Thailand: Merchandise exports accelerate in October
Merchandise exports rose 8.0% over the same month last year in October (September: +2.1% year-on-year). The outturn marked the most robust outturn since June 2022. Meanwhile, merchandise imports shot up 10.2% in annual terms in October (September: -8.3% yoy), marking the strongest reading since September 2022.
As a result, the merchandise trade balance deteriorated from the previous month, recording a USD 0.8 billion shortfall in October (September 2023: USD 2.1 billion surplus; October 2022: USD 0.3 billion deficit). Lastly, the trend deteriorated, with the 12-month trailing merchandise trade balance recording a USD 8.5 billion deficit in October, compared to the USD 8.0 billion deficit in September.
Commenting on the release, Enrico Tanuwidjaja and Sathit Talaengsatya, economists at UOB, stated:
“Overall, we view the Thailand’s export growth has already bottomed out. […] In the periods ahead, the rebound of the semiconductor cycle should be one of the key tailwinds to benefit Thailand’s exports as indicated by the recent rebound in export performance of South Korea and Taiwan which is used as a leading indicator for the export performance of other countries in Asia including Thailand.”