THE GREAT AI REVOLUTION

Global trade tensions and tariffs are forcing Thai businesses to embrace artificial intelligence to reduce costs and improve productivity, writes Suchit Leesa-nguansuk

- Suchit Leesa-nguansuk

Artificial intelligence (AI) is rapidly reshaping local industries, emerging as a key driver of economic growth amid volatility and global trade disruptions.

In Thailand, AI presents both opportunities and challenges. The technology can accelerate industrial growth, enhance productivity, and support job creation, but hurdles such as funding gaps and AI infrastructure limitations remain.

ECONOMIC BOOSTER

In May, the country's National AI Committee approved a national framework for AI development (2026-2027) to enhance economic growth and turn Thailand into a regional AI player.

The framework set a target to create at least 50,000 AI developers in two years, and to support at least 500 billion baht of investment in AI infrastructure by the private and government sectors.

According to SCB Economic Intelligence Center (EIC), generative AI (GenAI) has transformative potential in advancing economic growth and improving labour productivity.

If Thailand can overcome adoption barriers across industries and fully implement GenAI, this technology has the potential to boost the country's GDP by 5.9% and increase labour productivity by 7.3% by 2030, according to the think tank.

According to new research from PwC, AI has the potential to lift global economic output by up to 15 percentage points over the next decade. This would effectively add one percentage point to annual growth rates, on par with the growth increment the world began enjoying with 19th-century industrialisation.

Sachin Chitturu, partner and co-leader of McKinsey Digital in Southeast Asia at McKinsey & Company, said the integration of AI into the global economy is proving to be a transformative force, particularly in addressing the challenges posed by economic volatility.