Thailand’s July exports top expectation
Thailand’s exports exceeded projections in July. However, shipments in August and September are seen to be hit by the country’s biggest COVID-19 surge, according to the commerce minister on Monday.
Exports surged 20.27% in July from a year earlier after a 43.8% year-on-year rise in June. The growth was higher than economists’ expectation of a 19.7% increase and was driven by an improvement in global demand.
Exports to the United States climbed 22% year-on-year, while it was up 41% in China. Japan accounted for 23% and 21% for the European Union.
A virus outbreak in Thailand has largely hit factories and exacerbated labor, jeopardizing exports at a time when global demand is rising and the baht is weakening.
The Federation of Thai Industries (FTI) has already requested government aid like clear “bubble and seal” measures and more vaccines for factories.
FTI Chairman Supant Mongkolsuthree said virus outbreaks in factories need to be contained as the industrial sector solely fuels GDP and exports.