Thailand industrial supply growth to slow in 2026

Around 388,000sqm of new completions are expected for the year.

Thailand's logistics market recorded slower leasing activity in Q1 2026, with net absorption reaching 64,900 sqm as occupiers focused on existing warehouse inventory, according to JLL.

The Eastern Economic Corridor remained the strongest-performing region, supported by lower vacancy levels in projects located in Chachoengsao and Chon Buri.

Prime warehouse supply increased by 40,800 sqm during the quarter through the completion of Alpha ESIE 1 and ESR Laem Chabang, lifting total stock to 6.26 million sqm. Vacancy declined by 46 basis points to 11.3%.

Average prime warehouse rents remained largely unchanged at THB159 per sqm per month, while capital values edged up to THB31,657 per sqm. Market yields were stable at 6.05%.

JLL forecasts supply growth to slow in 2026, with around 388,000 sqm of new completions expected. Vacancy is projected to rise to 13.2% as demand moderates and rental growth remains subdued.