A BOI announcement on 12 March 2018 has promoted Chachoengsao, Chonburi, and Rayong Provinces as part of the development of the Eastern Economic Corridor (EEC), a pilot project to encourage increased economic development across Thailand’s Eastern Seaboard. Over the past 30 years, these three provinces have been developing to keep up with the fast growing industries situated there.
While the EEC area covers just 13,000 square kilometers, the government has launched measures to support and accelerate economic growth in the EEC. This includes the development of public utilities, transportation systems, logistics, human resources, and investor facilitation in the form of a One-Stop Service Center.
The BOI announcement will incentivize investors engaging in eligible activities in these three provinces as follows:
A – Specific activities zones:
- Eastern Airport City (EEC-A);
- Eastern Economic Corridor of Innovation (EEC-I); and
- Digital Park Thailand (EEC-D);
B – Targeted industries zones; and
C – Promoted industrial estates or industrial zones.
Following this announcement, additional tax incentives will be granted to investors established in these three provinces:
Zone A: Extended corporate tax exemption (additional two years) and additional corporate income tax reduction of 50% for five years;
Zone B: Additional corporate income tax reduction of 50% for five years; and
Zone C: additional corporate income tax reduction of 50% for three years.
Senior Legal Adviser