Outgoing Defence Minister Signs Chinese Submarine Deal

Phumtham Wechayachai arrives to bid farewell to his position as Defence Minister at the Ministry of Defence, Bangkok, July 2, 2025.

BANGKOK — Former Defence Minister Phumtham Wechayachai confirmed Wednesday that he signed Thailand’s submarine deal with China as one of his final acts in office, though he was unable to complete the Gripen aircraft procurement before his departure.

Speaking during a farewell visit to sacred sites at the Defence Ministry, Phumtham said the submarine agreement was finalized before the June deadline and had already been processed through his office as Deputy Prime Minister for Security Affairs.

“The submarine deal must go through the Deputy Prime Minister for Security Affairs, which is me, because I signed it before the end of June,” Phumtham explained.

The Deal Can Not Be Cancelled

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The submarine deal he signed involves changing the engine specifications from the originally planned German engines to Chinese engines.

Phumtham’s decision to sign the agreement came after his trip to Germany in May, where he met with the German Defence Minister and received confirmation that Germany cannot sell submarine engines to Thailand due to European Union restrictions on arms exports to China.

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An image released by the Chinese authorities shows a Yuan-class submarine in operation.

Thailand’s attempts to purchase German submarine engines have been stalled for several years, dating back to the military government of Prayut Chan-o-cha, which approved the first of three planned submarine purchases from China worth $393 million in 2017.

After careful consideration and review, Thai authorities determined that the submarine contract could not be cancelled. The previous government had already paid 10 installments out of 18, representing 60% of the total cost or ($237 million), with 40% still outstanding. Construction of the submarine for the Royal Thai Navy is currently 64% complete.

Southern Border Framework Proposed

Addressing ongoing security concerns in Thailand’s southern border provinces, Phumtham said the unrest aligns with periods of national uncertainty. He has developed a new framework to address the situation and plans to present it to the Deputy Prime Minister for Security Affairs.

“This solution will introduce new approaches that have not been tried before and should improve the situation as quickly as possible,” he stated.

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Officials cordon off a pavilion near the Hoo Tae Gor-lae intersection in Village No. 3, Terae Bon Subdistrict, Sai Buri District, Pattani Province, which was bombed late Saturday night, killing three local officials, on March 9, 2025.

Defence Minister Position Remains Vacant

When questioned about the currently vacant Defence Minister position, Phumtham declined to comment on the government’s timeline, calling it “a matter of appropriateness.” He dismissed speculation about the role being reserved for the Pheu Thai Party, emphasizing that the priority is finding someone with “potential, capability, good connections with various armed forces” who can protect national sovereignty.

Regarding rumors of a new appointment within three months, Phumtham said he wouldn’t comment on “unconfirmed rumours” but stressed the importance of selecting “the most suitable person.”

Transition to Interior Ministry

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Phumtham will begin his new role at the Ministry of Interior on Friday, July 4, at 10 a.m., starting with visits to the ministry’s sacred sites and meetings with senior officials. He emphasized that he will retain responsibility for all security matters while taking on additional interior ministry duties.

The transition comes amid ongoing questions about the government’s cabinet reshuffling and defence procurement priorities.

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