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Cost of new automobiles in Thailand

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Why are cars manufactured in Thailand -more expensive to buy in Thailand than the countries they are exported to.

One in particular is the New Honda City and a second is the Ford Focus.

Thai taxes, partly. During the new car scheme, the government gave rebates for the taxes and it seems like it was around 100k per car. ??

Moved to motoring.

And besides taxes, why do you think prices should be based on costs?

The manufacturer will sell at the price that will maximize their profits balancing volume, opportunity costs of different markets etc.

The same goods often sell at lower prices in poorer countries, or ones with greater competition or where they are willing to sacrifice short-term profits to gain market share.

Tax. Because very few Thai pay tax and what they do pay is based on silly income statements. So the government gets the tax owed when consumers buy a car. You would be surprised how many MB owners only earn say 100,000 baht a month! How many farmers with pick-ups declare almost no income?

At least that is some kind of smart move from the government, they know that everyone cheats, but when you´re going to get your Benz and the Rolex they catch you :) Living is cheap, luxury isn´t.

And in Thailand the japanese car markers don´t need to fear any competitors, they can offer cheap spec. overpriced cars which they couldn´t sell in that manner in other markets where they are not nr.1

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