Thailand and UK agree to further intimacy

Thailand and Britain have agreed to deepen their economic cooperation into a strategic partnership, while Thailand has called on the latter to invest in the government’s much-touted Eastern Economic Corridor (EEC), especially in science, technology, innovation, education and aviation.

The two countries also agreed to hold a joint high-level commission meeting, possibly in Britain, when Deputy Prime Minister Somkid Jatusripitak makes an official visit in May.

Mr Somkid, who yesterday met Liam Fox, the secretary of state for international trade, said three British ministers have visited Thailand over the past few years.

Mr Fox urged the British government’s economic team to visit Thailand this year, indicating Britain’s intention to enhance economic cooperation with Thailand.

A source from Government House said the third session of the UK-Thailand Strategic Dialogue was held at the Foreign Affairs Ministry on Jan 3.

The session was co-chaired by Virasakdi Futrakul, deputy minister of foreign affairs, and Mark Field, British minister of state for Asia and the Pacific.

The two sides continued high-level engagement on the strength and strategic importance of bilateral cooperation, especially in international trade, finance and investment; education; science and innovation; and security and defence.

Both sides agreed to prepare future trade relations in the post-Brexit environment, while Thailand expressed hope that the current poultry quota would not be adversely affected by Brexit.

Britain is Thailand’s second-largest trade partner in the EU, with two-way trade between Thailand and Britain totalling US$7.19 billion (224 billion baht) in 2017, up 19.7% from $5.86 billion in 2016. Thai exports to Britain accounted for $4.07 billion, with imports worth $2.49 billion in 2017.

Britain and Thailand also look forward to working together to support the EEC and Thailand 4.0, while focusing on aerospace, fintech, and science, technology and innovation (STI).

Britain was the third-largest investor among EU nations in Thailand in 2017, with 22 approved projects worth $134 million by the Board of Investment (BoI), including those by Tesco, Boots, HSBC, Standard Chartered, Prudential, BP, British Gas, Weston EU, Thames Water and Unilever.

Thai investment in Britain in the past five years totalled $4.47 billion. Key investors included SET-listed Thai Union, which owns the John West tuna brand, and PTT Plc, which operates through PTT International Trading London.

Mr Somkid said BOS Aerospace, which provides maintenance services to Boeing and Airbus, plans to establish a regional headquarters in Thailand. The company has already applied for BoI privileges.