Thailand’s Automobile Market Forecast for 2023

In 2022, the automotive market of Thailand is expected to grow by approximately 7% compared to 2020 and by about 10% compared to 2021 to around 850,000 units, a recovery to just under 90% of the pre-coronavirus level. From the beginning of 2022, Thailand's exports expanded to a level above pre-coronavirus levels against the backdrop of a recovery in overseas demand and the depreciation of the Thai currency. Private consumption is also expanding as the economy is revitalized by the resumption of the tourism industry and an increase in investment. The GDP growth rate for the full year of 2022 is expected to be 3.2%.

The automobile market in 2023 is expected to recover moderately to around 860,000 units, an increase of approximately 2% from the previous year. Thailand's National Economic and Social Development Commission expects the GDP growth rate in 2023 to be 3.0% to 4.0%, mainly due to recovery in the tourism industry, expansion of private and public consumption, and growth in the agricultural sector. Although the domestic market will continue to recover, the rate of recovery from the contraction of the market in 2020-2021 is expected to subside. Production and exports are expected to decline slightly due to the economic slowdown in export destinations.