Thailand’s exports could be severely affected by Russia - Ukraine tensions

Containers of goods at a port in Thailand. (Photo: AFP/VNA)

Bangkok (VNA) - The Thai National Shippers’ Council (TNSC) on March 1 saidthe country’s exports could be severely affected if the conflict in Ukraine prolongsor escalates, expressing its hope for a quick end to the war.

TNSC President Chaichan Charoensuk said the Russia -Ukraine tensions and the retaliation against Russia will definitely affect theglobal and Thai economies, and production costs will definitely increase due tothe rising prices of oil and raw materials.

The council expects that if fightingdoes not escalate but ends through negotiations within three months, Thailand’sexports will still grow at 5 percent.

Chaichan saidthe first quarter will see export growth of 5 percent to 67 - 68 billion USD asThai exporters have already received orders. However, if the fighting prolongs,exports in the second quarter may drop by 4 - 5 billion USD.

He said the TNSC also believes thatbanning Russia from the SWIFT international bank link system will have animpact on the global financial system. The impact will be clearer in the secondhalf but Thailand will only be indirectly affected because the country’s tradingvalue with Russia is not high./.

VNA