It seems the global crisis has not impacted China as greatly as other areas. Despite the reduced inflow of investment from Western countries, China’s economy is projected to grow 7.2 percent this year, according to the World Bank.
The government has taken measures to stimulate the economy, cutting export taxes, lowering production costs and improving efficiency. Also, it has made efforts to bridge the gap between its impoverished western areas and the developed east, allocating funds from its stimulus package for infrastructure projects in the west, and attempting to stimulate consumption in those areas.
Abhisit will visit the port city of Tianjin, which has enjoyed favorable government policies for trade and development. He will also visit southern China’s Guangdong province, where much of China’s business and industry is located and which has had special connections to Thailand since 1979, when China initiated its open door policy.
The Thai prime minister has three main items on his agenda: Thai fruit exports to the Chinese market; investment in infrastructure projects, in which China has both the capital and expertise, including rail transport; and tourism, as Chinese tourists are quite important to the Thai economy.
Abhisit will meet with representatives of China’s state railway enterprise to enlist its help in improving Thailand’s railways. He is also interested in linking up with China’s rail network, which is already connecting to Vietnam and plans to expand to Cambodia.
To make sure all these bases are covered, Abhisit brought a 100-strong delegation to China, including business executives to hammer out investment and business deals with their Chinese counterparts.
However, strengthening economic ties is not the only purpose of Abhisit’s visit. Before departing for Beijing Tuesday morning, he said his trip was very important as China was a pivotal strategic partner and played a crucial role in the region and the world in terms of both economy and security.
Abhisit is eager to restore his nation’s image, which was damaged as a result of the protests that caused the cancellation of the Association of Southeast Asian Nations summit in April, after many heads of state had already arrived in Thailand. The meeting has been rescheduled for October.
The success of the upcoming ASEAN summit will be a test not only of Thailand’s stability and governance, but is also important to Abhisit in restoring his personnel credibility. The failed April summit meeting and the series of protests that have plagued his country have not shown him in a good light. If Abhisit can initiate a few successful projects with China it will definitely help his political career.
Thailand’s ambition of having a bigger voice in ASEAN is also apparent. China will obviously be a key player in fostering an Asian market, as the regional body aspires to do, so cooperating with China will certainly enhance Thailand’s role in this sphere.
Abhisit will also raise the matter of pandas with Chinese leaders. Thailand received a pair of pandas from China in 2003, on loan for 10 years. The panda pair, Lin Hui and Chuang Chuang, unexpectedly produced a baby last month in the Chiang Mai zoo that is their temporary home. The success has led Thailand to propose setting up a permanent panda research center in hopes of producing more panda babies. This project would obviously require assistance and cooperation from China.
As for China, further engagement with Thailand will set an example of cooperation for other ASEAN countries. Despite ideological and social differences between the two countries, Sino-Thai relations have gone particularly well. Unlike other Asian countries, including the Philippines, Indonesia and Vietnam, Thailand has had no real squabbles with China.
China has a strong ambition to develop a bigger market for its exports in the ASEAN countries, and to help create an integrated Asian market comparable to the European Union. This arrangement would provide a forum for dealing with international and regional relations, territorial issues, sea disputes, military dilemmas, economic problems, environmental worries and even cultural differences. It would therefore be conducive not only to regional cooperation but also to global peaceful development.
Most ASEAN countries are China’s neighbors, connected by land, sea and rivers to China. These unique advantages, coupled with its strong economy, will automatically give China a strong role in a future Asian common market.
Of course, it will not rely on China alone. The engagement of Japan, Korea, India and Australia with ASEAN will be crucial in building a healthy and prosperous Asian market.
As such, Abhisit’s visit to China is important and necessary for both Thailand and China.
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(Dr. Zhang Quanyi is associate professor at Zhejiang Wanli University in Ningbo, China, and a guest researcher at the Center for the Study of Non-traditional Security and Peaceful Development at Zhejiang University in Hangzhou. His research interest revolves around the creation of a world state. He can be contacted at qyzhangupi@gmail.com. ©Copyright Zhang Quanyi.)






