Photo courtesy of Bangkok Post

 

Thailand's government, led by Prime Minister Anutin Charnvirakul, predicts disruptions to cross-border trade with Cambodia could result in losses totaling 100 billion baht this year. The ongoing territorial conflict caused the closure of border crossings, leading to Thai businesses incurring losses of 15 billion baht monthly, as reported from last week's economic committee meeting minutes.

 

The estimate is the first official acknowledgment of the economic damage since Anutin came to power after his predecessor's dismissal over the issue. Nationalist tensions have escalated, and US President Donald Trump has threatened the withdrawal of trade agreements from both countries. Anutin emphasizes careful negotiations with the US, given the dispute's potential effect on Thailand's tariff discussions.

 

Currently, the Trump administration has set a 19% tariff on Thai exports, but Thailand is seeking a reduction. Economists express concerns that slowing exports and declining tourism could hinder economic growth for the year's latter half. While the tourism drop isn't directly linked to the conflict, safety worries might deter visitors, prompting a government PR campaign advocating that Thailand remains safe.

 

The ongoing tensions have also influenced Cambodian workers, a critical component of Thailand’s workforce, to return home, creating potential labor shortages. The labor ministry has initiated undocumented worker registration to temporarily address this workforce gap.

 

Key Takeaways

• Thailand may lose up to 100 billion baht due to trade disruptions.
• The conflict has led to strained US-Thai trade negotiations.
• Cambodian worker exits create potential labor shortages in Thailand.

 

Related Stories:

Weak Tourist Inflows Affect Baht's Year-End Performance

Thai Airstrike on Cambodia Defended as Self-Defence

 

  Adapted by ASEAN Now from Bangkok Post 2025-10-21

 

 

Hope for Thailand that national pride and quarrel about a few square miles is worth losing 100 billion (and counting). After all, it's comparable to the income from only 2.5 million tourists.. 🤔 

 

Big loss all round for Thailand, Cambodia and their peoples. They need a peace and trade agreement and re-opened land border ASAP. Many Cambodian workers have left Thailand resulting in labour shortages for Thai businesses (and zero income for the Cambodians who left). Farming and construction badly hit. 

 

They've been building 7/11s in Cambodia like crazy over the past few years.

The price was literally double the Thai price for the same things on sale in Thailand, more in some cases - for pretty much everything.

More shocking than this is that they were popular and busy with locals in Phnom Penh - like really busy.

So the last time I went to Phnom Penh, a couple of weeks back the 7/11s have almost no stock and no customers. They're dead.

There's also huge posters of lots of soldiers standing in some kind of formation along the side of the highways and some blurb in Khmer - no idea what it means but definitely some kind of propaganda.

 

Self inflicted 😳

14 hours ago, soi3eddie said:

 

Big loss all round for Thailand, Cambodia and their peoples. They need a peace and trade agreement and re-opened land border ASAP. Many Cambodian workers have left Thailand resulting in labour shortages for Thai businesses (and zero income for the Cambodians who left). Farming and construction badly hit. 

 

But the elite billionaires on both sides of the border have a different perspective on things

...100 Billion... (?)

 

...A Nice Round Figure That Will Go A Long Way 'Covering' Many 'Unspecified Losses' ... (?)

 

...Too Bad The Average Person Can't Use such Excuses... (?)

 

...Pretty Sad...

 

 

18 hours ago, ukrules said:

They've been building 7/11s in Cambodia like crazy over the past few years.

The price was literally double the Thai price for the same things on sale in Thailand, more in some cases - for pretty much everything.

More shocking than this is that they were popular and busy with locals in Phnom Penh - like really busy.

So the last time I went to Phnom Penh, a couple of weeks back the 7/11s have almost no stock and no customers. They're dead.

There's also huge posters of lots of soldiers standing in some kind of formation along the side of the highways and some blurb in Khmer - no idea what it means but definitely some kind of propaganda.

 

 

Same here where I live in Siem Reap but not only 7-11s also Amazon Coffee Shops and PTT petrol/gasoline stations - all dead. Our MAKRO is still open (just) but stock has dwindled and has changed from Thai to other international brands. Labelling indicates country of origin, such as Cambodia (especially meat, fresh vegetables and fruit), Singapore, Malaysia and Vietnam (non perishable food). Thailand has certainly shot itself in the foot!

19 hours ago, StayinThailand2much said:

Hope for Thailand that national pride and quarrel about a few square miles is worth losing 100 billion (and counting). After all, it's comparable to the income from only 2.5 million tourists.. 🤔 

There is only one thing that motivates Thais even more than money, and that is the fear of losing face, especially at the hands of the Khmer. 

I'm surprised no minister has chipped in the old losses are being incured too from falling tourism numbers blaming the border conflict. Somewhere the blame game will appear.