A: Hey, have you heard anything interesting lately?
B: Nope, just the usual stuff. What's up?

A: Well, did you know that car production in Thailand has finally gone up for the first time in almost two years?
B: Really? That sounds good! But why was it sluggish before?

A: Apparently, it was due to factors like rising prices and high interest rates. Plus, stricter loan screening didn't help either. And all of that led to fewer car sales.
B: Wow, that doesn't sound fun at all! But I guess things are looking up now?

A: Yes, exactly! And the increase was mainly because of a surge in EV and plug-in hybrid production, especially from new Chinese manufacturers.
B: That's cool! So, Thailand's still the manufacturing hub in Southeast Asia, right?

A: Absolutely! But here's the catch - experts think they might have to lower their annual car production target due to the US administration's tariff policies.
B: Oh no! I hope things don't get too tough for them. Let's keep our fingers crossed!
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Car production in Thailand, the largest manufacturing hub in Southeast Asia, has long been sluggish, but it has risen for the first time in nearly two years.



The Federation of Thai Industries says automobile production in May totaled nearly 140,000 units, up 10 percent from the same month last year, marking the first increase since July 2023.



It also says household debt in Thailand has surged since the Covid-19 outbreak due to rising prices and other factors. Car sales have been impacted by high interest rates and stricter loan screening.



The recent rise was largely driven by a surge in EV and plug-in hybrid production, particularly from new Chinese manufacturers.



The federation is maintaining its car production target at 1.5 million units this year. But observers say a downgrade is certain due to the US administration's tariff policies.