This photo taken on October 26, 2019 shows construction workers making their way home in Bangkok.

Thailand is a "leading beneficiary" of the trade fight between the U.S. and China, according to Standard Chartered's Clive McDonnell.

"We've seen plenty of evidence of companies, in particular Japanese companies, trying to shift production out of China and into other (Association of Southeast Asian Nations) countries," McDonnell, who is head of equity strategy at Standard Chartered Private Bank, told CNBC's "Street Signs" on Friday.

Thailand has benefited from the disruptions in supply chains caused by the trade war, he said.

In the past year or so, Washington and Beijing have slapped higher tariffs on each other's goods, and companies that have been producing their goods in China have had to look for manufacturing facilities elsewhere to circumvent those tariffs.

"Thailand's not the only beneficiary, (but) with the currency ... appreciating strongly, that reflects the underlying view that it is a leading beneficiary," McDonnell said.

Since the start of the year, the Thai baht has appreciated more than 6% against the dollar.

The trade battle has "increased the importance of Thailand" as a base for manufacturing Japanese goods such as auto parts and electronics to be exported to America, McDonnell explained in an email to CNBC. Japan is Thailand's largest source of foreign direct investment, he said.