Thailand and the United States have agreed the main terms of an Agreement on Reciprocal Trade (ART), Deputy Prime Minister and Commerce Minister Suphajee Suthumpun said after talks in Washington.
The remaining technical details are to be completed as quickly as possible, following meetings with US Trade Representative Jamieson Greer and Deputy US Trade Representative Rick Switzer on September 1. Suphajee announced the progress on Friday, September 4.
Tariff assurances as Section 301 decision awaits
Suphajee said the substantive issues had been settled before Washington announces the outcome of its Section 301 investigation into structural excess production capacity.
US officials assured Thailand that any tariffs resulting from that investigation would be fair and competitive, she said. The two sides agreed their technical teams should now resolve the outstanding points.
The discussions followed four consecutive days of talks between Thai and US officials, including work on technical areas where their positions had differed. Before travelling, Suphajee spoke with Greer by telephone on August 27 to stress Thailand's intention to speed up the negotiations.
She said the prime minister and Cabinet had entrusted her with the talks, supported by co-operation between the relevant Thai agencies, to protect the countries' long-term interests.
Two US tariff cases affect Thailand
Thailand originally faced a 36% reciprocal tariff under the International Emergency Economic Powers Act, later reduced to 19%. A joint framework announced on October 26, 2025, said the United States would retain the 19% rate.
After the US Supreme Court ruled in February 2026 that IEEPA did not authorise the tariffs, Washington imposed a temporary 10% general import tariff under Section 122. As that measure has a time limit, the US began two Section 301 investigations involving Thailand and other trading partners.
One concerns forced-labour import restrictions. Washington has set a 12.5% tariff for economies that have not adopted a prohibition, and 10% for those making qualifying commitments to introduce and enforce one, including through reciprocal trade agreements. Product exemptions apply.
The lower forced-labour-related rate depends on those commitments, rather than simply completing a trade agreement. The separate excess-production-capacity case remained under consideration when Suphajee made her announcement.
Why the agreement matters in Thailand
The United States is Thailand's largest export market and was its second-largest trading partner in 2025. Total two-way trade exceeded 3 trillion baht, with Thai exports worth 2.37 trillion baht and imports from the US about 700 billion baht, leaving Thailand with a reported surplus of 1.68 trillion baht.
Suphajee said ART negotiations were important for keeping Thai exports competitive and protecting more than 400,000 domestic jobs, while supporting investor confidence. Talks cover non-tariff barriers, digital trade and commercial opportunities.
Picture courtesy of The Nation
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6 September 2026
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