Celebrating 10 Years of Collaboration between Thailand Automotive Institute and RX Tradex Reshaping Auto Industry with Industry Conference: "Automotive Summit 2023"
Thailand Automotive Institute collaborates with RX Tradex to celebrate 10 years of partnership by organizing Automotive Summit 2023, a part of Manufacturing Expo 2023 while commemorating the 25th anniversary of the establishment of the institute. Automotive Summit will take place from June 21-22 at Grand Hall 203, Bangkok International Trade and Exhibition Centre.
The COVID-19 situation and the environmental conservation movement have led the automotive industry into an era of transformation. The global automotive market has shown significant growth this year compared to the previous year. Dr. Kriengsak Wongpromrat, President, Thailand Automotive Institute, commented about the overall global automotive industry, stating, "Data from January to April 2023 indicates that worldwide car sales reached 27.5 million units, representing a 9% increase from the same period last year. This reflects the recovering global automotive market and the easing of component shortages for production. However, the sales volume is still lower than the pre-COVID-19 pandemic period. In the same period of 2020, global car sales reached 31.8 million units. For the year 2023, there will be an estimated global car sales volume of 86.05 million units. (data from LMC Automotive)*
Regarding the situation of the Thai automotive industry, Dr. Kriengsak revealed that in the year 2023, a production volume of 1.95 million units, with domestic sales of 0.90 million units and exports of 1.05 million units is anticipated. In the period from January to April 2023, there were 625,423 units produced, marking a 5% increase. The domestic car market recorded a volume of 276,603 units, decreasing by 6% due to tightened loan approvals by financial institutions as a result of high household debt and increasing interest rates. The registered volume of electric vehicles was 19,347 units, showing a significant increase of 1,206% compared to the same period in the previous year. Meanwhile, the export market witnessed a volume of 353,632 units, representing an 18% increase, attributed to the low base of the previous year and factors such as semiconductors and component shortages for production.
Dr. Kriengsak discussed the factors that would impact the production, sales, and exports, predicting whether they will meet the targets depends on both external and internal factors. "Regarding external factors, the export market situation is expected to grow in the main markets, namely ASEAN and East Asia, by 4% and 6% respectively (data from IHS Markit). This is due to the economic recovery from the COVID-19 situation. However, the Australian market is stabilizing as consumer spending in the country slows down due to household debt. Nevertheless, in the main market group, which includes Australia and ASEAN, the government policies promote the use of electric vehicles through incentives and infrastructure development. This means that part of the market growth will come from the electric vehicle segment, which is not yet a major export product for Thailand. This may result in missed export opportunities for certain sectors.
"In addition, in the first quarter of the year 2023, car exports from China reached 1.07 million units, an increase of 58% compared to Japan's exports of 950,000 units. This is due to the growing popularity of electric vehicles and the increased competitiveness of Chinese electric car manufacturers. Foreign car manufacturers with factories in China are starting to consider reducing investments as they are unable to compete with Chinese car manufacturers in terms of cost. Consequently, this may lead to an increase in the importation of electric cars to Thailand, from both Chinese car manufacturers and foreign car manufacturers in China.
"As for internal factors within the country, it depends on how much the new government will promote the automotive industry. Nonetheless, it is believed that the policies remain focused on carbon neutrality, which spans the automotive industry. Therefore, it is expected that the government may have measures to promote low-carbon vehicles as well.
"From the 30@30 target and the measures promoting electric vehicle production in the past, several automobile manufacturers from China have established production plants in Thailand to mitigate production risks. This is due to geopolitical reasons. Currently, there are four Chinese automobile manufacturers investing in Thailand: SAIC (with a production capacity of 100,000 vehicles per year), GWM (with a production capacity of 80,000 vehicles per year), BYD (with a production capacity of 150,000 vehicles per year), and NETA (with a production capacity of 20,000 vehicles per year). There are also two businesses in the process of establishment, namely GAC Aion and Chang An Automobile, and one planned investment by Chery Automobile (in 2024). This presents an opportunity for the growth of the electric vehicle industry in the country. However, there are challenges related to changing international trade and investment conditions. The measures restricting international trade have decreased, such as the requirement to use domestically produced components, while Chinese component manufacturers have higher technological capabilities and lower production costs. This situation will impact the competitiveness of domestic automotive component manufacturers in the country."
Dr. Kreingsak emphasized, "Therefore, it is crucial to expedite the preparation of domestic entrepreneurs. The Automotive Summit is part of plan to disseminate academic knowledge in the field of advanced automotive technology to ensure that entrepreneurs, government agencies, and interested individuals are aware of the emerging technological trends in the automotive industry, as well as to increase readiness in various aspects."
This year's Automotive Summit is organized under the theme "Reshape the Future of Thai Automotive Industry." The content of the conference consists of two main parts: the first part is Transition, which focuses on changes and developments in various aspects of the automotive industry, and the second part is Transformation, which explores how the Thai automotive industry will respond to these changes.
The "Transition" seminar sessions will cover topics such as sustainability, the use of hydrogen as a new alternative energy in vehicles, and the role of software as a crucial component in automotive technology. The "Transformation" sessions will focus on preparing automotive component manufacturers, workforce development, technology and innovation advancements, and relevant government policies to facilitate the transition of the Thai automotive industry into the new era. The conference is honored to have over 40 knowledgeable speakers from both public and private sectors, who are experts in the automotive industry, to share their perspectives for driving the automotive industry towards a new era.
"It is a great opportunity for the Automotive Institute to collaborate with RX Tradex in organizing this conference within the Manufacturing Expo. This event not only has received support from the Ministry of Industry but also from industry stakeholders. The Automotive Institute would like to express our gratitude to companies such as Adient & Summit Corporation Co., Ltd. and many other organizations that have provided sponsorship for this conference." Dr. Kriengsak concluded.
As for the organizer of the Manufacturing Expo, Mrs. Varaporn Dhamcharee, Managing Director of RX Tradex (formerly Reed Tradex), the leading exhibition organizer in ASEAN, revealed "Every year in June, RX Tradex organizes the Manufacturing Expo to provide a central platform for entrepreneurs from various industries to explore new technologies, knowledge, and business networks in the industry for manufacturing and comprehensive industrial support in ASEAN. The show offers 8 specialized events focusing on machinery and technology for various industry sectors. This year marks the 13th edition of Manufacturing Expo, which will take place from June 21 to 24 at Hall 98-104 of BITEC."
The comprehensiveness of the Manufacturing Expo stems from the integration of specialized exhibitions showcasing new innovations for various industries. These include manufacturing of plastics; molds and die; automotive parts; surface preparation, coatings and paintings; robotics and automation systems for manufacturing and service sectors; electronics production and assembly; factory and facility construction, management, and maintenance; as well as garment and textile machinery for various industrial sectors.
One of the eight specialized events within the Manufacturing Expo is the Automotive Manufacturing exhibition, which showcases machinery and technologies for automotive parts manufacturing. This year marks its 18th edition, and it will serve as a comprehensive hub for all automotive parts manufacturing technologies, including sheet metalworking, welding, and measurement. It brings together parts manufacturers, allowing every automotive industry player to stay updated and adapt to the changing trends. The exhibition features over 250 brands from multiple countries.
This year's Automotive Manufacturing exhibition is organized under the theme "The Path to Express Way of Future Automobiles" to signify RX Tradex's aim to create an event that paves the way for automotive component manufacturers to stay on track with the changing trends in the industry. Whether it's related to electric vehicles or carbon neutrality, the exhibition provides attendees with the latest technologies and knowledge to prepare themselves and adapt successfully to the various changes in the business landscape.
"The crucial knowledge that business owners gain from the Automotive Manufacturing exhibition is derived from the Automotive Summit, which RX Tradex has been collaborating with the Thailand Automotive Institute since the year 2013. This year marks our 10th year of collaboration. Every time we organize this summit, we have never been disappointed with the content and the roster of speakers who share their experiences. Each year's topic and content have always been engaging and highly relevant to business owners. The speakers who participate in the event are all experts in their fields, making the Automotive Summit a rare opportunity for us to meet and learn from more than 40 experts in a single event."
"Attendees of the Automotive Summit conference are encouraged to visit the machinery and technology exhibition for automotive parts manufacturing at the Automotive Manufacturing event without any additional cost. By registering for a single entry pass, they can access all 8 exhibitions within the Manufacturing Expo. It is considered highly worth your visit. We request that attendees dress appropriately, no flip-flops or shorts, as the event is a trade event."
At the Automotive Manufacturing event, there will be a diverse range of technology exhibits aimed at helping automotive parts manufacturers improve efficiency, reduce costs, and contribute to environmental conservation. We will showcase sheet metalworking technologies for vehicle chassis and body panels, such as 3D laser cutting machines and metal cutting technologies. Another highlight of the event will be advanced measurement technologies that assist in quality inspection of manufactured components. For example, there will be solutions that enable faster detection of contaminants through the use of light and electron microscopy, allowing identification of the source of contamination. Additionally, we will unveil the world's fastest part measuring scanner. Furthermore, automotive parts manufacturers will also be offering their services at the event, making it an all-under-one-roof exhibition for the automotive parts industry.
For those interested in attending the Automotive Summit seminar, you can find the detailed conference program and reserve your seat at www.manufacturing-expo.com. Select the "Conference" menu for more information. For further inquiries, please contact the RX Tradex Contact Centre at +66 2686 7222 or email contactcenter@rxtradex.com.