Trump government’s trade policies ‘will hurt Thai exports to the US’
Thailand’s exports could be at risk due to the trade policies of the Trump administration, the Trade Policy and Strategy Office (TPSO) has warned.
The office director-general, Poonpong Naiyanapakorn, said that Thailand was at risk of facing US reciprocal tariffs, as it ranks 11th among countries having a trade surplus with the US.
Thailand’s trade surplus reached US$45.60 billion (1.54 trillion baht) in 2024, up from US$40.725 billion (1.38 trillion baht) in 2023.
He anticipates reciprocal tariffs on Thai products that contributed to its trade surplus with the US in the past year, including computers, mobile phones, solar panels, tyres, transformers, electronic circuits and air-conditioners.
The US may also push Thailand to import products that either have high import tariffs or markets that have not been opened yet to US goods, such as agricultural and food products, he said.
He noted that the US might view Thailand’s import control measures and safety standards as non-tariff trade barriers.
Poonpong added that Thailand is also at risk of facing US anti-dumping (AD) and countervailing duty (CVD) measures, as several Thai products, including steel, metal products, solar panels and chemicals, are being investigated under these measures.
He pointed out that the US may target Thailand as a country used for rerouting Chinese exports to the US, which could result in additional tariffs on Thailand.
Thailand's increased imports of Chinese goods and exports to the US could indicate that Chinese companies have relocated production bases to Thailand to avoid US trade barriers, he explained.
Additionally, the US may reduce privileges for US companies that relocate production bases to Thailand, aiming to encourage them to return to the US under its policy to protect domestic interests.
As a result, Thai exports, which heavily rely on products from US companies, especially in the computer and electronic equipment sectors, could also be impacted, he said.
Poonpong explained that the TPSO had developed strategies to ensure mutually beneficial trade between Thailand and the US, focusing on reducing the trade surplus to mitigate potential tariff increases.
He emphasised that Thailand would carefully assess the impact on farmers and the domestic market, including exploring ways to inspect and verify product origins to build US confidence.
Meanwhile, Thailand must seize opportunities arising from shifts in export markets and the relocation of production bases, particularly from the US and China, which are key trading partners, he said.
He added that Thailand should prioritise diversifying its export markets and seeking new opportunities in regions such as South Asia, Latin America and Africa.
Finally, he stressed the need for Thailand to restructure its production and export strategies to focus on creating added value within the country.
