Domestic auto sale to remain flat in May
Play
Auto sale in May is expected to remain flat due to external factors that are pressuring the domestic economic recovery.
Vudhigorn Suriyachantananont, senior vice president of Toyota Motor Thailand, said that the auto market would benefit from improved political stability as well as the acceleration in government spending. Meanwhile, auto companies plan to launch new marketing campaigns and and new models.
However, external factors will keep pressuring Thailand's exports and domestic economic recovery.
In April, domestic vehicle sales continued its decline, with the sale of only 54,058 units or a 26.2 per cent decrease from the same period last year.
In the month, passenger car sale dropped by 24.7 per cent on year while commercial vehicle sale slid by 27.3 per cent, according to the data compiled by Toyota Motor Thailand.
"This is due to the persistently high household debt level as well as financial institutions' stringent lending criteria. This affected liquidity and consumers' purchasing power," said Vudhigorn Suriyachantananont, senior vice president of Toyota Motor Thailand.
Combined sale volume in the first four months of this year dropped by 15.3 per cent on year to 251,845 units.
While passenger car sale dropped by 15.7 per cent on year, commercial vehicle sale went down by 15.1 per cent.
