Bangkok: "Boss Boonsit" emphasizes the necessity for the economy of 3-wheeled engines to adapt for survival, alongside reducing involvement in the clothing business and pursuing joint ventures with partners.
According to Thai News Agency, Mr. Boonsithi Chokwatana, Chairman of Sahapat Group, has highlighted the impact of President Trump's retaliatory tariff measures on the global economy, leading to a slowdown that resembles the three-wheeled engine economy. This effect is apparent even in rapidly expanding Asian economies such as Vietnam and Indonesia, which benefit from growth off a low base.
In contrast, Thailand, once enjoying high economic growth, is experiencing slower yet acceptable growth levels, aided by its neutrality. Mr. Bunyasit critiqued the government's delayed monetary handouts, which he views as election-centered rather than economic stimulants. He advocates for investment in infrastructure development, citing pending projects like the land bridge project and the Kra Isthmus digging that could bolster Thailand's economy long-term, particularly amid China's significant shipping expansion. Despite previous hesitations due to international objections, he urges government courage, suggesting expansion into the Southern Economic Corridor (SEC) akin to the Eastern Economic Corridor (EEC).
Mr. Bunyasit also acknowledged that the current economic climate is more challenging than during COVID-19. However, adaptability remains key to survival. Sahapat Group is responding by prioritizing joint ventures with partners. The Thai textile industry faces stiff foreign competition, prompting Sahapat Group to scale back clothing investments and diversify into sectors like food and beverages and real estate.
In a recent strategic move, Sahapat Group is set to sign a business cooperation agreement to form Ratchadamri Hospitality Management Co., Ltd., in collaboration with Nantawan Co., Ltd. (Thai Obayashi). This venture aims to develop a 5-star hotel on Ratchadamri Road, managed by Seibu Prince Hotel, a renowned Japanese hotel chain within the Seibu Railway Group.