Bangkok: The Deputy Minister of Commerce revealed that any trade agreement with the United States must pass Congress. He emphasized that the 19% tariff rate is a good starting point, but that Thailand must enhance its production capacity, utilize domestic raw materials, and maintain standardized documentation of origin.
According to Thai News Agency, Mr. Chantawit Tantasith, Deputy Minister of Commerce, revealed progress in negotiations with the United States regarding the 19% tariff on Thai imports. He stated that the Thai negotiating team is currently finalizing the content of the Agreement on Reciprocal Tariff Text (ART Text). Once an agreement is reached, the next step will be for parliamentary consideration, allowing representatives of the people to decide whether the agreement is appropriate for the country.
"This trade agreement is an important matter that requires parliamentary consideration, as it will determine the long-term direction of Thailand's international trade," said Mr. Chantawit.
The imposition of a 19% tariff on Thai imports is considered "initial good news" and will help maintain the competitiveness of Thai businesses in the US market. However, Thailand needs to accelerate its adaptation to comply with the Regional Value Content (RVC) and Rules of Origin rules to maintain trade benefits and expand its competitiveness in the global market.
The Ministry of Commerce is preparing to establish a One-Stop Service Center to assist entrepreneurs at all levels in restructuring their production, increasing the use of domestic raw materials, and developing a system for managing origin documents in line with new standards. This will be done through close consultation with US agencies and the private sector to support in-depth adjustments in the manufacturing sector.
Mr. Chantawit added that the negotiation process still has issues to consider, such as market access, the reduction of non-tariff barriers, and product-specific tariff schedules. The outcome must maximize the benefits for Thailand and its stakeholders before the official signing.