Commerce officials promoting Chinese investment in Asean

The Commerce Ministry wants to promote coordination of economic development between countries of the Ayeyawady-Chao Phraya-Mekong Economic Cooperation Strategy (ACMECS) and China, aiming to attract more Chinese investment and a cushion against impact from the Sino-US trade row.

Commerce Minister Sontirat Sonti-jirawong said Thailand proposed the cooperation to Chinese economic officials to enhance multilateral linkages and expand the size of each economy as well as the One Belt, One Road initiative (OBOR).

The linkage is also to include the PanPearl River Delta, the Guangdong-Hong Kong-Macau Greater Bay area, the Mekong-Lancang Cooperation, the Greater Mekong Subregion and ACMECS, which include Myanmar, Laos, Cambodia, Vietnam and Thailand.

Thailand’s Commerce Ministry aims to be the focal point for organising meetings, pushing forward the signing of economic cooperation between China and ACMECS countries.

“The Pan-Pearl River Delta makes up several important economic development areas such as Guangdong, Hong Kong, Macau and Shenzhen,” said Mr Sontirat.

Thailand has a geographical advantage for connectivity for the Nanning-Singapore Economic Corridor and the OBOR, he said.

In February 2019, Hong Kong plans to open a Hong Kong Economic and Trade Office in Thailand to promote overseas investments, with Thailand acting as a gateway for investment in Asean countries for Hong Kong, and for Asean countries to invest in Hong Kong.

Mr Sontirat said Thailand is a good location for Chinese investors aiming to relocate their factories into Southeast Asia. The move will increase export volume in the short run and cushion against the Sino-US trade row, he said.

Thailand will benefit from investment expansion, employment opportunities and technological development, said Mr Sontirat.

“China is among the top 10 foreign investors in Thailand. With at least 1.4 billion people and strong economic growth, China plays a vital part in the global economy,” he said.

For the first nine months of this year, bilateral trade between Thailand and China topped US$45.71 billion (1.5 trillion baht), up 11.6% year-on-year.