Krungsri Securities analysts concur, stating that the house does not expect the temporary suspension of reciprocal tax negotiations to affect the reciprocal tax (FDI reciprocal tax), which has already been announced and enforced at 19%, and transshipment tariffs, which stand at 40%.
It has been reported during the weekend that the U.S., through its Deputy Trade Representative, to “suspend” trade negotiations under the reciprocal trade agreement framework between Thailand and the US temporarily. Negotiations will resume once Thailand commits to rejoining the Thailand-Cambodia Joint Declaration, or the Thailand-Cambodia Peace Declaration. The US also expressed hope for a swift resolution to this issue.
Current negotiations are focused on technical details, such as local content pertaining to transshipment, and other specific matters.
Additionally, Krungsri Securities noted that there are other significant factors related to the reciprocal tax, including the US tariff rate on Chinese imports—which has only a temporary rate set for 1 year—and a Supreme Court ruling that President Trump’s trade tariffs might be unlawful. Nevertheless, if future military conflicts arise, the US could impose further tariffs.
In summary, researchers believe this news has no impact on fundamental factors but may cause a short-term psychological effect on industrial estate stock prices. The research team continues to recommend a “buy” for Amata Corporation Public Company Limited (SET: AMATA), with a target price of 26 baht, and WHA Corporation Public Company Limited (SET: WHA), with a target price of 5.10 baht. “Hold” is recommended for Rojana Industrial Park Public Company Limited (SET: ROJNA), with a target price of 5.30 baht.
