Thailand is undergoing a deliberate transformation of its science, technology and innovation (STI) ecosystem as it seeks to shift from a middle-income manufacturing base to a knowledge-driven, high-value economy. Policy ambition, rising investment and sectoral focus are beginning to reshape the landscape, even as challenges remain in converting research strengths into widespread innovation impact.
Thailand’s national STI priorities are clearly articulated. The government’s agenda emphasises the Bio-Circular-Green (BCG) economy, smart electronics, food and agricultural technology, clean and renewable energy, tourism innovation and rapid digital transformation. Major programmes highlight sectors such as AI, robotics and automation, biomaterials, biochemical processes and advanced agriculture. A notable commitment announced in 2024 includes the target of developing a 280,000-strong high-tech workforce—including talent for semiconductors, electric vehicles and AI—within five years. These priorities reflect Thailand’s long-standing strengths in manufacturing and agriculture while signalling a pivot toward sectors with strong future growth potential.
R&D investment has expanded in recent years. Gross expenditure on R&D reached more than 1.3% of GDP in 2020, with industry contributing the majority share. Public expenditure remains significant but still below the country’s stated ambition of reaching 2% of GDP within the decade. The growing dominance of private-sector investment underscores the importance of strengthening incentives, regulatory support and innovation capacity within Thai firms if the country is to accelerate further.
Thailand’s institutional architecture is robust. A network of universities, national laboratories and science parks provides a strong base for research activity. The Thailand Science Park, anchored by the National Science and Technology Development Agency, hosts major national research centres in biotechnology, nanotechnology, materials science and electronics—offering shared laboratories, pilot facilities and pathways for industry collaboration. Universities such as Mahidol, Chulalongkorn and Chiang Mai continue to lead in research output and talent development. However, some analysts note that despite strong institutional capacity, scaling high-end research into areas like deep tech, frontier science and global patents remains an ongoing challenge.
Scientific output and innovation indicators suggest a mixed picture. Thailand performs relatively well in global rankings, positioned in the top 50 worldwide with particular strength in knowledge and technology outputs. This indicates that the system produces more output than might be expected for its input levels. Yet business innovation remains a weak point: only a small proportion of Thai firms introduce new products or processes, and innovation adoption remains uneven across industries. The gap between research capability and commercial uptake continues to be one of Thailand’s central innovation challenges.
Industry–academia collaboration is improving but still developing. Thailand’s policy framework encourages joint laboratories, technology-transfer programmes, prototyping facilities and startup support. Institutions like NSTDA play a strong enabling role. Still, earlier surveys show that only a minority of manufacturing firms invest in R&D, and many businesses remain hesitant to adopt innovations emerging from universities. Practitioners often note that Thailand’s research base is strong, but the “valley of death” between lab output and marketable products persists.
Thailand enjoys several clear sectoral strengths. As a longstanding manufacturing hub, it is well positioned to advance smart manufacturing, robotics and automation. Its large agricultural sector supports strong capabilities in agri-biotech, food innovation and smart farming technologies. The BCG economy is emerging as a national signature, integrating renewable energy, sustainable processes and circular-economy models. In digital and AI fields, Thailand is developing local large language models, digital platforms and low-resource language technologies—important foundations for a modern digital economy.
Infrastructure continues to expand at a steady pace. Thailand Science Park remains a cornerstone for applied research, while new facilities—such as the TT-1 tokamak fusion device launched in 2023—signal growing ambition in advanced scientific domains. These investments reflect a strategic intent to embed research infrastructure into the country’s long-term development trajectory.
Human capital development is central to Thailand’s STI vision. Although the country has made progress, the number of researchers per million people remains lower than in some regional innovation leaders. Policies now emphasise scholarships, industry placements, mobility programmes and talent-attraction schemes. Workforce targets in semiconductors, EVs, biotech and AI demonstrate the government’s determination to close skill gaps and build a competitive labour force for emerging industries.
Thailand’s policy and regulatory environment is guided by the Ministry of Higher Education, Science, Research and Innovation, supported by agencies that align higher education, research funding and innovation promotion. Incentives such as R&D tax deductions, investment promotion for high-tech sectors and programmes that connect universities with industry aim to improve translation of research into economic value. Nevertheless, institutional reforms, grant effectiveness, intellectual-property enforcement and inter-agency coordination still require strengthening to support a fully mature innovation ecosystem.
Emerging trends point to an innovation system in acceleration. Thailand is doubling down on AI, big data, EV supply chains and smart manufacturing technologies. The BCG framework continues to shape sustainable innovation strategies. International collaboration is deepening through bilateral and regional partnerships. Meanwhile, digital readiness—such as the development of Thai-language AI systems—signals a move toward technological self-sufficiency and competitiveness.
Yet challenges persist. Business innovation uptake remains modest; R&D intensity, while rising, is still below top global performers; talent pipelines need strengthening; research commercialisation is slow; and Thailand faces the broader challenge of escaping the middle-income trap by moving up the value chain. Global competition, especially in electronics, EVs and digital technologies, adds further pressure.
Overall, Thailand is well positioned. The foundations—policy frameworks, research infrastructure, institutional capacity and sectoral strengths—are in place. Performance on many innovation metrics is strong relative to Thailand’s income level. But the country is still mid-transition: success will depend on mobilising firms, improving industry–research linkages, sustaining investment in talent and raising R&D intensity further. If these pieces align, Thailand has a credible path to becoming one of ASEAN’s leading innovation-driven economies.
