A largely shallow show of friendship

MONDAY, AUGUST 21, 2017
A largely shallow show of friendship

Despite the slew of business pacts signed, last week’s visit by Vietnam’s premier highlighted worrying disparities

Vietnam’s Prime Minister Nguyen Xuan Phuc during his official visit to Thailand last week initiated welcome advances in regional development and cooperation. Unfortunately, the Thai government proved to be a poor host, falling far short of what it could have offered in return.
Phuc, making his first visit to the Kingdom since taking office in April last year, brought along ministers in charge of agriculture, industry and technology, as well as the governor of central Vietnam and a posse of business executives. Ten pacts were signed, along with a memorandum of understanding on science, technology and innovation. Thailand and Vietnam are also looking to cooperate on trade, telecommunications, digital tech and banking.
The countries’ business executives struck their own deals. Vietnam’s Industry and Trade Ministry signed an agreement on legal fees with EGAT International. Viet Nam Oil and Gas Group and Siam Cement inked an MOU, as did three Vietnamese fertiliser and chemical firms, with Thailand’s SCG Chemicals. SCIC Investment Co made plans with Kasikorn Bank. Super Energy Group Co and Cong Ly Co forged a pact on the Bac Lieu/Ca Mau Wind Power Project.
The flurry of signings attested to the strength of our bilateral relations, but the unfortunate fact is that no groundwork is in place to implement these agreements. The pacts on science, technology and innovation were merely intended to provide inspiration to business and industry. Neither side has the wherewithal to have an international impact in these fields, and Thailand in particular is lagging behind and reliant on foreign talent.
While it is encouraging that both premiers expressed the will to build on our strategic partnership and improve land, sea and air links, more specifics would be preferred – such as how to bring about these desired changes using existing infrastructure. There are sound transportation routes connecting our nations, but the question is how to make the most efficient use of them to fully benefit our economies.
Missing from the leaders’ summit was any acknowledgement of the economic disparity between the two countries. Perhaps diplomacy prevented mention of the fact that Vietnam’s economy is growing while Thailand’s remains in the doldrums, the direct result of political upheaval. It was no doubt deemed wiser to maintain the usual approach, in which Thai investment in Vietnam is to be encouraged, but not Vietnamese investment in Thailand.  
The prime ministers spoke about effective and sustainable management of the Mekong River, about 
balancing economic need against environmental preservation, and yet made no mention of halting or slowing the construction of dams along its length, a practice Thailand actively supports. People in southern Vietnam’s Mekong Delta are beginning to suffer the effects of increased salinity in their surrounding waters – a problem that upstream countries could ease but are reluctant to do so.
Thailand is also acutely aware that Vietnam is at loggerheads with China over disputed territory in the South China Sea. Phuc’s visit came just two weeks after Vietnam lost a diplomatic battle on the issue at an Asean ministers’ meeting in Manila. Spurned in its demand that Asean take a stronger stance on the maritime row, Hanoi is now alone in standing up to Beijing. Thailand could surely be a better friend. Vietnam, a courteous guest, chose not to press the matter. Any suspicion it harboured that Thailand has relinquished its international role and duties will have been confirmed.