Thailand approves plan to establish domestic chipset ecosystem by 2050

Details: John Tanner; Category: Regulation; 25 September 2026; 474 views

Thailand launched a new national strategy on Thursday to boost its semiconductor sector – which currently focuses mainly on assembly and packaging – into a fully integrated domestic chipset ecosystem by 2050.

The "Made in Thailand" chip initiative – which was approved on Thursday by the National Semiconductor and Advanced Electronics Policy Board – will establish a framework for domestic chip production covering chip research and design, front-end manufacturing, conventional and advanced assembly, packaging and testing, and high-value electronics applications.

According to a release from the Thailand Board of Investment (BOI), the strategy focuses on three tech platforms: photonics for AI, data centres and high-speed communications; power semiconductors for electric vehicles, energy-storage systems and power grids; and sensors for connected devices, automation, automotive, smart devices and medical applications.

Under the initiative roadmap, Thailand plans to reinforce its existing assembly and testing base, scale advanced packaging capabilities and lay the foundations for front-end wafer production by 2030. By 2040, it will seek more anchor investors in upstream activities, including chip design, wafer fabrication and advanced-technology manufacturing, to fill gaps in the supply chain.

Thailand aims to have a complete domestic supply chain in place by 2050, with Thai companies becoming local champions that co-develop innovation and hold key positions in the chain.

The BOI said the strategy will be backed by investment incentives, workforce development, R&D infrastructure and regulatory reform to enable broader market access for foreign investors and Thai suppliers.

Deputy PM and finance minister, Ekniti Nitithanprapas, who also chairs the semiconductor policy board, said the strategy targets around US$80 billion in cumulative investment and US$150 billion in annual industry revenue by 2050, as well as over 230,000 new jobs.

“This is Thailand's first comprehensive national framework for building semiconductor capabilities and moving the country into higher-value activities across the global supply chain," Ekniti said in a statement. "It gives investors a clear view of our technology priorities, infrastructure commitments and workforce-development plan through 2050.”

The BOI said it has received investment-promotion applications for 879 semiconductor and advanced electronics projects worth about THB909 billion (US$27.2 billion) from 2023 to the first half of 2026. Those projects span chip production at various stages, printed circuit boards (PCBs), hard disk drives, AI servers, networking and power-management equipment, and electronic parts for vehicles and office equipment.

"The 'Made in Thailand' chip initiative will bring together the country's technology, infrastructure, investment and talent through a strong, coordinated and comprehensive national plan to turn this ambition into reality," said BOI secretary general Narit Therdsteerasukdi.

The BOI also noted that Infineon Technologies, the world's largest maker of power semiconductors and automotive chips, will open its first Thai factory in Samut Prakan next week on October 1. The facility will produce and package advanced power modules for electric vehicles, energy storage, clean energy and advanced electronics. Infineon also plans to establish an R&D center, develop joint curricula with Thai educational institutions and employ more than 5,000 people in Thailand at full operation.