Thai Exports Grow 24 Consecutive Months Despite Trade Deficit

The Thai Chamber of Commerce chairman said Thailand's exports in June 2025 expanded 20.8% for the 24th consecutive month, reflecting the country's competitive strength in global markets despite uncertainty from geopolitical tensions, trade wars, and major-power policy shifts. First-half 2025 exports grew 17.6% overall.

Although imports grew faster than exports, creating a first-half trade deficit, the chairman cautioned against focusing solely on the deficit figure. Trade quality and the structure of imports and exports must be analyzed together to reveal the true economic direction. Commerce Ministry data shows that over 72% of Thailand's imports consist of raw materials, semi-finished goods, and capital goods such as components, machinery, and equipment for production and investment. Consumer goods account for only about 9% of total imports.

Expanding product categories include electronic components, circuit boards, electrical machinery, and industrial raw materials—indicating that import growth is mainly driven by investment, increased production capacity, and raw material preparation for future manufacturing and exports rather than consumption alone. Export market growth is diversified across multiple regions and both established and emerging markets, with strong expansion in the United States, and satisfactory growth in ASEAN, Japan, and the European Union. Secondary markets like Australia, Latin America, and South Asia also show continued growth, demonstrating Thai businesses' ability to manage risk and adapt amid global economic volatility.

Thai exports are increasingly supported by industrial and technology-based goods, including computers and components, electrical appliances, machinery, and electronics, while many agricultural products face pressure from commodity prices and global market conditions. This reflects Thailand's transition toward higher-technology and innovation-intensive exports. The chairman noted that the global economy is shifting from a Global Value Chain to a Regional Value Chain due to geopolitical tensions, trade barriers, and corporate restructuring. Thailand is no longer competing only on exports but is competing to become a production base, investment hub, and center of the regional value chain. While trade deficit figures warrant short-term monitoring, they signal Thailand's long-term economic structural transformation in export markets, product mix, and investment.