Japanese Prime Minister Fumio Kishida on Monday finished up the final phase of a three-nation visit of Southeast Asia by announcing a new defense accord as well as measures to enhance their economic cooperation.
The pact would make it easier for Japan to send defense hardware and technology to Thailand, which has one of the largest and best-equipped armies in the region and a long history of military connections with the US.
In a joint statement read alongside Kishida, Thai Prime Minister Prayut Chan-ocha said, “This would help boost national defense and support investment from Japan in this activity, which is an essential goal for Thailand.”
Prayut stated that he discussed supply chain improvements as well as the drafting of a five-year economic partnership with Japan, Thailand’s largest investor.
For decades, South-east Asia has been an important location for Japan, holding some of the country’s largest names in industry, ranging from infrastructure, engineering, and industrial zones to automotive and electronics production.
The region is still a battleground between Japan’s close ally, the US, and China, Southeast Asia’s largest trading partner.
Japan’s Cabinet Secretary for Public Affairs, Noriyuki Shikata, told reporters earlier on Monday that Tokyo would extend a 50 billion yen (S$532.50 million) loan to Thailand to boost its Covid-19 mitigation measure.
