Thai industrialists are concerned about the negative impact of cheap and substandard imports on their businesses, calling for tighter controls and incentives to improve competitiveness in the ASEAN market.
Impact of Imports on Thai Industrialists
Most Thai industrialists acknowledge the negative impact of cheap and substandard imports on their businesses, including electrical appliances, food, textiles, cosmetics, and garments. According to the Federation of Thai Industries (FTI) CEO Poll conducted in February, 65.8% of the 234 chief executive officers surveyed reported a decrease in sales by up to 30% due to the competition from imports. Concerns were also raised about consumer safety and the need for stricter controls on products that do not meet Thailand’s required standards.
Challenges in the ASEAN Market
Thai industrialists are facing challenges in the ASEAN market due to higher production costs, including electricity charges, labor costs, interest rates, and logistic expenses. The survey revealed a 7.12% drop in Thai exports to the ASEAN market in 2023 compared to the previous year. While 57.7% of respondents believe Thai products will struggle to compete in the ASEAN market, 11% remain optimistic about the competitiveness and popularity of Thai products in the region.
