UTCC says Thailand will benefit from yuan’s fall

BANGKOK, August 15 (TNA) - The devaluation of China’s yuan currency and cutting of exchange rate for three days running would give advantage to goods exported by Thailand to that country rather than posing negative factors to the kingdom, said Ath Pisalvanich, director of University of Thai Chamber of Commerce’s International Trade Studies Centre. Mr Ath said during a seminar that several sectors voiced concerned that the devaluation of the yuan by the Beijing government would negatively affect Thailand, he, however, projected that the number of Chinese tourists visiting Thailand would decline slightly. Thailand would benefit because of the high purchasing power and demand for goods by Chinese, aid Mr Ath. He said China is expected to boost its export in heavy industrial goods including automobile and machinery and needs raw materials for the production of goods for exports such as rubber, cassava, rice and fruits. Mr Ath projected that Thailand’s economy would gain in short-term, but would not help the country’s exports to rebound from contraction. He suggested for a close monitoring on how the devaluation of the yuan would give advantage to the global economy. (TNA)