Financial Services for Chinese Enterprises Going Global: Opportunities and Challenges from a China-Thailand Cooperation Perspective

This research systematically examines the new characteristics and trends of Chinese enterprises going global against the backdrop of profound adjustments in the global economic landscape, particularly exploring the opportunities and challenges faced by Chinese enterprises from a China-Thailand cooperation perspective. The report is divided into seven chapters, providing comprehensive and in-depth analysis from multiple dimensions including macroeconomic background, characteristics of Chinese enterprises going global, regional investment environment, country-specific case studies, corporate financial needs, financial institution practices, and policy recommendations.

Chapter One presents the research background, systematically elaborating on the macro environment in which Chinese enterprises are "going global." Chapter Two reviews the changing characteristics of China's international trade and enterprises going global. Chapter Three provide a comprehensive assessment of ASEAN's investment environment, social development policies, and financial integration process. Chapter Four focuses on Thailand, providing an in-depth analysis of its environment, policies, and challenges as an important investment destination for Chinese enterprises, and systematically compares the financial regulatory frameworks of China and Thailand. Chapter Five, based on questionnaire surveys of large and small-to-medium Chinese enterprises in Thailand, reveals their differentiated financial needs across development stages and the common challenges they encounter. Chapter Six uses KASIKORNBANK (KBank) as a case study to demonstrate how regional banks support Chinese enterprises going global through differentiated competitive advantages. Chapter Seven, based on the preceding analysis, provides systematic policy recommendations for the governments, regulatory agencies, outbound enterprises, and financial institutions of both China and Thailand, aimed at building a more efficient and resilient cross-border cooperation ecosystem.

I. Research Background

First, the global economic and geopolitical landscape is undergoing profound changes. On one hand, the global economy faces severe challenges including slowing growth, heightened trade uncertainty, and declining foreign direct investment. International organizations such as the United Nations, World Bank, and International Monetary Fund (IMF) consistently project that global economic growth will slow in 2025, and the trade environment has deteriorated sharply due to rising trade tensions among major economies. On the other hand, heightened geopolitical tensions, the weakening of global cooperation mechanisms, structural challenges to the multilateral trading system, and the fragmentation of global governance together create a complex and interlinked global environment.

Second, China–U.S. economic, trade, and geopolitical relations have entered a new era. The report reviews the evolution from the Clinton administration's "comprehensive engagement," through the Bush and Obama administrations' "engagement plus hedging," to the Trump and Biden administrations' era of "strategic competition" and "de-risking". During Trump’s second term, the United States has significantly escalated its use of economic instruments — employing tariffs, technology controls, and investment reviews as core tools to pressure China, forming a multi-faceted "economic arsenal." These measures not only push pressure on the U.S. economy and affect Chinese exports but have also led to the fragmentation and reconfiguration of global trade and supply chains, accelerating the bifurcation of global economic and technological systems.

Third, the ASEAN market has become a key destination for global investment, underpinned by its unique strategic value and geographical advantages. ASEAN's strengths are reflected in several key dimensions. First, economic resilience and growth momentum—ASEAN has maintained economic growth rates above the global average in recent years, with steadily increasing foreign direct investment (FDI) inflows accounting for a rising share of the global total. Second, demographic dividend and resource endowment—ASEAN, with a population of approximately 690 million and a young population structure, provides abundant labor and significant consumption potential. The region is also rich in natural resources, energy, and mineral reserves. Third, geopolitical and geographical advantages—as a strategic hub connecting the Pacific and Indian Oceans, ASEAN pursues a careful balancing strategy amid great power competition to safeguard and advance its interests, serving as a "buffer zone" for regional peace and stability. Fourth, platform for regional economic integration—by leading cooperation mechanisms such as the Regional Comprehensive Economic Partnership (RCEP), ASEAN has consolidated its central role in regional cooperation and serves as a dialogue platform for major powers.

Fourth, the current wave of Chinese enterprises going global is driven by multiple interrelated factors. The report identifies four key drivers behind Chinese enterprises going global. First is the "China Plus One" strategy. To hedge against geopolitical risks and enhance supply chain resilience, enterprises are relocating part of their production capacity to other countries while retaining China as their core production base. Second is avoiding tariff barriers. Facing high tariffs in markets such as the U.S. and Europe, relocating production lines to neutral economies like ASEAN has become an effective way to maintain export competitiveness. Third is domestic competitive pressure. Supply-demand imbalances in China's domestic market have gradually intensified, with many industries characterized by intense competition marked by "high quality, low prices," squeezing corporate profit margins and driving enterprises to seek new growth opportunities overseas. Fourth is the evolution of industrial development patterns. As China's industries upgrade and costs rise, the relocation of certain labor-intensive and resource-intensive industries, along with market-oriented enterprises moving closer to overseas end markets, represents an inevitable stage of industrial development.

II. Changing Characteristics of Chinese Enterprises Going Global

First, despite a complex external environment, China's export trade has maintained resilience, though export destinations are undergoing structural change. In recent years, China's export value has continued to grow steadily, with its share of global exports stabilizing around 15%. However, trade structures and market patterns are shifting significantly: China's export share to the U.S. has declined significantly, while the ASEAN market has expanded rapidly, becoming China's largest export destination since 2022. Meanwhile, against the backdrop of China-U.S. trade frictions, global trade flows have been restructured. Economies such as Vietnam and Mexico have played "bridge" roles—importing intermediate goods from China for further processing or re-exporting them to the United States, forming indirect trade channels that partially offset the impact of bilateral trade tensions.

Second, Chinese outbound investment in manufacturing has shown a clear recovery trend, with greenfield investment projects in the "New Three" industries leading the wave. Based on micro-level data analysis, the report finds that Chinese manufacturing outbound investment is undergoing both recovery and transformation, with strong momentum reflected in investment value and project numbers. The "New Three" industries—new energy vehicles, lithium batteries, and solar panels—have become the core drivers for Chinese’s outbound manufacturing investment in recent years. In terms of destinations, "New Three" investments are primarily directed toward Southeast Asia (Malaysia, Indonesia, Thailand, etc.), Europe (Hungary), and North Africa (Morocco) to capitalize local resources, market access, and geographical advantages. Non-"New Three" investments, particularly in electronic components and consumer electronics assembly, are highly concentrated in Vietnam, which has become the largest recipient of Chinese manufacturing-related employment. Meanwhile, Mexico, as a strategic gateway into the North American market, has attracted substantial Chinese investment in automobiles and auto parts.

Third, China-ASEAN economic and trade cooperation has grown increasingly close, while China-Thailand cooperation has also deepened across multiple dimensions. At the trade level, ASEAN has become China's largest trading partner, and China’s exports to Thailand continue to grow, with the share of Chinese goods in Thailand’s import market rising steadily. At the investment level, China's manufacturing investment in ASEAN shows clear industrial specialization, with the "New Three" industries—new energy vehicles, lithium batteries, and solar panels— emerging as key investment priorities. In Thailand, China's greenfield investment reached record highs in 2022-2023, concentrated in automobile manufacturing, electronic components, and rubber processing.

III. Investment Environment and Financial Regulation in ASEAN Countries

First, ASEAN is actively advancing economic integration, inclusive development, and investment environment liberalization. ASEAN has achieved substantial progress in trade integration, particularly tariff liberalization, with an average of 98.6% of tariff lines eliminated. The next challenge lies in addressing non-tariff barriers (NTBs) such as inconsistent standards, licensing requirements, and bureaucratic delays. In terms of social development, the ASEAN Socio-Cultural Community (ASCC) framework promotes inclusive growth and facilitates cross-border labor mobility. However, due to varying implementation capacities among member states, significant regional gaps remain in labor mobility, education, and healthcare outcomes. Regarding investment policy, the ASEAN Comprehensive Investment Agreement (ACIA) provides legal protection for regional investment, helping position ASEAN as a major global FDI destination with an increasingly diversified investment structure. Nevertheless, the regional investment environment remains fragmented, with persistent gap between ASEAN's collective liberalization agenda and national-level implementation across member states.

Second, ASEAN's financial integration has made steady progress, particularly in cross-border payment systems, although uneven implementation continues to limit its full potential. ASEAN has sought to enhance stability, efficiency, and capital mobility through key frameworks such as the ASEAN Framework Agreement on Services (AFAS, 2003), the ASEAN Comprehensive Investment Agreement (ACIA, 2009), and the ASEAN Financial Integration Framework (AFIF, 2011). However, member states continue to exercise significant autonomy over capital controls and foreign exchange management, resulting in wide variation—from Singapore's full capital account openness to Vietnam's stringent regulatory controls. The most tangible progress in regional financial integration has been achieved in cross-border payment connectivity. Instant payment platforms such as Thailand's PromptPay, Singapore's PayNow, and Indonesia's QRIS now enable real-time local currency transactions via on QR-code-based systems under the Regional Payment Connectivity (RPC) initiative. These innovations enhance financial inclusion and efficiency as well as deepen financial linkages with China.

Third, financial cooperation from the China-ASEAN to the China-Thailand level has evolved into a multi-layered coordination framework. The Chiang Mai Initiative Multilateralisation (CMIM) provides a regional financial safety net to safeguard stability, while the Belt and Road Initiative (BRI) has supported large-scale infrastructure financing, and the Regional Comprehensive Economic Partnership (RCEP) has established a unified framework for cross-border financial transactions. The advancement of the Local Currency Settlement (LCS) framework and emerging digital financial innovations—such as the mBridge project—are further reshaping the regional financial ecosystem, integrating ASEAN economies more closely with China's regional financial system.

IV. Thailand's Investment Environment and Financial Regulation

First, Thailand's economy is driven by a strong service sector—particularly tourism—and export-oriented manufacturing in industries such as automobiles and electronics, with China playing an important role. Thailand's national development strategies including "Thailand 4.0" and the Eastern Economic Corridor "EEC" initiative, aim to promote industrial transformation toward high technology and innovation. In particular, Thailand has successfully attracted significant investment from Chinese automakers such as BYD and Great Wall Motors through its EV 3.0 and 3.5 policies, which combine purchase subsidies with localization requirements to establish the country as a regional hub for electric vehicle (EV) manufacturing. Thailand's foreign investment policy is generally open but selective, protecting sensitive industries under the Foreign Business Act (FBA) while offering strong incentives for strategic sectors through the Board of Investment (BOI).

Second, China-Thailand economic and trade relations have continued to deepen, with China becoming Thailand's largest trading partner. Since China joined the WTO in 2001, the China-ASEAN Free Trade Area (ACFTA) has further advanced regional integration and strengthened bilateral trade between China and Thailand. Bilateral trade volume has expanded steadily in recent years, with China now ranking as Thailand's second-largest export market and largest import source, while Thailand's trade deficit with China has continued to widen. The Regional Comprehensive Economic Partnership (RCEP) marks a new stage of regional integration and is expected to further strengthen investment and production linkages between Thailand and China, particularly in the electronics, automobiles, and green technology sectors.

Third, foreign direct investment (FDI) has played a key role in Thailand's development as a regional manufacturing hub, with China emerging as Thailand's largest investor since 2020. Chinese enterprise investment in Thailand is concentrated in four major areas. In manufacturing, more than 500 Chinese companies have invested over 547.76 billion baht (approximately $16.8 billion), creating more than 150,000 jobs. Key sectors include electric vehicles, electronics and semiconductors, and supporting industries such as metal, rubber, and plastic products. In infrastructure and logistics, under the Belt and Road Initiative (BRI), Chinese enterprises have made major investments in Thailand's transportation infrastructure, industrial parks, and logistics sectors. In the digital economy, Chinese companies are rapidly expanding their presence by investing in e-commerce platforms, data centers, and cross-border digital payments. Additionally, Chinese enterprises have invested in tourism and real estate sectors. However, Chinese enterprises' investment in Thailand also faces multiple challenges including regulatory complexity, market adaptation, cultural differences, and legal compliance.

Fourth, the financial regulatory frameworks of China and Thailand exhibit both similarities and notable differences. Similarities include: both countries place strong emphasis on preventing systemic risks; both have established well-defined regulatory architectures with central banks playing leading roles, supported by specialized regulatory agencies; and both attach important to protecting financial consumer rights. Differences arise in several key areas.  In terms of institutional organization, China operates a highly centralized regulatory system, with authority concentrated at the central level—characterized by short decision chains and strong enforcement capacity. Thailand follows a relatively decentralized, multi-agency model, with legally independent institutions emphasizing transparency and checks and balances. Regarding financial innovation, China adopts state-led approach featuring prudent innovation and selective openness— for instance, it comprehensively bans cryptocurrencies while actively promoting the central bank digital currency (e-CNY). Thailand, by comparison, takes a more open stance toward fintech and digital assets, having established a legal framework for cryptocurrencies under the 2018 Digital Asset Act, while maintaining prudential guidelines to safeguard market stability. On cross-border capital flows, China maintains stringent capital controls, requiring prior approval for most cross-border transactions, whereas Thailand pursue a strategy of "orderly relaxation", gradually easing restrictions in recent years, while retaining certain measures to prevent short-term speculative capital flows.

Fifth, China-Thailand financial regulatory cooperation has evolved from crisis response to institutional building, and from cooperation in single areas to comprehensive, multi-dimensional collaboration. China and Thailand established securities regulatory cooperation relatively early, with steadily deepening engagement. In 2023, the Shanghai Stock Exchange and the Stock Exchange of Thailand launched an index information display project, further enhancing connectivity and mutual understanding between the two capital markets. In the area of banking supervision, in 2019, the People's Bank of China (PBoC) and the Bank of Thailand (BoT) signed a FinTech Cooperation Agreement, creating a new framework for fintech innovation, joint research, information sharing, and regulatory collaboration. Cooperation in local currency settlement has been particularly fruitful. In 2021, the two central banks renewed a bilateral local currency swap agreement worth 70 billion yuan/370 billion baht. In May 2024, they signed a "Memorandum of Understanding on the Framework for Promoting Bilateral Local Currency Transaction Cooperation", advancing RMB-Thai baht trade settlement. Most recently, in August 2025, the two sides renewed the RMB-Thai baht bilateral local currency swap agreement, with objectives of supporting trade and investment, strengthening bilateral financial cooperation, and enhancing confidence in local currency.

V. Financial Needs and Challenges of Chinese Enterprises Expanding into Thailand

First, Chinese enterprises expanding into Thailand exhibit varying financial needs and challenges across different development stages. In the initial expansion phase, Chinese enterprises mainly face dual regulatory requirements from China and Thailand, including outbound investment approval, business registration, Board of Investment (BOI) approval, with initial investment capital largely dependent on parent companies. In the medium-to-long-term expansion stage, the financial needs of large Chinese enterprises become more complex and strategic, with the greatest focus on foreign exchange risk management and working capital, while demand for structured financing solutions — such as trade finance and long-term loans — increases. SMEs focus more on practical operational support, with equipment and asset leasing and installment needs being most prominent, followed by trade finance and cash management, and they prefer convenient, flexible financial solutions. Survey results indicate that financial institutions should adopt segmented service strategies tailored to the distinct needs of Chinese enterprises in Thailand.

Second, even after beginning operations in Thailand, Chinese enterprises continue to face persistent challenges in cross-border capital management. For large enterprises, the key challenge during the initial expansion phase is the complex and time-consuming business registration and approval process, which often causes delays in initial capital injection. During medium-to-long-term operations, main challenges include high bank fees and transaction costs, as well as delays and uncertainty surrounding fund remittances from China. SME respondents view foreign exchange control as the most pressing issue because narrow cash flow margins and relatively weak capital management capabilities make them vulnerable to regulatory restrictions and inefficiencies in cross-border payments. Although regulatory hurdles in Thailand ease after company establishment, structural bottlenecks between China and Thailand continue to constrain the efficiency of cross-border capital management, having a particularly pronounced impact on the business continuity of SMEs.

Third, Chinese enterprises operating in Thailand rely on multiple financing channels, but large enterprises and SMEs have different preferences. Large enterprises primarily rely on Thai commercial banks for their local accessibility and advantages in local currency financing, as well as parent company funds, while the Thai subsidiaries of Chinese banks provide supplementary support. Meanwhile, most large enterprises perceive that financing costs in Thailand are higher than China's, prompting them to seek an optimal balance between local borrowing and internal capital, parent company funds, or regional treasury arrangements. SMEs rely more on internal funds and partner relationships and show lower dependence on formal bank loans. Few SMEs consider financing costs in Thailand to be high. Empirical data indicates that large corporate loan rates in China are on average lower than those in Thailand, but cross-border borrowing is constrained by capital flow restrictions and additional transaction costs. Thailand's higher financing costs stem from four structural factors: high loan loss provisions, elevated operating costs, additional fees, and excess capital holding above Basel III requirements, which impose opportunity costs.

Fourth, foreign exchange risk management is a critical financial priority for Chinese enterprises in Thailand, with significant disparities between large enterprises and SMEs in management approaches and capabilities. Large enterprise respondents adopt diversified approaches to foreign exchange risk management: nearly half use forward contracts, a smaller share employ currency swaps, yet almost half still not implement formal hedging strategies. This indicates that even among large enterprises with strong financing capacity, a considerable number still lack formal frameworks for managing foreign exchange risk. SMEs show very low adoption rates of foreign exchange management tools, with most operating without formal hedging mechanism, leaving them highly vulnerable to exchange rate fluctuations. Three key factors limit SME participation in foreign exchange risk management: high costs of hedging instrument, limited access to sophisticated financial products, and limited financial literacy and weak internal capital management capacity. This presents important opportunities for financial institutions — such as developing simplified and low-cost hedging tools, packaged financial products, digital foreign exchange platforms, capacity-building services, and joint China-Thailand bank financing mechanisms — to support SMEs' long-term resilience and competitiveness.

Additionally, Thai enterprises generally welcome Chinese investment but express concerns about the rapid influx and its potential impacts on the domestic market. On one hand, Thai enterprises recognize Chinese enterprises as key contributors to foreign direct investment (FDI), bringing new capital, advanced technology, and global supply chain linkages that strengthen Thailand's position as a regional production hub. On the other hand, many participants voiced concerns over intensifying competition and market disruptions resulting from the rapid pace and scale of Chinese investment. Thai business representatives highlighted three key areas of concern: technology gaps, cost competitiveness, and operational speed. Thai business leaders encourage Chinese investors to deepen cooperation with local enterprises through partnerships that facilitate technology transfer and foster mutually beneficial business ecosystems.

VI. Practices and Innovations of Financial Institutions Serving Chinese Enterprises Going Global—Taking KBank as an Example

First, global banks and ASEAN regional banks each possess distinct advantages in serving Chinese enterprises expanding abroad. Global banks provide broad international coverage, multi-currency capabilities, and standardized services systems. Their global market expertise, supported by internal specialists, make them well-suited large multinational corporations. In contrast, ASEAN regional banks hold clear advantages in providing customized solutions, localized market knowledge, cultural adaptability, local currency settlement, and regulatory coordination for Chinese enterprises entering the ASEAN market.

Second, KBank 's strategy for serving Chinese enterprises is centered on cross-border transaction banking, implemented through two strategic pillars: "开泰跨境通" and " Better SME: 开泰为伍，万业亨通" "K-Cross Border" leverages KBank Group's regional presence in China and ASEAN to deliver comprehensive financial solutions, including asset management and securities services, structured financial products, settlement solutions and foreign exchange hedging tools, syndicated loan services, and value-added advisory services. Through strategic partnerships with government agencies and trade associations and branch networks in four key Chinese cities, KBank also acts as a conduit for domestic financial institutions that lack direct ASEAN business coverage. "Better SME: 开泰为伍，万业亨通" supports SMEs by strengthening their capabilities in financial planning, risk management, regulatory compliance, and business development. The initiative help SMEs manage three key flows—capital flow, data flow, and logistics—enabling more effective risk pricing and competitive financing through deep understanding of these flows. This strategic duality enables KASIKORNBANK to serve both large enterprises and SMEs, contributing to China's broader goal of nurturing globally competitive companies.

Third, KBank offers Chinese enterprises with a diversified financial product portfolio and comprehensive services that span both traditional and innovative domains. Core products cover eight major areas: capital access, foreign exchange and risk management, payments and collections, trade and asset leasing, business cards, insurance, digital and e-banking, and cross-border multi-currency services. Featured strategic solutions include syndicated financing facilitation, emerging market currency leadership, and a suite of “beyond banking” solutions that provide value-added business support beyond traditional financial services.

Fourth, the Nan Sandbox project represents one of KBank’s flagship practices in sustainable finance. Nan Province—one of Thailand's most ecologically important regions—has experienced severe forest loss in recent years, largely driven by low rural household incomes that have led to encroachment on protected forests. The Nan Sandbox project integrates forest conservation, rural economic development (such as cultivating high-value medicinal plants), and inclusive finance through an innovative "72:18:10" land-use framework, transforming traditional charity-based approach into a sustainable business model. The project not only contribute to multiple UN Sustainable Development Goals (SDGs) but also introduces advanced technology through international cooperation with institutions such as the Chinese Academy of Sciences, demonstrating how financial institutions can serve as catalysts for systemic change.

Fifth, KBank actively leverages financial technology to drive cross-border financial service innovation and supports high-growth industries such as new energy, artificial intelligence and digital transformation, and advanced robotics. KBank actively applies fintech solutions to enhance the efficiency of cross-border services, promotes cross-border QR code payments, and participates in cutting-edge projects such as digital RMB (e-CNY) and the multilateral central bank digital currency bridge (mBridge). These efforts explore real-world trade applications and aims to provide customers with more efficient and cost-effective cross-border payment solutions. To support China's carbon neutrality goals, KBank (China) has launched a Carbon Reduction-Linked Loan program, offering preferential financing rates to enterprises that achieve verifiable emissions reductions.

VII. Outlook and Policy Recommendations

Policy recommendations for the Chinese government and regulatory agencies focus on recognizing and supporting enterprises going global from a long-term strategic perspective. First, there is a need to re-examine cross-border capital flows, distinguishing normal "capital outflows" from "capital flight." Second, improve cross-border investment regulations, playing the role of "gardener" to better support and guide enterprises in compliant overseas expansion and safeguard the security of overseas assets. Third, while optimizing domestic industrial structure to expand domestic demand, increase imports to strengthen China’s role as a major new international market and promote greater multipolarity in the global economy. Fourth, strengthen overseas support ecosystems by encouraging trade promotion agencies, law firms, accounting firms, and other service institutions to expand their international operations alongside enterprises. Fifth, grant greater operational autonomy to regional financial institutions with extensive networks in the China-ASEAN region, allowing them to pre-approve routine overseas remittances within standardized and transparent compliance frameworks. Sixth, advance RMB internationalization and financial innovation by promoting and expanding RMB-Thai baht settlement and bilateral currency swap arrangements. Seventh, simplify and digitize outbound investment procedures by establishing a unified digital platform that integrate approval and filing requirements across agencies. Introduce fast-track approval mechanisms for small-scale projects and strategic industry investments to enhance efficiency and predictability.

Policy recommendations for the Thai government and regulatory agencies focus on enhancing regulatory efficiency and improving the ease of doing business. Survey results indicate that lengthy business registration and BOI approval processes are among the most pressing obstacles for Chinese enterprises entering the Thai market. To improve efficiency and better align with regional best practices, Thailand could consider the following measures: First, establish Fixed Service-Level Agreements (SLAs) that define and committed processing timeframes for key administrative procedures. Second, continue expanding digitization of submissions and e-filing systems by developing a unified online platform that integrates the functions of the Department of Business Development, tax authorities, and the Board of Investment. Third, introduce " Green Lane" mechanisms for priority investment sectors, piloting accelerated approval procedures for strategic industries. Fourth, strengthen inter-agency coordination to reduce duplicate compliance reviews and document submissions.

For government agencies in other countries, there is a need to balance opportunities and challenges associated with hosting Chinese enterprises going global. Cluster-based industrial chain expansion by Chinese enterprises may pose adjustment challenges for host economies, but outright rejection risks missing important opportunities for industrial upgrading. Chinese enterprises contribute production capacity, advanced production technology, complete industrial chains, and strong industrial chain coordination capabilities. Countries should balance social stability with the pace of attracting Chinese investment according to their national circumstances, and design effective mechanisms to help Chinese enterprises integrate into local communities and promote mutual empowerment. Governments should also strengthen inter-governmental coordination to ensure sustainable cooperation. At the regional level, partners can jointly build a third pole of artificial intelligence and the digital economy, accelerate connectivity infrastructure construction using Chinese technology, and actively develop green energy and the green economy to make ASEAN a leading region in green development. Finally, closer communication and coordination between Chinese and ASEAN governments and regulators are essential to foster a smooth, efficient, and resilient regional financial market.

For Chinese enterprises expanding aboard, it is essential to excel in market integration, cultural adaptation, brand and image building, and compliance management among other area. First, actively integrate into local markets by gaining a deep understanding of host-country consumer needs on the sales side and supporting local supply chain upgrading on the production end. Second, pursue genuine cultural integration by adapting to local religious customs, management practices, labor relations, while abandoning "one-size-fits-all" management models. Third, enhance corporate reputation by strengthening technological innovation, management capabilities, social responsibility, and employee welfare. Fourth, ensure strict compliance with local laws and regulations by strengthening compliance management, and developing a thorough understanding of host-country legal frameworks. Fifth, strengthen geopolitical risk management by formulating detailed contingency plans and crisis response mechanisms. Sixth, position themselves as ecosystem builders, rather than mere competitors. Seventh, leverage collaboration opportunities with local SMEs to enhance mutual growth and market adaptability. Eighth, optimize financing structures by balancing internal funds, local financing, and cross-border financial instruments. Ninth, strengthen and professionalize foreign exchange management to better mitigate currency risks. Tenth, actively engage with local business communities to enhance mutual understanding.

Innovation strategies are proposed for financial institutions in China and Thailand to strengthen cross-border financial service capabilities.

Recommendations for Chinese financial institutions: First, Chinese financial regulators should strengthen coordination of cross-border capital flow management from a macro-financial perspective. Second, develop Shanghai into a key financial service hub for outbound Chinese enterprises. Third, large financial enterprises with overseas institutions should establish integrated domestic and international service systems to better support Chinese enterprises going global. Fourth, small and medium-sized financial institutions should collaborate with large financial institutions to jointly build financial service networks that support outbound enterprises.

Recommendations for Thai financial institutions: First, enhance Thailand's role in cross-border payment innovation by actively participating in the mBridge project. Second, accelerate participation of Thai financial institutions in emerging payment platforms, such as expanding participation in the Cross-border Interbank Payment System (CIPS). Third, promote China-Thailand financial cooperation by developing deeper partnerships between Thai and Chinese banks. Fourth, facilitate investment flows and strengthen SME capacity building.