Thaksin Shinawatra, the influential figure behind Thailand’s ruling Pheu Thai Party, has taken an active role in formulating the country’s response to U.S. President Donald Trump’s looming 36% tariff threat on Thai exports.
In a high-level meeting held in Bangkok, Thaksin joined senior economic advisors and key cabinet ministers, including those from the finance and commerce ministries. The focus was on finalizing economic concessions to present to Washington, as well as crafting measures to shield Thai farmers and industries from potential economic fallout.
Finance Minister Pichai Chunhavajira, who leads the task force in talks with the U.S., said the government is slightly adjusting its proposal to make Thai exports more competitive compared to regional peers. He also expressed willingness to travel to the U.S. for direct negotiations if necessary.
Thailand’s current offer includes scrapping import duties on 90% of U.S. goods and removing non-tariff barriers. The country has also committed to significantly narrowing its $46 billion trade surplus with the U.S. within five years. Officials remain hopeful that a deal can be reached before the August 31 deadline.
Thaksin’s involvement highlights the seriousness of the situation and reflects concerns about the broader implications for small businesses and agriculture. He has cautioned against over-conceding in exchange for short-term relief, especially if U.S. demands encroach on Thailand’s ties with China.
The U.S. remained Thailand’s top export market in 2024, accounting for 18% of total shipments. Thai exports have surged by 15% in the first five months of the year, as businesses rushed to fulfill orders ahead of potential tariffs.