Thailand began 2026 on a strong note, approving 113 foreign investors to operate under the Foreign Business Act in January alone — a 10 percent increase from the previous period. Total approved investment reached THB 33.779 billion, representing a 46 percent rise in value. These approvals were granted through a mix of Foreign Business Licenses and Foreign Business Certificates, with projects also contributing to increased Thai employment.

Japan, China, Singapore, Hong Kong, and the United States led as the top investing jurisdictions. By value, Japan ranked first, followed by Singapore and China, while China recorded the highest number of approved investors. Investment activity covered a wide spectrum, including contract manufacturing of industrial and automotive components, software development, cloud services, renewable energy projects, procurement hubs, and EV-related infrastructure. The breadth of sectors reflects Thailand’s position as both a regional manufacturing base and a growing digital and services hub.

Nearly half of all approved projects were promoted through the Board of Investment (BOI), accounting for more than THB 17 billion in investment value. BOI promotion remains a major attraction for foreign investors, offering incentives such as corporate income tax exemptions, import duty relief on machinery and raw materials, foreign land ownership rights for business use, and streamlined visa and work permit processes. For businesses in advanced technology, digital services, electric vehicles, clean energy, and high-value services, establishing a BOI-promoted company can provide both tax efficiency and operational flexibility.

The Eastern Economic Corridor (EEC) remains a strategic focal point, attracting over one-third of January’s investors and accounting for 43 percent of total approved investment value. Projects in the corridor continue to focus on automation systems, advanced manufacturing, renewable energy, and high-quality tourism infrastructure, reinforcing the government’s long-term industrial policy.

For companies considering expansion into Thailand, restructuring an existing presence, or exploring BOI promotion, choosing the right entry structure is critical. Whether applying for a Foreign Business License or establishing a fully promoted BOI entity, proper planning ensures regulatory compliance and maximizes available incentives.

To discuss the most suitable structure for your business, contact Sun Legal at info@sunlegal.co.th
for tailored guidance on establishing and promoting your operations in Thailand.

Export Opportunities Grow as Thailand Advances Key FTAs

Thailand is moving forward with two major Free Trade Agreements expected to be finalized in 2026 — one with the European Union and another between ASEAN and Canada. The EU agreement places strong emphasis on sustainability, with Thailand working to align its manufacturing sector with European environmental standards, including carbon reporting and cleaner production practices. For Thai exporters, particularly those selling into Europe, meeting environmental and traceability requirements will become increasingly important.

At the same time, ASEAN and Canada have completed more than 50 percent of their negotiations. Several chapters have already been agreed, covering customs procedures, small business support, telecommunications, and regulatory cooperation. More complex issues — such as tariffs on goods, rules of origin, investment protections, and e-commerce — remain under negotiation. Once finalized, the agreement could expand access to the Canadian market and strengthen Thailand’s trade links with North America.

Together, these developments show that Thailand is integrating more deeply into high-standard global trade networks. Businesses based in Thailand should begin reviewing their supply chains, product standards, documentation, and environmental practices to ensure readiness. Companies that prepare early will be better positioned to benefit from reduced trade barriers and expanded export opportunities.

For foreign investors and entrepreneurs, this is also an opportune time to consider establishing an export-focused business in Thailand. Export-oriented structures can offer operational efficiencies, potential tax or customs advantages, and access to Thailand’s expanding FTA network. Setting up the appropriate company structure from the outset — particularly in relation to licensing, foreign ownership rules, VAT, and export compliance — is essential. For practical guidance on preparing for these trade agreements or establishing an export-focused company in Thailand, contact Sun Legal here
.