US investors into Thailand leverage two incentives

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By Paul P Chen and Jonathan Goacher

Foreign investment and business participation in Thailand is often heavily regulated. The Foreign Business Act 1999 effectively closes the Thai market for services and certain other sectors to outside competition. The act does provide that exceptions may be made with government approval or under the foreign business licensing regime, but neither route is simple or quick.

However, there are two effective, alternative approaches.

The US-Thai Treaty of Amity and Economic Relations means that US investors can promptly obtain the equivalent of a foreign business licence and participate in the Thai market…

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