The US-Thai Amity Treaty (Treaty of Amity and Economic Relations between the Kingdom of Thailand and the United States of America) was signed in 1966 aiming to give special rights and benefits to American citizens who wish to establish their businesses in Thailand.
Benefits for US investors for both corporations and individuals:
- American companies can hold majority of the shares or the whole company, branch office or representative office located in Thailand.
- American companies may engage in business on the same basis as Thai companies, and are exempt from most of the restrictions imposed by the Foreign Business Act
Restrictions:
While the Thailand Treaty of Amity provides the above-mentioned advantages, the US citizen is also subjected to certain restrictions:
- An Amity Treaty Company cannot own land
- An Amity Treaty Company cannot engage in businesses related to:
- Natural Resources Exploitation
- Liberal Professions
- Domestic Trade in Agriculture Products
- Conducting of Inland Transportation and Communication Industries
- Inland Communications
- Fiduciary Functions
The following requirements must apply:
- A minimum of 51% of shares must be held by American citizens
- A minimum of 50% of directors must be American citizen(s)