Thai Manufacturing Contracts More Than Expected in April as Exports Slow

The manufacturing production index (MPI) in Thailand fell by 8.14% from a year earlier in April, the industry ministry reported on Wednesday, as exports slowed and production costs soared.

This number followed March’s revised 3.86% year-over-year decline and was lower than the average estimate for a reduction of 2.15% in April.

MPI has contracted for the seventh consecutive month, in line with the exports sector’s downward trend.

The MPI fell 4.69 percent from January to April of this year, according to a statement released by the ministry.

This year, the ministry predicts that factory output will increase between 0% and 1%.

It noted that while exports have been slow, local demand has improved due to growth in the key tourism sector and rising investment.