ส.อ.ท. เผยดัชนีเชื่อมั่นอุตฯ ส.ค. ลด แตะ 89.7 หนุนซื้อสินค้าไทย–ดัน E20 เร่งเศรษฐกิจปลายปีFTI Reports August Industrial Confidence Index Decrease to 89.7, Promotes Purchase of Thai Products – Accelerates E20 to Boost Year-End Economy

Mrs. Pimjai Leeissaranukul, President of the Federation of Thai Industries (FTI), along with Mr. Montree Mahapruakpong, Vice President of the FTI and Chairman of the Economic and Academic Sector, Dr. Piyanuch Malakul na Ayutthaya, Vice President of the FTI and Chairperson of the Corporate Communications Sector, and Mr. Panithan Pawarolarnwitthaya, Secretary-General of the FTI, jointly announced the survey results of the industrial confidence index for August 2026 at a level of 89.70, a decrease from 90.0 in July 2026.

The decrease in the industrial confidence index this August results from several pressures, including heavy rain in many areas which increases risks to vital economic areas, transportation, and the supply of agricultural raw materials. Additionally, energy prices and petrochemical raw materials remain high, contributing to rising production costs in the related industries.

Moreover, the automotive market is also facing constraints from purchasing power and access to credit, particularly for pickup trucks, resulting in a 17.38% decrease in car sales during the first seven months of 2026 compared to the same period last year (YoY).

Investment remains concentrated in targeted industries, which results in small and medium-sized enterprises (SMEs), as well as traditional industries, facing limitations in accessing investment opportunities. Simultaneously, SMEs continue to face challenges from high production costs, access to funding, and competition from imported products.

Despite these challenges, the industrial sector still benefits from factors such as continuous growth in exports, which expanded by 18.2% compared to the same period last year (YoY), supported by exports of electronic products benefiting from investments in artificial intelligence (AI), although this began to slow from a high base. Meanwhile, orders for advanced technology products continue to show positive trends, resulting in a 50.2% increase in computer production, a 15.2% increase in printed circuit boards (PCBs), and a 19.63% increase in hard disk drive (HDD) production compared to the same period last year.

Additionally, the food industry continues to grow in line with global market trends, especially in the categories of ready-to-eat food and pet food. Furthermore, the Smart & Sustainable Industry measures contribute to enhancing the production efficiency of the industrial sector.

Moreover, the Thai Help Thai Plus and Thai Help Thai x Local Low Cost projects have contributed to increasing the circulation of funds within the grassroots economy, stimulating consumption and economic activities in the region.

From the survey of 1,330 operators across 48 industry groups of the FTI in August 2026, it was found that the factors causing concern among operators include the global economy at 63.2%, energy prices at 54.1%, domestic economy at 52.9%, and exchange rates (especially from the exporters' perspective) at 25.6%. In contrast, factors that showed a decrease in concern include government policies at 33.5%, access to credit at 23.8%, and loan interest rates at 20.0%.

Meanwhile, the industrial confidence index forecast for the next three months is at a level of 97.0, an increase from 96.1 in July 2026, reflecting that operators have a better outlook towards future economic trends.

Key supporting factors include the Thailand Fast Pass project, which is expected to accelerate investment and bring funds into the economy. Together with entering the year-end shopping festival, it is anticipated to positively impact purchasing power and domestic ordering of products.

At the same time, the economic stimulus measures planned for the final quarter of 2026, including the promotion of energy transition, are expected to be key drivers in increasing money circulation and supporting economic activities.

However, the industrial sector still faces risks that must be monitored closely, particularly the uncertainties regarding tax measures from the United States, following Thailand's classification as Tier 2 in The Great Transshipment Scam report, which may impact the exports of non-technology goods in the future.

Additionally, the conflicts in the Middle East continue to create concerns about the stability of production sources and supply chains of raw materials, as well as increasing volatility in energy prices. Weather fluctuations caused by the Super El Niño phenomenon may also adversely affect agricultural yields, raw material availability, and industrial operations.

Suggestions to the Government

1. Support the government to push E20 gasoline as a fundamental fuel of the country: To help reduce energy costs, decrease dependence on imported oil, enhance energy security, and create added value for agricultural products through the development of the ethanol industry across the entire chain.  

2. Promote Local Content to connect FDI to Thai Suppliers: Recommend that the government promote the use of domestic raw materials and components (Local Content) in foreign direct investment (FDI) projects through linking the BOI benefits alongside implementation of the Thai entrepreneur development project to elevate Thai suppliers into the supply chains of foreign investors systematically.

3. Encourage citizens and the government to buy Thai products to stimulate consumption during the year-end: Through cooperation with the private sector, modern trade stores, and e-commerce to increase the utilization rate of the industrial sector's production capacity and expand opportunities for Thai SMEs to increase sales.

Furthermore, the FTI has compiled the industrial confidence index survey results and economic and industrial indicators from the past three years into a Dashboard and published it on the Industry Data Space (iDS) website to facilitate access to information for entrepreneurs and the public for business benefits. The data can be accessed at https://fti.or.th/ids

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Published by: Corporate Communications Department, Federation of Thai Industries (Tel: 0-2345-1051)

Prepared by: Economic and Academic Department, Federation of Thai Industries (Tel: 0-2345-1111)