A long road nonetheless lies ahead for the Thai-US change talks. But there are nonetheless a few very touchy unsolved problems on the desk that want to be resolved, as nether aspect desires to expose some key home industries to their competitors.
Thailand supposed to open up its closely blanketed banking sector, which includes business banking, stock brokerage, and the insurance industry. But most groups in the banking region are reluctant to a rapid change, and select a gradual opening of the industry.
On the other hand, the United Auto Workers Union is afraid of opening up their zone to Thailand, as the US faces pressure to drop its tax on imported pickup trucks. Thailand, constructing extra than 500,000 pickups a year, is the worlds 2d largest pickup manufacturer, however none of these motors are exported to the United States at the moment.
With over $65 million human beings and a modern GDP of $180.9 billion, Thailand is an necessary strategic partner for the United States, mainly due to the fact that China is more and more challenging US economic insurance policies in the region.
Thailand has already a FTA with Japan, taking impact later in 2006, and is additionally negotiating with various other international locations regarding similar arrangements.
In the lengthy term, Free Trade Agreements are a critical phase of the future boom and success of an economy. It is actual that liberalization increases competition, however it must be viewed in a advantageous way, as it forces agencies to end up more environment friendly and price fine to remain ahead in a pretty aggressive and speedy paced environment.