Tuesday 29 November 2011

Giant backlog nixes Toyota expo orders Repair services will be featured instead

Toyota will not take any orders at the Thailand International Motor Expo, as the huge backlog from before the flood crisis has prompted the company to drop all sales and marketing activities.

Honda, whose Ayutthaya plant has been completely inundated, will display its cars built locally and accept orders despite a pre-flood backlog for 37,000 units, mostly for Brio, Jazz and City models as yet undelivered.

The expo will be held at Impact Muang Thong Thani from Dec 1-12.

Toyota's plant was not directly hit by the flooding but still had to suspend production due to a supply disruption after the deluge overwhelmed parts factories in Ayutthaya and Pathum Thani districts.

It will offer car maintenance activities at this year's motor expo to help its customers with flood-damaged vehicles.

"We've decided to skip regular sales and focus on teaching customers how to take care of their cars after the floods. 

Our mechanics will be on hand throughout the event to give advice and demonstrate how to fix and repair damage to Toyota vehicles. 

This is crucial, as our customers are now very much concerned about their cars' post-flood condition and safety," said Vudhigorn Suriyachantananont, a senior vice-president of Toyota Motor Thailand (TMT).

Toyota staff will provide information about dealers nationwide for future contact by potential customers.

A senior TMT official said the huge backlog has discouraged the company from accepting any more orders.

Toyota's three auto plants in Samut Prakan and Chachoengsao provinces restarted production on Nov 21 after being suspended from mid-October.

The source declined to give an exact number for the backlog but said the customers will have to wait only another month or two for their passenger car delivery, three months for pickup trucks and six months for pickup passenger vehicles.

A senior executive at Honda Automobile (Thailand) said despite having been amid the worst of the flooding, all of its models will be showcased at the expo and new orders will be taken.

"Our staff will be there to explain our current situation to customers placing an order," said the executive.

Honda still cannot estimate when it can clear up its 37,000 back orders, as there remains no clear outlook for the reopening of its swamped Ayutthaya plant.

It is insisting that it be allowed to import foreign-built automobiles from outside Asean tax-free to compensate for production losses at the Ayutthaya plant.

It says its situation is diffferent from other carmakers in that its plant has been completely devastated, and it cannot produce any cars.

As well, the car imports, if permitted, would allow Honda dealers nationwide to continue their operations.

The plant remains inaccessible to Honda staff, thus preventing them from surveying the extent of the damage.

However, an industry observer estimated next year's second quarter for the plant's reopening.

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