Thai Pushes 'Green' Car Production

By Anthony Fontanelle

Thai government is giving incentives to encourage the production of “green” cars. According to experts, the incentives have yielded a raft of major investments in the territory and started to alter how Thais drive.

“Green” tax breaks were introduced in Thailand last year. This is an effort of the nation as the world’s largest manufacturer of light pickups to tuck the title in the years to come. Annually, Thailand churns out 900,000 one-tonne trucks. The figure is three-fourths of global output.

The government is threatened by escalating oil prices and global warming concerns that could result in truck sales doldrums. This scenario could put a dent to Thai economy because shoppers are expected to shift to fuel-efficient compact cars. These reasons prompted the Thai government to offer incentives for the manufacturer of “eco-cars” that meet European emission standards.

"First-time car owners, and especially motorcyclists who want to become car owners, are cost-conscious consumers," said Surapong Paisitpatnapong, spokesman for the Federation of Thai Industries' automotive club. "Investments in eco-car production will help grow this new segment of the country's domestic auto market while increasing exports.”

By far, seven automakers have proposed eco-car projects to Thailand's Board of Investment. The automakers include Toyota Motor Corp., Volkswagen AG, and Tata Motors. Thai enthusiasts are excited to see their car lights installed in eco-cars. Surapong said four proposals have already been approved.

Also, Honda Motor Co. intends to invest $214 million to assemble eco-cars while manufacturing engines and parts in Thailand. Suzuki Motors, meanwhile, will invest $303.658 million to build a new factory in central Thailand. Approximately 80 percent of cars produces will be for export. Nissan Motors Co. also will invest $177 million to build 120,000 units annually. The output is also mainly allotted for export.

"Eco-cars are going to be hot in Thailand's auto market. The lower prices for these minicars, along with high oil prices, will drive up the demand," said Nongnapat Wilepana, a Nissan dealer in Bangkok.

AFP reported that under the scheme, the companies will not have to pay corporate income taxes on their investments for eight years, and duties on imported machinery will be waived.

“Thailand's main worry is that its auto industry depends entirely on foreign companies, since the kingdom has no national automaker,” Surapong noted. “That means the country will have to keep wooing automakers with attractive offers in the future to deter them from looking for better deals for their factories in other countries.”

Freescale Chips On Chevy, GMC Hybrids

By Anthony Fontanelle

General Motor Corp. in partnership with Freescale Semiconductor Corp. will be promoting improved fuel efficiency by using innovative chips. Freescale chips will be used in Chevy and GMC hybrids to pave the way for a green makeover.

According to reports, Freescale chips that control the combustion and electric engines as well as the transmission in the new Chevy Tahoe and GMC Yukon hybrids have produced a 50 percent increase in mileage over their counterparts. The hybrids are efficient for both city and highway. To note, they can tow a 6,000-pound cabin cruiser. The hybrids are now arriving at Valley Chevy and GMC dealerships.

John Hartley, Internet sales manager at Midway Pontiac GMC in Phoenix, said there is considerable interest in the vehicles. However, the production of the hybrid sport utilities is currently limited.

The increase in fuel efficiency is attributed to the automaker’s two-mode hybrid transmission that is operated by Freescale’s advanced microcontroller technology.

"The automotive industry is a very significant part of Freescale's business," said Tony Massimini, an analyst with research company Semico Research Corp. "And the hybrid market is becoming very important part of the U.S. car business."

The Austin, Texas-based supplier of microcontrollers found in American cars, is determined to improve the offers of automakers in the industry. And its cutting-edge products are expected to make it happen.

Kevin Klein, vice president of marketing for Freescale's automotive group, said that a current luxury car can contain over 100 chips that control everything from disc brakes to parking-assistance radar. He added that automotive chip sales now amount to about a third of Freescale's $5.7 billion in annual revenue.

The innovative technology offers two driving modes. Using the first driving mode, the vehicle can operate at low speed and with light loads in three ways: electric power only, engine power only or in any combination of engine and electric power, reported The Arizona Republic. The second mode, meanwhile, is used primarily at highway speeds. This mode provides full eight-cylinder engine power when road conditions require. It can be employed when passing other vehicles, climbing a steep grade or pulling a trailer. Additionally, a refined control unit settles which mode the vehicle should use.

"With the introduction of the world's first full-size hybrid SUVs, GM is pioneering a niche in the automotive market that's in step with today's growing concerns about the environment and global warming," said Paul Grimme, senior vice president and general manager of Freescale's Microcontroller Solutions Group. "We're proud that Freescale technology is helping make these innovative, fuel-efficient SUVs a reality in the market."