Thai Factory Output Rises

Thailand’s annual industrial output rose for a second straight month in December, helped by higher production of rubber, cars and car engines and petroleum, but missed expectations, Reuters reported. The manufacturing production index in December rose 2.35% from a year earlier after a revised 4.14% increase in November, the industry ministry said on Wednesday. The median forecast in a Reuters poll was for a 3.50% rise. The index was up 1.58% in 2017, and the ministry has forecast the index to rise 2% this year. Capacity utilization at factories dropped to 59.53% in December from November’s revised 63.18%. Industrial goods account for 80% of total exports, which in turn make up about two-thirds of the second-largest economy in Southeast Asia. The finance ministry expects the economy to grow 4.2% this year after a 4% growth estimated for 2017. Official 2017 GDP data is due on February 19. Meanwhile, Thailand’s exports, which shrank for three years before a solid rebound in 2017, are likely to rise 5.5% this year.