Education Minister Suchart Thada-Thamrongvech made the announcement after meeting with Xu Lin, director of the Office of Chinese Language Council International (Hanban), and delegates from Chinese universities and educational institutes, the MCOT report said.
Chinese schools will send 10,000 language instructors for Thai students, Mr Suchart said.
Under the plan, between 500 and 1,000 Thai-language instructors will travel to China to teach Chinese students.
Mr Suchart said the new agreement will massively step up a programme under which China currently sends around 1,200 Chinese native speakers to Thailand annually.
One of the aims of the plan is for the Thai instructors to teach Thai to the Chinese instructors who then will teach in Thailand. Official Xinhua news agency reported that 24 Chinese universities currently offer Thai language courses.