FX.co ★ Thailand Car Sales Drop in February

In February 2025, domestic car sales in Thailand experienced a year-on-year decrease of 6.68%, with a total of 49,313 units sold. This decline, though less severe than the 12.26% drop recorded in January, extends the trend to 21 consecutive months of shrinking sales. The primary factor for this continued downturn is the stringent credit approval processes from financial institutions, particularly impacting the purchase of pickup trucks. However, there is optimism for a rebound, spurred by the forthcoming auto show, which could potentially invigorate sales if lenders decide to relax credit restrictions on pickup trucks. Furthermore, the government plans to introduce the "Phee Mee Khlang Kam" initiative, designed to support small businesses and farmers by guaranteeing loans for those acquiring pickup trucks. Concurrently, total car production in the country saw a significant reduction of 13.62%, amounting to 115,487 units for the same month. Thailand, renowned as Southeast Asia's largest automobile manufacturing hub and an essential export base for international giants like Toyota and Honda, also faced an export decline of 8.34%, with 78,535 units shipped in February 2025.