Thailand's pickup truck market, which once accounted for around half of total vehicle sales, has contracted in recent years. For the latest eight-month period, Tri Petch Isuzu Sales reported that the overall vehicle market grew by 18%, driven mainly by passenger cars and sport utility vehicles (SUVs), while pickup sales remained close to the level recorded in the corresponding period last year.

The full-year vehicle market is forecast to reach 700,000 units, including 140,000 pickups, similar to last year's volume and representing 20% of the market.

Hiroyasu Sato, managing director of Tri Petch Isuzu Sales, said the pickup market's contraction had affected businesses and the wider economy, as pickups are manufactured domestically and have a local parts content exceeding 90%.

The decline is partly attributable to high household debt, tight lending conditions and rising energy prices, which have made vehicle purchases more difficult. The government has introduced support measures, including those channelled through the Thai Credit Guarantee Corporation (TCG), but Sato said further initiatives were needed.

Proposals include trade-in schemes and an approach similar to the Chim Shop Chai programme, under which pickup buyers could claim tax deductions.

"Urgent measures are needed to give people a real, practical opportunity to buy vehicles. These could follow a concept similar to Chim Shop Chai, for example by allowing spending on a pickup, say THB 0.1 million, to be claimed as a tax deduction. This would directly support people who need a pickup and are within the tax system."

Sato said Isuzu had sold 52,800 vehicles over the past nine months, down 1.3%. Full-year sales of pickups, pickup passenger vehicles (PPVs) and trucks are forecast at 70,400 units, a decline of 4%. Despite market changes and the impact of electric vehicles (EVs) and other vehicle categories, farmers, traders and factory workers continue to require pickups.

Isuzu has introduced the 2.2 Ddi Maxforce Biturbo engine in selected pickup and PPV models. The existing single-turbo 2.2-litre and 3.0-litre engines remain available, although the range of 3.0-litre variants has been reduced to models intended for applications requiring greater pulling power. These include the V-Cross Z two-door, Spacecab S, Spark 4x4 S, Spark 4x2 S and Spark 4x2.

A new Cab-Chassis variant with the 3.0-litre engine has also been introduced for the commercial vehicle market.

The new 2.2-litre engine combines a high-pressure turbocharger with the variable-geometry turbocharger (VGS). The number of injector holes has increased from eight to 10, while the cooling and lubrication systems have been modified to accommodate the engine's increased performance.

According to Isuzu, the engine is the most powerful it has produced for this market, delivering 204 horsepower and peak torque of 500 newton metres.

Isuzu seeks tax incentives for Thailand's pickup market

The Federation of Thai Industries (FTI) held a meeting with its automotive industry group, led by FTI chair Pimjai Leeissaranukul, vice-chairman Suwat Supakarndechakul and Suphot Sukphisarn, secretary of the FTI's Promotion and Support for Industry Division.

Representatives from more than 10 car and motorcycle manufacturers attended, including Toyota, Mitsubishi, Isuzu, Nissan, Mazda, Hino, Honda, Mercedes-Benz, BMW, BYD, Changan, GWM, Hyundai and Yamaha.

The meeting focused on investment direction, local content promotion and support for the new excise tax. The automotive industry is one of seven economic sectors identified under the Reinvent Thailand strategy, which aims to develop industrial capabilities, attract investment and support the growth of Thai small and medium-sized enterprises (SMEs) alongside the wider industry.

Pimjai said the priority was to implement Local Content Contribution measures that create opportunities for Thai SMEs, increase domestic economic value and maintain the competitiveness of Thailand's automotive industry.

The FTI plans to work with the private sector and relevant government agencies to advance policy proposals and establish a transparent, verifiable and practical framework for certifying local content. The proposals would also address regulations and barriers to doing business to encourage investment and develop the automotive industry under the Reinvent Thailand strategy.

The automotive and parts sector accounts for around 10% of Thailand's gross domestic product (GDP), with activity affecting businesses throughout the supply chain. The FTI will submit the plans arising from the meeting to Ekniti Nitithanprapas, deputy prime minister and finance minister, for consideration. They will subsequently be submitted to the Joint Public and Private Sector Committee for Economic Problem Solving (JPPCC).