Thai auto sector slams on brakes as political crisis rumbles on

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By Khettiya Jittapong and Pisit Changplayngam BANGKOK (Reuters) - Thailand's auto sector, Southeast Asia's biggest, has fired more than 30,000 subcontracted workers this year and slashed production, as sales plunge after months of political unrest that threatens to drive some manufacturers offshore. The lay-offs are the latest sign that the auto industry, accounting for about 11 percent of Thai economic output, is being hit hard by the prolonged power-struggle between the Bangkok-based royalist establishment and the mainly rural supporters of ousted former Prime Minister Thaksin Shinawatra. The crisis deepened on Wednesday, when a court ordered Prime Minister Yingluck Shinawatra, Thaksin's sister, to step down after finding her guilty of abuse of power, leaving a caretaker government to press ahead with plans for a July election. As a regional production and export base, Thailand's troubles have major implications for top manufacturers such as Toyota Motor Corp, Nissan Motor Co and Ford Motor Co, which may be forced to shift some production to cheaper bases such as Indonesia, the region's second-biggest auto market.

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