Thailand’s automotive market faces critical challenges amidst shifting regional landscape

Written by Emily J. Thompson, Senior Investment Analyst

Source: Yahoo Finance

Updated: Jun 10 2025

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Source: Yahoo Finance

Thailand's Automotive Market Decline: Thailand's automotive sector is experiencing significant challenges, with a 26% YoY decline in Light Vehicle sales in 2024 and a further expected contraction in 2025. The government has introduced measures to support Pickup Truck financing, but high household debt and economic uncertainties may limit their effectiveness.
Regional Competition and Production Outlook: Thailand has fallen to the third largest automotive market in ASEAN, trailing behind Indonesia and Malaysia, while Vietnam's market is growing rapidly. Despite domestic sales struggles, Thailand is projected to remain the largest automotive production hub in the region, although production levels are declining compared to pre-pandemic figures.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.