Thai exports soar by over 40 percent in May
Thailand demonstrated its economic resilience during May as exports skyrocketed by 41.6 percent and domestic car sales rose by 38.4 percent compared to the same period one year ago.
The figures represent a solid rebound from the devastating economic effects of the COVID-19 pandemic. The pandemic dealt a severe blow to global trade as demand dried up in many markets, while countries imposed restrictions on the movement of goods and people.
While the actual totals in volume and value of goods shipped from Thailand in May was still significantly lower than average in normal times, the percentage rise was substantially higher than analysts had predicted. A Reuters poll of economists forecast a 30 percent increase in May.
It was also a marked jump from April when exports increased by just 13 percent year on year.
The Ministry of Commerce attributed the improvement in exports to recoveries in demand in several of Thailand’s key markets.
Thailand’s economy relies on three forces for growth: investment, consumption and exports. Exports are the largest and most important of the three. An export recovery is, therefore, essential for the Kingdom’s economy to bounce back to positive performance.
Likewise, the Federation of Thai Industries acknowledged that the 38 percent rise in domestic car sales in May was coming off a low base from last year when the economy contracted because of the pandemic.