Thailand is preparing to capitalize on the anticipated shift in global trade dynamics under a Donald Trump presidency, with a strategy to attract investments from companies seeking to navigate the US-China trade conflict. Commerce Minister Pichai Naripthaphan highlighted the country’s good standing with global powers, positioning Thailand as a neutral and attractive hub for business relocation and expansion.
In an interview with Bloomberg News on Wednesday, Pichai noted that Thailand’s neutral stance on global geopolitics, combined with its pro-business environment, could help it emerge as a major beneficiary of the US-China trade war. “Trump’s win will be beneficial for Thailand because Republicans are pro-business, and the US-China trade war will continue, resulting in more investments from both countries into Thailand,” Pichai explained.
Amid threats of escalating tariffs from Trump on Chinese imports, many companies have already relocated their operations to Southeast Asia to avoid the trade restrictions, with Thailand emerging as a key destination. The country’s established manufacturing sectors, particularly in automobiles and electronics, make it an appealing location for global companies seeking alternatives to China as a manufacturing base.
Over recent months, Thailand has intensified its efforts to attract investment, especially in technology and manufacturing sectors. Pichai mentioned that companies such as Nvidia, Alphabet (Google’s parent company), and Microsoft are planning significant investments in AI data centers and electronics production in Thailand. Additionally, major US companies like Seagate, Western Digital, and Hewlett Packard are considering expanding their operations in the country.
Thailand’s longstanding neutrality in international affairs has further bolstered its attractiveness. “The US, China, India, and Russia all see us as a friend. We don’t have to choose sides, and that makes us a safe and appealing destination for investment,” Pichai noted. This neutral stance has positioned Thailand as a preferred partner for countries with varying political interests, such as Israel, the UAE, and even Iran.
The Ministry of Commerce has been working with foreign companies and business groups to explore new incentives for investment, with expectations of a significant surge in foreign capital. Pichai revealed that new investment proposals have reached impressive levels, with total commitments potentially topping 1 trillion baht this year. Investment value surged by 42% in the first nine months of this year, with a majority coming from US and Chinese companies, particularly in the electronics and data center industries.
