Thailand plans to increase trade concessions to prevent the US from imposing a 36% high tariff

Thai Finance Minister Pichai said that Thailand has submitted its latest trade proposal to the United States, promising to reduce its trade surplus with the US by 70% within the next five years and strive to achieve trade balance within seven to eight years, aiming to avoid the US imposing tariffs of up to 36% on Thai products.

Bloomberg reported that currently, the United States has a 90-day tariff "grace period" for most countries, including Thailand, and most products are subject to a uniform tariff rate of 10%. This deadline will expire next Wednesday (July 9th). If the two sides fail to reach an agreement on the New Deal before then, Washington threatens to restore or raise the tariff rate on Thai goods to 36%.

Bichai said in an interview that the Thai side hopes the tariff will be maintained within the "ideal range" of 10%, and is also willing to accept an adjustment range between 10% and 20%. He pointed out that increasing the total volume of trade with the United States, expanding imports and gradually reducing the trade surplus with the United States are the key contents of Thailand's current round of negotiations.

He added that Thailand is expected to officially submit the revised plan by next Wednesday in an effort to reach a compromise with the US before the deadline and avoid a major shock to its export-dependent economy.