The Thailand Board of Investment (BOI) has reported that 35 advanced materials projects worth approximately $690 million (23.5 billion baht) were filed between 2023 and the first half of 2026. These projects span multilayer ceramic capacitors (MLCCs), thermal graphite films, high-performance ceramics, battery and fuel-cell materials, neodymium magnets, glass and quartz fabrics for printed circuit boards, and nanomaterials for precision manufacturing. The surge reflects growing global demand for AI, electric vehicles (EVs), and clean energy, which is pushing suppliers to build upstream capacity in the country.
This investment wave marks a strategic shift for Southeast Asia's second-largest economy from downstream assembly toward high-value materials production. In AI computing and clean energy, materials that are lighter, more heat-resistant, and more conductive are critical to device performance. MLCCs, for instance, are essential components in products ranging from smartphones to AI servers, with a single high-end server using up to 30,000 of them. By attracting projects that produce these materials domestically, Thailand aims to reduce reliance on imports and move up the value chain.
Mr. Narit Therdsteerasukdi, Secretary General of the BOI, stated, "The world is moving toward products that are smaller and lighter, yet stronger and more efficient. Producing advanced materials in Thailand is key to building sustainable industrial capacity, reducing reliance on imports, and opening the door for Thai companies to join higher-value supply chains." The projects also strengthen supply chains for EVs, batteries, and clean energy, from coated foils for lithium-ion batteries to neodymium magnets for EV motors and bipolar plates for hydrogen fuel cells.
Thailand is already a production base for leading component makers, including Japan's Murata Electronics, which holds more than 35 percent of the global MLCC market, and Kyocera AVX Components, the world's top tantalum capacitor maker. Among the new investors, Taiwan's Fultech Fiber Glass produces glass fabric for printed circuit boards, including high-performance grades for AI servers, while Jones Tech makes synthetic and natural graphite films that dissipate heat from electronic devices. CoorsTek Advanced Materials, a subsidiary of US-based CoorsTek, is producing ceramics for automotive pressure sensors and silicon nitride balls for hybrid bearings in EVs and wind turbines. Golden Egret Cemented Carbide is making tungsten carbide powders for precision cutting tools, reinforcing Thailand's high-precision manufacturing base.
The implications extend beyond immediate investment figures. By building upstream materials and components, Thailand is laying the foundation for future supply chains in electronics, EVs, batteries, and clean energy. The BOI plans to continue supporting R&D, technology, and workforce development to sustain this momentum. As global demand for AI and clean energy accelerates, Thailand's ability to produce advanced materials locally could enhance its resilience against supply chain disruptions and create opportunities for Thai companies to integrate into higher-value global supply chains. For more information on investment incentives, visit the Thailand Board of Investment.
