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automotive industry is the expansion of international markets due to free trade agreements by ASEAN. Such as Thailand-EU free trade agreement which could increase competitiveness in automotive sectors. In addition, it is opportunity for Thai automotive industry to learn technologies from European.

The second opportunity of Thai automotive Industry is shifting of production base by major vehicles assembles suck as Toyota and Honda. Honda has just introduced its new product called Brio which is second eco-car in Thailand after Nissan, March. Honda, Japan announced that shifting of production base to Thailand is possible due to cheaper production cost and Honda believes that technological level in Thailand is sufficient to produce the vehicles.

Chapter 7.4: Threat of Thai Automotive Industry.

The first threat of Thai automotive industry is the emerging of competitors in Asia such as India and China. China has very low production cost and this could make China become one of the most important productions base for foreign assemblers. Also India has an advantage in human resource and this could give foreign assemblers more option to choose for their production base.

The second threat of Thai automotive industry is the emerging of grey automotive market. Grey market in this place means the business owner import vehicles from overseas and sell it cheaper than official dealer. Most of vehicles sold in this market are mostly European brand and some Japanese brand. This will reduce domestic sales

The final threat of Thai automotive industry is the expansion of public transportation especially BTS (Bangkok Mass Transit System Company Limited) which has extended 7 more BTS stations in Skhumvit line.

Thai automotive industry has more strength and opportunity than weakness and threat that the industry faced. Support of strength and opportunity for Thai automotive industry will definitely make industry stronger, knowing weakness and threat is important. Improvement of weakness and threat will make industry attractive to foreign investors.

Chapter 8: Future of Thai Automotive Industry

The future of Thai automotive industry in my opinion will be expansion of international markets by free trade agreement sign by ASEAN. Example of free trade agreement would be Thailand-EU free trade agreement. The reason that I choose this free trade agreement is that EU is similar to ASEAN where many nations are joined and EU is developed country. Thailand-EU free trade agreements should have significant impact to Thai automotive industry.

What are the benefits that Thai automotive industry could receive by signing Thailand-EU free trade agreements? Expected benefits from this free trade agreement are similar to what Thailand benefit from AJCEP and JTEPA. Since both Japan and EU are developed countries. As we saw from international market sections, free trade agreements from Japan such as JTEPA and AJCEP does not increase the value of export directly and immediately unlike AFTA. When Thailand signed AFTA we noticed fast growth in both ASEAN-5 and CLMV market. Since these countries need vehicles and AFTA allowed them to import vehicles from Thailand without Tariff rate. However, in JTEPA or AJCEP we didn’t see the change in value of export by Thailand to Japan. But these free trade agreements benefits in lowering production本论文由英语论文网提供整理，提供论文代写，英语论文代写，代写论文，代写英语论文，代写留学生论文，代写英文论文，留学生论文代写相关核心关键词搜索。