“If that happens, the demand for people to go to China and seek business opportunities will really increase,” said Kraisin Vongsraklai, secretary general of the Thailand-China Business Council.
There was a time when Thai businessmen wanted to go to exhibitions and trade fairs. [in China]they had to plan ahead
Businessmen are “very excited” about the deal, he added, adding that China intends to provide “some kind of happiness” to Thai travelers by offering a reciprocal arrangement.
Chinese Foreign Ministry spokesperson Wang Wenbin said on January 2 that the implementation of the mutual visa exemption policy would “consistent with the fundamental interests” of both sides and further strengthen people-to-people exchanges.
“Once, when a Thai businessman wanted to go to an exhibition or trade fair, [in China]they had to plan ahead,” Vongscry added.
Game changer or white elephant?China pays attention to ASEAN cooperation with Sea Canal
Game changer or white elephant?China pays attention to ASEAN cooperation with Sea Canal
Ibrahim Safian, program director of the Merdeka Center Voting Group in Kuala Lumpur, said more than half of Malaysia’s Chinese nationals had visited China in the past five years, and removing visa rules would only accelerate travel. added.
“The cultural affinity is very strong, and the business and investment ties are very strong and deep,” Safian said. “But applying for a visa is a bit troublesome.”
He added that many Malaysians are looking forward to the arrival of more Chinese tourists, merchants and property buyers.
Singapore and China also confirmed in December that they would sign a mutual visa waiver agreement in early 2024.
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China expands visa-free travel to six new countries
China expands visa-free travel to six new countries
Michael Montesano, senior senior fellow at Singapore’s ISEAS Yusof Ishak Institute’s Thailand Research Program, said the Thai government was “looking at all avenues” for possibilities to stimulate economic activity.
Thai authorities expect to welcome 3.5 million Chinese immigrants in 2023, but this will fall short of the target of 5 million.
Previously, Chinese tourists accounted for a quarter of all Thai tourists, but that number is expected to fall to 12-13% last year.
Christopher Paldan, regional director of Thai recruitment agency Michael Page, said the visa program would be one of many measures that could help boost Thailand’s local economy and international trade.
He added that it could create new investment opportunities related to value-added manufacturing, electric vehicles, smart agriculture and precision agriculture.
Chinese automakers such as BYD, Great Wall Motor and MG Motor have already invested in Thailand by purchasing land and building factories.
“For decades already, the Japanese have enjoyed Thailand’s automotive sector and this market,” Paludan added.
“However, we have seen very positive aspects in the production of electric vehicles in China, welcoming Chinese car companies.”
72 hours to 30 days: 5 ways to visit China visa-free by land, sea and air
72 hours to 30 days: 5 ways to visit China visa-free by land, sea and air
Thailand has a population of 71 million people and is the second largest economy in ASEAN after Indonesia.
In the first 11 months of last year, trade with China fell 5.7% year-on-year to $115 billion, according to Chinese customs statistics.
China is the largest investor in Thailand, accounting for 24% of foreign direct investment in the first nine months of 2023, according to the Thailand Investment Board.
Yawee Butkrawi, program coordinator at Asia Center Research Institute in Thailand, said the main investment areas for small and medium-sized enterprises from China are food and retail.
In addition to expanding the scope for people to travel and interact, implementation of the China-ASEAN Free Trade Agreement could be accelerated.
Thai real estate has also traditionally been a preferred investment destination for Chinese investors.
Wang Qing, a professor at the Center for Southeast Asian Studies at Xiamen University, expects further easing within the ASEAN region.
“In addition to expanding the scope for people to travel and interact, it could also accelerate the implementation of the China-ASEAN Free Trade Agreement,” he said.
China is negotiating the renewal of free trade agreements with ASEAN countries, with the aim of bringing the two countries closer together economically.