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Bangkok Declared Disaster Zone After Record Rain
Bangkok's city government has declared the capital a disaster zone after some parts of the city got more than 330mm of rain (an amount that is normal for the whole of the month of September) in just four days. More than 80,000 residents are stranded in flooded homes and 5,901 people are staying in 234 shelters. Water officials are racing to try and drain the floodwater into the Gulf before another downpour. The Chao Phraya Dam is releasing 2,400 cubic meters a second, the Bhumibol and Sirikit dams are doing their best to hold back as much water as they can upstream. The Pa Sak Jolasid Dam is at 109 percent of capacity. The damage is currently estimated to be about 11 billion baht ($327 million) and climbing.
Read more: Reuters (flooding and damage), Nation Thailand (dam operations), NDTV (disaster declaration), The Guardian (rescue effort), The Guardian (residents stranded)
THAI Baggage Pileup Forces Concession Review
More than 10,000 bags piled up at Suvarnabhumi after a September 26 handling breakdown, in a snafu that left some passengers waiting as many as eight hours for their bags and causing some flights to depart without luggage. Deputy Transport Minister Siripong Angkasakulkiat told the House that the ministry is reviewing penalties for baggage delays and asking whether Thai Airways should be allowed to keep its concession. The deal dates from the airline's years as a state enterprise and has not yet expired, so changing it could breach the contract, but it seems like it might be worth investigating.
Read more: Nation Thailand
Factory Output Index Adds AI and Data Centers
Industrial production grew much faster than expected and was reported to be just above 4% through August in the strongest showing since September 2022. The Industrial Economics Office responded with a heady upgrade, raising its 2026 factory output forecast from almost nothing to between 2.75% and 3.75%. The rise is in part a reflection of a revised production index that now counts AI hardware and data center equipment, which are sectors the government is pushing hard (see previous story). The manufacturing purchasing managers' index edged up to 54.3 in September from 53.8 in August.
Read more: Nation Thailand (output forecast), TradingView (August production), GuruFocus (index revision)
Cargill Puts $130 Million Into Regional Poultry
Cargill plans to spend $130 million over the coming 24 months to expand and improve efficiency of their poultry operations in Thailand and the Philippines. The existing Cargill plant in Saraburi is getting an automated cooked chicken line by 2028, an expansion that will increase total annual output to about 160,000 metric tons.
Read more: Food Processing
Foreign Funds Pull $635 Million From Bonds
Global funds pulled a net $635 million from local bonds in September, the biggest monthly exit in six months, as US Treasury yields climbed. Foreign investors also sold a net $781 million in stocks. The retreat is an awkward backdrop for Bangkok as it gets ready to host the IMF and World Bank annual meetings from October 12 to 18; more than 15,000 delegates are expected in the first return to Bangkok in 35 years.
Read more: Bloomberg (foreign outflows), Bangkok Post (annual meetings)
Court Clears Barcoded Ballots, Rerun Avoided
The Constitutional Court has dismissed 22 petitions challenging barcodes and QR codes that were on February's ballots in a 8 to 1 decision confirming that the markings didn’t violate voter secrecy. The decision heads off a rerun that could have cost more than 7 billion baht ($216 million) and leaves Prime Minister Anutin Charnvirakul's coalition in office. Judges said tracing a vote would require matching ballots, stubs and voter lists that are kept by separate offices. Despite the decision, the court told the Election Commission to stop using any codes that connect ballots with results in future elections.
Read more: The Diplomat (court ruling), Prachatai English (judges' warning)
Infineon Opens $1.4B Chip Plant in Samut Prakan
German chipmaker Infineon has opened a semiconductor assembly and testing plant in Bang Bo, Samut Prakan, which the Board of Investment values at about $1.4 billion. The first phase has 30,000 square meters of cleanroom space and room to grow fivefold. Infineon says Bangkok could eventually become one of its largest assembly and testing hubs, but for the moment, the plant employs around 350 people (and that number might grow to 1,000 as production expands). Chief operating officer Alexander Gorski positioned the investment as protection against disruption in Malaysia, where Infineon has another site. Bangkok wants to collect $18 billion in semiconductor investments by 2030.
Read more: Bangkok Post (plant opening), Thailand Business News (investment value), MarketScreener (Infineon’s strategy), Developing Telecoms (production plans)
That's all for this week, thanks for reading. Your voice matters to us. Feel we're missing something? Have additional sources to suggest? Don't hold back- hit reply and tell us what you think.
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