People’s Party MP criticizes Q2 economic growth of 1.9% as an "illusory" figure propped up by investment overall, contrasting with the Thai manufacturing sector’s sharp decline.
On 17 Aug 2026 GMT+7, MP Weerayut Kanchuchat of the People’s Party commented on the National Economic and Social Development Council’s (NESDC) announcement that Thailand’s GDP grew by 1.9% year-on-year in Q2 2026 but declined by 0.2% quarter-on-quarter. He highlighted that this figure conceals clear inequality, as Data Center projects have become the "main support" of the Thai economy, while Thai manufacturing and SMEs face an intensifying crisis.
Weerayut stated that the government and the Board of Investment (BOI) have "let loose" approvals for Data Center projects without environmental impact assessments (EIA) or local content requirements, merely to prevent the GDP figure from turning negative this quarter. Although private investment grew by 13.4%, almost all of it involved importing machinery and equipment for installation, causing a surge in imports.
The importation of complete equipment for Data Centers, from upstream to downstream, has caused Thailand’s trade deficit to surpass 1.1 trillion baht in the first six months of this year, setting new monthly records. Notably, the trade deficit with China alone soared to 1.5 trillion baht.
Weerayut further pointed out that Thailand’s industrial sector and workforce have been left in a coma. Industrial plant construction fell for the first time in three years. Capacity utilization dropped to just 57.5%, the lowest in 24 quarters, while the key automotive industry contracted by 7.2%. Business confidence fell to 44.0. Worse still, insured unemployed workers under Section 33 increased by nearly 50,000 in a single quarter, reflecting a steep decline in industry and labor, contrary to the mushrooming Data Center projects.
He questioned Deputy Prime Minister and Finance Minister Akniti Nitithanprapas, who interpreted the NESDC report positively and declared Thailand's economy had entered the New Economy era. Weerayut doubted whether tax exemptions and deregulation for Data Centers without local content conditions truly represent the New Economy, since only landowners and contractors benefit, while producers, workers, and SMEs gain nothing.
“Having allowed Data Centers to import everything, how can the government retroactively enforce local content to benefit Thailand’s economy? Beyond consumption stimulus measures like 60/40, does the government see the distress of Thai industry and workers, and when will it seriously support the Thai industrial sector? Is this truly the New Economy, or are we tying Thailand’s economic future to Data Centers benefiting only landowners and construction contractors?” Weerayut concluded.