Thailand Private Investment Falls at Softer Pace

Private investment in Thailand rose 3.6% month-on-month in December 2025, picking up from a 3.3% increase in November. This marks the strongest growth since October 2024, driven by higher investment across all categories. Investment in machinery and equipment increased, supported by higher domestic sales of machinery, particularly electrical equipment. Vehicle investment also rose, reflecting higher registrations and accelerated electric-vehicle purchases ahead of the EV 3.0 scheme, alongside an increase in aircraft import values. Construction investment remained broadly unchanged, with non-residential construction rising in line with larger permitted construction areas within industrial zones, while residential construction declined due to lower permitted areas for townhouses and shophouses. Overall, the broad-based increase highlights ongoing support for private investment, though trends in residential construction warrant monitoring.

Private investment in Thailand climbed by 3.3% month-on-month in November 2025, rebounding from a 1.1% decline in the previous month and ending four consecutive months of contraction. This marked the strongest growth since October 2024, driven mainly by increased investment in machinery and equipment amid higher sales of electrical equipment and industrial machinery. Investment in vehicles declined, reflecting lower registrations across all types of road vehicles and a reduction in the value of aircraft imports. Meanwhile, investment in construction edged down, as non-residential construction weakened due to fewer permitted areas outside industrial zones and lower commercial building activity, while residential construction also declined following a reduction in permitted condominium areas.

Private investment in Thailand fell 1.1% month-on-month in October 2025, moderating from a 4.5% contraction in the previous month. Still, this marked the fourth consecutive month of decline, reflecting continued weakness across key investment categories. Investment in machinery and equipment fell, reflecting lower imports of capital goods, particularly in the computer and equipment category. Investment in vehicles also decreased, as car registrations fell across nearly all categories. In addition, construction activity weakened for both non-residential and residential sectors, following fewer transfers of industrial areas and commercial buildings, as well as reduced permitted areas for single-house construction.