BANGKOK, June 30 (Xinhua) -- Thailand's economy experienced a slight deceleration in May on a monthly basis due to a slowdown in tourism and manufacturing activity, despite a surge in exports, the central bank said on Monday.
According to the Bank of Thailand, the tourism sector saw a decline in both foreign tourist receipts and arrivals, particularly from long-haul markets, while short-haul visitors from countries such as China, Malaysia, and Japan picked up.
Manufacturing production dropped, largely owing to earlier inventory accumulation and a temporary oil refinery closure for maintenance, said the central bank's Senior Director Pranee Sutthasri.
However, the automotive sector showed signs of recovery with rising production and domestic sales of passenger cars, Pranee told a news conference.
Private consumption remained stable, supported by rising spending on durable goods, while service-related consumption weakened, in line with lower tourist numbers, Pranee said.
Merchandise exports expanded significantly, driven by growing global demand for electronics, especially those used in data centers, as well as accelerated shipments during the grace period for U.S. tariffs, she said.
She noted that inflation continued to be subdued as headline inflation dipped further into negative territory, attributed mainly to declining fresh food prices, while core inflation edged up slightly, fueled by higher costs for prepared food.
Looking ahead, the central bank flagged key risks, including shifts in global trade policies, tourism recovery prospects, rising competition amid evolving consumer behaviors, and geopolitical tensions. ■
