Draft Bill In Thailand To Allow 100% Foreign Ownership In Selected Aerospace Sectors
In December 2018 Thailand approved a draft bill for the air navigation law that lets foreign investors who win Board of Investment (BoI) promotional privileges to own up to 100% of shares. Aircraft manufacturing, aircraft parts manufacturing, and maintenance, repair and overhaul (MRO) for aircraft, are three areas where Thailand will allow 100% foreign ownership. So far, the Air Navigation Act of 1954 requires Thai companies to hold a 51% share in the three categories.
The move aims to attract foreign investors to the aviation industry, which is one of the targeted industries the government is promoting for its flagship Eastern Economic Corridor project.
Currently, the Royal Thai Navy is in the process of opening bids for the first phase of the U-tapao aviation city project. The first phase covers 6,500 rai (10.4 sq km) and includes the third terminal, a second runway, a commercial gateway, the second phase of the MRO hub, a cargo village or free-trade zone, and a human resources training centre. The aviation city is expected to be able to accommodate 60 million passengers annually, putting it on a par with Suvarnabhumi, and to yield economic returns worth THB 189 billion (USD 6 billion) every year.
(Source: Aviation Pros)