Thai PM Courts Chinese Investment for Key Sectors to Boost Competitiveness

Thai Prime Minister Anutin Charnvirakul visited Chengdu, Sichuan Province, China, to engage with local business leaders. The visit aims to attract investment from prominent companies in China, particularly from its western regions. Mr. Supachai Chearavanont, Senior Vice Chairman of the Charoen Pokphand Group (CP Group), stated that this meeting could be key to drawing investment from China's western hub, including Sichuan and Chongqing, which are significant centers for high-tech industries. Mr. Supachai analyzed the potential of this region, noting it as a hub for key industries that Thailand is actively promoting, especially in semiconductors, electronics, advanced technology, and aviation. He believes that attracting investors or establishing business partnerships from China's western regions would significantly boost foreign direct investment (FDI) into Thailand. He highlighted that last year, Thailand attracted approximately $10 billion USD in FDI, while its key ASEAN competitor, Vietnam, secured as much as $27 billion USD. This disparity directly impacts Thailand's Gross Domestic Product (GDP) growth, necessitating an acceleration of its role as a production and export base. Specifically, investment from Western capital in the electronics and semiconductor industries, despite some positive signals from the data center sector, remains lower than expected. Mr. Supachai emphasized that building trust and demonstrating a friendly nation's approach are crucial for attracting Chinese investment. Chinese investors highly value a country's readiness for investment, particularly regarding legal frameworks, taxation, and government facilitation, to mitigate potential investment losses in unprepared nations. "This visit holds good omens because the Prime Minister possesses a deep understanding of the government, politics, and the mechanisms of the private sector," Mr. Supachai remarked. "This is a crucial factor in building confidence and investment governance between parties." He added that this understanding leads Chinese high-level leaders to be receptive to proposals aimed at reassuring Chinese investors seeking production hubs in ASEAN, whether compared to Vietnam, Malaysia, or Indonesia. Mr. Supachai concluded that this economic advancement will be a significant step towards making Thailand a primary destination for investment, especially from future industries, thereby strengthening Thailand's economic structure for the long term. Source: INN News