19 Dec '11, 12pm

Thai floods set to cut GDP growth

Thai floods set to cut GDP growth

THAILAND: The massive floods that hit Thailand this year will slash gross domestic product (GDP) growth in the kingdom, and have global repercussions. 2011 seemed like it was going to be a good year for the Thai economy, until the worst floodwaters in half a century covered one third of the country, damaging industrial estates and disrupting global supply chains. Production of hard disk drives and auto parts stalled, as factory after factory was inundated. Some did not even need to be in the flood zone to feel the effects. Thai Automotive Industry Association president Piengchai Kaewsuwan said: "Although other car factories were not affected by the flood at all, they needed to suspend production automatically, due to the fact that factories making parts in flooded provinces had to close." It has forced auto and electronics manufacturing giants around the world -- like Dell...

Full article: http://www.channelnewsasia.com/stories/economicnews/view/...

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