Thai Export Growth and Challenges
BANGKOK (Reuters) – Thai export growth could exceed targets this year but challenges loom as the government seeks to negotiate a tariff deal with the United States that benefits both sides, according to the commerce minister on Friday.
“This year’s exports will still meet targets, or be slightly better,” Commerce Minister Pichai Naripthaphan stated at a business seminar. “It may be bumpy, but it is not bad.” The government has forecast export growth of 2%-3% this year.
Pichai’s comments followed a report showing export growth hit a three-year high in March at 17.8%, with a 15.2% annual increase in the first quarter.
However, the Thai economy, Southeast Asia’s second-largest, faces significant challenges due to U.S. President Donald Trump’s tariff policies, which could impose a 36% import tax unless negotiations can be completed before Trump’s tariff enforcement pause expires in July.
The United States was Thailand’s largest export market last year, with shipments totaling $55 billion, while the bilateral trade deficit with Thailand is estimated at $45.6 billion.
Thai-U.S. trade negotiations set for this week have been postponed as the Trump administration requested Bangkok to review critical issues, including its tariff structure, according to Prime Minister Paetongtarn Shinawatra.
The Thai government indicates its negotiation strategy will prioritize sectors where mutual interests exist, like energy, pet food, and increasing U.S. imports such as liquefied natural gas.
U.S. officials have expressed satisfaction with Thailand’s measures to combat “circumvention,” hinting at concerns over Chinese exports via third countries to sidestep Trump’s tariffs. Pichai noted the expected rise in shipments of rubber gloves, tyres, and animal feed to the United States to substitute for Chinese products impacted by higher tariffs.
Comments (8)
Ifeanyi Emmanuel Ani
13:44 - 27/04/2025
Interesting
Abdullahi Salihu Abdullahi
05:34 - 27/04/2025
Exactly
Abdullahi Salihu
05:31 - 27/04/2025
Okay
Abdullahi Salihu
05:30 - 27/04/2025
Okay
Juan Pastuzaca
14:37 - 26/04/2025
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