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Thai Motorcycle Production Target Faces Downgrade Amid Economic Challenges

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05-motorcycle-production.jpg

File photo for reference only

 

The Federation of Thai Industries (FTI) is contemplating a downgrade of Thailand's motorcycle manufacturing target despite an overall production increase in the first quarter of this year. Economic concerns, especially a sluggish domestic economy, declining foreign tourist arrivals, particularly from China, and uncertainties due to US tariff policies, contribute to this outlook.

 

Surapong Paisitpatanapong, vice-chairman of the FTI and spokesman for the Automotive Industry Club, remarked on the difficult year facing the automotive sector. The initial forecast was a minor increase of 0.1% in motorcycle production in 2025, bringing it to 2.1 million units.

 

In the first quarter, motorcycle manufacturing rose by 0.71% year-on-year, totaling 664,485 units. This included a slight dip of 0.36% in completely built-up (CBU) units but a notable rise of 5.26% in completely knocked-down (CKB) units. March saw a 6.54% year-on-year increase, with 233,782 units produced.

 

However, Surapong highlighted that these figures do not assure continued growth through 2025. The declining number of Chinese tourists significantly impacts the industry. Following the kidnapping of Chinese actor Wang Xing and a recent earthquake affecting Myanmar and Thailand, chartered flights have dropped sharply by over 20%.

 

A China Trading Desk study revealed Thailand's declining popularity among Chinese travelers, slipping to seventh place from fourth. Atta president Thanapol Cheewarattanaporn emphasized the need for Thailand to urgently address the slowdown in the Chinese market, which is a stark contrast to stable growth in other tourist segments.

 

Motorcycle production aligns closely with tourism activities, as many visitors prefer to explore Thailand on two wheels. Domestic motorcycle sales have risen by 1.7% year-on-year to 455,244 units in the first quarter; however, exports suffered a 4.5% decline, reaching 242,096 units.

 

Thailand's primary motorcycle export markets include the US, UK, Belgium, and Japan. Amid these challenges, the FTI plans to reassess production targets by mid-year, navigating economic fluctuations while relying on strategic measures to sustain the motorcycle industry.

 

image.png  Adapted by ASEAN Now from Bangkok Post 2025-05-02

 

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  • Popular Post
6 minutes ago, snoop1130 said:

Motorcycle production aligns closely with tourism activities, as many visitors prefer to explore Thailand on two wheels

 

Seriously?

Don't know why.  When you can't afford a car any longer you buy a motorcycle.

  • Popular Post

Why tourist rent motor bikes baffles me. Take Pattaya for instance where motor bikes are out of control. If a tourist needs a motor bike to go to his favorite boozer on a daily basis then he needs to change where he lives. I live just off Naklua Road and I go to Pattaya Tai for a drink several times a week. It's 10 baht in a baht bus and a few minutes walk. I've been doing this for 25 years and I'm not always sober but I"m still alive.

20 hours ago, snoop1130 said:

Motorcycle production aligns closely with tourism activities, as many visitors prefer to explore Thailand on two wheels

Blame the farangs why not...

20 hours ago, connda said:

Don't know why.  When you can't afford a car any longer you buy a motorcycle.

Borrow the in-laws

1 hour ago, hotchilli said:

Blame the farangs why not...

A motorcycle should have wheels designed to support the standard weight of an average Farang in order to promote greater equality.
 

1 hour ago, Jone500 said:

A motorcycle should have wheels designed to support the standard weight of an average Farang in order to promote greater equality.
 

Whats the average weight in USA 400Ibs?

Look good on a Wave 125cc with fat tyres

3 hours ago, hotchilli said:

Blame the farangs why not...

They're blaming the Chinese.

With the increase in car numbers, riding a motorcycle in Thailand has become a very, very dangerous way of getting about. 

12 minutes ago, retsdon said:

With the increase in car numbers, riding a motorcycle in Thailand has become a very, very dangerous way of getting about. 

 

Interesting, I felt more in danger from other motorcycle drivers than I did from other cars while driving my big bike.

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