BANGKOK, Jan 22 – Toyota Motor Thailand predicted its historic sales of 1.4 million vehicles last year to decline by 10 per cent to 1.2 million units this year, according to the company’s top executive.
President Kyoichi Tanada of Toyota Motor Thailand said the government’s policy of tax exemption for first-car buyers last year had pushed the sales of Toyota cars to a record high with more than half of the total production for the domestic market.
Last year’s domestic sales increased by 78 per cent and exports were 62 per cent higher while the total value of exports, including spare parts, was recorded at Bt242.6 billion, he said.
Without the government’s stimulus, this year’s car sales will be less active but still high at about 1.2 million units.
Mr Tanada said Toyota Motor will invest Bt12 billion this year to expand its assembly plant in Chachoengsao which will boost production from 220,000 units/year to 300,000 units/year.
He said about 30,000 domestic spare parts suppliers have been negatively affected by the Bt300 daily minimum wage, adding that Toyota Motor has asked its suppliers to improve their production efficiency.
Ninnart Chaitheerapinyo, Toyota Motor Thailand vice president, said the company supports the government’s planned tax collection based on gas emissions but called on an extension of the enforcement, scheduled for the next three years, to five years to enable automotive manufacturers to adjust to the measures.
It takes about four years to launch a new model, he said.
