Working Toward the Development of the Mekong Region
Thailand
March 2009
1. Politics
Japan and Thailand have a 600-year history of interaction and exchange, and have traditionally maintained a friendly relationship. Based on the close ties between the Imperial Family of Japan and the Royal Family of Thailand, in recent years the two countries have established close relationships in a broad spectrum of areas, including politics, economics, and culture.
They are also engaged in close dialogue and cooperation on various issues facing the Southeast Asian region and international society.
Since May 1998 the Politico-Military Talks between Japan and Thailand have been held once every year, and bilateral cooperation in security issues has also been strengthened. For example, in February 2003 a Japanese MSDF transport ship brought Royal Thai Army construction equipment to the Middle East to contribute to antiterrorism efforts in Afghanistan.
In 2007, Japan and Thailand celebrated the 120th anniversary of diplomatic relations, which began with the signing of the Declaration of Amity and Commerce between Japan and Siam in 1887. The 120th Anniversary of Japan-Thailand Diplomatic Relations was marked in 2007 with events held to promote exchange in a wide range of areas.
2. Economy
Beginning in the latter half of the 1980s, Japanese companies moved actively into Thailand due to the appreciation of the yen, contributing to the growth of the Thai economy. Today, 1,290 companies are registered with the Japanese Chamber of Commerce, Bangkok. Japan provided large-scale financial and personnel assistance to Thailand to deal with the currency and economic crisis that became evident in July 1997. As the Japan-Thailand Economic Partnership Agreement went into effect in November 2007, the economic relationship between the two countries is expected to grow even closer.
(1) Trade with Japan
A. Trade Volume (Trade Statistics of Japan, Ministry of Finance, billion yen)
| Year | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 |
|---|---|---|---|---|---|---|
| Exports | 1,648.5 | 1,853.7 | 2,192.2 | 2,477.6 | 2,665.1 | 3,009.3 |
| Imports | 1,314.5 | 1,375.9 | 1,525.3 | 1,962.5 | 1,962.5 | 2,153.6 |
B. Principal Products
Exports: Semiconductors and other electronic parts, iron and steel, automotive parts, motors, automobiles
Imports: Audio-visual equipment, fish and shellfish (including processed products), computers (including peripherals), semiconductors and other electronic parts, scientific and optical instruments
(2) Direct Investment from Japan (Ministry of Finance, Report on Outward Direct Investment)
127.3 billion yen (2006)
The two countries have an extremely close economic relationship. Japan is Thailand's biggest partner in terms of trade, investment, and aid volume, while Thailand is a very important production base and market for Japan in Southeast Asia. There are 1,301 member companies of the Japanese Chamber of Commerce, Bangkok, as of 2009.
3. Economic Cooperation
Japan's Assistance
(1) Yen loans: 62.442 billion yen (fiscal 2007, E/N basis)
(2） Grant aid: 179 million yen (fiscal 2007, E/N basis; Thailand graduated from general grant aid recipient status in fiscal 1993）
(3) Technical cooperation: 2.447 billion yen (fiscal 2007, E/N basis)
4. Culture
Japan and Thailand have long enjoyed vibrant cultural exchange in many areas, including mutual visits by cultural figures and young people and performances of traditional music and dance.
Throughout 2007, a wide range of events were held to commemorate the 120th anniversary of Japan-Thailand diplomatic relations.
5. Japanese Nationals in Thailand
- Number of Japanese nationals residing in Thailand: 40,198 (as of October 2007)
- Number of Japanese visitors to Thailand: Approximately 1.27 million (2007)
- Number of students at Japanese schools: 2,401 (as of April 2007)
6. Thai Nationals in Japan
41,384 (as of December 31, 2007; number of registered foreign residents)
7. Bilateral Treaties/Agreements
- Declaration of Amity and Commerce between Japan and Siam (1887)
- Agreement between Japan and Thailand for Air Services (1953)
- Cultural Agreement between Japan and Thailand (1955)
- Trade Arrangement between Japan and Thailand (1958)
- Agreement on Technical Cooperation (1981)
- Agreement on the Japan Overseas Cooperation Volunteers Dispatch (1981)
- Convention between Japan and Thailand for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on Income (1990)
- Japan-Thailand Economic Partnership Agreement (2007)
Back to Index