Resuming discussions for an ambitious, contemporary, and fair free trade agreement (FTA) with sustainability at its core was announced today by the EU and Thailand.
This declaration reaffirms the crucial role that the Indo-Pacific area plays in the EU’s trade agenda. However, opening the door to closer economic connections with South-East Asia’s second-largest economy.
And enhancing the EU’s strategic involvement with this developing region.
The FTA will address a wide range of issues, including market access for goods, services, investments, and government procurement.
Quick and efficient sanitary and phytosanitary procedures; protection of intellectual property rights, including Geographical Indications. The removal of barriers to digital trade and trade in energy and other commodities.
Together with sustainability, this agreement will place strong and enforceable disciplines on trade and sustainable development (TSD).
They will be in accordance with the Commission’s TSD review Communication from June 2022, which supports high standards of worker rights protection. Environmental protection, and the accomplishment of ambitious climate targets.
The nation receives almost 14% of all Thai FDI, making it the second-largest FDI destination behind Thailand.
The EU is underrepresented among major investors in innovative industries, such as clean and renewable energies. Electric vehicles, and essential items like microchips, despite having a high ranking in Thailand’s overall trade and FDI.
Thailand’s economic development strategy places a high priority on infrastructure and the transition to a technology- and innovation-driven economy. Which offers further opportunity for EU enterprises and investors.
The EU and Thailand are committed to moving the FTA negotiations along quickly and hope to hold their first substantive round of talks in the near future.
Following the first round of negotiations, the EU text proposals will be made public in accordance with our model transparency policy.
In order to support the negotiations, the EU will also commission a Sustainability Impact Assessment. This report will analyse potential impacts of the agreement on the economy, environment, human rights, and society.
This offer suggestions on how to maximise anticipated positive effects while minimising potential negative ones.
