Why Thailand should be your next business destination

Published On - 19 février, 2025

Valentin Moriceau Thailand

Dear Clients, Partners, and Friends,

While much of the global focus remains on larger economies like China or India, it is worth remembering that Thailand has steadily positioned itself as a key player in Southeast Asia. With its strategic location, thriving economy, and business-friendly policies, Thailand remains an attractive destination for companies looking to expand in the region.

In the post-pandemic era, decisions about international business strategies have often been driven by uncertainty. While some have been drawn to regional hubs like Singapore or the UAE, it is important to step back and assess Thailand’s unique advantages, which often make it a superior jurisdiction for businesses in Southeast Asia.

Why Thailand Deserves Your Attention

Thailand’s economy is one of the largest in Southeast Asia, underpinned by strong fundamentals and a government actively supporting foreign investment. With a population of 70 million and an increasingly affluent middle class, the country offers a vibrant consumer market and is a gateway to the larger ASEAN region, home to over 670 million people.

Let’s not forget its strategic location at the heart of Asia, providing convenient access to key markets in China, India, and beyond. This, coupled with modern infrastructure, makes Thailand an ideal hub for manufacturing, logistics, and trading activities.

A Rising Star in Regional Integration

Thailand is also a member of the ASEAN Economic Community (AEC), which promotes free trade and investment across the region. With preferential trade agreements and reduced tariffs within ASEAN, Thailand-based companies enjoy significant advantages in accessing neighboring markets.

In addition, Thailand’s Eastern Economic Corridor (EEC) is a game-changer. This special economic zone is designed to attract high-tech industries and foreign investments, offering:

  • World-class infrastructure, including deep-sea ports and high-speed rail links.
  • Tax incentives and streamlined processes for setting up operations.
  • A focus on innovation and technology, creating a fertile ground for growth.

Future Growth: Why Not Thailand?

When considering regional expansion, Thailand stands out as a balance of opportunity and stability. While some businesses turn to India or Indonesia for their sheer size, Thailand’s business environment is often more predictable and efficient.

India, for example, offers enormous potential but is often accompanied by bureaucratic challenges and infrastructure gaps. Indonesia, while promising, presents hurdles in regulatory clarity and market accessibility. Thailand, on the other hand, combines ease of doing business, robust infrastructure, and a strong rule of law.

New Opportunities for Foreign Investors

Thailand has made it easier than ever for international businesses to thrive. Did you know? You can now:

  • Establish a 100% foreign-owned company in most industries under the Thailand BOI (Board of Investment) privileges.
  • Benefit from tax holidays, reduced corporate income taxes, and duty exemptions for specific sectors.
  • Leverage Thailand’s Regional hub to manage operations across ASEAN while enjoying tax benefits.

Moreover, Thailand’s workforce is highly skilled and cost-competitive, particularly in sectors like manufacturing, tech, and services.

A Stronghold in Uncertain Times

Thailand’s political stability, progressive policies, and integration into global supply chains make it a reliable choice for businesses. With increasing global scrutiny on China, some companies are adopting a “China Plus One” strategy, and Thailand is often the “Plus One” of choice due to its complementary strengths and strategic location.

The Takeaway

Before making any decisions about your next steps in Asia, take a closer look at Thailand. Its favorable business environment, robust infrastructure, and integration into ASEAN offer unparalleled opportunities for growth. Whether you’re looking to establish a regional hub, expand manufacturing operations, or tap into the Southeast Asian consumer base, Thailand should be at the top of your list.

Take a moment to evaluate your options carefully. As we’ve seen time and time again, Thailand remains a top jurisdiction for businesses seeking sustainable growth in Asia and beyond.

Ready to explore the opportunities? Call us today!

Alexandre Dupont, Co-Founder and Director