Toyota Prius line to suspend production - Bangkok Post
Toyota Motor Thailand Co (TMT) will suspend the Prius production line at its Chachoengsao factory for about a year or until the Central Tax Court hands down a final verdict on a tax dispute, according to a source. Thai authorities allege Toyota understated taxes by claiming the hybrid car is a completely knocked-down (CKD) vehicle despite the fact that the company imports most of the main finished parts from Japan for local assembly. The investigation came after the Nation Associate Anti-Corruption Network (NACN) early this year asked the Finance Ministry to investigate whether the hybrid is a CKD vehicle -- totally assembled in Thailand -- or an imported car, as the latter is... The TMT source insists all Prius parts are imported under the Japan-Thailand Economic Partnership Agreement, under which these parts are subject to import duty of zero to 10% compared with zero to 80% for normal imports. Thailand is Japan-based Toyota Corporation's largest Southeast Asian production base, manufacturing pickup trucks and other vehicles under its TMT subsidiary. After starting production in Japan and China, Toyota began producing the Prius in Thailand in November 2010. . As of last year, 18,000 Priuses had been sold in Thailand. Source: www.bangkokpost.com
