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Published on July 25, 2007

Mitsubishi Motors Thailand, the country's second-largest auto-exporter, has a new president.

Michiro Imai, who was previously corporate general manager for Asian and Asean operations at Mitsubishi Motors Japan, has taken over, with the task of pulling Mitsubishi Thailand out of its current problems.

With the company's Triton pickup falling short of expected sales last year, the strength of the baht has now loomed as a strategic problem.

Speaking on the occasion of Imai's appointment, the president of Mitsubishi Motors Corp, Osamu Masuko, said the Thai operation was currently one of Mitsubishi's most important export hubs. It exports the Lancer sedan and Triton pickup to more than 140 countries. This year's export target is 150,000 units, although the figure is likely to increase, he said.

However, the strengthening baht is forcing the company to consider other options.

Although Masuko was not specific on whether the company was seriously considering moving its production hub, he hinted that if the situation in Thailand failed to improve the company would look at alternatives.

The new president of Mitsubishi Motors Thailand faces a domestic market where the company sold only 26,000 pickups last year, compared with 43,700 in 2005. The main reasons for the sales drop are strong competition from other Japanese makes and a product that fails to suit the tastes of Thai pickup-buyers. The overall market also shrank last year because of political and economic problems.

Shedding a favourable light on the past three years, Masuko said Imai's predecessor, Hisoyashi Kumai, was regarded as a key person in the company's achievements in Thailand, including the launch of the Space Wagon and the Triton.

"In terms of the export business, production capacity increased from 180,000 to 200,000 units per year. Exports rose from 85,000 units in 2003 to 140,000 units in 2006. In 2007 Mitsubishi Thailand also achieved a total of one million vehicles exported," Masuko said.

With Imai's experience in the Asean region the company hopes to boost its sales by listening more to the needs of customers and concentrating on providing a better service.

Masuko said he was unhappy with current sales of the Triton and changes needed to be made to cope with the market.

"Our main problem in Thailand has been our inability to launch the right products at the right time. We are working on how to reach out to customers better. We will focus on after-sales service and increase training for our staff. Dealers will be given more incentives to launch more campaigns. By improving after-sales service we can gain customer trust," he said.

As for new products, Mitsubishi will launch its Triton-based pickup passenger vehicle by the second half of 2008. Like its predecessors, it will be called the G-Wagon. The company is also considering taking part in the government's eco-car project. Along with other carmakers it has written to the Board of Investment expressing interest. "The eco-car is something that we are watching closely and are very interested in, but it all depends on what the government decides. If it settles on plans that are in accordance with ours, then we will consider it," Masuko said.

Vijo Varghese

The Nation

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