Latest news with #PornsilPatchrintanakul
Yahoo
19-02-2025
- Business
- Yahoo
Thai Feed Mills Eye $2.8 Billion of US Crops Amid Tariff Risks
(Bloomberg) -- Thailand's feed industry is pitching to buy about $2.8 billion worth of agricultural commodities annually from the US instead of other suppliers, as the Southeast Asian nation seeks to narrow its $35 billion trade surplus and head off possible tariffs on its own exports. Why Barcelona Bought the Building That Symbolizes Its Housing Crisis Sorry, Kids: Disney's New York Headquarters Is for Grown-Ups Por qué Barcelona compró el edificio que simboliza su crisis inmobiliaria Trump Child Refugee Agency Shares Data With Immigration Enforcers A Filmmaker's Surreal Journey Into His Own Private Winnipeg The Thai Feed Mill Association is in talks with the government to ease some rules to make US feedstuffs like soybean meal and corn more competitive to ship in, Pornsil Patchrintanakul, president of the organization, told Bloomberg News in an interview. Thailand joins a number of nations scrambling to find ways to reduce their trade surpluses with the US, as President Donald Trump wields the threat of tariffs to reshape his country's relations with trade partners. Countries like India and South Korea are considering boosting their purchases of US energy, while Thailand has already promised to buy more US ethane. A move to reduce or remove a 2% import tax on US soybean meal, potentially via a trade pact, could immediately incentivize Thai feed mills to switch their purchases from Brazil, Pornsil said. A temporary suspension of WTO-mandated tariffs on corn will also favor supply from the US, the world's largest producer and exporter of the commodity, he added. 'We're so open to buying more, but you have to fix these problems for us first. If it works, we'll make the US a priority,' Pornsil said, adding that importing more American crops is one of the quickest actions his country can take to reduce its trade surplus. Feed mills under the association have the capacity to buy from the US up to 48 billion baht ($1.4 billion) of soybean meal, 36 billion baht of corn, and 9.9 billion baht of ethanol by-product — a total of $2.8 billion of crops every year, according to data compiled by the association. Thailand currently brings in $68.2 million of American soybean meal and other crops, but no US corn. Last week, Prime Minister Paetongtarn Shinawatra ordered relevant government agencies to study measures to protect Thailand's trade interest in the new Trump era, according to government spokesman Jirayu Houngsub. A working group set up last month was tasked with preparing negotiation strategies and will be making recommendations to the cabinet in due course, Jirayu said on Feb. 11. Thailand has forecast higher feed demand this year at 21.8 million tons, up from 21.1 million tons in 2024. Roughly 60% of the country's total feed mix — which consists mainly of corn, soybean meal, and wheat — is imported. The industry mostly feeds chickens and pigs and is part of the country's 900 billion baht livestock supply chain. Nearly all of Thailand's soybean meal imports currently come from Brazil, while less than 1% are from the US. Corn is sourced locally and from Southeast Asian neighbors, while wheat comes from Europe. According to the mill association, the country could switch to buying 3 million tons of soybean meal and 4 million tons of corn from the US. Thailand also imports varying amounts of distillers' dried grains each year, the majority already coming from the US. If the government reduces or removes a 9% import tax on the ethanol by-product, Thai mills will likely have the capacity to import as much as 900,000 tons per year, according to estimates by the association. Pornsil warned that Washington may also pressure Thailand, an export-reliant economy, over market access for US pork products — a contentious issue that caused the first Trump administration to revoke $817 million in trade preferences for Thailand in 2020. Currently, US pork cannot enter Thailand due to local laws banning the use of feed additives commonly used in American livestock production. Before DeepSeek Blew Up, Chatbot Arena Announced Its Arrival The Startup That Stepped In When the Baby Formula Supply Chain Broke How Med Spas Conquered America The Undocumented Workers Who Helped Build Elon Musk's Texas Gigafactory The Unicorn Boom Is Over, and Startups Are Getting Desperate ©2025 Bloomberg L.P. Sign in to access your portfolio
Bloomberg
19-02-2025
- Business
- Bloomberg
Thai Feed Mills Eye $2.8 Billion of US Crops Amid Tariff Risks
Thailand's feed industry is pitching to buy about $2.8 billion worth of agricultural commodities annually from the US instead of other suppliers, as the Southeast Asian nation seeks to narrow its $35 billion trade surplus and head off possible tariffs on its own exports. The Thai Feed Mill Association is in talks with the government to ease some rules to make US feedstuffs like soybean meal and corn more competitive to ship in, Pornsil Patchrintanakul, president of the organization, told Bloomberg News in an interview.
