Tech Giants Penetrating The Kingdom Of Thailand

One of the major industrial hubs in the Southeast Asia region is Thailand. It will undergo a modern overhaul as tech giants known internationally are planning to penetrate its market. The eastern part of Thailand is already preparing for the coming of big tech companies such as Airbus and Alibaba Group Holding. This is expected to benefit the economy of provinces in the east such as Rayong. Businesses such as Rayong city hotel will appreciate the presence of these tech giants as they introduce innovation in the area.

The coming of the tech companies is mainly because of the increase in the costs of economic development therefore they have to use modern alternative for their operations that require higher labor. The leading company in e-commerce in China is Alibaba and they decided to create a partnership with the Thai government in order to add more to its products including locally produced farm products. The company is also attempting to strengthen the cross-border relationship in terms of e-commerce between countries such as China and Thailand.

According to Jack Ma, the chairman of Alibaba, they are targeting Thai products in high demand with Chinese consumers such as tropical fruits, fragrant rice and durian. The company is allotting around 11 billion baht in order to create what they refer to as the smart digital hub in the region. It will have a warehouse that is fully automated and will be constructed in the Chachoengsao Province which is two hours from the city of Bangkok.

The location is a good choice as they target to ship items within one day. This will also make it possible for Thais to have more access when it comes to Chinese products. Construction is expected to start within 2018 as they target to complete it by 2019 to be operational as soon as possible.

The Eastern Economic Corridor of Thailand is composed of Chachoengsao, Chonburi and Rayong provinces. The zone was specially created for industrial purposes back in the middle of 2016. This is to help industrial project have their own allotted space and not fight with commercial ones such as Rayong city hotel which is in need by the province to accommodate the number of tourists coming to see the eastern part of Thailand.