Thailand improves relations with China as it seeks to overturn slow growth in Southeast Asia’s second largest economy. Since the military seized power Thailand greets Chinese Premier Li Keqiang, the famous foreign leader to trip the country on May 22. Li was to go to a two-day regional meeting on the Mekong River being held in Bangkok.
Li’s visit and meeting would be an excellent prospect for Thailand to explain that our political troubles are not a barrier to trade, stressing that the condition here is regularize now and we are operational en route for a new Thai social equality.
Though the military has become successful in making Thailand’s economy steady to some extent as approaching to power and these woes could increase in 2015 if upsetting trend similar to anemic domestic consumption and private investment persist. U.S cutting of military aid to Thailand and Europe postpone trade discussions; the government has made intensified ties with China.
Yongyuth said “The railways are a very important issue…This is fundamental and will reinforce our cooperation with China.”
The emphasis of Li’s visit was on two memorandums of understanding, developing a key rail project and the purchase of agricultural products.
Thailand’s first standard-gauge railway with two lines and fits into a Chinese plan to link its southwestern city of Kunming to neighboring Southeast Asian countries. The project is a key part of a motivated $75 billion dollar master plan to improve the country’s transportation which it announced earlier this year. This project costs around $12 billion, would be For Thailand’s ruling military.
Even though the accurate quantity has supposedly not been resolute, the conformity would give the Thai government position to relieve of the country’s rubber and rice stockpiles. Only China has such a big marketplace and a vast purchasing power which could consume the big agricultural production of rice, rubber and others of Thailand
China crumb a related set sophisticated contract to buy 1.2 million tons of Thai rice when a fraud examination begin into the Yingluck government’s agricultural subsidies scheme, which was advanced as a major reason for her subsequent ouster.
Two MoUs may also be follow by other improve to Sino-Thai relations which might drop in 2015. Thai prime minister Prayuth Chan-o-cha is likely visit Beijing at the request of his Chinese counterpart Li. Both sides have by now plan to strengthen ties in 2015.