AAPICO near full capacity

Auto-parts manufacturer Aapico Hitech plans to return to full capacity before the end of this month in preparation for the launch of new eco-cars and the resumption of production by automotive companies that were hit by the floods, said its chief executive officer, Swee Chuan Yeap.

The plant at Hitech Industrial Park in Ayutthaya province has been able to resume 60 per cent of its production capacity and could be up to full speed by February 25 or 26. This would mean its sales revenue in the current first quarter of the year will rebound as well.

He said the company would benefit from new model launches by many automobile manufacturers, especially production of eco-cars by such companies as Nissan and Honda, which was suspended during the flooding late last year. The production halts had an impact on auto supply chains including Aapico Hitech.

However, many auto producers have informed suppliers that they will be able to resume full production by April. Moreover, new pickup-truck models are expected to be launched during the period.

Aapico has set its sights on sales revenue growing by more than 20 per cent from last year, when revenue growth missed the target of more than 10 per cent because of the flood disaster.

The company estimates that the production of vehicles this year will hit a record 2.2 million units.