Thailand’s exports grew by 10% in January, offering hope for higher GDP growth this year. However, a trade deficit with China poses a challenge to the economy.
Export Growth Boosts Thailand’s Economy
Thailand’s exports increased by 10 per cent year on year in January, marking the highest growth in 19 months. This growth trend, observed for six consecutive months, raises hopes for the gross domestic product (GDP) to expand beyond last year’s sluggish 1.9 per cent.
Trade Deficit Concerns with China
Despite the positive export growth, Thailand is facing a mounting trade deficit with China. The country’s imports from China far exceed its exports, posing challenges for local industries. Thai leaders are exploring measures to protect domestic industries and address the growing trade gap with China, which has been a persistent issue over the years.
