In brief
In October Thailand’s manufacturing purchasing managers’ index rose to 54.8, up from 54.3 in September, marking the strongest growth reading since December 2025. Output accelerated at the fastest rate in nearly a year, driven by the surge of new orders and customers. However, firms reported rising backlogs as reduced workforce capacity limited production ability.
BANGKOK—Thailand’s manufacturing sector saw its fastest expansion in nearly a year in October, according to a purchasing managers’ index released Monday by S&P Global on behalf of the country’s Ministry of Industry.
The index, which measures new orders, production, supplier deliveries and employment, climbed to 54.8 in October from 54.3 in September, the highest level recorded since December 2025. A reading above 50 signals growth in the goods‑producing sector, while a figure below 50 would indicate contraction.
Production rose at the strongest pace since last December, with several key industries reporting higher output. Automotive and component manufacturing, electric‑vehicle batteries and industrial machinery were cited as primary contributors to the surge. “The rapid expansion in production reflects a strong rebound in demand across the sector,” S&P Global said in a statement.
New orders increased sharply, driven by a growing customer base and successful promotional efforts. The index noted that firms were receiving more business than they could immediately fill, leading to a rise in unfinished orders. “Unfinished orders have increased at the strongest pace in nearly a year, indicating firms are lining up more work than current capacity allows,” the report added.
Despite the growth, companies reported that backlogs were accumulating as a result of reduced workforce capacity. The index highlighted that many factories had difficulty hiring sufficient staff to meet the surge in production, which has stalled the ability to clear the growing backlog of orders.
Industry analysts see the PMI gain as a positive sign of resilience in Thailand’s manufacturing base amid global supply‑chain uncertainties. “The sector’s upward momentum, especially in new orders, is encouraging for overall economic recovery,” said a senior analyst at the Bangkok Bank in a brief note shared with the news agency.
The Ministry of Industry welcomed the improvement and indicated plans to support production growth. A representative said the government would work with businesses to enhance workforce training and facilitate hiring, aiming to ease the backlog problem identified in the latest PMI reading.