Bangkok: “Sirikanlaya” expressed shock as Thailand was included in the first set of US tariff announcements, feeling forced into a corner by the imposed deadline. Ms. Sirikanya Tansakul, MP and deputy leader of the Prachachon Party, highlighted the unexpected move by the US, which has maintained a 36% import tariff rate on Thailand. The announcement came as a surprise since negotiations had just commenced on July 3. However, similar letters were sent to multiple countries in the region.

According to Thai News Agency, Ms. Sirikanya mentioned that the 36% tariff was a tactic to pressure Thailand into making larger concessions. The imposed deadline led to the submission of a significant offer to avoid the high tariff. She noted that while some countries like Japan and Malaysia have faced tariff increases, Thailand still has time to negotiate a better deal, with a new proposal sent on July 6 awaiting a US response.

Ms. Sirikanya also addressed potential impacts on Thai agricultural exports and the proposal for a 0% tariff on 90% of US imports to Thailand. She compared Thailand’s stance to Vietnam, which agreed to reduce tariffs to 0% on all US products, a move that may not be feasible for Thailand due to higher production costs. The discussions also considered the risk of production base relocation, with countries like India becoming attractive destinations for investors.

Despite the challenging circumstances, Ms. Sirikanya remains hopeful for a reduction in the tariff rate, with the deadline for tariff collection extended to August 1. She expressed concern over the high-pressure negotiations and the potential long-term impacts on Thailand’s export sector.

The story also touched on the Thai government’s efforts to negotiate with the US, including hiring lobbyists. Ms. Sirikanya questioned the effectiveness of these efforts, given the high costs involved and the unsatisfactory results. She called for transparency from the government regarding the proposals sent to the US and any compensation plans for affected sectors.

In conclusion, Ms. Sirikanya emphasized the need for strategic planning to address the impacts of the US tariff hike, urging the government to reveal the latest proposals and their potential consequences. The situation remains fluid as Thailand navigates these complex trade negotiations.