Thailand’s auto manufacturers are accelerating production after flooding in the eastern region subsided, allowing factories to resume normal operations and maintain output targets for both domestic sales and exports.
Suwat Supakandechakul, chairman of the Automotive Industry Club under the Federation of Thai Industries, said workers can now travel to factories more easily, and the transportation of auto components has returned to normal.
The supply of parts has also stabilised, with manufacturers sourcing components locally rather than relying on imports, which were used as temporary substitutes during the flooding.
“The recent floods have not had a severe impact on the automotive industry because floodwaters did not enter production facilities,” Mr Suwat said.
As a result, the industry maintained its 2026 vehicle production target of 1.45 million units, comprising 900,000 units for export and 550,000 units for the domestic market. However, exporters continue to face challenges from geopolitical tensions, as shipments to the Middle East have fallen sharply since the outbreak of regional wars.
“Exports to the Middle East have contracted by more than 91%, with pickups accounting for most of the decline,” Mr Suwat said.
According to Surapong Paisitpatanapong, advisor and spokesman for the club, Thailand produced 120,319 vehicles in September, down 6.08% from a year earlier. Several carmakers temporarily halted production between late September and mid-October due to disruptions in parts deliveries caused by flooding, which could affect October output figures, he said.
Despite the monthly decline, cumulative vehicle production in the first nine months of 2026 rose by 0.39% year-on-year to 1.08 million units.
Domestic demand remains strong. Vehicle sales in September rose by 14.3% from a year earlier to 55,255 units, driven largely by growing demand for battery electric vehicles.
For the first nine months, domestic vehicle sales climbed by 16.4% year-on-year to 512,226 units. Exports also improved in September, rising by 4.55% from a year earlier to 89,972 units. The increase was supported by shipments to Asian markets, excluding the Middle East, which accounted for 28.6% of exports, while Australia and Oceania represented 29.3%.
However, export performance for the first nine months of the year remained weak overall, with shipments declining 4.94% year-on-year to 655,009 vehicles.