May MPI Rose On Auto, E&E Gains

Economic Research	01 July 2016
Thailand
Economic Highlights
May MPI Rose On Auto, E&E Gains Thailand’s manufacturing production index (MPI) climbed 2.6% y-o-y in May, rebounding from a revised 0.9% expansion a month earlier. The pick-up in growth was precipitated by a sharp increase in motor vehicle manufacturing, which surged 19.5% y-o-y, compared with a 9.1% rise the month before, boosted by a low base effect when factories halted production for changes in the assembly lines last year. Things were further improved by smaller but substantial improvements in electronics & electricals (E&E), chemicals and rubber & plastics production. Meanwhile, output of food & beverages decreased at a faster rate of 3.1% y-o-y, from -0.3% the month before, capping some of the gains. Capacity utilisation rate for Thai factories rose to 65.8% on a seasonally adjusted basis, from 65.6% the month before. Economist:  Ng Kee Chou  | +603 9280 2179
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