Thailand’s BOI Introduces New Limitations on Land Ownership Privileges for Foreign Investors
- leowatanabe5
- Sep 15
- 2 min read
From 1 September 2025, the Thailand Board of Investment (BOI) has rolled out new limitations of land ownership rights for foreign-invested businesses in manufacturing sectors, such as metals, chemicals, and plastics. These limitations will be exempt for companies with a strong track record of previous BOI-approved investments.
Key Changes to the Board of Investment Promotion Land Ownership Policy
Foreign investors in specific manufacturing sectors will no longer be eligible for land ownership privileges under this new BOI policy. These sectors include:
Rolling, drawing, casting, or forging of non-ferrous metals
Manufacture of ferrous and non-ferrous metal products or parts
Manufacture of other metal products or parts
Manufacture of industrial chemical products
Manufacture of plastic products for industrial goods and parts
Exemptions are applied to companies with at least 3 prior BOI promotions over the past 15 years and total investments exceeding THB 5 billion (excluding land and working capital).
New Thai-Majority Shareholding Requirement
To promote local involvement and ownership, businesses applying for BOI promotion in the following industries must have a Thai majority shareholder structure.
Manufacture of bags made of leather or artificial leather
Manufacture of furniture or furniture parts
Manufacture of printed matter
What This Means for Foreign Businesses and Investors Affected
Thailand remains committed to attracting foreign investment in these manufacturing industries, but under tighter conditions. To navigate these changes in policies, foreign businesses are recommended to:
1. Review Land and Ownership Structures
Businesses in restricted sectors may need to shift from owning land to long-term lease arrangements. Businesses should carefully plan ahead as the adjustment could affect operational flexibility, financing options, and eligibility for BOI incentives.
2. Evaluate Partnership Strategies
Businesses may need to explore new joint venture or partnership opportunities with local businesses or restructuring existing ownership models to remain competitive and comply with the new regulation that requires businesses to have Thai-majority ownership.
Contact us to discover how Bizwings can help BOI companies stay compliant in the Thai business landscape, from payroll to accounting and taxation.