Thailand starts CPTPP application process driven by fears for inward investment and the economy

[webfact]

Thailand’s Minister of Foreign Affairs Don Pramudwinai last week chaired a committee meeting which decided to move forward with steps to brief the cabinet and prepare the ground for what could be an application by Thailand to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) which was launched in March 2018 in Chile’s capital of Santiago.

 

by Joseph O' Connor

 

Vietnam is emerging as Thailand’s key competitor for investment and trade opportunities. The fellow ASEAN member is already in the CPTPP pact which China applied to join in September and has a free trade pact with both the European Union and the United Kingdom which applied to join the Pacific pact in June. Earlier this year, as Thailand unveiled a plan to attract 1 million foreigners to live, work and invest here, it was revealed by former JP Morgan boss Mr Chayotid Kridakon, that Thailand’s level of inward investment from 2016 to 2020 had fallen by 50% to ฿360 billion.

 

A key Thai government committee made a decision last week that may be the start of a journey that could change the face of Thailand as we know it in the coming decades. A letter will be submitted shortly by the Minister of Foreign Affairs suggesting that Thailand should apply to become a member of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), a modern international trade pact and bloc, membership of which would bring with it significant changes for the Thai economy which is currently struggling to attract inward investment.

 

Just ahead of the ASEAN summit in Brunei came a strong indication last week that Thailand is, at last, taking steps to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), a move which will have far-reaching consequences for the country and which will inevitably prove both controversial and painful for various parts of the kingdom’s economy and society.

 

Full story: https://www.thaiexaminer.com/thai-news-foreigners/2021/10/26/thailand-starts-cptpp-application-process/

 

-- © Copyright Thai Examiner 2021-10-27

 

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[RichardColeman]

5 minutes ago, webfact said:

Earlier this year, as Thailand unveiled a plan to attract 1 million foreigners to live, work and invest here, it was revealed by former JP Morgan boss Mr Chayotid Kridakon, that Thailand’s level of inward investment from 2016 to 2020 had fallen by 50% to ฿360 billion.

I can't  help but think that thailand should abandon this attracting 1 million rich foreigners and should try to just attract 1  million retirees. If 1 million retirees came, that should be an injection of 780,000,000,000 baht minimum per annum at 65,000 baht each a month - over double the B360 billion

[blackcab]

27 minutes ago, webfact said:

...painful for various parts of the kingdom’s economy and society

 

Genuine regional competition and a level playing field would really shake up some Thai businesses.

[Chad3000]

I don't think the government can live without tariffs on imported goods. It protects Thai business from competition, feeds a grossly ineffective government and its taxation system, feeds a lot of corruption in/directly.

 

Thailand will just payblip service to change, stall liberalization efforts as long as possible and then wait to be kicked out.

 

What about ASEAN lol. Remember the big campaign? Nothing came of any of that.

 

Thailand will not change and whatever economic fallout it may suffer the people at the top are ok with it because it's only about them.

 

*Preserve traditional Thai values* lol

 

No way Thailand will open up.

 

BTW just where is that millionaires plan? No official rollout, no laws.... same same.

 

I've known Vietnamese from living in States, had a small job there. They are smart, ambitious, hard working, good savers and with money. I've seen for years Vietnam will eat Thailand's lunch.

 

Thailand will become a sickman like Philippines. It's happening for years.

Edited October 26, 2021 by Chad3000

[Srikcir]

China applied only after POTUS Trump withdrew. I believe it's likely POTUS Biden will re-apply. If accepted China will likely quit.

But China's application has to have unanimous approval from the current 11 members. Thus, might be unlikely China will get approval, especially in light of its continued threats against ASEAN members over South China Sea sovereignty, threats against Taiwan and strangulation of democracy in Hong Kong.

Thailand is not under such issues, other than Prayut seems to want to be politically attached to China. Should China withdraw from CPTPP or be rejected, I doubt Prayut will move unilaterally to split with China over CPTPP.