Photo Credit: Shimzu corporation
Thailand’s manufacturing production index unexpectedly increased by 2.17% in April compared to the same period last year, driven by growth in manufacturing, exports of industrial goods, and tourism, the Industry Ministry announced on Friday.
However, overall output for the first four months of 2025 declined by 0.75% compared to the previous year. As a result, the ministry revised its economic forecast for 2025, lowering the growth projection from the previous range of 1.5% to 2.5% down to a forecast of 0% to 1%.
April’s growth exceeded expectations, with a Reuters poll predicting a decline of 2.95% annually. March’s data was also revised, showing a marginal increase of 0.05% after an initial report of a 0.66% decline.
Earlier this week, export figures showed a 10.2% annual increase in April; however, the commerce ministry noted that the outlook remains challenging due to ongoing U.S. tariffs.
Thailand remains heavily affected by U.S. trade measures, with a potential 36% tariff if negotiations do not lead to a reduction before the July end of the current tariff moratorium.
Additionally, automotive manufacturing in Thailand, a key regional auto hub, declined for the 21st consecutive month, falling 0.4% year-over-year, according to recent data.
