GM Thailand Takes Proactive and Forward-Looking Steps

GM Thailand has announced various steps to adjust inventory the Thai market as well as across ASEAN region. The automobile industry isn’t immune to the current economic crisis, but GM Thailand sees this as a temporary setback.

Speaking to GM Thailand workers at a recent staff gathering, Steve Carlisle, President of General Motors Southeast Asia Operations Ltd. explained that GM Thailand has been in the process of building a winning auto company for the long term and it is continuing to focus on building sustainable success, not short-term results.

However, as the company faces the tough challenge of a global economic crisis, the drop in sales has resulted in the necessity to reduce production to avoid an oversupply problem.

“As everyone may know, our company like many others is facing very difficult and challenging times. As communicated previously, the impacts of the global financial crisis have spread to virtually every country around the world including Thailand. This has resulted in a marked cooling in consumer sentiment and tightening of credit which has in turn reduced sales both domestically and in our export markets. As a consequence, we have to look into reducing production and granting leave to some of our colleagues in the December to January timeframe,” Steve explained.

“Less than 2,000 staffs will be granted paid leave during the period, as the plant reduces production levels to avoid oversupply. As soon as the plant resumes its normal levels of production, staff will be reporting back for duty,” he concluded.

In the meantime, “An ever increasing intensity and focus on Safety, Quality and Cost will continue, as this is what is required to secure our future and enable us to emerge a stronger company from this crisis. There is a strong commitment to our plans – not just to survive but win.” Steve explained.

GM will also continue to forge ahead and consolidate its leadership position in the area of alternative fuels, despite the crisis.

“We are committed to being a global leader in advanced propulsion technology, and we will continue to pursue this course. This crisis is yet another economic cycle, something we can pull through. There are many things that we can and must do to reduce dependency on fossil fuels for transportation. Therefore, we will continue to roll out class-leading models that feature up-to-date alternative fuel technology, while pursuing further alternatives on this front,” Steve reassured.

“The potential remains strong in the long term, both for the U.S. and global economies but for the near term, the current set of circumstances will affect results for the global industry. Hence, GM, as a global player, will is also being affected and like most manufacturers, we are doing what we must to pull through this downturn,” he ended.