The Federation of Thai Industries (FTI) is looking for to boost Chinese funding in Thailand, specializing in the electric car (EV), food, and healthcare sectors, by way of increased business collaboration with Beijing.
Kriengkrai Thiennukul, chairman of the FTI, just lately met with the Chinese ambassador to Thailand, Han Zhiqiang, to discuss potential funding alternatives. Kriengkrai envisions Thailand as a production base for Chinese corporations, appearing as a gateway to the ASEAN region.
To facilitate this, the FTI established a Thai-Chinese economic institute to advertise commerce and investment between the 2 nations. The institute collaborates with other organisations, such because the China Council for the Promotion of International Trade, to develop and advance new trade and funding initiatives. Prospective investors might be linked to forty five industry clubs under the FTI, in addition to logistics and provide chain techniques to support their ventures.
Kriengkrai believes that this collaboration will enhance Thailand’s world competitiveness and additional reinforce home industries. Recognized of the key sectors in Thailand is EV manufacturing, which the government is actively promoting.
In 2021, the Cabinet approved a series of incentives, including tax cuts and subsidies, to encourage EV consumption and production between 2022 and 2023. Depending on the type and model of the car, subsidies vary from 70,000 baht to 150,000 baht, whereas reduced excise taxes and import duties apply to fully knocked down and fully built-up items.
Kriengkrai famous that many Chinese EV producers have already invested in Thailand and urged the Chinese authorities to help the country’s ambition to turn into a serious EV production and export hub. The National EV Policy Committee introduced in 2021 that it aims for EVs to account for 50% of locally produced autos by 2030, as a half of an bold plan to establish Thailand as a regional EV centre..