Thai Finance Minister hastens to complete US tariff proposal before August 1 cutoff date
Thailand Submits Final Revised Tariff Proposal to the US
Thailand has submitted its final revised tariff proposal to the United States, aiming for a reciprocal tariff rate of about 19%, in line with rates agreed upon by other ASEAN countries. The deadline for the submission was August 1, 2025.
The US Trade Representative (USTR) sent Thailand a final draft tariff document on July 29, which Thailand reviewed and returned with minor revisions. The US is expected to officially announce the tariff rate within 1-2 days after the submission, marking the final stage of negotiations.
Originally, the US had announced a 36% tariff on Thai imports effective August 1, 2025. However, this rate has been delayed until August 7, 2025, with the tariff rate poised around 19% as per the "Trump 2.0 tariff tracker."
Finance Minister Pichai Chunhavajira has been working diligently on the proposal since early morning and is in constant contact with the US. He mentioned that the revised GDP forecast reflects a gradual recovery, despite ongoing risks. He called the revised forecast a positive signal.
The revised proposal offered by Thailand in early July included zero tariffs on many US goods, assurances to increase imports such as 1 million metric tons per year of US LNG starting in 2026, and corn imports, aiming to rebalance trade over the next decade.
The Fiscal Policy Office (FPO) has revised its 2025 GDP forecast from 2.1% to 2.2%, a small but significant increase. Minister Pichai Chunhavajira stated that the team has been working day and night to improve the proposal. He acknowledged that there's no guarantee the US will respond in time.
The minister responded to the US's earlier feedback on July 29. He is currently fine-tuning the details of the proposal, which is expected to be submitted by July 30. The final version of the revised proposal is now in the hands of the US, with the official tariff rate announcement by the US President imminent.
Sources:
- Thailand submits final revised tariff proposal to US
- Thailand to offer US zero tariffs on many goods in bid to rebalance trade
- Trump 2.0 tariff tracker
- Tariffs as Leverage: US Trade Talks with Key Countries
- The final revised tariff proposal submitted by Thailand to the US will potentially have a significant impact on 'business' operations between the two countries, as it aims for a reciprocal tariff rate of about 19%.
- The revised tariff proposal from Thailand includes zero tariffs on many US goods and increased imports, such as 1 million metric tons per year of US LNG starting in 2026 and corn imports, which could boost 'economy' growth and 'investing' opportunities in both countries.
- The US Trade Representative and Thailand have been engaged in negotiations, with the final stage being the official announcement of the tariff rate by the US President, which will shape 'politics' related to international trade and 'finance' for the upcoming years.
- In light of the ongoing tariff negotiations, Finance Minister Pichai Chunhavajira has revised the GDP forecast, reflecting a gradual recovery despite ongoing risks, indicating a positive outlook for the 'economy' and potential growth in sectors like 'tourism' and 'finance'.
