Thai Industries Sentiment Index Rises in March amid Recovering Demand

Mr. Kriengkrai Thiennukul, Chairman of the Federation of Thai Industries (FTI), revealed the results of Thai Industries Sentiment Index (TISI) in March, which stood at 92.4, up from 90 in February. Upon analyzing the components of the index, overall sales, total orders, production volume, and business performance increased from the previous month.

The increased confidence was supported by a gradual demand recovery in the country, reflected in the increasing demand for consumer and durable goods such as household electronics, air conditioners, and furniture. The tourism sector also continued to expand and benefited from the recent visa waivers measures.

On the export front, there was improvement due to the global economic recovery and the economies of key trading partners such as the United States, India, and Australia, while  manufacturers ramped up production ahead of the Songkran festival. Moreover, businesses benefited from the government’s diesel price cap, reducing production and transportation costs.

However, challenges remain, including household and business debt issues that limit the country’s economic recovery. Entrepreneurs also express concerns about financial costs and rising interest rates, as well as global economic uncertainties, particularly in China, Japan, and the European Union, affecting export recovery.