Thaco Starts Work On Engine Plant
Truong Hai Auto Joint Stock Co. (Thaco) will on Friday begin construction of the Chu Lai-Truong Hai engine plant in Chu Lai Open Economic Zone, Quang Nam Province, with the technology transferred from South Korea’s Hyundai Motor.The 11-hectare plant worth around US$200 million is one of the biggest projects in Tam Hiep Industrial Park in Chu Lai Open Economic Zone.
The plant’s first phase will take up an investment of US$126.5 million and have a production output of 20,000 engines per year, mainly for trucks, buses, motorboats, and agricultural and industrial machines.
Under a contract signed earlier between Thaco and Hyundai, the plant will produce engines of 68-155 horsepower with a localization rate of over 40% meeting the Euro 3 emission standards in the first phase.
In the second phase starting from 2018, Thaco will turn out engines meeting the emission standards of Euro 4, 5 and 6 with a localization rate of 56%. The plant will then manufacture over-100-horsepower Diesel engines and engines for agricultural and fishery machines to meet the domestic demand and for export.
The plant is scheduled to go into operation late next year, and engines produced will be installed in light vehicles and exported to ASEAN countries.
Products of the plant will be produced with three 3C manufacturing lines and one assembly and testing line. The manufacturing lines will be operated based on the Machining Center Calibration (MCC), and the CAD/CAM/CNC system will assemble engines semi-automatically.
With the production technology transferred from Hyundai Motor since July, 2010, Thaco currently produces and assembles trucks of 2.5 to 25 tons, coaches of 25 to 47 seats and sleeper coaches under the brand name of Thaco-Hyundai at its existing facilities.
(Source: Vietnam investment news)