SET-listed industrial developer Amata Corporation is preparing to build a new industrial estate in Oudomxay in northwestern Laos to serve foreign investors likely to expand or relocate from China to avoid the impact of the US-China trade war.
Many entrepreneurs want to move to Southeast Asia, with Laos among the potential investment destinations due to state tax incentives to promote new business development.
"We have received a number of inquiries about industrial estates from customers, indicating growing demand for industrial land in Southeast Asia following changes in US trade policy," said Osamu Sudo, acting chief marketing officer at Amata.
The Lao government agreed to grant Amata a 30-year concession to lease the land, with the opportunity to apply for a 20-year extension in the future, said Vikrom Kromadit, chairman and acting chief executive of Amata Corporation.
The company plans to spend 1 billion baht in the first phase developing a new industrial complex named Amata Smart & Eco City Namor this year.
Lao authorities approved Amata's plan to develop industrial land spanning 20,000 rai.
"We will develop 600 rai in the first phase," said Varong Tangpraprutgul, managing director of Amata City Lao Co. "We aim to expand the industrial estate to cover 60,000 rai in the future."
Located along the Laos-China railway and 40 kilometres from the border between the two countries, Amata Smart & Eco City Namor is set to host green and light industries.
The National Assembly resolved on March 20 to implement a tax deferral policy to promote industrial investment. The policy promotes investment at Amata's new industrial estate, allowing investors to delay paying tax for a certain period.
This incentive targets investors in four industries: agro-processing, which is meant to promote use of local raw materials; renewable energy; cars and auto parts; and electrical and electronic equipment.
In 2025, Amata set a target to sell or lease 3,500 rai of land, a year-on-year increase of 15%. Most of the land, some 2,500 rai, is in Thailand, with 500 in Laos and 500 in Vietnam.
The firm plans to spend more than 7 billion baht this year developing more industrial land and building infrastructure at industrial estates in Thailand.
