Thailand has presented a revised trade proposal to the United States in an attempt to avert significant new tariffs from its top export market, Finance Minister Pichai Chunhavajira announced on Monday.
The latest submission from Thailand includes a commitment to zero tariffs on numerous U.S. imports, according to Pichai. He expressed optimism that Washington would find the plan satisfactory, emphasizing that the proposal also details a framework to achieve balanced trade with the United States within the next decade.
This diplomatic move comes as the U.S. is considering imposing a 36% tariff on Thai imports unless an agreement is reached ahead of a critical July 9 deadline. Currently, a 90-day grace period restricts tariffs for most trade partners to a baseline of 10%. Should negotiations fail, the temporary cap will expire, potentially leading to higher duties on Thai goods entering the American market.
Thailand’s original pledge targeted a rapid reduction of its $46 billion trade surplus with the U.S., aiming to slash it by 70% within five years and achieve balance within eight. The proposal included immediate tariff and barrier waivers on a broad range of products, with gradual phase-outs for others, along with significant long-term commitments to purchase U.S. ethane, LNG, and up to 80 Boeing jets. Despite these gestures, U.S. officials remain unconvinced.
