Bangkok: The Federation of Thai Industries reveals that electric vehicle sales have surged to a record high of 31,859 units, marking a 273.38 percent increase. They have urged the government to promote investment, accelerate economic stimulus, create jobs, and generate income, while also cautioning about the potential impact of import tariffs imposed by President Trump after 150 days. Additionally, they have projected a 10 percent growth in total vehicle production for 2026.
According to Thai News Agency, Mr. Surapong Paisitpatthanapong, advisor to the chairman of the automotive industry group and spokesperson for the automotive industry group of the Federation of Thai Industries (FTI), reported that total car production in January 2026 reached 118,386 units, reflecting a 3.98 percent increase compared to the same period last year. This growth includes the first year of electric vehicle (EV) production to offset imports planned for 2024-2025 under the EV 3.5 project. EV production totaled 2,471 units, marking a 48.41 percent increase compared to January 2025. The FTI forecasts a 10 percent growth in car production for the entire year 2026, driven by these positive trends.
In January 2026, production for export amounted to 79,686 vehicles, accounting for 75.71% of total production. Production for domestic sales reached 38,700 vehicles, or 24.29% of total production, representing a 20.71% increase compared to January 2025. Thailand remains a crucial automotive production base, with domestic car sales totaling 73,936 units, a 53.77% rise from January 2025. This increase was fueled by the accelerated deliveries of electric vehicles (EVs) under the EV 3.0 project, which concluded in 2025, alongside the commencement of EV production at a 2:1 ratio under the EV 3.5 project. Consequently, battery electric vehicles (BEVs) accounted for 31,859 units, representing 43.09% of total sales, a 353.90% increase compared to the same month last year-the highest BEV sales volume recorded in Thailand.
Mr. Surapong emphasized that to bolster foreign investor confidence and encourage continued investment, the government must push for actual investment from the 8 trillion baht in BOI (Board of Investment) applications submitted in 2025. This is particularly crucial if the government holds a majority of over 300 votes. Furthermore, completing a full four-year term would further enhance foreign investor confidence. Promoting investment should be followed by measures to stimulate the economy, create jobs, and generate income, thereby increasing purchasing power among Thais and improving repayment options, thus reducing the issue of bad debt for banks that have been stringent in granting loans for pickup trucks. Recent signs of increasing truck sales over the past two to three months are seen as a positive development.
The government must also monitor the risks associated with Trump's tariffs, which impose a 15% import tariff on many countries worldwide. The uncertainty surrounding additional tariffs after 150 days of implementation poses a challenge. Thailand's economy, with 58% of its GDP reliant on exports, could be affected by the European Union's CBAM (Circular-Consumer Action Agreement) conditions, which increase export costs for polluting vehicles. Geopolitical conflicts between regions may also impact parts production and supply chains. Thailand, being the top exporter of motorcycles to the US market, must closely monitor these developments and implement measures to prevent the Thai baht from appreciating more than competing currencies.