Exports grow by 4.2%, indicating that the strong baht may affect Q4 purchase orders.

This resulted in a 4.2% increase in cumulative exports in the first 8 months of 2024, with a total export value of 197,192.8 million US dollars, mainly due to increased demand for agricultural and agro-industrial products, as well as lower logistics costs from slower shipping rates.

However, the Thai National Shippers’ Council (TNSC) expressed concern that the continued appreciation of the baht could affect purchase orders in the fourth quarter and exports towards the end of the year, especially purchase orders in November and December.

Export value in August 2024

– Exports: 26,182.3 million US dollars (+7%) or 939,521 million baht

– Imports: 25,917.4 million US dollars (+8.9%) or 941,019 million baht

– Trade balance: Surplus of 264.9 million US dollars (deficit of 1,497 million baht in baht)

Positive factors for exports

– Easing of inflation in many countries

– Loose monetary policy increases consumption and demand for agricultural products.

– Lower shipping rates help reduce logistics costs.

– The recovery of major markets such as the European Union has led to increased demand for products from Thailand.

The Office of Trade Policy and Strategy (OTPS) predicts that Thai exports will continue to grow steadily due to positive factors resulting from the easing of inflationary situations in many countries, as well as relaxed monetary policies, which will help stimulate consumption in key markets such as the United States, China, and Europe.

Despite the high uncertainty of geopolitical factors and the strong baht being a risk, the Ministry of Commerce still sets the export growth target for 2024 at 1-2%, which if achieved will be the highest export value in history.

Source of data