Continental Opens Thai Automotive Factory

A new facility belonging to Continental AG subsidiary Continental Automotive (Thailand) has opened in Amata City. The 11,500 square metre factory, built with an investment of approximately five billion baht (£90.2 million), will produce powertrain diesel injectors, high pressure pumps and common rail assemblies. The production of interior electronics is also planned.

While around 70 per cent of total output will ultimately go to domestic vehicle manufacturers – the factory will start supplying the Thai market next year – the first exports to Europe, China and India are expected to get underway before the end of June.

Work on the factory went ahead despite a decline in vehicle sales worldwide. According to Continental Automotive (Thailand) managing director Thomas Chambers, the company decided to invest in Thailand at this time as Asia is still considered a potential high growth region. “We forecast that by 2012, one in two cars of global vehicle production will be produced by Asia,” said Chambers. “It is undeniable that Thailand’s automotive industry is well-established with the one-ton pickup truck as the product champion. We are determined to stay here.”

Continental reportedly intends to derive a quarter of its sales from Asia by 2013.