Sharp Decline In July MPI As Auto, Chemicals Production Contract

Economic Research	01 September 2016
Thailand
Economic Highlights
Sharp Decline In July MPI As Auto, Chemicals Production Contract Thailand’s manufacturing production index (MPI) plunged 5.1% y-o-y in July, retreating sharply from a 1.4% expansion a month earlier. The downturn in growth, in line with the slump in exports reported earlier, was driven by a sharp contraction in automotive and chemicals production. In addition, factory output of electronics & electricals (E&E) slowed significantly and the decline in textile manufacturing picked up, compounding the fall. In contrast, softer declines in the food & beverage and rubber & plastics products clusters helped cushion some of the downside. Capacity utilisation rate for Thai factories eased to 62.3% on a seasonally adjusted basis, from 66.3% the month before. Economist:  Ng Kee Chou  | +603 9280 2179
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