January – Jun 2005
By: Khoo Boo Seng, Economic Counsellor, Malaysia Trade Office
Sources: Thailand Dept. of Customs, Bank of Thailand
- Thai exports to 10 largest markets, led by USA, Japan and China, Totaled US$35.51 billion:
– accounted for 68.5% of Thailand’s total half-year global exports (US$41.83 billion); and
– increased 0.36% from the preceding six months (US$32.02 billion)
- Major export items from Thailand include automatic data processing machines, motor cars and parts and electronics integrated circuits.
- Malaysia is Thailand’s 5th largest export market:
– Thai exports totaled US$2.69 billion; and
– exports decreased 2.57% from the preceding six months (US$2.76 billion).
- Thai imports from 10 largest sources, led by Japan, China and USA, totaled US$41.8 billion;
– accounted for 69.23% of Thailand’s total half-year global imports (US$59.98 billion); and
– imports increased 24.70% from the preceding six months (US$33.51 billion).
- Major import items of Thailand include crude oil, machinery and iron and steel products.
- Malaysia is Thailand’s 4th largest import source:
– Thai imports totaled US$4.27 billion; and
– imports increased 50.1% from the preceding six months (US$2.85 billion)
Thailand Global Trade:
- Thailand’s global trade for the first half of 2005 totaled US$111.81 billion:
– exports amounted to US$51.83 billion; and
– imports were recorded at US$59.98 billion.
- Half-year 2005 trade deficit stands at US$8.15 billion
- Thailand’s 10 largest bilateral trading partners, led by Japan, China and USA, accounted for 67.80% (US$75.81 billion) of Thailand’s global trade (US$111.81 billion).
- Thailand’s trade with its 10 largest trading partners grew 12.17% from preceding six months.
- Thailand’s total global trade grew 10.97% from the preceding six months
- Malaysia is Thailand’s 4th largest trading partner, accounted for 6.23% (US$6.97 billion) of Thailand’s global trade.
- Thailand;s trade with Malaysia grew 24.15% from the preceding six months.
Thailand’s Trade with Other ASEAN Countries (January – Jun 2005)
Overall Trade with Other AEAN Countries
- Thailand’s total trade with other ASEAN countries amounted to US$22.18 billion for the period January – June 2005. It is a 14.32% increase over the preceding six months.
- Malaysia is Thailand largest bilateral trading partner in ASEAN, amounting to US$6.9 billion (31.42%) of Thailand’s total trade with other ASEAN countries. It is a 24.15% increase over the preceding six months.
- The Thai Government has targeted a 20% increase in exports for this year:
– exports in 2004 totaled US$97.70 billion;
– targeted exports in 2005 would therefore be US$117.24 billion (i.e. a 20% increase); and
– exports until June 2005 is US$51.83 billion, constituting less than half (44.21%) of the year-end target of US$117.24 billion.
- Currently the Thai Government is now more concerned and has shifted its focus to burgeoning import bill.
- Thailand’s continuing trade deficit, since the beginning of the year, is causing grave concern; total half-year 2005 trade deficit is now US$8.15 billion.
- Thailand has enjoyed an annual trade surplus since 1998
- The trade deficit for the first half of the year was caused by increasing imports of oil, capital goods and steel.
- Unlikely for a trade surplus this year due to continuing high oil prices (Thailand is a net importer) and increasing demand for capital goods to initiate the Government’s 5-year, US$1.7 trillion, mega projects programme.
- The Goverment has indicated that it will not restrict imports of oil but will monitor and account for oil imports to check speculation.
- The continuing trade deficit has impacted negatively on Thailand’s current account, which is now US$6.21 billion for the first six months 2005.
- As at the end of June, Thailand’s foreign exchange reserves have dropped to US$48.36 billion, a decrease of US$560 million from January 2005 (US$48.91 billion).
- For the first half of 2005, Thailand’s exports to other nine ASEAN countries amounted to US$11.28 billion, reflecting a 1.63% increase from the preceding six months.
- Malaysia is Thailand’s second largest export destination, accounting for 23.89% (US$2.69 billion) of Thailand’s total ASEAN exports
- Thailand’s exports to Malaysia shrank 2.57% from the preceding six months.
- From January – June 2005, Thailand’s imports from the other nine ASEAN countries amounted to US$10.9 billion; a 31.29% increase from the preceding six months.
- Malaysia is the largest source of imports, accounting for 39.22% of Thailand’s total imports from other ASEAN countries.
- Thailand’s imports from Malaysia grew 50.10% from the preceding six months.