Carmakers seek government aid

General Motors Corp. and Japanese automakers Honda Motor Corp., Toyota Motor Corp., Nissan Motor Co. and Mitsubishi Motors Corp. turned to governments and financial institutions for aid to continue their projects during the global economic slowdown. General Motors Corp. asked the Thai government in early March for help in securing loans to fund the construction of a 15 billion baht (US$416.87 million) diesel-engine factory in Rayong, to which the government responded positively, provided the company stays afloat. Honda, meanwhile, said it is considering borrowing from the Japan Bank for International Cooperation (JBIC), from which Toyota has already applied for a five-year loan of about ¥200 billion (US$2.04 million). On the other hand, Nissan and Mitsubishi have asked for low-interest loans from the Development Bank of Japan. Nissan has also spoken with the U.S. government regarding a bailout for their operations in the United States. (March 9/26, 2009)