Nissan Motor Co. president Carlos Ghosn said the number of employees at Siam Nissan Automobile Co. was expected to double by 2008 from about 2,000 at present as the company tries to establish Thailand as a strong exporting base.

"This is a balanced production base and we think all the free trade agreements signed by Thailand... are extremely helpful," Ghosn told reporters, adding the country's business climate was the prime reason for the investment.

"Thailand in respect to the car industry has respect for intellectual property rights, something we are struggling with in China," he said.

Ghosn said the move consolidated Thailand's position as Nissan's third largest production base in Asia, but said operations in Japan and China would not be downsized as a consequence.

Annual production capacity at Siam Nissan's manufacturing plant east of Bangkok would rise to 200,000 vehicles by 2008 from the current level of 130,000, according to the firm's business plan revealed Friday.

Production at the company's engine making plant was also slated to increase to 250,000 units a year from 42,000, the company said. It plans to introduce 10 new models to the Thai market by 2008.

"We plan to transform Siam Nissan into a global production base for exports of our next generation pickup trucks to global markets including the ASEAN (Association of Southeast Asian Nations) region," said Nissan vice president Toshiyuki Shiga.

"By 2008, we expect total industry volume in Thailand, Malaysia, Indonesia and the Philippines to grow more than 1.8 million units, about 30 percent higher compared with last year," he said.

Siam Nissan, the manufacturer and distributor of Nissan vehicles in Thailand, sold nearly 44,000 vehicles in the kingdom last year, representing a market share of 8.2 percent.

Nissan in April signed deals to take majority stakes in Siam Nissan and Siam Motors and Nissan Co., the company in charge of assembly, to give the company management control of Thai operations.

Ghosn, who will also take over the reins at Renault in 2005, which is 13.5 percent owned by Nissan, hinted the French company may also make a move to Thailand.

"It's possible for Renault... every time we move into a market it's obvious that our move is a platform for our partner but we don't decide for them," said Ghosn.