India-Thailand strategic partnership: New arc in regionalism and Indo-Pacific vision 

During his official visit to Thailand on April 3, 2025, Prime Minister Narendra Modi also emphasised that Thailand holds a “special place” in India’s Act East Policy and is integral to India’s Indo-Pacific vision. The decision to elevate the ties between the two nations, therefore, is not merely symbolic but rather represents a coalescence of bilateral and multilateral diplomacy aimed at strengthening regional stability, deepening economic integration, and collectively addressing emerging security challenges. 

This new arc of cooperation is grounded in a shared vision of a rules-based Indo-Pacific, compact connectivity, and the institutional strengthening of regional groupings like BIMSTEC (Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation).

India-Thailand deepening partnership

The India-Thailand strategic partnership aims to broaden cooperation across a wide array of sectors: defence, security, cybercrime, maritime safety, trade and investment, innovation, start-ups, renewable energy, education, tourism, and people-to-people exchanges. 

Both countries have also agreed to institutionalise new frameworks for high-level consultations, including a strategic dialogue between their National Security Councils and enhanced defence coordination through technology transfers, joint training, and industry collaboration. 

Moreover, trade remains a major pillar of the India-Thailand relationship, but it is also an area that presents both opportunities and challenges. While Thailand is India’s fourth-largest trading partner within the Association of Southeast Asian Nations (ASEAN), the widening deficit indicates the need for a more balanced trade relationship.

India has pushed for increased market access for its agricultural products, generic drugs, and services, while also exploring the feasibility of local currency-based trade settlement mechanisms to mitigate foreign exchange volatility.

But the current global uncertainties call for deeper coordination between the two nations to insulate their economic engagement from external shocks. India and Thailand are focusing on next-generation industries such as electric vehicles, digital payments, fintech, space technology, and the circular economy. 

They have also agreed to accelerate the review of the ASEAN-India Trade in Goods Agreement (AITIGA) to make it more user-friendly and conducive to business, with a target for substantial conclusion by the end of 2025. However, enhancing investment promotion, reducing non-tariff barriers (such as quotas and technical standards), and aligning regulatory standards will be essential in adapting to the new economic reality.

Thailand and India’s Act East policy  

Thailand’s geopolitical location makes it significant to the success of India’s Act East policy and the Indo-Pacific framework. It acts as a gateway to the ASEAN heartland and shares maritime space in the Andaman Sea, offering potential for trilateral and multilateral maritime collaboration. 

Thailand’s strategic infrastructure and its participation in regional forums such as ASEAN, BIMSTEC, MGC (the Mekong-Ganga Cooperation), and IORA allow it to function as a stabilising force and a bridge between South and Southeast Asia.

Similarly, the Indo-Pacific construct has allowed India to frame its regional diplomacy in tune with ASEAN Centrality and multilateral platforms like the East Asia Summit, the Indian Ocean Rim Association (IORA), and Ayeyawady-Chao Phraya-Mekong Economic Cooperation Strategy (ACMECS).

The two countries’ reaffirmation of their support for a free, open, inclusive, and rules-based Indo-Pacific is closely tied to their commitment to implement the ASEAN Outlook on the Indo-Pacific (AOIP) and India’s Indo-Pacific Oceans Initiative (IPOI). Thailand’s role as co-lead, alongside Australia, in the Maritime Ecology Pillar of IPOI strengthens this synergy. 

This institutional complementarity shows how bilateral diplomacy, when linked with regional frameworks, strengthens India’s proactive multilateralism and builds resilience against strategic pressures, particularly those emerging from China’s assertiveness in maritime zones. An example of this synergy is the Bay of Bengal region and the BIMSTEC grouping, where India and Thailand play key roles.

BIMSTEC and the Bay of Bengal 

The Bay of Bengal region has recently emerged as a theatre of strategic alliance and economic opportunity. The BIMSTEC, where India and Thailand are founding members and the two largest economies, forms the mainstay of this regionalism. The recent adoption of the BIMSTEC Charter and the Master Plan for Transport Connectivity are signs of a new momentum along these lines.

At the 6th BIMSTEC Summit in Bangkok (April 2025), India and Thailand jointly called for faster implementation of the Motor Vehicles Agreement and enhanced coastal shipping, as well as port-to-port linkages to improve regional mobility and trade flows. These initiatives are essential for connecting India’s Northeast with Southeast Asia and are foundational to Prime Minister Modi’s Mutual and Holistic Advancement for Security and Growth Across Regions (MAHASAGAR).

The emphasis on BIMSTEC is also a pragmatic turn in India’s neighbourhood-first policy, especially as SAARC continues to face political gridlock. With growing connectivity projects such as the India-Myanmar-Thailand Trilateral Highway, BIMSTEC presents a practical route to deepen economic integration and counterbalance China’s Belt and Road Initiative in the region. 

Moreover, BIMSTEC provides India and Thailand a platform to jointly address transnational threats, including human trafficking, cybercrime, terrorism, and illicit trade, through coordinated security architectures.

The road ahead

Despite the strategic momentum, several challenges remain. First, India continues to face a significant trade deficit with Thailand. This imbalance needs to be addressed through greater market access for Indian goods and the diversification of trade baskets.

Second, infrastructure and bureaucratic delays continue to hinder the completion of vital connectivity projects like the Trilateral Highway. Political instability in Myanmar also poses risks to these initiatives. Moreover, regulatory misalignments and gaps in mutual recognition of standards and certifications could obstruct smooth economic engagement.

Third, the expanding influence of China through its economic investments and strategic presence in the Bay of Bengal necessitates greater India-Thailand coordination to safeguard maritime commons and regional autonomy.

To sustain and deepen the strategic partnership, India and Thailand will need to focus on implementing the Joint Plan of Action, boosting joint production and technology transfers in defence, resolving non-tariff barriers, and enhancing cross-sectoral collaboration in renewable energy, AI, fintech, and space. Engaging the private sector, academia, and youth in collaborative platforms will further enrich this partnership.

In sum, with the Bay of Bengal now positioned as a critical node in the Indo-Pacific architecture, Thailand’s role becomes indispensable to India’s outreach to ASEAN and beyond. By positioning bilateral aspirations within the regional and global frameworks, India and Thailand are set to launch a new era of Asian regionalism that is more vibrant, cooperative, and strategically balanced.

Post Read Questions

What does the elevation of the India–Thailand relationship to the strategic level signify in terms of India’s foreign policy priorities?

How does Southeast Asia feature in India’s evolving strategic calculus?

In what ways does Thailand complement India’s Act East policy and Indo-Pacific engagement?

Why is the Bay of Bengal considered a critical node in the Indo-Pacific architecture?

Can the India–Thailand strategic alignment serve as a model for a more vibrant and cooperative Indo-Pacific order?

(K.M. Seethi is the Director of Inter University Centre for Social Science Research and Extension (IUCSSRE), Mahatma Gandhi University (MGU), Kerala, and former Senior Professor of International Relations at the same university.)

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