In considering Thailand's major export destinations, it has been found that only the US is showing brighter prospects and should reclaim their status as Thailand's top export market during 2015, given that the US economy and its purchases have gradually recovered since mid-2014. Our shipments to the US surpassed those to China for the first time in many years during May 2014, then again in June 2014 and January 2015. It is likely that our outward trade to the US will increase substantially during 2H15.
Growing purchasing power in the US is an important factor that should help bolster Thai shipments there this year. Major beneficiaries would include Thai-branded jewelry, agricultural products, food, home textiles and lifestyle apparels, while industrial exports should also perform better than in previous years, especially those that have been marketed in the US for some time, e.g., computers/related-components and automobiles/parts. However, such Chinese and Vietnamese exports, being key rivals, will also benefit from the improving US economy and are now competing against us in the US market.
Given this, Thai exporters should seize the opportunity to penetrate the US market further. In addition, relevant Thai agencies should accelerate plans to sustain our long-term export growth there. This could be achieved via exporting new products or adjusting export strategies, aimed at meeting the needs of American consumers, particularly for entertainment-related devices, electrical appliances, home decorating items, festival-related products and those for the elderly.
We at KReseach are of the view that 2015 will be a good year for Thai exports to the US and we expect that our shipments there will expand perhaps 5.0 percent or between 3-7 percent YoY to some USD25.1 billion or USD24.6-25.5 billion, bettering the 4.1 percent growth or USD23.9 billion, reported for 2014.