Thailand industrial output rises for 2nd straight month, beats estimates                  

Thailand’s industrial output rose for the second straight month in April, led by rise in output of cars and car parts, air conditioners and petroleum.

However, both exports and domestic consumption have declined, which pose threats of fragility over a steady recovery in the near term. Thailand’s April manufacturing production index (MPI) rose 1.54 percent, compared to a year ago period, beating market expectations of 0.5 percent. A Reuters poll had however, forecasted a rise of 0.8 percent

In March, output had risen a revised 2.2 percent y/y, posting its first annual gain in three months. Industrial goods accounted for nearly 79 percent of total exports in April, which contracted 8 percent from a year earlier, customs data showed.

Exports have shrunk over the past three years. The central bank projects shipments will fall 2 percent this year and the economy will grow 3.1 percent. Meanwhile, capacity utilization dropped sharply to 58.43 in April, compared to March’s revised 72.79 percent.