Bilateral business relations between Thailand and Hungary

Longest relations among ASEAN countries:  Treaty of Amity, Trade and Navigation between the Austro-Hungarian Monarchy and the Kingdom of Siam (1872)

Establishing diplomatic relations:  

24 October 1973

Main bilateral agreements:

  • Double taxation avoidance agreement (1989)
  • Investment protection agreement (1991)
  • Aviation agreement (1993)
  • Agreement on scientific and technological cooperation (1999)
  • Agreement on agricultural cooperation ( 2000)
  • Agreement on economic co-operation (2004)

Joint Commission Meetings on Economic Cooperation

  • 2004 Bangkok
  • 2015 Budapest

Hungarian projects in Thailand

  • Thailand is the regional distribution center of Hungarian pharmaceutical industry in Southeast Asia
  • Agrotechnological projects – integrated fresh water farms
  • Solar panel manufactiring
  • Aquapark – Phuket

Thai projects in Hungary

  • Thai instant noodle factory /Esztergom – Thai President Foods Hungary Kft
  • Thai restaurants (20)
  • Massage saloons
  • Regional distribution center of Thai pickup trucks

Further potential scopes of the co-operation

Industrial and technological co-opreation in water management and environment protection, automotive industry, food industry, innovation and technology transfer,

Service sectors:  logistics,healthservice, tourism, hotellery and catering,

Joint ventures on third markets.  (Mekong countries – Central European Countries).

Financial agreements  between Eximbanks.

Hungary’s imports from ASEAN

   

Mill.USD

 

  

% Share

 

 % Change
Country 2013 2014 2015 2013 2014 2015 –  15/14  –
               
— World — 100147,00 104904.2 92608.04 100 100 100 -11.72
-ASEAN 10- 1413.76 1509.89 1562.61 1.41 1.44 1.69 3.49
Thailand 516.07 549.25 508.73 0.52 0.52 0.55 -7.38
Malaysia 253.07 284.47 344.72 0.25 0.27 0.37 21.18
Singapore 278.75 271.26 225.67 0.28 0.26 0.24 -16.81
Philippines 185.80 203.13 212.86 0.19 0.19 0.23 4.79
Indonesia 126.26 147.54 170.87 0.13 0.14 0.19 15.81
Vietnam 53.11 54.12 99.24 0.05 0.05 0.11 83.36
Cambodia 0.30 0.03 0.41 0 0 0 1001.71
Myanmar 0.34 0.04 0.05 0 0 0 6.17
Laos 0.01 0.00 0.02 0 0 0 740.39
Brunei D. 0 0.00 0.00 0 0 0 -22.65

Bilateral trade between Hungary and Thailand

Imports from Thailand (2015)
Mill 508,73 USD (- 7,4%)

 Exports to Thailand (2015):
Mill 52,25 USD  (- 21,0%)

  •  Thailand is the largest ASEAN trading partner of Hungary

In 2013 and 2014 Thailand was the  largest ASEAN trading partner of Hungary, in 2015 the second  after Singapore.

Thailand is the 5th largest Asian supplier  after China, Korea S., Japan, Taiwan, and the largest  ASEAN import market for Hungary..

  • Bilateral trade dominated by industrial products

Over 90 % of the imported goods are industrial goods (42% machinery, 36,5 electrical machinery),which are built in the Hungarian exports and re-exports.

 

The top 10 commodities of Thai exports to Hungary in 2015

1. Machinery(41,97%)

Computers (65,4%),Pumis for liquid (9,7%),Printing machinery(8,2%),Parts for spark-ignition(7,4%),airconditioning equipment and parts (7,7%)

2. Electrical machinery(36,45%)

Printed circuits(20,2%),Integrated circuits(16,8%),Electrical transformers(11,6%),Transmission apparatus for radiotelephony(10,9%)

3. Vehicles not railway(10,16%)

Parts and accessories(64,1%),Motor trucks(30,5%),motor cars (5%),motorcycles (0,3%)

4.Rubber(4,91%)

Natural(74%),Clothing ccessories(12,4%),
Hyginietic aticles(4%),pneumatic tyres(3,8%)

Potential Thai export product categories offered for Hungary

Group 1 – Industrial Products

  • Vehicles and automotive parts and accessories:
    • Pick-up cars /2015: imported Mitsubishi &Isuzu 928 units.
    • Cars: /Suzuki Celerio: 600units will be imported in 2016.
    • Automotive equipment, gear boxes, clutches, bumpers, wheels
  • Computers and components (data processing units)
  • Office machines, printing machines
  • Air-conditioning  and refrigeration equipment (compressors,central units, copper tubes)
  • Electrical machinery: printed/integrated circuits, electrical transformers
  • Rubber products /natural rubber, pneumatic tires, synthetic rubber products
  • Optical products and instruments (Medical and testing instruments, microscopes)

Group 2 –  Consumers products

  • Food and beverages:
    • Canned & dried fruits (pineapple, tropical fruits)
    • Coconut products (Coconut oil for cooking, coconut milk and chips
    • Sauces, condiments,instant noodle
    • Canned and frozen fish (tuna and sardines, frozen seafood)
    • Food waste, animal feed
    • Rice
  • Lifestyle and fashion products:
    • Footwears, leather products
    • Designer’s wear,casual wear,children’s wear, garments, textile materials
    • Gifts, household and kitchenware, home decoration
    • Gems and jewelry (silver jewelry)
  • Health & beauty products 
    • Natural beauty care products from coconut or exotic fruit (face/body cream, soap, shampoo)
    • Sanitary items (medical gloves)
    • Herbs, food supplement
  • Toys  
    • Games & toys
    • Wooden toys

Group 3 – Thai Massage & Restaurants

  • Massage salons / There are nearly 90 massage salons in Hungary
  • Thai restaurants and buffets
    There are appr. 30 Thai restaurants and Thai wok bars in Hungary.