The dimunitive Chawrasia, winner of Hero Indian open this year, shot 69 after his first round 70 to be Tied-36th, but S Chikkrangappa (T-8th) and Gaganjeet Bhullar (T-18) were ahead of Chawrasia.
"It is good to get in a good week before the Olympic Games. I hope to get there in advance and get a feel of the Olympic course," said Chawrasia.
Gaganjeet Bhullar, who was in tied-second place after the second round slipped to Tied-18th at the midway stage of the King's Cup presented by PTT Group on Friday. Bhullar, who is making a comeback from injury shot 65 and 72.
The Indians missing the cut were Himmat Rai, Rashid Khan and Rahil Gangjee.
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Thailand's Sattaya Supupramai battled against tough conditions to share the second round lead with Australia's Terry Pilkadaris.
Sattaya was disappointed not to have taken the outright lead after he returned with an even-par 70 while Pilkadaris stormed up the leaderboard with a 67 at the Phoenix Gold Golf and Country Club.
Denmark's Joachim B. Hansen had his hot putter to thank as he carded a 67 to trail the leaders by one shot in third place at the USD 750,000 event.