To improve production despite threats | So Good News

Thailand’s manufacturing sector is expected to continue growing next year after the Covid-19 outbreak subsides, but economic challenges posed by inflation and the effects of the Russia-Ukraine war could cause a bump, analysts said.

automobiles and auto parts; electric cars, medical devices; smart electronics; Permanent Secretary Warawan Chitaroon, Head of Industry and Acting, said he hopes to drive growth in various industries, including food processing and bio-based manufacturing. Office of Industrial Economics (OIE).

“As the global economy slowly recovers after the pandemic subsides, imports of goods from abroad are on the rise,” she said at the OIE forum, adding that “disruptive change is a new opportunity.”

Thai industries are involved in infrastructure development projects in the Eastern Economic Corridor region and bio, Ms. Warawan said there are many potential drivers for the development of a circular and green (BCG) economy.

Announced as a national program by the administration, BCG aims to encourage manufacturers to use technologies that add value to products through methods that have the least or least impact on the environment.

In order to improve the country’s economy, the Thai Chamber of Commerce, Saudi Arabia, Chamber of Commerce President Sanan Angubolkul said that they are planning to invite investors from India and Vietnam.

“Investors from these countries have the potential to help grow the economy after the pandemic,” he said.

Challenges

“Geopolitical conflicts like the protracted Russia-Ukraine war have exacerbated the global semiconductor shortage, which has reduced the production capacity of automakers,” said Kriengkrai Thiennukul, president of the Confederation of Thai Industries.

The chip shortage has been a major bottleneck in car manufacturing, causing global car companies in Thailand to change their production plans and delay the delivery of some car models to their customers.

Mr Kriengkrai is also concerned about high inflation and expensive energy prices that could affect economic development and the country’s competitiveness.

“In line with the government’s push to develop Industry 4.0, many factories are still struggling to upgrade their technologies,” he said. Analysis for production.

Clean and lean.

Speaking at the forum, Somkiat Tangkitvanich, president of Thailand’s Development Research Institute, urged manufacturers to take a “clean and light” approach amid expectations that the global economy will stall or face a recession next year due to high inflation.

Businesses are also facing rising production costs due to high energy prices.

However, this group will not be able to pass on all the higher costs to consumers due to declining purchasing power, he said.

Mr. Somkiat suggested that manufacturers clean and lean themselves by cutting production costs to cope with economic challenges in the coming year.

Adopted by many developed countries, the environment He said that they should adjust their production processes according to social and governance practices.

Mr Somkiat suggested manufacturers use automation in their production processes to deal with labor shortages and disruptions caused by the pandemic.