Thailand’s industrial sentiment index experienced a decline for the second consecutive month in April, reaching its lowest point in half a year, according to the report by the Federation of Thai Industries (FTI) on Monday.
The FTI attributed this drop to growing apprehensions regarding U.S. tariffs. The index fell to 89.9 in April, a decrease from March’s level of 91.8.
This report came after an announcement of Thailand’s economic growth surpassing expectations, but overall expansion was cut significantly due to global trade tension.
Thailand’s economy in the first quarter of 2025 expanded by 3.1% from a year earlier, surpassing the 2.9% growth expected by analysts in a Reuters poll.
The National Economic and Social Development Council reported a 0.7% seasonally adjusted quarterly growth for the January-March, slightly higher than the projected 0.6% growth.
Additionally, the Planning Agency projects the 2025 GDP growth for Thailand to range between 1.3-2.3%, down from the previous estimate of 2.3-3.3% in February.
Employment in Thailand decreased by 0.5% year-on-year in the first quarter of 2025, compared to a 0.4% decline in the last quarter of 2024.
The projection for foreign tourist arrivals in Thailand for 2025 is now 37 million, reduced from 38 million as estimated in February. Moreover, the Planning Agency expects a 1.8% increase in Thai exports in 2025, down from the 3.5% forecast earlier this year.
