Thailand Considering Pickup Truck Trade-in Scheme to Boost Sales
BANGKOK (Reuters) – Thailand is considering implementing a measure to allow the trade-in of pickup trucks aged 20-25 years for new ones with a tax discount, aiming to boost sluggish sales, as stated by the finance minister on Monday. Discussions have already begun with relevant parties, according to Pichai Chunhavajira.
Domestic car sales in Thailand, a major automobile hub in Southeast Asia, showed a slight increase in April for the first time in nearly two years. However, pickup truck sales continued to decline due to tighter credit conditions amid rising household debt. In February, Reuters reported early discussions about introducing a car trade-in and scrapping scheme to revive the industry, which is facing its biggest crisis in decades.
As a significant production center and export base for top carmakers like Toyota, Honda, and China’s BYD, Thailand’s automotive sector is crucial. Pichai also mentioned plans to introduce measures for more debt relief and stabilizing local energy prices. He expects no impact on domestic energy prices if Middle East tensions do not escalate further.
The news comes as Honda Motor Co., Ltd., a major player in the Thai automotive market, continues to navigate challenging conditions. Honda’s stock price was at 1,406.00 JPY, showing a -1.23% change.
Reporting by Kitiphong Thaichareon and Orathai Sriring; Writing by Martin Petty; Editing by David Stanway
