BANGKOK — Thailand has joined more than 50 countries initiating negotiations with the United States over President Donald Trump’s sweeping new tariffs, which have rattled global markets and raised recession fears.
Prime Minister Paetongtarn Shinawatra announced on April 6 that Thailand will enter into talks with the U.S. following the imposition of tariffs on Thai goods. Deputy Prime Minister and Finance Minister Pichai Chunhavajira will travel to the U.S. for discussions with key stakeholders.
“Thailand has been a long-term, reliable economic partner and ally of the U.S., not merely an exporter,” Shinawatra emphasized in her statement.
The tariffs, which begin April 9, represent a significant challenge to Thailand’s export sector, particularly electronics, processed foods, and agricultural products.
Thailand’s Negotiation Strategy
The Thai government has outlined several approaches to address the tariffs:
- Proposing increased U.S. imports in energy, aviation, and agriculture sectors
- Collaborating with U.S. agricultural and industrial groups
- Promoting Thai investment in the United States
- Reducing import barriers and combating product origin misrepresentation
Shinawatra assured businesses that the government is prepared to implement both immediate and long-term support measures, including assistance for small and medium-sized enterprises. These measures include expanding into new export markets in the Middle East, Europe, and India, while accelerating free trade agreement negotiations.
How Trump Tariffs Apply
Wutthikrai Leeviraphan, Permanent Secretary of the Ministry of Commerce and Chairman of the U.S. Trade Policy Working Group, provided additional details on the tariff implementation timeline:
The U.S. will implement tariffs in two phases:
- Phase 1: Beginning at 00:01 on April 5, 2025 (U.S. time) – a blanket 10% tariff on all imported goods from all countries
- Phase 2: Beginning at 00:01 on April 9, 2025 – country-specific “Reciprocal Tariffs,” with Thailand facing a 36% rate
These new tariffs will be added on top of existing duties, fees, and other charges. However, goods already in transit to the U.S. before these deadlines will be exempt from the new 36% rate.
Certain products are excluded from these reciprocal tariffs because they are already subject to previously announced measures:
- Steel and aluminum products (25% tariff announced March 12, 2025)
- Automobiles and parts (25% tariff announced April 3, 2025)
Additionally, several product categories are temporarily exempt pending potential separate tariff announcements, including copper, pharmaceuticals, semiconductors, processed wood, certain minerals, and energy products. These items may face a likely 25% tariff in future announcements.
U.S. Administration Stance
U.S. Treasury Secretary Scott Bessent has indicated that negotiations won’t be quick, stating that unfair trade practices are not “the kind of thing you can negotiate away in days or weeks.” He emphasized that the United States must evaluate whether countries’ offers are “believable.”
Commerce Secretary Howard Lutnick confirmed the tariffs will proceed as scheduled: “The tariffs are coming. Of course they are,” adding that Trump needed to reset global trade. However, he committed only to having them “definitely” remain “for days and weeks.”
Trump, who spent the weekend golfing in Florida, posted online that “WE WILL WIN. HANG TOUGH, it won’t be easy.”
ASEAN Members Response
The April 2 tariff announcement has prompted regional coordination among ASEAN nations. Vietnam, a major manufacturing center for clothing, has reportedly discussed potentially reducing their tariffs to zero in exchange for an agreement with the U.S. Cambodia has formally requested a postponement of the 49% tariff rate on its products.
Other ASEAN members including Indonesia, Malaysia, and the Philippines are reportedly preparing similar negotiation strategies, though they have yet to make public statements. Regional economic ministers are expected to hold an emergency virtual meeting to coordinate their approach.
White House economic adviser Kevin Hassett acknowledged that countries are “angry and retaliating,” but also “coming to the table,” with the U.S. Trade Representative reporting that more than 50 nations had reached out to begin discussions.
As the April 9 implementation date approaches, economic uncertainty looms across Southeast Asia with no clear resolution in sight.
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