Thai June exports fall 23.17% year-on-year, weakest pace in nearly 11 years

[webfact]

Thai June exports fall 23.17% year-on-year, weakest pace in nearly 11 years

 

FILE PHOTO: A view of the Port of Bangkok, Thailand, March 25, 2016. Picture taken March 25, 2016. REUTERS/Athit Perawongmetha

 

BANGKOK (Reuters) - Thailand's exports in June dropped by a bigger-than-expected 23.17% from a year earlier, the weakest pace since July 2009, as the coronavirus pandemic hit global demand, the commerce ministry said on Friday.

 

The decline compared with a Reuters poll forecast for a fall of 15.5% in exports, and against May's 22.5% contraction.

 

Exports, a key driver of Thai growth, could decline by 8%-9% this year, Pimchanok Vonkorpon, head of the ministry's Trade Policy and Strategy Office, told a briefing.

 

"Exports should have bottomed out but a recovery may not be fast," she said, adding exports had fallen by 15.2% year-on-year in the second quarter.

 

Most export markets contracted in June, but shipments to the United States rose 14.5% from year earlier and ones to China increased 12%, Pimchanok said.

 

The June export fall was led by shipments of cars and car parts, which tumbled 43.2% from a year earlier, while gold exports fell 86% and plastic pellets were down 15%.

 

In the first half of 2020, exports decreased 7.09% from a year earlier.

 

(Reporting by Orathai Sriring and Kitiphong Thaichareon; Editing by Ed Davies)

 

-- © Copyright Reuters 2020-07-24

 

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[Grumpy John]

Not unexpected news.   I still think their 8-9% is more wishful thinking than fact. 

[JonnyF]

41 minutes ago, webfact said:

Exports, a key driver of Thai growth, could decline by 8%-9% this year, Pimchanok Vonkorpon, head of the ministry's Trade Policy and Strategy Office, told a briefing.

Good luck with that.

 

Closer to 20% IMO.

[BritManToo]

45 minutes ago, webfact said:

The decline compared with a Reuters poll forecast for a fall of 15.5% in exports, and against May's 22.5% contraction.

So they've lost nearly 25% of their exports over a 2 month period, and lost 10-20% of their total income from no tourism, and nobody appears all that worried.

If that had happened in the UK, the remainers would have demanded a new Brexit vote, and the pound would have halved in value.

 

Amazing Thailand.

Edited July 24, 2020 by BritManToo

[vivananahuahin]

They have too much $ reserve and don't want the IMF help say the BOT governor,we are strong and golden.Let's hope that we are no coming in a depression after the recession.

[spidermike007]

Of course they are blaming all of this on Covid. However, tourism was declining in quality, and occupancy levels were down long before this. And rice is a huge export. Due partly to the bloated baht, it is the highest priced rice in SE Asia. Not competitive at all. Plus manufacturing is way down. Partly due to lack of demand. Partly due to a deliberate economic shutdown.

 

There is some local blame for this. However, most would prefer to continue the practice of deflection. 

[86Tiger]

3 hours ago, BritManToo said:

So they've lost nearly 25% of their exports over a 2 month period, and lost 10-20% of their total income from no tourism, and nobody appears all that worried.

If that had happened in the UK, the remainers would have demanded a new Brexit vote, and the pound would have halved in value.

 

Amazing Thailand.

Oh, they are worried.  Don't let the bright lights fool you. 

 

All the economic guys didn't resign just to spend more time with ma noi.....

[joecoolfrog]

4 hours ago, BritManToo said:

So they've lost nearly 25% of their exports over a 2 month period, and lost 10-20% of their total income from no tourism, and nobody appears all that worried.

If that had happened in the UK, the remainers would have demanded a new Brexit vote, and the pound would have halved in value.

 

Amazing Thailand.

Well perhaps if Thailand allowed effective political opposition and freedom of speech...

[hotchilli]

5 hours ago, webfact said:

"Exports should have bottomed out but a recovery may not be fast," she said, adding exports had fallen by 15.2% year-on-year in the second quarter.

But they haven't reached the bottom yet, wait another quarter.