Russia eyes major investment in Thailand across multiple sectors

 

Chairman of the Russia-Thai Business Council, Ivan Demchenko, revealed ambitious plans for expanding Russian investment in Thailand, focusing on hospitality, technology, and energy, during a media roundtable at the FTI EXPO 2025 on Thursday.

 

Demchenko said the investment commitment would elevate relations between the two countries. 

 

In the first nine months of 2024, bilateral trade between Thailand and Russia reached US$1.19 billion, or 0.26% of Thailand’s global trade.

 

In 2023, Russia ranked as Thailand's 37th largest trading partner globally.

 

Thai exports to Russia amounted to US$610.16 million, primarily consisting of rubber products, aircraft and spacecraft parts, and machinery components. Meanwhile, imports from Russia totalled US$578.15 million, led by fertilisers, pesticides, metal ores, metal scrap, and chemicals.

 

Russia is also Thailand’s largest European tourism market, with Russian arrivals expected to hit two million this year.

 

Demchenko also pointed to the large number of Russians who have emigrated permanently to Thailand.

 

Ivan Demchenko

 

"With approximately 250,000 Russians now calling Thailand home, particularly in Phuket and Pattaya, we're seeing tremendous opportunities for investment in the hospitality sector," he said.

 

The Russia-Thai Business Council will hold a major investment forum in Phuket this October, targeting Russian businesses interested in the Thai market. 

 

"Several Russian restaurant groups are already in talks to establish beach clubs and hotels in Thailand. We're particularly excited about the hospitality sector developments, which encompass hotels, restaurants, and cafés," Demchenko said.
 

 

Technology and innovation leadership

He added that the forum will also feature Russian technology firms, who are actively seeking partnerships with Thai companies. 

 

"We've invited leading Russian tech companies such as Vision Lab and Aquarius to showcase their innovations at the upcoming forum. We believe there's significant potential for collaboration in artificial intelligence and IT solutions.”

 

Demchenko said Russian foreign investment sought equality in partnerships: "What sets Russian investors apart is our commitment to fostering genuine partnerships. We're not interested in hierarchical relationships – we seek win-win situations that benefit both nations equally."
 

 

Strategic sectors for investment

Russian companies are eyeing several key sectors in Thailand, with a direct sea trade route in the pipeline.

 

"We are particularly interested in establishing a direct maritime route between our countries by the end of this year," Demchenko revealed. "This would significantly enhance our logistics capabilities and boost bilateral trade."

 

The energy sector remains a priority, with ongoing discussions about oil trade and refinery projects.

 

"We're also exploring opportunities in Thailand's fertiliser industry, including the potential establishment of a dedicated port for production and export," he added.

 

Demchenko highlighted the Council's openness to conducting transactions in Thai baht, stating, "We're flexible about working with local currencies to strengthen both economies. This approach has proven successful in our partnerships worldwide."
 

 

Supporting Thai SMEs

The chairman expressed particular interest in working with Thai small and medium-sized enterprises. 

 

"Thailand's market is unique due to its vibrant SME ecosystem. We see this as a strength rather than a limitation. The creativity and competitiveness of Thai SMEs create numerous opportunities for collaboration."

 

Demchenko also revealed Russia's keen interest in Thailand's flourishing film and post-production industry. 

 

"Thailand has established itself as a powerhouse in media and film production. We see immense potential for collaboration in this sector," he said.

 

 

The chairman announced plans to establish a film university in Thailand, marking a significant step towards educational cooperation. 

 

"We're not just looking at business partnerships; we're committed to developing the next generation of film industry professionals. We're actively seeking partnerships with Thai producers and film companies to create a sustainable ecosystem for cultural and creative exchange.”

 

Looking ahead, Demchenko expressed optimism about the future of Russian-Thai business relations. 

 

"Our longstanding relationship with Thailand, combined with our mutual interests in trade and investment, creates a strong foundation for future growth. We're committed to developing partnerships across multiple sectors, from high-tech to energy, and everything in between."

 

Russian companies are also showing interest in Thailand's green industry initiatives, with discussions underway about establishing recycling centres and implementing sustainable technologies as well as electrical power generation. 

 

"Environmental consciousness is a key consideration in our investment strategy," Demchenko said.