The world’s main economies The United States, the European Union and Japan are showing clear signs that their economies are about to slow down. from the effects of war and prolonged geopolitical conflict pressure on the energy crisis and the global inflation situation which is still at a high level
Recently, the World Trade Organization (WTO) has estimated that world trade in 2023 will slow down to just 1% from 2022 when world trade grew by 3.5%, which is affected by the slowdown in export markets in Europe and the United States
Mr. Montri Mahapruekphong, Vice Chairman of the Federation of Thai Industries (FTI) Reveal the results of the 24th FTI Vote in December 2022 under the topic “How will Thailand’s industry continue? under the global economic slowdown.” It was found that most FTI executives were of the opinion that it would affect the Thai economy in the future. “Moderate level” with the problem of rising production costs due to high energy prices. Raw material shortages and high inflation are the main factors putting pressure on the global economy
The FTI executives therefore proposed that the government sector should help take care of energy costs to be appropriate and competitive. including accelerating the process of improving laws and regulations to increase the country’s competitiveness Reducing the cost burden of entrepreneurs’ business operations. and attract investment to Thailand
As for industrial operators, production efficiency improvements need to be accelerated. Reduce unnecessary costs (LEAN) and stock control. in order to prepare to cope with economic fluctuations
Most of the FTI operators are of the opinion that economic development according to the BCG Model will be an important and effective policy to drive the Thai economy in the future. It will create an environmentally friendly industry of the future. Use clean energy to produce products that reduce greenhouse gas emissions
as well as helping to increase farmers’ income through the agricultural industry. Help add new products manufactured using innovation and technology with high added value to the country And most importantly, it will help attract investment to the country.
From the FTI executive survey (CEO Survey) of 226 people covering executives from 45 industrial groups and 76 provincial industrial councils. There is a summary of the results of the 24th FTI Vote, 5 questions as follows:
1. Of the impact of the slowdown in export markets in Europe and the United States, to what extent does it affect the industry? (single choice)
1st place: Moderate 47.3%
2nd place: less 27.0%
3rd place: many 25.7%
2. What is the industrial sector concerned about the factors affecting the global economy? (Multiple choices)
1st place : production costs which have increased due to energy prices which are still at a high level and shortage of raw materials 88.5%
2nd place: High inflation in major economies and the interest rate trend is up 68.1%
3rd place: Purchasing power in some countries has slowed down. Affecting the manufacturing and export sectors 54.4%
4th place : Geopolitical Conflict (Geopolitical) 37.2%
3. How will the industrial sector adapt to the economic slowdown? (Multiple choices)
1st Place: Improve production efficiency, reduce costs (LEAN) and manage inventory 80.5%
2nd place : Financial risk management and 55.8% of emergency reserves
3rd place: Using technology and digital to help run a business 50.0%
4th place: Product development to meet new consumer behavior trends 42.9%
4. What issues should the government help entrepreneurs with? Being able to sustain a business in the economic downturn (Multiple choices)
1st place : Keeping energy and electricity prices appropriate and competitive 86.3%
2nd place: Improving laws and regulations to increase the country’s competitiveness 63.3%
3rd place: Announcing measures to stimulate the country’s economy increasing the purchasing power of the people by 50.4%
Rank 4 : Promoting exports opening new markets and speeding up negotiations for International trade agreements 43.4%
5. Which government economic policy is effective in driving Thailand’s economy in the future? (Multiple choices)
1st place: Economic development according to the BCG Model 64.6%
2nd place : Promotion of 12 targeted industries (S-Curve) 56.6%
3rd place : Upgrading Thai industry to Industry 4.0 56.2%
4th place: Development of the Special Economic Corridor and special economic zones 46.9%
