BANGKOK, NNA - Mitsubishi Electric Corp. is bullish about unabated demand for elevators and escalators in Thailand but is not dropping its guard in order to maintain its leadership here.
Mitsubishi Elevator (Thailand) Co., a manufacturing and distributing arm for elevators and escalators of the Japanese company, projects that the 7 billion baht ($201 million) Thai market will grow 5 to 7 percent to 8 billion baht this year and expand to 10 billion baht in 2020.
Suntipong Buranakittayakorn, Mitsubishi Elevator's general manager of the marketing and sales division, says the growing demand stems from such key factors as an expansion of Bangkok's mass rapid transit projects, growth of condominiums in suburbs and aging population which requires more hospitals and nursing homes.
Elevators account for 85 percent of the market and escalators the rest, he said, adding Mitsubishi is the market leader with a 30 percent share while two other rivals hold shares of about 15-16 percent each.
Mitsubishi anticipates sales revenue of 2.4 billion baht with 1,800 units this year, up from 2.2 billion baht with 1,700 units last year. It aims to post sales revenue of 3 billion baht with over 2,000 units in 2020.
By sector, residences generate 45 percent of the sales revenue, but Suntipong reckons that demand for high-end elevators will grow in the near future thanks to an increase in the number of high-rise premium condominiums and private detached houses with price tags of over 40 million baht.
Mitsubishi currently operates 22 maintenance service centers nationwide, including 10 in the capital, and plans to expand to 30 centers in 2020.
Mitsubishi's Thai arm has recently inaugurated an elevator and escalator training center in an effort to produce engineers and specialists. It is also initiating measures to deal with the aging population and supporting the government's campaign to promote Thailand as a medical hub in the 10-nation Association of Southeast Asian Nations. (NNA/Kyodo)