The US-China trade war and a preference for Thai brands among Chinese buyers have created an opportunity for medium-sized and large firms in Thailand, says the Thailand e-Business Center (TeC).
"The Chinese market is a leader in e-commerce and e-business, and Thais have yet to explore this opportunity," said Kulthirath Pakawachkrilers, chief executive of TeC, a Bangkok-based business matching and e-business training service for the Chinese market.
Citing data from multiple sources, Ms Kulthirath said China's GDP in 2016 was US$10.9 trillion (350 trillion baht), with 731 million internet users, of which 448 million shop online.
Thailand's GDP was $411 billion, with 59 million internet users and 10 million online shoppers. Consumption in China was worth $3 trillion, of which $759 billion was online shopping.
Ms Kulthirath said China and Thailand's e-business trend in 2019 is online-to-offline, with big retailers, e-retailers and e-commerce players focusing more on customer satisfaction and new experiences for shoppers.
Businesses will embrace data analytics, artificial intelligence and blockchain for customer insights.
Local medium-sized firms with over 10 million baht in revenue a year have the ability to export to the Chinese market, as both China and Thailand have few tax barriers.
There are major marketplace providers in Chinese online markets Alibaba, Taobao, Tmall and JD.com. China is moving towards a cashless society with multiple online payment tools such as WeChat Pay and AliPay.
Popular Thai products are latex pillows, spa and cosmetics items, balms, salts, dried fruit and fashion brands by Thai designers.
"People may think that prices of textiles and fashion are very competitive in China, but Chinese buyers want unique and quality designs," Ms Kulthirath said.
Offline businesses such as factories are also looking to expand their manufacturing base outside China to avoid the trade war. China is interested in expanding logistics and automated warehouses in Thailand.
Entering the Chinese market is not easy because of regulations, language difficulties and company registration.
Ms Kulthirath said TeC has Chinese partners and associations to connect with firms in Thailand through business matching.
TeC also provides business expansion services to assist local firms in opening offices in China, where TeC has networks spanning 20 leading trade cities. The service accounts for half of TeC's revenue.
The Employment Department reported that there were 400,650 graduates last year and more than 180,000 are unemployed. Local universities have not handled the rapid shift in the workforce towards digital skills.
TeC aims to train at least 1,000 people in the digital workforce this year with special courseware through a partnership with 20 universities that focuses on e-business, online marketing and Chinese language for business.
Ms Kulthirath said TeC aims for business matching deals between the two countries to the tune of at least 1 billion baht in 2019, with more than 100 Thai business firms to register in China.