Enjoy a 15% discount on all purchases until the 31st of March 2023 using the promo code EOFWEB22 at check out!

Services Our expert insights reveal the key consumer and industry trends shaping global services, including best-in-class innovations in technology, customer experience and sustainability to thrive in dynamic times.

Payback Time: As Predicted, Vehicle Sales Turn Negative in Thailand

Neil King Profile Picture
Neil King Bio

As discussed back in April in "The Record Level of Autos Demand in Thailand in 2012 Will Not Be Surpassed Before 2020", the expected payback in vehicle sales in Thailand has now kicked in. This follows on from the end of the tax rebate scheme in December 2012, which inflated light vehicle sales to a record 1.4 million units in 2012. The payback was never expected to be immediate as vehicles ordered in 2012 would naturally continue to be delivered for months afterwards but it is definitely here now and we stand by our view that vehicle sales will not return to the level of 2012 before 2020 without any market stimulus.

A delivery time of 3 months or more is not uncommon for a new car and given the surge in demand in 2012, in conjunction with output still catching up anyway after the disruption caused by the floods in 2011, it is not a surprise that light vehicle sales increased every month y-o-y through to April. In fact, demand was up by a third in the first four months of April, according to data from Renault. However, sales fell by 21% y-o-y in May and by a similar amount in June - growth has therefore most definitely turned negative. According to an article on just-auto.com on 18 July, Toyota Thailand expects vehicle sales to fall to 1.3 million vehicles this year but that seems rather optimistic given the magnitude of the "pull-forward" effect on sales in 2012 and into the early part of 2013.

Interested in more insights? Subscribe to our content

Latest Insights

Loyalty and the New Normal

Nadejda Popova 16 March 2023

Shop Our Reports

Car Rental: Top Six Industry Trends

This report examines the global car rental industry, providing analysis on market sizes, brand and company shares, growth trends over the review period and…

View Report

Financial Cards and Payments in Western Europe

Electronic direct/ACH and card payments continue to take share from paper transactions in Western Europe, while mobile m-commerce continues to be the most…

View Report

Financial Cards and Payments in Latin America

Although it is not the case in Brazil, the region’s biggest market, cash is still the leading payment method in many Latin American countries. However,…

View Report
Passport Our premier global market research database with detailed data and analysis on industries, companies, economies and consumers. Track existing and future opportunities to support critical decision-making across all functions within your organisation Learn More