Thailand's automotive market struggles with declining sales amid regional competition

From Yahoo Finance: 2025-06-10 06:16:00

Thailand’s automotive market saw a 26% YoY decline in LV sales in 2024, with Q1 2025 experiencing a further 7% contraction. The government is offering loan guarantees for Pickup Trucks to boost sales, aiming to stimulate the purchase of over 6,250 new vehicles, focusing solely on local production models.

Vietnam’s automotive sector is thriving, with a 53% growth in Q1 2025. In contrast, Thailand faces economic challenges, delaying new vehicle launches and limiting market potential. Forecasts predict Vietnam to reach a record 512k units and Thailand to hit a 15-year low of 555k units in 2025.

Despite subdued domestic sales, Thailand remains ASEAN’s largest automotive production hub. Production is expected to reach 1.39 mn units in 2025, lower than pre-pandemic levels. Strategic support for xEVs and next-gen technologies could stabilize the sector and maintain Thailand’s competitive edge in the ASEAN market.



Read more at Yahoo Finance: Thailand’s automotive market faces critical challenges amidst shifting regional landscape