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Thailand Country Profile

Recommendations:

Thailand is a long term solid destination for foreign business expansion in most sectors. Despite recent economic headwinds, Thailand’s pro business reforms and foreign invest friendly environment sustain its attractiveness for small business market entry. ** Good choice for most business sectors**

(+) Large, educated, expanding middle class
(+) Excellent infrastructure, globally connected
(+) Low taxes with special privileges for American companies

(-) Potential for short term political instability
(-) Recent negative macroeconomic growth
(-) Lack of English language capability

Highlights:

– Average Manufacturing Wages 50% less than China
– #1 Foreign Country to start a business (U S News and World Report 2020 Survey)
– High quality health care and international schools
– #21 on Ease of Doing Business Global rankings with a top three score for protection of minority investors

“When I speak to these companies about why they chose Thailand...it is because of the Safe, Reliable, and Secure nature of manufacturing in Thailand while also being competitive with other locations in Asia in the cost of land, labor, and living.

U.S. Ambassador Michael DeSombre , 2020

Country Facts:

Population:

70 million, 0.3% growth in 2019

GDP:

$544 billion USD, 2.4% growth (2nd largest economy in SE Asia)

GNI per capita:

$6,610 USD, 0.7% Inflation, upper middle income country

Industries:

Manufacturing (automobiles, electronics), tourism, financial services, agriculture (rice, rubber, fisheries)

Tourism:

#4 Country in the world for tourism revenue
#9 most visited country in the world (UN Report)

Investment:

Government encouraged, but lacks transparency; incentives are available, but must be negotiated

#21/190

#101/180

60%

49.3 M

$8.3K USD

#74/100

41% NYC Prices

Ease of Doing Business

Corruption Perceptions Index

Human Capital Index

Working Age Population

Household Expenditure Per Capita

English Language Capabilities

Cost of Living Plus Rent Index

#21/190

#101/180

60%

49.3 M

$8.3K USD

#74/100

41% NYC Prices

Marketing:

Per capita expenditure:

$8,269 USD

Internet penetration:

82% (Southeast Asia 63%)

Shop online:

90%

Mobile ownership:

133%

Primary messaging:

Line messaging app

Primary website:

Facebook

Average Labor:

Infrastructure:

Opening a Business:

Relevant Laws:

Foreign Business Act of 1999, Treaty of Amity and Commerce (US investors)

Time to Incorporate:

6 days to incorporate, 3-6 months for all additional tasks

Fees to Incorporate:

$170 USD per $32,000 USD of registered capital for a private company, $30 USD per $32,000 USD for a public company

Paid in Capital:

Minimum $64,000 USD or $96,000 USD, depending on the company type

Remittance Taxes:

There are no taxes for remitting profits if the money is sent to the US or one of the 61 countries country with a double taxation treaty

Restrictions:

Multiple sectors closed to foreigners, including accounting, legal services, architecture, fishing, mining, rice cultivation, timber

Trends:

Successive recent governments have made it easier for foreigners to invest in Thailand

BBA Services:

BBA has multiple staff in Bangkok, plus Thai experts living overseas. BBA’s connections can solve a lot of problems in Thailand, and can help find trusted Thai partners to enable foreign investment in otherwise restricted fields.