Australia is aiming at strengthening collaboration with Thailand through four key strategies, regardless of changes in the Thai government. Bilateral trade provides opportunities to elevate expertise in various sectors.
While the leadership in government has changed since the general election last year, Australia’s Special Envoy for Southeast Asia, Nicholas Moore, said that the focus on long-term cooperation between two countries is more significant, despite short-term political instability.
“The strategy that the Prime Minister of Australia, Anthony Albanese, emphasises is a long-term plan towards 2040. Although there are always short-term hiccups, it’ll be a rosy picture in terms of how Thailand and the region grow and develop through cooperation with Australia,” the Special Envoy claimed.
Amid complex political and economic circumstances in each Southeast Asian country, Australia has put strategic efforts into increasing its influence, capturing business opportunities with an emphasis on trade and investment.
In addition to regional initiatives, the Ambassador of Australia to Thailand, Angela Macdonald, stressed that Australian businesses have discovered an abundance of opportunities since her appointment.
The Ambassador noted that Thailand’s Board of Investment and the Eastern Economic Corridor office resolved issues raised by Australian businesses proactively, with a can-do attitude, since trade policy has not altered since former Prime Minister Srettha Thavisin put effort into attracting foreign direct investment to Thailand.
Left to right: the Ambassador of Australia to Thailand, Angela Macdonald, and the Special Envoy for Southeast Asia, Nicholas Moore
Substantial trading partner, despite nearby powerful economies
While China has implemented its Belt and Road Initiative, to extend its influence across this region, the Special Envoy stated that Southeast Asian countries have been long-term partners with Australia, with substantial trade volumes, despite China being the top trading partner.
To further consolidate collaboration with the growing market, the Special Envoy emphasised that raising mutual understand of business opportunities is crucial, as the amount of trade has been significant.
With plentiful experience in investment, Moore highlighted that what Australian businesses can offer to individual markets in Southeast Asia is the key to success, since the complexities of diverse cultures and regulations require solutions tailored for each economy.
Citing his report on Australia’s Southeast Asia economic strategy to 2040, the Special Envoy said that bringing Australian business leaders to the region regularly and relying on an Australian expert in a country can greatly improve the understanding of opportunities in different markets.
With goods worth US$20 billion exported from Thailand to Australia annually, Moore said that another key step is to remove obstacles, adding that all tariffs between both countries will be lifted in 2025, while the Australia-Thailand Free Trade Agreement has already cleared some impediments over the past almost 20 years.
The Special Envoy met Australian and Thai business leaders to strengthen cooperation in Thailand last week. Photo credit: The Embassy of Australia in Thailand
As countries are accelerating their transitions to net-zero goals and digital economies, Thailand and Australia can cooperate to build skills for its workforce. “20 tech companies came to Thailand to seek collaboration in transferring and absorbing new skills in digital economy, agriculture and infrastructure. What they can provide will generate mutual benefits for both countries,” Moore said.
Through the initiative for bilateral trade, the Special Envoy aims at increasing Thai exports to Australia to US$30 billion in the future.
People-to-people connections and education help to augment the awareness of opportunities, since Moore noted that roughly 80,000 Thais are residing in his country permanently, with more than 40,000 Thai students studying in the Australian education system, adding that Thai business groups are also well-established in the country.
Australia willing to help mitigate climate issues
Suffering flooding due to climate change, Thailand’s northern provinces, such as Chiang Mai and Chiang Rai, remain inundated. The Ambassador said that Australia is ready to collaborate with Thailand on developing climate resilience, particularly in water management and other natural solutions.
“Both countries are working, with the Bangkok Metropolitan Administration, on a project under the Mekong-Australia Partnership, transforming the waste management facility at On-nut into an urban parkland area. Australian exerts from Monash University are involved in this project, applying flood mitigation measures,” the Ambassador said.
Left to right: Franc Han Shih, Ambassador Angela Macdonald, and Special Envoy Nicholas Moore
Myanmar excluded from Australia’s initiative
Despite the business potential in Myanmar, Ambassador Macdonald stressed that the violence and ongoing conflicts in the country, perpetrated by the regime, have extinguished hope for the people and the economy.
While the current situation in the country has closed opportunities, the Ambassador said that Australia is keen to support ASEAN in its leadership role and to work with Thailand on long-term solutions, to reduce violence and bring about change in the country.
Moore led a business delegation from Australia to Thailand and Laos, where they visited Thai and Laotian businesses and attended 2024 ASEAN Summit last week.
By Franc Han Shih, Thai PBS World
Full interview:
