Amid global geopolitical tensions, Thailand sees surge in FDI
Thailand is focusing on attracting investments in electric vehicles (EVs) and its components, semiconductors, digital, future foods and renewable energy to boost the country’s potential amid global challenges, the Board of Investment (BOI) said.
Foreign direct investment (FDI) continues to flow into Thailand amid the US-China trade war, Russia-Ukraine war and Middle-East conflict, which have made investors seek destinations of neutral countries with good infrastructure.
BOI secretary-general Narit Therdsteerasukdi said on Wednesday that Thailand had witnessed a significant growth in the digital industry.
Several digital companies have requested investment privileges for their 46 data centres and cloud service projects worth around 167.98 billion baht. They include companies from the US, China, Australia, Japan, Singapore and India, he said.
He said US tech giant Google recently announced its plan to invest US$1 billion (33.30 billion baht) in a data centre and a regional cloud service in Thailand. More tech companies would seek investment support in the future, he added.
WHA Group chairwoman of the executive committee and group CEO, Jareeporn Jarukornsakul, confirmed that FDI continued to flow into Thailand, thanks to the country’s strategic location, infrastructure, energy security, investment support and skilled labour.
She noted that foreign investors were purchasing lands for setting up their factories.
Last August, the WHA signed a land purchase agreement with Chinese home appliances company Haier Group Corporation for setting up an air-conditioner factory with an investment of 10 billion baht, she said.
The company recently closed the deal with Google on setting up a data centre and regional Cloud service, she said, adding it had previously closed deals with four Chinese EV makers – MG, Great Wall Motor, BYD Auto and Changan Automobile.
“Late this year or earlier next year, we would announce good news on two to three deals related to data centres, EV batteries, semiconductors and electrical appliances,” she said.
Apart from Google, she said there were many data centre operators who were interested in investing in Thailand. The WHA has prepared almost 10,000 rai (1,600 hectares) to support Thai and foreign investments, she added.
