Thai trade talks: Minister navigates surplus dilemmas with US
Commerce Minister Pichai Naripthaphan is set to visit the United States in February to address concerns about Thailand’s trade surplus between the two nations.
Following a meeting at the Commerce Ministry with representatives from 50 US corporations who are members of the US-ASEAN Business Council (USABC), which includes major multinationals like Amazon, Apple, Boeing, Citi, Google, Mastercard, and Seagate.
Pichai emphasised that US investors remain enthusiastic about expanding their investments in Thailand, with companies such as Western Digital, Seagate, Google, and HP showing continued interest.
The minister requested that US investors convey to President-elect Donald Trump that Thailand’s trade surplus with the US stems from American companies investing in Thailand and subsequently exporting goods back to the US.
Therefore, Thailand should not be subjected to increased import tariffs given this context.
Pichai is scheduled to visit the US in February to meet the new US Secretary of State and potentially the US president. The discussions will centre on Thailand’s strong diplomatic ties with the US and showcase the robust potential for US companies to invest in Thailand, advocating for favourable policies and support for the country.
Additionally, US investors urged Thailand to accelerate free trade agreement (FTA) negotiations with other countries. Pichai informed the US that Thailand aims to conclude FTA negotiations with the European Free Trade Association (EFTA) by January next year, followed by a Thai-UAE FTA.
The minister also requested the removal of Thailand from the US watch list on intellectual property protection under Section 301, citing significant progress in improving protection and enforcement through draft Copyright Act amendments.
Thailand has also appealed to the US to renew the Generalised System of Preferences (GSP) privileges for the country. These GSP privileges, which offer customs tariff advantages to Thai exporters, expired in 2020.
The USABC is an organisation comprising leading US companies that invest or conduct business in ASEAN nations, reported Bangkok Post.
