Yingqi Wei: After decades of rapid export growth, Thailand has experienced a slowdown or even negative growth in recent years. Nidhiprabha contends that, from the demand perspective, the weak performance of Thailand's export-oriented industries in recent years could be attributed to global recession and China's slowdown. This paper, however, focuses on the supply factor—inward FDI. Nidhiprabha argues that “These industries’ successes and failures depend to a large extent on the flows of FDI … without continuous flow of FDI, the future of Thailand's export oriented industry remains bleak.” Analyzing, in detail, four export-oriented industries, the author shows that the food-processing industry and automobile industry have been successful in attracting FDI, which, in turn, has helped to maintain their export competitiveness. The textile and clothing industry, on the other hand, has seen less FDI and the decline of exports. The rise and fall of the electronic and electrical equipment industry in...

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