Thailand's National Semiconductor and Advanced Electronics Policy Board approved a national strategy on Thursday that targets roughly US$80 billion in cumulative investment, US$150 billion in annual industry revenue and more than 230,000 new jobs by 2050, as the country tries to move beyond its traditional role in chip assembly and packaging.

The "Made in Thailand" chip initiative sets out a framework 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 concentrates on three technology 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.

A three-stage roadmap

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

The end goal, set for 2050, is a complete domestic supply chain in which Thai companies act as local champions that co-develop innovation and hold key positions in the chain.

Deputy PM and finance minister Ekniti Nitithanprapas, who chairs the semiconductor policy board, framed the strategy as a first for the country. "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," he said in a statement. "It gives investors a clear view of our technology priorities, infrastructure commitments and workforce-development plan through 2050."

Investor interest already running high

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

That pipeline gives the strategy a commercial foundation that goes beyond policy paper targets. It also signals that foreign manufacturers already see Thailand as a viable location for higher-value electronics work, not just low-margin back-end processing.

BOI secretary general Narit Therdsteerasukdi said coordination across the state apparatus will determine success. "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," he said.

The BOI said the government will back the plan with investment incentives, workforce development, R&D infrastructure and regulatory reform designed to widen market access for foreign investors and Thai suppliers.

Infineon lands first

The strategy's near-term credibility gets a boost from Infineon Technologies. The world's largest maker of power semiconductors and automotive chips will open its first Thai factory in Samut Prakan 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. The plant aligns directly with one of the strategy's three focus platforms — power semiconductors — and provides an early test of whether Thailand can host the higher-value manufacturing activities the 2050 plan envisions.

Long timeline, real hurdles

A 25-year horizon invites skepticism. Building front-end wafer fabrication is capital-intensive, and the global chip market is already contested by established fabrication hubs with deep subsidies. Thailand's immediate strength remains in the back end, where its industrial base is mature, and the roadmap sensibly sequences upstream ambitions only after that base is scaled.

Much will depend on execution of the promised regulatory reform and incentives, and on whether the 2040 phase can attract anchor investors in design and fabrication — historically the hardest capital to win.

The strategy's first measurable checkpoint comes at the end of the decade, when Thailand intends to have advanced packaging scaled and the groundwork for domestic wafer production in place.