US pledges boost in semiconductor investment for Thailand

To ramp up global semiconductor production, US Commerce Secretary Gina Raimondo promised investment in Thailand’s manufacturing sector.

Raimondo, speaking at an event in Bangkok hosted by the American Chamber of Commerce, asserted that Thailand stood to benefit significantly from increased US investment in semiconductor production, stating that American firms were poised to supercharge their investments in the nation.

Highlighting the urgency of diversifying semiconductor production, Raimondo stressed the importance of collaboration among nations.

“We’re all in this together. It benefits everyone, the United States, Thailand, all the IPEF countries, to diversify the supply chain of semiconductor production.”

Attributing the surge in demand for semiconductors to the proliferation of data centres, the digital economy, and artificial intelligence, Raimondo cautioned against the industry’s current concentration in only a few countries.

Raimondo’s remarks come as part of broader efforts by the US to bolster investment in the Indo-Pacific region through the Indo-Pacific Economic Framework for Prosperity (IPEF). Launched in May 2022, the IPEF aims to foster economic ties among its member countries, comprising 40% of global GDP and 28% of global trade.

To further strengthen economic cooperation, Raimondo extended an invitation to Thai corporations to invest in the US through the SelectUSA investment programme.

The Commerce Secretary’s visit to Thailand also includes high-level discussions, including a meeting with Prime Minister Srettha Thavisin to explore avenues for enhanced trade and investment cooperation between the two nations, reported The Nation.

The US-led initiative, which includes countries such as Australia, Japan, and Singapore, serves as an alternative for regional countries seeking to diversify economic partnerships amid growing concerns over China’s influence.

In related news, Commerce Minister Phumtham Wechayachai visited Hong Kong to market Thailand’s film industry and Y Series TV dramas.

The delegation participated in the Hong Kong International Film and TV Market (FILMART 2024). The visit also includes exploring avenues to broaden the Hong Kong market for Thailand’s agricultural products.