Thai PM to visit Europe, aiming to bolster trade and investment

Prime Minister Srettha Thavisin of Thailand is set to travel to Germany and France in an official capacity. The visit, scheduled for March 7 to March 14, aims to bolster trade and investment between Thailand and these European nations. Accelerating the completion of a Free Trade Agreement (FTA) and advocating for visa exemptions for Thai passport holders are top priorities.

Government spokesperson Chai Wacharonke emphasised the visit’s objectives, highlighting the intent to boost investor confidence in Thailand’s trade and investment potential. Alongside the FTA negotiations, he mentioned the discussions on visa exemptions for Thai passport holders.

“Other key issues on the agenda include sustainable economic development, clean energy, and addressing environmental challenges.” He added that the prime minister will accentuate the significance of elevating relations with Germany and France, aiming to establish them as strategic partners.

Throughout the week-long visit, PM Srettha is expected to engage with business leaders from a range of industries, including aviation, automobile, tourism, fashion, and retail. His itinerary also includes attendance at key events like ITB Berlin 2024, MIPIM 2024 and a speech at the annual reception of the German Association for Small and Medium-Sized Businesses.

The government spokesman revealed in early February that Thailand aspires to finalise an FTA with the EU by next year, with the third round of talks due in June. As per the Commerce Ministry’s Department of Trade Negotiations, the EU is currently Thailand’s fourth-largest trade partner, said Chai

“Trade value stood at US$34.8 billion within the first ten months of 2023.”

Chai noted that major exports include computers, gems, jewellery, air conditioners, and electronic circuits, while key imports are machinery, pharmaceutical products, electric machines, and chemical products.

Trade discussion

The initial FTA discussions between Thailand and the EU were launched in 2013 but were suspended in 2014 due to the military takeover in Thailand. With advancements in Thailand’s democratisation process, the European Council adopted an approach of gradual re-engagement in 2017 and 2019, which culminated in the signing of the Partnership and Cooperation Agreement in December 2022.

The council’s conclusions in 2017 and 2019 encouraged the European Commission to consider resuming FTA talks with Thailand, highlighting the importance of taking steps in this direction. The EU Indo-Pacific Strategy 2021 further asserted the EU’s longstanding interest in resuming FTA negotiations with Thailand. Currently, the EU has comprehensive FTAs with two ASEAN countries, Singapore and Vietnam, reported Bangkok Post.

The 62 year old Thai prime minister’s visit to Germany and France follows his recent trip to Australia for the 2024 ASEAN-Australia Special Summit in Melbourne, commemorating 50 years since Australia became ASEAN’s first dialogue partner. Post-visit, the prime minister expressed optimism about the benefits of this visit for Thailand and its people, promising to advocate for connectivity and the green agenda.