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Nissan launches first Thai-promoted 'eco-car'
Nissan Motor launched its much-awaited, low-cost compact car on Friday, aiming to become a major force in the fast-growing segment with a global sales target of one million units a year by 2013.
Production of the March model would nearly double Nissan's Thai car output to 200,000 units a year.
The Micra/March is the Japanese car maker's most important model in years, the culmination of extensive experimenting with new materials and component designs for production in low-cost countries, Chief Executive Carlos Ghosn said at its unveiling at the Geneva car show in early March.
Nissan is the first of six global car makers to obtain generous Thai government incentives to produce small vehicles under the country's "eco-car projects".
Other companies licensed to compete with Nissan in the same segment are Toyota Motor, Mitsubishi Motors, Honda Motor, Suzuki Motor and India's Tata Motors Ltd.
According to the state-run Board of Investment, "eco-cars" are passenger cars that must meet safety, low fuel consumption and "EURO 4" emission standards.
The BOI offers these companies corporate tax exemption for at least five years provided their production reaches 100,000 a year within the first five years of operation.
It said last year the licensed car manufacturers would enjoy cuts of up to 90 percent in import tariffs for foreign car parts and material used for producing the vehicles.
The parts entitled to low tariffs must not yet be produced by local producers, it said.
