Board of Trade expects US bank collapses to impact Thai exports

[webfact]

 

by Namo Vananupong

BANGKOK (NNT) - The Board of Trade of Thailand indicated it expects the recent collapses of US banks to have effects on Thai exporters. Meanwhile, it is urging the government to quickly make progress in FTA negotiations to stave off the impacts.

 

Sanan Angubolkul, Chairman of the Board of Trade of Thailand, acknowledged that Thai exports will be impacted by the banking crisis in the United States, as the matter is related to US buyers’ confidence. He said exports to Europe, which is another large market, must be followed up on.

 

Mr. Sanan said Thai private sector representatives are urging the government to quickly conclude the Thai-US FTA agreement. Meanwhile, FTA negotiations with EU states are expected to conclude in 2 years, paving the way for Thai exporters to grow their markets into the EU.

 

Meanwhile, the Joint Standing Committee on Commerce, Industry, and Banking (JSCCIB) expects the growth of exports to be negative for most months in the first half of this year. It expects the situation to improve in the latter half and growth to improve to minus 1% or 0% by the end of the year.

 

Mr. Sanan indicated the private sector and the commerce ministry have set up a war room to address the export decline by reaching into new markets such as Saudi Arabia and China. Thai businesses will soon hold a roadshow in China to boost exports, especially fruit exports.

 

The head of the Board of Trade noted that inflation is not expected to be elevated this year and is believed to stay in the range of 2-3%. Meanwhile, the collapse of banks in the US will likely prompt the Federal Reserve to consider toning down its forceful raising of the interest rate. This would, in turn, convince other countries to refrain from rapid interest rate hikes.

 

Mr. Sanan said he hoped Thailand’s Monetary Policy Committee would raise interest gradually. He also believed interest hikes would slow down in this year’s latter half and the baht’s value would remain within the current range.

 

Source: https://thainews.prd.go.th/en/news/detail/TCATG230317101042015

 

-- © Copyright NNT 2023-03-17

 

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[ThailandRyan]

Just two days ago they said Thailand had no exposure....hmmm, what else have they been hiding from the good people. I guess as usual Thailands PR folks from the BOT and TAT as well as the Cabinet don't look at the whole picture first before coming up with a response.  Never fire off the cuff, I still find out the hard way when I do...especially when posting....

 

Also 2 years before the FTA with the EU is done seems a long way off and must includes mountains of paperwork to review.....

Edited March 17, 2023 by ThailandRyan

[hotchilli]

19 hours ago, webfact said:

The Board of Trade of Thailand indicated it expects the recent collapses of US banks to have effects on Thai exporters. Meanwhile, it is urging the government to quickly make progress in FTA negotiations to stave off the impacts.

I thought Thailand was above any repercussions?

[ThailandRyan]

4 hours ago, hotchilli said:

I thought Thailand was above any repercussions?

They did say that if I do recall 

[hotchilli]

9 minutes ago, ThailandRyan said:

They did say that if I do recall 

They say a lot of things.

[Jerno]

As close as Thailand is with China and both not supporting Ukraine in any way, doubt the US-Thai Agreement will ever happen.