Industrial production grows 8% in August, manufacturing up 9%: Govt data

Thailand's car production surged 10.93% in August compared to the previous year, reaching 124,646 units, according to the Federation of Thai Industries. This increase follows a 6.12% rise in production during July. Domestic car sales in August experienced a notable jump of 25.59% year-on-year, following a 20.07% increase in July, the federation reported.

However, exports declined by 2.04% year-on-year in August, as opposed to a 2.39% increase in the previous month, as noted by the FTI. Earlier, the FTI had anticipated a 3.33% drop in car production for the entire year of 2026, primarily due to a decrease in exports resulting from conflicts in the Middle East. The prediction had been revised upward to a 3% increase.

In June, Thai factory output fell by 3.1% year-on-year, which was lower than the forecast. The Thai government has recently announced plans to reduce excise tax rates for automakers that set up production facilities in Thailand, with the aim of promoting the use of locally sourced parts and raw materials. Thailand holds the distinction of being Southeast Asia's leading auto production hub and a key export market for prominent global car manufacturers such as Toyota and Honda.