Kuala lumpur: The government has announced the signing of a memorandum of understanding (MOU) between Thailand and the United States, aimed at diversifying global supply chains for critical minerals and stimulating investment. This significant agreement was signed by Thai Prime Minister Anutin Charnvirakul and US President Donald J. Trump during the ASEAN Summit in Kuala Lumpur, Malaysia.
According to Thai News Agency, the MOU is designed to enhance economic and technological security for both nations. It presents an opportunity for Thailand to attract foreign investment in emerging industries such as batteries, electric vehicles, clean energy, and advanced electronics. The anticipated benefits include income distribution to the region, job creation in new industries, and strengthened economic and energy security for Thailand.
The strategic importance of rare earth minerals has been underscored by the United States’ historical reliance on imports from China, which account for over 80% of its supply. This dependency has prompted the US to seek diversification through partnerships with allies like Thailand. Although Thailand has not yet begun commercial rare earth mining, it is considered to have geological potential. The MOU serves as a foundation for further studies, research, exploration, and capacity development, all of which will adhere to Thai legal procedures. Notably, the agreement does not grant mining rights to foreign entities.
The government has emphasized its commitment to environmental protection. Any future exploration or mining activities will be subject to a comprehensive Environmental Impact Assessment (EIA) process, including public consultation. The government asserts that it will not compromise Thailand’s environmental integrity for short-term economic gains.