Bangkok: The Federation of Thai Industries (FTI) has adjusted its car production target for 2025 to 1.45 million units, citing ongoing negotiations with the United States and trading partners as a significant factor. This revision comes amid fluctuating production and sales dynamics, particularly in the electric vehicle (EV) sector.

According to Thai News Agency, in June 2025, Thailand produced 130,223 cars, marking an 11.98 percent increase from the previous year, despite a 6.44 percent decline from May 2025. The growth was largely driven by a remarkable 314.55 percent rise in the production of battery electric vehicles (BEVs). The six-month period from January to June 2025 saw a total production of 724,715 units, a decrease of 4.80 percent compared to the same period last year.

Passenger car production in June 2025 reached 51,019 units, up 18.56 percent from June 2024, with BEVs contributing significantly to this increase. Meanwhile, 1-ton pickup truck production rose by 8.39 percent from June 2024 to 78,492 units. However, the total pickup truck production from January to June 2025 showed a slight decline of 2.37 percent from the previous year.

Export production in June 2025 accounted for 65.21 percent of total production, with 84,918 vehicles produced for export, reflecting a 3.85 percent increase from June 2024. Despite this, the first half of 2025 experienced a 7.98 percent decrease in export production compared to 2024. Conversely, domestic sales production in June 2025 increased by 31.24 percent from June 2024, totaling 45,305 vehicles. From January to June 2025, domestic production saw a modest 1.90 percent increase over the same period last year.

Domestic car sales in June 2025 reached 50,079 units, a 5.07 percent rise from June 2024, attributed to increased sales of electric cars and new model launches. However, pickup truck sales declined by 19.9 percent, impacted by stricter loan approvals and a sluggish domestic economy marked by reduced private sector investment and a weakened labor force.

The export of finished cars in June 2025 amounted to 88,085 units, showing an 8.65 percent increase from the previous month but a slight decrease of 1.11 percent from June 2024. The total export value of automobiles and related parts in June 2025 was 84,734.83 million baht, a 4.30 percent decrease from 2024.

Mr. Surapong Paisitpatanapong, Advisor to the Chairman of the Automotive Industry Group and Spokesperson of the Automotive Industry Group at FTI, indicated that the revised 2025 car production target of 1.45 million units represents a 3.33 percent reduction from the initial estimate. The export production target was also adjusted down by 5 percent to 950,000 units. Several factors, including US tariffs, economic slowdowns of trading partners, tightening carbon emission standards, and geopolitical conflicts, have influenced this decision.

The number of registered BEV vehicles as of June 30, 2025, saw a significant increase of 61.98 percent from the previous year, with 296,784 vehicles registered. HEV and PHEV registrations also increased by 30.73 percent and 26.85 percent, respectively.