Thailand sees smart and green applications top 146 billion baht

Thailand’s Board of Investment (BOI) has received 1,397 applications for investment promotion under measures supporting the transition towards smart and Sustainable Industry, with combined investment worth more than 146 billion baht.

Narit Therdsteerasukdi, Secretary-General of the BOI, explained that the agency is prioritising support for the industrial sector to accelerate its shift towards smart and green operations in line with global trends.

This includes modernising machinery, adopting automation, robotics and digital technologies, improving energy efficiency and using renewable energy, as well as upgrading factories to reduce their environmental impact.

The BOI is also supporting businesses in adapting their operations to meet international sustainability standards, helping them remain competitive under changing global market requirements.

From the introduction of the smart and sustainable industry upgrading measures in 2023 through the first half of 2026, both Thai and foreign businesses have increasingly invested in improving operational efficiency.

A total of 1,397 projects have applied for investment promotion under the measures, representing investment of more than 146 billion baht.

Automation drives smart industry transition

One area attracting growing interest in the shift towards smart industry is the use of automation and robotics in manufacturing. These technologies can help raise productivity, improve precision and flexibility, reduce errors, enhance product quality and prepare businesses for Thailand’s ageing society.

Many manufacturers are now accelerating investment in automation across production processes, internal factory logistics and product quality inspection.

Thai Beverage Can, a metal packaging manufacturer, has introduced automation to connect machinery across its aluminium lid production line, enabling continuous operations from forming the lids and fitting sealing materials to handling the products.

Panasonic Energy (Thailand), a battery manufacturer, has invested in automated systems for its packing processes and internal factory logistics, using the services of a Thai system integrator.

Digital technology strengthens factory management

Alongside automation, businesses are increasingly using digital technology to improve factory management.

Aisin Thai Automotive Casting, a manufacturer of automotive transmission components, has invested in enterprise resource planning (ERP) software that connects operational data across the company. The system supports production planning, supply-chain management and more accurate and efficient data-driven business decisions.

Some companies have combined automation with digital technology to develop smart factories. Nitro Chemical Industry, which produces nitrocellulose for the chemical industry, has upgraded its plant with automated systems and real-time data analysis, helping to reduce waste, improve safety in chemical handling and lower energy costs.

Green investment targets energy use and emissions

For the transition towards green industry and greater sustainability, the BOI is encouraging more efficient energy use and measures to reduce environmental impacts.

A number of companies are accelerating investment in technologies that lower energy consumption and greenhouse gas emissions as they prepare to meet environmental standards in global markets.

PTT Global Chemical has invested in a system that recovers otherwise unused cooling energy and reuses it for heat exchange in its ethylene and polypropylene production processes, helping to reduce energy consumption.

Siam Cement (Ta Luang) has also adjusted its production processes by using biomass and refuse-derived fuels as substitutes for coal. The change is intended to reduce carbon dioxide emissions from cement production while cutting energy costs and lowering environmental impacts.

International standards support global competitiveness

The BOI is also encouraging businesses to upgrade their production standards to comply with global requirements covering the environment, safety and sustainability.

Companies are being encouraged to obtain international certifications, including GAP, FSC, PEFC and ISO 22000, to strengthen confidence among trading partners, improve access to overseas markets and enhance their long-term competitiveness.

Narit noted that the challenges facing businesses today extend beyond production costs. Companies must also focus on production and resource efficiency, their ability to adapt to change and compliance with modern global market requirements.

The transition towards smart and green operations is therefore becoming increasingly important for competitiveness, combining intelligent manufacturing systems with sustainability to strengthen the long-term capabilities of Thailand’s industrial sector.