Thailand’s trade talks with the United States are expected to be concluded before Aug 1, and US tariffs on the country are not expected to be as high as 36 per cent, its finance minister said on Tuesday (Jul 29).

The United States was Thailand’s largest export market last year, accounting for 18.3 per cent of total shipments, or US$54.96 billion. Washington has put its deficit with Thailand at US$45.6 billion.

Thailand is ready to negotiate and its proposal remains the same, Finance Minister Pichai Chunhavajira told reporters.

“The United States has already opened the way for further negotiations, and we will continue the discussions,” he said.

Asked whether the talks could be done before the Aug 1 deadline, Pichai said, “Yes, it can be done in time. We’re definitely ready and now we’ll see how the US decides.”

US tariffs on Thailand could be announced on Aug 1 or Aug 2, Pichai said.

“This is roughly where things stand. I think it’s very close now,” he added. “I believe we definitely should not face 36 per cent.”

Earlier this month, Pichai said the country made more concessions in addition to an earlier improved trade proposal that offered zero tariffs on many US products.

He said US tariff rates on Thailand are expected to align with other countries in the region.

Vietnam and Indonesia now face US tariffs of 20 per cent and 19 per cent, respectively, significantly lower than the levels announced in April.

Source: Reuters

- Agencies