New Delhi: Home-grown auto major, Tata Motors, has formed a joint venture with Thailand's Thonburi Automotive Assembly Plant Company to build, assemble and market pickup trucks in the Southeast Asian country.
Tata Motors' Managing Director Ravi Kant on Monday announced that the company would invest 70 per cent in the Rs 120-crore joint venture project, with Thonburi Automotive footing the rest.
Initially, the JV will have a capacity of 12,000 vehicles on a single-shift basis and the targeted sales would be 30,000 vehicles in three years time, said Kant. Production will start in a year's time.
The pick-up trucks will be made at Thonburi's facility in Thailand and will be sold locally and exported to other markets in the region.
The new venture will help the Indian automobile major tap the Thai market, the second largest market for pick-up trucks in the world after the US.
"Introduction of Tata Motors pick-up vehicles and a manufacturing facility in Thailand provide a unique opportunity to the company. We believe the joint venture will make meaningful impact in this most competitive market for pick-up vehicles," Tata Motors Chairman Ratan Tata said in a statement as quoted by PTI.
As per the agreement, both partners would jointly manage the operation for production and marketing of the product to be sold in Thailand and also exported to other potential markets in the region.
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