Analysis of Outcomes and Strategic Cooperation in 2025
- July 15, 2025
- 5:38 pm
Pillar 1: Deeper Trade Integration and Market Access
Recent collaborations have accelerated the access of unique Thai agricultural products, especially durian and jasmine rice, into the Chinese market. This is driven by innovative logistics and a hybrid online-offline retail approach to effectively penetrate China’s vast consumer base.
Thai Fresh Durian Market Share in China
China is by far Thailand’s largest fresh durian export market, indicating a significant single-market reliance.
Thai Jasmine Rice Market Share in China
Despite a significant export growth of +42% (YoY) for jasmine rice, there’s still considerable room to expand market share in China.
Pillar 2: Strategic Investments in Future-Oriented Industries
China has made substantial investments in Thailand’s target industries, particularly Electric Vehicles (EVs) and the digital economy. This aligns with Thailand’s national strategy to become a regional hub and enhance its competitiveness.
EV Supply Chain Investments
Major Chinese EV and battery manufacturers like BYD, MG, Great Wall Motor, CATL, and SVOLT have invested over $1.4 billion to establish production bases in Thailand.
These investments not only involve vehicle assembly plants but also battery production, which is crucial for the EV supply chain, helping Thailand achieve its 30@30 target to become a regional EV hub.
Chinese Investment in EEC (2018-Q1 2023)
Chinese investment accounts for over 10% of total FDI in Thailand’s Eastern Economic Corridor (EEC), a key industrial zone.
Key Challenge: Thailand's Trade Deficit with China
Despite deepening cooperation, Thailand continues to face a growing trade deficit with China. This imbalance represents a structural vulnerability that needs to be addressed, with the deficit primarily driven by imports of capital goods and industrial products essential for national development.
Thailand-China Trade Balance (Jan-Apr 2025)
ไทยขาดดุลการค้ากับจีนถึง $19.23 พันล้าน ในช่วง 4 เดือนแรกของปี 2568
Composition of Key Imports from China (Apr 2025)
Imports are primarily machinery and electronics, crucial for upgrading Thai industries.
Future Direction: CAFTA 3.0 Framework
The upcoming ASEAN-China Free Trade Agreement (CAFTA) Version 3.0 will be a crucial framework for expanding cooperation into new dimensions beyond traditional goods trade, fostering sustainable and inclusive growth.
Prepared by an Expert in Thailand-China Business Analysis | Data as of July 2025
This infographic is for analysis and data presentation purposes only.