April 22, 2008
Tokyo - Isuzu Motors Ltd is considering starting truck production in Saudi Arabia as it seeks to expand sales in the oil-rich kingdom.
"We are currently exporting finished vehicles to Saudi Arabia and are considering various ways to expand our business," said Isuzu spokesman Tadashi Ioka, adding that details have not yet been decided.
Isuzu was enjoying strong demand in Saudi Arabia, where it sold 33,900 trucks in 2006, the most recent year for which figures are available, according to AFP.
The Nikkei business daily reported Monday that Isuzu is set to start production of mid-size and large trucks in Saudi Arabia early next year at an annual rate of between 2,000 and 3,000 vehicles.
The output will be raised to 30,000 units at some point in the future.
Isuzu is likely to form a joint venture with local companies, including car dealers, and build the first Middle Eastern car plant operated by a Japanese company.
The company currently exports pickup trucks to Saudi Arabia from its plant in Thailand and full-size trucks from Japan.
Concern for the environment is about changing habits and taking responsibility. That won't change in just a few days or weeks because of trendy campaigns," Vorragorn said.
