Thailand MPI Sees Broad-based Recovery In August

Economic Research	04 October 2016
Thailand
Economic Highlights
Thailand MPI Sees Broad-based Recovery In August Thailand’s manufacturing production index (MPI) grew 3.1% y-o-y in August, recovering from a 5.0% y-o-y fall the month before. The electronics & electricals (E&E), food & beverage and rubber & plastics clusters all rebounded from negative readings in July, while automotive production declined at a much slower pace. With the latest rebound, the MPI contracted 0.9% in the first two months of 3Q, compared to a 1.7% gain in 2Q. As a result, we expect Thailand’s real GDP to slow to 3.1%% y-o-y in 3Q, from +3.5% in 2Q. Going forward, the MPI is expected to grow mildly by 0.7% for the year, accelerating from 0.3% last year. Economist:  Ng Kee Chou  | +603 9280 2179
To access our recent reports please click on the links below: 27 September: Thai Exports Surge On Vehicle Shipments 15 September: BOT Opted To Preserve Policy Space As External Uncertainties Pile Up 02 September: August Inflation Crawls Higher On Rising Energy Costs 02 September: Public Spending Slowed In July; Private Activities Remained Subdued 01 September: Sharp Decline In July MPI As Auto, Chemicals Production Contract 29 August: Exports Slumped  In July, Dragged By Weak Auto, E&E Orders 16 August: Sharp Increase In Consumer Spending Masks Export Weakness