The elimination of tariffs should result in product price reductions throughout ASEAN.
- Encouraging higher market competition.
- Consumers will benefit from cheaper prices of goods given lower tariffs on a host of raw materials used by the region's producers.
- Some of processing factories are expected to enjoy cheaper imported raw materials in the face of the tariff elimination, cutting their production costs.
- ASEAN will be integrated into a single market which is an important point because the market will be stronger and larger with a high population.
- The export and investment sectors will generate higher potential in the long term.
Benefits from AEC to Thailand
- The positive impact of AEC to Thailand is that it helps to facilitate investment and trading activities in other ASEAN members as it is now more freely and easier.
- We can invest in any ASEAN countries and there will be fewer barriers in terms of trading activities.
- Thailand can also be the center of national conferences, meetings, exhibitions, and telecommunication.
- AEC helps Thai manufacturers reduce the cost of production as they can outsource cheaper raw materials from ASEAN members.