Bangkok: The Ministry of Commerce is urgently assessing the US stance and addressing the impact on Thai businesses. Thai Minister Supajee revealed that Thailand continues trade negotiations with the United States to maintain stable trade and investment relations, mitigate risks from fluctuations in trade measures, and address potential impacts on Thai businesses.
According to Thai News Agency, Commerce Minister Supachie Suthamphan revealed that the Ministry of Commerce has been closely monitoring developments in US trade policy. The latest case involves the Supreme Court of the United States, on February 20, 2026 (US time), upholding a 6-3 ruling that President Donald Trump's use of powers under the International Emergency Economic Powers Act (IEEPA) to impose reciprocal tariffs was illegal. This is because the IEEPA does not grant the executive branch the authority to impose tariffs; this power rests with Congress under the US Constitution.
Ms. Supajee stated that while the ruling will affect the US's approach to tariff measures, several issues still require clarification, both legally and practically. The Ministry of Commerce has instructed the Department of International Trade Negotiations to conduct a comprehensive assessment of the situation, including its impact on Thai businesses. The essence of the ruling reflects the principle of checks and balances. The court pointed out that while the IEEPA grants the executive branch broad powers to control international economic transactions in emergencies, the setting of customs duties must be explicitly delegated to the legislature.
Regarding tax refunds, importers who are parties to the case have the right to file a claim for a refund. However, due to the large amount of money involved and the involvement of multiple parties, the process tends to be complex, and clear guidelines from the U.S. government are still pending. Meanwhile, Thailand needs to monitor the stance of the US government following the US President's signing of an order to impose additional 10% tariffs on global imports for a period of 150 days under Section 122 of the Trade Act of 1974 to address the balance of payments issue. This will take effect on February 24, 2026, replacing the reciprocal tariffs under the IEEPA, which are no longer feasible.
The Minister of Commerce stated that the 10 percent tariff rate under Section 122 is lower than the previous reciprocal tariff rate of 19 percent previously stipulated for Thailand. However, Thai businesses exporting goods to the United States will be required to pay the normal tariff (MFN) rate of those goods, plus the 10% tariff under Section 122, as well as other fees or anti-dumping/counter-varying duties (AD/CVD), if applicable.
These measures will take effect at 00:01 on February 24, 2026, for goods imported into or withdrawn from warehouses for consumption in the United States, and will remain in effect for 150 days, or until July 23, 2026, at 24:00, unless modified or extended by the U.S. Congress. Furthermore, it is possible that the United States may use additional measures, such as Section 232 under the Trade Expansion Act of 1962 in cases involving threats to national security, as well as Section 301 under the Trade Act of 1974 and Section 338 under the Tariff Act of 1930, which empower the United States to impose additional import tariffs on countries deemed to be engaging in trade discrimination.
Ms. Supajee reiterated that the Ministry of Commerce will proactively engage in trade negotiations, risk assessments, and providing information to the business sector to ensure that Thailand's exports and investments can adapt appropriately to the changing international trade context.