MUFG urges reform of Thai industry

Investors focus on policies, not tariffs

- SOMRUEDI BANCHONGDUANG

Mitsubishi UFJ Financial Group (MUFG), a major shareholder in Bank of Ayudhya (Krungsri), views manufacturing reform in Thailand as more critical than US tariff changes in attracting foreign direct investment (FDI).

Speaking at the Krungsri-MUFG Business Forum 2025 on Tuesday in Bangkok, Kanetsugu Mike, chairman of MUFG, said Thailand is expected to post subdued economic growth in the short term amid mounting challenges such as high household debt, an ageing population, and the transition towards a digital and green economy.

US tariffs would intensify the challenges facing the Thai economy and other economies around the world, he said.

"In the face of these uncertainties and economic challenges, Thailand has an opportunity to reform its economy, particularly the manufacturing sector," said Mr Mike.