European aeroplane makers have expressed their interest in investing in producing parts in Thailand to serve Asean's growing aviation industry.
Uli Kaiser, president of the Thai-European Business Association (TEBA), said manufacturers from Germany, Britain and France were interested in building factories in Thailand to supply parts for aeroplanes in Singapore and Malaysia.
"European companies are very interested in producing aeroplane parts here in Thailand due to its strong potential to be the hub of aviation business," he said.
"We want the Thai government to support us with some investment privileges."
TEBA estimates the value of the Thai aviation industry will surge to 500 billion baht over the next 10 years from only 15 billion now.
"However, such high value also depends on how the government will support the aviation business," Mr Kaiser said, adding that Thailand's aviation industry had been growing at a much lower rate in recent years.
Chaiyant Savanachai, the TEBA's Thai executive director, also urged the Industry Ministry to lend its full support to the association to invest in aircraft parts in, saying it would boost the aviation industry and the economy in general.
"The TEBA estimates there will be 20,000 to 30,000 aeroplanes being used in the aviation industry in Asean, and that would mean a substantial rise in demand for parts and maintenance services," he said.
Industry Minister Chakramon Phasukvanich said the government intended to lend full support to the aviation industry and would be glad to see more European aircraft makers making greater investments in Thailand.
"We see U-tapao airport in Chon Buri as a perfect location for aviation industry investment. And since we're a hub and a major exporter of cars and auto parts, it proves we have skilled labour to serve rising investment in aeroplane parts," he said.
Besides the aviation issue, the TEBA also raised the issue of excise tax that Thailand collects from imported European cars, saying it was harming business with European exporters.
Thailand charges excise tax on European cars based not only on the price of the cars but also on the rate at which they emit carbon dioxide.