Thailand is preparing to formally submit a trade proposal to the United States this week, aiming to avert the steep tariffs threatened by the Trump administration, the kingdom’s Finance Minister announced Tuesday.
Facing a looming 36% levy on key exports under U.S. “Liberation Day” measures, Thailand remains one of the few Southeast Asian nations without a bilateral trade agreement with Washington.
Following Tuesday’s cabinet meeting, Finance Minister Pichai Chunhavajira told reporters, “We will submit the details by this week.” He added that initial negotiations will take place virtually, with in-person discussions to follow.
According to Thailand’s finance ministry, the proposal seeks to address the significant trade imbalance and improve market access for American exports.
U.S. goods trade deficit with Thailand reached $45.6 billion in 2024, marking an 11.7% increase year-over-year, per data from the Office of the U.S. Trade Representative.
The Thai government last month revised down its 2025 economic growth forecast to 2.3-3.3%, from an earlier estimate of 3.2-4.2%, citing uncertainties surrounding “reciprocal tariffs” as a key factor.
Separately, political tensions had cast a shadow over negotiations earlier this year when American academic Paul Chambers was briefly detained on royal defamation charges a case that was later dropped leading to speculation about potential delays in trade talks.
Thailand’s upcoming engagement with the U.S. signals a crucial step in navigating the escalating global trade tensions and securing its economic outlook.
