Thailand's First Smart Industrial Estate Takes Shape as Global Firms Sign Up

TUESDAY, SEPTEMBER 02, 2025
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ARAYA project in Samut Prakan attracts semiconductor giants amid competition for foreign investment in Southeast Asia

  • ARAYA – The Eastern Gateway is being developed as Thailand's first fully integrated smart industrial estate, a $560 million project in Samut Prakan province.
  • The development has secured its first major global tenants, including semiconductor leader Infineon Technologies and retail giant MR. D.I.Y.
  • Designed as an "Industrial-Tech Ecosystem," the estate targets advanced sectors like semiconductors and EV batteries with integrated 5G networks and renewable energy solutions.

 

Thailand's industrial landscape is witnessing a significant development with ARAYA – The Eastern Gateway progressing towards becoming the country's first fully integrated smart industrial estate.

 

The 4,600-rai (736-hectare) development in Samut Prakan province has secured its first major tenants, including global semiconductor leader Infineon Technologies Manufacturing (Thailand) and retail giant MR. D.I.Y. (Thailand).

 

The project, located at kilometre 32 on Bangna-Trad Road, represents a $560 million (20 billion baht) investment by a consortium of Thailand's leading industrial developers: Frasers Property (Thailand), Rojana Industrial Park, and Asia Industrial Estate Company.

 

The site's strategic positioning offers access to Bangkok's central business district within 30 minutes, Suvarnabhumi Airport, and the Eastern Economic Corridor.

 

Kamonkarn Kongkathong, managing director of ARAYA Land Development Company, said the development aims to redefine Thailand's industrial future through its "Industrial-Tech Ecosystem" concept.

 

Kamonkarn Kongkathong

 

The project integrates six zones: an Industrial Tech Campus, Logistics Park, Industrial Estate, Lifestyle & Amenities area, Community Services Centre, and planned residential developments.

 

"We are not simply developing a new industrial estate; we are building an ecosystem to redefine Thailand's industrial future," Kamonkarn explained.

 

She emphasised that the project brings together key components in a single location to provide comprehensive support for both local and international investors.

 

 

Thailand's First Smart Industrial Estate Takes Shape as Global Firms Sign Up

 

The company is targeting sales of 400 rai this year, with executives expressing confidence in meeting this goal.

 

"We are confident that by the end of this year, we will definitely reach our sales target," Kamonkarn stated.

 

The timing appears crucial as Thailand competes with regional rivals for foreign investment.

 

According to project executives, whilst some businesses have delayed investment decisions due to trade policy uncertainties, others are seeking to diversify their manufacturing bases away from single-country dependence.

 

Thailand’s Industrial Estate Authority officially designated ARAYA Industrial Estate as a General Industrial Estate in July 2025, marking its progress towards becoming the first smart industrial estate with formal government recognition.

 

Thailand's First Smart Industrial Estate Takes Shape as Global Firms Sign Up

 

The development targets advanced technology sectors, particularly semiconductors, electronics, electric vehicle batteries, and data centres.

 

The project has secured partnerships with major infrastructure providers. PTT Group will supply natural gas-powered energy solutions, AIS is developing 5G and fibre optic networks, and the Metropolitan Electricity Authority will provide a 115kV/24kV electrical system. Solar panel installations across rooftops and open spaces are planned to integrate renewable energy into the main grid.

 

 

Thailand's First Smart Industrial Estate Takes Shape as Global Firms Sign Up

 

ARAYA's first phase covers 1,444 rai and focuses on logistics and industrial facilities. The residential and retail components, to be developed by Frasers Property Thailand, are expected to commence 2-3 years later once industrial operations are established. Complete infrastructure development is targeted for completion by late 2026.

 

Land prices in the Bangna-Trad corridor currently range from $365,000-420,000 (13-15 million baht) per rai for developed, ready-to-use plots. Project executives acknowledge their pricing sits above market averages but argue the premium reflects the comprehensive infrastructure and strategic location.

 

The development faces competition from established industrial estates whilst positioning itself as a premium option for large-scale manufacturers requiring both production facilities and urban amenities for their workforce.

 

Current discussions involve 2-3 major potential tenants, according to company statements.

 

Kamonkarn Kongkathong

 

Thailand's broader industrial estate sector continues to benefit from government support through the Board of Investment and Industrial Estate Authority policies, despite political uncertainties.

 

The country's established infrastructure and clean energy capabilities provide competitive advantages over regional rivals, industry executives suggest.

 

The project's success will be closely watched as Thailand seeks to maintain its position as a regional manufacturing hub whilst transitioning towards higher-value industries and smart manufacturing technologies.