Thailand
Thailand: Amata, Saab in EEC hub discussions
SET-listed Amata Corporation Plc, Thailand’s largest industrial estate operator, said it is in talks to sell developed land to Saab Automobile AB, a Swedish maker of automobiles and fighter jets, to build a maintenance, repair and operation (MRO) hub in the Eastern Economic Corridor (EEC).
Chief executive Viboon Kromadit said Saab had expressed its interest in developing its MRO hub in the EEC to capitalise on several incentive privileges being offered by the government.
Other global aircraft makers, including Triumph Group Inc and Airbus SE, are interested in developing MRO sites in Thailand to provide services for the region, he said.
“Amata has been in talks with Saab for a long time and we have the potential to supply developed land [in the EEC] for them,” said Mr Viboon.
But he said Saab wanted to wait for the civilian EEC law to be completed before making a final decision.
The EEC law, which is the first civilian law to govern all economic activities in the corridor, yesterday was submitted to the National Legislative Assembly for approval and is likely to be implemented in October, said Industry Minister Uttama Savanayana.
The law is expected to substantially increase confidence among foreign investors to begin real investment. More than 30 Thai and foreign companies are projected to invest in the first stage.
The EEC is a special economic zone spanning more than 30,000 rai in three eastern provinces: Chon Buri, Rayong and Chachoengsao.
Mr Viboon said Amata has 7,000 rai at its Amata City industrial park in Rayong and another 3,000 rai at Amata City in Chon Buri, which are part of the EEC. Those facilities will not only be ready for investment in the aviation sector, but all 10 targeted industries, he said.
The 10 targeted industries are: next-generation cars; smart electronics; affluent, medical and wellness tourism; agriculture and biotechnology; food; robotics for industry; logistics and aviation; biofuels and biochemical; digital; and medical services.
AMATA shares closed yesterday on the SET at 21.90 baht, up 10 baht, in trade worth 257 million baht.
Source: http://www.bangkokpost.com/business/news/1333315/amata-saab-in-eec-hub-discussions