Thailand dangles tax breaks in bid to become region’s circuit board hub
Thailand is offering tax incentives to boost its position as Southeast Asia's main center for printed circuit board (PCB) production.
The Board of Investment (BOI) has expanded tax breaks and privileges for the PCB sector. This includes support for companies involved in PCB production processes, manufacturers of essential PCB materials like copper-clad laminate, and producers of key manufacturing materials such as dry film and backup boards.
Benefits for eligible businesses include import duty exemptions on machinery and raw materials for exports, and up to eight years of corporate tax exemptions.
The BOI aims to capitalize on the shift of production bases due to global tensions, especially between the US and China. Last year, 40 firms, primarily from China, Taiwan, and Japan, invested over 100 million baht in Thailand's PCB industry, hosting 10 of the top 20 global PCB manufacturers.
The BOI is working to attract more companies to invest, potentially bringing billions of baht into the country and making Thailand the top PCB manufacturing hub in ASEAN.
PCBs are vital for the electronics industry, including in devices, electric vehicles, medical equipment, and the digital sector. Thailand is already home to global PCB leaders like Fujikura and Denso Ten, with four more industry giants showing interest.
Thailand's advantages include infrastructure readiness, clean energy access, skilled labor, and a strong domestic market demand, making it an attractive base for advanced electronics manufacturing.
Benefits for eligible businesses include import duty exemptions on machinery and raw materials for exports, and up to eight years of corporate tax exemptions.
The BOI aims to capitalize on the shift of production bases due to global tensions, especially between the US and China. Last year, 40 firms, primarily from China, Taiwan, and Japan, invested over 100 million baht in Thailand's PCB industry, hosting 10 of the top 20 global PCB manufacturers.
The BOI is working to attract more companies to invest, potentially bringing billions of baht into the country and making Thailand the top PCB manufacturing hub in ASEAN.
PCBs are vital for the electronics industry, including in devices, electric vehicles, medical equipment, and the digital sector. Thailand is already home to global PCB leaders like Fujikura and Denso Ten, with four more industry giants showing interest.
Thailand's advantages include infrastructure readiness, clean energy access, skilled labor, and a strong domestic market demand, making it an attractive base for advanced electronics manufacturing.
