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The University of the Thai Chamber of Commerce’s consumer confidence index dropped to 54.2 in May 2025 from 55.4 in the previous month. This marked the fourth consecutive monthly decline and the lowest level since March 2023, reflecting a fragile economic recovery and mounting concerns over potential US tariffs. Thailand could face a 36% tariff from the US if no agreement is reached before the moratorium expires on July 8. Last month, the Ministry of Finance downgraded its 2025 GDP growth forecast to 2.1% from 3.0%, citing US trade measures and a global slowdown as key factors. In 2024, Thailand’s economy grew by 2.5%, but slightly below the official target of 2.6%. Meanwhile, consumer prices decreased by 0.57% year-on-year in May, marking the second straight month of deflation and moving further below the Bank of Thailand’s target range of 1% to 3%.