General

"What materials do you need to prepare to set up a branch office in Thailand?" "What are some areas in Thailand where Chinese enterprises are welcome to invest?" "What are the current new investment policies in Thailand?" "How do I apply for a long-term residence visa?"

Recently, the Investment Office of the Royal Thai Embassy in China, together with the Beijing Municipal Bureau of Commerce and the Commercial Legal Service Center of the China Council for the Promotion of International Trade, held a seminar on the theme of "Taking Thailand as an Investment Center: Providing New Opportunities for Chinese Enterprises". Many Chinese enterprise leaders attending the seminar asked questions, demonstrating their interest in investing in Thailand. Through this seminar, they not only obtained the latest information on investing in Thailand, but also established contacts with relevant Thai institutions to lay the foundation for further cooperation.

"In the past three years, despite the impact of the epidemic, Thailand China economic and trade cooperation has continued to grow steadily." Atayu Sisam, Ambassador of the Kingdom of Thailand to China, mentioned in his keynote speech, "At present, as Thailand China relations open a new phase, Chinese enterprises investing in Thailand will further promote the deepening of bilateral economic and trade cooperation. I am very confident about this. I welcome Chinese enterprises to visit Thailand and personally experience Thailand's traditional culture and huge investment opportunities."

Thailand increases attracting foreign investment

As the second largest economy in ASEAN, Thailand is one of the most successful countries in attracting foreign direct investment in the region, as well as one of the important production and export bases in the region. Thailand is known as the automotive production base in Asia and the world's kitchen. In the automotive, food, and other industries, Chinese companies have a large number of investment opportunities. At the same time, the Thai government also promotes the development of biological, recycling, and green (BCG) related industries by integrating advanced technology and innovation in the supply chain. In addition, Chinese companies also have a lot of room to develop in the fields of digital economy, robotics, aviation, artificial intelligence, and big data.

According to Wan Tana Tadan, Minister Counsellor of the Investment Office of the Royal Thai Embassy in China, from 2017 to 2022, the Thai Investment Commission approved 731 Chinese investment projects with a value of over $500 million. Among them, the industries with the largest investment are metal products and machinery, electrical appliances, electronic products, and light industries.

What new policies does Thailand have for foreign investors after the epidemic? This is undoubtedly the issue that attracts the most attention of Chinese enterprises at this seminar. At the seminar, Napakun Jatutilk, a professional level trade official from the Business Development Department of the Ministry of Commerce of Thailand, introduced the laws related to conducting foreign businesses in Thailand (the Foreign Business Act), namely, the regulations and procedures for obtaining business licenses, and answered specific questions from participating Chinese enterprises regarding the process of establishing companies in Thailand. Wantana Tatan specifically introduced the latest investment policy implemented by the headquarters of the Thai Investment Commission (BOI) on January 3rd this year, including 9 measures for 10 industries, such as improving comprehensive measures for relocation of operating bases to promote investment in target industries. Currently, the Thai Investment Commission provides various services to over 400 investors, including providing investors with industry information with potential investment opportunities under current policies, mainly focusing on areas such as biology, circular economy, green (BCG), electric vehicles, and the digital industry.

In addition, Dinapa Apawang, a senior professional from the Foreign Service Department of the Thai Investment Commission, also introduced information about long-term residence visas (LTR visas). LTR aims to attract highly skilled professionals with modern technology, global wealthy citizens, retirees, free shift workers, and other high potential foreign residents. To date, Thailand has become one of the main destinations for investors, tourists, and workers.

Beijing enterprises actively invest in Thailand

"We sincerely look forward to strengthening exchanges and communication with Thai friends to promote international trade and economic cooperation to a new level." Zhang Gang, a second level inspector of the Beijing Municipal Bureau of Commerce, who attended the seminar, spoke out the hearts and minds of many Beijing enterprises who want to invest in Thailand.

Thailand is an important node country on the 21st century Maritime Silk Road and one of the earliest countries to launch RCEP. Thailand is an important destination for foreign investment by Beijing enterprises. Up to now, Beijing enterprises have invested 474 million US dollars in Thailand, mainly in the construction industry, automobile manufacturing, new materials, clean energy and other industries. Thailand is also an important trading partner of Beijing. Throughout 2022, the total international trade between Beijing and Thailand reached 24.153 billion yuan, of which 14.26 billion yuan was exported. The main export commodities are refined oil, mobile phones, and steel; The import is 9.892 billion yuan, mainly including automobiles, agricultural products, and mechanical equipment.

Zhang Gang expressed that the current cooperation between China and Thailand will usher in new historical opportunities. Thailand is actively implementing high-tech development strategies such as the "Eastern Economic Corridor". Beijing has entered a new era of innovative development, improved quality and efficiency, and formed a number of advantageous industries such as automobiles, intelligent manufacturing, information software, and biomedicine. The prospects for international trade cooperation between the two sides are broad. In order to better serve enterprises' "going global", the Beijing Municipal Bureau of Commerce will improve and reform the approval system, optimize foreign investment filing procedures, and establish a comprehensive service platform for Beijing enterprises to promote relevant investment.

At the seminar, relevant principals of Beijing Foton Cummins Engine Co., Ltd. shared their investment plans in Thailand. According to the plan, Foton Cummins will invest in engine factories in Thailand, promote new projects for engine production capacity in Southeast Asia, and support the landing of the Foton Complete Vehicle Thailand project. It is reported that Beijing Foton Cummins Engine Co., Ltd. is one of the largest commercial vehicle manufacturers in China. Its engines are used in light trucks, heavy trucks, pickup trucks, generator sets, non road mechanical equipment, and other products. The products face the global international trade market, cooperating with more than 100 OEMs, and overseas customers include Benz, Volkswagen, Ford, and others.