BANGKOK, Thailand – Thailand’s opposition People’s Party has accused the Anutin government of steering the economy in the wrong direction, warning that the administration is relying too heavily on data centers while offering limited measures to revive domestic industry and employment. Speaking at the party’s shadow cabinet meeting on Aug. 19, Veerayuth Kanchuchart said Thailand’s economy grew 1.9% year-on-year in the second quarter but contracted 0.2% from the previous quarter, raising concerns about the country’s economic trajectory.
Veerayuth argued that much of the recent investment growth has been driven by data center projects and imported machinery. He warned that Thailand could become increasingly dependent on data centers without seeing sufficient benefits flow into the broader domestic economy. He also pointed to Thailand’s widening trade deficit, falling industrial capacity utilization and rising unemployment among workers covered by the social security system, saying the government needs measures that directly support Thai industry and workers. Veerayuth criticized the government’s “Thai Helps Thai Plus” stimulus initiative as insufficient, calling for additional economic tools focused on industrial recovery, local content and stronger protection of Thailand’s economic interests.
Meanwhile, People’s Party MP Isariya Phaireephairit criticized the government’s response to the automotive industry, particularly plans to adjust excise taxes on fully imported vehicles. He argued that excise tax is the wrong tool for addressing competition from imported Chinese vehicles. Instead, the government should review the Thailand-China free trade framework and consider using customs tariffs to address import-related concerns.
Isariya also called for closer scrutiny of local-content requirements, warning that foreign automakers could technically establish production facilities in Thailand while continuing to import most components and relying heavily on foreign labor. He questioned why the government was moving to reconsider automotive tax policy only now, noting that the current excise tax structure had been announced four years ago and took effect in January 2026. The opposition said the government should focus on immediate measures to strengthen Thailand’s industrial base, particularly the automotive sector, rather than relying on long-term economic development plans alone.
