Thailand to boost US imports amid 36% tariff on exports
The Government of Thailand has committed to boosting imports of energy, aircraft, and agricultural products from the United States. This decision is part of efforts to counteract the impact of the US’s 36% tariff on Thai exports, according to Prime Minister Paetongtarn Shinawatra.
Finance Minister Pichai Chunhavajira is set to lead a delegation to the US this week to address trade issues and emphasise that Thailand is a dependable partner, not just an exporter.
This announcement followed criticism of the government’s slow response to US President Donald Trump’s tariff increase, especially compared to other ASEAN leaders’ quick actions.
The US imposed a 36% tariff on Thai exports, placing Thailand in a similar predicament to many countries, which are preparing retaliatory measures, said PM Paetongtarn.
“We predict fierce global retaliation through tax measures. While many nations have engaged with the US government, no conclusive outcomes have been reached.”
The Bangkok-born PM further highlighted the tariff’s significant impact on exports like electronics, processed foods, and agricultural products. A working group has been established to deliberate on the situation with the private sector and the US, both formally and informally.
“Deputy Prime Minister and Finance Minister Pichai Chunhavajira will engage in discussions this week with various US stakeholders. We will convey to the US that Thailand serves as both an exporter and a dependable economic partner.”
The government proposes increasing imports from the US in energy, aircraft, and agricultural sectors. In return, Thailand seeks promotional privileges for Thai investors and reduced barriers to Thai exports.
Both nations will collaborate to address products falsely claiming Thai origin. The Thai PM expressed confidence in the US accepting Thailand’s proposals to maintain their alliance and trade relationship.
The government is open to US feedback and assures that its proposals will safeguard the interests of Thailand and its businesses. Immediate and long-term measures will be implemented to support affected Thai businesses, from small and medium enterprises to large industries.
The 38 year old prime minister plans to meet with stakeholders tomorrow, April 8, to discuss strategies for protecting national interests and the economy.
Previously, on April 2, Donald Trump announced a minimum 10% tariff on imports from all countries. For those with a trade surplus against the US, perceived as having unfair trade advantages, a retaliatory tariff is set at half the rate faced by US exports in those markets. For Thailand, this tariff is 36%, effective April 9.
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