PM likens nation to an ‘Asian Switzerland’
Potential to attract investors is growing
Thailand has the potential to attract large international companies interested in its Land Bridge megaproject among other drawcards, Prime Minister Srettha Thavisin said yesterday, likening the country to a “Switzerland of Asia” in terms of its investment attractiveness.
He was speaking at SUBCON Thailand 2024, a three-day industrial part-sourcing and business-matching event that is running until tomorrow at the Bangkok International Trade and Exhibition Centre (Bitec) in Bang Na district.
With its strong auto and electronics industries, Thailand is pushing to support more investments in the development of the electric vehicle (EV) making industry here, said the PM.
The EV-producing industry development will be built up on the lucrative Japanese car-making sector, whose combined investment value is more than a trillion baht, said Mr Srettha.
The government has designed more investment privileges to offer car makers with a production base in Thailand, as an incentive for them to move from producing combustion engine cars to electric ones.
The government also has a policy called EV-3.5 which will enable continuous investment in the EV industry and related supply chains, he said.
Other factors which make Thailand more attractive to prospective investors include its geopolitical neutrality and the one-trillion-baht Land Bridge megaproject, he said.
While the volume of global shipments continues to rise, last year’s shutdown of the Suez Canal paralysed global supply chains, while the Strait of Malacca has become notorious due to the higher rate of accidents affecting ocean cargo shipments, said Mr Srettha.
The Land Bridge project therefore has the potential to fill this gap and help Thailand secure a stronger position in world trade, he said.
“This project will make Thailand become a Switzerland of Asia, considering its potential to generate more investments here, ensure the continuity of industrial production and assure confidence among investors,” he said.
“The Land Bridge project is undoubtedly more important than a submarine procurement or a fighter jet purchase,” he said.
Thailand also has a strong policy to support the continuous development and utilisation of clean energy, in which the country has set a goal of making at least half of the volume of energy produced and used here clean energy, said the PM.
In terms of international trade cooperation, the government recently signed a memorandum of understanding to work with Sri Lanka, with the aim of initiating their first free-trade agreement (FTA), he said.
The Thai-Sri Lankan FTA will be followed by full FTAs with the European Union (EU), the Middle East and Britain, he said.