Krungsri Research warns of a deeper slowdown in exports for the rest of 2022, despite the reopening of ASEAN nations. Given the Western geopolitical risks, Thailand’s exports would further continue to be challenged by weakening global trade and worldwide economic headwinds.
The export value in April was USD 23.5 billion, a decrease from March’s all-time high of USD 28.9 billion. Exports to the United States, the ASEAN-5, and the CLMV performed well, whilst sales to the European Union, Japan, and China began to decline, and sales to Russia fell sharply. The figures showed signs of further slowdown amid a supply chain interruption.
The private research center reported that even though the reopening of ASEAN nations has strengthened the export sector, sales into the major markets of China and Europe declined in April for the first time in more than a year as the lockdowns in major Chinese cities, the war in Ukraine, and the sanctions against Russia wreaked havoc on global supply chains.
This might result in exports for the remainder of the year remaining under pressure from the global economic slowdown.
As a result of the aforementioned issues, Thai exports are projected to drop from the 13.7 percent growth recorded during 4M22. The value of exports is expected to increase by around 6 percent in 2022.