Thai supply chains brace for flood impact

Thailand’s air freighting community is bracing itself for a difficult few months following severe flooding that shut some factories, including automotive and electronics manufacturing plants in key industrial parks north of Bangkok. Michael Mackey reports from Bangkok.


Airports of Thailand Bangkok flood supply chain Suvarnabhumi airport Thailand


Thailand’s air freighting community is bracing itself for a difficult few months following severe flooding that shut some factories, including automotive and electronics manufacturing plants in key industrial parks north of Bangkok. Michael Mackey reports from Bangkok.

While unusually large volumes of water moving from the north of the country combined with an extremely high tide hit industrial parks north of Bangkok, the flooding largely failed to disrupt business in the capital and had no impact on cargo operations at Suvarnabhumi International Airport. But the floods did stretch and in some cases damage local supply chains.

“Floods are disrupting things, but we are still getting through. A few customers are delaying shipments rather than risk them. But if they fly out of Bangkok, they still have to get to the airport,” said one cargo official with an international integrator.

Much more problematic is the damage these floods have done to the sectors which use air to move goods such as hard drives – something in which Thailand is a market leader producing around a quarter of the world’s supply according to some published and contacted sources. Among the companies likely to be impacted are Toshiba, Samsung, Western Digital and Seagate Technology, the sources add.