US Tariff Rod Swings To Thailand

Recently, the United States suddenly announced that it would abolish the "GSP tariff treatment" for more than 500 commodities in Thailand in April 2020, which would cause Thailand's export revenue to lose more than 40 billion baht (about 1 billion 300 million US dollars). The US side said the move was a punishment for Thailand's failure to reach international standards in protecting labor rights and interests.

Regarding the US accusations, Thailand labor minister Za Du Mon Kon said recently that Thailand did not agree with the unreasonable demands of the United States. He believed that the labor law of Thailand provided protection for local and foreign workers in accordance with international standards. The Ministry of Labour's policy was based on Thailand law, which must comply with the basic national conditions of Thailand and could not copy foreign laws or standards.

Thailand's prime minister, Pakistan education, recently responded to MATTEL's tariff wave. He said he was not too worried about it because the export volume of the "GSP tariff treatment" in Thai US trade was not too large, and the impact on Thailand's economy was limited, and there was six months to negotiate with the US side. Zhu Lin, Deputy Prime Minister and Minister of Commerce, said that the decision of the US side would cause Thailand to lose 40 billion Thai baht (about 1 billion 300 million US dollars) in exports. In the past, the United States had also abolished the treatment of HP, but the Thai side would reconsider the matter and restore some of its treatment after its complaint. Deputy Prime Minister and Minister of health, nu Ting, expressed confidence that Thailand products and global market demand for Thailand products would be damaged even though the abolition of "inclusive" would have some impact on Thailand's economy.

Officials of the trade policy and Strategy Office of the Ministry of Commerce of Thailand said that the measure will come into effect in April 25th next year when 573 kinds of Thailand products will be subject to 4.5% import duties, including agricultural products, seafood, fruits, vegetables and daily necessities, which will lead to a decline in Thailand's exports to the United States next year. In general, the impact on Thailand's exports is limited.