PUBLISHED: 8 Apr 2025 at 03: 30
A senior official has emphasized that the government’s approach to conversations over US tariffs may be guided by a “know your army, know yourself” approach, which seeks to determine Thailand’s strengths and situation thoroughly before engaging in dialogue.
Supavud Saicheua, the director, stated that the Thai authorities is preparing to discuss lowering trade tariffs and boosting American purchase. This action is in response to the 36 % increase in trade tariffs set to go into effect tomorrow.
Importing US agricultural products, which will then be transformed into food items for trade to other nations, is a key plan. Thailand has a major advantage in this field thanks to its breadth of experience in food handling. He stated that in order to help this plan, the government intends to establish business alliances with US states with significant agricultural industries.
He also made it clear that the government will provide short-term money as an incentive to support businesses affected by the price increases. To assist these businesses in finding other markets for their exports, a expenditure of 3 billion ringgit will also be allocated.
Mr. Supavud emphasized that the US’s price increases are motivated by three main goals: reducing industry imbalances, generating more revenue to lower the US budget deficit, and encouraging US businesses to re-engage with American manufacturing. He did point out that entering agreements without delay, as some nations like Canada and Vietnam have done, may not be the best course of action. These nations are also subject to higher taxes despite having trade surplus with the US.
He claimed that the Thai authorities had developed actionable strategies. The main thrust of the plan is to change trade and economic ties to make use of both countries ‘ advantages, such as the Thai company that processes US agricultural products.
This approach includes addressing items that are incorrectly labelled as coming from Thailand in order to lessen the negative effects of US tax policies. Additionally, it aims to boost Thai investment in the US and boost agricultural imports, especially in those areas where Thailand is unable to produce domestically, quite as energy-related goods.
The Thai government’s agreements with the US will proceed through a systematic, step-by-step approach, Mr. Supavud continued, making sure that both nations ‘ last contracts are beneficial.