e-UPDATE, 26 October 2016

GTCC e-UPDATE: 26 October 2016

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Upcoming GTCC Events Register now for our upcoming events: 11.11.2016

GTCC HR Seminar II: Future-Fit Performance Management System with APM

15.11.2016

GTCC Breakfast Talk: ASEAN Headquarters in Thailand - Ways to Save Personal and Corporate Income Tax

16-18.11.2016 GTCC Business Delegation Trip to Myanmar 14.12.2016

GTCC Young Professionals Network Evening x HotelQuickly

Thailand Economic Factsheet

Economy Economic activities under watch The Bangk of Thailand will closely monitor economic activities including currency exchange, the financial market and the capital market during the mourning period to help stabilise the market.Both local and foreign investors are confident in Thai economy, as reflected in the Stock Exchange of Thailand, which has been able to rebound quickly. (The Nation, 22/10/2016) More

Update Magazine

Jack Ma's suggestions for Thailand’s digital economy Jack Ma, the founder of Alibaba and China’s richest businessman, imparted valuable lessons to Thai policymakers and entrepreneurs on how to develop the digital economy during his visit to Bangkok to attend Monday’s Asia Cooperation Dialogue (ACD) conference.Ma says small and medium-sized enterprises have the potential to dominate the global economy in the 21st century. Over the past decades, globalisation and new technology have mainly benefited big companies. (The Nation, 12/10/2016) More All satellite assets to move to infra fund The new Ministry of the Digital Economy for Society plans to move all satellite assets after their concessions expire to the planned telecom infrastructure fund.The two latest satellites, which operate under the National Broadcasting and Telecommunications Commission's licensing regime, should come under its concession regime, since the concession system is still in force. Cabinet recently allowed it to start negotiating with the company to move Thaicom 7 and 8 back to the concession regime.Thaicom 7 and 8 pay 5.25 per cent of their revenue as the annual licence fee, while the concession fee costs Thaicom 4, 5 and 6 annually 20.5 per cent of their revenue.Thaicom 4, 5 and 6 operate under the ministry's concession, which terminates in 2021.(The Nation, 12/10/2016) More SRT opens bid for Bang Sue The State of Railway of Thailand plans to open bids for the commercial development of land plots at Bang Sue Grand Station worth about 9 billion baht early next year. (Bangkok Post, 09/10/2016) More

Q3/2016: Bangkok Megacity Feature: Bangkok becoming a megacity as BTS Skytrain expands to urban satellite areas; Bangkok facing major challenges as a megacity; Huge potential of construction and infrastructure sectors for Thailand’s AEC hub role // Business Brief // Chamber Activities // GTDEE Insights // GTCC Gala Night 2016 // Trade Fairs // Members' Corner

Preferred Benefits

GTAI News Kreditvergabe und Zahlungsmoral - Thailand Dem breit strukturierten Bankensektor wird dank guter Entwicklung und hoher Rücklagen auch in Zeiten schwächeren Wachstums eine hohe Solidität bescheinigt. Die häufigste Zahlungsform ist Vorkasse, Rabatte variieren nach Branche und Geschäftswert. Eine gute Zahlungsmoral verbürgen multinationale und staatliche Großunternehmen. Ausfälle treten häufiger bei klein- und mittelständischen Firmen oder im Einzelhandel auf.

(Kontaktanschriften)(26/10/2016) More Kaufkraft und Konsumverhalten - Thailand Thailand gilt als ein gehobenes Schwellenland, dessen Entwicklung zunehmend von der regionalen Integration geprägt wird. Neben einer breiten traditionellen Gesellschaft sorgt eine kaufkräftige Mittelschicht für eine Hebung des Konsumstandards zu einem modernen westlichen Kaufverhalten. Bangkok profiliert sich zunehmend als attraktive Einkaufsmetropole für die Asien-PazifikRegion mit zunehmender Präsenz internationaler Marken in luxuriösen Shopping Malls. (Internetadressen)(18/10/2016) More

TP Technical Panels is offering GTCC members 50% Discount on GPS Tracking Service plus complimentary consultation of fraud of fuel from company vehicles.

Glossary ACD

Asia Cooperation Dialogue

ACMECS

AyeyawadyChao PhrayaMekong Economic Cooperation Strategy

AEC

Asean Economic Community

AIS

Advanced Info Service

BBL

Bangkok Bank

BCP

Bangchak Petroleum Plc

BOI

Board of Investment

BOT

Bank of Thailand

CLMV

Cambodia, Laos, Myanmar, Vietnam

CP

Charoen Pokphand

CSR

Corporate Social

Companies & Industrial Sectors TCMC buys 75% stake in UK furniture maker SET-listed Thailand Carpet Manufacturing Plc (TCMC), a leading carpet manufacturer under the Tai Ping and Royal Thai brands, has clinched a deal to acquire a 75% stake in DM Midlands, a furniture group in Britain, for 1.6 billion baht. (Bangkok Post, 26/10/2016) More China's Foton to make trucks in Thailand China's car and truck maker Beiqi Foton Motor has made a foray into the Thai automotive market by setting up a wholly-owned subsidiary to handle sales and production of Foton's pickup trucks, passenger pickup vehicles (PPVs) and passenger cars in Thailand. (Bangkok Post, 25/10/2016) More Microsoft backs Thai businesses’ transformation Microsoft has joined its business partners to set up Microsoft Experience Zones

for customers and it will also set up an Internet of Things (IoT) Centre of Excellence by the end of this year.The firm would drive the business towards digital transformation to improve productivity, identify customers, improve operation process management, and improve services.(The Nation, 12/10/2016) more CPMG adds partner for Pattaya plan Charoen Pokphand (CP) Group and its property arm Magnolia Quality Development Corporation (MQDC) will revise a property development plan in Pattaya worth more than 30 billion baht after buying back all the shares from Chinese developer Greenland Holding Group, the project's former co-investor.

(Bangkok Post, 12/10/2016) More Thai Union buys into Red Lobster Thai Union Group Plc, a SET-listed seafood supplier, has acquired a minority stake of the US-based Red Lobster restaurant operator for $575 million (20.24 billion baht).The Thai seafood supplier paid $230 million for 25% of Red Lobster Master Holdings, a Delaware limited partnership. The Thai seafood supplier paid $230 million for 25% of Red Lobster Master Holdings, a Delaware limited partnership.(Bangkok Post, 11/10/2016) More

Responsibility FTI

Federation of Thai Industries

GDP

Gross domestic product

IoT

Internet of Things

IPO

Initial public offering

MoU

Memorandum of Understanding

NPL

Non-performing loan

PPV

Passenger pickup vehicles

R&D

Research and Development

SRT

State of Railway of Thailand

TCMC

Thailand Carpet Manufacturing Plc

TOT

Telephone Organization of Thailand

WTTC

World Travel and Tourism Council

Thailand and ASEAN CLMV leaders push border trade in local currencies Business leaders in Thailand and the CLMV countries are urging their governments to use local currencies for trading along borders instead of the US dollar to facilitate business and cut costs. (Bangkok Post, 26/10/2016) More BBL eyes 15% loan growth in Vietnam Vietnamese branches of Bangkok Bank (BBL) are maintaining their aggressive loan growth target of 15% this year in the face of intense competition. The bank's Hanoi branch has already achieved its full-yearloan growth target but the Ho Chi Minh City branch is still behind. (Bangkok Post, 25/10/2016) More Similar hurdles face women’s start-ups in ASEAN Female entrepreneurs in region need more cooperation among ASEAN communities to help boost their initiatives. They urge for support from their governments and for more cooperation among ASEAN communities to help boost their initiatives.(The Nation, 25/10/2016) More ASEAN to gobble up 10% of globe’s tourism investment dollars One in 10 of all tourism investment dollars is forecast to go into ASEAN countries over the next decade, according to new research by the World Travel and Tourism Council (WTTC). The council said investment spending would be dominated (95 per cent) by five major destinations – Thailand, Singapore, Vietnam, Indonesia, and Malaysia – which together accounted for over 80 per cent of ASEAN’s international arrivals and tourism contribution to gross

The presentations for Spielwarenmesse 2017

Date: Tuesday, 8 November 2016 Time: 10.00 – 12.00 hrs.

Venue: The Peninsula Hotel Bangkok, Butsaba room

domestic product. (The Nation, 24/10/2016) More Bangkok Insurance studies re-entry to Vietnam market Bangkok Insurance is conducting a feasibility study on re-entering Vietnam after withdrawing from that market a decade ago.Vietnam’s healthy economic growth and large population were good reasons to conduct such a study.(The Nation, 24/10/2016) More Water systems firm Mazuma eyes AEC markets Mazuma (Thailand) Co will next year explore the water-systems business in ASEAN markets (Cambodia, Laos, Myanmar, Vietnam and Indonesia) as those markets are promising, along with growing domestic consumption. (The Nation, 20/10/2016) More

It's our great pleasure to invite you to an exclusive preview of the main trade fair highlights and upcoming trends before anyone else: The Spielwarenmesse Thailand Dialog Tour 2016 will shed light on the opportunities open to you at the world's biggest trade fair for toys hobbies and leisure. >>More information

PTT plans expansion in ASEAN countries THAILAND’S top energy company PTT plans to invest about Bt4.5 billion over the next four years to increase the number of its gas stations in ASEAN countries to 500. PTT presently has 170 PTT petrol stations in ASEAN countries: 29 in Laos, 28 in Cambodia, 105 in the Philippines and in Myanmar PTT-supplies gasoline to eight stations. (The Nation, 18/10/2016) More Vietnam playing "key Mekong sub-region role" VNS Hanoi Vietnam has been making practical contributions to turning the Mekong sub-region into a dynamic and prosperous economic area via two crucial cooperation frameworks. The highlight of the CLMV and ACMECS cooperation is to aim for specific results with outstanding projects and programmes being many new roads in the East-West Economic Corridor and the South Economic Belt, and many bilateral and multilateral agreements on transport, customs and immigration procedures, and scholarships. (The Nation, 17/10/2016) More

Festival of the Germans 26 November 2016 Deutsch / English

Contact Person

Green Technology Aquatic weed may feed biofuel boom A Thai researcher has succeeded in producing ethanol from water hyacinth and is aiming to develop the technology needed to commercialise the fuel. The discovery is one day expected to cut the production costs of biofuel and help reduce huge imports of crude oil, of which Thailand is a net importer. (Bangkok Post, 24/10/2016) More Thai Communities keen on Renewable Energy

Chadaphan Maliphan Publication and Communication Manager Tel: +66 2 670 0600 ext 2005 Email: chadaphan@gtcc.org

150 representatives of more than 30 communities from each region of Thailand discussed how to make better use of renewable energy sources in their regions.

Thailand benefits from an abundance of renewable energy sources be it solar, bio-energy or wind. Renewable energy not only decreases carbon emissions it also creates local value which is in line with the “Energy 4.0” policy, which aims to generate revenue and reduce costs for people and communities in the country. (National News Bureau of Thailand, 20/10/2016) More Siemens signed first long-term service extension for wind power in Thailand Siemens has received an order to continue providing service and maintenance at the Korat 1 and Korat 2 wind projects in Nakorn Rachasrima Province in Northeastern Thailand for the next 13 years. The agreement, which is the first wind service extension for Siemens in Thailand, will also include the provision of performance-enhancing upgrades for the project’s wind turbines. (Renewable Energy Magazine, 17/10/2016) More BCPG allots B60bn for five years BCPG Plc, the power business arm of SET-listed Bangchak Petroleum Plc (BCP), has set aside a five-year investment budget (2017-2022) of 60 billion baht to be spent on power generation and expansion abroad. President and chief executive Bundit Sapianchai said 10 billion baht would be used next year, mostly on renewable energy projects overseas, including wind farm and solar projects. (Bangkok Post, 19/10/2016) More Route out of the middle-income trap lies in harnessing initiatives to combat climate change The latest 2016 World Bank data confirms that Thailand is mired in the middleincome trap. The crucial step is to transform global climate change into an opportunity. Last month marked the beginning of a new era. Carbon dioxide in the atmosphere passed 400 parts per million for the first time in 20 million years.

Carbon dioxide contributes not just to global climate change, now nearly 1.5C above pre-industrial levels. It also causes ocean acidification, threatening much of our sea-based food web – a key Thai industry. Additionally, this year is expected to be the hottest on record. (The Nation, 14/10/2016) More

Bilateral Business KACO new energy accelerates the energy turnaround in Thailand The German photovoltaic specialist has joined forces with other companies in the industry as part of a new initiative. The “Powerful Blueplanet” alliance is aiming to further the development of the solar energy business in Thailand. (PV Magazine, 25/10/2016) More Eurowings declares long-haul services a hit The performance of Eurowings' Thailand-Germany sector so far has shown that the long-haul low-cost carrier business concept works. The Lufthansa Group's

subsidiary reported satisfactory performance against critics' suggestions otherwise. "We are very satisfied with the routes' performance not only on the passenger side but also for the cargo business," Dirk Grossmann, general manager for Lufthansa Group in Thailand and the Mekong region, told the Bangkok Post. (Bangkok Post, 18/10/2016) More

CSR Mercedes-Benz delivered Fund backing ECP Foundation’s Plan to build a Dormitory for Students in Chiang Mai Mercedes-Benz (Thailand) contributed 200,000 Baht to the Federation of the Thai-German Education and Culture Promotion (ECP) as a support to the construction of a dormitory for secondary students with mobility needs at the Christian German School in Chiang Mai. Under the respected German international school curriculum, students who are under the care of this school will be able to get educational scholarships and pursue a degree at any German university of their choice. (Mercedes-Benz, 07/10/2016) More

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