Thailand is contemplating the introduction of additional incentives to entice multinational corporations seeking to mitigate the impact of the escalating US-China trade conflict, which is anticipated to heighten following Donald Trump’s reelection victory.
The Commerce Minister of Thailand stated that the kingdom foresees a surge in new investments in the near future from China, the US, and other nations that view Thailand as a neutral and amicable player in global geopolitics.
The minister emphasized that Trump’s victory could prove advantageous for Thailand, given the pro-business stance of Republicans and the anticipated continuation of the US-China trade dispute, which could lead to increased investments from both countries in Thailand.
Trump has issued threats to escalate the trade rivalry with China by imposing significant tariffs on imports, actions that could disrupt global trade. Throughout Trump’s first term in office, Southeast Asian countries benefited substantially from the US-China trade conflict as companies shifted their operations from China to the region to evade punitive tariffs and trade restrictions.
Thailand has intensified efforts in recent months to lure investments from global firms to boost growth. In November, the commerce minister said that Nvidia will announce investment plans in December, joining Alphabet and Microsoft in establishing AI data centers and electronics components manufacturing facilities in the country.
US companies such as Seagate Technology Holdings and Western Digital are looking to increase investments in Thailand, while Hewlett Packard Enterprise is interested in shifting some of its production to the country.
