Latest news with #TeamThailand
Bangkok Post
6 days ago
- Business
- Bangkok Post
Thais will not slash all tariffs on US goods
Thailand will not agree to reduce tariffs to zero on all US goods in ongoing trade talks, as such a move could significantly impact domestic producers and strategic industries, Deputy Finance Minister Paopoom Rojanasakul said. Speaking ahead of a scheduled meeting between the "Team Thailand" delegation led by Finance Minister Pichai Chunhavajira and the Office of the United States Trade Representative (USTR) on Thursday, Mr Paopoom emphasised the need to strike a balance between protecting exporters and safeguarding local producers, including farmers and small businesses. "The winner in negotiations is not the one who gets the lowest tariff, but the one who can maintain the most balanced outcome," said Mr Paopoom. He revealed that current reciprocal tariff rates on Thai exports to the US average around 36%, and discussions are ongoing to secure more favourable terms. However, he warned that any concessions made to reduce US tariffs would inevitably come with expectations for increased market access in return -- something that could pose risks to Thailand's local industries. "It's not just about securing a lower tariff rate," he said. "We must consider the impact on domestic sectors. Nothing comes without a cost. If we want the US to lower tariffs, we must offer access to our markets in exchange." Mr Paopoom stressed that Thailand could not adopt a blanket zero-tariff approach similar to Vietnam's, as this would require full market access for US goods. "We must weigh the benefits against the potential harm. He noted that while the export sector plays a significant role in the country's GDP, the government must also consider the well-being of farmers, SMEs, and domestic livestock producers. "Thailand is not made up of exporters alone. We have to look after all segments of society." The deputy finance minister clarified that strategic products -- those critical to national interests -- would need to be excluded from zero-tariff commitments. Overexposing local markets to foreign goods could disrupt domestic supply chains and damage the competitiveness of Thai producers. In addressing comparisons with Vietnam, Mr Paopoom explained that Vietnam receives two distinct tariff rates under US trade policy: 20% for goods made with domestic or regional inputs that meet Regional Value Content (RVC) requirements, and 40% for those that do not. Given that Vietnam's supply chain is less developed than Thailand's, he noted that a larger proportion of Vietnamese exports are likely subject to the higher 40% tariff. Commerce Minister Jatuporn Buruspat has confirmed that Thailand has offered to reduce import tariffs on tens of thousands of products from the US to zero. Additional proposals have also been submitted. As trade talks continue, the Commerce Minister has instructed relevant agencies to draft contingency plans to mitigate the potential impact of any retaliatory tariffs that may be imposed by the US. Mr Jatuporn said the government is preparing for two scenarios -- one in which Thai goods are subject to a 36% tariff rate and another in which they receive a 20% tariff rate, equivalent to that offered to Vietnam, a regional competitor. Chanintr Chalisarapong, vice chairman of the Thai Chamber of Commerce, told Bloomberg News that Thailand plans to scrap tariffs on 90% of US goods, up from the previous 60%. The proposal, covering 10,000 US products, will be presented to Washington and could reduce Thailand's $46 billion trade surplus by 70% within three years. Final tariffs are expected to fall to 18–20%, he said, adding the plan is more ambitious than previous offers and exceeds commitments by Indonesia and Vietnam, reflecting Thailand's capacity to process and re-export US goods.
Bangkok Post
6 days ago
- Business
- Bangkok Post
Thais will not slash all tariffs
Thailand will not agree to reduce tariffs to zero on all US goods in ongoing trade talks, as such a move could significantly impact domestic producers and strategic industries, Deputy Finance Minister Paopoom Rojanasakul said. Speaking ahead of a scheduled meeting between the "Team Thailand" delegation led by Finance Minister Pichai Chunhavajira and the Office of the United States Trade Representative (USTR) on Thursday, Mr Paopoom emphasised the need to strike a balance between protecting exporters and safeguarding local producers, including farmers and small businesses. "The winner in negotiations is not the one who gets the lowest tariff, but the one who can maintain the most balanced outcome," said Mr Paopoom. He revealed that current reciprocal tariff rates on Thai exports to the US average around 36%, and discussions are ongoing to secure more favourable terms. However, he warned that any concessions made to reduce US tariffs would inevitably come with expectations for increased market access in return -- something that could pose risks to Thailand's local industries. "It's not just about securing a lower tariff rate," he said. "We must consider the impact on domestic sectors. Nothing comes without a cost. If we want the US to lower tariffs, we must offer access to our markets in exchange." Mr Paopoom stressed that Thailand could not adopt a blanket zero-tariff approach similar to Vietnam's, as this would require full market access for US goods. "We must weigh the benefits against the potential harm. He noted that while the export sector plays a significant role in the country's GDP, the government must also consider the well-being of farmers, SMEs, and domestic livestock producers. "Thailand is not made up of exporters alone. We have to look after all segments of society." The deputy finance minister clarified that strategic products -- those critical to national interests -- would need to be excluded from zero-tariff commitments. Overexposing local markets to foreign goods could disrupt domestic supply chains and damage the competitiveness of Thai producers. In addressing comparisons with Vietnam, Mr Paopoom explained that Vietnam receives two distinct tariff rates under US trade policy: 20% for goods made with domestic or regional inputs that meet Regional Value Content (RVC) requirements, and 40% for those that do not. Given that Vietnam's supply chain is less developed than Thailand's, he noted that a larger proportion of Vietnamese exports are likely subject to the higher 40% tariff. Commerce Minister Jatuporn Buruspat has confirmed that Thailand has offered to reduce import tariffs on tens of thousands of products from the US to zero. Additional proposals have also been submitted. As trade talks continue, the Commerce Minister has instructed relevant agencies to draft contingency plans to mitigate the potential impact of any retaliatory tariffs that may be imposed by the US. Mr Jatuporn said the government is preparing for two scenarios -- one in which Thai goods are subject to a 36% tariff rate and another in which they receive a 20% tariff rate, equivalent to that offered to Vietnam, a regional competitor. Chanintr Chalisarapong, vice chairman of the Thai Chamber of Commerce, told Bloomberg News that Thailand plans to scrap tariffs on 90% of US goods, up from the previous 60%. The proposal, covering 10,000 US products, will be presented to Washington and could reduce Thailand's $46 billion trade surplus by 70% within three years. Final tariffs are expected to fall to 18–20%, he said, adding the plan is more ambitious than previous offers and exceeds commitments by Indonesia and Vietnam, reflecting Thailand's capacity to process and re-export US goods.
The Star
16-07-2025
- Business
- The Star
Thailand to propose zero tariffs in crucial US trade talks Wednesday (July 16)
BANGKOK: Thailand is set to make a significant offer to the United States tonight, proposing 0% import duties on tens of thousands of products in a pivotal video conference with the Office of the United States Trade Representative (USTR). The move comes as Bangkok simultaneously prepares contingency plans for potential US tariffs. Commerce Minister Jatuporn Buruspat confirmed the breakthrough in trade negotiations Wednesday (July 16). Deputy Prime Minister and Finance Minister, Pichai Chunhavajira, will spearhead "Team Thailand" in discussions with the USTR, presenting Thailand's newly revised and expanded proposals. Beyond the substantial offer of duty-free access for a vast array of goods, the Thai delegation will put forward additional proposals designed to strengthen trade ties. Crucially, the Ministry of Commerce has already tasked relevant agencies with developing detailed relief plans. These measures are being formulated based on two key hypothetical scenarios regarding potential US tariff impositions: Scenario 1: A 36% tariff being levied. Scenario 2: A 20% tariff being levied, mirroring the rate applied to competitor Vietnam. "We've instructed our teams to identify precisely which product categories would be affected under a 36% tariff, and the extent of that impact, including on workers in various industries," Jatuporn explained. "Similarly, we're assessing which product groups would be hit by a 20% tariff and the resulting consequences." These contingency plans are reportedly complete and are now awaiting the outcome of tonight's crucial negotiations. - The Nation/ANN
CBC
14-07-2025
- Sport
- CBC
Canada defeats Thailand in 5 sets at Nations League tournament
Canada finishes strong with a 17-25, 25-23, 30-28, 23-25, 15-13 (3-2) victory over Thailand Sunday at FIVB Women's Volleyball Nations League in Arlington, Texas.
Bangkok Post
14-07-2025
- Business
- Bangkok Post
Thaksin's role in tariff talks raises questions
'I have to do something for the country. Regarding the economic situation today, if I do not poke my nose in, then who will?" so said former prime minister Thaksin Shinawatra on Thursday during a forum held at the National Office. Then, the following day, Thaksin was seen entering the Ban Phitsanuloke guest house to attend a meeting of "Team Thailand" for talks about Thailand's latest tariff proposal to the United States after the first round of tariff talks in Washington DC, which was a complete failure as the US did not cut the 36% reciprocal tariff rate originally imposed on Thai products imported to US market. Even Cambodia had the rare chance of taunting Thailand, claiming it managed to outsmart Thailand by convincing the US to cut the tariff rate for Cambodian products from 49% to 36%, which is on par with the rate imposed on Thailand by the US. Finance Minister Pichai Chunhavajira, who headed Team Thailand in the first round of the tariff talks, admitted he invited Thaksin to the meeting at Ban Phitsanuloke because the former prime minister was well-versed in the issue at stake and he might provide some valuable advice to the team. He is now under fire for a supposed ethics breach in extending the invitation. Several other Pheu Thai heavyweights have hailed Thaksin for his economic acumen and expertise, although the former prime minister was not a trained economist, but has a degree in criminology. They all believe Thaksin is the only person who can save Thailand from the punishing 36% tariff rate, which will wipe out Thailand's trade competitiveness in the US market compared to the other Asean nations. Except for Laos and Myanmar, which are not major exporters to the US and are facing a 40% tariff rate each, other Asean countries are facing lower rates than Thailand: 20% for Vietnam, although it is not formalised yet; 25% for Malaysia, 20% for the Philippines, 10% for Singapore, and 32% for Indonesia. Some critics have asked in what capacity was he at the meeting? Thaksin is not a member of the Pheu Thai Party because of his conviction on corruption charges. For a man of strong character like Thaksin, one could guess that he would have sat at the head of the table, dictating the Team Thailand meeting similar to the way he has been pulling the strings behind the party and the cabinet. It is such an open secret that even Thaksin himself does not bother to keep it under the rug, despite the party being at risk of dissolution for allowing an outsider to wield influence or control over the party. Another failure by Team Thailand will be disastrous for the economy. The Joint Standing Committee on Commerce, Industry and Banking has estimated that revenue loss for Thai exports to the US market would be about 900 billion baht per annum if Thailand was hit with a 36% tariff. Thai imports will be replaced by imports from Vietnam or Mexico. That means many small- and medium-sized enterprises may be closed and big manufacturers may cut production, resulting in mass layoffs. Foreign direct investments will shrink drastically because Thailand will not be attractive any more, and manufacturers may consider relocating elsewhere, such as Vietnam. Finding new markets for Thai products is easier said than done and near impossible. India is touted as a potential market because of its huge population, but its purchasing power cannot be compared with that of American consumers. If Thaksin is so smart and well-versed in trade and tariff issues, why didn't he volunteer to offer his valuable advice to Team Thailand from the beginning? Thaksin's faithful supporters have bragged about his close connections with those around President Donald Trump, but why didn't he make use of his connections in the first place? Will his involvement in the preparation of the revised tariff proposal work its magic this time? Since Thaksin has decided to poke his nose in this crucial matter at his own initiative, should he be held accountable if the team fails this time? But to be honest, most Thais, even those who despise Thaksin for his alleged abuses, special privileges and wrongdoing, do not want Team Thailand to fail because the high cost of failure is too much to bear. Be realistic -- we do not expect a fair deal from the Trump administration, which has made clear that Thailand has enjoyed a substantial trade surplus with the US for a long time. Regardless, we expect the US to treat us as a trusted ally, and the tariff rate should be adjusted to the point where Thai products can remain competitive in the US market. That should be fine enough.
