Thailand Sets Border and Transit Trade Target at 1.9 Trillion Baht for 2026 Amid Economic Headwinds
Bangkok aims to sustain regional trade growth, driven by electronics transit shipments, even as frontier tensions and checkpoint closures pose risks
Thailand’s Department of Foreign Trade has established an ambitious target of 1.9 trillion baht for total border and transit trade in 2026, underscoring the continued importance of cross-border commerce to the national economy.
The target reflects optimism that transit trade, particularly in high-demand electronics and related products, will remain a primary growth driver over the coming year even as external pressures mount.
Border and transit trade, which has historically accounted for around ten per cent of Thailand’s total export value, remains central to the country’s role as a regional trade and logistics hub.
In 2025, the sector delivered mixed results, with overall border and transit trade growing by 6.7 per cent to nearly 1.94 trillion baht despite ongoing disruptions along key frontier routes.
Chief among these challenges are continued tensions along the Thai–Cambodian border and restrictive measures affecting Thailand–Myanmar trade, which have resulted in the closure of multiple checkpoints and weighed on frontier commerce.
The Second Thai–Myanmar Friendship Bridge at Mae Sot–Myawaddy, for example, has remained closed since August 2025, illustrating the vulnerability of land trade links to political developments.
Arada Fuangtong, Director-General of the DFT, said the 2026 outlook still points to a pivotal role for transit trade, driven by rising global demand and sustained investment in Thailand’s electronics sector, including production tied to data centres and technology exports.
However, she acknowledged that border trade faces high uncertainty, particularly where geopolitical conditions prevent the reopening of key crossing points.
To bolster activity and support traders affected by frontier instability, the DFT plans a series of six border trade fairs across provinces including Khon Kaen, Chiang Rai and Sa Kaeo in fiscal 2026, aimed at stimulating local economies and strengthening alternative trade channels.
Observers note that Thailand’s ability to achieve its 1.9 trillion baht target will depend on both resolving security-linked trade disruptions and enhancing logistics systems to capture transit opportunities linked to growth in electronics and other sectors.
The target reflects optimism that transit trade, particularly in high-demand electronics and related products, will remain a primary growth driver over the coming year even as external pressures mount.
Border and transit trade, which has historically accounted for around ten per cent of Thailand’s total export value, remains central to the country’s role as a regional trade and logistics hub.
In 2025, the sector delivered mixed results, with overall border and transit trade growing by 6.7 per cent to nearly 1.94 trillion baht despite ongoing disruptions along key frontier routes.
Chief among these challenges are continued tensions along the Thai–Cambodian border and restrictive measures affecting Thailand–Myanmar trade, which have resulted in the closure of multiple checkpoints and weighed on frontier commerce.
The Second Thai–Myanmar Friendship Bridge at Mae Sot–Myawaddy, for example, has remained closed since August 2025, illustrating the vulnerability of land trade links to political developments.
Arada Fuangtong, Director-General of the DFT, said the 2026 outlook still points to a pivotal role for transit trade, driven by rising global demand and sustained investment in Thailand’s electronics sector, including production tied to data centres and technology exports.
However, she acknowledged that border trade faces high uncertainty, particularly where geopolitical conditions prevent the reopening of key crossing points.
To bolster activity and support traders affected by frontier instability, the DFT plans a series of six border trade fairs across provinces including Khon Kaen, Chiang Rai and Sa Kaeo in fiscal 2026, aimed at stimulating local economies and strengthening alternative trade channels.
Observers note that Thailand’s ability to achieve its 1.9 trillion baht target will depend on both resolving security-linked trade disruptions and enhancing logistics systems to capture transit opportunities linked to growth in electronics and other sectors.
