Thailand's economy is expected to grow by between 2.0% and 2.2% this year, down from a previous forecast of 2.4% to 2.9% growth due to the impact of tariffs imposed by the United States, a leading joint business group said on Wednesday.
Exports, a key driver of Thailand's economy, could rise by 0.3% to 0.9% this year, lower than an earlier projection of 1.5% to 2.5% growth, the Joint Standing Committee on Commerce, Industry and Banking (JSCCIB) said.
Thailand is among the Southeast Asian nations hardest hit by US President Donald Trump's measures, with a 36% tariff if a reduction cannot be negotiated before a moratorium expires in July.
The business group was concerned that export rivals might negotiate better tariff terms and disadvantage Thai shipments to the United States, a key market, said Kriengkrai Theinnukul, chair of the Federation of Thai Industries (FTI), which is part of the group.
The baht appreciation was also a concern and could weigh on businesses, he said, adding the government should manage the currency so it does not appreciate too fast or become too volatile.
Thailand's Finance Ministry last week cut its forecast for economic growth this year to 2.1% from 3% due to the impact of US tariffs and a global slowdown.