Thai car production dips 0.13% in April as exports surge 43.53%

Photo by Lenny Kuhne on Unsplash

Thailand experienced a slight decline of 0.13% in car production in April compared to the previous year, with a total of 117,636 units produced, according to the Federation of Thai Industries (FTI). This decrease was primarily due to a drop in truck production. However, the country witnessed a significant surge in auto exports during the same month, owing to a low base in the previous year.

In April, domestic car sales saw a 6.14% year-on-year decrease, following an 8.37% drop in March. Surapong Paisitpattanapong, a spokesperson for the automotive industry division at the FTI, attributed this decline to stricter loans for trucks as interest rates increased.

On the other hand, car exports experienced a significant boost, rising 43.53% from a year earlier, largely due to the low base recorded in the previous year. This followed a 4.84% increase in March. In comparison, car production in March had seen a 4.16% year-on-year growth.

Thailand serves as a regional hub for vehicle production and export for several leading car manufacturers, including Toyota and Honda, reported Bangkok Post.

Meanwhile, the rise of the electric vehicle (EV) car market has been making waves in the global automotive industry, and its impact has been notably significant in Thailand, a major player in the global automotive market.

Thailand’s automotive sector is one of the most important pillars of its economy, contributing significantly to the country’s GDP and employment. As the largest automobile producer in Southeast Asia, Thailand has built a robust ecosystem of vehicle manufacturing, parts production, and assembly operations. The country is actively embracing the EV revolution, and the growing popularity of EV cars is stated to have far-reaching implications for its automotive workforce.

Thailand is adopting EV cars for several reasons, driven by a combination of environmental, economic, and strategic factors that align with the country’s long-term vision for sustainable growth and development.

The most pressing reason is the need to address growing environmental challenges, particularly air pollution and greenhouse gas emissions. Thailand is committed to reducing its carbon footprint and promoting cleaner transportation solutions. Moreover, the country is grappling with severe air pollution in urban areas, which has led to heightened public health concerns. Economically, Thailand aims to maintain its position as a major player in the global automotive industry by embracing the emerging EV market. You may also browse through the best luxury EV cars in Thailand here.

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Alex Morgan

Alex is a 42-year-old former corporate executive and business consultant with a degree in business administration. Boasting over 15 years of experience working in various industries, including technology, finance, and marketing, Alex has acquired in-depth knowledge about business strategies, management principles, and market trends. In recent years, Alex has transitioned into writing business articles and providing expert commentary on business-related issues. Fluent in English and proficient in data analysis, Alex strives to deliver well-researched and insightful content to readers, combining practical experience with a keen analytical eye to offer valuable perspectives on the ever-evolving business landscape.