The Thai Industries Sentiment Index (TISI) hit its highest point in 62 months in July, driven by local purchasing power and exports, The Federation of Thai Industries (FTI) said on Monday.
FTI chairman Supant Mongkolsuthree said the TISI survey for July stood at 93.2 points, up from 91.7 in June.
"The purchasing power of the agricultural sector was reflected in a growth of overall orders and sales nationwide, in particular, cars, motorcycles, machinery, steel products and electrical appliances," he said.
The country's border trade also performed very well.
However, operators remained concerned about increases in oil prices and bank interest rates, and flooding.
"We must also prepare a backup plan for a global trade war led by the United States and China," said Mr Supant.
The FTI forecast the TISI would reach 104.5 over the next three months.