Thai Prime Minister Srettha Thavisin will visit China in October to discuss various matters, including strengthening bilateral relations and tourism cooperation.
Key Takeaways
- Thai Prime Minister Srettha Thavisin will visit China in October to strengthen bilateral relations and attend the Belt and Road Forum for International Cooperation.
- The slower growth in China’s real estate sector and debt problems could potentially lead to an economic crisis impacting both the global and Thai economy.
- Thailand and China have a strong diplomatic relationship, with bilateral trade between the two countries increasing by 14.07% in the first 10 months of this year.
This will be his first country visit after attending the United Nations General Assembly in New York. During his trip to the US, he will have bilateral meetings and deliver a speech at the UNGA. In China, he will hold talks to strengthen Thai-China relations and participate in the Belt and Road Forum for International Cooperation.
The Chinese economy’s slowdown has raised worries about soft consumption, a weakening currency, and excessive local government debt. Thailand has been cautioned about the impact of China’s slowdown on its economy. Thailand’s export sector is already slowing down due to global recession and geopolitical uncertainty, and China’s slowdown will further reduce revenue from trade and tourism.
The revival of Thailand’s economy heavily relies on the recovery of its tourism sector, and closer cooperation with China can play a significant role in achieving this goal. The promotion of tourism is seen as a way to revive Thailand’s economy, which is facing downward pressure. The visit may also aim to strengthen cooperation in other economic and trade fields, such as the digital economy and new-energy vehicles.
China has become the leading source of foreign direct investment (FDI) in Thailand, especially in the sectors of electronics, electric vehicles and data centers.
Visa exemption for Chinese tourists
Furthermore, Thailand acknowledges the economic slowdown in China, which has led to a decrease in Chinese tourists visiting the country. With domestic travel becoming a more popular option for Chinese tourists, Thailand hopes that the visa exemption will incentivize them to choose Thailand as their destination.
From 1 January to 10 September 2023, Thailand recorded 2,284,281 Chinese visitors, making China the second largest source of tourist markets after Malaysia.
About the author
Bangkok Correspondent for Siam News Network. Editor at Thailand Business News
