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Thailand's auto industry shows signs of recovery amid slump, executives say

^{Published on 2025-03-25 07:01:32 - Reuters}

Thailand's auto sector faces a slow and painful recovery from a prolonged slump even with government support, three executives and an industry group said at the country's main motor show, ringed by discount posters and promotional campaigns.

Thailand's automotive industry is showing signs of recovery despite a recent slump, according to industry executives. The Federation of Thai Industries (FTI) reported a significant drop in car production and sales in the first half of the year, with domestic sales falling by 4.9% and production decreasing by 16.8%. However, there are positive indicators for the future, including a recovery in consumer confidence, an increase in electric vehicle (EV) production, and government incentives aimed at boosting EV adoption. Notably, Chinese EV manufacturers like BYD and Great Wall Motor are investing in Thailand, with BYD planning to produce 150,000 EVs annually. Additionally, the government's EV3.5 package offers subsidies and tax incentives to promote EV sales, which are expected to help revitalize the sector. Despite these advancements, challenges remain, such as high household debt and economic recovery from the impacts of the global health crisis.

Read the Full Reuters Article at:
[ https://www.msn.com/en-us/money/other/thailand-s-auto-industry-shows-signs-of-recovery-amid-slump-executives-say/ar-AA1BBEBq ]

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Thailand's auto industry shows signs of recovery amid slump, executives say