Govt seizes opportunity to boost confidence with top businesses

Phumtham chaired a high-level meeting at Government House with senior executives from leading global companies with substantial investments in Thailand on Wednesday. 

The event, “Prime Minister Meets Investors: Confidence in Thailand’s Future - Prime Minister’s Dialogue with Global Investors,” aimed to boost private sector confidence in Thailand’s competitive potential.

The companies, from key industries such as semiconductors, advanced electronics, printed circuit board (PCB), electric vehicles, batteries, digital technology, food, and biotechnology, have made investments worth over US$550 billion in the past two years, generating more than 53,000 jobs. 

Notable participants included global giants like Sony, Samsung, Unimicron, BYD, Hyundai, Google, TikTok, and Nestlé.

Phumtham assured the investors that Thailand is committed to fostering a supportive environment for business, focusing on strengthening the country's competitiveness. The government plans to improve regulations, enhance workforce skills, and expand clean energy initiatives. 

The country currently holds 17 trade agreements with 24 nations, with more negotiations underway, which will help provide a competitive advantage for Thai entrepreneurs in exporting to over 50 countries worldwide.

Thailand ready to foster a favourable investment climate

Phumtham emphasised that Thailand is prepared to handle global uncertainties, including the recent US tax rate reduction on Thai imports, which now stands at 19%. The government aims to align business operations with international standards while mitigating potential risks to the private sector.

He reiterated the government's unwavering commitment to enhancing the country's competitiveness to ensure sustainable business growth.

The Prime Minister also stressed the importance of developing clean energy, with initiatives such as the Utility Green Tariff (UGT1) supporting ESG (Environmental, Social, and Governance) goals. 

Over 40 companies have expressed interest in this initiative, with plans for further expansion in UGT2, which will allow clearer tracking of energy sources.

Additionally, a Direct Power Purchase Agreement (PPA) system is being developed for data centres, aiming for 2,000 megawatts in the initial phase.

If successful, it will expand to other industries. These energy mechanisms are part of the national energy development plan, which the Ministry of Energy is currently revising to increase the share of clean energy from 26% to 51% by 2037.

Collaboration with industries to develop skilled workforce

The government is also focused on skill development in alignment with industry needs.

Phumtham outlined a collaboration between the Ministry of Higher Education, Science, Research and Innovation and the Ministry of Education to address skill shortages in the semiconductor, advanced electronics, and electric vehicle sectors. 

Through initiatives like the “sandbox project,” which involves 15 universities and eight private companies, Thailand aims to produce over 80,000 skilled workers in the next five years.

Key moment to boost investor confidence in Thailand

Narit Therdsteerasukdi, Secretary-General of the Board of Investment (BOI), stated that after the success of the initial talks on the US tariff issue, the Thailand team seized the opportunity to build investor confidence. They encouraged target investors to continue their investments in Thailand. 

These companies are not only setting up manufacturing plants but are also being invited to establish research and development centres, develop human resources, and use Thailand as a regional office, he said.

Strengthening investment with MOU for 3,000 jobs

Anukool Pruksanusak, deputy government spokesperson, noted that an MOU was signed between the Office of Vocational Education Commission, BOI, and leading PCB manufacturers. 

The collaboration, worth over 51 billion baht, will create 1,880 jobs immediately and a total of 3,000 jobs within five years, alongside jointly developed educational programmes.

This cooperation not only brings large-scale investment but also enhances workforce development in Thailand, particularly for vocational students, ensuring that their skills meet the needs of global technology industries, Anukool stated.