2026.02.27 Thailand's Border and Transit Trade Sees Steady Growth in January, China Remains Top Market

Thailand's Border and Transit Trade Sees Steady Growth in January, China Remains Top Market

Thailand's border and transit trade showed robust performance in January 2026, reaching a total value of 161.135 billion baht, a year-on-year increase of 10.9%. China maintained its position as the largest transit trade partner, with trade amounting to 50.547 billion baht, accounting for nearly one-third of the total. In border trade, transactions with Malaysia, Laos, and Myanmar were valued at 30.043 billion, 24.136 billion, and 14.434 billion baht respectively, while trade with Cambodia was zero. Key export commodities included diesel, circuit boards, and refined oil products. Transit trade grew significantly, surging 50.7% year-on-year to 92.522 billion baht, with hard disk drives, telephone parts, and fresh durian as major exports. The overall trade balance was positive, showing a surplus of 8.883 billion baht in border trade and 5.936 billion baht in transit trade.

Thailand's Rice Exports Face Setback as Strong Baht and Global Competition Cause Decline

Thailand's rice exports in January 2026 fell sharply, with volume dropping 17.5% to 530,000 tons and value plunging 30.7% to 9.7 billion baht (approx. $312 million). The primary cause is the appreciation of the Thai baht (reaching 31 baht/USD), making Thai rice more expensive than competitors'. Thai Hom Mali rice is now the world's most expensive at $1,200/ton, and its 5% broken rice is also pricier than others. A temporary 15% US import tariff may reduce Hom Mali exports to the US by 20%, a market that accounts for half of Thailand's total Hom Mali exports. Combined with India's record production, import restrictions by major buyers like Indonesia, and global food self-sufficiency policies, an oversupply is squeezing demand. The Thai Rice Exporters Association forecasts a 11% annual export decline to 7.03 million tons for the year, urging the new government to stabilize the exchange rate, develop new varieties, and reduce costs to protect market share.

Thai E-commerce Consumers Shift Towards 'Quality First' Mindset

According to a Lazada analysis report cited by Thai media, Thai e-commerce consumers are shifting from seeking low prices to making purchase decisions based on trust. The report indicates that over 91% of buyers regularly shop at official brand stores on online marketplaces. Furthermore, 77% of consumers rank product quality as the most important purchasing factor, even surpassing price. Approximately two-thirds of consumers are willing to pay a 5% to 10% premium for authenticity guarantees. The report predicts Thailand's online retail market will grow from the current ~26 billion euros to 48.6 billion euros by 2030, with an estimated average annual growth rate exceeding 14%.

Shopee, Lazada Among Four Giants Co-founding Thailand Digital Platform Trade Association

The Thailand Digital Platform Trade Association (TDPA) has been jointly established by four major platforms including Grab and Lazada, aiming to steer Thailand's platform economy towards transparent and fair global standards. The association will coordinate public-private sector collaboration to formulate policies promoting fair competition and innovation, helping SMEs seize digital economy opportunities. Chairman Tam Makong noted that the digital economy accounts for about 10% of Thailand's GDP and is a key growth driver. It is projected that Thailand's digital economy will reach 1.73 trillion baht in 2025, with an annual growth rate of 16%, solidifying its position as Southeast Asia's second-largest digital economy.