Thailand Prepares Economic Stimulus Amid US Tariff Pause

[snoop1130]

File photo for reference only

 

Thailand is gearing up for economic stimulus focused on job creation, following a temporary 90-day pause on U.S. tariffs that had threatened to impact the nation's economy. Finance Minister Pichai Chunhavajira noted that President Trump's decision to lower hefty duties, including a 36% tariff on Thai exports, has afforded Thai officials more time to craft an appropriate response to balance trade.

 

Originally, the tariffs had been set to cut growth in Thailand, Southeast Asia's second-largest economy, by 1%. As part of its response strategy, Thailand plans to increase imports from the U.S. and reduce tariffs, seeking to renegotiate better trade terms. Measures imposed to curb stock market volatility, including trading limits and a ban on short-selling, will be relaxed later this April.

 

The U.S. tariff reprieve sparked a 4.5% rise in Thailand’s SET Index, and other Asian markets saw similar relief. Meanwhile, Asean ministers, including Malaysian Minister of Investment, Trade, and Industry Zafrul Aziz, advocated for regional economic integration under Malaysia's chairmanship, while discussing responses to Trump's policies.

 

 

 

Furthermore, Vietnam and the U.S. are set to begin discussions on a bilateral trade agreement to mitigate the impact of tariffs, which pause had originally threatened Vietnam’s export-driven growth. Vietnam aims to increase U.S. product purchases as part of negotiations.

 

The Philippines also expressed interest in initiating trade discussions with hopes of establishing an eventual free trade agreement, as countries throughout the region explore ways to secure economic partnerships and counter potential future tariffs, reported Bangkok Post.

 

-- 2025-04-10

 

 

[John Drake]

US needs to focus on the Philippines, not Thailand and especially not Vietnam.

[FlorC]

12 hours ago, John Drake said:

US needs to focus on the Philippines, not Thailand and especially not Vietnam.

Why ?

[John Drake]

14 minutes ago, FlorC said:

Why ?

 

Because the Philippines has a long standing mostly positive relationship with the United States that is also culturally closer. It is currently fighting off Chinese aggression, while Thailand has become a satellite of China's, while Vietnam, no matter what they say, can never go against China, because China will cut off the Mekong if they do.

[FlorC]

^ ok , thanks John.

[FlorC]

Thailand Prepares Economic Stimulus Amid US Tariff Pause

 

Was the 10.000 baht stimulus not enough ?

[hotchilli]

17 hours ago, snoop1130 said:

Finance Minister Pichai Chunhavajira noted that President Trump's decision to lower hefty duties, including a 36% tariff on Thai exports, has afforded Thai officials more time to craft an appropriate response to balance trade.

He still doesn't understand the reason behind the tariff increase.

Trade is one thing, tariffs are another

[Chin01]

15 hours ago, hotchilli said:

He still doesn't understand the reason behind the tariff increase.

Trade is one thing, tariffs are another

I think you are the one that doesn't understand.  It has been clearly stated by the White House that this is related to the trade deficit.  They even stated that they rejected Vietnam's proposal to drop tariffs since it didn't address the trade deficit.

[Patong2021]

On 4/10/2025 at 9:09 AM, John Drake said:

US needs to focus on the Philippines, not Thailand and especially not Vietnam.

 

You are an optimist.  Although the individual filipino may be friendly and supportive of the USA, the government has not been any more reliable or better as a friend than Vietnam. Vietnam is of more value to the US economy than the Philippines. It was Vietnam that has asserted its border sovereignty and kept the Chinese out on its own. The Philippines military has been all but useless.

 

Filipinos are loveable people and  they prop up health care and human services wherever they are found, but the reality is that in terms of a country providing  products of value and necessity, Vietnam wins that title by a country mile.

 

As for Thailand; No comment  😶‍🌫️

[hotchilli]

3 hours ago, Chin01 said:

I think you are the one that doesn't understand.  It has been clearly stated by the White House that this is related to the trade deficit.  They even stated that they rejected Vietnam's proposal to drop tariffs since it didn't address the trade deficit.

I bow to your superior knowledge.. but this is all about USA hitting China using trade as a tool.

Part of the deal for Asian nations is that they also sign a pledge to use tariffs against China.

This is so that China does not try stealthily ship commodities into their countries and then into USA under a different flag.

If they don't agree to do this then no trade deal.

Vietnam as you mentioned has many Chinese outlets and production lines in Vietnam.

[PomPolo]

On 4/10/2025 at 4:42 PM, snoop1130 said:

Trump's decision to lower hefty duties, including a 36% tariff on Thai exports, has afforded Thai officials more time to craft an appropriate response to balance trade

You mean sell everything to America in 90 days?

[SHA 2 BKK]

5 hours ago, Chin01 said:

I think you are the one that doesn't understand.  It has been clearly stated by the White House that this is related to the trade deficit.  They even stated that they rejected Vietnam's proposal to drop tariffs since it didn't address the trade deficit.

Well I can't agree with that. Australia is the opposite.  It has a trade deficit with the USA.  So the US sells more to Australia than Australia exports back.  In return our American "friends" still imposed a 10% tariff on Australian exports to Uncle Sam.

 

An no - don't use the US Beef go around as an excuse - US Beef if not banned in Australia as long as it can be traced back 100% to a US Herd (no Canadian or Mexican intermingling to avoid BSE).   Besides Australians wouldn't buy US Beef. It's far more expensive than Australian Beef and it's also not to Australian tastes. 

[Chin01]

On 4/11/2025 at 7:33 PM, SHA 2 BKK said:

Well I can't agree with that. Australia is the opposite.  It has a trade deficit with the USA.  So the US sells more to Australia than Australia exports back.  In return our American "friends" still imposed a 10% tariff on Australian exports to Uncle Sam.

 

An no - don't use the US Beef go around as an excuse - US Beef if not banned in Australia as long as it can be traced back 100% to a US Herd (no Canadian or Mexican intermingling to avoid BSE).   Besides Australians wouldn't buy US Beef. It's far more expensive than Australian Beef and it's also not to Australian tastes. 

Sorry, we are talking about reciprocal tariffs, not the 'standard' 10% for all.  That should have been made clearer.

[SHA 2 BKK]

11 hours ago, Chin01 said:

Sorry, we are talking about reciprocal tariffs, not the 'standard' 10% for all.  That should have been made clearer.

Even that doesn’t work in the Australian context.  Australia has no tariffs on US goods.  So it’s a bit rich to say the US is putting a 10% “reciprocal” tariff on Australia when no tariff exists in the first place.