Pattaya was still a quiet fishing village in the 50s when the U.S. Army started its military engagement in the region. In Thailand itself it built a few military bases and through out the region even more military personal was stationed. Originally they came to Bangkok for their pleasure time until the first American GI’s discovered the small fishing village in the South of Bangkok – Pattaya.
The Americans liked the combination of vacation, tropical beaches, beautify bitches and easily available drugs. Even Pattaya as quiet fishing village was first lacking some of those aspects, the industry quickly followed the money of the American military personnels and Pimps and bars developed.
In the 60s, when the American Government shifted more and more soldiers to the region and especially to the Vietnam war, already a decent vacation industry had developed in Pattaya. Hotels, restaurants, bars and gogo bars where already operating. The American soldiers had not a lot of time, but wanted to have as much joy as possible. They partied as their would not be a tomorrow for them and sadly for some that was true.
Sex was bought all the time by the GIs and so an increasingly number of Thai women prostituted themselves. The prices were cheap for the GIs however for the Thai women it was a hell of money. So rich American soldiers paid poor Thai women and used them for their pleasure.
This was when Pattaya started to become Pattaya, a town where sex buyers easily can find sex sellers. From here on the question was not if sex was traded, but in which form. In the 60s the variety of sex trade sharply expended. From girlfriend for the night, massage spas, beer bars, gogo bars, street hookers and freelancers, the sex industry developed all kind of forms to please the needs of the American soldiers.