The car industry is predicted to grow 16% in terms of vehicle production next year, despite the impact of flooding. Even with the severe disruption of supply chains and production during the fourth quarter, Thailand's auto industry is expected to fully recover by the second or third quarter next year and produce 1.8 million units in 2012. The equity research company forecasts 16% growth in car production next year, up from an estimated 1.55 million units this year, on high domestic demand and the government's scheme to allow first-time buyers a tax rebate on certain cars.