Export growth remains uncertain amid high global interest rates in Thailand

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In a recent development, the Thai National Shippers’ Council (TNSC) has adjusted its export growth outlook to fall between a negative 0.5% and a positive 1%.

 

This stark revision from the previously projected 0 to 1% growth range primarily attributes to looming global uncertainties, particularly concerning key trading counterparts in the US, the EU, and China. High international interest rates have significantly contributed to this economic unpredictability as well.

 

Chaichan Chareonsuk, who holds the chairman’s position at TNSC, highlighted the potential challenges exporters are likely to face during the second half, including a sluggish economic revival from essential trade partners such as the US, Europe, and China.

 

Adding further stress to the state of affairs are the continually soaring international interest rates, resulting in the deceleration of economies worldwide and causing borrowing costs for entrepreneurs to climb, thereby escalating exporters’ production costs and severely impacting export growth.

“The upswing in costs such as electricity bills and raw materials is drastically impacting Thailand’s competitive stature in the global market,” observed Chairman Chaichan.

 

by Alex Morgan

Photo courtesy of blogs.cfainstitute.org

 

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Full story: https://thethaiger.com/news/business/thailands-export-growth-uncertain-amid-high-global-interest-rates

 

-- © Copyright Thaiger 2023-07-05

 

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