Cabinet acknowledges U-Tapao support measures

Thailand's Cabinet has acknowledged urgent support measures intended to accelerate the U-Tapao Airport and Eastern Aviation City project, including tax incentives and provisions to assist foreign entrepreneurs and personnel.

The measures, approved by the Eastern Economic Corridor Policy Committee (EECPC), were acknowledged by the Cabinet on Tuesday, August 25. They are intended to create a more favourable investment climate and draw targeted industries into the Eastern Economic Corridor (EEC), according to Lalida Periswiwatana, deputy spokesperson for the Prime Minister's Office.

U-Tapao International Aviation Co., Ltd. (UTA) and the EECPC signed their joint investment agreement for the project on June 19, 2020.

Lalida said the government wants the airport and Eastern Aviation City to attract investment, tourism, high-value technology and service industries, while linking EEC development to the wider national economy. The project is also intended to create long-term employment and economic opportunities locally.

Tax and visa measures

Among the proposed incentives is permission for businesses to deduct twice their capital expenditure (CAPEX) and operating expenses (OPEX) when calculating corporate income tax.

Additional incentives could also be considered for companies supporting highly skilled workers, modern technology, clean energy, knowledge or technology transfer, or high-value assets in specially targeted industries.

The package includes measures allowing foreigners to live, work or conduct business within the EEC Special Economic Zone. It also covers special temporary residence visas, known as EECa Visas.

Wider plans around the airport

Other guidelines include lower registration fees for real-estate leases and transfers. The committee has also examined the feasibility of a cruise terminal, yacht marina, feeder transport systems and an expansion of the EEC Aviation City Special Economic Zone.

These plans are intended to link U-Tapao more systematically with tourism, travel and investment activities in surrounding areas.

The EEC has also adjusted certain measures to meet legal requirements. They include tax exemptions on goods and services consumed or used for business within the Free Trade Zone, plus rules covering the import, maintenance and storage of racing cars, classic cars and privately collected vehicles.

Investment and tourism targets

The EEC Office estimates the project could generate 1.3 trillion baht in private-sector investment over its lifespan, create 63,701 jobs and attract 400,000 foreign tourists each year.

It also forecasts local spending of 20 billion baht once operations begin, with more than 37 billion baht added to GDP in the first year of operation.

Picture courtesy of TNR

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27 August 2026

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