Shanghai joins BOI to woo Thai investors in Bangkok roadshow
The Board of Investment and Shanghai’s municipal government jointly held a roadshow in Bangkok on Tuesday to lure Thai investors to the Chinese city.
The “Invest in Shanghai” event was held at the Shangri-La Hotel Bangkok and attended by a delegation led by Shanghai mayor Gong Zheng, some 300 Thai and Chinese businessmen and several Bangkok officials.
The event was jointly opened by Bangkok governor Chadchart Sittipunt and Chinese Ambassador Han Zhiqiang, BOI secretary-general Narit Therdsteerasukdi said.
Narit explained that the roadshow was held as part of a long political and economic cooperation between the twin cities – Bangkok and Shanghai.
It was also held in reciprocation for the investment roadshows BOI held in Chinese cities like Hangzhou, Shenzhen and Guangzhou. The most recent one in early April was held in Shanghai, he said.
Narit added that the aim of the roadshows is to expand economic cooperation between the two countries and encourage investments in line with the Belt and Road Initiative (BRI) and the Regional Comprehensive Economic Partnership (RCEP).
China aims to expand its Asean investments under its BRI policy.
Narit said Thailand’s strategic location in the centre of the Asean region and its effective transportation and logistical systems make it particularly attractive to Chinese investors.
Narit added that the EEC had the potential to be linked with the Shanghai Lingang Free Trade Zone in the future.
Chinese business leaders are also impressed with Thailand’s strong supply chains, supportive industries, as well as a skilled workforce and tax privileges, he said.
“Plus Thailand has good ties with everyone, which makes it a good manufacturing base for Chinese businesses,” he added.
Chinese investors can also make use of Thailand’s RCEP free-trade agreement to export to 15 member nations.
On the other hand, China is also crucial to the Thai economy in terms of trade, investment and tourism. Before the pandemic, Thailand saw about 11 million Chinese tourists a year and this year some 5 million are expected to land on Thai soil, he said.
China is also Thailand’s top trade partner with bilateral trade accounting for 17% of Thailand’s total foreign transactions, he said.
Narit added that Chinese businesses are also the biggest investors in Thailand, accounting for 18% of all foreign investment last year.
In the first quarter of this year, Chinese companies applied for BOI privileges worth 25 billion baht, marking an 87% surge compared to the same period last year. Most of the investments are for manufacturing electronic products, electric vehicles, digital technology and chemical products, Narit said.
Shanghai is one of China’s most economically developed cities and is considered a global financial hub. It is the largest city in China by population and has a highly diversified economy, which was valued at 4.47 trillion yuan or about US$65 billion last year.
