Cross-border trade shows strong expansion in July, boosting Thai exports

This represents a significant increase of 21.7% year on year, marking the fourth consecutive month of growth. Exports accounted for 87.1 billion baht, reflecting a rise of 15.5%, while imports totalled 71.0 billion baht, resulting in a trade surplus of 16.1 billion baht.

"The continued expansion of border and cross-border trade is a testament to Thailand's strategic location and strong economic ties with neighbouring countries," Ronnarong Phoolpipat, director-general of the Department of Foreign Trade, said. 

The report also showed that in the first seven months of 2024 (January to July), border and cross-border trade amounted to 1.070 trillion baht, with exports increasing by 5.9% to 621.4 billion baht and imports rising by 4.7% to 448.9 billion baht. Thailand recorded a trade surplus of 172.4 billion baht during this period.

The Department of Foreign Trade attributed the expansion to strong demand for energy products, particularly diesel fuel, as well as consumer goods like rubber and rubber products. 

"The increase in demand for rubber products, especially from Malaysia, China, Japan, and South Korea, has been a major driver of our exports," Ronnarong said, adding that the government's initiatives to strengthen trade ties and improve infrastructure at border points were expected to support this upward trend.

Meanwhile, border trade with neighbouring countries also saw substantial growth, with Malaysia leading the way at 30.2 billion baht. Other countries seeing significant increases included Laos, Myanmar, and Cambodia.

Overall, trade with the four neighbouring countries in July 2024 reached a total value of 82.7 billion baht, with exports increasing by 14.4% to 50.6 billion baht and imports rising by 12.2% to 32.1 billion baht, resulting in a trade balance of 18.5 billion baht. 

"Thailand's strategic location and strong economic relations with neighbouring countries have made it a hub for cross-border trade," said Ronnarong. "We are committed to further strengthening these ties and promoting economic development in the border regions."

Cross-border trade with third countries reached a total value of 75.4 billion baht, with exports increasing by 30.7% to 36.5 billion baht and imports rising by 15.2% to 38.9 billion baht, resulting in a trade deficit of 2.4 billion baht. This growth in cross-border trade is attributed to increased demand for energy products, hard disks and other key commodities.

"The growth in cross-border trade with third countries demonstrates the increasing competitiveness of Thai products in the global market," he said.

Looking ahead, the department plans to continue its efforts under the "Strategy for Promoting Border and Cross-Border Trade and Investment 2024–2027," aiming to create a more conducive environment for trade and investment.

This strategy is expected to not only enhance economic activities along the borders but also contribute to the overall prosperity of the region.

"We believe that Thailand's border and cross-border trade will continue to grow in the coming years. We are committed to implementing policies and initiatives that will support this growth and contribute to Thailand's economic prosperity," Ronnarong said.