BANGKOK, Sept. 1 (Xinhua) -- Thailand's manufacturing sector expanded for a fourth consecutive month in August due to strong growth in production despite declining exports, a survey showed on Monday.

The Southeast Asian country's manufacturing purchasing managers' index (PMI) came in at 52.7 last month, up from 51.9 in July, marking another improvement in operating conditions and the strongest pace since July 2024, according to S&P Global.

A PMI reading above 50 indicates expansion in the manufacturing sector, while a reading below 50 reflects contraction.

Output grew sharply at the quickest rate in 13 months, driven by a solid increase in new orders solely from domestic demand as new export orders fell for the first time since April, S&P Global said in a statement.

Manufacturers raised their purchasing activity at the fastest pace in a year and further shipped out existing stocks to fulfill orders. Meanwhile, unchanged staffing levels led to a renewed rise in backlogs, the statement said.

Jingyi Pan, economics associate director at S&P Global Market Intelligence, said business confidence improved among Thai goods producers and was reflected in attempts to increase their workforce, though efforts were hindered by employee resignations.

With an accumulation of backlogged work and improvements in both new orders and future output indices, the manufacturing sector is poised for continued growth in the immediate future, Pan said.

"The subdued rise in prices also bodes well for demand growth in the near term," she said. ■