US car maker Ford Motor Co remains upbeat about its Asean sales although it will close operations in Indonesia by the end of 2016.
Mark Kaufman, president of Ford Asean who is also in charge of the Indonesian market, said the company will shift its focus to other countries in the region where Ford's performance remains strong in terms of sales and market share.
"We could post a significant growth in the Philippines and Vietnam while our Thailand operation has gained in market share against the sluggish market," he said.
The Michigan-based company announced in January that it would close down by the end of this year all operations in Japan and Indonesia, where the US automaker says it has no path to boost sales or turn a profit.
The exit by Ford is the latest example of an automaker losing patience in struggling car markets in parts of Asia dominated by Japanese manufacturers. General Motors Co last year closed down its factory in Indonesia, the largest car market in Southeast Asia.
In Asean, Ford sold a combined 103,975 units last year, up 3.3%.
Thailand accounted for the highest sales in the region at 36,465 vehicles last year, down by 4.3% from a year earlier, but its market share edged up 0.3% to 4.6%.
The Philippines came second, delivering 25,372 units, up by 25%.
Vietnam was the third with 20,740 units, up by 48%, while Malaysia accounted for 12,130 units. Cambodia represented 1,266 units, followed by Myanmar (679), Laos (653) and Singapore (422).
Mr Kaufman said Ford would be seeking the best measures to support its vehicles sold in Indonesia once it officially exits that market.
Ford started selling vehicles in Indonesia in 2002 and conducted a feasibility study to build a local manufacturing facility, but the plan was postponed.
Ford's retail sales in Indonesia fell to 6,103 vehicles last year, down sharply by 47.4%, with a market share of only 0.6%. It has 44 outlets there.
According to Mr Kaufman, Ford's operation in Thailand will become more important after the company completes its business restructuring in Asean.
"Vehicles made in Thailand in completely built-up form will be shipped to many countries in Asean and Oceania while the completely knock-down ones will serve Ford's operation in Vietnam for assembly," he said, adding the Thai facility is one of Ford's manufacturing hubs that serves 180 markets worldwide.
The company now runs two plants in Rayong. The first is handled by AutoAlliance Thailand (AAT), its joint venture with Mazda. In 1997, the US car maker formed a joint venture with Mazda to operate the US$1.66-billion AAT facility in Rayong's Eastern Seaboard Industrial Estate. Ford accounts for half of AAT's annual production of 240,000 vehicles.
The second plant is run by Ford Thailand Manufacturing (FTM) in the same province, making passenger cars with a capacity of 180,000 units a year.
Ford last November announced a $186-million infusion for FTM to make the Ford Ranger pickup truck, scheduled to start operation in October.
The move is aimed at meeting demand for its popular pickup truck.
The Ranger is currently built at AAT, which will remain the vehicle's main Asia-Pacific production base.
With AAT forecast to operate at or near maximum capacity, Ford is adding dedicated pickup truck facilities to its FTM factory to allow for increased Ranger production.