The Ripple Effect: Ongoing conflict between Israel and Hamas and Thai exports

The ongoing conflict between Israel and Hamas has far-reaching implications that extend beyond the immediate region. One such impact is on the global trade network, specifically affecting countries like Thailand.

• Ongoing Conflict: The tensions between Israel and Hamas are persistent and likely to be prolonged, impacting Thai exports.
• Export Performance: Thai exports to Israel have significantly decreased in Q1 of 2024, while exports to other Middle Eastern countries like UAE and Qatar remain strong.
• Trade Uncertainty: The conflict has led to increased transportation costs and delayed delivery times due to affected shipping through the Red Sea3.
• Economic Outlook: Despite the conflicts, the global economy is expected to recover steadily, with the IMF projecting a 3.2% growth for 2024.

The Trade Policy and Strategy Office (TPSO) has reported that the ongoing conflict between Israel and the…