Thailand will submit a formal trade proposal to the United States this week in a bid to avoid steep tariffs threatened by former U.S. President Donald Trump, the country’s finance minister said on Tuesday.
The Southeast Asian nation currently faces a potential 36% levy on key exports to the U.S. under Trump’s proposed “Liberation Day” measures. Thailand remains one of the few regional economies without a bilateral trade agreement with Washington.
Following a cabinet meeting in Bangkok, Finance Minister Pichai Chunhavajira told reporters, “We will submit the details by this week,” adding that initial negotiations will be held virtually, with in-person meetings to follow.
Thailand’s Finance Ministry previously said the proposal seeks to reduce the bilateral trade imbalance and expand access for American goods in the Thai market.
According to data from the U.S. Trade Representative, America’s goods trade deficit with Thailand rose to $45.6 billion in 2024, an 11.7% increase from the previous year.
Amid growing economic uncertainty, the Thai government last month downgraded its 2025 GDP growth forecast to 2.3–3.3%, down from an earlier range of 3.2–4.2%, citing concerns over possible retaliatory tariffs.
Tensions between the two countries briefly flared in April after Thai authorities arrested American academic Paul Chambers on royal defamation charges — a move that was widely seen as politically sensitive. The case was later dropped.
As Thailand prepares for talks, officials hope to secure a deal that will shield its export-reliant economy from further trade disruptions.
AFP
