Thailand Nears US Deal to Slash 36% Export Tariff Before August 1 Deadline
Thailand races against the clock to finalize a tariff-cutting deal with the US—slicing a punitive 36% export tax before the August 1 deadline hits.
Tariff Tango:
Bangkok and Washington are in the final stretch of negotiations, aiming to ease trade tensions and boost export flows. The current 36% rate has been a thorn in Thailand's side—now, both sides want it gone.
Deadline Drama:
With just days left, the pressure’s on. Will they strike a deal in time, or will Thai exporters face another round of financial bruises? Meanwhile, Wall Street analysts shrug—'Just another trade band-aid.'
Bangkok promised more investment in the US
Bangkok has also promised more US investment, including support for the Alaskan gas project backed by President Donald Trump. The government expanded its zero‑tariff list for US products to cover ninety percent of items, an increase from just over sixty percent, the Thai Chamber of Commerce clarified.
That chamber, which advises the finance minister, already estimates that the new measures could cut the surplus by seventy percent within 3 years and bring trade roughly into balance within the next 5 years.
When asked whether Washington had pressed for new concessions after last week’s meeting, Pichai said US officials had outlined a set of policy expectations rather than fresh demands. The Thai side is now reviewing those guidelines to see if they can be fully met.
Thailand faces challenges at home with weak consumer spending and the highest household debt in the region. A favorable result in the tariff talks WOULD help calm investor worries in a time of political uncertainty, especially after Prime Minister Paetongtarn Shinawatra’s suspension due to alleged misconduct by the court in handling the Cambodian border dispute.
In Q1 of 2025, Thailand’s exports ROSE about fifteen percent, driven by early shipments during the ninety-day pause in tariffs.
KEY Difference Wire helps crypto brands break through and dominate headlines fast
