Thai car production faces tough year despite rising EV bookings

BANGKOK — Thailand’s automotive industry is not out of the woods yet despite a strong showing at the country’s biggest annual motor show, where a 25% increase in car bookings belied deep discounts offered to clear inventory amid cooling demand. 

Final sales may land at only half of the 53,000 cars booked at the Bangkok International Motor Show, which ended Sunday. The high ratio of non-performing auto loans — at 12% as of February — has forced financial institutions to keep a tight leash on new loan approvals. The Federation of Thai Industries projects an auto loan rejection rate of 30% to 50% this year.