Early Assessment of Uyghur Trade Impact Inconclusive
PUBLISHED: 31 Mar 2025 at 06:08
Sanan Angubolkul, the chairman of the Thai Board of Trade, stated it is too soon to determine the impact of the Uyghur issue on trade discussions. He emphasized the importance of businesses swiftly refining their strategies to benefit from existing free trade agreements (FTAs) while effectively managing costs and leveraging technology and innovation for enhanced competitiveness.
With 16 FTAs encompassing 23 countries or economic groups, Thailand aims to enhance its foreign direct investment (FDI) profile. Sanan pointed to Vietnam as an example of successfully utilizing FTAs to boost investment attractiveness.
The board advocates strategically leveraging FTAs to enhance FDI inflows and recommends pursuing negotiations with new markets. Promising potential markets include the EU, which is currently discussing an FTA with Thailand, as well as the Middle East and South America, where demand for Thai products is on the rise.
In the first two months of the year, Thailand’s export value reached an impressive US$52 billion (1.76 trillion baht), marking a significant 13.8% growth year-on-year—an uptick that represents the eighth consecutive month of export growth. Key markets contributing to this growth include Switzerland (+236%), India (+157%), China (+22.4%), and the US (+18.2%).
Support from the government, particularly the Commerce Ministry, has played a crucial role in promoting exports and aiding Thai businesses’ adaptation through innovative measures, ensuring the global competitiveness of Thai products.
However, challenges persist, as certain sectors such as agricultural products saw a contraction of 1.6%, while the mineral and fuel sectors experienced an 11.5% decline. Sanan noted that uncertainties surrounding US trade policies could impact Thailand’s export outlook, especially for industries like electrical and electronics equipment, automobiles, machinery, and agriculture.
As the US is anticipated to announce further tariff measures on April 2, concerns remain despite no specific actions being directed at Thailand at this time.
