Japanese carmaker Nissan Motor Thailand is upbeat about local sales prospects for the year and expects them to pick up for the first time in five years.
Nissan expects its sales volume in fiscal 2017, which ends next March, to grow by 31% to about 57,600 cars.
President Antoine Barthes said the company’s performance improved in the fiscal first quarter (April to June) with 13,815 units sold, up 32.9% from the same period last year.
Nissan’s core volume was driven by its three Thai-made eco-cars — March, Almera and Note — with 7,984 units sold from April to June, up 109%. The company introduced the new-model Note earlier this year.
In contrast, sales of Navara pickup trucks dropped by 6.2% to 4,562 units.
“[Sales of] Nissan eco-cars are expected to respond to Thai customers’ demand because this segment is very strong in passenger cars,” Mr Barthes said, adding that eco-car models now account for more than 50% of Nissan’s sales volume.
“Moreover, the overall Thai car market has strong momentum and is likely to surge by 6.5% to 850,000 units sold this year,” he said.
Nissan had its all-time best figures during fiscal 2012 with 138,000 vehicles sold, propelled by the first-time car buyer scheme, before dropping to 74,000 in 2013.
Nissan sold 56,600 vehicles in fiscal 2014, down 23.5%, and 49,032 in fiscal 2015, down 13.4%.
In fiscal 2016, Nissan posted 44,331 cars sold, down 9.6%.
Mr Barthes set Nissan’s midterm outlook at achieving double-digit market share by 2020 after a 6.8% rise as of June this year. The view is in line with that of Carlos Ghosn, chairman of Yokohama-based Nissan Motor Co.
“From 2017 on, we will focus on our three pillars, which are extending the range of Nissan vehicles, re-engaging our 200-outlet dealer network and utilising our footprint with the Nissan regional R&D facility in the country,” Mr Barthes said. “Nissan’s dealer network, in particular, needs more improvement to provide the best customer service to respond to the company’s customer-centric strategy.”
Nissan set up its first assembly plant in Bangkok in 1962.
At present, Nissan operates two production plants on Bang Na-Trat Road with a maximum capacity of 370,000 vehicles a year and also runs Nissan Motor Asia Pacific Co for R&D adjacent to the manufacturing facility.
Nissan’s local arm plans to make 127,000 cars in fiscal 2017, with 57% of the output earmarked for export.