Auto sales in Thailand likely to grow by 5% in 2016

BANGKOK, October 27 (TNA) - Domestic car sales in Thailand and exports are expected to sustain 5 per cent year-on-year growth, equivalent to about 100,000 units, in 2016, based on high expectations that the Thai economy should improve, boosted by the government's new mega-investment projects. Surapong Paisitpattanapong, Vice Chairman of the Federation of Thai Industries (FTI), who is also FTI’s automotive industry group spokesman, made the assessment on Tuesday, saying that he is optimistic that car sales in Thailand and exports next year should sustain growth almost equally due to several positive factors, including the government’s injection of village fund throughout the country and accelerating disbursements of state budget, which should also boost private investment. Besides, more cash is expected to enter the country’s economic system, which should increase the purchasing power of local agriculturists and people. The FTI vice chair pointed out that car exports by Thailand next year should also be cushioned by the economic recovery in the United States and Europe. During the first nine months of this year, the FTI vice chair noted, Thailand's car exports to Europe and to the United States soared 72 and 93 per cent respectively; so, it is hoped that the country's total car export this year should jump to 1.2 million units, enabling Thailand to remain one of top ten car exporting countries in the world. According to the FTI vice chair, car sales in Thailand this year are estimated at the maximum of 800,000 units and it is expected would-be car buyers would buy new cars before the end of this year, as new revenue tax that will be adjusted for cars will become effective on January 1, 2016. (TNA)