Thailand's domestic auto market expected to decline 20-25 per cent this year

[webfact]

Domestic auto market expected to decline 20-25 per cent this year
By English News



BANGKOK, April 7 – Thailand’s auto market will shrink 20-25 per cent this year to a total sales volume of only 1-1.06 million units, according to Kasikorn Research Centre (KRC).

KRC said negative factors contributing to the fall include the termination of tax incentives for first-car buyers and political unrest during the first half of the year.

It predicted 2014 as another unfavourable year for the local auto industry after sales dropped in 2011 when Thailand was severely hit by major flooding.

This year’s auto manufacturing will drop to 2.2-2.3 million units, or by 6-10 per cent, compared to last year which saw a total production of 2.45 million units.

Thailand’s ninth rank among world auto producers in 2014 will possibly slide down this year.

KRC said this year’s auto manufacturing decline will be short-lived while positive factors --especially free trade under the ASEAN Economic Community framework and the development of the second generation of eco cars-- will stimulate the auto industry.

Ten auto manufacturers have applied to the Board of Investment (BoI) for promotional privileges in investing a total of Bt138.8 billion to manufacture 1.58 million units of eco cars.

The BoI has yet to decide on the qualified manufacturers but it is predicted that more than 500,000 units of eco cars will be produced locally, said KRC.

It said the 2nd generation eco car project will be another driving factor pushing Thailand’s auto production to above three million units in the next five years.

KRC said the political impasse and the state’s delay in stimulating the auto industry will impact the decision of some potential buyers in several sectors including agriculture, construction and logistics. (MCOT online news)


-- TNA 2014-04-07

[Now or Never]

Good. This may give road infrastructure improvements a chance to catch up.

Maybe it will improve safety on Thai Roads although this maybe wishful thinking.

[somchaismith]

The First-time car buyer rebate scheme was certainly responsible for putting a lot of cars on the roads, increasing pollution and causing more traffic jams.

Edited April 7, 2014 by somchaismith

[DrTuner]

Undoubtedly the SET and Baht will skyrocket. There seems to be a negative correlation defying belief, looks like the same type of phenomenon happening with the prices in low season.

[zydeco]

Effects of another goofy PTP populist scam finally hitting home. Now, we have even more crowded roads, people with more debt, car repos, and a collapsing car market. Autos, rice, and tourism--all down the drain. What's left to wreck?

[bushman1666]

The First-time car buyer rebate scheme was certainly responsible for putting a lot of cars on the roads, increasing pollution and causing more traffic jams.

Many of those vehicles have since been repossessed and are now adorning the forecourts of the plethora of new Used Car Dealers that are popping up everywhere. Market forces at work. I think there is a massive shake up in the Thai economy on the way. Hope land prices drop!

[hanuman2543]

The First-time car buyer rebate scheme was certainly responsible for putting a lot of cars on the roads, increasing pollution and causing more traffic jams.

And accidents and the death toll

Sent from my i-mobile IQ XA using Thaivisa Connect Thailand mobile app

[pisico]

The First-time car buyer rebate scheme was certainly responsible for putting a lot of cars on the roads, increasing pollution and causing more traffic jams.

And accidents and the death toll

Sent from my i-mobile IQ XA using Thaivisa Connect Thailand mobile app

NOT SO.

You are expressing your opinion not facts or statistics.

In the ER hospitals 75% of fatalities and/or injuries are the result of traffic accidents involving motorcycles, not cars.

That has been the norm for years. Also my experience from 2009-2013 during my tenure in Srivichai hospitals.

[skorchio]

The First-time car buyer rebate scheme was certainly responsible for putting a lot of cars on the roads, increasing pollution and causing more traffic jams.

And accidents and the death toll

Sent from my i-mobile IQ XA using Thaivisa Connect Thailand mobile app

NOT SO.

You are expressing your opinion not facts or statistics.

In the ER hospitals 75% of fatalities and/or injuries are the result of traffic accidents involving motorcycles, not cars.

That has been the norm for years. Also my experience from 2009-2013 during my tenure in Srivichai hospitals.

Yes we all know that the majority of road deaths are motorbike riders - they're the ones who end up on the meatwagon. That does not mean it was not a car that put them there!!!!

[hanuman2543]

Really simple: more cars on the road, more fatalities. Nobody denies that most of the fatalities are the result of accidents involving motorcycles.

Sent from my i-mobile IQ XA using Thaivisa Connect Thailand mobile app

[somchaismith]

The First-time car buyer rebate scheme was certainly responsible for putting a lot of cars on the roads, increasing pollution and causing more traffic jams.

Many of those vehicles have since been repossessed and are now adorning the forecourts of the plethora of new Used Car Dealers that are popping up everywhere. Market forces at work. I think there is a massive shake up in the Thai economy on the way. Hope land prices drop!

The used car prices even dropped, for a little while.

[jacko45k]

Good. This may give road infrastructure improvements a chance to catch up.

Maybe it will improve safety on Thai Roads although this maybe wishful thinking.

Good.... but in my case purely selfish, I do need a new truck but am not putting a substantial deposit down and waiting over 6 months for it to 'maybe delivered or delayed'

[zyphodb]

Good, maybe we might start to see a sensibly priced second-hand car market start to emerge, then all we need to do is change Thais mindset that everything has to be new.. might take a little longer...

[MaxLee]

Domestic auto market??? What domestic auto market????

Those cars are all produced by the Japanese. Hello!!!!!

[lostmebike]

Domestic auto market??? What domestic auto market????

Those cars are all produced by the Japanese. Hello!!!!!

Sure they maybe a Japanese brand but they're owned and built here.

'Toyota Motor Thailand Co.,Ltd, TMT controls the manufacturing of Toyota cars in Thailand and they supply cars to various official dealers throughout Thailand. TMT's main export market is the ASEAN region and the Oceania, but TMT also export cars to different parts of the world, especially the Toyota Hilux Vigo model. There are currently 122 official Toyota dealers with 365 showrooms that are approved by TMT'

[soalbundy]

Effects of another goofy PTP populist scam finally hitting home. Now, we have even more crowded roads, people with more debt, car repos, and a collapsing car market. Autos, rice, and tourism--all down the drain. What's left to wreck?

Nothing,that's the beauty of it all,absolutely nothing,what can be wrecked has been wrecked along with "Thai culture",religion,the fabric of society.It's not often one has the opportunity to witness a country self destructing for no real reason.It's Darwinism at work the Thais are starting to remove themselves from the worlds gene pool,they are showing for the first time a communal sense of responsibility to the world.

[Goat Roper]

The First-time car buyer rebate scheme was certainly responsible for putting a lot of cars on the roads, increasing pollution and causing more traffic jams.

And accidents and the death toll

Sent from my i-mobile IQ XA using Thaivisa Connect Thailand mobile app

NOT SO.

You are expressing your opinion not facts or statistics.

In the ER hospitals 75% of fatalities and/or injuries are the result of traffic accidents involving motorcycles, not cars.

That has been the norm for years. Also my experience from 2009-2013 during my tenure in Srivichai hospitals.

"You are expressing your opinion not facts or statistics".

Please tell us where one can get reliable statistics in Thailand.

[Old Man River]

Effects of another goofy PTP populist scam finally hitting home. Now, we have even more crowded roads, people with more debt, car repos, and a collapsing car market. Autos, rice, and tourism--all down the drain. What's left to wreck?

http://www.reuters.com/article/2013/09/22/us-thailand-autos-idUSBRE98L0JJ20130922

A good article by Reuters on this "goofy PTP populist scam finally hitting home". Now (in 2014) the PTP is saying it didn't budget enough to pay all the first time buyers, even though around 100,000 first time buyers paid down payments, some as high as THB 100,000 and then never took the cars. This article says that the WB estimates Thailand's household debt is around 80% of GDP, one of the highest in Asia. Another mess.

Really , hold the election, don't kick YL out of office and let her deal with this for a couple of years.

Btw, the Reuters article was written in Sept. 2013, before Suthep's protests began.

Edited April 8, 2014 by Old Man River

[Mentors]

Beetween all the daily bad news this are GOOD News.

[GeorgeO]

The First-time car buyer rebate scheme was certainly responsible for putting a lot of cars on the roads, increasing pollution and causing more traffic jams.

However, as it began to dawn on the very appreciative recipients of this failed populist policy that they would actually have to make monthly payments to hold on to these vehicles, many of them are now appearing on the forecourts of the main dealers, following huge numbers of repossessions...!!

[pisico]

The First-time car buyer rebate scheme was certainly responsible for putting a lot of cars on the roads, increasing pollution and causing more traffic jams.

And accidents and the death toll

Sent from my i-mobile IQ XA using Thaivisa Connect Thailand mobile app

NOT SO.

You are expressing your opinion not facts or statistics.

In the ER hospitals 75% of fatalities and/or injuries are the result of traffic accidents involving motorcycles, not cars.

That has been the norm for years. Also my experience from 2009-2013 during my tenure in Srivichai hospitals.

"You are expressing your opinion not facts or statistics".

Please tell us where one can get reliable statistics in Thailand.

Don't you also would like information on how the split the atom? It will be easier.

Nevertheless for you (and others) who might be interested specifically in the statistics that pertains to the thread, here it goes.

1- Go to Med School and specialize in an esoteric discipline. For example post-op rehab of cancer patients.

2- Invest a couple of decades in that field.

3- Be invited to participate in seminars in Thailand.

4- Learn Thai and be able to read and write it proficiently.

5- Be hired by a hospital in Thailand and after a few years you will know where to get all the information from fairly reliable sources.

Now, I hope that you do not think that you are in an open and truly Democratic Republic with Freedom to information as a given constitutional right to each an every citizen,

In that case, follow steps 1-5 and do it that way

[rubl]

I'm surprised no one seems to feel sorry for the car manufacturers.