Chinese companies flock to BOI amid trade war

[webfact]

Chinese companies flock to BOI amid trade war

By THE NATION

 

FILE photo

 

The number of applications from China's companies seeking Board of Investment (BOI)'s tax privileges surged by 100 per cent year on year in the first nine months to Bt45 billion, said BoI secretary-general Duangjai Asawachintachit.

 

Most of these projects come with an investment of Bt6 billion to Bt10 billion each, with the majority in the fields of rubber-processing and tyre manufacturing. 

 

She said the surge in BOI applications was mainly due to the on-going US-China trade war, forcing Chinese companies to relocate their production bases to countries in Southeast Asia, particularly Thailand.

 

However, BOI has kept its target of Bt750 bn on the total value of projects applying for tax privileges this year. 

 

It will be more aggressive next year in wooing foreign investment with the focus on Asian investors. 

 

She expects more foreign companies to invest in Thailand following the Kingdom's rise in ranking, from 27th to 21st, in the World Bank’s Ease of Doing Business 2020 list, out of 190 countries surveyed.

 

-- © Copyright The Nation Thailand 2019-10-30

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[BuckBee]

next year won't be good if trump starts hitting thai exports in trade war and human/worker rights issues .

currency manipulation another issue being monitored .

Uncle Buck is being a naughty boy, telling lies and pretending to be a civilian elected leader .

[Jessi]

This should be in the Fake news section.????

[Cadbury]

4 hours ago, webfact said:

Chinese companies flock to BOI amid trade war

Any half decent Chinese companies have long gone to other neighbouring countries like Malaysia and Vietnam. Thailand is just left with the scraps they have rejected. 

[icymanipulator82]

22 minutes ago, Cadbury said:

Any half decent Chinese companies have long gone to other neighbouring countries like Malaysia and Vietnam. Thailand is just left with the scraps they have rejected. 

What makes you say that?

[mikebell]

The Chinese have colonised Africa and Cambodia economically; it makes sense to takeover Thailand though for the life of me I don't understand any company wanting to hire Thai workers.  Do the new companies sign over 51% to Thais like hapless farangs in the property-owning scam?

[DrTuner]

Trying to circumvent the sanctions. If BOI allows this, it'll backfire. They'll probably allow it because they want their numbers up and gain face. TiT.

[onekoolguy]

2 hours ago, DrTuner said:

Trying to circumvent the sanctions. If BOI allows this, it'll backfire. They'll probably allow it because they want their numbers up and gain face. TiT.

I dont think these are sanctions? They are huge increases in tariffs for goods exported from China. If the goods are manufactured in Thailand I dont think that is illegal? Thousands of companies are moving production out of China and going elsewhere in Asia. The local countries are benefitting from this even if some are still controlled by Chinese. Local labor etc.

[Cake Monster]

4 hours ago, DrTuner said:

Trying to circumvent the sanctions. If BOI allows this, it'll backfire. They'll probably allow it because they want their numbers up and gain face. TiT.

But the risks are very high indeed.

Not just incurring the wrath of Trump, but the Chinese as well, if all the Investment goes down the Toilet and sanctions are imposed on Chinese Companies operating out of Thailand.