Honda Asks Thailand to Cut Import Tariffs on Japanese Cars to Bring in Jazz Models

Koji Iwanami, President and CEO of Honda Automobile (Thailand), stated that the company is requesting the Thai government to lower import tariffs on fully built-up vehicles from Japan to enable the introduction of more Japan-made models into the Thai market. He explained that high import duties make it difficult for models like the Honda Jazz and Fit to compete in Thailand against other products, and local production of these two models poses significant challenges. Honda’s plant in Prachin Buri Province has an annual production capacity of approximately 110,000 vehicles—already nearing its limit—and currently manufactures the City sedan and hatchback, Civic, Accord, HR-V, and CR-V for both the domestic Thai market and export to over 70 countries. Honda believes that reducing import tariffs on Japanese-made vehicles would not lead to job losses or negatively impact local suppliers. The company plans to increase the annual production capacity of its Prachin Buri plant to 150,000 units, enabling it to produce up to eight different models. In 2024, Honda ceased整车 (complete vehicle) production at its Ayutthaya plant, converting it into a parts manufacturing facility. This move came amid declining output in Thailand, which fell from 228,000 units in 2019 to around 150,000 units, alongside domestic sales remaining below 100,000 units for four consecutive years.