THAI consumer confidence rose for a 10th straight month in March, reaching a three-year high, boosted by a recovery in tourism and spending for the upcoming election, a survey showed on Tuesday.

“Chinese tourists are returning, creating revenue, generating economic activity and improving the business climate,” Thanavath Phonvichai, president of the University of the Thai Chamber of Commerce (UTCC), told a briefing on a consumer survey.

The consumer index rose to 53.8 in March from 52.6 in February.

Thailand has long been a popular destination for Chinese tourists with more than 11 million visiting Thailand in 2019, nearly a third of the total.

In the first quarter, South-east Asia’s second-largest economy beat its target of 6 million foreign arrivals, recording 6.15 million visitors. The country expects to welcome up to 30 million arrivals in the full year.

As Thailand heads into elections next month, canvassing and campaigning is also generating activity.

Source : THE BUSINESS TIME

THAILAND, Vietnam, India and Cambodia have emerged as early winners this year from US moves to secure its semiconductor supply chain.

US imports of chips grew 17 per cent from last year to US$4.86 billion in February, according to US Census data, with Asia accounting for 83 per cent of that total. India saw its semiconductor shipments increase 34 times to US$152 million, while Cambodia clocked in an impressive 698 per cent growth, falling just shy of Japan at US$166 million, an amount that would be unheard of in years past.

Vietnam and Thailand, which both have much bigger slices of the chipmaking market, increased their US trade in the sector by 75 per cent and 62 per cent, respectively. Vietnam has accounted for over 10 per cent of US imports for seven straight months.

The February figures are the latest to show the US diversifying its electronics supply chain, including through moves such as Apple’s gradual shift of iPhone production out of China to places like India. Malaysia, a traditional stronghold for chip packaging, still held the lead in US imports but saw its share drop to 20 per cent of the February total.

Semiconductors are a critical smart component in everything from computers and phones to home appliances, and deteriorating relations between Washington and Beijing have forced each nation to rethink its supply strategies around them. US officials have expressed concern about their country’s overreliance on certain other nations, such as Taiwan and South Korea for the most advanced chipmaking.

Taiwan, often a flashpoint between the world’s two biggest economies, increased shipments to America by 4.3 per cent from last year and accounted for 15 per cent of its imports. BLOOMBERG

THE BUSINESS TIME

SET-listed developer Property Perfect recorded hotel revenue growth of more than four times in the first quarter of 2023 thanks to a robust recovery in the tourism sector.

            Wongsakorn Prasitvipat, managing director, said the company's hotel business under its subsidiary Grande Asset Hotels & Property recorded a surge of 321% in revenue in the first quarter of 2023, from 212 million baht in the same period last year.

            "The growth was based on the occupancy rate and average daily rate, which recovered faster than our initial expectations," he said.

            Grande Asset operates three hotels in Bangkok, comprising Hyatt Regency Bangkok Sukhumvit, The Westin Grande Sukhumvit, and Royal Orchid Sheraton Hotels & Towers.

            The company also has two hotels in Phetchaburi and Prachuap Khiri Khan: Sheraton Hua Hin Resort & Spa and Sheraton Hua Hin Pranburi Villas.

            Grande Asset aims to tally 3 billion baht in hotel revenue by the end of 2023, up from 1.8 billion in 2022 and 696 million in 2021.

            Carlos Martinez, director of research and consultancy at property consultant Knight Frank Thailand, said the Thai tourism sector in 2022 recovered to 27% of the 2019 level thanks to the country's reopening, exceeding the Asia-Pacific average of 23%.

            "The Thai hotel market in 2023 will have a positive trend because of the end of the pandemic, pent-up demand and economic growth, which is estimated at 3-4% this year," he said.

            In the first two months of 2023, the number of foreign arrivals to Thailand was 60% of the level in 2019, with a hotel occupancy rate of 72%, up greatly from 36% in the same period last year.

            Mr Martinez said the tourism industry this year would rebound to 28 million tourist arrivals, or 70% of the 2019 peak of 39.8 million tourist arrivals.

            "This could potentially benefit high-end, midscale and small hotels, driven by tour groups and meeting, incentives, conference and exhibitions travellers who may visit to attend conferences and seminars." he said.

            However, challenges for the hotel industry this year could include a shortage of staff and a potential increase in construction, operational costs and financial costs, said Mr Martinez.

Source : Bangkok Post