What is a the Thai-US Treaty of Amity?
The Thailand-U.S. Treaty of Amity allows American companies or individuals to own and operate businesses in Thailand with the same rights as Thai companies. It grants U.S. businesses national treatment, meaning they can hold a majority stake in Thai companies and operate without many restrictions imposed on foreign entities.
Who Can Apply For the Treaty of Amity?
Only businesses that are at least 51% U.S.-owned can apply for Treaty of Amity registration. This includes sole proprietors, partnerships, limited companies, joint ventures, branch offices, and subsidiaries of U.S. companies. The majority of directors and shareholders must also be U.S. citizens to qualify.
Step 1: Document Preparation
Company must prepare business documents, supporting that it has registered the business legally under Thai Law.
Stage 2: Certification by the Commercial Services Office (CSO)
Submit notarized company documents to the U.S. Commercial Service Office at the U.S. Embassy in Bangkok. The CSO certifies that the company is American owned and qualifies under the Treaty of Amity.
Step 3: Application to the Ministry of Commerce
Submit the CS certification along with the required application forms to the Department of Business Development (DBD) in the Thai Ministry of Commerce.
Registration Requirements by Company Type
Thai Partnership, Branch Office, Joint Venture, or Thai Limited Company
Articles of Incorporation;
Bylaws of the company;
Affidavit from a corporate officer, detailing: Company name, registration number, and date, Registered office address, Company jurisdiction, Details of directors, their nationality, and share ownership.
Total authorized capital and number of shares.
Nationalities of shareholders and their share distribution
Sole Proprietorship
Requires only a notarized passport or birth certificate to prove U.S. citizenship.
Submit this document to the U.S. Commercial Service at the U.S. Embassy in Bangkok for certification.
Subsidiary of a Parent Company
Must provide all the standard documents for a Thai limited company, plus additional documents proving the parent company’s ownership and management.
U.S. Company Investing in a Thai Company (Majority Shareholder)
Must show notarized proof that the majority of owners and directors in both the applying U.S. company and the Thai company are U.S. citizens.
Key Benefits of The Treaty of Amity
Ownership
100% U.S. ownership over most sectors.
Opportunity
Same legal rights as Thai companies with fewer restrictions than other Foreign owned company structures.
Operations
Simpler regulatory framework than other foreign company set ups, making it easier to run the business.
Navigating the Treaty of Amity registration process can be complex. Our experienced legal team assists in preparing documents, obtaining U.S. Commercial Service certification, and completing the final registration with the Ministry of Commerce.
Free Consultation
Frequently Asked Questions (FAQs)
Can a non-U.S. citizen be a shareholder in a Treaty of Amity-registered company?
No, to qualify under the Treaty of Amity, the majority of the company’s shareholders and directors must be U.S. citizens.
How long does the process take?
The timeline varies depending on document preparation, certification by the U.S. Commercial Service, and approval from the Thai Ministry of Commerce. On average, the process takes a few weeks.
Does the Treaty of Amity allow U.S. companies to operate in all industries in Thailand?
While the treaty provides broad benefits, some sectors are restricted, such as banking, land ownership, and certain service industries. It’s best to check specific industry regulations before applying.
What is the minimum registered capital for this type of business?
For Treaty of Amity the minimum registered capital is 3 million THB.
