ILO-Japan initiative strengthens Thailand’s automotive sector amid industry transformation

BANGKOK, Thailand (ILO News) – The capacity of Thailand’s automotive manufacturing sector to navigate industry transformations and an evolving business responsibility environment has been strengthened through the efforts of an International Labour Organization (ILO)–Japan initiative. 

The ILO’s two-year  Project on Skills Development and Responsible Business Conduct for Transition which took place with the support of Japan’s Ministry of Economy, Trade and Industry (METI) comes to a close at the end of March 2025. 

A closing event held in Bangkok on 13 March 2025 saw project participants and partners take stock of the project’s contributions to advancing skills development and promoting responsible business practices within Thailand’s automotive manufacturing sector, while exploring opportunities to expand and scale the results achieved.

Against a backdrop of ongoing technological advancements, demographic changes and the industry’s shift towards electric and low-carbon vehicles, the project’s activities in Thailand have focused on upgrading workers’ skills for these transitions, while aligning business practices with international labour standards and the United Nations’ Guiding Principles on Business and Human Rights. 

The event provided an opportunity to reflect on the project’s key achievements. These include training to improve workers’ employability and productivity as well as the adoption of responsible business practices in the sector. 

Speaking at the event, Oktavianto Pasaribu, Deputy Director of the ILO Country Office for Thailand, Cambodia and Lao People’s Democratic Republic, emphasized the impact of the Project’s activities. “By equipping workers with the necessary skills to meet the evolving demands of the industry and ensuring that businesses align with national and international development priorities, this initiative has advanced a significant step towards more resilient, inclusive and sustainable supply chains in Thailand’s automotive manufacturing industry”, he stated. “The partnership between ILO, METI, and our tripartite partners in Thailand have been instrumental in driving these positive changes.”

The event highlighted innovative tools developed by the project, including an occupational map to help employers, workers and policymakers navigate the changing nature of jobs in the sector and plan future skills needs.  It showcased training carried out on workplace rights, digital and environmental skills, and SME capacity building. The project’s efforts to support Thailand’s dual vocational education and training system and to enhance apprenticeships and hiring practices were also discussed. 

The project’s focus on public-private collaboration was recognised with representatives from the Employers’ Confederation of Thailand (ECOT), the Thai Trade Union Congress, and Thailand’s Ministry of Labour sharing their insights on the role of  such partnerships in strengthening the country’s automotive sector. 

Teerasak Yuphech, Director of the Automotive Human Resource Development Academy (AHRDA) underscored the importance of its partnership with ILO. “Our collaboration has been pivotal in enhancing the capabilities of workers and employers alike,” said Yuphech. 

“Though our partnership with ILO, we have not only improved productivity but contributed to building a more socially responsible industry, which will enhance the sustainability and competitiveness of Thailand’s automotive sector in the long run.”

“Today’s event is not only a reflection of the achievements we have made thus far but also a platform to discuss how we can continue to build on this momentum,” said Pasaribu. “We are proud of the partnerships and results that have emerged from this project, and we eagerly anticipate continued efforts to ensure the long-term sustainability of these efforts.”