Nissan Motor Co. Ltd. will open an export center for parts in Thailand next January that eventually will supply components for the auto maker in 110 countries.
The 453,556 sq.-ft. (40,000 sq.-m.) Parts Consolidation Center will be Nissan's second-largest parts export base after Japan. The PCC aims to export the equivalent of 1,080 40-ft. (12.2-m) containers per month carrying Thai-made auto parts worth $300 million a year. Nissan's Japanese center ships 6,000 40-ft. containers per month.
Nissan has other PCCs in China, the U.K. and the U.S., and a similar base will become operational in Indonesia next month.
Nissan says its Thailand PCC will support its production-parts business in the region while reducing costs, maximizing growth and maintaining logistics control and quality assurance under a regional supply chain management framework.
Exports from the Thai base will include body panels for Tiida compact sedans to be built in Mexico and Malaysia, roof assemblies for Tiidas produced in Taiwan, engine assemblies for Malaysia and South Africa and engine parts for Mexico.
The parts will be procured by Nissan South East Asia Co. Ltd., Nissan's purchasing and research and development affiliate, from 94 Thai suppliers.
"Thai auto parts are of world-class quality as a result of the rapid growth in the Thai automotive industry," corporate vice president in charge of Nissan's supply chain management division Akihiro Ishiwatari says. "We will source many of our parts from Thailand in the future."