Shell company of Thailand, which is known for products like Shell Tonna S3 M 68 and is the fourth biggest oil retailer in the country, believes it will see sales of its lubricants rise by 5% to 10% within a few years.
The executive director of the company’s Southeast Asia lubricant business, Troy Chapman, commented that 2016 would see increased stability, and that the company is expected to carry on with its expansion in order to take advantage of the growing demand from the 600 million people who make up the ASEAN (Association of Southeast Asian Nations) Economic Community.
Speaking to the Bangkok Post, he said:
“We do have a target. We generally tend to grow by 5-10% per year. We think we can grow in that range.”
Shell is optimistic that it will perform strongly this year, following a period of turbulence in the last few years that has also been endured by many other major oil companies.
Chapman noted that lubricant sales fell two years ago, when the car industry began to face its own struggles. He said:
“If you look back to 2014, when we knew that auto manufacturing faced a tough time, we saw our sales declining. Exports then slowed down as manufacturing was slowing down.”
However, he now thinks that new government plans to support Thailand’s economy could in turn lead to a boost in profits for Shell, particularly in the lubricants market. This rise in demand for its products will mean that Shell is likely to keep using the Asian country as a prominent production base.