Bangkok: Varawut Silpa-archa, Minister of Industry, has expressed confidence that industrial confidence will continue to grow in the second half of the year, with expectations of the manufacturing sector's GDP expanding by 1.5-2%. He believes initiatives like "Thailand Helps Thailand Plus" and clean energy will support the Thai economy in overcoming the Middle East crisis.
According to Thai News Agency, Mr. Varawut emphasized that the Thai industrial sector is poised for growth despite global economic risks. The Industrial Production Index (MPI) and Industrial GDP are anticipated to expand by 1.5-2.0 percent in the latter half of the year, with full-year growth projected to average between 1.0-2.0 percent. This positive outlook is attributed to investments in emerging industries, increased domestic consumption, and government economic stimulus measures such as the "Thai Help Thai Plus" program. Running from June 1st to September 30th, 2026, the program has spurred domestic spending, particularly in consumer goods like food, beverages, and processed agricultural products, thus boosting production capacity and economic activity.
Mr. Varawut highlighted the current energy crisis as a potential catalyst for accelerating the adoption of modern technologies and clean energy in Thailand's manufacturing sector. Industries expected to see strong growth include electric vehicles (xEVs), advanced electronics, digital technology, and data centers, driven by the global growth of AI. Additionally, sectors like sustainable aerospace fuel (SAF) and the steel industry are poised for growth, supported by infrastructure investment and clean energy transition measures, enhancing Thailand's long-term competitiveness.
He further noted that the global energy crisis serves as a significant impetus for Thai industries to adapt to the new economy, in line with government policy and the One Mind strategy. This strategy aims to streamline laws and licensing, promote future industries, and foster green energy sectors. While the Ministry of Industry closely monitors the Middle East situation due to its impact on petrochemical and related industries, Mr. Varawut sees this as an opportunity for Thai industries to transition towards clean energy and advanced technology, achieving sustainable growth despite challenges.