UPDATE Q1/2024: Machinery Industry

1/2024 http://thailand.ahk.de

T H E M A G A Z I N E O F T H E G E R M A N -T H A I C H A M B E R O F CO M M E R C E

MACHINERY INDUSTRY A good reputation alone is not enough

PREMIUM PARTNERS 2024

H2Uppp Southeast Asia Conference on Green H2 and PtX

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ANNUAL PARTNERS 2024

FROM THE EDITOR Dear readers,

Thailand’s machinery industry is crucial to the country’s manufacturing sector, which plays a significant role in the development of Thai economy. The growth of the machinery industry depends on increasing demand in manufacturing activities in various industries such as automotives and electric vehicles, electronics and electrical appliances, plastics, construction, food-processing and the metal industry.

According to the Mechanical Engineering Industry Association (VDMA), German machinery exports to Thailand in 2021 valued EUR 850 million, making up for 17.4% of total German exports to Thailand. Germany’s share in Thailand’s total machinery imports in 2020 was 6.6%, ranked third after China (33.6%) and Japan (24.3%). One of Thailand’s machinery categories attractive to German companies is the machine tools, with its market value accounting for approximately EUR 910 million in 2022.

Although the machinery market in Thailand has been dominated by Japanese companies, Thailand’s increasing need for the application of robotics and automation in the sectors of automotives, electricals and electronics, together with medical and tourism services has expanded the market opportunities. Investors in the machinery industry have been given substantial support through a range of tax and non-tax incentives from the Thailand Board of Investment (BOI).

Some of the projects promoted by BOI in recent years include the welding robots for metalworking applications, automated machines for the production of electronic parts, and automated warehouses for factories and distribution centers, among others.

The high-precision machinery industry has seen significant growth recently. Last year the BOI announced the addition of new BOI categories with attractive incentives to support the use of new technologies, such as the manufacture of high-precision machinery, equipment, and machinery components, as well as machinery repair. These new categories will further enhance Thailand's attractiveness for the machinery industry, especially in the high-precision category.

I trust you will enjoy an interesting and informative read.

Dr. Roland Wein

UPDATE is published quarterly by the German-Thai Chamber of Commerce (GTCC) and distributed through an electronic platform to members and qualified non-members in Thailand and abroad. It is also available on our website: thailand.ahk.de/en/publications.

Any opinions expressed in articles in this e-magazine do not necessarily reflect the views of the Chamber.

UPDATE welcomes story and photo contributions from members and non-members alike. Articles may be reproduced with acknowledgement, except for those taken from other sources.

For inquiries, please contact: communications@gtcc.org.

Publisher/Editor-in-Chief: Dr. Roland Wein

Editor & Communications Director: Chadaphan Maliphan

Design & Layout: Sorapol Liengboonlertchai

Sub-Editor: Colin Hastings

CONTENTS

MACHINERY INDUSTRY

CHAMBER ACTIVITIES

04 A good reputation alone is not enough

27 Site Visit to Rhenus Thailand Warehouse &

06 TRUMPF focuses on innovative solutions for Thailand's machinery industry

10 Paint shop of the future – flexible, sustainable and scalable

12 Serving increasing demand for precision and reliability with grinding solutions

14 Making plastic injection moulding greener in Thailand

16 Smart machinery: A key driving force in Thailand’s supply chain

GTCC x Rhenus Logistics Beer Tasting

29 GTCC Seminar with SAP on CBAM 29 GTCC Partners and Customers Appreciation Event 30 Thai-German "Climate Talk" Conference 31 GTCC Executive Director in Germany with Hydrogen Dialogue Delegation

33 GTCC AFTERWORK Christmas Edition

BUSINESS BRIEFS 34 B.Grimm celebrates the 145-year anniversary in

CHAMBER ACTIVITIES 18 H2Uppp Southeast Asia Conference on Green H2 and PtX

Thailand

35 Rhenus Regional HQ opening in Bangkok

19 GTCC AFTERWORK Briefing with SC Asset

GTDEE INSIGHT

20 GTCC Oktoberfest 2023

36 A roundtable on TVET at German Embassy Bangkok

22 Study trip to Germany on "Germany EV

36 AHK Regional Meeting Asia-Pacific on DVET

Ecosystem"

37 AdA International (Train the Trainer)

23 GTCC AFTERWORK Briefing with Samitivej Hospital 23 GTCC AFTERWORK “Tri-Nation Edition”

MEMBERS’ CORNER

25 GTCC Executive Briefing & Networking with STR

42 New GTCC members

26 NRW goes South East Asia

04 MACHINERY INDUSTRY

A good reputation is not enough Thomas Hundt German machine tools are highly regarded in Thailand. However, Japanese models are the market leaders while new competitors are emerging.

Thailand is an ideal sales market for German machine tools as it is the second largest economy in Southeast Asia and its 25% share of manufacturing in terms of economic output is the highest share among the ten ASEAN states.

Therefore, the machine tool market is significant, valued at EUR 910 million in 2022, with imported machines accounting for 86% of demand.

Thailand: Market for machine tools (in millions of Euros)

2020

2021

2022

Market *

800

759

910

Production

318

570

631

Export

257

457

507

Import

738

645

786

* Production minus exports plus imports Source: VDW 2023

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Japanese models are ahead in all market segments, followed by machine tools from China. Germany supplied under 4 per cent of the machines sold in 2022. “Thailand is Japan’s extended workbench” - Oliver Prpic Managing Director HERMLE (South East Asia).

Japanese companies have invested heavily in Thailand in recent decades and dominate most industrial sectors. For example, the automotive industry, which is particularly important for mechanical engineering, is predominantly in Japanese hands.

THAILAND, THE LARGEST CAR MANUFACTURER IN SOUTHEAST ASIA Industry associations expect around 1.9 million cars and 2.1 million motorbikes to roll off the production line in 2023. The domestic automotive industry is led by groups such as Toyota in the passenger car sector and Honda in the motorbike sector.

Japanese original equipment manufacturers are also the main suppliers. However, the entire industrial sector has grown so strongly that European and US automotive suppliers have now also established a broad base.

NEW CUSTOMER INDUSTRIES Electromobility will also influence the future demand for machine tools in Thailand.

However, changes are occurring here more slowly than in Europe. Chinese investors are rolling out the Thai market for electric vehicles and setting up assembly plants.

This is because the Thai government is generously subsidizing investments in electric cars, batteries, power electronics, cooling and charging systems. The first projects in these sectors have already been approved.

Other important customers for machine tools include the huge electrical industry, together with manufacturers of air-conditioning equipment, the plastics industry with downstream mould construction, and other sectors of the metal industry.

Several mechanical engineering companies based in Thailand manufacture machine tools and CNC machines tools for export.

They include CITIZEN MACHINERY and Star Micronics from Japan, as well as ANCA Manufacturing from Australia. The Thai

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company Holcyon is reckoned to be the largest manufacturer of polycrystalline diamond cutting tools in Southeast Asia, with revenues of US$34 million in 2022.

DESPITE A GOOD REPUTATION, IT IS NOT AN EASY MARKET FOR GERMAN COMPANIES Many industrial customers operate in the medium and lower quality market segment.

As such, they tend to focus on price rather than the quality and durability of their machines. Suppliers of machines from China and Taiwan, for example, are stepping up their sales activities.

German deliveries of machine tools are dependent on larger projects, so their order volumes fluctuate considerably. In 2022, German exports totalled 34 million Euros and only 16 million Euros in 2021.

The market for German parts and accessories, on the other hand, is stable because many German machines are already in use.

Deliveries of parts and accessories have totalled around 4 million Euros per year since 2018.

CONSIDER LOCAL SALES CULTURE Market observers report that German machine tool technology enjoys a good reputation in Thailand, although customer friendliness in the ‘Land of Smiles’ could be improved. A more modest manner is better received.

Foreign suppliers initially use local expertise and enter the market via a national sales partner. The choice of partners is broad and the German-Thai Chamber of Commerce can help search for suitable sales candidates.

“ German deliveries of machine tools are dependent on larger projects, so their order volumes fluctuate considerably.”

Sahamit generated some US$ 14 million in sales of machine tools and tools in 2022.

GERMAN PROVIDERS STRENGTHEN THEIR DISTRIBUTION German suppliers are now setting up their own subsidiaries in Thailand. For example, GROB, a German manufacturer of machining centres, converted its representative office into a full subsidiary at the beginning of 2022, allowing it to legally take care of service and sales.

Yamazen, a Japanese trading company, is the largest dealer of foreign machine tools, most of which come from Japan.

HERMLE AG from Gosheim, a specialist in 5-axis machining centers, also founded a subsidiary in the heavily industrialized Thai province of Chonburi to serve the Southeast Asian markets.

Sahamit Machinery is a large publiclylisted Thai machine importer and dealer representing 14 suppliers of machine tools from all over the world, including Schwäbische Werkzeugmaschinen GmbH.

The subsidiar y of Gühring, a German manufacturer of precision tools, has been serving the Thai market since 2006 and also manufactures special tools on customer request.

Other market entrants can gain a good insight into the Thai market at the annual METALEX trade fair in Bangkok. The next edition will take place from 20 to 23 November 2024.

At METALEX in November 2023, 71 companies from Germany presented their products, 26 of which exhibited at a joint German stand.

However, most exhibitors came from China (214), followed by Japan (174), Thailand (104) and Taiwan.

Contact details: Thomas Hundt Director Thailand, Cambodia, Myanmar, Laos GERMANY TRADE & INVEST www.gtai.com

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06 INTERVIEW

TRUMPF focuses on innovative solutions for Thailand's machinery industry Decha Lertvilaisak Thailand’s machinery industry plays a crucial role in supporting a wide range of downstream manufacturing industries such as Automotive, Electrics and Electrical Appliance (E&E), and Food Processing. Indeed, its importance is growing significantly, particularly in the smart machinery sector with increasing demand for robotics and automation.

TRUMPF is a German high-tech company focusing on Thailand’s machinery industry, where its laser cutting machines are prominent. The company provides manufacturing solutions in the fields of machine tools, laser technology, electronics, and Industry 4.0.

GTCC had the pleasure of interviewing Mr. Decha Lertvilaisak, General Manager of TRUMPF Ltd. (TRUMPF Thailand) to learn more about the company’s key milestones as well as industry trends.

With a proven track record in the industrial automation sector, Mr. Lertvilaisak brings a wealth of experience and expertise in channel strategy, operations management, electrical engineering, and customer support, while also ensuring high levels of customer satisfaction.

Congratulations to TRUMPF’s 100th anniversary this year, a remarkable achievement in the machinery industry. What have been TRUMPF’s key successes over the past century?

TRUMPF’s journey began in 1923 when Christian Trumpf acquired the mechanical workshops of Julius Geiger GmbH in Stuttgart, Germany, laying the foundation for a century of innovation and success. Fast forward to 1950, the company achieved its first million in turnover, a remarkable milestone in TRUMPF’s successful growth and progress. In 1963, TRUMPF established its first foreign subsidiary in Zug, Switzerland, in 1963.

Four years later, TRUMPF made a groundbreaking move towards automation with the

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introduction of the TRUMATIC 20, the first sheet metal processing machine with numerical continuous path control, enabling fully automated work processes, including tool changes. TRUMPF further showcased its commitment to innovation and development by becoming a laser expert in 1985, with the introduction of the TRUMPF LASER TLF 1000, the first self-developed and produced CO2 laser, representing an important milestone in the company’s growing technological prowess.

In 2015, TRUMPF expanded its global footprint by establishing TRUMPF Thailand, marking another milestone in the company’s strategy for international growth and influence. Two years later in 2017, the inauguration of a smart factory in Chicago emphasised TRUMPF’s vision, which was further enhanced by additional smart factories at three TRUMPF locations worldwide.

TRUMPF proudly celebrated its Centennial in 2023, a key milestone in a century of transformative achievements, unwavering dedication to technological excellence, and a global legacy of innovation in the machinery industry.

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Could you share some insights into the company’s journey in Thailand’s machinery industry? And what have been the key challenges in doing business in Thailand?

selection based on specific needs and prefer ences, ensuring a customised and efficient solution for their particular requirements.

Since the establishment of TRUMPF Thailand Technology Center in 2015, TRUMPF Thailand has seen steady growth. It currently employs 49 dedicated professionals, including 10 staff members who hold key positions in SEA regional positions, focusing on order processing, IT and services.

As one of the few manufacturers of laser cutting machines, we have uniquely engineered our cutting unit and laser source. This distinctive capability enables us to continually enhance machine performance and functionality. Consequently, our customers benefit from faster cutting speeds, superior cutting quality, and increased machine availability. An example is our proprietary laser source, TruDisk, renowned for its exceptional reliability and consistent power output over extended periods. Annually, we allocate significant funds towards research and development.

Our primary objective revolves around the establishment and strengthening of a local sales and service team dedicated to providing exceptional support to our customers in Thailand. To ensure our team’s expertise aligns with global standards, we have invested in comprehensive training programmes. Our technicians have undergone training sessions in Germany, China, and Japan, continually upgrading their product knowledge and proficiency.

What is the SEA showroom that has its grand opening on 2nd February, 2024?

We firmly believe that customer satisfaction, driven by key factors such as machine reliability, high throughput, top-notch finished product quality, and responsive after-sales service, serves as the cornerstone of our business growth.

Our employees know the national market very well. This enables us to not only comprehend but also effectively address local customer requirements, thus ensuring seamless communication and satisfaction.

Our commitment to understanding and fulfilling the unique needs of Thai customers remains paramount as we continue to thrive in the region.

What technological advancements has TRUMPF led the industry, and how have these innovations shaped the company’s market position over the years?

The Southeast Asia showroom, which will be launched on 2 February 2024, is located in Thailand but will serve the entire Southeast Asian region, including Indonesia, Vietnam, Singapore, Malaysia and the Philippines. It will showcase a range of machines and highlight the concept of a Smart Factory.

We aim to make our advanced laser cutting technology accessible to a broader market.

Therefore, we show machines which we think are ideally targeted to customers in the Southeast Asia region. At the showroom, we also strive to showcase certain connectivity features, aligning with the industry 4.0 concept. Customers can integrate technology gradually, ultimately upgrading to our more advanced machines.

This marks a significant expansion into new territory, catering to customers who in the past may not have considered purchasing our products due to pricing barriers.

Do you have any plans to introduce new products to the machinery sector in the incoming years?

Certainly, we are unveiling our most powerful laser cutting technology with a 24 kW laser cutting capacity. This state-of-the-art solid-state laser sets new standards for productivity in the standard cutting process, capable of cutting through thick materials up to three times faster than its 6 kW counterpart. It is proficient in cutting mild steel with a thickness of up to 50 mm.

How does TRUMPF tailor its machinery and solutions to meet the specific needs of local costumers in different regions?

Globally, we offer three distinct product ranges for a given technology such as our 2D Laser cutting machines – the TruLaser 1000, 3000, and 5000. Factors such as speed and advanced options progressively improve across this hierarchy. TRUMPF’s machines share a common core functionality while offering a plethora of diverse options. This gives customers the flexibility to tailor their

www.thailand.ahk.de

08 INTERVIEW

Collaborations and partnerships can drive industry success. Could you share any notable collaborations or partnerships that have played a significant role in TRUMPF’s journey in the machinery industry?

Among many significant collaborations, I would like to highlight one recent example.

At German fairBlechexpo 2023, TRUMPF unveiled innovative automation solutions developed in collaboration with leading partners, a testament to our commitment to meeting diverse customer requirements, particularly in automation and material handling. A notable example of this collaborative approach is the solution developed for a systems supplier in partnership with automation specialist Starmatik.

Our collaboration with Starmatik, an Italian company specialising in robotic automation systems for the sheet-metal industry, was initiated in September 2021. Starmatik has proved to be an invaluable partner in achieving efficient and high-speed automated bending solutions.

What key trends have you observed in the machinery industry, and how do you see the industry evolving in the next five years?

The trend towards automation, which is well-established in Europe and the US, is becoming increasingly relevant in Thailand, where a surge in labor costs has seen a significant shift towards the adoption of automation systems. Our local customers are increasingly seeking solutions that integrate

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“ The Southeast Asia showroom, which will be launched on 2 February 2024, is located in Thailand but will serve the entire Southeast Asian region […] This marks a significant expansion into new territory, catering to customers who in the past may not have considered purchasing our products due to pricing barriers. advanced machines to markedly improve productivity. Automation has not only streamlined processes but has also brought about efficiency and consistency, particularly in material handling through advanced storage systems and robotic assistance in assembly. We are also witnessing the integration of storage systems as a parallel trend, highlighting the indispensable role of automation in facilitating the seamless movement of parts from storage to the machines. The combination of automation and efficient storage systems emerges as a key trend, aligning seamlessly with our commitment to advancing efficiency and productivity.

In the competitive machinery market, how does TRUMPF differentiate itself from other industry players?

We emphasise the Return on Investment (ROI). Even though our machines might be more expensive than others, the ROI on our machines will be worth the investment when a customer considers the output of the machine, its reliability, consistency and quality of the finished material.

How does TRUMPF address sustainability concerns in its operations and machinery, particularly in the context of the Thai market?

At TRUMPF, sustainability is a core aspect of our operations and machinery offerings, and we are guided by the principles of ESG (Environmental, Social, and Governance). Our commitment to sustainability is not just a global initiative but is also tailored to address the specific needs of regional markets like Thailand.

We adhere to the ESG principles. This holistic approach is reflected in our climate strategy, encompassing energy-saving initiatives in our buildings, creating products that are more sustainable by consuming less energy and having a longer lifespan. This commitment extends beyond our internal operations to the solutions we provide to customers, contributing to the overall sustainability of their products.

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Our machines are designed to be energy-efficient, enhancing productivity, boasting a longer operational life, reducing the need for frequent replacements. Additionally, we supply our laser sources to customers, such as electric vehicle manufacturers, who play a crucial role in promoting sustainability. Through collaborations and partnerships, we actively contribute to the creation of sustainable solutions, and we continuously explore opportunities to align our operations with the evolving landscape of sustainability.

What specific regulations or industry standards in Thailand’s machinery sector does TRUMPF adhere to maintain high-quality standards?

In Thailand’s machinery sector, we place a strong emphasis on adhering to safety standards and maintaining high-quality standards, even in the absence of specific safety standards and regulations for sheet metal processing machines.

This gap in regulations has led to the proliferation of cheaper laser cutting machines, often without proper safety measures. This poses a potential risk, as the laser light emitted during cutting, especially in fibre cutting, can cause long-term damage to human eyesight. TRUMPF, in contrast, prioritises safety and compliance with high-quality standards.

This commitment underscores TRUMPF’s dedication to prioritising the well-being of operators and maintaining the highest quality standards in the absence of specific local regulations.

As TRUMPF’s presence in Thailand is significant, can you share your perspective on the benefits of Thailand’s investment incentives to attract more foreign investments and their strategies in the Thai market?

From my perspective, Thailand’s investment incentives have been notable, with the government and authorities working actively on promotional schemes. This has yielded positive results, as an increasing number of foreign companies are choosing Thailand for both expansion and greenfield projects. However, to remain competitive, Thailand needs to continually benchmark its overall incentive packages against neighbouring countries,

particularly in view of the lower labour costs in the region.

To further enhance the country’s appeal to foreign investors, it’s crucial to address issues such as the duration of the approval process. A more streamlined and faster approval process could certainly make Thailand a more attractive investment destination.

In m y hum b l e opi ni on, b e i n g more aggressive in devising comprehensive and competitive packages could be beneficial.

This involves not only benchmarking against neighbouring countries but also continuously refining and improving schemes to draw the attention of foreign investors. It’s a competitive landscape, especially when negotiating with investors who are considering other options with lower labour costs.

Contact details: Decha Lertvilaisak General Manager TRUMPF Ltd. https://www.trumpf.com/th_TH

www.thailand.ahk.de

10 MACHINERY INDUSTRY

Paint shop of the future – flexible, sustainable and scalable Andrej Capek Model series and application processes are becoming more diverse in today’s automotive manufacturing. A greater variety of automotive models painted on one line leads to process inefficiencies. Globally as well as in Southeast Asia, we are seeing greater demand for more flexible and scalable paint shops as customers want to integrate new models, such as e-vehicles, more easily into existing systems. At the same time, market developments are not always predictable. Scalable paint shops allow customers to customise their volumes.

Manufacturers must respond more quickly to customer and market requirements.

Dürr’s new “Paint shop of the future” concept breaks away from the traditional line layout, splitting up industrial automotive painting into boxes or short process sections for the first time. This introduces a new level of flexibility in the automotive industry’s processes and investments. In addition, the "Paint shop of the future" saves time and materials, increases availability, and makes painting more sustainable.

MAXIMUM FLEXIBILITY WITH ON-DEMAND CYCLE TIMES The “Paint shop of the future” concept is based on splitting up the 120 work steps involved in a painting process into distinct boxes and smaller sections. Instead of following a fixed cycle, the process times in each box are precisely tailored to the unique needs of each body. This adaptability is achieved through parallel processes within the boxes, in conjunction with a central highbay base storage system and the automated guided vehicle (AGV) system EcoProFleet.

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DXQcontrol software controls the fleet of AGVs. It intelligently guides the AGVs with car bodies to the next process, ensuring efficient utilisation of all boxes. It enables the bodies to be sorted for future processes, delivered, and collected from the right workstation with pinpoint accuracy, and passed on to final assembly in the sequence planned by the manufacturer. The concept also allows for easy capacity expansion and seamless integration of new models.

MACHINERY INDUSTRY 11

SUSTAINABLE PAINT SHOP WITH FEWER RESOURCES, GREATER EFFICIENCY In terms of the concrete implementation, the box concept consolidates three painting processes – the interior and two exterior applications – can be combined into a single booth. This patented concept, known as the EcoProBooth, significantly streamlines the process by eliminating two of the previously standard three conveying processes. This not only saves time but also reduces paint-loss during the color change process by up to ten percent, especially if just one paint is applied in a box, for instance, the current top seller white. Splitting up the painting process into boxes shortens the overall process by tailoring the application time for each individual vehicle. This approach contributes to a reduction in CO2 and VOC emissions.

Additionally, overall equipment availability improves, as a malfunction only affects the specific box section in question and not the entire production line, as seen in the classic line manufacturing model. The variable layout also makes integrating special processes such as a special paint supply or overspray-free two-tone painting easier and more cost-efficient.

HIGHLY SCALABLE AND ADAPTABLE TO B OT H L A R G E A N D S M A L L PRODUCTION Customisation is important to meet the specific requirements of various OEMs and the “Paint shop of the future” concept is suited to manufacturers in Asia. It offers major high-volume manufacturers with a high hourly capacity the opportunity to integrate new models and technologies more easily. For those aiming to control initial investment, expansion e.g. from 24 units per hour to 48 and 72 units can occur in two steps. Startups can begin manufacturing with minimal quantities and gradually expand as demand increases. The modular concept is also Industry 4.0 ready and can be combined with Dürr’s intelligent DXQ software products for various scenarios.

“ We are seeing greater demand for more flexible and scalable paint shops as customers want to integrate new models, such as e-vehicles, more easily into existing systems. At the same time, market developments are not always predictable.”

SUSTAINABILITY AS AN ENABLER As a global innovation and technology leader in mechanical and plant engineering, Dürr aims to make a significant contribution to resource conservation and emissions reduction during the utilisation phase of Dürr products through greater efficiency.

The goals are clearly defined: • Enable electrification of paint shops to operate them Co2-neutrally when using green electricity • Achieve climate neutrality throughout the vehicle's life and production chain, from the mining of raw materials to vehicle recycling at the end of its life cycle • E n s u r e e n v i r o n m e n ta l l y - f r i e n d l y procurement of all materials used Sustainability is an integral part of the “Paint shop of the future.” Here, Dürr relies on the optimised interaction of all processes in

combination with exceptionally efficient products. Recent major successes were achieved in terms of energy, paint, solvent, and water consumption.

With Dürr, it is already possible to run a CO2-neutral paint shop with high energy efficiency in all areas. Sustainability also means conserving paint, chemicals, water and other consumables. Where less is consumed, less must be disposed of.

Contact details: Andrej Capek CEO Dürr Systems Southeast Asia Andrej.Capek@durr.com https://www.durr.com

www.thailand.ahk.de

12 MACHINERY INDUSTRY

The G 250 (like the G 160) also has a double table. Loading, unloading and measuring of the components thus takes place in cycle time-concurrent.

Serving increasing demand for precision and reliability with grinding solutions Hartmut von Fugler Particular precision and process reliability have characterized automotive engineering for many decades. With the establishment of e-mobility, however, these demands are increasing once again, because many e-motor components need to be manufactured even more "perfectly."

In most cases, this involves the highest surface finish in the micrometer range so that no loud running noises occur on the gear components. In a quiet e-motor, for example, these noises would be audible.

In this context, the technology of EMAG SU is drawing the attention of many production planners. Among other things, the specialists developed highperformance solutions for gear grinding - including short chip-to-chip times, intelligent axis concepts, thermal and mechanical stability, and a high degree of user-friendliness. Which machines and processes are the focus here?

Outstanding solutions for the field of gear profile grinding include the G 250 machine and the G 160.

The G 160 is used for components up to module three and with a maximum O/D (outer diameter) of 160 millimeters. It is considered the fastest machine on the market for this application, thanks to two parallel workpiece tables that alternately move to the grinding wheel at high speed.

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MACHINERY INDUSTRY 13

“we continuously invest in research and development to further increase the efficiency and environmental friendliness of the machines.”

The G 250 achieves a comparably high productivity level when machining pinions with a strong crowning in the tooth flank profile and normal crowning in the flank line. In addition, energy consumption is massively reduced. The whole thing is made possible by a dual-tool system with two different tool spindles in the machine: one for finish-machining by hobbing and one for finish-machining by grinding.

"You could certainly say that we guarantee our customers competitive advantages and a fast return in investment," says Alexander Morhard from EMAG SU. "To this end, we continuously invest in research and development to further increase the efficiency and environmental friendliness of the machines. The result is perfect solutions for the production of ultra-fine surfaces with different contours."

For more information on EMAG solutions, visit https://bit.ly/46CScJO

The larger G 250 machine also scores with precision, minimal chip-to-chip times and short setup times.

Contact details: Hartmut von Fugler Sales Director East Asia / Southeast Asia EMAG GmbH & Co. KG hfugler@emag.com www.emag.com

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14 MACHINERY INDUSTRY

A flexible turnkey system processed recyclate from old fishing nets to produce ultrasonically welded and printed dolphins.

Making plastic injection moulding greener in Thailand ARBURG THAILAND Plastic injection moulding is the method employed to create a diverse range of plastic goods, from household items to automotive components. However, the traditional methods of plastic injection moulding have raised concerns about their environmental impact, Including high energy consumption, plastic waste, and increased CO2 emission.

In response to these challenges, Thailand, like many other countries, has focused increasingly on sustainability and environmental concerns in recent years. Plastic manufacturers in Thailand have recognised the need to address sustainability concerns and have taken various measures to respond to these challenges. Here are some of the ways they are working towards sustainability: 1. Recycling and Circular Economy Initiatives: Many plastic manufacturers are investing in recycling and circular economy initiatives. They are developing and implementing recycling processes to reduce waste and promote the use of recycled materials in their production. This helps minimise the environmental impact of plastic production. For instance, at Fakuma 2023, the world’s leading trade event for industrial plastics processing, ARBURG transformed recycled materials from old fishing nets into adorable dolphin figurines using a fully automated turnkey system.

In addition, ARBURG has launched arburgGREENworld initiatives to raise awareness about sustainability. This recognition has earned ARBURG a Gold medal from EcoVadis, placing the company among the top five percent of the world’s most sustainable industrial companies that focus on reducing environmental impact and promoting the circular economy.

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2. Sustainable Materials: Manufacturers in Thailand are exploring the use of sustainable and biodegradable materials to replace traditional plastics. They are investing in research and development to create more environmentally friendly plastic alternatives, such as bioplastics made from renewable resources.

Mitr Phol Group, a major sugar and bioenergy producer in Asia, is venturing into plant-based plastic. They aim to produce plastics using crop starch and petroleum.

While fully plant-based plastics can be more expensive, Mitr Phol seeks to keep costs down while reducing greenhouse gas emissions. These innovative plastics can be used for various products, including bags.

3. Energy-Saving Machines: One of the most exciting things about sustainable injection moulding is the introduction of energy-efficient machines. Modern

MACHINERY INDUSTRY 15

equipment is carefully designed to use less power, reduce heat loss, cut operational expenses, and reduce CO 2 emissions. For instance, the new hybrid machine ALLROUNDER 470H is a standout.

It has an energy footprint that’s up to 50% more efficient, potentially reducing emissions up to 12,000 kg of CO 2 per year. This machine incorporates many technical innovations that are only available from ARBURG. 4. Waste Reduction: In 2019, the Thai Cabinet approved the Plastic Waste Man a ge m e n t Road m ap, gu i d i ng coordinated efforts and policies from 2020-2030. This roadmap outlines a ban on seven single-use plastics and a commitment to achieve complete domestic plastic waste recycling within set timeframes. The initial goals included a ban on three single-use plastics: plastic bottle cap seals, oxo-degradable plastics, and plastic microbeads. Meanwhile manufacturers in Thailand are actively implementing waste reduction strategies to minimise the amount of plastic waste generated during production. These strategies include optimising production processes and using resources more efficiently.

5. Automation and Turnkey Solutions: Smart manufacturers are now using automation and turnkey solutions to reshape manufacturing in Thailand by streamlining production, increasing productivity, and reducing costs. These technologies enhance quality control, improving safety, while simplifying the implementation of new equipment. In line with this, ARBURG has established the ARBURG Technology Factory in Pinghu, China, to design and implement complete automation solutions.

Additionally, they have launched the new ARBURG robot family - FLEXLIFT, which is intelligent, flexible, precise, and manufactured exclusively in Asia for the Asian market.

6. Compliance with regulations: Thailand has implemented regulations and standards to control plastic waste and promote sustainability. Plastic

“ The traditional methods of plastic injection moulding have raised concerns about their environmental impact, Including high energy consumption, plastic waste, and increased CO2 emission.”

Leading plastic manufacturers in Thailand partnered with the Marine and Coastal Resources Research and Development Center at Mannai Island, organised the sea turtle conservation initiative by releasing 10 baby sea turtles into the sea

manufacturers must comply with these regulations, such as the Plastic Waste Management Act, to ensure that their operations align with sustainability goals.

7. Collaboration and Industry Initiatives: Manufacturers often collaborate with industry associations and government bodies to promote sustainability and uphold Corporate Social Responsibility (CSR) values. They share best practices, knowledge, and resources to collectively work towards reducing the environmental impact of the plastic manufacturing industry.

On May 26th of this year, leading plastic manufacturers in Thailand partnered with the Marine and Coastal Resources Research and Development Center at Mannai Island, where the sea turtle nursery is located, to organise a conservation activity by releasing 10 baby sea turtles into the sea. They also donated 100,000 Baht towards supporting the Marine Center. The fund will be utilised to enhance sea turtle hatchery efforts and improve the survival rate of injured sea turtles affected by plastic pollution.

8. Green Certification: Some plastic manufacturers in Thailand have been awarded green certifications such as ISO 14001 (Environmental Management System) or other relevant certifications to demonstrate their commitment to sustainability Sustainable injection moulding in Thailand is not just a minor development for manufacturers. It is a game-changer. In Thailand, manufactures are making smart decisions in their choices of materials, saving energy, reducing waste, and improving processes. This does not just reduce their impact on the environment. It also set an example for other industries. It is a bright future ahead for sustainable injection moulding in Thailand, leading to a greener and more promising tomorrow for everyone.

Contact details: ARBURG Marketing ASEAN ARBURG (Thailand) Co., Ltd. Tel: +66 2130 7882 thailand@arburg.com https://www.arburg.com/en/th

www.thailand.ahk.de

16 MACHINERY INDUSTRY

Smart machinery: A key driving force in Thailand’s supply chain Thailand Board of Investment (BOI) After three years of economic disruption caused by the COVID-19 pandemic, Thailand is now ready to embark on the next chapter of its economic development by envisioning its investment strategy for the next five years (2023-2027). Thailand is set to begin ‘the new economy era’ by aligning its own unique strengths with prospective future investment trends, including cutting-edge, smart technology, and eco-friendly industries. On the back of this, and in response to the growing demand for cutting-edge manufacturing to propel Thailand towards an innovation-driven economy, the country’s smart machinery sector, particularly robotics and automation, has flourished in recent years.

As one of the world’s largest automotive and electrical and electronics producers, together with its reputation as the ‘Kitchen of the World and its dynamic medical and tourism services’, Thailand’s need for the application of robotics and automation in these sectors has expanded substantially.

Thailand has emerged as a leader in robotics and automation in the region and is now among the world's top 15 largest markets for robotic installations. According to the World Robotics Report 2023, the installations of industrial robots in 2021 and 2022 reached 3,900 and 3,300 units, respectively. Its performance is fostering Thailand’s aspirations to be a leader in this sector within ASEAN.

THE GOVERNMENT’S SUPPORTING POLICY Investors in the machinery sector have been given substantial support through a range of tax and non-tax incentives from the Thailand Board of Investment (BOI). The BOI is dedicated to encouraging manufacturers to advance their manufacturing processes and embrace cutting-edge technologies.

Some of the projects promoted by BOI in recent years include the welding robots for metalworking applications, automated machines for the production of electronic parts, and automated warehouses for factories and distribution centers, among others.

BOI’s support for a wider range of activities does not end there. Last year the BOI announced the addition of new BOI categories with attractive incentives to support the use of new

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technologies, such as the manufacture of high-precision machinery, equipment, and machinery components, as well as machinery repair.

These new categories will further enhance Thailand's appeal as a destination for the high-precision machinery industry, which has experienced significant growth recently and will support the increasing demand for smart manufacturing.

MEASURE FOR INDUSTRIAL UPGRADES TOWARDS SMART AND SUSTAINABLE INDUSTRY The BOI also encourages existing companies to upgrade their efficiency by offering additional incentives under Enhancement Measure for Smart and Sustainable Industry (The Board of Investment Announcement No. 15/2565). The scheme applies to both investment activities that have previously obtained investment incentives from the BOI and those that have not. To be eligible for this scheme, companies need to make additional investments to improve their existing operations through any of five improvement categories: (1) integrating automation and robotics; (2) improving digital technology; (3) incorporating Industry 4.0 technology; (4) enhancing energy conservation, using alternative energy,

MACHINERY INDUSTRY 17

Table 1: Eligible activities for investment promotion related to machinery sector Activities

3.1.1 Manufacture of automation machinery and/or automation

equipment with engineering design 3.1.1.1 Manufacture of automation machinery and/or automation

equipment with engineering design, including automation

system integration and control system configuration 3.1.1.2 Manufacture of automation machinery and/or automation

equipment with engineering design, including control

system configuration

Corporate Income Tax Exemption

8 years (No Cap)

8 years*

3.1.2 Manufacture of machinery, equipment and parts and/or

repair of mould and die

5 years*

3.1.3 Assembling of machinery and/or machinery equipment

3 years*

3.1.4 Assembling of robots or automation equipment and/or

automation part

5 years*

3.1.5 Manufacture of high-precision machinery, including

equipment and parts of the machinery, and machinery repair 3.1.5.1 Manufacture of high-precision machinery 3.1.5.2 Manufacture of equipment and parts for high precision

machinery 3.1.5.3 Repair of high precision machinery

8 years* 8 years* 5 years (No cap)

Other Incentives Tax: - Exemption of import duties on machinery - Exemption of import duties on raw materials used in production for export - Exemption of import duties on raw materials used in R&D Non-tax: - Permit to own land - Permit to bring into the Kingdom skilled workers and experts to work in investment promoted activities - Permit for foreign nationals to enter the Kingdom for the purpose of studying investment opportunities - Permit to take out or remit money abroad in foreign currency

* The ceiling amount of Corporate Income Tax exemption is equivalent to the investment capital (excluding cost of land and working capital) Source: The Board of Investment Announcement No.9/2565

“In response to the growing demand for cutting-edge manufacturing to propel Thailand towards an innovation-driven economy, the country’s smart machinery sector, particularly robotics and automation, has flourished in recent years.” and reducing environmental impacts; and (5) achieving international standards of sustainability, such as Good Agriculture Practices (GAP), Forest Stewardship Council (FSC), Program for the Endorsement of Forest Certification Scheme (PEFCs), and ISO 22000.

In many cases, the investors would upgrade or replace machinery in order to achieve the aforementioned improvements, such as improving the efficiency, transforming to Industry 4.0, reducing energy consumption, and mitigating environmental impact.

Existing projects that fulfill such improvement goals will enjoy 3 years of Corporate Income Tax (exemption on revenue from existing activities with a maximum exemption of 50% or 100% - depending on the conditions - of the value of investments made in efficiency

enhancement). In addition, import duty exemption will be granted for machinery and equipment imported for improvement purposes under this scheme.

Connecting the dots, it is clear to see that there is a great deal of potential for investors to optimize the many opportunities in this exciting growth sector. Thailand stands ready to welcome new investments in the machinery sector, particularly in robotics and automation, which would help improve the country’s manufacturing productivity.

Contact details: Thailand Board of Investment (BOI) Tel: +66 2 553 8111 head@boi.go.th www.boi.go.th

www.thailand.ahk.de

18 CHAMBER ACTIVITIES

H2Uppp Southeast Asia Conference on Green H2 and PtX Thailand is in the transition toward its goals to achieve carbon neutrality by 2050 and net-zero carbon emissions by 2065. Green hydrogen is a future energy source that could help Thailand meet the energy demand and reach the net-zero emissions goal.

GTCC organised a conference on Green Hyd ro ge n in co o p e rat i o n w i t h t he Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) in the framework of the H2-Uppp programme. It aims to ramp up the market for green hydrogen (GH2) and Power-to-X (PtX) applications in Thailand under the support from the German Federal Ministry for Economic Affairs and Climate Action (BMWK).

The conference took place on 5 October at the Crowne Plaza Bangkok Lumpini Park. More than 180 attendants comprising relevant partners and stakeholders were welcomed by Dr. Poonpat Leesombatpiboon, Executive Director of International Affairs Division (OPS), Ministry of Energy (MoEN), and Mr. Johannes Kerner, Counsellor Economic and Commercial Affairs; German Embassy in Thailand. Keynote speech was delivered by Mr. Tarik El-Laboudy, Deputy Head of Division, Climate and Energy Cooperation with Asia, BMWK, followed by insights of several experts from The Energy Policy and Planning Office (EPPO), MoEN; GIZ; and Det Norske Veritas (DNV).

The participants also gained first-hand knowledge from discussions and presentations given by the industry’s key players from the PTT Pcl.; Industrial Gas Co., Ltd. (BIG); Siemens Energy Ltd; Energy Research and Development Institute (ERDI); Chiang Mai University; Kasikornbank PCL; NOW GmbH; Siemens Mobility Limited; NEUMAN & ESSER Verwaltungs- u.

Beteiligungsgesellschaft mbH; Agora; EGAT, MAN Energy Solutions Malaysia ES Sdn. Bhd; Norske Veritas (DNV); thyssenkrupp Industrial Solutions (Thailand) Ltd.; Siemens Energy Ltd.; and Enapter Co., Ltd. The discussions were wrapped up by Mr. Martin Venzky-Stalling, Senior Advisor, CMU Science & Technology Park.

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CHAMBER ACTIVITIES 19

GTCC AFTERWORK Briefing with SC Asset

GTCC AFTERWORK Briefing at The Standard, Bangkok Mahanakhon on 11 October 2023 featured interesting information and insights into the property market and investment in Thailand. We are grateful to Mr. Awirut Imoun, Business Strategist at SC Asset Corporation Public Co., Ltd. for unlocking lucrative real estate investment prospects & tax advantages for our participants at the event.

GTCC AFTERWORK Networking October After the briefing, GTCC AFTERWORK networking session on Thailand's second highest skyscraper was filled with a marvelous vibe of people gathering with their business contacts and friends.

We would like to thank all the guests for joining us; our Event Partners: Miskawaan Health Group, SC Asset and UNHCR for the generous support; and Venue Partner: The Standard Bangkok Mahanakhon for the stylish setting and great F&B arrangements.

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20 CHAMBER ACTIVITIES

GTCC Oktoberfest 2023 GTCC organised one of the signature events “GTCC Oktoberfest 2023” on 20-21 October 2023. The Oktoberfest’s long-standing tradition of beer keg tapping was performed

by German Ambassador Dr. Ernst Reichel, Governor of Bangkok Khun Chadchart Sittipunt, and GTCC President on the first day. For the second day, the Oktoberfest was opened by Mr. Hans-Ulrich Südbeck, Deputy Chief of Mission at the German Embassy Bangkok, together with GTCC President. Highlights of the GTCC Oktoberfest included a live band from Germany “O'zapft” performing in the original atmosphere with wooden Festzelt-benches, a wide range of delicious German feasts, and the genuine Paulaner Oktoberfest Beer as well as an after-party with live DJs. We appreciate the great support from Diamond Partners: B.Grimm and Schaeffler Manufacturing; Gold Partners: BMW Group Thailand, DACHSER, LUTHER, Munich RE; Silver Partners: BASF, Bosch, Leschaco, Isegrim-X, Litigoal, Thaivivat Insurance, and Wissen & Co; In-kind Partner: Bumrungrad International Hospital; Venue Partner: Sofitel Bangkok Sukhumvit and; Beverage Partner: Paulaner by Flow Inter.

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CHAMBER ACTIVITIES 21

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22 CHAMBER ACTIVITIES

Study trip to Germany on “Germany EV Ecosystem”

GTCC had been organising a study trip to Germany "Germany EV Ecosystem" during 21 – 28 October 2023, in cooperation with Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH (GIZ). The study trip was organised within the framework of "Thai-German Energy Dialogue (TGED)", initiated by The Thai Ministry of Energy (MoEN) and the German Ministry for Economic Affairs and Climate Action (BMWK) to promote the exchange of best practices and supports business collaborations for mutual benefit in the fields of the energy transition (Energiewende).

The Thai delegates started their activities on 23 October 2023 with a site visit to TÜV SÜD, which provides testing and certification of EV charging infrastructure, including charging stations, connectors and electrical components. In the afternoon, they explored the BMW Group plant Munich. The plant combines engineering excellence and innovative power, producing the fully electric BMW i4. By 2023, at least half of all cars from the Munich plant will be electrified.

They visited P3 Group and Porsche Zuffenhausen Plant on 24 October 2023. At the P3 Group, the delegates were provided with an insightful briefing on electric mobility, technologies, production and players of charging infrastructure. As for the delegates’ site visit to the Porsche plant, they had an exclusive exchange on topics of EV and EV batteries before taking a guided tour through Porsche’s sports car production, exploring the company’s tradition and modernity, including the new Porsche Production 4.0 - smart, lean and green.

On 25 October 2023 they continued their activities in Stuttgart, visiting two sites: 1) Stuttgart Airport to explore the EV charging infrastructure with a focus on the airport’s special features and 2) Robert Bosch to learn about the company’s fuel cells productions and tour the Bosch Feuerbach museum.

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CHAMBER ACTIVITIES 23

GTCC AFTERWORK Briefing with Samitivej Hospital GTCC AFTERWORK Briefing with Samitivej Hospital on “Heart Health for Active People” took placeon 9 November 2023 at The Sukhothai Bangkok. The topic was discussed by our Speaker Mr. Norasak Suvachittanont, Sport Cardiologist at Samitivej Hospital, while the participants were given an opportunity to check their heart health through the hospital’s high-tech Vo2 Max body test.

GTCC AFTERWORK Networking “Tri-Nation Edition” This year GTCC included our “Tri-Nation” event in GTCC AFTERWORK, in which was organised on 9 November 2023. We were pleased to welcome about 150 guests from the Austrian, German and Swiss business community including guests of honor German Ambassador Dr. Ernst Reichel, Austrian Ambassador Mag. Wilhelm Donko, and Swiss Ambassador Pedro Zwahlen.

We greatly appreciate the generous support from our Event Partners: DACHSER, LUTHER, Mazars in Thailand and Samitivej Hospital; Food & Beverage Partners: KCG Corporation and Paulaner by Flow Inter; and our Venue Partner: The Sukhothai Bangkok. Thanks to Advantage Austria and the Swiss-Thai Chamber of Commerce for co-hosting the event.

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24 CHAMBER ACTIVITIES

GTCC YP Network Evening: “Sport Day”

GTCC organised a new edition of GTCC Young Professionals Network Evening , “Sport Day”, on 3 November 2023 at Topgolf Megacity, our Venue Partner. About 35 participants enjoyed playing creative golf competitions together and networking in a casual ambiance.

GTCC Webinar with Mazars “New tax rules on foreign income” GTCC Webinar with Mazars in Thailand on “New tax rules on foreign income” took place on 14 November 2023 with the participation of about 60 people. Thanks our speaker Mr. Martin Liebenow, Tax Director / Head of German Desk of Mazars in Thailand, for sharing his insights into the new regulations and advice.

JFCCT Presidents’ Council Luncheon hosted by GTCC

GTCC hosted a JFCCT Presidents' Council Luncheon Meeting at The Sukhothai Bangkok on 15 November 2023 with the participation of GTCC President Mr. Michael Welser, JFCCT Chair Ms. Vibeke Lyssand Liervag, and GTCC Executive Director Dr. Roland Wein, along with Presidents and Chairs of other foreign chambers of commerce in Thailand. They discussed various important topics and activities including further cooperation.

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CHAMBER ACTIVITIES 25

GTCC Executive Briefing & Networking with STR About 60 businesspeople from various industries especially hospitality join GTCC Executive Briefing & Networking with STR on “Hospitality industry trends andoutlook in Thailand and APAC” on 21 November 2023 at the Sofitel Bangkok Sukhumvit. They were welcomed by Mr. Oliver Schnatz, GTCC Vice President and Cluster General Manager at The Sofitel Bangkok Sukhumvit, with his opening remarks. The informative briefing was followed by a lively networking session.

Thank you Mr. Jesper Palmqvistm, Senior Director of STR Asia Pacific, for sharing the perspectives on trends and outlook in the hospitality industry in Thailand and APAC. Also thanks all participants for the interests.

GTCC Deputy Executive Director’s mission to Germany

GTCC Deputy Executive Director Mr. Marius Mehner had been on a mission in Germany during 20-22 November 2023. He gave insights and advice on the current market development and business opportunities in Thailand, also promoting International Hydrogen Ramp-Up Programme "H2Uppp" and the H2-ASEAN Regional Snapshot” at the Internationaler Beratungstag (International Consulting Day) organised

by IHK Region Stuttgart on 20th of November, the Internationaler Beratungstag organised by IHK Frankfurt am Main on 22nd of November and the Trade & Connect organised by IHK für München und Oberbayern on 23rd of November.

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26 CHAMBER ACTIVITIES

NRW goes South East Asia Eight delegates from North Rhine-Westphalia (NRW) had visited Thailand during 22 November – 25 November 2023, as part of their delegation trip “NRW goes South East Asia: Vietnam and Thailand”. Supported by NRW.Global Business GmbH, the federal state-owned foreign trade promotion agency, the delegation trip aimed to provide insights into Thailand's political, legal, and industrial landscape, as well as to establish network with contacts of companies from NRW actively operating in Thailand.

BRIEFING On the first day, GTCC hosted a briefing to NRW delegation at Anantara Siam Bangkok Hotel. GTCC Executive Director Dr. Roland Wein, Deputy Chief of Mission at German Embassy Bangkok Mr. Hans-Ulrich Südbeck and Director Thailand, Myanmar, Cambodia, Laos of Germany Trade and Invest (GTAI) Mr. Thomas Hundt gave a comprehensive overview of Thailand's political landscape, economic development and German businesses in Thailand.

After the briefing, a business reception was arranged for the delegates to meet with NRW companies in Thailand for further networking and collaboration.

VISITING MERCEDES-BENZ BATTERY PRODUCTION SITE, METALEX AND COVESTRO (THAILAND) The delegates, together with GTCC Executive Director, visited Thonburi Energy Storage Manufacturing (TESM), Mercedes-Benz on 23 November and Covestro Thailand in the Industrial Estate Map Ta Phut on 24 November.

Thanks to Mr. Mark Berger, CEO of Mercedes-Benz Manufacturing Thailand, and Dr. Timo Slawinski, Managing Director of Covestro (Thailand) and Site Manager Map Ta Phut for the warm welcome.

At TESM in Samut Prakan, the delegates were provided with a comprehensive overview of Thonburi Automotive Assembly Plant (TAAP) as well as TESM. During the tour, they gained first-hand experience in the advanced battery production (PHEV and EB4) and the automotive production line.

At the Covestro in Rayong, a short introduction of the investment projects and their operations was given to the delegates, while they were introduced to Covestro’s sustainable circular site during the sustainability tour.

The delegation also visited METALEX, No. 1 Machine Tools & Metalworking Exhibition Serving ASEAN, at BITEC, Bangkok on 23 November 2023, to explore new machine tools, metalworking solutions, and many other metalworking technologies.

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CHAMBER ACTIVITIES 27

GTCC Member Exclusive Site Visit to Rhenus Thailand Warehouse More than 30 GTCC members joined GTCC site visit on 23 November 2023 to Rhenus Thailand Warehouse, Bangna-Trad KM.19, exploring its advanced storage systems and high-quality inventory management and solutions. We appreciate the warm welcome

by Mr. Timo Herbst, General Manager Business Development; Mr. Mark Scheepers, Director of Warehousing Solutions Thailand; Khun Piyapong Pratumpitak, General Manager - Business Development CL; Khun Sunai Imhun, General Manager - Warehouse Operations; Khun Pakpoom Chaokaweepong, General Manager, Operations Excellence & Implementations SEAPAC; and the team.

GTCC x Rhenus Logistics Beer Tasting The site visit was followed by “GTCC x Rhenus Logistics Beer Tasting” at the Le Meridien Bangkok where 40 guests were welcomed.

The event connected people from various industries including NRW delegates, while enjoying different beer styles and varieties.

We are grateful to our Event Partner Rhenus Logistics and Beverage Partners: Paulaner

by Flow Inter and Bavarian Craft Co., Ltd. for the wonderful support.

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28 CHAMBER ACTIVITIES

Third business round table on Sustainable Aviation Fuel (SAF)

GTCC organised the third Business Round Table on Sustainable Aviation Fuel (SAF): A business development talk by Hydrogen Ramp-Up Programme “H2Uppp” on 23 November 2023, in collaboration with GIZ Thailand, with support from the Federal Ministry for Economic Affairs and Climate Action (BMWK).

Ser ving as an exclusive platform for discussion on important aspects in SAF market development in Thailand with objectives to facilitate discussions and dialogue for the establishment of publicprivate partnerships (PPPs) in the field of SAF, the roundtable was attended by key players from Thailand's leading companies in SAF industry.

The event was opened with welcome speech by Dr. Dominika Kalinowska, Director Transport Projects Thailand-ASEAN from GIZ Thailand. Mr. Tim Nees, Project Manager H2uPPP from GIZ Thailand led the discussion.

Technical advisors from H2Uppp team, Dr. Visarn Lilavivat from National Energy Technology Center (ENTEC) together with Dr. Kan-Ern Liew, Head of technology from Airbus, shared their insights into SAF market development and study in Thailand and Southeast Asia. Attendees also had the opportunity to discuss and exchange ideas on SAF development and its implementation in Thailand.

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CHAMBER ACTIVITIES 29

GTCC Seminar with SAP on CBAM GTCC organised a seminar on the Carbon Border Adjustment Mechanism (CBAM) with SAP Indochina to discuss the CBAM’s impacts on Thailand on 28 November 2023 welcoming about 60 participants from multiple industries. The event started with a welcome address by Khun Kulwipa Piyawattanametha, Managing Director, SAP Indochina, followed by special remarks by Hans-Ulrich Südbeck, Deputy Chief of Mission, German Embassy Bangkok; Mr. Petros Sourmelis, Minister Counsellor, Head of Trade and Economic Section, Delegation of the European Union to Thailand; and Khun Worakan Kosolpisitkul, Executive Director, Investment Promotion Division, Board of Investment (BOI).

Highlights of the event included two panel discussions on “CBAM's global impacts on Thailand's trade competitiveness and its implications” and “How Thai organizations prepare for CBAM” by representatives from the Department of International Trade Promotion; Thailand Board of Investment (BOI); the Department of Climate Change, Ministr y of Natural Resources and Environment; Charoen Pokphand Foods PLC (CPF); Creagy Company Limited; Southeast Asia and SAP Indochina.

GTCC Partners and Customers Appreciation Event

GTCC organised an exclusive event to express our gratitude to them and celebrate the successful cooperation together 28 November 2023 at The Peninsula Bangkok.

We look forward to our the continued support and fruitful collaboration in 2024!

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30 CHAMBER ACTIVITIES

Thai-German “Climate Talk” Conference The German Embassy in Bangkok, with support of GTCC, organised the Thai-German “Climate Talk” conference on 7 December 2023 at the Eastin Grand Hotel Phayathai in Bangkok. The conference began with welcoming remarks by H.E. Dr. Ernst Reichel, German Ambassador to Thailand, followed by a keynote speech by Dr. Kannika Thampanishvong, Section Head at the Puey Ungphakorn Institute for Economic Research, Bank of Thailand.

With aims to contribute to ongoing debates on climate issues among the broad public in Thailand, the conference comprised an insightful panel discussion titled “Climate Talks Perspectives on Climate Change,” by representatives from Move Forward Party, Asian Institute of Technology, Thailand Clean Air Network, Amata U., Nithi Foods Co., Ltd., Media Agency: Today. This was followed by interactive workshop sessions covering three topics: • “Green Hydrogen - Clean and climate-friendly energy solution” led by representatives from GIZ Thailand, Enapter, and Bangkok Industrial Gas Co., Ltd. • “E-Mobility - The road to zero emissions” led by representatives from EGAT and UN-ESCAP. • “Mitigation and adaptation of agriculture” led by representatives from GIZ Thailand, Kasetsart University, Olam (Thailand), and Suan Lahu Co., Ltd. The conference concluded with a reception for the participants to establish the network of people working in relation to the environmental and climate protection.

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CHAMBER ACTIVITIES 31

Exchanging experience on green hydrogen at Export Initiative Environmental Protection workshop Export Initiative Environmental Protection (EXI): an experience exchange and workshop for think-tanks on Green Hydrogen took place in Berlin during 29 November - 1 December 2023 with the participation of GTCC Sustainability Manager Mr. Nupat Khusribanchong. The event showcased AHK project scouting results and pipeline projects from stakeholders worldwide, with the first day dedicated to workshops and knowledge exchange among participants from AHKs in New Zealand, Chile, Thailand, Ghana, Rio de Janeiro, and the Philippines.

Day 2 featured a NOW GmbH networking e vent under the Exportinitiative e n v i ro n m e n ta l p r ote c t i o n , w h e re representative from AHKs share information on market potential of green hydrogen and fuel cell technologies for decentralized #EnergySupply projects in their respective countries. They emphasized the importance of open dialogue with German technology providers and highlighted the crucial role of

AHKs in project collaboration. The event underscored the need for suitable conditions for these technologies and demonstrated how collaborations can contribute to global sustainability goals. Day 3 focused on exciting insights into hydrogen applications at BEN-Tec GmbH in Höxter.

GTCC Executive Director in Germany with Hydrogen Dialogue Delegation GTCC Executive Director along with the Hydrogen Dialogue delegation from Thailand joined the Hydrogen Dialogue 2023 Summit & Expo on 5 December 2023 at NürnbergMesse, engaging in discussions with key decision-makers and gaining crucial insights on current key topics within the context of the German Hydrogen boom.

They visited Bosch Plant in Stuttgart on the next day, exploring Bosch’s Hydrogen production. We would to thank Mr. Sebastian Budischin, VP, Head of Venture Building and Strategy, Stationary Solid Oxide Fuel Cells; Mr. Carsten Horn, Product Manager SOFC Bosch; and Mr. Satid Malairodsiri, Senior Manager (Customer Chief Engineering ASEAN region) at Robert Bosch (Thailand) for the warm welcome.

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32 CHAMBER ACTIVITIES

Year-end appreciation dinner GTCC hosted a special year-end dinner on 13 December 2023 to extend heartfelt appreciation to our President, Vice President, Honorary Secretary, Board members, and Honorary members, for their exceptional support and contributions to the success of the GTCC throughout the year. The dinner took place at the Sheraton Grande Sukhumvit.

AHK Training Week at DIHK GTCC Deputy Executive Director Mr. Marius Mehner had been participating in insightful workshops in Berlin organised by the German Chamber of Commerce and Industry (DIHK) during 13-15 December 2023. He exchanged with project partners and colleagues from various German Chambers of Commerce abroad (AHKs), enriching AHK's work in the future and elevates project services. The workshops also explored ways to enhance project preparation and ensure successful execution.

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CHAMBER ACTIVITIES 33

AHK ASEAN Strategy Workshop

GTCC Executive Director participated in the AHK ASEAN Strategy Workshop in Jakarta from 10 to 12 December 2023. Together with Executive Directors and representatives from other German Chambers of Commerce (AHKs) in ASEAN, they discussed the election of AHK ASEAN spokesperson and joint activities in 2024, among other important topics.

GTCC AFTERWORK Christmas Edition

GTCC celebrated the Christmas seasons 2023 together with GTCC members, guests and friends in a grand ambiance of Sindhorn Kempinski Hotel on 14 December 2023. Highlights of the event included participants dressed in red and/or green, delicious German-inspired festive food and drinks, freshly made traditional Glühwein and the German Christmas cake Dresdner Christstollen.

We highly appreciate the great support from our Event Partners: Adepro, Bumrungrad, Luther; Beverage Partner: Paulaner by Flow Inter; and Venue Partner: Sindhorn Kempinsiki Hotel.

This year also marked the grand prize of Bangkok-Munich return ticket supported by Lufthansa with the “Munich Package”.

There were also attractive prizes sponsored by Sofitel Bangkok Sukhumvit, SO/Bangkok and The Sukhothai Bangkok Hotel.

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34 BUSINESS BRIEFS

B.Grimm celebrates the 145-year anniversary in Thailand Congratulations to B. Grimm on the 145-year anniversary in Thailand. B.Grimm is one of GTCC’s founding members and Premium Partners.

On 15 November 2023, GTCC Executive Director, Head of Membership, Events and Communications, Junior Event &Community Manager and GTCC members congratulated President of B.Grimm Power PCL Dr. Harald Link and his team on the new milestone, celebrating together the "145 Years of B. Grimm in Thailand with compassion, gratitude, and dedication" at Wat Arun Ratchawaramahawihan.

The anniversary event was graciously presided over by Her Royal Highness Princess Maha Chakri Sirindhorn.

Sindhorn Kempinski celebrates the hotel’s third anniversary with traditional Thai blessing Sindhorn Kempinski Hotel Bangkok recently commemorated its third anniversary and welcomed the coming year with traditional Thai blessing and merit making rituals, followed by a ceremony. The Kempinski team joined in blessing and recognition ceremonies with Kempinski Loyalty Award to colleagues.

“From the blessing by Buddhist monks to Kempinski Loyalty Awards, we celebrate every wondrous facet that makes us who we are at Sindhorn Kempinski,” said Christian Ruge, General Manager of Sindhorn Kempinski Hotel Bangkok. “This elegant blend of Thai culture and Kempinski heritage bonds us, and we look forward to many more years of sharing our signature style with visitors.”

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BUSINESS BRIEFS 35

Rhenus Regional HQ Opening in Bangkok Rhenus Logistics recently opened its regional headquarters in Bangkok, symbolising the company’s aspirations to solidify its foothold in APAC . Sin ce R h e nu s began act i v e operations in Thailand in 1996, its presence has expanded steadily with currently eleven warehouses, cross-docking facilities and office locations. The establishment of this new regional hub heralds a new chapter for the company. Mr Jan Harnisch, CEO of Rhenus Air & Ocean, explained, “Thanks to the country's central location in Southeast Asia, Thailand is a gateway to other countries in the region, providing significant opportunities for businesses operating in the logistics sector. With its growing e-commerce market and increasing demand for highquality logistics services, Thailand presents an exciting growth prospect for us.”

Rhenus Group has a large global network and business operation with an annual turnover of EUR 8.6 billion and 39,000 employees in 1,120 locations including Thailand.

Bangkok Marriott Marquis Queen’s Park wins Haute Grandeur Global Hotel Awards Its Quan Spa was also honoured with a trio of Excellence Awards, including “Best Country Spa in Asia,” “Best City Spa in Thailand,” and “Best Signature Spa Treatment in Asia” for its Benja Malee Ancient Flower Remedy.

The hotel’s Pagoda Chinese Restaurant, won four Excellence Awards, including “Best Gourmet-style Cuisine on a Global Level,” “Best Chinese Cuisine in Asia,” and “Best Hotel Restaurant in Asia,” while Chef Oscar Pun, the restaurant’s culinary expert, won the “Best Head Chef in Thailand” title.

Bangkok Marriott Marquis Queen’s Park wins multiple honours at the 2023 Haute Grandeur Global Hotel Awards, a prestigious globally trusted Awards rewarding outstanding hotel, spa and restaurant experiences.

With approximately 5,000 square meters of function space, including three glamorous ballrooms, Bangkok Marriott Marquis Queen’s Park won the “Best MICE Hotel in Thailand” Excellence Award.

These prestigious Excellence Awards reflect the sheer quality of the hotel’s guest experiences, including its exceptional event spaces, dramatic dining, serene spa services and more.

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36 GTDEE INSIGHT

A roundtable on TVET at German Embassy Bangkok A roundtable on Technical and Vocational Education and Training (TVET) was hosted by the German Embassy in Bangkok on 27 September 2023. The event started with welcoming remarks by Dr. Thorsten Clausing, Science and Technology Counsellor, German Embassy in Singapore and German Embassy in Thailand. Representatives from the German Chamber of Commerce and Industry (DIHK), German Chambers of Commerce Abroad (AHKs) in the ASIA Pacific region, DLR Projektträger (DLR-PT), Federal Institute for Vocational Education and Training (BIBB), UNESCO/UNEVOC, TU-Dortmund and BFW – Construction Training Institute NRW gGmbH, joined the roundtable moderated by Mr. Tobias Bolle, Director of Vocational Training & Education Abroad, DIHK, Germany. The roundtable focused on knowledge exchanges among participating organizations and sustainability on the implementation of the TVET programme.

The activities were part of the AHK Regional Meeting Asia-Pacific on Dual Vocational Education and Training (DVET) organised

by GTCC during 27-29 September 2023.

AHK Regional Meeting Asia-Pacific on DVET An AHK Regional Meeting Asia-Pacific took place on 28 September 2023 at Eastin Grand Hotel Bangkok, sharing experiences on dual vocational education and training, AdA International (Train the Trainer) Industrial Meister training and development as well as DIHK-AHK training courses. The meeting was moderated by Mr. Tobias Bolle from DIHK and participated by experts in the field of DVET, TVET and Educator Development from AHK in the ASIA Pacific.

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GTDEE INSIGHT 37

DIHK-AHK Certificates Handover to Mercedes-Benz Apprentices On 18 October 2023, the handover of DIHK-AHK Certificates to Mercedes-Benz Apprenticeship Programme Batch 2021 takes place at Mercedes-Benz Training Centre (MBCC). President and CEO of Mercedes-Benz (Thailand) Mr. Martin Schwenk, Dr. Roland Wein Executive Director of German-Thai Chamber of Commerce and Miss Regina Kimple Second Secretary of Economic and Commercial Section German Embassy congratulatory remarks to graduation apprentices. The graduates attended the Automotive Mechatronics Technician Dual Training Program offered by Mercedes-Benz (Thailand) in partnership with GTDEE/ GTCC, Samutprakan Technical College, Eastern Technological College (E.Tech), Don Bosco Technological College, Bangkok and Lopburi Technical College.

AdA International (Train the Trainer) GTCC organised training workshops of the AdA International (Train the Trainer) for 8 participants comprising trainers from the Chiangmai Beverage Co., Ltd., a technical trainer from the Faculty of Engineering, RMUTL and an expert from the Welding Institute of Thailand. The workshops were part of a 120-hour course held from 17 October to 9 November 2023. The participants were instructed on training methods in holistic approach according to German quality standards of the AEVO (German-Ausbilder-Eignungsverordnung).

The workshops were led by Dr. Kamonsak Suradom, GTDEE Senior Manager, and Asst.

Prof. Dr. Ksihda Srichanpiyom from Faculty of Technical Education, KMUTNB.

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38 GTDEE INSIGHT

Workshop on critical thinking for mechatronics students On 15 November 2023, GTCC represented

by GTDEE Senior Manager Dr. Kamonsak Suradom organised a workshop on critical thinking concepts for mechatronics students batch 2023 from the Eastern Technological College (E.Tech), who participate in the mechatronics programme under a projectbased learning approach of the German Standard. The workshop focused on capacity building and developed critical thinking, confidence and passion to work as a capable technician.

Workshop on critical thinking On 21 November 2023, GTDEE Senior Manager Dr. Kamonsak Suradom organised a workshop on the basic concept of critical thinking for the apprentices of Robert Bosch Automotive Thailand Apprenticeship Programme batch 2023 (Hemaraj plant).

Held at Mechatronics Department, ThaiAustrian Technical College and led by GTDEE Senior Manager, the workshop focused on correct information, critical thinking and confidence in using mechatronics skills.

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GTDEE INSIGHT 39

PAL Final Examination Part 1 in Automotive Mechatronics GTDEE/ GTCC organised the PAL Final Examination Part 1 (Theoretical and Practical) in Automotive Mechatronics for the BMW Service apprentice Program batch 2022, from 27 November to 1 December 2023.

Based on the principle of German dual vocational education and training abroad, the examination was held at the BMW Group Thailand Training Center, Pathum Thani. The Examination Committee comprised experts from automotive engineering field, the College of Industrial Technology, King Mongkut’s University of Technology North Bangkok, the industrial sector and GTCC.

Aptitude test for the Bangkokcable Mechatronics Apprenticeship Programme On 6 December 2023. GTDEE organised a pre-selection aptitude test for Bangkokcable Mechatronics Apprenticeship Programme batch 2024 at Mechatronics Training room, Don Bosco Technological Bangkok. GTDEE Senior Manager led the pre-selection in Theoretical and Practical test. The applicants of this programme are students in Por-WorChor Year 3 for the German-standard Mechatronics student Programme.

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40 GTDEE INSIGHT

Systematic thinking workshop for industrial mechanics apprentices On 7 Dec 2023, GTDEE organised a workshop according to the PAL Final Examination which will take place in July 2024. With the participation of 9 industrial mechanics apprentices from the PTB Apprenticeship Programme batch 2023, the workshop focused on systematic thinking, mathematics for quality control analysis and practices adapted from the theoretical part for working in the real world. It took place at the Thai-French Innovation Building, KMUTNB.

Online meeting on DVET Introduction On 13 December 2023, GTDEE organised an online meeting with representatives from the Knowledge Management of Boonrawd Brewery and RMUTL Tak Campus. The PorWor-Chor students in the mechanics and automation field who are interested to apply for the Chiangmai Beverage Mechatronics Apprenticeship Programme batch 2024 were introduced to the DVET.

UPDATE 1/2024

GTDEE INSIGHT 41

Handover of DIHK-AHK Certificates for BMW Service Apprentice Program On 15 December 2023 at FYI Center, Bangkok, BMW Group Thailand Training Center organised the DIHK-AHK Certificates Handover Ceremony, in cooperation with GTCC, for BMW Service Apprentice Program batch 2020 and 2021.

GTCC Executive Director Dr. Roland Wein and representative of BMW Group Thailand Training Center Ms. Manussanun Yooyativong (Qualification and Training Manager) delivered congratulatory messages to the graduates from the BMW Service Apprentice Program supported by BMW Group Thailand, in cooperation with GTDEE/ GTCC, Chitralada Vocational (School), Eastern Technological college (E.Tech), Don Bosco Technological College and Bangkaewfa Industrial and Community Education College.

Congratulations on reaching the PAL Final Examination’s highest score in 2023 Congratulations to Mr. Setthapong Chomputhawat on earning the highest score of the PAL Examination in 2023 in Thailand.

After joining the BMW Service Apprentice Program batch 2021 as an apprentice from Don Bosco Technological College Bangkok, he has been working at BMW Performance Motor Ramintra.

PAL is the development center for examination questions and training materials in industrial/ technical professions within the dual system for vocational training. The PAL Examination has been established as a German standard examination which is comparable all over Germany.

On his achievement of having the highest score in the PAL Final Examination in Automotive Mechatronics, he said “, My inspiration came from my dream when working at BMW as a Service Technician.

During the 2-year training with the BMW Service Apprentice Program, I got a lot of experiences from senior trainers with an expertise in diagnostics and maintenance.

The dual vocational education and training offered me good opportunities. I learnt about planning, teamwork, expertise under customer oriented. Thank you very much for the BMW Service Apprentice Program, GTDEE and GTCC. I always think that I can build up my career path for the future with a good team and the BMW family.”

42 MEMBERS’ CORNER

New GTCC members up to 31 December 2023

German-Thai Chamber of Commerce warmly welcomes 15 new members Administration Outsourcing Co., Ltd.

DBot Co., Ltd.

Mr. Dominik Heer Executive Director Mr. John Casella CEO info@adminoutsourcing.com https://www.adminoutsourcing.com/ Accounting, bookkeeping and auditing activities; tax consultancy | Business and other management consultancy activities

Mr. Maximilian Richter Managing Director max@dbotsoftware.com https://www.dbotsoftware.com/ Computer programming, consultancy and related activities | Information service activities

Avani Pattaya Resort

E&W Industrial Service Asia Co., Ltd.

Mr. Matthew Fryar General Manager Ms. Sumitra Chimpiboon Director of Sales pattaya@avanihotels.com https://www.avanihotels.com/en/pattaya Hotels and similar accommodation | Food and beverage service activities

Mr. Stefan Czerwinski Technical Manager Ms. Sornluck Sudprasert Sales Engineer stefan.c@ewins.asia https://ewins.asia/ Industrial cleaning solutions | Repair and installation of machinery and equipment | Other professional, scientific and technical activities n.e.c.

BSB Saugbagger und Zweiwegetechnik Stefan Mattes GmbH & Co KG

Expolink Global Network Limited

Mr. Stefan Mattes CEO Mr. Siegfried Hans-Juergen Weise Chief of Product Distributing mattes@saugbagger-betriebe.de https://tinbin.de/ Manufacturer of railroad construction equipment

Mr. Matthias Johannes Kuepper Managing Director Ms. Pansa Supakajornwanich Deputy Managing Director info@expolink.net https://www.koelnmesse.com/ Organisation of conventions and trade shows

Combi Lift Projekt GmbH & Co. KG

GROB Machine Tools (Thailand) Co., Ltd

Mr. Juergen Kohnen Country Manager Thailand Mr. Torben Berger Sr. Vice President Global Sales combi-lift@harren-group.com https://www.combi-lift.net Land transport and transport via pipelines | Sea and coastal freight water transport | Freight air transport

Mr. Uwe Wedler Managing Director GROB-Asia Pacific Mr. Sanont Phanich Country Manager GROB-Thailand info@th.grobgroup.com https://www.grobgroup.com/ Manufacture of parts and accessories for motor vehicles

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MEMBERS’ CORNER 43

Mr. Jurgen Wolf

Rhein Köster GmbH

jurgenkawolf@outlook.com

Mr. Luis Jean-Marc Oehme Director of Global Business Development Mr. Eric Moskwa CEO info@rhein-koester.com https://rhein-koester.com/ Technical and vocational secondary education

LODEC Metal Trade (Thailand) Co., Ltd.

Mr. Uwe Wojatzek

Ms. Vanessa-Alexandra Dandelski General Manager Ms. Nunnapat Chuenjumlong Sales Manager n.chuenjumlong@lodec.asia https://lodec.asia/ Wholesale of other intermediate products | Wholesale of metals and metal ores

Partner Disco FZE disco@web.de

LSB Logistik, Service und Bausicherheit B.V.

Wuerth Industry Service (Thailand) Co., Ltd

Mr. Torsten Wölm CEO info@lsb-nl.com Specialised construction activities

Mr. Satesit Sukcharoen Managing Director info@wuerth-industry.co.th https://www.wuerth-industrie.com/ Wholesale of machine tools | Wholesale of chemical products | Wholesale of other intermediate products

Noble House Advisory Mr. Falco Tobias Meuser Managing Director connect@noblehouseadvisory.com https://noblehouseadvisory.com/ Management consultancy activities

www.thailand.ahk.de