Abstract
In February 2024, Thai export recovery slowed with only a 3.6% increase in exports compared to the previous year. Exports of agricultural, manufacturing, agro-industrial, and mining/fuel products varied. Exports to key destinations showed uneven growth, with increases to the US and Switzerland but declines to China, Japan, and the Middle East. The trade deficit persisted as imports of capital and consumer goods increased. In March, exports may contract due to the high base effect, despite global manufacturing recovery. Thai exports face challenges in adapting to changing global demand patterns.
Summary
The signal of Thai export recovery slowed in the short term
The value of Thai exports in February 2024 stood at USD 23,384.9 million, increasing by only 3.6%YOY compared to February 2023. Such a growth slowed considerably from the prior month. Excluding gold, Thai exports in February grew by only 1.2%YOY, indicating signs of a slowing short-term recovery. The contraction of exports on a month-on-month basis further highlights this trend.
Exports of agricultural and manufacturing products stalled while exports of agro-industrial and mining and fuel products contracted
In February, exports of agricultural products, manufacturing products, agro-industrial products, and mining and fuel products experienced varied growth rates. Notable contributors to export growth were products like rice, rubber, electrical transformers, and canned fruits. However, certain products like cassava, automotive components, and fuel products showed signs of decline, affecting the overall export performance of Thailand.
Exports to key destinations showed uneven growth this month
Exports to major markets like the US, Switzerland, and Europe displayed mixed results in February. While exports to the US and Switzerland saw significant growth, exports to China, Japan, and the Middle East contracted. The overall performance of exports to key destinations influenced the trade deficit of Thailand, highlighting the importance of maintaining a balance in export markets for sustainable growth.
