The implications of orphanhood for AIDS-affected children in Thailand is a subject which has received little scholarly attention despite the intensity and longevity of the epidemic in that country. The present study presents preliminary findings from a longitudinal investigation of the circumstances and welfare of Thai youth who have lost one or both parents to AIDS-related causes and the families who care for them. Based on interviews and focus groups carried out in Chiang Mai province in 2001-2002, the study finds that most of the children left orphaned by AIDS were being cared for by members of their extended family, especially grandparents or maternal aunts, and that many caregiving households were experiencing significant financial hardship which might have implications for the children's long-term well-being and stability and for their opportunities for educational advancement. Concern were also expressed about the unavailability or inaccessibility of childcare for AIDS-affected children and the perceived instability of fostering arrangements which placed young children in the care of elderly relatives.