How could the Thailand-EU FTA contribute to the EU’s supply chain resilience and exports of goods and services amid ongoing global trade uncertainties?
Weerapong Prapha: Thailand positions itself as a trusted and reliable partner for EU businesses seeking to diversify their supply chains and operations. The Thailand-EU Free Trade Agreement (FTA) will be instrumental by enhancing market access and improving the business environment on both sides. This FTA would accelerate Thailand’s ongoing reform to promote fair, transparent and conducive rules and regulations for EU companies to thrive in Thailand. It will also deepen supply chain integration, fostering greater resiliency and efficiency for Thai and EU businesses.
Looking ahead, the Agreement can serve as a building block for the ASEAN-EU region-to-region FTA initiative, unlocking broader mutual benefits. At its core, this FTA is not only about increasing trade volumes, but also about positioning Thai businesses to seize emerging opportunities, adapt to global shifts and thrive in this changing time.
Thailand will continue to apply WTO-consistent trade remedies in a proportionate and transparent manner
What is Thailand’s long-term vision for its trade and economic partnership with the EU as well as the wider ASEAN and Indo-Pacific regions?
WP: Thailand regards the EU as an important partner in promoting innovative, sustainable, and resilient economies, as well as upholding a rules-based trading system.
To achieve this, strengthening cooperation in standards, human capital, and connectivity will be essential.
On standards, the Thai government’s priority is to promote greater alignment with international standards and best practices. Uplifting standard adoption among Thai businesses advances sustainability and creates new economic opportunities for both sides. As part of the Thailand-EU FTA negotiation and our OECD accession process, we seek to further collaborate with the EU to raise our standards, while ensuring that businesses are adequately supported and provided with sufficient transition periods.
On human capital, the Thai government aims to roll out a reskilling-and-upskilling program to match with evolving labour market needs. We seek to deepen cooperation with the EU in strengthening the talent pool available to EU businesses in strategic industries, and promoting good jobs for the Thai workers.
We seek to further collaborate with the EU to raise our standards, while ensuring that businesses are adequately supported and provided with sufficient transition periods
Connectivity remains central to our cooperation. Thailand’s strategic location, strong manufacturing base and robust logistics make it a strategic gateway to Southeast Asia for the EU. Both sides should build on this by improving the interoperability of trade-related and customs procedures, while promoting investment in regional connectivity infrastructure, including ASEAN Power Grid initiatives.
What are the strategies that Thailand is pursuing to address concerns related to transshipment and industrial overcapacity?
WP: Thailand takes these concerns seriously, as they undermine the rules-based trading system that both Thailand and the EU strive to uphold. To address potential risks of transshipment, Thailand is adopting a proactive approach by strictly enforcing Rules of Origin, strengthening inter-agency coordination in monitoring irregular trade flows, and implementing capacity-building tailored to different sectors, products and trade agreements. Where domestic industries are affected by unfair practices stemming from overcapacity, Thailand will continue to apply WTO-consistent trade remedies in a proportionate and transparent manner.
The Thailand-EU Free Trade Agreement will be instrumental by enhancing market access and improving the business environment on both sides
To minimise regulatory burden, these measures are complemented by the simplification of procedures and the expansion of digital customs services, paving the way for the effective implementation of the future Thailand–EU FTA.
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