500 Chinese Companies Eyeing Thailand to Skirt Ongoing Trade War with US

by admin on August 27, 2018

Seagate_Wuxi_China_Factory_Tour

Over 500 Chinese companies made their way to Thailand last weekend in order to forge bilateral contracts that would pave the way for new Chinese manufacturing sites in the Southeast Asian country.

The move comes as a mutually beneficial economic deal for both countries.

On the one hand, Thailand will be able to link its Eastern Economic Corridor, which has prime port access to the rest of the world’s trade, with China’s insanely ambitious Belt and Road Initiative that seeks to create a trade infrastructure of roads, bridges, and other pathways from mainland China all the way to Europe.

Also, the economic symbiosis between the two countries will give Chinese manufacturing sites a crucial loophole to avoid US tariffs that have become the norm as Donald Trump’s trade war against the East Asian nation intensifies.

“It is the [opportunity] Chinese investors are seeking: a place outside China to produce with higher competitiveness to counter the effects of the trade war and also to become more competitive in global markets,” said Stanley Kim, the chairman of the Joint Foreign Chambers of Commerce who organized the event.

Read the full story here.

For a qualified Thailand business attorney, contact the expert lawyers at Chaninat & Leeds.

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