Bangkok: Krungsri Securities reports that the United States has sent a letter to maintain a 36% trade tariff on Thailand, among other countries, in an effort to expedite a deal before August 1, 2025. This move highlights the significance the US places on finalizing trade agreements with these nations.

According to Thai News Agency, the US letter targets six out of 14 countries, including Japan, South Korea, Thailand, Malaysia, Indonesia, and Africa. These countries face the same or slightly increased tariffs, with most exporting between 1-5% to the US, illustrating the US’s role as a pivotal trade partner. The US has extended the deadline by three weeks, maintaining high tariffs to pressure an agreement. It is anticipated that agreements will be gradually reached, with the process taking longer for Thailand, potentially over a week.

For the other eight countries receiving substantial tariff reductions, their export share to the US is less than 0.5%, indicating a lower priority for US negotiations. KSS notes that no additional agreements have been reached with the first three countries, the United Kingdom, China, and Vietnam, which is awaiting signature. The letters sent to the six countries suggest a request for further proposals, with possible future letters to the EU and India, maintaining or potentially reducing tariffs.

Discussions indicate that Thailand’s proposal, presented on July 4 and revised on July 7, may help lower tariffs, although no official announcement has been made. The letter, signed by the US to Thailand’s acting prime ministers, Mr. Suriya Juangroongruangkit and Mr. Phumtham Vejjayachai, on July 3, suggests a potential reduction in tariffs to 20-25% if no further proposals are made. Market movements are expected to fluctuate, with the SET index estimated to move sideways down, followed by buying pressure, with resistance predicted at 1,128-1,135 points and support at 1,108-1,100 points.