New vehicle sales in Thailand increased by over 14% year-on-year to 55,255 units in September 2026, after growing by 24% to 48,350 units a year earlier, according to the latest data released by the Federation of Thai Industries (FTI). The market was driven higher by continued strong demand for battery electric vehicles (BEVs), sales of which surged by 90% year-on-year to 22,587 units last month, while sales of pickup trucks fell by over 7% to 10,315 units.
The overall Thai domestic vehicle market continued to recover last month, despite widespread flooding across the country, including in large parts of Bangkok, caused by heavy monsoonal rains. Economic growth has also slowed in recent months, with the latest government data showing that GDP growth slowed to 1.9% year-on-year in the second quarter of 2026, down from 2.8% in the first quarter, reflecting significantly weaker domestic consumption, reflecting weak purchasing power and high household debt.
In the first nine months of 2026, Thailand’s domestic vehicle market expanded by 16% to 521,225 units, up from 447,969 units a year earlier. BEV sales surged by 106% to 149,130 units in this period, with significant volumes still imported as built-up units from China.
The Thai government has come under increasing pressure to provide more support for internal combustion engine (ICE) vehicles. Sales of pickup trucks, which have a high local content and support significant numbers of local jobs. According to reports, the government is preparing to hike the excise tax on imported BEVs to at least 30% at the beginning of next year, to encourage investment in local production and supply chain development.
Vehicle production in the country increased slightly to 1,080,030 vehicles in the first nine months of the year, despite a 5% drop in exports to 655,009 units, reflecting a sharp decline in shipments to the Middle East.
Despite disruptions to production due to flooding in late September and early October, the FTI still expects vehicle production in the country to reach 1.45 million units in 2026, including 550,000 for sale domestically and 900,000 for export. GlobalData is forecasting light vehicle sales to rise by 10% to 680,000 units this year, after growing by 9% to 618,000 units in 2025, followed by a 4% rise to 710,000 units in 2027.
