Connect with us

Business

Alibaba Initiates $3Bln Partnership with Thai Gov in Support of Thailand 4.0

This is probably the first major milestone for Thailand 4.0 economic plan to upgrade Thai economy : a major commitment of a big private investor

Olivier Languepin

Published

on

The e-commerce giant’s executive chairman, Jack Ma, was in Thailand this week and has become the first big name to join Thailand’s plan to upgrade its economy known as Thailand 4.0.

According to Jack Ma statement during a press conference held in Bangkok, the group’s investment in Thailand will be at least US$3 billion (93.6 billion baht) over the next five years.

The Government of Thailand and Alibaba entered into a strategic partnership to drive the development of Thailand’s digital economy and the Eastern Economic Corridor under the Thailand 4.0 policy.

Thailand 4.0 endeavours to transform the Kingdom’s economy from one reliant on manufacturing existing products designed by others to one driven by innovation, research and development, creativity and the development of higher technologies and green industries.

Alibaba’s Jack Ma pledges US$3 billion investment in Thailand 4.0

Mr. Somkid Jatusripitak, who is government ministry of economy and deputy prime minister, said Alibaba’s involvement will also encourage local farmers and small businesses to reach new markets, helping the Thai government to narrow gaping economic and political divides.

China is on its way to becoming the world’s largest consumer, driven by rising income and a growing middle class of 300 million. There is no better time than now for trade-oriented countries to seize this opportunity to export to China as the country continues to open its doors wider for global trade.”

Jack Ma, Executive Chairman and co-founder of Alibaba Group

Quality Thai agricultural products such as fragrant rice, durian and other tropical fruits in particular are sought after by the Chinese consumer,” said Jack Ma, Executive Chairman and co-founder of Alibaba Group.

Quality Thai agricultural products such as fragrant rice are sought after by the Chinese consumer

Quality Thai agricultural products such as fragrant rice are sought after by the Chinese consumer

Given Thailand’s unique strengths in people and culture, we are confident of its future and growth potential under the government’s Thailand 4.0 policy. We are committed to being a long term partner of Thailand to help enable its digital transformation.

Jack Ma, CEO and co-founder of Alibaba Group

The founder of the online shopping giant, Jack Ma, met with Thailand’s prime minister, Prayuth Chan-ocha, and later signed several agreements, including one to help set up a “smart digital hub” in a showcase project called the Eastern Economic Corridor, to facilitate trade between Thailand, China, Laos, Myanmar, Cambodia and Vietnam

Under this partnership, agencies of the Thai government and business units of Alibaba will work closely together in a number of areas, including e-commerce, digital logistics, tourism and training.

Last month, Alibaba announced it was investing another $2 billion in regional online retailer Lazada Group, doubling its stake in the company that it gained control of in 2016.

Establishment of a Smart Digital Hub in the EEC

As part of Thailand’s Eastern Economic Corridor (“EEC”) initiative covering the three eastern provinces of Chachoengsao, Chonburi, and Rayong, Alibaba’s smart digital logistics business, Cainiao Network, will establish a Smart Digital Hub in the EEC to support Cross-Border Trade with China and other Markets.

The Smart Digital Hub will utilize Alibaba and Cainiao’s world-class data and logistics technologies and processes to optimize the cross-border flow of goods between Thailand and China and other countries. Groundbreaking for the Smart Digital Hub is expected in 2018, and operations are expected to commence in 2019.

Cooperation in Smart and Digital Tourism

The Tourism Authority of Thailand (“TAT”) and Alibaba’s online travel business and one of China’s leading online travel service providers, Fliggy, will also expand their cooperation to support smart and digital tourism in Thailand.

The strong collaboration between Alibaba Group and Thai government is expected to help attract more Chinese travelers to Thailand and increase Thailand’s tourism income.

The kingdom expects 38 million tourists overall this year, more than 10 million from China.

China’s outbound travel market raked up 130 million trips in 2017, a 7% increase on 122 million trips recorded in 2016.

The Thai economy could use a push from the Chinese e-commerce giant :  the BoT predicted growth of around 4% this year, thanks to strong tourism—about matching last year’s 3.9% but lagging behind other Asean countries peers such as Malaysia, Vietnam and the Philippines.

Continue Reading
Advertisement
Comments

Business

Thailand’s FDI applications up 69% in the first nine months of 2019

The total value of FDI applications received by the BOI in the nine months to September increased 69% from the year earlier period, to a total value of 203.37 billion baht, according to the latest data from the BOI

Boris Sullivan

Published

on

Thailand continued to attract rising foreign direct investment (FDI) in the first nine months of 2019, with increased number of investment project applications according to public agency Thailand Board of Investment (BOI).

(more…)

Continue Reading

Business

Thai Labour minister calls meeting after U.S. GSP cut

The Minister of Labour has called an urgent meeting to address the labour concerns cited by the U.S. as a factor in the decision to revoke trade preferences.

National News Bureau of Thailand

Published

on

BANGKOK (NNT) – The decision by the U.S. to suspend Generalized System of Preferences (GSP) treatment to Thailand, requiring all Thai exports to the U.S. to be subject to duties, has raised confusion among many sectors in Thailand.

(more…)

Continue Reading

Business

Thailand edges up 6 spots in World Bank’s Ease of Doing Business 2020

While many economies in the East Asia and the Pacific region make doing business relatively easy, the pace of reforms has slowed from previous years.

Boris Sullivan

Published

on

Crowded downtown area in Bangkok

Thailand’s ranking in the World Bank’s Ease of Doing Business 2020 list has edged up 6 places, from 27th to 21st this year from 190 countries surveyed

(more…)

Continue Reading

Most Read

Upcoming Events

Wed 27

The Future Energy Show Thailand

November 27 @ 10:00 am - November 28 @ 5:30 pm BMT
Dec 02

Top Food science conference 2019

December 2 @ 9:00 am - December 3 @ 5:00 pm BMT
Dec 05
Dec 05

The Healthcare+ Expo Taiwan

December 5 @ 9:00 am - December 8 @ 5:30 pm BMT

Press Release

Subscribe via Email

Enter your email address to subscribe and receive notifications of new posts by email.

Join 11,816 other subscribers

Trending