Toyota Thailand to stop producing Prius hybrid saloons as of September 18

[webfact]

Toyota to stop producing Prius hybrid saloons as of September 18



BANGKOK: -- Toyota Motors Thailand has decided to stop indefinitely the production of Prius hybrid saloons as of September 18 due to low sale and conflict with the government over import tariffs.

Kyodo news agency quoted an informed source at Toyota Motors as saying that the company felt that the Thai government was not genuinely serious about promoting hybrid cars in Thailand as reflected by the low sale and low demand of hybrid cars in this country.

According to the same source, Toyota Motors sold a total of 18,000 Prius hybrid saloons from 2010 until this year.

Currently, the company is engaged in a court battle over the Prius tax issue.

The source said that the company would continue to maintain services for Prius hybrid cars.

Source: http://englishnews.thaipbs.or.th/toyota-to-stop-producing-prius-hybrid-saloons-as-of-september-18


-- Thai PBS 2015-08-27

[Deli]

Ugly, as ugly can be, this car.

[phanu]

Ugly car + stupid system (hybrid = batteries = more pollution than normal car) = No future !

It's normal that Thai government doesn't want to promote hybrid cars...

[lostoday]

I guess the powers that be feel Thailand doesn't need the business. Although that's not what has been posted in another thread about making Thailand attractive to foreign investment. Hmmmm.

[alant]

Will production of other models replace the line or does it just go?

[IMHO]

This has got nothing to do with anything other than a big dispute over the taxes Toyota think they should pay for imported parts used to assemble the Prius, and what the tax dept. want them to pay.

The extra tax bill that's been given to Toyota Thailand for those 18,000 Prius's is 11,000,000,000 Baht - which is over 600,000 Baht per car.

I wonder why it's taken them this long to stop the production line - it's not like this is a new dispute...

[IMHO]

Will production of other models replace the line or does it just go?

Its not like there were ever huge production volumes - it never got much over 300 units/mth, IIRC, and some months sales have been as low as 50 units.

[craigt3365]

The import tax here is ridiculous. And IMHO, the quality of the cars made here is lower than in the US or Europe.

[Pomthai]

Perhaps 1 or 2 people will miss the Prius. The other 7,299,999.998 people on the planet won't.

[lovelomsak]

I amnot sure if it this tax problem or not but Thailand made this new tax and is backdating it saying now Japan owes them.for things imported for the last 5 years. Who would pay a tax like that.

[spermwhale]

Ugly or not, this car helps drivers save a lot of money on gas.

The Thai government has no incentives for carmakers to introduce alternative fuel, electric and hybrid vehicles.

The only thing that matters is the tax revenues from exorbitant VAT on vehicles and exorbitant protectionist import duties that were designed to force carmakers to not only make cars here but also work with Thai industrialists who run the nation's parts companies. The tariffs are in place to protect Thais involved in supplying the automotive industry plain and simple.

Who suffers? The people of Thailand.

[xerostar]

I hired a Prius. I loved it.

Fahtastic acceleration from stand start and very nice handling. Very low petrol consumption. Excellent interior and driving position. Less jobs for Thai people due to greed of government

[kartman]

I hired a Prius. I loved it.

Fahtastic acceleration from stand start and very nice handling. Very low petrol consumption. Excellent interior and driving position. Less jobs for Thai people due to greed of government

I doubt Toyota had a dedicated workforce just for the Prius.

[fred Kubasa]

This may well be the straw that broke the camel's, ( Toyota's ), back & I am sure they are looking

for other countries assembly facilities. If Toyota leaves, Thailand, the country, would have

to put up a "CLOSED " sign !

[lostoday]

This may well be the straw that broke the camel's, ( Toyota's ), back & I am sure they are looking

for other countries assembly facilities. If Toyota leaves, Thailand, the country, would have

to put up a "CLOSED " sign !

Thailand produces 2,000,000 vehicles per year 18,000 Prius's. So no tis a drop in the bucket.

[IMHO]

This may well be the straw that broke the camel's, ( Toyota's ), back & I am sure they are looking

for other countries assembly facilities. If Toyota leaves, Thailand, the country, would have

to put up a "CLOSED " sign !

Thailand produces 2,000,000 vehicles per year 18,000 Prius's. So no tis a drop in the bucket.

Correction: that 18,000 number is since production began, not per year.

[Jessi]

This may well be the straw that broke the camel's, ( Toyota's ), back & I am sure they are looking

for other countries assembly facilities. If Toyota leaves, Thailand, the country, would have

to put up a "CLOSED " sign !

I read about two weeks ago Toyota were moving a lot of their car making to the Philippines.

Also Nissan were moving to Vietnam.

These company's are fed up with Thailand B/S.

[kerrysum]

The import tax here is ridiculous. And IMHO, the quality of the cars made here is lower than in the US or Europe.

You stated that 100% correct, different specs in Thailand, not and wull never be the same quality....

[lostoday]

The import tax here is ridiculous. And IMHO, the quality of the cars made here is lower than in the US or Europe.

You stated that 100% correct, different specs in Thailand, not and wull never be the same quality....

Must be working as they make more cars than France, the UK or Australia

https://en.wikipedia.org/wiki/List_of_countries_by_motor_vehicle_production

Edited August 27, 2015 by lostoday

[keemapoot]

It was probably precipitated by the imminent new Prius model, and the expensive re-tooling that would require in Thailand. As IMHO stated, the tax is insane, and makes the car unmarketable here. Having said that, for some inexplicable reason, this ugly odd duck hybrid based on a very old platform is still regarded by upwardly mobile Thai women as some kind of hi-so car. Odd.

[craigt3365]

This may well be the straw that broke the camel's, ( Toyota's ), back & I am sure they are looking

for other countries assembly facilities. If Toyota leaves, Thailand, the country, would have

to put up a "CLOSED " sign !

Toyota moved production of the Fortuner to the Philippines not long ago. One reason I read was issues with staff and issues with the government here.

[kiwikeith]

This has got nothing to do with anything other than a big dispute over the taxes Toyota think they should pay for imported parts used to assemble the Prius, and what the tax dept. want them to pay.

The extra tax bill that's been given to Toyota Thailand for those 18,000 Prius's is 11,000,000,000 Baht - which is over 600,000 Baht per car.

I wonder why it's taken them this long to stop the production line - it's not like this is a new dispute...

They should be getting a tax incentive not overtaxed for cleaner technology.

[Cake Monster]

Toyota presented with a huge outstanding tax bill by the Thai Government.

Only one outcome to that piece of news.

I can only imagine that Toyota needed to find some space at another plant for the Prius, before this inevitable outcome, and thats why they took so long to respond to the Government demand.

[lostoday]

This has got nothing to do with anything other than a big dispute over the taxes Toyota think they should pay for imported parts used to assemble the Prius, and what the tax dept. want them to pay.

The extra tax bill that's been given to Toyota Thailand for those 18,000 Prius's is 11,000,000,000 Baht - which is over 600,000 Baht per car.

I wonder why it's taken them this long to stop the production line - it's not like this is a new dispute...

They should be getting a tax incentive not overtaxed for cleaner technology.

Good point. Now that the leadership is streamlined one would think these things would get easier instead of stupider.