Thailand Pitches for Full Economic Partnership with US, Championing Tech and Trade

 

Thailand's Commerce Minister Pichai Naripthaphan has underscored the nation's ambition to forge a full-fledged economic partnership with the United States, with a strategic focus on technology, trade, and agriculture.

 

Speaking at the Thailand - US Trade & Investment Summit 2025 in Bangkok on Tuesday, the Minister highlighted Thailand's robust economic growth and outlined proposals aimed at deepening bilateral cooperation.

 

The summit, a joint initiative of the Thai Chamber of Commerce, the American Chamber of Commerce in Thailand (AMCHAM), and the U.S. Chamber of Commerce, drew over 300 government officials, private sector representatives, investors, and business leaders from both countries.

 

Minister Pichai affirmed that the Thai economy, under Prime Minister Paetongtarn Shinawatra, is on a consistent growth trajectory.

 

 

Thailand's Gross Domestic Product (GDP) expanded by 3.1% in the first quarter of 2025, building on previous gains. Investment interest remains high, with Board of Investment (BOI) applications totalling 431.237 billion Baht – a remarkable 97% increase.

 

Exports, a crucial pillar of the Thai economy, showed outstanding growth of 15.2% in the first three months of this year.

 

Over the six months since the current government took office in October 2024, Thai exports have expanded by an average of 12.9%.

 

 

The Minister also revealed that April's export figures, set for release on Monday, 26th May 2025, are expected to maintain this positive trend, despite some concerns regarding potential US tax measures.

 

Tourism continues to be a strong performer in terms of revenue, with Thailand now prioritising high-potential, high-income tourists who also support environmental sustainability.

 

 

However, Pichai acknowledged lingering challenges such as household debt and structural economic issues, suggesting that resolving these could unlock even greater economic growth than currently forecast.

 

Addressing concerns over potential US import tariffs impacting Thai exports, the government has been actively engaged in discussions with the US on various platforms.

 

A dedicated U.S. Trade Policy Working Group, chaired by the Permanent Secretary of the Ministry of Commerce, was established in January 2025 to foster close collaboration with the private sector.

 

On 8th May 2025, Thailand formally submitted a comprehensive policy proposal to the United States Trade Representative (USTR), which received positive feedback from U.S. Treasury Secretary Scott Bessent.

 

Key elements of the proposal include: strengthening cooperation in processed food, digital services, data centres, and Artificial Intelligence (AI); increasing imports of US goods such as energy, agricultural products, and aircraft components; facilitating market access and reducing trade barriers; addressing non-tariff measures; preventing misrepresentation of product origin; and promoting Thai investment in the US.
 

 

 

These proposals were further discussed with U.S. Trade Representative Jamison Greer and Secretary Bessent during the APEC Trade Ministers' Meeting in Jeju Island, South Korea. Both sides expressed their readiness to advance cooperation through future policy-level negotiations in Washington D.C.

 

The Commerce Minister also extended an invitation to US investors to expand their presence in Thailand, particularly in modern technology industries.

 

He highlighted Thailand's strong infrastructure, especially its stable energy supply, which is highly conducive to advanced technology sectors such as semiconductors, printed circuit boards (PCBs), data centres, AI assembly components, and smart vehicles. These areas also offer avenues for developing other industries to meet future market demands.

 

The Thai government reiterated its commitment to working closely with both domestic and international private sectors to build a resilient Thai economy and foster balanced, mutually beneficial cooperation with the US for shared prosperity. The US stands as Thailand's second-largest trading partner, after China.

 

In 2024, bilateral trade exceeded $74 billion, with Thai exports to the US accounting for 18% of total exports and growing by 13.6%, underscoring the strength of their economic ties and ongoing growth opportunities.

 

 

Dr Poj Aramwattananont, Chairman of the Thai Chamber of Commerce and Board of Trade of Thailand, emphasised the robust 192-year relationship between Thailand and the US. 

 

He highlighted the role of "Team Thailand Plus," a public-private collaboration, in actively promoting trade and investment with the US.

 

The summit's agenda also included discussions on global economic shifts, covering agricultural trade, food innovation, environmental initiatives, digital trade, and creative industries, with insights shared by Thai and US business leaders.

 

 

H.E. Robert F. Godec, the US Ambassador to Thailand, acknowledged the evolving relationship between the two nations, particularly in enhancing technological capabilities.

 

He affirmed US support for Thailand in fostering cooperation for mutual economic prosperity amidst current global economic and trade uncertainties.

 

US Senator Tammy Duckworth commended the summit as a testament to the enduring strength of the Thailand-US relationship.

 

She underscored the shared commitment to trade and investment as a foundational element driving growth and creating future opportunities, praising the power of international collaboration in overcoming challenges and achieving sustainable positive impacts.