Gold Defies Slump as Thai Gem Exports Slide Sharply

Bangkok Gems News: Sharp Export Decline Signals Industry Strain

Thailand’s gem and jewellery sector faced a sharp reversal in February, with exports excluding gold plunging 29.32% year on year, reflecting weakening global demand and shifting trade dynamics. The downturn follows a brief rebound in January and signals renewed pressure on one of the country’s key export industries. Despite this, gold shipments continued to shine, buoyed by rising global prices and persistent safe-haven demand amid geopolitical tensions.

In February 2026, gem and jewellery exports excluding gold were valued at US$1,624.04 million, marking a significant contraction compared to the same period last year. Including gold, total exports reached US$2,727.77 million, representing a smaller decline of 15.59%. Over the first two months of the year, exports excluding gold totaled US$3,432.16 million, down 14.88%, while total exports including gold surged 18.92% to US$7,293.97 million. At the heart of these mixed results lies a widening divergence between traditional jewellery segments and bullion-driven trade. This Bangkok Gems News report highlights how shifting investor sentiment and global uncertainty are reshaping Thailand’s export landscape.

Gold Emerges as the Sector’s Lifeline

Gold remained the sector’s strongest performer, with February exports alone reaching US$1,103.74 million, up 18.22% and extending growth for a seventh consecutive month. The surge has been driven by elevated global gold prices, ongoing geopolitical tensions involving major global players, and continued accumulation by institutional investors. Over the January–February period, gold exports soared 83.76% to US$3,861.81 million, underscoring its role as a critical stabilizer for Thailand’s overall export performance.

Mixed Fortunes Across Global Markets

Market performance varied widely across key destinations. Exports to Hong Kong rose 26.80%, while Germany and Italy recorded gains of 25.47% and 38.73% respectively. The United Arab Emirates posted an exceptional increase of 189.27%, and Japan climbed 85.07%. Meanwhile, shipments to the United Kingdom, Belgium, and Switzerland also grew steadily. However, exports to India dropped sharply by 39.50%, and the United States declined 26.57%, largely due to earlier stockpiling by importers that has since dampened new orders.

Product Trends Reveal Industry Divide

Product-level data further reveals contrasting trends within the industry. Exports of gold or silver articles and parts skyrocketed dramatically, while fine jewellery rose 24.15% and gold jewellery increased 29.67%. Platinum jewellery recorded an impressive jump of 362.26%, and rough gemstones nearly doubled. Silver also saw a notable surge. On the downside, silver jewellery declined 3.23%, cut precious stones fell 3.85%, and semi-precious stones dropped 17.11%. Both rough and polished diamonds also registered modest declines, reflecting softer consumer demand in key luxury markets.

Rising Risks and Uncertain Outlook

Industry leaders warn that the outlook remains uncertain, heavily influenced by global economic conditions, geopolitical risks, and trade policies. Rising tensions in the Middle East, volatility in energy markets, and potential disruptions to major shipping routes are increasing concerns about a broader global slowdown. Additionally, fluctuations in the Thai baht are putting pressure on exporters by reducing competitiveness and weakening purchasing power among international buyers.

Strategic Shifts Needed for Survival

To navigate these challenges, experts are urging Thai businesses to strengthen supply chain resilience by improving logistics efficiency and managing raw material costs more effectively. The adoption of advanced technology and traceability systems is also being encouraged to ensure transparency and compliance with global sourcing standards. Furthermore, diversifying export markets and implementing robust foreign exchange risk strategies will be essential in reducing vulnerability to external shocks.

The latest data reflects a sector at a crossroads, where resilience and adaptability will determine future success. While gold continues to provide a vital cushion, broader recovery in gems and jewellery will depend on stabilizing global conditions and strategic industry responses. Strengthening competitiveness, embracing innovation, and expanding into new markets will be key steps in ensuring Thailand remains a major force in the global jewellery trade, even as global uncertainty continues to test its foundations.

Reference:

https://www.git.or.th/infocenter-stat/?Lang=EN#:~:text=HS%2071%20:%20Gem%20&%20Jewelry,15

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