In Focus‘Poster child’: why more Chinese firms have Thailand in their expansion plans
The Land of Smiles has become a prime location for Chinese businesses diversifying operations offshore, as Vietnam reaches saturation point
With domestic profits narrowing and production capacity expanding, China’s firms are continuing to widen their overseas footprints in search of new, more lucrative markets. In this series, we examine China Inc.’s next phase of “going global” and the complex, challenging international environment its companies have chosen to enter.
Vietnam, popular for much of this period, is beginning to lose some favour as firms look to Thailand as another alternative destination. The latter country has gained the edge on its competitor in the post-trade war 2.0 era, attracting billions of US dollars in outlays last year.
But the influx has also made Bangkok more mindful of risks, particularly those related to US measures intended to limit Chinese transshipment.
