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Speech of THACO Chairman Tran Ba Duong for Bus THACO Plant Grand Opening Ceremony
12/11/2017 4:13:53 PM

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Dear: 

Mr. Trịnh Đình Dũng - Member of the Party Central Executive Committee, Deputy Prime Minister

Mr Nguyễn Đức Hải - Member of the Party Central Executive Committee, Member of National Assembly’s Standing Committee, Head of National Assembly’s Budget Committee 

Deputy Minister of Industry and Trade, Deputy Minister of Transport; Deputy Head of Government Office, leaders of ministries and central government departments and agencies

Mr. Nguyễn Ngọc Quang, Party Secretary of Quang Nam Province, and People’s Council Chairman

Mr. Phan Việt Cường, Member of Party Central Committee, Standing Deputy Party Secretary of Quang Nam Province

Mr. Đinh Văn Thu, Deputy Party Secretary and Chairman of Quang Nam Province People's Committee

Leaders of Party Committee, People's Council; People's Committee; Vietnam Fatherland Front Committee of Quang Nam Province, and Provincial Departments and Agencies, Chu Lai Open Economic Zone; Leaders of Party Committee, People's Council; People's Committee  of Nui Thanh District 

Partners from Vietnam and other countries, distinguished customers, dealers, guests and reporters

First of all, please allow me, on behalf of THACO's Board of Directors and 17,000 staff members, including more than 8000 staffs of Chu Lai Truong Hai Complex, to extend the best wishes and sincere thanks to the Deputy Prime Minister, distinguished leaders and guests for taking your time to attend our Bus THACO Plant's grand opening ceremony today!

Dear Distinguished Leaders and Guests,

From 2005 THACO had been researching and manufacturing buses at the THACO Truck Plant under THACO's management viewpoint "Combination to create advantages, specialization to achieve effectiveness" to gather experience and improve production technology for our own. THACO buses had been accepted by the market, and operated by big passenger transport companies such as Phuong Trang, Thanh Buoi, Ha Noi Transport, and Ha Son Tourism.

To meet the market needs and increasing demand of customers, Thaco had started construction of its first bus plant which had been put into operations in June 2011.

This is the first bus factory in Vietnam with equipment designed by Thaco engineers having about 90% of equipment made locally. We have continuously invested and improved technology to raise the annual capacity from 3,000 to 5,000 vehicles.

From 2013, after years of using the Hyundai chassis, THACO started designed and manufactured THACO-branded chassis which had increased the localization ratio up to 50%. Following the orientation: "Confident in technology quality, proud of Vietnamese brand”, to date, THACO has become the leading bus manufacturer with the most trusted products in Vietnam, supplying over 14,000 buses in a full range of segments such as THACO TB75, THACO TB82, THACO TB120, etc., with a market share of 54%. Especially, the sleeper buses - THACO Mobihome is the market leader with a 86% market share. 

Dear Distinguished Leaders and Guests,

In response to the Development Strategy of Vietnam's Auto Industry to 2025, with a vision towards 2035 approved by the Prime Minister on July 16, 2014; THACO has been working on its post-2018 sustainable development strategy, preparing for the trends of the 4th Industrial Revolution.

From 2016, THACO has an investment plan of building new plants for manufacturing and assembling trucks, buses, cars, specialized vehicles, as well as groups of parts manufacturing plants which will be mostly automated, with the localization ratio of at least 40% in order to ensure its leading position in Vietnam and exports to ASEAN countries. Among them, the Bus Thaco Plant is the largest and most stae-of-the-art plant in Southeast Asia, with the brand positioning statement: MODERN TECHNOLOGY - ENVIRONMENTAL FRIENDLY.

Dear Distinguished Leaders and Guests,

Bus Thaco Plant's construction started in September 2016, with a total investment of VND7 trillion (over USD300 million), a designed capacity of 20,000 vehicles per year (including 8,000 buses and 12,000 mini-buses), on the area of 17 hectares with 8ha for the workshop area. In it, the wastewater treatment system is designed with a capacity of 20 m3 per hour, with automatic systems to ensure the output water quality in line with the National Technical Regulations on industrial wastewater. The fire protection system meets the Vietnamese Standard 2622: 1995 with 6 main fire-fighting systems. 

Especially, it meets the green standards and energy saving standards up to IATF 16949: 2016 benchmark. 
The production lines include cutting-edge and semi-automatic systems such as Computer Numerical Control (CNC) machines, high-precision automatic welding robots, automatic conveyor system. Here, the bus powder-coating line is able for dipping the entire vehicle body with the length of 13.7 meters, including 10 tanks operated automatically. This is the most modern powder-coating line in Southeast Asia and one of the 22 worldwide powder-coating lines to date. 

The full assembly line is equipped with the automatic operation system in which robots supply materials. Especially the 2.4-km test track simulates a wide variety of real terrain to ensure the technical requirements to test the vehicles' quality before their factory roll-out.

The plant has been approved by the Ministry of Industry and Trade on meeting the conditions of automobile assembly and assembly stated in Decree 116/2017/ND-CP issued by the Government.

The R&D center has lots of modern equipment and design software, with a team of experienced engineers and experts. It can design products with full types of vehicles from medium to high grade and for different purposes such as: city and intercity buses, coaches, sleeper buses, and specialized buses with 12-16-25-29-35-47 seats with whole-new designs and identification: the monocoque chassis (body and chassis in unitary design) to ensure lightest in weight and smoothest in operation, using engines with Euro 4, Euro 5 and Euro 6 emission standards (Japan and Europe standards) the localization rate of over 60%, suitable utility performance in Vietnam according to the regulations of the Government and Ministry of Transport which is certified by the National Office of Intellectual Property in Decision No. 84315/QD-SHTT.

Dear Distinguished Leaders and Guests,

Many years ago, we started to develop and implement our strategy of developing the Vietnamese brands with Confidence for Integration.  This started with bus products with THACO-VIETNAM brand, achieving international quality and localization rate of more than 40%, in order to meet export requirements to ASEAN countries in 2018.

At the ceremony today, we will also sign Memorandum of Understanding (MOUs) with partners from Thailand, Taiwan, the Philippines, and Cambodia, for 1,150 buses of which at least 550 will be exported in 2018.

The deals we sign today during the ceremony are evidence to the success of the Vietnamese auto industry. Although the domestic market is small, the auto industry is young, but with the right policy of the government and the efforts from companies, we can still compete in the regional market and in the integration context. On the other hand, if we can make high localization rate and get good export turnover, we will be able to fight trade deficit and balance the trade in the auto industry in Vietnam.

On this occasion, I would like to express my gratitude to the Government, Ministries, central government departments and agencies for their appropriate policies and prompt directions for automobile-related issues. My special thanks also go to the enthusiastic support of all-level authorities in Quang Nam Province. I am committed, on behalf of Thaco, to focus on developing automobile production and business, contributing to the successful construction of Vietnam's auto industry and turning Chu Lai Open Economic Zone into a national mechanical and automotive hub, contributing to the socio-economic development of Central Vietnam in general and Quang Nam in particular.

We would like to thank our local and overseas partners for partnering with us to produce Thaco Vietnamese branded buses trusted by Vietnamese customers and achieving the initial export success till now.

We also thank our customers so much for your trust and support for THACO products. We are committed to striving for technology innovation, improving quality and offering reasonable prices to bring you the highest benefits.

Also, we would like to express our sincere thanks for all the reporters who have been with THACO during our development process.

I wish Deputy Prime Minister Trịnh Đình Dũng, distinguished leaders and all of you good health, happiness, and success.

Thank you very much!