Dear Members of the American Chamber of Commerce,
Distinguished Guests,
Ladies and Gentlemen,
I am pleased and honoured to be here tonight. It is a pleasure to be among our friends. Thai – U.S. relations have been long lasting, proven by the fact that we will be celebrating our 180th anniversary next year. You all here have contributed greatly to the advancement of that friendship, of which I would like to express my sincere appreciation. Thank you AMCHAM for inviting me to be here this evening to meet friends.
The large number of U.S. companies here in Thailand reflects the continuity of growing strength in our partnership. The U.S. is Thailand’s third largest trading partner with 35 billion dollars of trade, an increase of 13 percent since last year. You are also our third largest foreign investor with investment reaching 12.7 billion dollars.
Of course, being educated in the U.S., I know Americans do not like being third, so let’s work together to make our trade and investment relations to be number one! Thank you. I hope that this figure will be reached soon.
Ladies and Gentlemen,
With the world changing quickly and the current global economic uncertainties, the Government’s main challenge is to maintain Thailand’s economic growth and stability. Our economic fundamentals and fiscal position are strong. This was the reason why growth rebounded very quickly from the floods last year. However, we must further build on this by concentrating more on the domestic economy to support Thailand’s competitiveness as well as further enhancing regional linkages.
We have one of the largest investment plans in the region. This includes major infrastructure development, from flood prevention projects to high speed trains, totaling up to 100 billion US dollars.
Let me start with the flood, which is an issue that you may all still be worried about.
Now we are working hard to ensure that your investments are best protected from natural disasters. For the short term, the Government has set up a single command system on flood prevention and has built projects, from dykes, dams and reservoirs along the major waterways. For the long term, we are in the process of considering water management projects through international bidding. I do hope American companies will participate in helping us deal with the flood threat more effectively.
I would like to invite all of you to see the exhibition on water management organized by the Government which is on-going at the Central Plaza Convention Center this weekend. It will give you a better understanding of what we are trying to achieve.
Let me now turn to the issue of regional connectivity. This is a very important issue for us as Thailand’s competitiveness is closely linked to our integration with the region and the ASEAN Economic Community or AEC.
As you may all know, the AEC is an attractive single market and production base due to a population of over 600 million and a total GDP of almost 2 trillion US dollars. With upcoming plans to liberalize the remaining sectors on trade in services and achieve ASEAN Single Window, AEC will be an even more attractive destination for your investments.
Our strategic location at the heart of Southeast Asia makes Thailand your natural gateway to this market.
The Government has also taken this opportunity to plan our investments in major infrastructure. Some of the key projects from the 74 billion investment plan will include the mass transit system in Bangkok, high speed rail system to other major cities and neighboring countries and the expansion of the Suvarnabhumi airport. This should be good news to the question posed by the AMCHAM President.
The high speed trains will connect Thailand with Laos, Myanmar and China in the North and Northeast, and with Malaysia and Singapore down South. It will be cargo-based trains to facilitate rapid and effective logistics in the movement of goods and products.
At the same time, Myanmar’s Dawei deep seaport will create linkage from Chennai to Laem Chabang through a land bridge. The new economic corridor will link the Andaman Sea and Indian Ocean to the Gulf of Thailand and the Pacific Ocean. This will create growth opportunities for the region as a whole.
I am working closely with government agencies and the Thai private sector to prepare ourselves for AEC in the year 2015. We are targeting industries and economic sectors which Thailand has competitive advantage. Our strength in the automotive and electronics industries will be reinforced. Agro-industries developed upon our rich and strong agriculture base will be enhanced. Other business sectors including health and wellness, tourism, together with education services will be supported.
Investments in new innovative technologies through strong R&D programmes are required to build an economy based on high value-added products and services. The Thai economy of the future will depend more on knowledge-based, low-carbon, and eco-friendly creative industries. My Government will also embark on programmes to develop alternative energy sources to ensure energy security.
Ladies and Gentlemen,
Finally, I would like to stress that my Government is committed to ensure political stability by strengthening democracy, rule of law and principles of good governance. In addition, I am determined to stop corruption, cutting red tape, reform the legal process and reduce administrative inefficiencies. Transparency and a level playing field for businesses are key to economic success. I am willing to work with the private sector in building a society of good governance and social responsibility.
I believe that Thai-U.S. relations have a bright future. I do hope that you will work with me to achieve our goals. Your partnership is highly valued.
Thank you.