UPDATE Q2/2017: ASEAN HEADQUARTERS IN THAILAND

2/2017 http://thailand.ahk.de

T H E M AG A Z I N E O F T H E G E R M A N - T H A I C H A M B E R O F C O M M E R C E

ASEAN HEADQUARTERS IN THAILAND Thailand vies for International Headquarters with incentives

ASEAN Headquarters: Thailand as an attractive alternative to Malaysia and Singapore

GTCC Ordinary General Meeting 2017

ANNUAL PARTNER:

German-Thai Chamber of Commerce Gala Night 2017 Friday, 26 May 2017, Shangri-La Hotel, Bangkok

Book Your Tickets Today

BUY 10 TICKETS, PAY FOR 9 Member:

TICKETS

4,000 baht net per person 36,000 baht net per table (10 seats)

Non-member:

6,000 baht net per person 54,000 baht net per table (10 seats)

Call 02 055 0621 or 02 055 0622

Terms & Conditions: Advance payment required prior to the event to guarantee tickets and tables.

Diamond Sponsor

Hotel Partner

Platinum Sponsors

Beverage Sponsors

Logistics Sponsors

Silver Sponsors

In-kind Sponsors

FROM THE EDITOR Dear readers, Thailand's strategic advantage in terms of the central location, par ticularly among emerging countries like Cambodia, Laos, Myanmar and Vietnam, together with its well-connected infrastructure, transportation, logistics network has provided the country a strong potential to drive the ASEAN economy.

Following the Thai government’s aim to promote Thailand as a dynamic gateway to the fast-growing economic markets, the establishment of International Headquarters (IHQ) and International Trading Centers (ITC) in the country is one of its current policies to attract more foreign investors with promotional incentives. These would greatly benefit international corporations, including German companies, which have parallel business activities in the neighbouring countries.

In this issue of UPDATE magazine, therefore, GTCC proudly presents the key aspects of setting up “ASEAN Headquarters in Thailand” through various contributions from Germany Trade & Invest, Schaeffler (Thailand), Lorenz & Partners, Staedlter Thailand, and Thailand’s Board of Investment.

Readers can learn about the oppor tunities and challenges facing the companies and the government’s policy updates on the IHQ/ITC applications.

During the first quarter of 2017, GTCC has organised various activities including Joint Chamber Luncheon on Thailand Economic Outlook 2017, networking events and site visits which were very well received by our members and sponsors. It also marked a new milestone with the move into GTCC’s new office at AIA Sathorn Tower, where GTCC is proud to welcome members and guests during its open house day on April 18.

GTCC would like to take this opportunity to extend its congratulations to its newly-elected Board of Directors for 2017/2018 and to express sincere gratitude to the outgoing directors for their devotion and valuable contributions to the success of the chamber.

I trust you will enjoy an interesting and informative read.

Best regards,

Dr. Roland Wein

UPDATE is published quarterly by the German-Thai Chamber of Commerce and distributed free of charge to members and qualified non-members in Thailand and abroad.

Subscription is also available at an annual rate of US$75 (airmail). Payment can be made in cash or by cheque to the German-Thai Chamber of Commerce, Empire Tower, 1 South Sathorn Rd., Bangkok 10120, Thailand. Tel.: +66 2 670 0600. Fax: +66 2 670 0601. E-mail address: info@gtcc.org.

Any opinions expressed in articles in this magazine do not necessarily reflect the views of the Chamber.

UPDATE welcomes story and photo contributions from members and non-members alike. Articles may be reproduced with acknowledgement, except for those taken from other sources.

Circulation per issue : 2,000

Publisher/Editor-in-Chief: Dr. Roland Wein Editor & Communications Director: Chadaphan Maliphan Advertising Director: Ganya Aparaks Design & Layout: Sorapol Liengboonlertchai Sub-Editor: Tony Oliver

Organiser:

The Authentic German Experience Sponsorship opportunities and table bookings will be available from the beginning of May 2017.

SEE YOU IN NOVEMBER! NEW DATE TO BE ANOUNCED SOON.

CONTENTS

06

Thailand vies for International Headquarters with incentives

16 Interview: BOI on Key Issues in Setting up ASEAN Corporate Headquarters in Thailand

22 Delegation Trip to BIOFACH 2017

ASEAN HEADQUARTERS IN THAILAND 10 ASEAN Headquarters: Thailand as an attractive alternative to Malaysia and Singapore

12 Schaeffler expanding its Asia-Pacific production with new Thai plant

14 Interview: High standards, strong results

make Staedtler Thailand an ASEAN, Asia-Pacific logistics hub

BUSINESS BRIEFS 18 DHL eCommerce Expands in Thailand’s Booming E-Commerce Market

19 Management Change at Ramada Plaza Bangkok Menam Riverside

CHAMBER ACTIVITIES 21 GTCC Consultation Day Laos 24 Hosting the Late King’s Funeral Chanting Ceremonies

28 Thailand Economic Outlook 2017

34 MoU Signing Ceremony between Samsen Brewery and KTCM

27 GTCC Ordinary General Meeting 2017

GTDEE INSIGHT 30 Public and Private Steering Committee Meeting 35 Visit to Kasetsart University

MEMBERS’ CORNER 37 GTCC Members Orientation & Testimonials

TRADE FAIRS 44 45 46 47 48

Spielwarenmesse 2017 ITB CHINA LIGNA 2017 POWTECH 2017 FENESTRATION BAU China 2017

06 ASEAN HEADQUARTERS IN THAILAND

THAILAND VIES FOR INTERNATIONAL HEADQUARTERS WITH INCENTIVES Dr. Waldemar Duscha

Thailand aims to expand its function as a regional business hub by attracting more international headquarters and trading centres with promotional incentives. The programme includes several activities and promotes various types of facilitation as well as tax incentives.

For German companies, the concept is particularly recommended when parallel business activities in the neighbouring countries – first and foremost in Cambodia, the Lao People’s Democratic Republic, Myanmar and Vietnam – are part of the long-term corporate strategy.

the Thailand Board of Investment (BOI) as well as the focus on 10 selected industry clusters, the setting up of five special economic zones close to the borders of the country and the industrial profiling of the Eastern Economic Seaboard. The aim is to broaden the country’s business potential and thus reach a higher international competitiveness. The two programmes (IHQ and ITC) are supported by incentive packages from the BOI and the Revenue Department of the Ministry of Finance.

The Thai metropolis of Bangkok is aiming to become more than a supra-regional hub for international companies. Starting with Regional Operating Headquarters (ROH), Bangkok has introduced two upgrade programmes for International Headquarters (IHQ) and International Trading Centres (ITC). The legal basis for this change is two Royal Decrees, No. 586 and No. 587, passed in 2015.

ATTRACTIVE KEY INCENTIVES

The establishment of regionally-operating company headquarters is one of the essential building blocks of the current support policy of

The capital income tax on dividends and interest is zero (usually 10 per cent and 15 per cent). The income tax rate for foreign employees

UPDATE 2/2017

The key incentives include an exemption from the corporation tax for out-out transactions, while "In-Out transactions" are subject to a reduced tax rate of 10 per cent instead of the general 20 per cent.

This includes fees for services, royalties and dividends.

ASEAN HEADQUARTERS IN THAILAND 07

“The presence of large foreign companies has grown and is likely to continue expanding. Thailand could tap a large potential here... Thailand has taken up pursuit and could be strongly affected by the growing integration with the neighbouring so-called CLMV country group…” is 15 per cent unlike the other progressive tax rates of up to 35 per cent. The non-taxable benefits include a 100 per cent capital participation and unrestricted work permits without personnel quotas or participation clauses.

A grand total of 11 activities are eligible to serve as qualifying activities in accordance with IHQ status – i.e., organization, management and business planning, procurement, product research and development, technical support, marketing and sales promotion, human resources (training and development), business advisory services such as financial management, investment analysis, credit management and control, asset management and other services by vote.

The criteria for the authorisation of an IHQ mainly comprise the execution of one of the qualifying activities for at least one branch of the foreign company or alternatively the company itself. The company capital must be at least 10 million baht (circa 270,000 euro; 1 euro = 37 baht) while the operating expenditures for the recipients (residing in Thailand) have to amount to at least 15 million baht.

GROWING INTERNATIONAL ATTRACTION The presence of large foreign companies has grown and is likely to continue expanding.

Thailand could tap a large potential here.

This has been proven by neighbours, such as Singapore and Malaysia, which are already operating in this field and which have a much higher success rate. Thailand has taken up pursuit and could be strongly affected by the growing integration with the neighbouring so-called CLMV country group (Cambodia, Lao PDR, Myanmar and Vietnam).

In a recent "Thailand Investment Policies Update", the BOI introduced 32 selected companies with an IHQ or a ROH, representing the most varied sectors and sectors. They include Chevron, Exxon Mobil, Toyota, Honda, Nissan, Isuzu, Toshiba, Mitsubishi, Michelin, Kobelco, Bombardier, Philips, Sony, Huawei, JVC, Nestlé, Ajinomoto, MeadJohnson Nutrition, Pepsico, Coca-Cola, Mondelez International, Lazada, Hoya, Agoda, Thomson Reuters, Macmillan Publishing Solutions, Ecco, Amadeus, Swarovski as well as the German conglomerates Allianz, Siemens and ThyssenKrupp.

TRENDSETTING EXAMPLES: JAPAN, CHINA The Japanese food group Ajinomoto was one of the pioneers in the establishment of an IHQ. The branch in Bangkok was designed as a business centre for the following Asian countries: Bangladesh, Cambodia, India,

www.thailand.ahk.de

08 ASEAN HEADQUARTERS IN THAILAND

Indonesia, Myanmar and Pakistan. The engagement with Thailand began in 2012 and today is worth a total investment of US$ 625 million. Future interests will be within the framework of the new food cluster, “Food Innopolis”, particularly in product lines such as medical food or food supplements.

In addition, the Chinese telecommunication conglomerate Huawei has established a business centre in Bangkok in order to seize the opportunities offered by the growing digital market. The regional headquar ters includes a training centre, a Customer Solutions Innovation Centre and an Innovation and Integration Experience Centre. The regional business radius covers 10 markets: Bangladesh; Cambodia; India; the Lao PDR; Myanmar ; Sri Lanka; Vietnam; Hong Kong, China; Macau, China; and Taiwan Province of China.

With regard to the vision of becoming a regional hub for information and communication technology, Huawei built its central regional office at well-known Wireless Road for around US$ 12 million. Specific interests were expressed: for example, suppor ting the Thai Government with the company’s Smart City projects by implementing its own security solutions in Phuket and Chiang Mai. According to Huawei’s own information, the company has invested US$ 600 m In Thailand since their market entry in 2011.

Contact details: Dr. Waldemar Duscha Representative in Thailand Germany Trade and Invest (GTAI) www.gtai.de/thailand www.gtai.de/asien-pazifik

INTERNATIONAL HEADQUATERS/TRADING CENTRES: SCOPE OF ACTIVITIES AND INCENTIVES Programme

International Headquarters (IHQ)

International Trading Centres (ITC)

Activity

Provide the following services: strategic business planning, raw material and parts procurement, product R&D, technical support, marketing support, human resources and training business advisory services, conducting economic analyses, and planning regional investment

Incentives offered by the BOI

- Exemption of corporate income tax for up to 15 years - 15% personal income tax rate (the lowest rate in ASEAN) - Exemption of import duty on machinery (only for R&D and training activities) - Exemption of import duty on raw materials and parts used in the production for export

Non-Tax Incentives

- Permission for majority or total foreign ownership - Permission to own land for 50 years - Permission to bring in skilled personnel and experts into the Kingdom to work in investment promoted activities

Conditions to apply

- Paid-up capital must be at least THB 10 million - Must supervise branch or associated enterprise that are located overseas, of more than one country

Source: Thailand Board of Investment, 2016-2017

UPDATE 2/2017

Facilitate cross-border trading for procurement storage, packaging, logistics, insurance and advisory services for technical and product assistance

- Paid-up capital must be at least THB 10 million

ASEAN HEADQUARTERS IN THAILAND 09

ASEAN HEADQUARTERS: THAILAND AS AN ATTRACTIVE ALTERNATIVE TO MALAYSIA AND SINGAPORE Till Morstadt and Dr. Constantin Frank-Fahle

Thailand is a member of the ASEAN Economic Community (AEC), which is aimed at creating regional economic integration (ten countries, one common market). It is expected that AEC will enhance the trend of implementing shared-service organizations.

In 2015, revised investment promotion schemes of the International Headquarters (IHQ) and International Trading Centre (ITC) were introduced to strengthen Thailand’s role in attracting foreign investors for establishing shared-services hubs.

the Revenue Depar tment) as well as non-tax incentives (granted by the Board of Investment). To qualify for investment promotion, a company must be registered in Thailand with a minimum paid-up capital of 10 million baht and minimum operating expenses of 15 million baht paid locally per fiscal year.

OVERVIEW OF THAI INVESTMENT PROMOTION

Promoted IHQ activities include providing administration or technical ser vices, a supporting service or financial management to its associated enter pr ises, whereas promoted ITC activities include purchasing and selling goods, materials and par ts or providing services in international trades.

The investment promotion for IHQs and ITCs consists of tax incentives (granted by

Applications for the tax incentives have to be submitted to the Revenue Department;

the application process takes approximately two to three months. Incentives for IHQs include exemption from corporate income tax on profits from “out-out” and “in-out” transactions as well as a reduced corporate income tax rate (10% instead of 20%) on profits from “in-in” transactions. ITCs are granted the same incentives, but only on profits from “out-out” transactions (table 1).

The incentives are granted for up to 15 years, provided that the above conditions are fulfilled in every fiscal year. If a company does not meet the conditions in any given year, the incentives are revoked for that particular year, but can be granted again in the following year(s).

www.thailand.ahk.de

10 ASEAN HEADQUARTERS IN THAILAND

Table 1. Incentives for IHQ and ITC “In-In” Income received from the provision of management or technical services, and supporting services to its associated enterprises incorporated under Thai law

Income derived from the provision of treasury centre services to its associated enterprises incorporated under foreign law

Income received from the provision of treasury centre services to its associated enterprises incorporated under Thai law

Royalties or dividends received from associated enterprises incorporated under foreign law

Royalties or dividends received from associated enterprises incorporated under Thai law

Trading (IHQ + ITC)

Headquarters (IHQ)

Income received from the provision of management or technical services, supporting services to its associated enterprises incorporated under foreign law

Treasury (IHQ)

“In-Out”

Holding (IHQ)

“Out-Out”

Income derived from buying and selling goods abroad without importing such goods into Thailand, and income from international trade services provided to foreign companies and received in or from a foreign country (regarding IHQ to affiliated companies only)

CIT exempt*

10% CIT*

* Regular CIT rate: 20%

In addition to the above corporate income tax incentives, expat management personnel of IHQs and ITCs can benefit from a 15% flat personal income tax rate (instead of the progressive rates of up to 35%). To qualify, the expat must be present in Thailand for at least 180 days per calendar year (thereby constituting a Thai tax residency), have obtained a valid work permit from the Ministry of Labour as a skilled or expert worker, and have a minimum annual salary of 2.4 million baht (or 200,000 baht per month for the first approved fiscal year).

The Board of Investment grants non-tax incentives, such as exemption from import duty, permission to bring expats into the country, land ownership, unrestricted remittance of foreign currency abroad, and ownership of 100% of the company’s shares. These incentives can be applied for independently from the Revenue Department’s tax incentives (and vice ver sa). The application process takes approximately two to three months.

A comparison of company headquarters promotion schemes in Malaysia, Singapore and Thailand shows that Thailand offers an attractive alternative (table 2). Both Singapore and Malaysia offer investment promotions for headquarters that differ with regard to minimum investment, required service levels and granted incentives:

UPDATE 2/2017

“Thailand’s IHQ Scheme has the lowest and most transparent requirements, and grants the longest fixed promotion period (15 years).”

ASEAN HEADQUARTERS IN THAILAND 11

Table 2. Comparison of company headquarters schemes

Name Categories Paid-up capital Operating expenses

No. of affiliates Tax incentives Regular CIT rate Duration a b

Singapore

Malaysia

HQ Programme

Principal Hub

Regional HQ

IHQ

Tier 1

Min. SGD 0.5 millionb (approximately THB 12 million)

Thailand IHQ

Tier 2

Tier 3

MYR 2.5 million (approximately THB 20 million) MYR 10 m (approximately THB 80 million)

MYR 5 m (approximately THB 40 million)

MYR 3 m (approximately THB 24 million)

3 HQ services to 3b

3 HQ services to 5

3 HQ services to 4

3 HQ services to 3

0%

5%

10%

0/5/10% 17%

3+2 years

5-20 years

THB 10 million

min. SGD 3 ma (approximately THB 74 million)

15%

ITC

THB 15 million

1 HQ service to 1

1 ITC service to 1

0/10%

25%

20%

5+5 years

15 years

In addition, there are further requirements, e.g., a minimum number of local employees.

By the end of year three.

Thailand’s IHQ Scheme has the lowest and most transparent requirements, and grants the longest fixed promotion period (15 years).

Malaysia’s Principal Hub scheme contains a three-tier promotion system, which requires substantial paid-up capital and operating expenses.

Singapore’s Headquar ters Programme comprises a two-tier promotion scheme which requires high operating costs. The first tier (Regional HQ) only provides a tax advantage of approximately 2% CIT, which is quite low compared to the administrative efforts. The second tier (IHQ) does not contain any clear requirements at all.

Thailand is thus an attractive choice for multinational enterprises to establish their ASEAN headquarters.

Contact details: Till Morstadt Equity Partner Dr. Constantin Frank-Fahle, LL.M. Senior Consultant Lorenz & Partners Co., Ltd. Tel: 02 287 1882 constantin.frank-fahle@lorenz-partners.com www.lorenz-partners.com

www.thailand.ahk.de

12 ASEAN HEADQUARTERS IN THAILAND

SCHAEFFLER EXPANDING ITS ASIA-PACIFIC PRODUCTION WITH NEW THAI PLANT Ashish Shukul

Schaeffler Group inaugurated its first owned-plant in South-East Asia with a grand opening ceremony in Chonburi province in October 2016. The new facility, located at the Hemaraj Chonburi Industrial Estate II, about 150 kilometres from Bangkok, will in Phase 1 produce automotive components for engine and transmission applications.

The plant will significantly expand the local production footprint of Schaeffler in Asia Pacific.

The new plant is part of planned strategic investments by Schaeffler to expand its manufacturing as well as research and development footprint in the Asia-Pacific region. Schaeffler plans to invest 20 million euros (800 million baht) in setting up Phase 1 of the plant.

SHAPING MOBILITY FOR TOMORROW “This plant is part of our vision to become a leading development partner for our customers in one of the world’s most impor tant automotive growth markets.

As par t of its strategy ‘Mobility for To m or row ’ , S ch a e f f l e r i s ac tive ly developing products and solutions to optimize current technologies and create innovations that will shape the future,” according to Mr. Andreas Schick, CEO Schaeffler Asia Pacific.

UPDATE 2/2017

“As the automotive market continues to evolve, and with the increasing focus on the Asia-Pacific region, Schaeffler is gearing up to partner with customers for the next phase of growth,” he added.

PREPARING FOR FUTURE GROWTH Product lines introduced in Phase I of the Chonburi plant occupy one part of the plant’s total area of 55,000 square metres. The lines include clutch discs and clutch pressure plates, mechanical and hydraulic belt tensioners, synchronizer rings and clutch release systems. The production facility has been built on a modular concept in order to add new lines for Schaeffler products and solutions across the automotive value chain. Plans are underway for finalising products for Phase II. “The opening of the new plant strengthens the operational and engineering competence of Schaeffler in the region, and enables us to respond more quickly to changes in the market. Several of our long-term, global customers are based here and Schaeffler is committed to working together with them to boost the automotive sector in the region,” according to Mr. Junichi Shimada, Managing Director of Schaeffler Manufacturing (Thailand) Co. Ltd. The Chonburi plant is an automotive plant so the product lines and offerings are for all major automotive OEMs in Thailand and SouthEast Asia. Schaeffler offers its entire range of industrial and automotive

ASEAN HEADQUARTERS IN THAILAND 13

“Schaeffler plans to intensify investments in the region despite the current difficult environment.”

products via its sales offices and distribution partners in Thailand. In the automotive sector, Schaeffler is a leading supplier to OEMs as well as the aftermarket segments.

Asia-Pacific or ganisation ensures that customers in the automotive and industrial divisions are served rapidly with applications specific to their needs. Schaeffler is actively strengthening its local manufacturing and engineering footprint in Asia Pacific to meet the growing customer requirements of localisation and application development.

86,600 employees, Schaeffler is one of the world’s largest family companies and, with approximately 170 locations in more than 50 countries, it has a worldwide network of manufacturing locations, research and development facilities and sales companies.

SCHAEFFLER GROUP – A GLOBAL LEADER

Contact details: Ashish Shukul Director, Communications & Marketing Schaeffler Asia Pacific Tel +66 33 079 879 shukuahi@schaeffler.com www.schaeffler.com

The Schaeffler Group is a global automotive and industrial supplier. Top quality, outstanding technology and an exceptionally innovative spirit form the basis for the continued success of the company.

In 2016, the company generated sales of approximately 13.3 billion euros. With around

With regard to the industrial sector, the company provides products and services to customers in heavy industries, cement, steel, mining and quarrying, pulp and paper, sugar, palm oil and motorcycles segments. The Chonburi plant will also cater to automotive aftermarket customers and par tners by acting as a training centre.

Schaeffler plans to intensify investments in the region despite the current difficult environment. With several long-term, global customers based in the South-East Asia region, the company is committed to expanding its local presence in the market.

SCHAEFFLER IN ASIA-PACIFIC Schaeffler operations in the Republic of Korea, Japan and countries in South-East Asia represent the Asia-Pacific region and managed by the regional headquarters in Singapore.

With seven manufacturing locations and five research and development facilities, the

www.thailand.ahk.de

14 INTERVIEW

HIGH STANDARDS, STRONG RESULTS MAKE STAEDTLER THAILAND AN ASEAN, ASIA-PACIFIC LOGISTICS HUB Markus Handfest, Managing Director of Staedtler Thailand

Staedtler, one of the world's leading manufacturers and suppliers of writing, colouring, drawing and creative products, is set to increase profits and actively expand its business in the Association of Southeast Asian Nations (ASEAN) and Asia-Pacific. Since 1992, the company has been exporting worldwide from Thailand. Staedtler Thailand, which finally became a distribution hub for the Asia-Pacific region in 2013, exports to more than 60 countries, including Australia, Cambodia, Indonesia, Japan, the Republic of Korea, Malaysia, Myanmar, New Zealand Hong Kong, Singapore,Vietnam as well as to Hong Kong, China.

Obviously, Staedtler Thailand serves as the main pillar of the company’s business in the region, although Thailand is not the company’s only manufacturing site in Asia. There are three Staedtler production bases worldwide – Germany, Thailand and Indonesia. In this issue of UPDATE magazine, GTCC is pleased to include an interview with Mr. Markus Handfest, Managing Director of Staedtler Thailand, who kindly shared his perspectives on the company’s expansion plan, challenges and function as a logistics hub in ASEAN and Asia-Pacific.

Staedtler recently hosted a grand opening of its second factory. We learnt that your company plans to expand in ASEAN. Why did the company choose Thailand as a business hub for ASEAN and the Asia-Pacific region, and not Indonesia or Malaysia?

Thailand offers many advantages that help us to increase our sales within the country and to export Staedtler worldwide from Thailand. Not only the great infrastructure and the close proximity to ports and airports are well suited for our manufacturing and export business.

But also the great production foundation, which we built up within the last decades justify the decision for Thailand. The combination of our high German quality and recent innovative refurbishment which includes energy efficient and eco-friendly machineries, as well as the flexibility to best meet the needs and expectations of the Thai and other Asian consumers, are a good basis to make our products very competitive in the Thai market and beyond.

UPDATE 2/2017

INTERVIEW 15

What are your opportunities in the ASEAN Market compared to Asia-Pacific in general?

The population in ASEAN is growing fast. Especially the number of young educated people is increasing. To give you an illustrative example, let’s have a look at Indonesia where we see that the number of school-aged children is already now larger than the entire German population and will even grow in the future. And also the demographics in other Asian countries such as Vietnam are promising.

As we at Staedtler strongly believe that analogue technologies, such as writing, drawing and crafting play a necessary and complimentary role even in a digital world as they build a foundation for human development, the education sector is very important for us.

What are your key challenges in doing business in Thailand? Several German companies here have mentioned their challenges in terms of unqualified labour such as the lack of technical/key skills and English language proficiency.

While Thailand’s unemployment rate remains low, Staedtler experiences a shor tage of qualified labour. Par ticularly in the engineering field it is a challenge to find good staff. We believe that the best way to meet this challenge is to invest strongly in the training of our employees. Only this way we can ensure the special qualifications that are necessary in our factories. We also make it a point to exceed local laws and regulations in terms of work safety, environmental protection and employee benefit, and so far our staff has rewarded us for it by staying with us for many, many years.

Staedtler has signed a social charter and has a voluntary agreement with IG Metall, Germany’s largest labour union. It underlines the fact that the standards of employees will be sustained at a high level all over the world. This contributes to the company’s high employee retention rate and highlights its respect towards Thailand’s society.

Since the corporate culture of companies in Asia is often shaped by strong social circles, Staedtler also takes care that its corporate actions go beyond an employee’s emotional and cultural needs. Corporate citizenship is central to the company’s values and builds the foundation for fair business in Thailand.

Even though the challenges Staedtler is facing are mostly minor issues, such as the language barrier, we want to point out that a larger challenge is the wide range of laws and regulations in Thailand, which

“Even though the challenges Staedtler is facing are mostly minor issues,…we want to point out that a larger challenge is the wide range of laws and regulations in Thailand…” come from many different branches of administration and sometimes contradict each other. To solve such problems we often require advice from third party professionals.

How does Staedtler Thailand perceive its future with regard to increasing digitalization?

Writing by hand is part of human development and education. It will therefore remain in the future. Despite the current age of digitalization, many people still enjoy connecting with the original tools. For example, the “Samsung-Staedtler S Pencil”, which Staedtler co-designed with Samsung, was very well received when it was presented in Barcelona last month. It indicates that many people still enjoy connecting with the feeling of a conventional pen despite the current age of digitalization. Thus, digitalization complements rather than threatens the company’s products.

What is your expected growth rate following the opening of the new factory and the plan to expand in ASEAN? Following our vision to become a stationery leader in Thailand, Staedtler’s expectations for the future are optimistic, especially when it comes to the Thai market and its consumption. A 5 per cent increase in revenue and double-digit growth for products exported from Thailand to ASEAN and Asia-Pacific can be expected in the next few years.

www.thailand.ahk.de

16 INTERVIEW

KEY ISSUES IN SETTING UP ASEAN CORPORATE HEADQUARTERS IN THAILAND Duangjai Asawachintachit, Deputy Secretary General of the BOI Thailand’s Board of Investment (BOI) has introduced two programmes for International Headquarters (IHQ) and International Trading Centres (ITC) to enhance the country’s potential as a gateway to Asia and its international competitiveness. Attractive incentives are offered to foreign companies applying for the programmes. Yet, some essential issues must be taken into account. GTCC is very pleased that Ms. Duangjai Asawachintachit, Deputy Secretary General of the BOI, kindly discusses the key concerns and provides us with update on IHQ/ITC applications.

What are the business opportunities in Thailand and ASEAN? Strategically located at the hear t of Asia, Thailand ser ves investors as a dynamic gateway to a fast-growing economic market.

The Kingdom's strategic location is further strengthened by its superior transportation, logistics network and excellent infrastructure.

With our world-class system encompassing air, sea, and ground transpor t, conductive business environment, and strong government suppor t, Thailand has demonstrated its advantages as the ideal base for internationallyminded businesses.

After our success in becoming a manufacturing hub for major industries, such as in automotive and electronics, Thailand aims to move its economic status as an upper middle-income country. Among the new initiatives underway, the Thai government has decided to attract more value-added activities including attracting Inter national Headquar ter s (IHQ) and International Trading Centers (ITC) to help build a more dynamic and sophisticated economy.

UPDATE 2/2017

INTERVIEW 17

“After the incentive package launched, we saw an upward trend in both the value and number of applications related to IHQs and ITCs submitted to the BOI. In 2016, 61 IHQ and 133 ITC projects were submitted to the BOI which accounted for 3.9 billion baht…”

What are Thailand’s key strategies to attract companies to set up their ASEAN/Asia Pacific corporate headquarters here?

Thailand offered its first incentive package to attract the world’s major corporations to open regional operating headquarters (ROH) in the country back in 2002, and handed out more attractive incentives in 2010 by offering 0% corporate income tax for 15 years.

To supercharge the programme’s popularity, we decided to move beyond the ROH scheme with the introduction of the new and more expansive International Headquarters (IHQ) and International Trading Centers (ITC), approved by the cabinet on December 2014. The new IHQ/ITC policy allows for a broader scope of activities, such as treasury centers and international trading centers.

An investor locating their IHQ in Thailand qualifies for incentives from three government agencies including; the Revenue Department, the Bank of Thailand and the Board of Investment (BOI). For example, the Revenue Department is providing an exemption on corporate tax covering 15 accounting periods inclusive for services provided to associated enterprises (AEs), on capital gains received from the sale of shares in AEs incorporated under foreign laws and a tax-exemption on income derived from the purchase and sale of goods to its foreign branches or AEs on the condition that such goods must not be imported into Thailand. Additionally, companies are also offered a personal income tax rate at 15% for expatriates who are specialists or at the executive level working in IHQs/ITCs. This incentive package also includes non-tax incentives offered by the BOI which aims to enhance Thailand’s abilities as a trading nation. The non-tax incentives include land-ownership rights for foreign investors, facilitation in bringing in foreign experts and technicians and majority foreign shareholders.

What are the countries which have applied for IHQs/ITCs? After the incentive package launched, we saw an upward trend in both the value and number of applications related to IHQs and ITCs submitted to the BOI. In 2016, 61 IHQ and 133 ITC projects were submitted to the BOI which accounted for 3.9 billion baht, a doubling in both the number of applications and investment values compared to 2015. These figures reinforce the notion of Thailand as a successful ASEAN hub and we fully expect this trend to continue its upward expansion in the near future.

The majority of IHCs and ITCs in 2015 and 2016 were from countries in Asia. The largest applications for IHQ/ITC are from Japan given that Japan has long been the most important source of foreign investment in Thailand. During 2015-2016, there were 5 projects from German companies approved. Therefore, the BOI is looking forward to welcoming more projects from Germany and other EU companies.

Companies setting up their IHQ and ITC in Thailand are both leading and medium-sized companies in various industries including automotive and automotive par ts, metal par ts, electrical and electrical par ts, chemicals and food. Ajinomoto, Electrolux, ExxonMobil, Huawei and Nissan are just a few companies which have already established IHQs/ITCs in Thailand.

How is the Thai government dealing with the major challenges such as skilled labours in setting up an IHQ/ITC in Thailand?

Human capital is one of the most impor tant requirements for multinational corporations in selecting a location for IHQ/ITC. In recent years, Thailand has faced labour shortages and competition in attracting IHQ/ITC. The BOI aims to identify key issues that will help enhance Thailand’s business environment. We are firmly committed to making Thailand one of the most preferred investment destination in Asia. As we are moving towards higher-technology and greater value-added businesses, we will need to strengthen our workforce. At the same time, we need to facilitate the entry and sojourn of foreign talents who will complement our local expertise. We hope that the participation of foreign experts in demand will lead to exchanges of experience and finally transfer of technology. Therefore, the BOI is now working on setting up a strategic talent center to facilitate the matching between the demand and supply of experts and to facilitate the entry and stay of experts needed.

If GTCC member companies are interested in establishing an IHQ or ITC, who should they get contact to get the process started?

German member companies interested in investing as an IHQ and ITC can contact us either at the BOI’s Head Office in Bangkok, the BOI’s Frankfurt Office, or the One Start One Stop Investment Center (OSOS). At the OSOS office in particular, we provide information and consultations on applications for incentives/privileges from the Revenue Department and Board of Investment, and related issues.

www.thailand.ahk.de

18 BUSINESS BRIEFS

DHL eCOMMERCE EXPANDS IN THAILAND’S BOOMING E-COMMERCE MARKET

DHL eCommerce, a division of the world’s leading logistics company, Deutsche Post DHL Group (DPDHL Group), is capitalizing on the booming Thai e-commerce market expected to more than triple in size to EUR 3.6 billion between now and 2020 by enhancing its nationwide coverage with next day delivery in remote areas and extending pick-up service to small e-commerce merchants to meet its growing customer demands.

DHL eCommerce, launched in January 2016 in Thailand, offers end-to-end domestic delivery services and easy access for local businesses to expand globally through affordable B2C international crossborder shipping and scalable, pay-per-use fulfillment solutions through a global fulfillment network within Deutsche Post DHL Group. The DHL eCommerce 3,222 sqm central hub in Bangkok and its domestic deliver y network across Thailand have the capacity to handle over 15 million shipments annually. For merchants, DHL eCommerce offers access to Cash on Delivery (COD) with daily remittance as well as access to a multilingual call center and easy IT integration of online orders to allow shippers to easily prepare orders for delivery into the DHL network.

From left: Mr. Malcolm Monteiro, CEO, DHL eCommerce Asia Pacific; Mr. Kiattichai Pitpreecha, Managing Director, DHL eCommerce Thailand; and Mr. Charles Brewer, CEO, DHL eCommerce

DHL eCommerce also enables Thai businesses to grow internationally and tap on the massive international e-commerce market through its range of affordable international cross-border shipping products and scalable, pay-per-use fulfillment solutions.

GRAND OPENING OF STAEDTLER’S SECOND FACTORY IN THAILAND On 13 March 2017, Staedtler Manufacturing (Thailand) Ltd. launched a new factory. It also announced a completed 80 million bath renovation and expansion project at its first factory in Lard Krabang Industrial Estate.

From left: Mr. Marcus Handfest, Managing Director, Staedtler (Thailand) Ltd.; Dr. Peer Gebauer, Minister, Deputy Head of Mission, Head of Economic and Commercial Affairs, Embassy of the Federal Republic of Germany; Ms. Jutta Winkelsträter, Head of Staedtler Group Human Resources, Staedtler Mars GmbH & Co. KG; Dr. Konstantin Czeschka, CTO, Staedtler Noris GmbH; and Dr. Roland Wein, GTCC Executive Director.

UPDATE 2/2017

BUSINESS BRIEFS 19

MANAGEMENT CHANGE AT RAMADA PLAZA BANGKOK MENAM RIVERSIDE After 6 years of hard work and dedication Mr. Klaus Sennik (left), General Manager of Ramada Plaza Bangkok Menam Riverside, handed over the Key to Mr. Willem Pentermann on 15 March 2017. Mr. Sennik has made many improvements to the Hotel over the years and managed to place the Hotel on higher platform with regards to all aspects of the hotel operation. Mr. Willem Pentermann, the new General Manager, has been working in the Asia Pacific Region for the past 30 years and will bring a lot of exper tise to the Ramada Plaza Bangkok Menam Riverside.

http://thailand.ahk.de

20 CHAMBER ACTIVITIES

JFCCT PRESIDENTS' COUNCIL MEETING 2017 GTCC, represented by President Mr. Phongsakdi Chakshuvej and Executive Director Dr. Roland Wein, hosted the JFCCT Presidents' Council Meeting 2017 on 18 January 2017 at the Anantara Siam Bangkok Hotel. The meeting shared updates and key concerns, and discussed future co-operation among the foreign Chambers of Commerce in Thailand.

GTCC ICE-BREAKER NETWORKING: WELCOME NEW YEAR 2017 GTCC hosted its first Ice-Breaker networking meeting of 2017 on the theme “Welcome New Year 2017” on 26 January 2017 at the Chatrium Hotel Riverside Bangkok. The event was sponsored by Allianz C.P. General Insurance Public Company Limited, BNP Paribas Bangkok branch, Chatrium Hotel Riverside Bangkok and Wür th (Thailand) Co., Ltd.

UPDATE 2/2017

CHAMBER ACTIVITIES 21

GTCC CONSULTING DAY LAOS On 6 February 2017, GTCC had the pleasure of hosting the Exclusive Business Highlight, “Country Consulting Day Laos” at Anantara Sathorn Bangkok Hotel. GTCC Executive Director Dr. Roland Wein opened the event and welcomed Dr. Ramon Bruesseler, Executive Director of the European Chamber of Commerce and Industry in the Lao PDR (ECCIL), Mr. Thanongsinh Kalagna, Vice-President of LNCCI and ASEAN-Bac Laos, and Dr. Herbert Baumgartmer, Director of Representative Office Bangkok, as the key speakers.

The speakers provided first-hand information to about 60 participants on how to do business in this emerging market and discussed several insightful industry-specific topics. In addition, GTCC Trade Advisor, Mr. Reinhold Habla, introduced develoPPP.de, a funding programme of the German Federal Ministry for Economic Co-operation and Development (BMZ).

GTCC SITE VISIT TO FABRINET More than 30 GTCC members joined the Chamber’s site visit to Fabrinet Co., Ltd. in Pathum Thani on 9 February 2017. The par ticipants were pleased to have an oppor tunity to explore the company's 17-year-old operation site as it is a leading provider of advanced optical packaging and precision optical, electro-mechanical and electronic manufacturing services to original equipment manufacturer s of complex products that include optical communication components, modules and subsystems, industrial lasers and sensors.

The Chamber is grateful to Dr. Soon Kaewchansilp, Director of Fabrinet, Mr. Kevin Camelon, General Manager of Global Supply Chain and their staff for the warm welcome and kind support to the GTCC team and members.

www.thailand.ahk.de

22 CHAMBER ACTIVITIES

GTCC STAMMTISCH BANGKOK

GTCC organised the first Stammtisch Bangkok of 2017 on 9 February 2017 at Bei Otto Restaurant. GTCC President Mr. Phongsakdi Chakshuvej welcomed about 70 businesspeople at the networking evening and invited them to join the Ordinary General Meeting on 22 March 2017.

DELEGATION TRIP TO BIOFACH 2017 On 13 February 2017, in co-operation with the Thai Organic Trade Association (TOTA), GTCC organised a successful "BIOFACH 2017 Exhibitor Delegation Trip" to Germany with the focus on local organic standard development. The delegates were welcomed and had a fruitful information exchange with the Bayern organic industry affiliate at the Bavarian State Ministry for Food, Agriculture and Forestry, Biohotel Hörger – Organic Hotel, and Riedenburger Brauhaus – the organic brewery.

Organic products from Thailand were presented at BIOFACH 2017 in Nuremberg, Germany, from 14 to 18 February 2017. Accompanied by official representatives from GTCC, Thai visitors and exhibitors at BIOFACH – the world’s leading trade fair for organic food – reached business deals and gained intensive experience. The trip’s programme also included a workshop, "Opening Up the Organic Market in Germany", to provide an opportunity for Thai companies to receive the necessary basic knowledge needed to enter the market.

UPDATE 2/2017

CHAMBER ACTIVITIES 23

GTCC EASTERN SEABOARD SEMINAR ON “LABOUR AFFAIRS MATTER” GTCC, in co-operation with Lorenz and Partners (L&P) Co., Ltd., on 17 February 2017 organised a Joint Chambers Eastern Seaboard seminar on “Labour affairs matter – How to avoid labour disputes in Thailand” at the Mövenpick Siam Hotel Pattaya. More than 40 participants shared discussions with Mr. Till Morstadt, L&P Equity Partner, and Dr. Constantin Frank-Fahle, L&P Senior Consultant.

GTCC EASTERN SEABOARD STAMMTISCH GTCC organised its first Eastern Seaboard Stammtisch of 2017 on 17 February 2017 at the Mövenpick Siam Hotel Pattaya. The Chamber expressed gratitude to the guests, the sponsors – including Gühring, M+W Group, thyssenkrupp Elevator, Umicore, AmberSpot, Mövenpick Siam Hotel Pattaya – and joint chambers such as AMCHAM, AustCham, BCCT, Beluthai, CANCHAM, EABC, FTCC, NTCC, STCC and SATCC for their support.

www.thailand.ahk.de

24 CHAMBER ACTIVITIES

HOSTING THE LATE KING’S FUNERAL CHANTING CEREMONY GTCC, led by President Mr. Phongsakdi Chakshuvej, together with board members, distinguished guests, management and staff, co-hosted funeral chanting rites dedicated to the late King Bhumibol Adulyadej on 21 February 2017 at Dusit Maha Prasat Throne Hall in the Grand Palace.

GTCC OFFICE RELOCATION TO AIA SATHORN TOWER On 27 February 2017, the GTCC office was moved to AIA Sathorn Tower on the 14th floor, 11/1 South Sathorn Road, Yannawa, Bangkok 10120. Tel: +66 2 055-0600; fax: +66 2 055 0601.

The Chamber plans to invite its par tners and members to visit the new office on “GTCC Open House Day” on April 18.

UPDATE 2/2017

CHAMBER ACTIVITIES 25

ASIA-PACIFIC CO-ORDINATION MEETING 2017 GTCC organised the AHK Asia-Pacific Coordination Meeting from 27 to 28 February 2017 at the Oriental Mandarin Bangkok Hotel.

AHK Executive Directors and delegations from the Asia-Pacific region, together with key DIHK representatives discussed further co-operation and preparations for the next Asia-Pacific Conference.

In the evening of 27 February, AHK Executive Directors and distinguished guests were invited and welcomed by His Excellency German Ambassador to Thailand, Mr. Peter PrĂźgel at his residence inside the German Embassy in Bangkok.

GTCC HUMAN RESOURCES SEMINAR GTCC hosted a Breakfast Talk on "Underlining HR Secrets for Success in Today's Disruptive World" at the Mode Sathorn Hotel on 2 March 2017. GTCC Deputy Executive Director, Mr. Marius Mehner, opened the event and welcomed Chief Capability Officer of SEAC, Ms. Arinya Talerngsri, as speaker. She presented her experiences and knowledge to the participants on human resources secrets as well as explained how to thrive and survive as a company in a fast-changing and

disruptive world. Ms. Arinya also addressed the different set of skills that leaders need in order to attract young professionals in particular, the number of which in Thailand is declining dramatically. She stressed the fact that it was impor tant for organisations to adapt to a fast-moving and competitive environment in order to ensure greater sustainability in the market.

www.thailand.ahk.de

26 CHAMBER ACTIVITIES

GTCC YOUNG PROFESSIONALS EVENT ON WOMEN IN BUSINESS GTCC organised the first GTCC Young Professionals (GTCC YP) activity of 2017 featuring a special live talk on “Women in Business – Insights from a Female Leader” by Ms. Apinara Srikarnchana, Chief of Corporate Affairs at U Drink I Drive Co., Ltd. on 8 March 2017 at The Work Loft. The networking event attracted 70 participants.

GTCC VOCATIONAL EDUCATION MEETING

UPDATE 2/2017

GTCC, led by Executive Director, Dr. Roland Wein and GTDEE Project Director, Mr. Markus Hoffmann, on 10 March 2017, organised an Eastern Seaboard meeting on vocational education at the Pattana Golf Club & Resort in Chonburi. Mr. Hoffmann stressed the fact that the vocational education system in Thailand was still in need of essential improvement in order to solve the country’s persistent problem of unqualified workers. Mr. Hoffmann also presented new insights gained on having an authentic dual education system, safety and super visor y issues, and fir st-hand experiences of students. His presentation was followed by useful discussions among the participants.

CHAMBER ACTIVITIES 27

GTCC SITE VISIT TO BROSE GTCC organised a site visit for 25 members to Brose (Thailand) Co., Ltd., in the Eastern Seaboard Industrial Estate, Rayong, on 17 March 2017. Brose is the world’s fifth-largest family-owned automotive supplier. Its mechatronic systems for doors, seats, and electric motors and drives can be found in every second new vehicle around the world today. More than 80 manufacturers and 40 suppliers rely on Brose’s quality and efficient products. Brose has about 25,000

employees at 61 locations in 23 countries. Brose is the world’s fifthlargest family-owned automotive supplier. Its mechatronic systems for doors, seats or electric motors and drives are widely used in vehicles around the world. Brose (Thailand) Co., Ltd. wholly owned subsidiary of the Brose Group, manufacturing window regulators and door systems for Ford, Mazda and Mercedes-Benz, supplying both local and export markets.

GTCC ORDINARY GENERAL MEETING 2017 GTCC held its GTCC Ordinary General Meeting 2017 on 22 March 2017 at the Shangri-la Hotel, Bangkok and welcomed about 160 representatives of GTCC member companies. This year, GTCC was honored to welcome Mr. Chen Namchaisiri, Chairman of the Federation of Thai Industries (FTI), as the keynote speaker on “Thailand 4.0 a Value-based Economy Business Oppor tunities for German Companies”.

The election for the new board members was conducted successfully.

The chamber had the pleasure to congratulate Mr. Markus Lorenzini, President and CEO of Siemens Ltd. on his election as the new GTCC President and Mr. Phongsakdi Chakshuvej, Chairman of B.Grimm & Co Limited on his election as the new GTCC Vice President. The chamber also congratulated the 8 newly-elected Board of Directors for 2017/2018: Ms. Piyakanit Yen-Ura, Senior Representative of Commerzbank AG Representative Office Bangkok, Mr. Volker Hellstern, Managing Director of Häfele (Thailand); Mr. Pattanapong Tansomboon, First Senior Vice President, World Business Division, Kasikornbank; Ms. Anja Heck, Managing Director of Skywave Technologies (Thailand); Mr. Michael Welser, Managing Director of Powertech 2004; Dr. Forian Zock, Head of Business Development Asia-Pacific and General Manager of Trumpf; and Mr. Andreas Richter, Managing Par tner of Blumenthal Richter & Sumet.

GTCC wishes to express its sincere gratitude to 2 out-going Directors, Mr. Martin Klose, Partner of Rödel & Partner and Mr. Dirk Grossmann, General Manager Passenger Sales Thailand & Mekong Region of Lufthansa German Airlines, for their valuable contribution to the success of the Chamber.

www.thailand.ahk.de

28 CHAMBER ACTIVITIES

THAILAND ECONOMIC OUTLOOK 2017 EXPERTS’ VIEWS ON THE ECONOMIC DEVELOPMENT OF THAILAND AND CHALLENGES FOR GERMAN BUSINESSES The German-Thai Chamber of Commerce (GTCC), in co-operation with 15 leading foreign Chambers of Commerce, organised a luncheon talk on the “Thailand Economic Outlook” at the Anantara Siam Bangkok Hotel on 28 February 2017. The luncheon attracted 160 guests from various business sectors in Thailand.

GTCC President, Mr. Phongsakdi Chakshuvej, expressed his gratitude to all the guests, particularly the keynote speaker, panelists, sponsors and joint Chambers. He delivered an opening address underlining the Government of Thailand’s enormous effort in pushing new industries and the innovation-driven economic model 4.0. Therefore, he said, 2017 would be a prosperous year for Thailand, especially when it comes to enhanced trade growth with Germany.

The luncheon’s keynote speaker, DIHK Deputy Chief Executive Officer, Dr. Volker Treier, offered some valuable insights into global and regional challenges facing German businesses in 2017. Dr. Treier claimed that the world was currently facing global economic stagnation, evident from an increased level of protectionism implemented by many countries that hindered trade flows on a larger scale. However, Germany’s economy was still the healthiest in Europe, due in particular to its outstanding business climate, fiscal surplus, employment and booming household income, he noted, although the lack of qualified employees was still an issue that needed to be resolved. Dr. Treier pointed out that Germany’s economy remained

UPDATE 2/2017

steady but tough, and the country could expect a growth rate of 2% this year.

In the case of Brexit, it had become clear that the move entailed a number of risks with varying intensities, he said. While an increase in non-tariff barriers (73% probability), political and legal uncertainty (71%) and an increase of tariff barriers remained very likely, the devaluation of the British pound sterling and the stagnation of British economic growth (58%) were also issues that had a threatening likelihood of occurrence.

Dr. Treier also addressed the change in the United States’ foreign policy. President Trump’s plan to impose a 45% tariff on China was likely unwise, as the country was clearly dependent on (trade with) China. Undiplomatic comments concerning the existence and functionality of the World Trade Organization, the European Union and the North American Free Trade Agreement should also be

CHAMBER ACTIVITIES 29

It became clear that most of participants were optimistic about Thailand and its economic development for 2017. Mr. Markus Lorenzini, however, mentioned that Thailand, like all other countries, needed to adopt quicker to a fast-moving world. In addition, the issues of identification of megatrends and investment in digital transformations as well as urbanization were central to his speech. Although he was optimistic concerning the economic transformation of Thailand 4.0, he claimed that efforts towards timely implementation of government plans needed improvement.

avoided, he said, adding that free trade was in crisis and only a reform of internal trade rules could help to create a fair business environment.

As far as Thai economy is concerned, a panel discussion on “Will the Thai economy gain speed in 2017? What does it need?" was moderated by Ms. Piyakanit Yen-Ura, Senior Representative at the Commerzbank AG Representative Office Bangkok. The panelists, who were from leading German companies, included: Mr. Michael Grewe, President and Chief Executive Officer of Mercedes-Benz (Thailand) Limited; Mr. Mar tin Malleier, Managing Director of M+W (Thailand) Ltd.; Mr. Markus Lorenzini, President and Chief Executive Officer of Siemens Ltd.; and Dr. Florian Zock, Head of Business Development Asia-Pacific and General Manager of Trumpf Ltd.

Mr. Martin Malleier agreed with Mr. Lorenzini’s view on Thailand’s economy. Nevertheless, government and foreign investment entailed challenges, such as a language barrier to local investment and bureaucracy, and contractual regulations on government investment.

Additionally, he mentioned that more effective education and administration policies were crucial when moving in the direction of Thailand 4.0.

As for Thailand’s car market, Mr. Michael Grewe referred to its current decline.

However, he said he was looking forward to a new automobile era in , shaped by electric cars and automated driving. In order to achieve this, Mr. Grewe pinned his hopes on government incentives, especially with regard to battery production and the introduction of charging stations, which he believed were crucial to the development of the automobile market in Thailand.

Dr. Florian Zock expected Thailand to have doubled its market potential by 2020. Trumpf, which specializes in mechanical engineering, planned to use Thailand as a base for expanding into South-East Asian markets.

However, he said, the issues of logistics and customs needed to be addressed first .

Mr. Phongsakdi Chakshuvej concluded the event by asking how to achieve the goals that had been set in order to transform successfully to the new era of Thailand 4.0.

All the panelists agreed that education and a dual vocational training system were needed in order to replace the unqualified workforce, which was still a challenge to the economic development of Thailand.

www.thailand.ahk.de

30 GTDEE INSIGHT

PUBLIC AND PRIVATE STEERING COMMITTEE MEETING On 1 December 2016, GTDEE Senior Project Manager Dr. Kamonsak Suradom was invited to join the Public and Private Steering Committee meeting held at the Thailand Professional Qualification Institute (TPQI), Sun Tower Building.

The meeting reviewed the preparation documents for the “National Qualification Framework” for the Ministry of Education, followed by a discussion about lower and upper vocational education development in the education system and GTCC’s final assessment of the “Thailand Vocational Education Development” model.

MEETING WITH THE SIAM CEMENT PUBLIC COMPANY LIMITED (SCG) On 1 December 2016, the GTDEE team represented by GTDEE Project Director Mr. Markus Hoffmann and Senior Project Manager Dr. Kamonsak Suradom attended a meeting with The Siam Cement Public Company Limited (SCG) at the GTCC office.

Mr. Hoffmann gave an overview of “Quality Assurance of Vocational Education in Germany” and Dr. Suradom shared his experiences about “Implementing Quality Assurance in Vocational Colleges in Thailand”.

This was followed by a discussion on “How can we co-operate on working together in the QA field to achieve high standards?”

UPDATE 2/2017

GTDEE INSIGHT 31

MEETING WITH KMUTNB On 8 December 2016, GTDEE Project Director Mr. Markus Hoffmann and Senior Project Manager Dr. Kamonsak Suradom attended a meeting with the teachers at King Mongkut’s University of Technology North Bangkok (KMUTNB). The meeting discussed the preparation of the Final Examination in Mechatronics and an inspection of Mechatronics tools provided as support by Festo Mclab.

IN-COMPANY TRAINING WORKSHOPS FOR MITR PHOL

On 19 to 20 December 2016, the GTDEE team led by GTDEE Project Director Mr. Markus Hoffmann and Senior Project Manager Dr. Kamonsak Suradom held workshops for trainers and students on the creation of training plans, the content of former training and the trainers´ training plan for the next four months for Mitr Phol apprentices in electric power, mechanics, plant science, and agricultural mechanics at Mitr Phol Phuvieng in Khon Kaen, Mitr Phol Phukhiew and Mitr Phol Kangkor in Chaiyaphum. The GTDEE team also made a site visit to its plants.

www.thailand.ahk.de

32 GTDEE INSIGHT

HANDOVER GTCC CERTIFICATION CEREMONY FOR GTDEE APPRENTICES On 22 December 2016, GTDEE Project Director Mr. Markus Hoffmann and Senior Project Manager Dr. Kamonsak Suradom joined the Handover GTCC Certification Ceremony for four GTDEE apprentices in mechatronics and mechanics. Of the four successful apprentices two were from Eastern Technological College (E-Tech) and were trained in Mechatronics by Bosch Packaging Technology (Thailand) Co., Ltd. The other two apprentices, one in mechatronics and one in mechanics, were trained by Grohe Siam Limited. The ceremony was held at Eastern Technological College (E-Tech) in Chonburi.

MEETING WITH THE PRIVATE VOCATIONAL COLLEGE ASSOCIATION On 22 December 2016, GTDEE Project Director Mr. Markus Hoffmann and Senior Project Manager Dr. Kamonsak Suradom attended a meeting with the Board of Committee of the Federation of Private Colleges of Technology and Vocational Education of Thailand (for mer ly the Federation of Private Vocational Schools of Thailand with the following representatives: Assoc. Prof. Dr. Jomphong Mongkolvanich, President; Dr. Adisorn Singpresong, Secretary; Dr. Kornpong Dokbua, Vice-President in Academics; and Mr. Mar us Sir ithorn, Vice-President in QA. The topic of the meeting was quality assurance, which included the value of GTCC quality assurance, the criteria for the selection of colleges and a discussion about the period for implementation, from May 2016 to May 2017.

UPDATE 2/2017

GTDEE INSIGHT 33

IN-COMPANY TRAINING WORKSHOPS AT MITR PHOL SUPHAN BURI & SING BURI On the 4 to 5 January 2017, the GTDEE team led by GTDEE Project Director Mr. Markus Hoffmann and Senior Project Manager Dr. Kamonsak Suradom organized a workshop for trainers and students. The workshop covered the creation of training plans, the content of former training and four- month future plans for trainers of apprentices in the fields of electric power, agricultural mechanics, plant science, and mechanics at Mitr Phol Danchang in Suphan Buri and Mitr Phol in Sing Buri. The GTDEE team also visited the company’s Technical Training Centre and plants.

GTDEE TRAINER WORKSHOP TO PREPARE STUDENTS FOR THE UPCOMING FINAL EXAMINATION On 21-22 January 2017, the GTDEE team led by Project Director Mr. Markus Hoffmann and including Senior Project Manager Dr. Kamonsak Suradom, Project Monitoring and Reporting Manager Mr. Panuwat Jaitham and Senior GTDEE Consultant Mr. Katiphot

Kanoknor r asade held a two-day wor kshop at Don Bosco Technological College for the trainers from GTDEE’s company partners. The main contents on the first day of the workshop were the Final Examination procedure and tasks of the trainers. On the second day, the main practical parts were a demonstration of the examination in electric power and mechanics by the students of Don Bosco Technological College.

www.thailand.ahk.de

34 GTDEE INSIGHT

MEETING OF GTCC, MERCEDES BENZ, BMW AND DON BOSCO TECHNOLOGICAL COLLEGE On 25 January 2017, GTDEE Project Director Mr. Markus Hoffmann, Senior Project Manager Dr. Kamonsak Suradom and Senior GTDEE Consultant Mr. Katiphot Kanoknorrasade met with Mercedes Benz (Thailand), BMW (Thailand) and Don Bosco Technological College representatives to discuss the criteria for the Final Examination in automotive mechatronics for the apprentices in batch 2015. The meeting was held at Don Bosco Technological College.

MoU SIGNING CEREMONY BETWEEN SAMSEN BREWERY CO., LTD. AND KANCHANAPISEK TECHNICAL COLLEGE MAHANAKORN (KTCM) On 26 January 2017, GTDEE Senior Project Manager Dr. Kamonsak Suradom and Senior GTDEE Consultant Mr. Katiphot Kanoknorrasade joined a Memorandum of Understanding signing ceremony between Samsen Brewery Co., Ltd. and Kanchanapisek Technical College Mahanakorn (KTCM). The GTDEE team also visited the Training Department for six apprentices (batch 2016) – four in electric power and two in mechanics as well as the Singha drinking water production line.

UPDATE 2/2017

GTDEE INSIGHT 35

VISIT TO KASETSART UNIVERSITY (KAMPHAENGSAEN CAMPUS), NAKORN PATHOM THE PLANT SCIENCE EXAMINATION VENUE On 27 January 2017, the GTDEE team led

by Project Director Mr. Markus Hoffmann and including Senior Project Manager Dr. Kamonsak Suradom, Mr. Panuwat Jaitham, Project Monitoring and Reporting Manager, Senior GTDEE Consultant Mr. Katiphot Kanoknor r asade and GTDEE Project Assistant Ms. Apinya Ampor n visited Kasetsar t University (Kamphaengsaen Campus), Nakhon Pathom, for a meeting with professors from Faculty of Agriculture.

The team also visited the sugar cane farm and the Department of Agricultural Extension and Communication, Faculty of Agriculture, which will be the examination venue for the apprentices (batch 2015) in plant science, Mitr Phol Group, on 13 and 14 March 2017.

THE AGRICULTURAL MECHANICS EXAMINATION VENUE On 27 January 2017, the GTDEE team led

by Project Director Mr. Markus Hoffmann and including Senior Project Manager Dr. Kamonsak Suradom, Project Monitoring and Reporting Manager Mr. Panuwat Jaitham, Senior GTDEE Consultant Mr. Katiphot Kanoknorrasade and GTDEE Project Assistant Ms. Apinya Amporn visited to Kasetsar t Univer sity (Kamphaengsaen Campus), Nakhon Pathom, for a meeting with the professors from the Faculty of Agricultural Engineering. The team also visited the Faculty’s Agricultural Machine Development Building, which will be the examination venue for the apprentices (batch 2015) in agricultural mechanics, Mitr Phol Group, on 24 and 27 April 2017.

www.thailand.ahk.de

36 SPECIAL REPORT

BALANCING THE ECONOMY WITH ECOLOGY

The German Sustainable Building Certification System DGNB Dr.-Ing. Robert Himmler

The DGNB system was developed with the goal to quantify and improve the overall quality of buildings. To achieve this goal, the DGNB follows the approach of the Brundtland commission and its definition of sustainability which consists of three pillars: ecological quality, economical quality and sociocultural quality. Additionally, three further building specific qualities were defined: (design and construction) process quality, technical quality and site quality. With this approach, the DGNB system reaches far beyond existing certification systems such as LEED (US), TREES (TH) or BREEAM (UK). Furthermore, the system offers a vast variety of certification profiles not only for different building uses such as office, residential, healthcare, industrial, commercial, but also for neighbourhoods, districts and even whole cities. The system offers the flexibility to be easily adapted during the certification process in accordance with climates, economic boundary conditions and user behaviours in different countries.

The Pruksa+ Single Familiy House in Bangkok was awarded with the DGNB Platinum certificate. [architecture: unexepected architects Co., Ltd.]

EGS-plan as one of Germany’s leading engineering companies in the field of energy efficient and sustainable buildings has with its foreign subsidiary EGS-plan (Bangkok) Co., Ltd. successfully applied the DGNB system on three building projects in Thailand: The first project was the already existing Häfele Design Centre in Phuket, which achieved a DGNB gold certification. During the pilot certification process, valuable experience with the application of the DGNB system in tropical buildings has been collected.

The second project was the Pruksa+ building in Bangkok. It is a singlefamily house which was designed for one of Thailand's biggest real estate developer Pruksa to be a pilot project with outstanding sustainability and an innovative energy concept. It comprises many sustainability features such as ecological and healthy building materials, excellent thermal comfort and air quality, reduced water consumption, handicapped accessibility and a flexible media infrastructure like a grand number of receptacles and internet connections. The core of the building concept is the energy concept which consists of a cost optimized combination of passive energy efficiency measures such as an external shading of the facade, thermal insulation of the roof and walls, double glazing and insulated window frames as well as a consequent air-tightness concept of the building envelope. On part of active measures a 5 kWP photovoltaic system covers a significant part of the energy consumption in combination with a small chiller and an ice storage system. For its outstanding energy and sustainability concept, the building was awarded as the first building in South-East Asia with a DGNB Platinum certificate.

The third DGNB project is a sustainable 15,000 m2 factory, which is currently under construction. The project proofs, that the DGNB system can be applied also in projects with an extremely tight time schedule and budget. The project strives to achieve DGNB Silver certification.

To further promote the DGNB system in Thailand and South-East Asia, EGS-plan has invited the director of the DGNB Dr. Christine Lemaitre to speak on 5th of June at the GTCC event "Sustainable Factories and Industrial Real Estates - The German DGNB Certification System" in Pattaya and on 7th of June at the Renewable Energy Asia 2017 in Bangkok (Green Building session).

UPDATE 2/2017

DGNB Gold pilot certification of the Häfele Design Center in Phuket. [architecture: OIA office for interior & architecture Co., Ltd.]

Environmental quality 22.5%

Economic quality 22.5%

Sociocultural and functional quality 22.5%

Technical quality 22.5%

Process quality 10%

Site quality

The holistic approach of the DGNB sustainable building certification system. [DGNB - Deutsche Gesellschaft für nachhaltiges Bauen]

Contact details:

Dr.-Ing. Robert Himmler Managing Director EGS-plan (Bangkok) Co., Ltd. +66 2 613 6656 robert.himmler@egs-int.com www.egs-bangkok.com

MEMBERS’ CORNER 37

The first row, from left - Noppakun Manowat, StrikoWestofen SEA Ltd.; Michael Wucherer, United Relocations (Thailand) Co., Ltd.; Alfiah Strohal, Kiidu Thailand Co., Ltd; Pimapatt Talalak, Worldclass Rent A Car Co., Ltd.; Chaiyabutr Prasertsuk, The Sukhothai Bangkok; Marius Mehner, German-Thai Chamber of Commerce; Thawee Kugasemrat, Modena by Fraser Bangkok; Carlo Herold, Heroleads (Thailand) Co., Ltd. The second row, from left - Marco Belonje, Virtue Technology Co. Ltd.; Ruben Sander, ARBURG (Thailand) Co., Ltd.; Markus E. Mangold, Majorette Thailand Co., Ltd.; Henry Schoenball, Thaisri Insurance PCL; Patrick Thorpe, Rhenus Logistics Co., Ltd.; Paul Brailsford, Wisdom Guardian Intellectual Proper ty Consulting; Philippe Claire, Ventury Co., Ltd; Nicolas Burkar t, Ventur y Co., Ltd.

NEW MEMBER ORIENTATION PROGRAMME MEETING On 26 January 2017, GTCC welcomed 15 new members and representatives at Chatrium Hotel Riverside Bangkok. The event is par t of its New Members and Representatives Orientation Programme, designed to foster the development of exclus ive c o n n ec tio n s a m on g t h e participants.

“As a new member, the session was very beneficial as I have learnt different business lines of individual new members and connected to those key persons. Timing of the orientation was fine…not very long and not too short. The venue was great and the arrangement was perfect. Not to mention the networking part, which is already superb.”

Mr. Thawee Kugasemrat, Director of Sales & Marketing Modena by Fraser Bangkok

“I enjoyed the New Member and New Representative Orientation; these things are always very useful. I would suggest to have to go a bit deeper into the services GTCC is offering and the collaboration between the chambers in ASEAN as that might be interesting for a lot of companies.”

Mr. Ruben Sander, Director Operations ASEAN ARBURG (Thailand) Co., Ltd.

“Your orientation is appreciated indeed…I and my team have further business with some executives I met during the orientation session.”

Mr. Pimapatt Talalak, Managing Director Worldclass Rent a Car Co.,Ltd.

www.thailand.ahk.de

38 MEMBERS’ CORNER

NEW GTCC MEMBERS up to 31 March 2017

German-Thai Chamber of Commerce warmly welcomes 29 new members!

Antares Advisory Ltd. 571 RSU Tower, 100th Floor, Unit 1001 A, Soi Sukhumvit 31, Sukhumvit Road, Klongton-Nua, Wattana, Bangkok 10110 Thailand Tel: +66 2 662 3575 Fax: +66 2 662 3416 florian@antaresadvisory.com www.bangkokbase.com Activities Our law firm specializes in commercial law, with a focus on assisting foreign clients in establishing and maintaining a legal presence in Thailand. We identify the ideal corporate structure for each client’s needs (e.g. Branch Offices, BOI promoted companies, Representative Offices, Holding Structures, or Joint Ventures) and draft relevant agreements.

Chamber Representative Florian Maier and Alexander Polgar

Balluff (Thailand) Ltd. 2/51 Thodsapol Land Building 4, 11th Floor, Soi Bangna trat 25, Bangna, bangkok 10260 Thailand Tel: +66 2 361 8519 Fax: +66 2 744 3177 sales.th@balluff.co.th www.balluff.co.th Activities Engaged in Sales and Services of sensors, measuring devices, network and RFID for automation purposes Chamber Representative Heiko Landauer

UPDATE 2/2017

Bangkok Marriott Marquis Queen's Park 199 Sukhumvit Soi 22, Klongton, Klongtoey, Bangkok 10110 Thailand Tel: +66 2 059 5555 Fax: +66 2 059 5888 bookbkkmarquis@marriott.com www.bangkokmarroittmarquis.com Activities Hotel Business Chamber Representative Roger Parnow and Melanie Schilling

COMPAREX (Thailand) Limited Athenee Tower unit 1602/1, 16th Floor, 63 Wireless Road, Lumphini, Pathumwan, Bangkok 10330 Thailand Tel: +66 2 116 7281 Fax: +66 2 116 7381 info@comparex.co.th www.comparex.co.th Activities COMPAREX is a global IT provider specializing in license management, sourcing, technical product consulting and cloud-based professional services. We serve the public-sector, SMB and large international corporations. We are by your side in a digital world as the Cloud Solution Provider.

Chamber Representative Sebastien Sisombat and Benjamaj Jailuk

MEMBERS’ CORNER 39

Eastin Grand Hotel Sathorn Bangkok

Heroleads (Thailand) Co., Ltd. Sino-Thai Tower, Floor 9th, 32/30 Sukhumvit 21 Road, Klongtoey Nua, Wattana, Bangkok 10110 Thailand Tel: +66 2 258 1930 thailand@heroleads.com www.heroleads.co.th

33/1 South Sathorn Road, Yannawa, Sathorn, Bangkok 10120 Thailand Tel: +66 2 210 8100 Fax: +66 2 210 8399 rsvn@eastingrandsathorn.com www.eastingrandsathorn.com

Activities Digital Marketing Consulting Service

Activities Eastin Grand Hotel Sathorn Bangkok is located nearby the expressway with its direct access to BTS Sky Train at Surasak Station plus a wide range of meeting and event facilities. All luxurious rooms and suites are decorated in subtle tones and feature the latest amenities.

Chamber Representative Tim Roemer and Carlo Herold

Herrenknecht (Asia) Limited 88/10 Moo5, Soi Prisanee Kao, Dansamrong-Namdaeng Road, Bangpleeyai, Bangplee Samutprakarn 10540 Thailand Tel: +66 2 183 9536 Fax: +66 2 183 9568 www.herrenknecht.com

Chamber Representative Suwanich Kanjanakunya

Mr. Florian Bennhold GTCC MEMBER 2017

Activities Sales and Service

230/4 Muu Baan Panya, Soi Pattanakarn Soi 30, Suanluang, Bangkok 10250 Thailand Tel: +66 90 912 2515 florian.bennhold@symbiorsolar.com www.symbiorsolar.com Activities Symbior Solar, my company, is a regional solar PV developer providing solar PV rooftop leasing for commercial and industrial clients and utility scale solar PV project development. For clients in Thailand we offer solar PV rooftop installations without any upfront investment and immediate electricity savings.

Chamber Representative Jens Steininger

Jagota Brothers Trading Co.,Ltd. GTCC MEMBER 2017

Activities Food importer, Processor, Distributor

Goldbeck Solar (Thailand) Co., Ltd.

179 Bangkok City Tower, 27th Floor, South Sathorn Rd., Thung Maha Mek Sub-district, Sathorn District, Bangkok 10120 Thailand Tel: +49 6201 8777 5582 Fax: +49 6201 8777 5509 nevres.dabil@goldbeck.de www.goldbeck-solar.de

Activities 1. To carry on the business of development, construction, management, financing, maintenance, and operation of solar power plants; 2. To carry on the business of providing engineering and technical services including system design, installation, maintenance, repair of machinery and equipment selection for solar power plants.

42 Tower, 14Th Floor, Suite no 1401-2 , 65 Sukhumvit 42 Road, Prakhanong, Klongtoey, Bangkok 10110 Thailand Tel: +66 2 365 8200 Fax: +66 2 365 8299 contact_bangkok@jagota.com www.jagota.com

Chamber Representative Gopal Jagota and Sunil Jagota

Mr. Jens Lottner GTCC MEMBER 2017

No.9, 31st Floor, SCB Park Plaza, Chattuchak, Bangkok 10900 Thailand Tel: +66 2 544 7721 Fax: +66 2 544 4948 jens.lottner@scb.co.th www.scb.co.th Activities Banking Executive at The Siam Commercial Bank

Chamber Representative Nevres Dabil and Joachim Goldbeck

www.thailand.ahk.de

40 MEMBERS’ CORNER

Majorette Thailand Co., Ltd.

Michael Page International Recruitment (Thailand) Limited

60/10 Navanakorn Estate 2, Phaholyothin Road, Klongnueng, Klongluang, Pathumthani 12120 Thailand Tel: +66 2 529 0496 to 7 Fax: +66 2 529 0498 www.majorette.com

30th Floor, Unit No. 3076, Regus Bangkok Bhiraj Tower, Bhiraj Tower at EmQuartier, 689 Sukhumvit Road (Soi 35) Klongton Nuea, Vadhana, Bangkok 10110 Thailand Tel: +66 2 012 5011 k.paludan@michaelpage.co.th www.michaelpage.co.th

Activities Toys Manufacturer (Car Models & Plastic Play Sets)

Activities Recruitment

Chamber Representative Adisorn Laohavanich and Markus E. Mangold

Chamber Representative Kristoffer Paludan

MAX BOEGL (Thailand) Limited

Pacific Exclusive City Club Co., Ltd.

CRC Tower All Seasons Place, 13,42 floor 36, Wireless Road, Lumpini, Phathumwan, Bangkok 10330 Thailand Tel: +66 2 625 3044, +66 98 421 1662 clindstedt@ max-boegl.de www.max-boegl.de

28/F, Two Pacific Place, 142 Sukhumvit Road, Klongtoey Bangkok 10110 Thailand Tel: +66 2 653 2450 Fax: +66 2 653 2477 www.pacificcityclub.com info@pacificcityclub.com

Activities Production and installation of highly precise prefabricated concrete towers for wind turbine generator

Activities Pacific City Club is the oldest and most prestigious member-only establishment located on the top three floors of impressive Two Pacific Place in central Bangkok. In addition to a wide range of facilities, personal and attentive services, it presents unequalled vistas over the city.

Chamber Representative Christopher Lindstedt and Josef Knitl

Modena by Fraser Bangkok 2527 Rama 4 Road, FYI Center, Khlong Toei, Khlong Toei, Bangkok 10110 Thailand Tel: +66 2 033 0888 Fax: +66 2 033 0889 bangkok.modenabyfraser.com Activities "Indulge in Simplicity" and find comfort in style with 238 fully equipped rooms.

Next to FYI Center and QSNCC MRT and one stop to Asoke BTS. 24HR sky-view Gym. Meeting space for either business or leisure. Express meal at Bistro@M, an all-day dining restaurant that uses fresh local produces, one floor above Cider&Coffee Bar. Perfect or any type of stay!

Chamber Representative Thawee Kugasemrat and Sommart Wanawutthichot

UPDATE 2/2017

Chamber Representative Namtip Thaugsuban

Pattana Golf Club & Resort

GTCC MEMBER 2017

99/89 Moo9, Khaokhunsong, Sriracha, Chonburi 20110 Thailand Tel: +66 38 318 900 Fax: +66 38 318 900 www.pattana.co.th Activities 117 Hotel rooms, 70 Mansion rooms, 35 Villas with each 3 bedrooms, 27 Golf course, Driving range , Fifa Soccer field with Stadium, Outdoor catering event space up to 3000 pax, Triathlon Training, Banquet and Meeting rooms up to 700 seating.

Chamber Representative Rujirapun Juangroongruangkit and Thomas Tapken

MEMBERS’ CORNER 41

Rabbit Insurance Broker Company Limited 1032/1-5, 14, 2nd Floor, Rama 4 Road, Thung Mahamek, Sathorn Bangkok 10120 Thailand Tel: +66 2 022 1222 orramittrac@rabbit.co.th www.finance.rabbit.co.th Activities - Insurance Brokerage B2C (end consumer) - Insurance Brokerage B2B (corporate clients) Chamber Representative Michael Steibl and Johannes von Rohr

SavingsAsia (Thailand) Co., Ltd 5 Krungthepkreetha Road, Dr. Gerhard Link Building, Huamark, Bangkapi, Bangkok 10240 Thailand Tel: +66 2 710 3100 Fax: +66 2 710 3101 www.masii.co.th Activities Financial Comparison Website Chamber Representative Matthias Juergens

Schütz (Thailand) Ltd. Eastern Seaboard Industrial Estate, 500/76 Moo 2, Tambol Tasit, Amphur Pluakdaeng, Rayong 21140 Thailand Tel: +66 33 069 911 to 5 Fax: +66 33 069 916 jaturon.Au-Jean@schuetz.net www.schuetz.net Activities A world leader in 1,000L Industrial Packaging “Intermediate Bulk Container, as known IBC” SCHÜTZ Thailand was founded in February 2016 in Hemaraj Eastern Seaboard Industrial Estate, Pluakdaeng District, Rayong Province approximately 138 km east of Bangkok, with state-of-the-art manufacturing facilities to locally support and service all customers in Thailand with full range of SCHÜTZ ECOBULK of IBC, warehousing, and collecting services.

Mr. Sebastian Richter GTCC MEMBER 2017

Unterreute 13 D-88179 Oberreute Germany Tel: +49 32 486 182226 ra.sebastian.richter@gmx.de Activities Attorney-at-Law at Higher Law Courts in Munich, Germany Counsel of VHV Insurance company, Hannover, Germany Director: German Construction Industry Federation, Brussels Office, Belgium.

Legal and public activities: adviser on company law, commercial law, training issues.

Public Relations, European Affairs.

Tereas UG AIA Capital Center, 20th Floor, 89 Ratchadaphisek Rd, Khwaeng Din Daeng, Khet Din Daeng Bangkok 10400 Thailand Tel: +66 2 018 1426 www.tereas.eu Activities IT Consulting Company, Specialized on open source software and cloud-based system infrastructure services Chamber Representative Joachim Raber and Kanlayanee Hathammawong

THAISRI INSURANCE PUBLIC COMPANY LIMITED 126/2 Krungthonburi Road, Banglumphulang, Klongsan Bangkok 10600 Thailand Tel: +66 2 878 7111 Fax: +66 2 439 4840 www.thaisri.com info@thaisri.com Activities Providing corporate and private non-life insurance solutions e.g. motor, property, engineering, marine and transport, personal accident, health and miscellaneous insurance products.

Chamber Representative Henry Schoenball and Karan Chopra

Chamber Representative Jaturon Au-Jean and Saowapa Veerachartyanukul

www.thailand.ahk.de

42 MEMBERS’ CORNER

Ticon Industrial Connection Public Company limited Suit 1308, 13Floor, Sathorn City Tower, 175 South Sathorn Rd., Thung-Mahamek, Sathorn Bangkok 10120 Thailand Tel: +66 2 679 6565 Fax: +66 2 287 3152 ticon@ticon.co.th www.ticon.co.th Activities Factory and Warehouse for lease Chamber Representative Somsak Chaiyaporn

Turkish Airlines 3rd Floor, CP Tower, 313 Silom Road, Bangrak, Bangkok 10500 Thailand Tel: +66 2 231 0300 to 7 Fax: +66 2 231 0311 stipparak@thy.com www.turkishairlines.com Activities Turkish Airlines flies to 115 countries, more than any other airlines. As of September 2016, the number of aircraft in the Turkish Airlines fleet is 333 including 10 cargo aircraft, with average fleet age of 6.4 years which makes Turkish Airlines has youngest fleet in Europe. Beyond that Turkish Airlines is a member of the Star Alliance network and got the award of “Europe’s Best Airlines” for 6 years in a row from SkyTrax.

Chamber Representative Ahmet Tugcu and Saran Tipparak

United Relocations (Thailand) Co., Ltd. 32/3 Soi Bangna-Trad 56, Bangna, Bangna, Bangkok 10260 Thailand Tel: +66 2 316 2391 Fax: +66 2 316 2394 www.unitedreloth.com www.unitedpetexpress.com

UPDATE 2/2017

Virtue Technology Co. Ltd. Ladkrabang Industrial Estate, Export Processing Zone 3, 327 Chalongkrung Road, Lamplatiew, Ladkrabang, Bangkok 10520 Thailand Tel: +66 2 739 6235 Fax: +66 2 739 6232 www.virtue-technology.com info@virtue-technology.com Activities Virtue Technology is a precision CNC Machine shop, manufacturing metal, aluminium extrusions and engineering plastic parts according to customers’ drawing and specifications. Virtue offers a wide variety of products ranging from easy CNC milling parts to highly accurate EDM/ grinding tooling parts including assemblies and sub-assemblies. Virtue can handle low volume (1-20 pieces) as well as high volume (>1000 pieces) production.

Chamber Representative Marco Belonje and Joery Vaessen

Weiss-Rohlig (Thailand) Ltd. 3656/76, 22nd Floor, Unit K, Green Tower, Rama 4 Road, Klongton, Klongtoey, Bangkok 10110 Thailand Tel: +66 2 367 3131 Fax: +66 2 367 3141 or 2 www.weiss-rohlig.com Activities International Logistics Chamber Representative Jimmy Jensen and Nuttapon Phonpinyo

Wisdom Guardian Intellectual Property Consulting Charn Issara Tower 1, 10th Floor, 942/144 Rama IV Road, Bangrak, Bangkok 10500 Thailand Tel: +66 2 632 7176 www.wisdomguardian.co.th

Activities International & domestic moving services, pet & animal transport, storage & warehousing, transportation & logistics, property & real estate services

Activities Wisdom Guardian is an intellectual property (IP) consulting firm in Bangkok, Thailand that provides custom IP consulting and management services.

Chamber Representative Stein A. Krakholm and Michael Wucherer

Chamber Representative Poondej Krairit and Paul Brailsford

MEMBERS’ CORNER 43

Happy Birthday to you

We are pleased to introduce to you our new GTCC Birthday Programme.

We intend to add value and cheer to our members' birthday by sending good wishes and special offers from our partners. What's more, in the first e-UPDATE of every month, we will announce our lucky member born in the month who will receive a lucky draw prize. Check it out!

Our Partners:

www.thailand.ahk.de

44 TRADE FAIRS

SPIELWARENMESSE 2017: INCREASE IN VISITORS, GREATER INTERNATIONALITY This year’s Spielwarenmesse, the world’s largest fair for toys and leisure products, took place from 1 to 6 February 2017 in Nuremberg, Germany for the sixty-eighth time with high numbers of international exhibitors and visitors. There were 2,850 exhibitors from more than 60 countries, including 815 exhibitors who do not participate in any other fair. Moreover, 73,000 visitors, including 20,000 who only attend the Spielwarenmesse, travelled from more than 120 countries to Nuremberg for this year’s event – up 3.2 per cent on 2016.

One million products, including 75,000 new items, were presented in 18 halls at Spielwarenmesse 2017. Covering an area of 170,000 m², the halls are sensibly laid out to guarantee a short walk and synergies between each one.

Big brands as well as small start-ups presented their toys and innovations in 12 product groups: Baby and infant articles Fashionable and trendy articles Dolls, soft toys Games, books, learning and experimenting multi-media School articles, stationery, creative designing Festive articles, carnivals, fireworks Model construction, hobbies Technical toys, educational toys, action toys Model railways and accessories Sport, leisure, outdoor activities Wooden toys and craftworks Multi-product group.

This year the visitors kept an eye on technological toys in the Tech2Play area in Hall 4A. The 400-m² promotion area was packed with the latest toys inspired by technology in five product segments: electronic pets, robot toys, RC drones, virtual play and 3D printing. The various categories featured in the Tech2Play area encouraged visitors not only

UPDATE 2/2017

to browse but also to get involved by testing the new products at the robot races and go on test flights free of charge.

In 2018, Spielwarenmesse will take place for the sixty-ninth time from 31 January to 4 February 2018.

More details about Spielwarenmesse 2017 can be found online at www.spielwarenmesse.de. For additional information and inquiries, please contact GTCC’s official representative of Spielwarenmesse in Thailand, Ms. Chonlagorn Loypetch, at tel. +66 2 055 0642 or by e-mail at chonlagorn@gtcc.org.

TRADE FAIRS 45

ITB CHINA TO MAKE ITS DEBUT 10-12 May 2017, Shanghai

ITB China is the new travel trade show that is exclusively focused on the Chinese Travel Market. The three-day event in Shanghai will cover international destinations, services and travel technology and connect them with handpicked Chinese Buyers. The new ITB China will continue the success story of ITB. The B2B Travel Trade Show will take place for the first time at the Shanghai World Expo Exhibition and Conference Center (SWEECC) from 10 to 12 May 2017. The ITB China Conference will take place in parallel with the show and is co-organised by “Travel Daily China”, the leading online news portal and organiser of travel industry conferences.

FOCUSED TO SUCCEED ITB China is the marketplace for China’s travel industry. The event will: Connect you with the best buyers in the Chinese travel market; Host six hundred selected top buyers from some of the biggest Chinese travel agencies; Provide three days of pure and pre-appointed B2B meetings in the vibrant metropolis of Shanghai; Exhibit and discover the most dynamic travel market by meeting leisure, corporate and MICE buyers; Include the ITB China Conference and enable par ticipants to benefit from the latest insights of developments of the Chinese travel market.

Europe, the official partner destination of ITB China, will be highlighted.

A dedicated Europe Pavilion at ITB China will be showcasing the multitude of European tourism products and destinations, of which Belgium, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Serbia and Germany have already confirmed participation. In addition to the

Europe pavilion, ITB China will include strong individual presences of other major European destinations such as Austria, Finland, Greece, Portugal and Turkey, thus a bridge between Europe and Asia.

The growth potential of countries in the Middle East and the Americas will also be well-reflected at ITB China. Among the exhibitors from the Middle East region will be the Abu Dhabi Tourism and Culture Authority, Jordan Tourism Board, Ras Al Khaimah Tourism Development Authority, and Sharjah Commerce and Tourism Development Authority. The Americas segment will cover both the Nor th and South American continents featuring exhibitors from Canada, the United States, Ecuador, Peru, Bolivia and Argentina.

Visitors interested in the booming field of online travel and travel technology will also find well-known exhibitors in the e-Travel World China segment. Well-known companies such as Amadeus, booking.com, Expedia and the Chinese internet giant behind China’s most popular APP WeChat, Tencent, are some of the confirmed exhibitors.

More details about ITB China are available on the internet at www.itb-china.com/. For exhibitor/visitor inquir ies or more information, please contact GTCC’s official representative for Messe Berlin GmbH in Thailand, Ms. Patamaporn Wasuwat, at tel: +66 2 055 0641 or by e-mail at berlin@gtcc.org.

www.thailand.ahk.de

46 TRADE FAIRS

LIGNA 2017

22-26 May 2017, Hannover LIGNA, the world’s leading trade fair for machinery, plant and tools for the woodworking and timber processing industry, is just around the corner. The 2017 event will run from 22 to 26 May 2017 at Hannover, Germany, and will feature more than 1,500 exhibitors from 45 nations and attract trade visitors from about 90 countries. The show, which is the focal point and meeting hub for the international wood industry, will occupy 10 exhibition halls plus the venue’s extensive open-air site.

All the global wood industry market leaders will be participating with impressive exhibits that highlight their latest products and process innovations. They will be joined by a sizable number of other exhibitors, some of whom will be appearing at LIGNA for the first time. As the focal point and meeting hub for the international wood industry, and with its growth in terms of exhibitor lineup plus a significant upswing in the amount of space booked by various exhibitors, the upcoming LIGNA is set to once again serve as the top global venue and source of innovative technology.

As the world’s leading trade fair for woodworking and wood processing machinery, plant and equipment, LIGNA 2017 has been refined and improved, both for exhibitors and for trade visitors. The changes will allow customers to make better use of their time at the show, while the needs of exhibitors will be fully and precisely met.

In particular, the merging of the three previous show categories of Solid Wood Working, Furniture Industry and Woodcraft Solutions into one display section – Tools and Machinery for Custom and Mass Production – makes for a more compact and well-organised presentation.

This saves visitors time and energy.

More details are available at www.ligna.de/en. For exhibitor/visitor inquiries or more information, please contact GTCC’s official representative for Deutsche Messe for Thailand, Ms. Kamolchanok Nantaburom at tel: +66 2 055 0640 or by e-mail at kamolchanok@gtcc.org.

UPDATE 2/2017

TRADE FAIRS 47

POWTECH 2017: TRADE FAIR FOR PROCESSING, ANALYSIS, AND HANDLING OF POWDER AND BULK SOLIDS 26-28 September 2017, Nuremberg

Bulk solids experts, process technicians, engineers and plant operators from all over the world will gather during 26 to 28 September 2017 at the Exhibition Centre Nuremberg for POWTECH, the trade fair for processing, analysis and handling of powder and bulk solids.

For three days and in six exhibition halls visitors will experience the latest equipment and systems for the whole gamut of mechanical processes from A to Z. Forums, guided tours and lectures complement the presentations by various exhibitors. A new feature at POWTECH 2017 will be the special display area, Pharma Solids, for concentrated pharmaceutical expertise in Hall 3A. More than 16,000 trade visitors flocked to Nuremberg for POWTECH 2016, and the 891 companies and institutions from 31 countries that exhibited were highly satisfied with the event. In a representative survey, more than 93 per cent of the exhibitors confirmed that they were able to reach their desired target groups, and 92 per cent were able to establish new business contacts.

In 2017 POWTECH will be taking place in Nuremberg for the 20th time. This anniversary event will also focus on all facets of mechanical processing technology. Topical thematic threads will include the customization of production, digitization, and increasing the efficiency of existing systems.

For more information and exhibitor/visitor inquiries please contact GTCC’s official representative for NßrnbergMesse, Mr. Nupat Khus r ib anc ho ng at te l: +66 2 055 0643 o r by e-m a il a t nuernberg@gtcc.org.

www.thailand.ahk.de

48 TRADE FAIRS

FENESTRATION BAU China 2017 7-10 November 2017, Shanghai

FENESTRATION BAU China, which is Asia’s largest, and the world’s second-largest professional gathering in the fenestration industry, comprises an exhibition, conferences and concurrent events.

The event focuses on products, technologies and practical solutions in the fenestration industry as well as the innovation of business models, thus ser ving as a platform for business co-operation and exchanges of information. The exhibition focuses on outstanding building products, materials and ser vices in conjunction with structured, long-term and sustainable urban development.

FENESTRATION BAU China provides a complete overview of the market as it showcases product innovations and reveals specific opportunities for the industry. As an efficient communications, networking and information platform, it promotes business exchanges between manufacturers on one hand, and project developers, architects, planners and distributors on the other.

FENESTRATION CHINA was founded in 2003. When it was held in November 2016,

UPDATE 2/2017

it covered 100,000 m2 and had more than 500 exhibitors. More than 80,000 visitors gathered information about the latest window, door and facade elements. The exhibition takes place on an annual basis, alternating between Peking and Shanghai. That rhythm corresponds to the needs of the rapidly growing Chinese construction market. The changing venue also takes into account the different requirements in the two regions of China.

The next FENESTRATION BAU China will take place at the Shanghai New International Exhibition Centre (SNIEC) in Shanghai from 7 to 10 November this year.

Additional information about FENESTRATION BAU China is available at www.fenestration. com.cn, www.bauchina.com and www.facebook.com/bau-muenchen. For more details, please contact GTCC’s official representative for Messe Muenchen in Thailand Ms. Kamolchanok Nantaburom tel: +66 2 055 0640 or by e-mail at muenchen@gtcc.org.

Imported by : Danmark Co., Ltd. Distributed by : Flow Inter Co., Ltd. 23 Soi Chalermprakiat Rama 9 Soi 9 Sub-soi 2 Nongbon Prawet, Bangkok 10250 Tel. +66 2 748 1900-4 Fax. +66 2 748 1905 www.paulaner-thailand.com E-mail : info@paulaner-thailand.com