Thailand and Malaysia aim for US$30 billion trade by 2027
Thailand and Malaysia set an ambitious goal to boost bilateral trade to US$30 billion by 2027, strengthening economic cooperation in pivotal sectors such as trade, investment, border connectivity, and tourism. The agreement was reached during Prime Minister Paetongtarn Shinawatra’s recent official visit to Malaysia, where she engaged in discussions with Malaysian Prime Minister Anwar Ibrahim.
The two-day visit culminated yesterday, December 16, with the 7th Annual Consultation, where both leaders reviewed and advanced initiatives from last year’s talks. Deputy government spokesperson Sasikarn Watthanachan highlighted the commitment of both prime ministers to bolster infrastructure development and fortify trade and economic relations, aiming for the US$30 billion trade target by 2027.
“Both prime ministers reaffirmed their commitment to promoting infrastructure development and strengthening trade and economic ties to achieve the US$30 billion trade target by 2027.”
Border trade constitutes 30% of the bilateral trade, prompting both nations to prioritise enhancing border connectivity and easing cross-border travel. They agreed on the urgency of implementing two Memorandums of Understanding (MoUs) concerning the cross-border transportation of goods and passengers.
Significant progress has been made in border infrastructure development, much to the satisfaction of both leaders. The Thai premier expressed optimism about enhancing rail connectivity and supporting regional logistics initiatives, like the ASEAN Express freight trains. Both countries plan to establish task forces in agriculture and food security, trade and investment, tourism, and security to achieve concrete outcomes.
The 38 year old Thai PM acknowledged Malaysia’s pivotal role in facilitating peace dialogues in Thailand’s Deep South and expressed hope for the resumption of peace talks following the appointment of a new Thai delegation leader. She also anticipated Malaysia’s continued support for Thailand on the international stage, notably within the Organisation of Islamic Cooperation.
Bilateral trade
Both governments expressed contentment with their close cooperation in tackling transnational crimes, encompassing human trafficking, drug trafficking, illegal immigration, and online scams. Thailand is scheduled to host the 56th General Border Committee meeting and the 2nd Joint Working Committee on Security Cooperation meeting next year.
Anwar reaffirmed the robust bilateral relationships and collaboration across various sectors, including the economy, trade and investment, tourism, Halal food, transportation connectivity, energy, and regional security.
He described the Thailand-Malaysia partnership as a model for neighbouring countries, contributing to the growth of both nations through increasing trade value and collaboration in vocational education, particularly in the southern border provinces.
Anwar also expressed support for Thailand’s 6 Countries, 1 Destination tourism initiative, aimed at boosting the tourism industry in both countries and the broader region.
On security matters, he reiterated that the unrest in Thailand’s Deep South remains an internal affair, expressing confidence in Thailand’s ability to achieve peace and prosperity in the region, reported Bangkok Post.
The visit also witnessed the signing of two significant documents on rubber and cultural cooperation, further solidifying economic and people-to-people ties between Thailand and Malaysia.
