Thai exports in February continued to expand for 12 consecutive months without being affected from the Russia-Ukraine war yet. Exports should continue to improve in the periods ahead following higher prices.
Thai exports continued to expand for 12 consecutive months ...
Thai exports continued to expand for 12 consecutive months.
The impact of the war in Ukraine has not yet affected exports in February. Exports expanded by 16.2% in February, accelerating from the 8% growth in the previous month. In terms of seasonally adjusted month-on-month growth, exports improved by 4.4% (MOM, SA) from January. Such growth coincided with improving export conditions of various key economies around the world, and better readings of global manufacturing indicators in February after weakening in January from Omicron casualties.
EIC anticipates that Thai exports and imports in 2022 will expand following higher prices.
In 2022, EIC expects that Thai exports and imports will grow at a higher than previously anticipated level following higher prices rather than quantity. Looking back, Thailand’s trade condition in 2021 recovered from growing quantity according to better global economic conditions. However, such quantity recovery may slow in 2022 due to the implications of the Russian-Ukraine war that should undermine global demand, especially in Europe. In addition, export quantity growth in 2022 should be negatively influenced by higher commodity prices, a global phenomenon especially pronounced among energy and raw material products following the sanctions on Russia and greater risks of supply disruption.