July 18, 2008
Bangkok - Vehicle sales plunged 5.9 percent year-on-year as fuel prices soared and high inflation rose though pickup sales dropped, according to Toyota Motor Thailand.
Auto sales first slowed down this year, and Thais bought 50,108 vehicles in June.
"June sales were the first drop of this year due to high and unpredictable fuel prices, especially diesel, which has pushed costs higher. Inflation is also affecting consumer confidence," Toyota said.
Thai people tended to turn away from one-ton pickups to passenger cars. Pickup sales plunged 23.2 percent, while passenger cars were up 29.3 percent.
Commercial vehicle sales also dropped 20.9 percent in June.
Toyota claimed its aggressive marketing campaigns and incentives could help attract the customers.
Thai market is dominated by Japanese auto firms. Toyota and Isuzu reported sales drops of 12.0 percent and 7.0 percent respectively. But Honda reported growth of 38.8 percent, on the strength of its passenger car sales.
Toyota predicts car sales in Thailand will grow 11 percent to 700,000 units this year, following two years of declines.
