Thailand and the United States have agreed to form a joint working group to negotiate investment by American companies in the semiconductor industry in the Southeast Asian country, according to government spokesman Chai Watcharoonki.

Chai said in a statement today, Sunday, that the agreement comes following a visit by U.S. Trade Representative Gina Raimondo and members of the Export Council, affiliated with the U.S. President, last week, which included discussions with Prime Minister Srettha Thavisin, according to Bloomberg news agency today, Sunday.

Chai added that the American private sector views Thailand as one of the best alternative countries to diversify supply chain risks in semiconductor production.

He continued that Thailand enjoys a location advantage and does not engage in conflicts with major countries.

He added that the Prime Minister encourages the development of infrastructure and green companies.