Think ASEAN, Invest Thailand 迈向东盟,投资泰国 Mr. Kritawit Madhyamankura Deputy Director, Shanghai Office Thailand Board of Investment 泰国投资促进委员会上海办事处副主任 奎塔威·玛塔亚玛拉库 2015年07月09日 Distinguished guests, ladies and gentlemen, Good morning, It’s my honor to be invited and share the information about investment policy in Thailand today. First of all, I would like to thank the organizer of this forum, Sichuan Provincial Department of Commerce, to create such a great platform, not only for the ASEAN country members to show the advantages for attracting foreign investment that we have, but also for Chinese entrepreneurs to acquire the all information and choose the best location for your business.

Presentation Outline Thailand in Brief 泰国简介 Current Investment Policies 目前的投资政策 BOI Service 投资委的服务 So today my presentation will cover the following information, Thailand in brief, current investment policy, and who Boi is and what kind of service we provide. 2

Thailand in Brief 泰国简介 Population: 67 million 人口：6700 万人 Labor Force: 40 Million 劳动人口：4000 万人 In recent years, Thailand has developed into an upper middle-income country, with the 2nd largest economy in ASEAN – the Association of Southeast Asia Nations. Thailand, located at the center of ASEAN, has a total population of more than 67 million and a workforce of close to 40 million. The per capita GDP in 2014 was about USD5550. GDP(2014): USD380.49 Billion Per Capita GDP(2014): US$5,550 人均GDP(2014) :US$5,550 Source: International Monetary Fund

Thailand’s FTAs 泰国签署的自由贸易协定 ASEAN-EU Thai-EU ASEAN-Korea USA Thai-EFTA ASEAN-Japan Thai-Japan ASEAN-China TPP ASEAN-GCC RCEP ASEAN-India Thai-India ASEAN AEC BIMSTEC As the member of ASEAN, Thailand enjoys the FTA between ASEAN and China, Korea, Japan, also Thailand signed FTA with Australia, New Zealand. The agreement with EU, India, Peru, Chile is ongoing negotiation. Thai-Australia ASEAN-MERCOSUR ASEAN-CER Thai-New Zealand Suspended Pending Mandate Under Study Ongoing Negotiations FTAs in Force Map is not drawn to actual size

Cost of Doing Business in Thailand 泰国经商的主要成本 Corporate Income Tax: 10% - 20% 企业所得税率：10% - 20% VAT: 7% 增值税：7% Minimum Wage: BHT 300 per day 最低工资：每日300泰铢 Social Welfare Afforded by Employer: 5% 雇主需承担雇员的社保金缴纳比例：5% Low Cost of Office Occupancy: USD 32/sq ft/annum in Bangkok 办公室租赁：曼谷：每年每平方英尺32美金 In this slide, you could find the main cost when you are doing business in Thailand. Corporate income tax, 10% for Regional Operating Headquarters, and 20% for manufacturing industry. VAT in Thailand is 7%, and daily minimum wage in law is 300 Baht, approximately RMB 60 Yuan. The ratio of social welfare paid by company is only 5%, which is much lower than in China. When you lease the office in Bangkok, the rental is also lower than many other main cities in Asia, such as Beijing, Tokyo, Singapore, Jakarta, Ho Chi Minh City, Kuala Lumpur.

Map of basic infrastructure sites and industrial parks in and around Bangkok 基础建设及曼谷及其周边工业园区分布图 + S 304 Industrial Park 304工業園區 Amata Industrial Estate Amata工業區 Asia Industrial Estate亞洲工業區 Gateway City Industrial Estate Gateway City工業區 曼谷国际机场 Hemaraj Land and Development PLC 和美樂工業園區 Laem Chabang Industrial Estate 林查邦工業區 曼谷港 Map Ta Phut Industrial Estate 麥普塔普特工業園區 泰国湾 Padaeng Industrial Estate Padaeng工業區 Ping Thong Industrial Estate Ping Thong工業區 This map shows the large number of industrial estates located near Bangkok. This area is called Bangkok and Eastern Seaboard., there are Bangkok Port, Laem Chabang Deep Sea Port, Map Ta Phut Deep Sea Port, where you can ship your goods to anywhere you need. Rojana Industrial Park Rojana工業區 Wellgrow Industrial Estate Wellgrow工業區 S International School & University 國際學校及大學 Golf Course 高爾夫球場 + Hospital 醫院 建議路線圖 6

Current Investment Promotion Policies 目前投资政策 Now you have a general picture about Thailand, next let’s see the policy and incentives for investment in Thailand. 7

BOI Introduction (1/2) 投资委简介 The Office of the Board of Investment is a government agency under the Office of the Prime Minister. 泰国投资促进委员会是直属国务院的政府机构。 Chairman : Prime Minister 投资委主席：泰国总理 Its main roles and responsibilities are in promoting investment by both foreign and local investors through “Tax - based incentives” and “Non - Tax incentives”. 主要职责与义务是以税收和非税收激励措施，鼓励国内外投资者来泰投资。 Thailand Board of Investment (BOI in short) is a government agency affiliated to the Office of the Prime Minister. Prime Minister of Thailand is our Chairman. BOI’s main responsibilities are to promote investment by both foreign and local investors through “tax-based incentives” and “Non-tax incentives”.

BOI Introduction (2/2) 投资委简介 The BOI helps investors in three key ways: 泰国投资委三大关键职能： - To reduce the risks associated with investment. 减少投资风险。 - To reduce the initial investment costs and to improve the overall rate of return on investment. 减少初期投资成本，促进投资总利润率。 - To provide support services at all times. 随时提供各项服务。 We help investors to reduce the risks associated with investment, reduce the initial investment cost, improve the overall rate of return on investment, and provide support services at all times.

Thailand and the BOI offer: 泰国和投资委所提供的便利： No restrictions on foreign currency 外币无限制 100% foreign ownership 外国人所有权100% No export requirements 无出口要求 No local content requirements 无使用当地原材料 的要求 LIBERAL INVESTMENT REGIME 自由投资管理体制 Thailand has a liberal market-oriented economy, in which there are no restrictions on foreign currencies. In Thailand you can enjoy 100% foreign ownership, with no export or local content requirements. Also, our investment promotion regime is fully WTO-compliant and our procedures are ISO-certified, which means companies can invest with confidence. 10

Activities Eligible for BOI Promotion 给予投资优惠待遇行业类别 Agriculture 农业 加工业 Mining, Ceramics Basic Metals 矿产、陶瓷、基础金属 Light Industries 轻工业 产品 Metal Products, Machinery, Transport 金属产品、机械设备、运输设备 E&E 电子与 电气 Chemicals, paper, plastics 化工、造纸、塑胶 Services 服务业 The BOI promotes investment in almost 130 types of businesses under 7 groups of sectors, which are:

BASIC BOI PRIVILEGES AND MEASURES 投资委基本优惠许可权和鼓励政策 Non-Tax measures　非税收鼓励政策 Land ownership rights for foreign investors 外国投资者可拥有土地所有权 One Start One Stop Services Center (OSOS) 一站式投资服务中心 Work permit/visa facilitation for foreign experts and technicians 为外国专家和技术员办理工作许可证和签证 One-Stop Shop, Visas & Work Permits are issued in3 hours 一站式中心 簽證和工作證可在三小時內 辦理完成 Tax Incentives　税收鼓励政策 Corporate income tax holidays up to 8 years 最高可获免八年企业所得税 Additional 50% reductions of corporate income tax for 5 years 此后五年企业所得税减半 Import duty reductions or exemptions on machinery and raw materials 减免机械和原材料的进口关税 Double deduction of public utility costs 公共事业成本可按双倍扣除 Deductions for infrastructure construction/installation costs 基建和安装成本享受税收减免 We offer you both tax and non-tax incentives, such as corporate income tax holidays up to 8 years, permission to own land, permission to bring in foreign experts and technicians to work on projects, and access to a One-Stop Service Center for Visas and Work Permits that is committed to 3-hour service.

There are many Chinese companies set up their production bases in Thailand, we just list some of them. Of course, there are many others, also including the companies from Hangzhou…Zhongce Robber and Holley Group

Target Industries from China 来自中国的目标产业 1. Auto and Auto Parts 汽车及其零配件 2. Electronic products and parts 电子产品及其部件 3. Machinery, equipment and parts 机械设备及其配件 4. High value added natural rubber product 高附加值的天然橡胶产品 This year, we target 4 industries from china which are….

BOI SERVICES 投资委服务 Before I conclude, I want to point out that the BOI offers a wide range of investor services.

BOI SUPPORT SERVICES 投资委服务支持 Overseas offices海外办事处 Country desks多国事务小组 e.g.Chinese desk 1-Stop for visas & work permits: work permits in 3 hours 一站式服务：三小时內完成签证，工作证办理 Interaction with other govt. agencies on behalf of investors 協助投资者建立与其它政府部门的关系 Industrial Subcontracting Services Vendors meet customers program (BUILD Unit) 工业分包商服务：分包商与客户面对面计划 （投资委工业连接发展事务组） Investment Matchmaker Program ASEAN Supporting Industry Database 东盟辅助产业数据库 投资对接计划 BOI SUPPORT SERVICES 投资委服务支持 Sectional divisions to guide you through the process 各职能事务处为您保驾护航 Our services are such as investment matchmaking program, one-stop service for visas and work permits, BOI Industrial linkage program and database to link foreign investors with local part suppliers and country desks to facilitate foreign investors from various regions.

More Convenience 更方便 less time 更省时 more efficiency 更有效 A few years ago, we also opened our One Start One Stop Investment Service Center (OSOS) with representatives from 21 government agencies related to business operations under one roof to provide advice to those who would like to start business in Thailand. 18th Floor, Chamchuri Square Building 319 Phayathai Road, Pathumwan Domestic Call: 0 2209 1100, Inter. Call: (66 2) 209 1100 Email: osos@boi.go.th 17 17 17 17 17

BOI Offices BOI 办事处 Bangkok China Office of the Board of Investment 曼谷总部 555 Vibhavadi-Rangsit Road, Chatuchak Bangkok 10900 Thailand Tel. : (662) 537-8111-55 Fax : (662) 537-8177 E-mail : head@boi.go.th Website : http://www.boi.go.th One Start One Stop Investment Center (OSOS) 18th Floor Chamchuri Square Building, 319 Phayathai Road, Pathumwan, Bangkok 10330 Tel. : (662) 209-1100 E-mail : osos@boi.go.th Website: osos.boi.go.th China Shanghai 上海 Royal Thai Consulate-General 15 F., Crystal Century Tower, 567 Weihai Road, Shanghai, 200041 ,P.R.China Tel: (86-21) 6288-9728, 6288-9729 Fax: (86-21) 6288-9730 E-mail: shanghai@boi.go.th Guangzhou 广州 Investment Promotion Section, Royal Thai Consulate-General Room1216-1218, Garden Tower 368 Huanshi Dong Road, Guangzhou, 510064 P.R.C. Tel: (86-20)83338999 Ext: 1216-18 Fax: (86-20)83872700 E-mail: bungon@boi.go.th guangzhou@boi.go.th Beijing 北京 Royal Thai Embassy No.40 Guang Hua Road, Beijing, 100600, P.R.China Tel: (86-10) 6532-4510 Fax: (86-10) 6532-1620 E-mail: beijing@boi.go.th And, the BOI have 3 overseas offices in China: Beijing, Shanghai and Guangzhou, that can answer any questions that you may have, and to assist you in any way that we can. 18 18

THANK YOU 谢谢 www.boi.go.th Thank you very much for your attention. 19