Growing interest from China in Thailand’s EEC

[webfact]

Growing interest from China in Thailand’s EEC

By Suwatchai Songwanich 
Chief executive Officer, 
Bangkok Bank (China)

 

FILE photo

 

There has been a steady stream of Chinese delegations coming to Thailand to look at business opportunities, particularly in the Eastern Economic Corridor (EEC).

 

Most recently a group of high-ranking Chinese officials and executives met with Thai counterparts at the 6th meeting of the Joint Committee on Trade, Investment and Economic Cooperation between Thailand and China, which was co-chaired by Deputy Prime Minister Somkid Jatusripitak and Chinese State Councillor Wang Yong. 

 

After the meetings in Bangkok Deputy Prime Minister Somkid and State Councillor Wang Yong led delegates on a visit to several sites in the EEC: U-Tapao Airport, Laem Chabang seaport, and two industrial estates in Rayong. 

 

The Thai government plans developments worth close to Bt 1 trillion in the EEC including construction of a high-speed rail link between Thailand’s major international airports, Suvarnabhumi, Don Mueang and 

 

U-Tapao, the scaling up of U-Tapao into a major regional airport accommodating 60 million passengers a year, the expansion of the Laem Chabang, Map Ta Phut and Sattahip seaports, and the development of an “airport city” and aviation-related logistics hub.

 

There are also plans for the development of new economic zones focused on R&D and innovation.

 

Deputy PM Somkid said that in addition to infrastructure development Chinese investors are interested in new technology and innovation in the EEC locations.

 

This was reinforced by State Councillor Wang who said that apart from the high-speed railway linking three airports, investors are interested in new-generation vehicles, smart logistics, digital infrastructure, education, energy, tourism and satellites.

 

Reflecting the last item, an MoU on space cooperation between Geo-informatics and Space Technology Development Agency (GISTDA) of Thailand and the National Space Administration of China was among the five agreements signed during this meeting.

 

Bangkok Bank has certainly seen a shift in the direction of Chinese investment in Thailand towards more high-value industries. We have hosted several visiting delegations looking at investment opportunities and our role was formalised earlier this year when we signed an MoU with the Hong Kong Trade Development Council as a strategic partner to increase trade and investment under the Belt and Road Initiative. 

 

The intention of the Thai government is to use the EEC as a magnet to boost Thailand’s attractiveness as a logistics hub linking Thailand and other Asean countries with global investors as well as to attract targeted industries to invest in the EEC.

 

This certainly seems to be working with Chinese investors. 

 

For more columns in this series please visit bangkokbank.com

 

Source: http://www.nationmultimedia.com/detail/opinion/30353565

 

-- © Copyright The Nation 2018-09-03

[Cadbury]

21 minutes ago, webfact said:

Chinese delegations coming to Thailand to look at business opportunities, particularly in the Eastern Economic Corridor (EEC)

Foreign investment and foreign technology is vital to make this grand dream of the PM come true. It is all very well for the Chinese to come and look but stumping up the money is another matter completely.

However on the positive side if any foreign government is going to come to Thailand's aid with money and expertise for a range of high-tech industries it is likely to be China.

They are the true masters of commercial encroachment. China will play Thailand like a fiddle.

[Samui Bodoh]

1 hour ago, webfact said:

For more columns in this series please visit bangkokbank.com

Er... Ahem... Oh... Er...

 

Why is the Nation the publisher for bangkokbank.com?

 

How much does Bangkok Bank pay in order to have its columns published in the Nation?

 

Is the Nation claiming that this is news or paid content/advertising?

 

If, as it clearly seems to be, it is paid content/advertising, where is the notice that it is paid content/advertising?

 

Nation, are you a newspaper or a paid propaganda sheet?

 

Well?

 

[Lunchbob]

There must be some connections between this and the changes in work permit laws

[flyingtlger]

Watch out Thailand...don't become like Sri Lanka.  The "Chinese Debt Trap".  Borrow so much money and can't pay it back...the Chinese will gladly take over part of the country and claim it as its own.  Chinese CANNOT be trusted period!!!

 

[overherebc]

48 minutes ago, Lunchbob said:

There must be some connections between this and the changes in work permit laws

That is worth a few thoughts. As the EEC covers both Rayong and Chonburi it would allow easy movement of workers between the two Labour Dep't areas.

[chainarong]

The only interest from China in the EEC would be to manipulate or interfere , either way Thailand should monitor China's influence not as a gift from the gods, more like a Pal from hell.  

[Colabamumbai]

China would also like to exercise it's politics in Thailand.

[Esso49]

2 minutes ago, Colabamumbai said:

China would also like to exercise it's politics in Thailand.

They would need to change things as currently the Junta is following the North Korean political model

[Redline]

They will give 1 trillion in loans, not a problem.  Dominant and confiscate 

[Eric Loh]

Malaysia is cautious of China's soft power and cancelled many of China backed mega projects including the highly controversial Forest City which literally allows their nationals to own properties in Johore. Reasons are plentiful including allegation of debts, corruption and fiscal mismanagement and the unhealthy geopolitics repercussion. Thailand have to be careful in choosing and balancing the sources of investments. No doubt the generals will hope to rush through the projects in favour of China as they will unlikely to face any scrutiny and oversight and the corruptions are hidden by lack of transparency and intimidation by whistle blowers. 

[Kaoboi Bebobp]

One more thing. China is very interested in hiding the true origin of products by building in Thailand so they can ship manufactured products to the US and avoid the imposition of tariffs. I don't see the US-china trade war fading while His Idiotness is in office. 

 

 

[Cake Monster]

38 minutes ago, Kaoboi Bebobp said:

One more thing. China is very interested in hiding the true origin of products by building in Thailand so they can ship manufactured products to the US and avoid the imposition of tariffs. I don't see the US-china trade war fading while His Idiotness is in office. 

 

 

Every day I see large trucks laden with Billet Steel that has entered the Kingdom at Lam Chabang Port.

This obviously then is turned into Rolled Steel Sheet, or Tube or some other kind of end product and then Exported as Thai product.

This is why the US will not give Thailand any concessions on Tariffs as the Thais have asked for recently.

On another note, The Chinese bread bowl is getting smaller on a daily basis, so a neighbor such as Thailand would be an asset for the Agri Sector.

 

[connda]

4 hours ago, flyingtlger said:

Watch out Thailand...don't become like Sri Lanka.  The "Chinese Debt Trap".  Borrow so much money and can't pay it back...the Chinese will gladly take over part of the country and claim it as its own.  Chinese CANNOT be trusted period!!!

 

Hmmmm.  Like the IMF and World Bank don't do the same?  ? 
It's all relative.  Who you support generally shows how well you've been indoctrinated and by whom.  However, at the end of the day, those countries which prosper will be the ones which are have the greatest symbiosis.  Time will tell.....  There are rabid proponents and detractor on both sides, but I'm thinking that 'The West is Best' days are numbered as the BRI/SCO/AIIB gains traction in the developing world.  That's simply reading the proverbial writing on the wall.

[DrTuner]

Well they got Cambodia already, so it's only logical to annex eastern Thailand first, before proceeding with the rest of the country.

[Srikcir]

8 hours ago, webfact said:

There has been a steady stream of Chinese delegations coming to Thailand to look at business opportunities, particularly in the Eastern Economic Corridor (EEC).

Coincidentally after the Japanese government has

• signed a number of MOU's with Thailand to promote cooperation in trade and investment promotion as well as human resource development.
• led a delegation included over 570 high-ranking executives from JETRO, Small & Medium Enterprises and Regional Innovation, JAPAN (SMRJ), Keidanren and private companies.
• In the first half of 2017 alone, Japan is the largest investor applying for promotional incentives through the Board of Investment (BOI), representing 55 per cent of total foreign investment applications.
• In the first half of this year, Japanese investors applied for many large-scale projects, such as 19.54-billion-baht hybrid vehicle production, 15.18-billion-baht special polymer and chemical product manufacturing and 5-billion-baht vehicle production.

https://www.prnewswire.com/news-releases/thai-government-invites-over-570-japanese-investors-to-explore-eec-and-10-s-curve-industries-300518032.html

• Japan Bank for International Co-operation has promised to provide soft loans to investors setting up businesses in the EEC Thai, Japanese, Chinese and European investors and is ready to back investment in a high-speed link between three airports that underpins the flagship economic zone.

http://www.nationmultimedia.com/detail/Economy/30344553

I'd say that China took its earlier financial partnership with Thailand for granted as its primary foreign investor and is now reacting to shore up its economic position against Japan's investment onslaught.

[chama]

12 hours ago, flyingtlger said:

Watch out Thailand...don't become like Sri Lanka.  The "Chinese Debt Trap".  Borrow so much money and can't pay it back...the Chinese will gladly take over part of the country and claim it as its own.  Chinese CANNOT be trusted period!!!

 

Ever hear of a camel getting its nose under the the tent and the results? There could be parallels drawn here.

[ChrisY1]

12 hours ago, Samui Bodoh said:

Er... Ahem... Oh... Er...

 

Why is the Nation the publisher for bangkokbank.com?

 

How much does Bangkok Bank pay in order to have its columns published in the Nation?

 

Is the Nation claiming that this is news or paid content/advertising?

 

If, as it clearly seems to be, it is paid content/advertising, where is the notice that it is paid content/advertising?

 

Nation, are you a newspaper or a paid propaganda sheet?

 

Well?

 

Rags need funds

[DrTuner]

1 hour ago, chama said:

Ever hear of a camel getting its nose under the the tent and the results? There could be parallels drawn here.

First time I heard of that one, link for the benefit of others: https://en.wikipedia.org/wiki/Camel's_nose 

 

Fits quite well.