From: Reuters
Published April 20, 2008 08:17 PM

Isuzu plans to build trucks in Saudi Arabia: Nikkei

TOKYO (Reuters) - Truck maker Isuzu Motors Ltd <7202.T> may begin building trucks in Saudi Arabia early next year, becoming the first Japanese automaker to produce vehicles there, the Nikkei newspaper said on Monday.

Isuzu will build the midsize to large trucks from knock-down kits, where the parts of chassis, engines and other large components are exported from Japan, the paper said.

Initial annual production is slated for around 2,000 to 3,000 units.

Isuzu spokeswoman Ai Ito said the truck maker was considering various options for Saudi Arabia but that the company had made no firm decisions yet.

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Construction and thus truck demand has been rising in Saudi Arabia, where the economy has been benefiting from a fivefold surge in oil prices over the last six years.

(Reporting by Edwina Gibbs)

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