February 20, 2009
Bangkok (ASTV Manager Online) – Prime Minister Abhisit Vejjajiva said he did not hear of news that General Motors would seek financial support from several countries, adding that the government had no policy to use people’s taxes to help a particular business.
Abhisit said he thought the US government would be able to handle GM.
“What we need to do is studying the problem of the whole auto industry and seeking measures to help the industry survive,” said the premier.
Kwanchai Papaspong, chairman of the Motor Expo organizing committee, said he disagreed to offering the financial aid to GM since the multinational auto firm would benefit from such help rather than Thai labor.
However, GM Thailand’s president Steve Carlisle would today meet Deputy PM Korbsak Sapavasu to discuss the issue.
Toyota Motor Thailand urged the government to stimulate the domestic purchasing power, saying it would not lay off employees if sales did not sharply drop.
Executives from auto companies such as Honda, Isuzu and Toyota reportedly sought supportive measures in exchange for no layoff.
One of the measures was that the government had to reduce the auto excise tax to 3 percent, so that auto firms could cut 15,000 baht per unit of price.
The government was also urged to have the Bangkok Mass Transit Authority (BMTA) to lease 4,000 locally-made buses instead of importing them. This is to create 20,000 jobs.
