Thailand is deliberating the option of eliminating tariffs on a broader range of U.S. imports, Finance Minister Pichai Chunhavajira announced on Monday.
Speaking at a business seminar, Pichai revealed that the government is readying 200 billion baht (approximately $6.1 billion) in soft loans aimed at alleviating the potential fallout from mounting trade duties.
The country is currently facing a looming threat of a 36% tariff imposed by Washington should ongoing negotiations fail to produce an agreement before the August 1 deadline. The finance minister cautioned that the outcome of these trade talks could be further complicated in the event of a dissolution of Thailand’s parliament.
As the deadline draws closer, Thai officials are exploring additional options to shield local industries and exporters from the anticipated U.S. tariff hikes. The soft loan package is designed to provide immediate financial support, minimizing the strain on businesses affected by heightened import duties.
Pichai’s comments underscore the urgency facing policymakers as they seek to secure a deal with the United States, while also preparing contingency measures to sustain economic stability if talks break down.
