Thailand’s export surge signals global economic boom
Thailand‘s exports have skyrocketed for the fourth month in a row, unleashing economic fireworks just in time for the festive season.
Thailand’s exports are on a jaw-dropping winning streak, marking a fourth consecutive monthly surge in November. Ministry of Commerce Permanent Secretary Keerati Rushchano explains this economic rollercoaster.
“Exports of goods showed a remarkable expansion across the board, with agricultural products stealing the spotlight with significant growth compared to other categories.”
The Commerce Ministry, in a report dated December 25, disclosed a 4.9% uptick in exports, soaring to a whopping US$23.5 billion (approximately 809 billion baht) in November. Imports danced to the tune of a 10.1% increase, reaching US$25.9 billion, creating a trade deficit of US$2.39 billion.
Agricultural and agro-industrial products were the unsung heroes, escalating by 4.9% year-on-year to US$3.9 billion. The champions included rice (+67.9%), rubber (+14.5%), and the surprising star, chilled shrimp (+141%).
Industrial products weren’t far behind, flaunting a 3.4% growth to US$18.6 billion. Computers, machinery, and iron stole the show, boasting impressive growth percentages.
However, for the first 11 months of the year, exports faced a 1.5% dip to US$262 billion, while imports fell by 3.8% to US$268 billion. The year-to-date trade deficit weighed in at US$6.16 billion. Agricultural and agro-industrial products clocked a 0.5% decrease to US$45.7 billion, while industrial products experienced a 1.5% decline to US$205 billion, reported Bangkok Post.
Keerati sheds light on the beacon markets that fueled this economic blaze.
“Exports to key players like the US, Japan, and Southeast Asia witnessed a surge by 17.5%, 4.3%, and 12.9% respectively. Even secondary markets such as South Asia, Australia, Oceania, Russia, and the Commonwealth of Independent States jumped on the export bandwagon, increasing by 5.0%, 10.9%, and a whopping 88.4%.”
Amidst this jubilation, Keerati predicts a December encore.
“There’s a possibility that exports will contract by less than 1.5% this year. Despite the Houthi attacks on vital shipping routes in the Red Sea, no impact has been felt yet. We’ve scheduled a meeting with shipping companies today to ensure fair consideration of price adjustments.”
The grand finale comes with the ministry setting an ambitious export target of around 2% growth for 2024, sealing Thailand’s status as a global trade powerhouse.
