Thai Airways Finalises THB 10 Billion U-Tapao MRO Investment

The national carrier is set to sign a 50-year lease for a 210-rai site in January 2026 to develop a world-class 'Smart Hangar' maintenance facility, targeting 200 billion baht in total revenue.

Thai Airways International (THAI) is moving forward with a major investment in its Maintenance, Repair, and Overhaul (MRO) business, confirming plans to invest approximately 10 billion Baht in a new hub at U-Tapao International Airport.

THAI CEO Chai Eamsiri revealed to Krungthep Turakij that the company has secured Board approval for the investment and is scheduled to sign the lease contract in January 2026 with the Eastern Economic Corridor (EEC) Office.

The project, which will utilise a 210-rai (approximately 83 acres) plot of land, is central to the state carrier’s strategy to position Thailand as a regional aviation hub.
 

While the original proposal explored a joint venture with Bangkok Airways (BA), a refined structure has been agreed upon.

THAI will directly lease the land from the EEC Office, after which BA will enter into a sub-lease to ensure both airlines can jointly use the space for their MRO development needs.

In preparation for the launch, THAI has established two new, wholly-owned subsidiaries: Thai MRO Group Company Limited and Thai MRO Services Company Limited, each capitalised at 1 million baht.

The new facility is planned to be a flagship development featuring a Smart Hangar, equipped with modern technology capable of servicing both Airbus and Boeing aircraft.

The investment will create substantial maintenance capacity:

• The Heavy Maintenance section will be able to service three wide-body aircraft simultaneously.
• Annual capacity is projected at 110 wide-body and 130 narrow-body aircraft for major maintenance checks.
• Line Maintenance is expected to handle up to 70 flights daily.
• The facility will also include full Aircraft Painting capacity for around 22 aircraft annually.

The financial projections are ambitious, with an estimated revenue of 400–500 million baht in the first year from servicing 10 aircraft.

Over the entire 50-year contract term, the project is forecast to generate total revenue of 200 billion baht, supported by an average annual revenue growth of 2%.