MG shifts gears as Thai pickup production hits the brakes amid slowdown
SAIC Motor-CP has hit the brakes on its Thai pickup truck production. The pause by the Chinese-Thai collaboration producing MG vehicles, comes as the domestic car market takes a downturn, although there’s hope for a reboot once conditions steady.
While MG Sales (Thailand) hasn’t disclosed specific production figures for diesel pickups, company Vice-President Pongsak Lertruedeewattanavong reassures consumers.
“Pickups aren’t our primary focus, so the impact is minimal. Production will resume when market conditions improve.”
The Thai car market has faced a decline since 2023, with prospective buyers finding it increasingly difficult to secure auto loans.
Financial institutions have tightened their lending criteria due to concerns over non-performing loans, amid high household debt levels and weakened consumer purchasing power.
Pongsak predicts that this challenging situation will persist throughout the year, with credit access issues significantly contributing to the downturn in sales.
Domestic car sales are projected to reach between 550,000 and 570,000 units, including electric vehicles (EVs). The Federation of Thai Industries reported a sharp 26.1% year-on-year decrease in total car sales to 572,675 units in 2024. Pure pickup sales alone dropped by 38.3% to 163,347 units.
SAIC Motor-CP operates a large manufacturing facility in Chon Buri, with an annual production capacity of 100,000 vehicles.
Thailand acts as a crucial export base, with MG vehicles primarily shipped to ASEAN countries. According to Pongsak, this strategic positioning helps buffer MG from US tariff challenges.
Last year, MG sold 17,000 vehicles in Thailand, evenly split between electric and internal combustion models. The company aims to sell 20,000 units this year, increasing its market share from 3% to 5%. MG plans to continue launching new electric models, with a target of EVs comprising 60% of sales, reported Bangkok Post.
The new MG IM6 electric SUV is set to debut at the Bangkok International Motor Show from March 26 to April 6, marking an exciting step in MG’s electrifying journey.
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