Thai FM Reveals 5 Trade Proposals to US in Bid to Avoid High Tariffs

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Khaosod English
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Deputy Prime Minister and Finance Minister Pichai Chunhavajira gives a statement regarding progress in negotiations on US import tariff policies at Government House on May 14, 2025.

BANGKOK — Finance Minister Pichai Chunhavajira revealed on Wednesday that Thailand has submitted several key trade proposals to the United States through Commerce Minister Phichai Naripthaphan in discussions with the US Trade Representative (USTR) on May 8.

The proposals aim to establish Thailand as a stronger economic partner with the United States while addressing ongoing trade concerns. According to Pichai, Thailand’s proposals to the United States can be summarized into 5 points:

1. Thailand will be an economic partner with the United States, focusing on strengthening cooperation between Thai and US processed food businesses, developing the processed food industry, and the digital technology industry by leveraging the strengths of both countries together.

This includes importing agricultural products from the United States to use as raw materials for processing and exporting to the global market, and holding discussions with the US agricultural sector, which is an important political voter base for President Donald Trump.

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Cranes work on stacks of containers at the Bangkok Port in Bangkok, Thailand, Thursday, April 10, 2025. (AP Photo/Sakchai Lalit)
2. Increase imports from the United States. Thailand plans to increase imports of essential goods such as energy (crude oil, liquefied natural gas (LNG), ethane), aircraft and parts, armaments, and agricultural products like corn, soybeans, and beef, to strengthen commercial ties and meet domestic economic needs.
Representatives from the Ministry of Energy, the Electricity Generating Authority of Thailand (EGAT), PTT Public Company Limited, and Thai private energy companies have traveled to Alaska to discuss with the Governor of Alaska and US private energy companies to establish cooperation in energy trade.
3. Open markets and reduce trade barriers. Reducing import tariffs under the Most Favored Nation (MFN) system for 11,000 items by 14%, as well as reducing non-tariff barriers, is a key goal of the cooperation. This also includes reducing quotas and restrictions and opening the market for US goods such as cherries, apples, wheat, corn, and meat products.
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President Donald Trump speaks during an event to announce new tariffs in the Rose Garden at the White House, Wednesday, April 2, 2025, in Washington. (AP Photo/Mark Schiefelbein)
4. Strictly enforce rules of origin through the implementation of regulations on the origin of goods to address the issue of falsely claiming “Made in Thailand” status for goods from third countries exported through Thailand to the US. This will involve increased monitoring to maintain the reputation of Thai goods in the US market.
5. Promote Thai investment in the United States. The government supports the expansion of Thai private sector investment in the US within the next four years, particularly in the energy sector, such as LNG investment projects in Alaska and large-scale agricultural farm investments. Currently, Thai private companies have 70 investments in 20 US states, creating more than 16,000 jobs with an investment value of $16 billion.
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LNG investment projects in Alaska

Pichai noted that US Treasury Secretary Scott Bessent mentioned Thailand positively during the Saudi Arabia-US Investment Forum in Riyadh on May 13, stating that Thailand’s proposals were “good” and comparable to those of Indonesia and Taiwan.

“From Bessent’s remarks, we see positive signals from the US policy level,” Pichai said. “We expect that working-level officials will be assigned to consider the details further. It will take some time before Thailand can hold discussions at the working level, but it will definitely be soon, as one month has already passed out of the 90-day postponement period.”

The Finance Minister emphasized that Thailand’s proposals represent a “win-win solution” that will benefit both countries, adding that the government will ensure imported goods do not negatively impact Thai farmers. He stressed that Thailand is primarily seeking to import items that the country already lacks, based on their economic value.

“Thailand is one of the US’s trading partners with whom the US is willing to discuss and resolve the issue of retaliatory tariffs and move towards constructive economic cooperation,” Pichai concluded.

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