Thailand approves support measures for U-Tapao Airport development

The Thai Cabinet has approved urgent support measures to accelerate the development of U-Tapao Airport and the Eastern Aviation City. These measures, proposed by the Eastern Economic Corridor Policy Committee (EECPC), aim to create a favorable investment environment to attract high-value technology, tourism, and service industries to the Eastern Economic Corridor (EEC).

Key economic incentives include allowing businesses to deduct double the amount of capital expenditure (CAPEX) and operating expenses (OPEX) for corporate income tax calculations. Additional considerations are being made for companies promoting clean energy, advanced technology, or high-skilled labor. The plan also includes reducing corporate income tax for international air transport businesses for five-year periods.

To facilitate international participation, the government will implement the ‘EECa Visa’ to allow foreign specialists to reside and work within the special economic zone. The Eastern Economic Corridor Office (EECO) estimates these measures could attract 1.3 trillion baht in private investment, create over 63,000 jobs, and boost the first-year GDP by more than 37 billion baht.