Thai govt and auto industry in early talks on scrapping scheme: Officials

Car makers are said to be pushing hard for 'scrapping scheme' because they want to sell more cars. - The Nation/ANN

BANGKOK: The Thai government is in early discussions with automakers to introduce a car trade-in and scrapping scheme in a bid to revive the flagging industry, which is facing its most serious crisis in decades, according to three industry officials and two sources.

Under the scheme, which is still in the early stages of discussion and has not been previously reported, consumers would trade in old vehicles in exchange for a discount on their next vehicle purchase, the officials said.

The traded-in vehicles would then be scrapped, they said. "Car makers are pushing hard for this because they want to sell cars," Sompol Tanadumrongsak, president of the Thai Auto-Parts Manufacturers Association, told Reuters.

Officials at Thailand's industry ministry did not respond to calls from Reuters. - Reuters