Bangkok: ASEAN economic ministers are preparing to issue a joint statement on the US tax issue, stating that they will move forward with economic cooperation and set up a special working group, the ASEAN Geoeconomics Task Force, to closely monitor US policies and draw new economic opportunities into ASEAN to cope with tax measures.

According to Thai News Agency, Mr. Pichai Naripthaphan, Minister of Commerce, revealed that he attended a special ASEAN Economic Ministers’ Meeting via video conference with economic ministers from all 10 ASEAN member countries and Timor-Leste. The meeting discussed ASEAN’s strategic approach to dealing with the new US policy of increasing tariffs on many countries since April 5, despite the US recently announcing a temporary suspension of retaliatory tariffs for 90 days. This measure aims to reduce the impact on the economy, trade, and investment in the region, as well as the global supply chain and private business operations, especially SMEs and farmers in ASEAN.

At the meeting, ASEAN resolved to issue a joint statement of ASEAN economic ministers to express ASEAN’s position as a “comprehensive strategic partner” with the United States. The statement proposes constructive negotiations, reducing trade conflicts, and finding a balanced solution together under the ASEAN-US Strategic Trade and Investment Partnership (STIP) framework to maintain long-term economic, trade, investment, and supply chain security in the region. ASEAN aims to continue building cooperation in high-potential areas with the United States, including digital, AI, food, renewable energy, advanced industries, electric vehicles, semiconductors, health, logistics, and agriculture. This initiative aims to create new opportunities for the region and emphasize the importance of the multilateral trading system. Notably, ASEAN will not retaliate against the United States in trade.

Additionally, the meeting resolved to establish a special working group, ‘ASEAN Geoeconomics Task Force,’ to monitor, evaluate, and recommend policies to cope with and utilize the economic policy direction of the United States for maximum benefit to ASEAN. The task force will also promote cooperation at both the government and private sectors.

Pichai mentioned that he had been in contact with U.S. Trade Representative (USTR) Jamieson Greer on this issue since December last year. At present, the USTR has agreed to discuss with Thailand, and both parties are in the process of scheduling a meeting date to further develop cooperation between Thailand and the United States. Thailand is one of the countries that has prepared for in-depth discussions with the United States since the end of 2024.

The United States is ASEAN’s second-largest trading partner after China, with a total trade value of approximately 476.8 billion US dollars in 2024. The top five ASEAN exports to the United States are rubber and rubber products, footwear, clothing and clothing accessories, electronic products, and machinery. The top five imports from the United States are electrical machinery and equipment, clothing, machinery, agricultural raw materials and products, and automobiles, parts, and engines.

For Thailand, the US is the number one export market. In 2024, Thailand had a total trade value with the US of 74,484 million US dollars, exporting 54,956 million US dollars and importing 19,528 million US dollars, resulting in a trade surplus of more than 35,427 million US dollars.