazda quality and performance standards began rolling off the final assembly line.
AAT will produce the Mazda Fighter/B-series and Ford Ranger compact pickups for sale in Thailand and for export to Asia-Pacific and other markets outside of North America.
"Mazda and Ford are fulfilling a commitment made four years ago when we set out to establish a world class manufacturing facility, operated by a Thai workforce, to built products which exceed the expectations of the Thai consumer," said Wayne Booker, Ford vice chairman and chairman of the board, AAT. "Today, not only is this vision realized, but with the launch of the Ford Ranger and Mazda Fighter/B-Series pickup trucks, AutoAlliance Thailand earns the right to be called an important player in the Thai auto industry.
"We view the present economic situation in Thailand to be short-term, and we expect to see some gradual recovery in the industry over the next two to three years. Going forward, we intend to use AAT to increase our presence in the Thai auto markets, as well as to prove to the rest of the world that Thai-built pickups are world class in every aspect," Booker said.
Gary Hexter, representative director, senior managing director and chief financial officer, Mazda Motor Corporation said, " Investment in Thailand is important to our two companies' long term goal of becoming major participants in this market. Today's production start-up is further evidence of our lasting commitment to Thailand and Thai consumers."
AutoAlliance Thailand currently employs about 1,200 workers. When it reaches full manufacturing levels, AAT will support two daily production shifts, and it will be capable of producing 135,000 vehicles annually-100,000 fully assembled and 35,000 in CKD("completely knocked down") component sets.
"All of us at AAT are focused singularly on our mission, and that is to built worldclass quality products for our customers everywhere, while at the same time developing our employees and making a positive contribution to our community and to Thailand," said Toshihide Saeki, president, AutoAlliance (Thailand) Co., Ltd.
With Prime Minister Chuan Leekpai looking on, Ford and Mazda expressed their appreciation of the Thai government's cooperation during the development and implementation of the AAT project.
"Without the tremendous involvement and dedication of Thailand 's government, we probably would not be here today to cerebrate the success of AuotoAlliance Thailand," said Booker.
More than 30 new supplier facilities have been built in and around the Rayong Province area, in support of AAT's pickup production. In fact, more than one-half of the companies selected by AAT as production suppliers-80 out of 150-are located in Thailand. Both the Mazda Fighter/ B-Series and the Ford Ranger launched with an initial local content of more than 70 percent.
Ford Motor Company and Mazda Motor Corporation are the major partners in AAT, each owing 45 percent. Two Thai partners, Sukosol and Mazda Company Limited and KPN Group Corporation, each own five percent.
AutoAlliance Thailand is located on the Eastern Seaboard Industrial Estate in Thailand's Rayong Province. In addition to sales in Thailand, products manufactured at AAT will be exported to Europe, Australia, South America and several parts of Asia.
