Bangkok: Electric vehicles (EVs) are surpassing gasoline-powered cars in sales in Thailand, with a significant number of consumers opting to pay cash for their purchases. The president of the Thai Hire Purchase Association shared insights that reflect a notable shift in consumer behavior, as the demand for pickup trucks drops sharply due to escalating household debt impeding loan access. He anticipates car sales in 2026 to remain steady at 620,000 units, mirroring the expected figures for 2025.
According to Thai News Agency, the Thai Hire Purchase Association recently held a seminar titled "Driving Through the Crisis: Uniting Ideas for the Future of Thai Hire Purchase Business, Episode 2." The event addressed various topics, including the Gulf War, fluctuating oil prices, household debt, and the increasing popularity of electric vehicles (EVs). The seminar aimed to inform organizations, executives, hire purchase companies, distributors, and vehicle manufacturers about crucial economic trends and factors affecting the automotive loan and hire purchase industry, preparing them to adapt to changing market dynamics.
The seminar featured a panel discussion with notable industry figures, including Dr. Laksamon Atthapich, Managing Director of the National Credit Bureau Co., Ltd.; Mr. Suwat Supakarndechakul, Chairman of the Automotive Industry Group, Federation of Thai Industries; Dr. Sakkapop Panyanukul, Assistant Governor of the Payment System Supervision and Financial Consumer Protection Division, Bank of Thailand; and Dr. Yada Kasayapanan, Acting Managing Director of MCOT Public Company Limited.
Mr. Sarun Thongthammachat, President of the Thai Hire Purchase Association, commented on the stable outlook for the car hire purchase business in 2026, predicting total sales to reach 620,000 units. In the first five months of the year, from January 1st to May 30th, 288,000 units were sold, marking a 14% increase from the same period last year. While the domestic car hire purchase market is not experiencing rapid growth, Mr. Thongthammachat believes there is potential for continuation, particularly with electric vehicles (EVs) gaining traction among consumers who are increasingly willing to pay cash for them. He anticipates that EV sales will surpass those of pickup trucks by year-end, attributing the decline in pickup truck sales to high household debt, which complicates loan approvals.