From October 4th to 10th, Thüringen International, in cooperation with the Chamber of Industry and Commerce of Southern Thuringia, is planning a business trip to Vietnam and Thailand. While market support for Vietnam has been a focus of Thuringia's international activities for some time, Thailand has received less attention. The two-day market exploration trip to Thailand will include stops in Bangkok and the Eastern Economic Corridor (EEC) – a special economic zone for the high-tech sector encompassing the three provinces of Chonburi, Rayong, and Chachoengsao. This provides ample reason to take a closer look at the potential market in Thailand.
With over 70 million inhabitants, this Southeast Asian country has the largest industrial share of its economic output among the ASEAN nations. After very high – sometimes double-digit – growth rates in recent decades, the country is currently experiencing relatively moderate GDP growth compared to other ASEAN countries. This year, it is expected to reach 1 to 2 percent. Thailand is also facing increasing competition for foreign investment from other ASEAN states, such as Vietnam. China is Thailand's most important trading partner and largest investor. Nevertheless, the country is striving to maintain a geopolitical balance in its dealings with these major powers.
Besides automotive manufacturing and the chemical industry, food processing – Thailand is one of the largest food exporters – and the electronics industry are among the most important industrial sectors. The electronics industry is also the country's most important export sector. In the service sector, tourism is the mainstay and a major source of foreign exchange. A driving force of the economy is the booming foreign trade, which has increased by 50 percent in the past five years. However, the high foreign trade ratio and tourism make the country's economy dependent on international developments.
As an ASEAN member, Thailand is already integrated into intra-Asian free trade. The Regional Comprehensive Economic Partnership (RCEP) agreement further facilitates trade with strong partners such as China, Japan, South Korea, Australia, and New Zealand. This significantly increases integration into the global economy and international supply chains. And the signs point to further expansion. New impetus is expected in the future from a comprehensive trade agreement between the EU and Thailand. However, negotiations for this agreement are still ongoing.
The Thai government has recently approved a multi-billion dollar economic stimulus and aid package to compensate for the effects of the war with Iran. The blockade of the Strait of Hormuz had severely impacted the country's energy imports.
For Thuringian exporters, Thailand is a fundamentally very interesting, albeit selective, growth market. Opportunities exist primarily in technologically demanding niches. For example, in the machinery and plant engineering sector, Thailand is particularly interested in high-tech machines, which are needed in large numbers for the modernization of production processes. Last year, companies from the Free State of Thuringia exported goods worth over €80 million to Thailand, while importing goods worth over €50 million.
Further information about the planned company trip will soon be available on our website. You can already register without obligation here Please complete the process. You will then be automatically informed about updates and the subsequent binding registration.
