Automotive sales drop 20% in October

[webfact]

Automotive sales drop 20% in October
By Digital Content



BANGKOK, Nov 25 -- Toyota Motors Thailand company reported that sales in the automotive sector in October fell 20.4 per cent to 70,850 units.

Operators hope a motor expo will stimulate the automotive market late this year.

Vudhigorn Suriyachantananont, senior vice president of Toyota Motors Thailand Co, shared the figures.

The sale of passenger cars dropped 28.0 per cent to 30,159 units, commercial vehicle sales fell 13.6 per cent to 40,691 units, and one ton pickup trucks declined 13.3 per cent to 34,220 units. Pickup trucks are included in the commercial vehicle segment.

The fall iss attributed to high household debt, lower incomes of farmers and the end of a tax rebate under the first-car buyer scheme of the past government.

In the first 10 months of this year automotive sales amounted to 719,260 vehicles dropping by 36.0 per cent year-on-year due to economic problems, the delayed recovery of exports, tourism, and inflation are contribute to the slowdown.

Those caused operators and householders alike to be reluctant to invest and spend.

The automotive market is likely to be stable in November as there are signs of domestic economic recovery due to stimulation by the government, the introduction of new vehicle models, and a Motor Expo in late November.

Uncertainty regarding global economic recovery continues to negatively affect exports and the high cost of living is worrying consumers.

These are likely to pressure the automotive market in November. (MCOT online news)


-- TNA 2014-11-25

[Bocking]

Looking out of the window, it would appear that I'm the only person in Thailand who hasn't bought a new car in the last 3 years. I live in Bangkok and I don't own a car, yet all of my local Thai friends do, no matter how much or how little they earn. Cars to Bangkokians are life Bikinis to Fish - Unnecessary Fashion Items

[worgeordie]

A good thing,too many cars on the roads anyway,

when the economy falters,so do sales of expensive

items,many people here seem to be up to their eyes

in debit,so its no surprise that cars are not selling.

regards Worgeordie

[SteveFong]

down 36% on the year,

if more than awful

its a crisis

[Noi657]

We bought a new one! I'll do anything to stimulate the economy.

[Misterwhisper]

Looking out of the window, it would appear that I'm the only person in Thailand who hasn't bought a new car in the last 3 years. I live in Bangkok and I don't own a car, yet all of my local Thai friends do, no matter how much or how little they earn. Cars to Bangkokians are life Bikinis to Fish - Unnecessary Fashion Items

I agree with your point of view. I don't have a car either, nor do I need or want one.

What I have also observed: The smaller their income, the larger their car has to be. And usually they live in a tiny one-room apartment with no kitchen and hardly any furniture in it. It's what you call QoL Thai-style, I guess.

I on the other hand prefer living in a nice, spacious house with a lovely, lush garden and conveniently take taxis (or the BTS/MRT) wherever I go. When I travel to upcountry, I'll fly whenever possible and - when warranted - rent a car at my destination to get around.

Different priorities.

[MisterTee]

Some good news for a change.

[NeverSure]

I notice that there is always a prediction for improvement no matter the subject. There is very rarely a report of improvement having happened.

Sales of cars and light trucks are way up near records in the US, taking away any BS about the global economy. LINK The US has the world's largest economy by double second place and roughly equal to the entire EU.

Thailand is in its own ill-managed bubble and has no one to blame but itself. 36% year on year is a scarey disaster.

[SteveFong]

The US population is not buying cars from Thailand

They don't even know the models from Thailand as they make smaller models

[englishoak]

If everyone bought cars in the past 3 years is it any surprise theres no one left to sell to atm ?

Edited November 25, 2014 by englishoak

[retsdon]

I notice that there is always a prediction for improvement no matter the subject. There is very rarely a report of improvement having happened.

Sales of cars and light trucks are way up near records in the US, taking away any BS about the global economy. LINK

One explanation...

http://www.counterpunch.org/2014/11/05/debt-on-wheels/

[Ulic]

Everyone who could afford a car and then some bought one during the populist car scheme.

Of course sales numbers are way down, no surprises here.

[selftaopath]

Great! Maybe the prices and amount of unwarranted TAXES will be lowered to reasonable levels. But this being Thailand they will probably RAISE both.

[meatboy]

Some good news for a change.

yep next month its buy one and get one FREE.

[rkidlad]

Me and the missus could easily afford a new car. It would certainly be nice to have one. But at the end of the day, I don't wanna make the traffic in Bangkok any worse than it is.

A car in Bangkok for most people is just a status symbol.

[SABloke]

Damn you Ebola!!!!!!

[SoilSpoil]

We want to buy a new car next year and can't wait for the prices to plummet. Taken the Thai pricing logic 101 in mind, prices will probably go up.

Maybe a second hand then.

[rickirs]

<script type='text/javascript'>window.mod_pagespeed_start = Number(new Date());</script>

The US population is not buying cars from Thailand

They don't even know the models from Thailand as they make smaller models

Like in Thailand, foreign autos are manufactured in the USA such as Honda, BMW, Hyundai, Infiniti, Mercedes, Misubishi, Nissan, Toyota, and Volkswagen. Apparently the higher American wages and benefits don't deter the auto makers, albeit some foreign manufactured parts and assemblies are also imported from Mexico and Canada auto plants.

[Barney R]

I notice that there is always a prediction for improvement no matter the subject. There is very rarely a report of improvement having happened.

Sales of cars and light trucks are way up near records in the US, taking away any BS about the global economy. LINK The US has the world's largest economy by double second place and roughly equal to the entire EU.

Where did you get your figures for this statement ???? I thought China was very close and expected to pass America in the next 15 years as the worlds largest economy.. Maybe I have been watching unfactual documentaries .

Thailand is in its own ill-managed bubble and has no one to blame but itself. 36% year on year is a scarey disaster.

[rickirs]

Let the market drive (pun) demand.

If dealers and/or manufacturers want to sell more cars in a depressed economy (not a first in the world) such as lower prices, offer rebates, and low or no interest loans, longer warranty periods, free servicing, etc. to entice people to buy. The new government could offer additional incentives as part of its economic stimulus drive (more pun) such as its own low interest auto loans, tax deductions for consumer interest, tax credits, additional paid vacation time for government employees, etc.

[whybother]

Sales are down 36% on last year. How much up were they last year on the previous year?

[bangon04]

Sales are down 36% on last year. How much up were they last year on the previous year?

that sounds dangerously like a logical question to ask..... shame on you. TiT

[thurien]

Great! Maybe the prices and amount of unwarranted TAXES will be lowered to reasonable levels. But this being Thailand they will probably RAISE both.

yes, Thailand loves to call herself "the hub of negative turn-over increase"

[retarius]

Many of those cars and trucks bought under the rebate scheme are now for sale having been repossessed..a mate of mine drove round in a new truck for a year, got his 100,000 which paid the installments for a year or so, then he stopped paying....the truck has been repossessed and his wife's family, who had generously acted as guarantors for the loan, are now being chased by the finance company....

[cloghead]

So where are the repossessed vehicles being sold now? I reckon some good deals are to be had.

Auctions??? Where???

Edited November 26, 2014 by cloghead

[mac1970]

I notice that there is always a prediction for improvement no matter the subject. There is very rarely a report of improvement having happened.

Sales of cars and light trucks are way up near records in the US, taking away any BS about the global economy. LINK

One explanation...

http://www.counterpunch.org/2014/11/05/debt-on-wheels/

Great news, just need to wait and see, and make some money when the s##t hits the fan.

[Pinot]

Why is there never any discount off list price in LOS?

I bought a Mazda 2 three and a half years ago and it should hit 15000 on the odometer next month thanks to the motorbike getting most of the mileage. I figure at this rate the car should last 20 years. I won't be helping the Thai auto industry in the near (or far) future, if ever.*

*The TG now has her license.