Thai Navy inks submarine deal with China

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BANGKOK – The Royal Thai Navy has proceeded with a 13.5-million-baht submarine contract with China.

Navy chief of staff, Adm Luechai Ruddit who led a team of high-ranking officials to Beijing, signed the deal to purchase the first Chinese-made submarine from China Shipbuilding and Offshore International (CSOC). The first installment is 700 million baht, according to Adm Luechai.

The deal was struck as a government to government contract and is believed to be the best deal available.

The move came under fire last week and has been heavily criticized by the media.

In response, the government asserted that the procurement is transparent and that submarines are necessary for the country to maintain its national security.