Thailand Urged to Form ‘War Room’ in Response to US Tariffs

[cynic1]

On 4/3/2025 at 8:39 PM, connda said:

What are they going to do.  Rise their own tariffs from 72% and take them even higher to "Show Trump A Thing Or Two!"  I guess the days of screwing the US with tariffs are over, and heck, he only hit them with 1/2 of the tariffs that they impose on the US.  Imagine if Trump raised tariffs on Thailand to match Thailand's average of 72% on US goods?

Maybe Thailand should lower it's exchange rate as a start to increasing Exports. It's no surprise their currency ALWAYS follows the trend of the US currency. They manipulate their currency so it does. Bad idea 9in the long term!

[MartinBangkok]

On 4/4/2025 at 2:09 PM, Patong2021 said:

 

To a certain extent.

The UK auto market isn't the best example to use.  The Guardian sums it up nicely,

Most of the UK-made cars exported to the US are premium, such as Volkswagen-owned Bentley, while others are high-end vehicles such as McLaren supercars, selling just over 2,100 annually, some costing upwards of £250,000. Aston Martin at its peak in 2007 it sold 2,058 vehicles into the USA, It has struggled since  then with sales below 1,000. The USA does not manufacture a vehicle that comes close to Aston Martin, McLaren etc.  At these high prices it is viable to manufacture specialty models.  The UK has specifically targeted  foreign markets. It isn't a high volume producer. It is just high priced. Even the  horrible jaguar which has been seeing  reduced sales volumes, only managed to sell 17,000 vehicles at its peak. That's different than what Thailand has done, or even what the USA does.

 

The US model is one of mass production. High volumes, with little variation in fundamentals. It just isn't economically viable to retool  plants that churn out tens of thousands of vehicles to  make a few hundred vehicles  or thousand vehicles . On any given day, a US GM plant is spitting out 1200 vehicles.  15 days of production is the equivalent of all Jaguar sales into the USA. It just doesn't make sense to assumethe costs of retooling to service a marginal market. The big US export market is in the Americas. 

 

The problem that no one is  mentioning is that there isn't a market demand for US manufactured automobiles. As a former GM vehicle owner, you couldn't pay me to take another GM product. I don't care where it is manufactured  either.  Do you honestly believe that if Thailand reduced its tariff to  zero that sales of US vehicles would explode? I dont think they will. US  vehicle brands  have no allure. They are not sexy and they have dismal reputations.

 

THis isn't really about  unfair trade practices, because the USA has been a master at imposing trade barriers. It is about an intentional crashing of the US economy. I have said it before, and I will say it again, the strategy is to defeat stagnation. The USA like many other countries is stuck in a  persistent  crisis of inflation. It  won't go away. Tariffs are conceived by Pete Navarro as a means of shock therapy. He may be right, but sometimes the cure is  more harmful than the disease.

I really don't get you @Patong2021. Most of what you say is nonsense and irrelevant.

 

American cars not attractive in Thailand? Have you seen the amount of new Ford Rangers and Ford Everest's on Thai roads? And how many more do you think there would be if Ford enjoyed the same tariffs as Japanese cars, not to mention Chinese cars?

 

And how many Ford Mustangs would be on the road had it not been for the ridiculous price in Thailand?

 

And Teslas, not attractive and sexy cars in Thailand? And Harleys? 

 

Ford Ranger Raptor V6, 3.0 twin turbo, not sexy? ((Ask a Thai male driver)

[Patong2021]

2 hours ago, MartinBangkok said:

I really don't get you @Patong2021. Most of what you say is nonsense and irrelevant.

 

American cars not attractive in Thailand? Have you seen the amount of new Ford Rangers and Ford Everest's on Thai roads? And how many more do you think there would be if Ford enjoyed the same tariffs as Japanese cars, not to mention Chinese cars?

 

And how many Ford Mustangs would be on the road had it not been for the ridiculous price in Thailand?

 

And Teslas, not attractive and sexy cars in Thailand? And Harleys? 

 

Ford Ranger Raptor V6, 3.0 twin turbo, not sexy? ((Ask a Thai male driver)

 

Are you really this clueless as to know absolutely nothing about the automobile industry in Thailand? The Ford Ranger and Everest models are built at the  Ford plant in Rayong, in Thailand. They are built specific for the Thai and local Asian market and are not subject to import duty. Ford makes a profit and returns the profit to its shareholders who are mostly US based.

 

The Ford vehicles built in the USA are mass produced for the North American market. There is little or no demand for the massive  gas guzzling vehicles hard to park  like Expedition, Bronco or Explorer in Thailand.  Large utes do not sell well in Thailand, even if they are from Toyota. Large delivery vehicles like the Ford Transit are not right for the small sois and dense traffic  of urban Thailand.

Tell me what US Ford plants  can  be retooled for right hand drive. Ranger sales are declining, but even at their peak of 29,000 it would not be feasible to retool a plant for such a small number of vehicles that require the multiple options that the vehicles are  sold with in Asia.

 

There was a reason why Thailand applied high tariffs on the imports and it was in large part at the request of the auto companies who built plants in Thailand to prevent dumping of vehicles into the market while companies like Ford established their presence in the local market.

 

[Patong2021]

4 hours ago, MartinBangkok said:

Jesus, do you have a reading comprehension problem?

I will try a different wording that may be of help.

The cost of an american car imported to Thailand increases by between 187% and 328% compared to the vehicles CIF-value (original cost, insurance, freight) after the Thai governments import duties, excise taxes, interior tax and VAT.

The high total cost in % is due to that the taxes are placed on top of each other: Import duty of 80% on the cars CIF-value, excise tax on the combined value of CIF-cost and import duty, interior tax of 10% on the excise-tax total and to finish it of VAT of 7% on the sum of CIF-value, import duty, excise tax and interior tax.

 

Finally the dealership in Thailand then adds their profit margin, creating the final price I pay as a consumer.

 

Do you get it now?

 

Your talk of road tax, taxes in Texas and free trade agreements with Japan and Chile is totally irrelevant.

 

You are not  presenting a fair comparison. Locally produced vehicles are also subject to the VAT, Excise and Road tax. Yes, there is an import duty and yes the VAT is charged on the  combined vehicle  and import duty cost. 

 

The automobile profit margin is in the initial vehicle cost. The dealership makes additional commission through the provision of additional warranties, financing and insurance.

 

And you are ignoring the fact that the USA refused to enter into a trade agreement with Thailand that would have provided similar tax and duty benefits that other nations have with Thailand.

[Formaleins]

War Room! War Room.... what war have they ever fought? Everyone walked over Thailand as if it was a golden turd - Somewhere good as a barrier, but no one wanted to step in it! Look at the 2nd WW - The Japs didn't even have to massacre them, the Thais just gave in! They are pretty comical - I mean imagine the Thai Army attacking the Thai Navy and trying to blow them out of the water when the PM was onboard, you couldn't write the history of Thailand and think it was a true story. Jesus, just watch them ho fawning and grovelling for a "few dollars more" to Trump when the <deleted> hits the fan! They cannot decide who to brown nose next! They have their tongues so far up the Chinks arses they can taste their food, but as usual, the swaying of the bamboo will keep them suckling on Donald for every free drop of tit milk they can get. Pretty easy to understand why this nation never did anything of significance! 

[Marco100]

Reciprocal tariffs and allotments should be negotiated world wide . The time where US & EU made all emerging market grow is finished.  Time to give back 🎅

[johnnybangkok]

18 hours ago, MartinBangkok said:

I really don't get you @Patong2021. Most of what you say is nonsense and irrelevant.

 

American cars not attractive in Thailand? Have you seen the amount of new Ford Rangers and Ford Everest's on Thai roads? And how many more do you think there would be if Ford enjoyed the same tariffs as Japanese cars, not to mention Chinese cars?

 

And how many Ford Mustangs would be on the road had it not been for the ridiculous price in Thailand?

 

And Teslas, not attractive and sexy cars in Thailand? And Harleys? 

 

Ford Ranger Raptor V6, 3.0 twin turbo, not sexy? ((Ask a Thai male driver)

Another poster who jumps on a thread without having read the previous pages.

 

As both myself and Patong (above) have mentioned numerous times, Toyota, Honda, Mitsubushi, Isuzu, Mazda, Ford, BMW, Mercedes, Tata and Diahatsu all have manufacturing plants in Thailand which is why you see so many Ford Rangers/Everests on the road here and so many of the other brands I've mentioned. If Ford wanted to sell its Mustangs, Raptors etc then they would either have to re-tool their plants in America to manufacture right hand drive (no easy task) or more likely, set up production here in Thailand in their already existing plant in Rayong. So why haven't they then? Well the answer is quite simple - there's obviously no demand. Car manufacturers are in the business of making money so if they thought they could sell Mustangs or Raptors then they would do exactly that. They don't so you have to conclude that far more knowledgeable people than yourself have made the decision they don't think they will sell. 

 

Tesla - there are plenty of Tesla's here in Thailand (you should have a look at what all the mummy's at my kids school drive) BUT they are manufactured in China and because they are EV's, they benefit from a FTA (free trade agreement) and a much reduced tax burden. (https://www.nationthailand.com/thailand/general/40036119). However since BYD kicked off operations at its Thai plant last July, with an annual production capacity of 150,000 vehicles and since everyone now thinks Musk has gone mad with his political interference around the world, expect these Tesla sales to drop. Dramatically. 

[MartinBangkok]

On 4/5/2025 at 5:46 PM, Patong2021 said:

 

Are you really this clueless as to know absolutely nothing about the automobile industry in Thailand? The Ford Ranger and Everest models are built at the  Ford plant in Rayong, in Thailand. They are built specific for the Thai and local Asian market and are not subject to import duty. Ford makes a profit and returns the profit to its shareholders who are mostly US based.

 

The Ford vehicles built in the USA are mass produced for the North American market. There is little or no demand for the massive  gas guzzling vehicles hard to park  like Expedition, Bronco or Explorer in Thailand.  Large utes do not sell well in Thailand, even if they are from Toyota. Large delivery vehicles like the Ford Transit are not right for the small sois and dense traffic  of urban Thailand.

Tell me what US Ford plants  can  be retooled for right hand drive. Ranger sales are declining, but even at their peak of 29,000 it would not be feasible to retool a plant for such a small number of vehicles that require the multiple options that the vehicles are  sold with in Asia.

 

There was a reason why Thailand applied high tariffs on the imports and it was in large part at the request of the auto companies who built plants in Thailand to prevent dumping of vehicles into the market while companies like Ford established their presence in the local market.

 

 

Nonsense and irrelevance again from you. NO cars are built/made in Thailand. Can you name me one Thai-car? They are assembled in Thailand using cheap manual labour on behalf of foreign companies.

All these cars assembled in Thailand are to a large extent focused on exports.

 

Clearly it is you Patong2021 that is clueless.

[Patong2021]

3 hours ago, MartinBangkok said:

 

Nonsense and irrelevance again from you. NO cars are built/made in Thailand. Can you name me one Thai-car? They are assembled in Thailand using cheap manual labour on behalf of foreign companies.

All these cars assembled in Thailand are to a large extent focused on exports.

 

Clearly it is you Patong2021 that is clueless.

 

Your logic holds that no vehicles are built in Germany or Japan or the USA either.

Yes, components are sourced from other countries. However, Thailand produces most automobile components. The vehicles built in Thailand are for the local market, and the vehicles exported  from Ford Thailand are mostly for the Asian market. The Ford Rayong plant and other parts manufacturers supply  parts to other  Ford plants worldwide.  Your premise that the USA can force Thailand to purchase vehicles that  no one wants is ridiculous.

 

You are so intent on trying to to prove an irrational claim that now you are ignoring the very nature of atomobile production.

[daveAustin]

To be fair, while Trump is a complete tit, Thailand deserves to be thrashed on tariffs. Just surprised nobody else has brought them to book before. The protectionist xenophobe stance on alcohol and cars is gross. Don’t do a ‘war room’ thing against the US, though. That will never work. Sort your S out and negotiate. 
 

[MartinBangkok]

On 4/6/2025 at 9:55 AM, johnnybangkok said:

Another poster who jumps on a thread without having read the previous pages.

 

As both myself and Patong (above) have mentioned numerous times, Toyota, Honda, Mitsubushi, Isuzu, Mazda, Ford, BMW, Mercedes, Tata and Diahatsu all have manufacturing plants in Thailand which is why you see so many Ford Rangers/Everests on the road here and so many of the other brands I've mentioned. If Ford wanted to sell its Mustangs, Raptors etc then they would either have to re-tool their plants in America to manufacture right hand drive (no easy task) or more likely, set up production here in Thailand in their already existing plant in Rayong. So why haven't they then? Well the answer is quite simple - there's obviously no demand. Car manufacturers are in the business of making money so if they thought they could sell Mustangs or Raptors then they would do exactly that. They don't so you have to conclude that far more knowledgeable people than yourself have made the decision they don't think they will sell. 

 

Tesla - there are plenty of Tesla's here in Thailand (you should have a look at what all the mummy's at my kids school drive) BUT they are manufactured in China and because they are EV's, they benefit from a FTA (free trade agreement) and a much reduced tax burden. (https://www.nationthailand.com/thailand/general/40036119). However since BYD kicked off operations at its Thai plant last July, with an annual production capacity of 150,000 vehicles and since everyone now thinks Musk has gone mad with his political interference around the world, expect these Tesla sales to drop. Dramatically. 

Hi @johnnybangkok I see you are joining the nonsense and irrelevance-club @Patong2021 started. I don't have the time to go through all your nonsense, I'll just ask you a simple question about Ford: Do you insist they are not selling Mustangs and Raptors in Thailand?

[Gknrd]

They said WHAT!  

 

[johnnybangkok]

3 hours ago, MartinBangkok said:

Hi @johnnybangkok I see you are joining the nonsense and irrelevance-club @Patong2021 started. I don't have the time to go through all your nonsense, I'll just ask you a simple question about Ford: Do you insist they are not selling Mustangs and Raptors in Thailand?

Ok so I’ll stand slightly corrected in that Raptors are made in Thailand but at over double the price of Rangers, they are not nearly as popular and are predominantly for export. Mustangs are not made in Thailand and at 5.5m for a Mach 1 they are very much a luxury car on par with a Mercedes V class. They are also not left hand drive. Obviously this might sell more if they weren’t subject to Thai tariffs, but the biggest bar to market is they are right hand drive. Change that and they might stand a chance. 
Not really sure what you are arguing about here. Granted there is no major Thai brand of car but they are Thai cars in as much as they are produced here. As was stated before, no one is saying Thai tariffs aren’t unreasonable but to say that if dropped everyone will rush out and buy a Mustang doesn’t take in the idea of demand, other better priced competitors but most importantly, they are not left hand drive. 
Most importantly though (and as Ive stated before) Trump is trying to close the trade deficit and you’ll need to sell a helluva lot of mustangs to make a dent in $45b, regardless of dropping tariffs. And even if Thailand dropped all of its tariffs on American goods, there’s no guarantee that Trump will reciprocate (ask Vietnam) or that it will move the trade deficit any closer. 

[Patong2021]

6 hours ago, daveAustin said:

To be fair, while Trump is a complete tit, Thailand deserves to be thrashed on tariffs. Just surprised nobody else has brought them to book before. The protectionist xenophobe stance on alcohol and cars is gross. Don’t do a ‘war room’ thing against the US, though. That will never work. Sort your S out and negotiate. 
 

 

I don't like Thailand's tariffs any more than most consumers but I do understand why they are there. Ford and other manufacturers would not have invested in Thailand without market protection to help them get established. and expand. Ford states;

Ford Thailand is the center of production, distribution, sales and servicing of Ford brand vehicles in ASEAN region. Ford is one of the largest automotive investors in Thailand, with cumulative investments totaling more than $3.4 billion (approx. THB 100 billion).

Ford’s integrated business operations in Thailand include vehicle manufacturing and assembly, marketing, sales and customer services. Ford’s wholly-owned and joint-venture operations in Thailand currently employ around 9,000 people.

 

In 2022, Thailand became the regional headquarter for Ford IMG. Ford’s retail growth and success in Thailand is being driven by the segment-defining Ranger pickup truck and the mid-size Everest SUV, or PPV, as the segment is referred to in Thailand. These two vehicles have helped Ford maintain its strong presence and expand its customer base in the Thai market.

The Company is supporting its continued retail growth in Thailand with an ongoing expansion of its Ford dealer network, which includes 180 locations nationwide.

To date, Ford is one of the largest automotive investors in Thailand, with cumulative investments totaling more than $3.4 billion since 1995. Since 2007, Ford has invested more than $1.7 billion to expand one of its key global production and export hubs.