BMW (Thailand) Co expects sales in the second half of this year to grow by at least 60% following the launch of its new model, said president Michael Kordys.

The German carmaker is scheduled to introduce its new 5 Series model at BMW Xpo 2010 in the third quarter. Mr Kordys hopes the new models will help BMW top the medium-sized premium car segment in Thailand.

In the first six months of this year, sales of BMW cars increased by 56%, while its Mini sales increased by 27%.

"As for the second half of this year, we will have to see how the market develops as the riots in April and May will cause a slowdown in sales in the third quarter," said Mr Kordys.

"However, we believe the second half will be successful and we have a long-term commitment to Thailand."

Industry Minister Chaiwuti Bannawat said BMW had discussed problems concerning imported auto parts. Specifically, the company asked the Thai government to exempt some requirements for auto parts inspections.

"They see no need for the Thai Industrial Standards Institute (TISI) to re-check products that are already up to standard because they have been checked at its manufacturing plant overseas before import," said Mr Chaiwuti.

Premium cars face another problem, as European cars are now compatible with the diesel Euro 5 standard, while Thailand's diesel standard is Euro 3. Thailand's Euro 4 standard is scheduled to take effect in 2012.

BMW said the TISI should check whether imported cars are suitable for Thailand's fuel standards, especially as some products are imported by grey market players, said Mr Chaiwuti.

He added the Industry Ministry was collaborating with the Labour and Education ministries to deal with the shortage of workers in the auto industry.

"Currently technical engineers are working two to three shifts, so the Education Ministry has been promoting the field and next year will have more vocational graduates," he said.