Thailand has the most similar net export profile to China's and faces competition from China in the great majority, 70 per cent, of its net export sectors. Competitive pressure from expanding Chinese exports appears to be pressing many Thai industries to either become more efficient or move into more specialised markets. Thailand's complementarity with China is the lowest in the region but is growing rapidly. Provided the Thai economy can restructure flexibly it should gain from this competition; however, if Thai economic reform programs were to stall, Chinese competition could prove a serious challenge.