Thailand 20241108: Indispensable, Celestial, Axiomatic
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Here is your Mekong Memo Thailand for this week.
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Headlines:
Sovereignty Message Delivered on Ko Kut Visit
Thailand to Benefit from US-China Trade War
Call for More Thai Wireless Investment
Hydropower Dams to Become Giant 'Batteries'
Move to Register Unregistered Hotels
Maris Navigating Thailand’s Global Challenges
Challenges Facing the Ruling Pheu Thai Party
Small Nuclear Reactor Plan for Low-Carbon Energy
New Facial Recognition System at Major Airports
Food Security a Top Priority for PM
Energy Security Preferred to Low Prices
UN Collaboration to Boost Road Safety
Exports Could Grow Above 2% This Year
Vendors Keen to Expand into China
International Airport Capacity to Double
Crisis Leadership Lessons in the Thai Cave Rescue
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Sovereignty Message Delivered on Ko Kut Visit
Defence Minister Phumtham Wechayachai visited Koh Kut island in Trat province to reiterate Thailand's sovereignty over the island against a backdrop of calls for the government to revoke a contentious memorandum of understanding with Cambodia, MOU44. Those calls became louder after the Pheu Thai-led coalition announced plans to go ahead with talks on jointly exploring and drilling for oil in the overlapping claims areas in the Gulf of Thailand.
Read more: The Nation Thailand
Thailand to Benefit from US-China Trade War
Thailand's economy stands to gain from any trade war between the United States and China, according to Commerce Minister Pichai Naripthaphan, who said the country has good relations with both nations and would not need to take sides in a dispute. In a trade war, US imports of Chinese goods would drop, and Thai products should replace them, meaning that Thai exports to the US will increase.
Read more: Bangkok Post
Call for More Thai Wireless Investment
The government should invest in next-generation digital infrastructure for 2.1GHz, 2.3GHz and 3.5GHz wireless services to accelerate growth in the telecom industry and the economy.
Read more: Bangkok Post
Hydropower Dams to Become Giant 'Batteries'
The Electricity Generating Authority of Thailand (Egat) plans to develop three more hydropower dams into giant 'batteries' under a 90-billion-baht investment to supply clean power to the country, easing concerns about insufficient electricity generated by solar and wind power. Egat is conducting a feasibility study at the dams, aiming to adopt a pumped storage hydropower system for hydroelectric energy storage.
Read more: Bangkok Post
Move to Register Unregistered Hotels
Thailand’s Tourism Ministry plans to legalize unregistered hotels to maintain competitiveness as the EU’s upcoming Carbon Border Adjustment Mechanism (CBAM) imposes stricter emissions regulations. The initiative is intended to integrate small operators into Thailand’s formal tourism ecosystem by 2025, promoting sustainable practices. The government is also working to bring a major tourism trade show, World Travel Market (WTM) Asia, to Thailand, to reinforce its position in global tourism. A committee will draft regulations to support these efforts, expected to be completed within a year.
Read more: Bangkok Post
Maris Navigating Thailand’s Global Challenges
Foreign Minister Maris Sangiampongsa is talking up Thailand's commitment to multilateral frameworks to strengthen its global role while maintaining neutrality. Recognizing the need for balance, especially with the U.S. and ASEAN partners, Maris outlined plans for Thailand’s potential membership in the OECD and BRICS. He said that Thailand remains dedicated to international law, the UN Charter, and sustainable foreign relations, despite pressures from escalating geopolitical tensions, including concerns over the Israel-Palestine conflict and U.S. protectionism.
Read more: Nation Thailand
Challenges Facing the Ruling Pheu Thai Party
The remains under the gun with a handful of issues unresolved, including addressing sensitive issues such as MOU44, which has stirred nationalist sentiments; a political test as the NACC investigates former PM Thaksin Shinawatra's medical records; and maintaining government stability, which currently rests on a seemingly conciliatory balance of power.
Read more: The Nation Thailand
Small Nuclear Reactor Plan for Low-Carbon Energy
The Electricity Generating Authority of Thailand (Egat) has revealed details of its plan for small modular nuclear reactors, in an effort to upgrade the country's energy base, paving the way for carbon neutrality and keeping power-generation costs low. Egat is studying over 80 types of SMRs in 18 countries, including China's Linglong One.
Read more: The Nation Thailand
New Facial Recognition System at Major Airports
The government has launched a new facial recognition technology at six major airports to “improve passenger identification efficiency and reduce wait times.” As of November 1, 2024, the system is available for domestic travelers, with international travelers having access starting December 1, 2024.
Read more: Fragomen
Food Security a Top Priority for PM
Promoting Thailand's exports and addressing food security concerns are among the major issues to be raised at two regional meetings in China, Prime Minister Paetongtarn Shinawatra said. Thailand is ready to support food security as it has technology and innovation at its disposal to help.
Read more: Bangkok Post
Energy Security Preferred to Low Prices
Thailand's energy policy must prioritize security and cleaner sources rather than focus solely on low prices to cut living and business costs, the Energy Ministry's permanent secretary said. With over half of Thailand's energy imported, the country remains reliant on external sources and vulnerable to market forces. Prasert also highlighted ongoing efforts to reduce Thailand's fossil fuel dependency and boost renewable energy sources.
Read more: The Nation Thailand
UN Collaboration to Boost Road Safety
Thailand, facing the highest road fatality rates in Southeast Asia, is strengthening its road safety framework with support from the UN. Prime Minister Paetongtarn Shinawatra met with UN envoy Jean Todt to reinforce safety protocols, emphasizing helmet use, seatbelt compliance, and curbing distractions. Bangkok is lowering speed limits and improving street lighting, while the Department of Land Transport mandates Transport Safety Managers to oversee vehicle and driver standards. These efforts are in alignment with the UN’s Global Campaign for Road Safety to reduce accidents through improved public and private sector collaboration.
Read more: Khaosod English (Fatalities Overview), The Phuket News (Collaborative Measures)
Exports Could Grow Above 2% This Year
Thailand's exports could grow more than 2% this year and beat a previous forecast, according to the Thai National Shippers' Council. Exports rose 1.1% in September from a year earlier, and the government is targeting export growth of 2% this year, with the value of shipments expected to reach a record high of $290 billion.
Read more: Bangkok Post
Vendors Keen to Expand into China
Creating a corporate identity, testing products among Chinese consumers and utilizing online marketing channels on e-marketplaces are among the crucial factors for expanding Thai products into the Chinese market, according to the Thai E-Commerce Association. Thai exporters should also capitalize on live commerce and establish a cross-border e-commerce channel with China fulfillment centers.
Read more: Bangkok Post
International Airport Capacity to Doubled
Thailand plans to double passenger capacity across six major airports by 2032, with an investment of at least THB97 billion ($2.86 billion) to support anticipated tourism growth. The combined annual passenger capacity of Bangkok's two main airports, along with airports in Phuket, Hat Yai, Chiang Mai, and Chiang Rai, is expected to reach at least 246.5 million by 2032, up from 116 million as of July.
Read more: Ag Brief
And now for something completely different.
While the focus of The Memo is on news for business, we often wrap up with a less business-focused article. This week a monk was “invited to leave” his temple after blessing figurines of ‘Moo Deng’ in a wealth-beckoning pose, and twin elephants were united in a Thai wedding ceremony (you’ll have to read the article to discover why they decided to perform a wedding for siblings). We finish with this analysis of leadership from the 2018 rescue of a group of young soccer players and their coach who were trapped in a cave in northern Thailand after heavy rains hampered their escape:
Crisis Leadership Lessons in the Thai Cave Rescue
The 2018 Thai cave rescue showed the power of unconventional leadership, as specialized cave divers took charge of the operation when traditional methods faltered. These divers, initially brought in as advisers, eventually led the mission, leveraging skills that conventional leaders lacked. Researchers coined the "Rudolph Effect" to describe how outsiders can emerge as leaders in critical moments. The story reinforces the importance of embracing diverse skill sets in teams, allowing unconventional thinkers to lead when their expertise is most needed.
Read more: Phys.org
That’s it for this week, thanks for reading!
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