Thailand will reduce tariffs on corn imports from the United States, although the specific volumes are yet to be determined, Finance Minister Pichai Chunhavajira announced on Friday.
The country has been significantly affected by US President Donald Trump’s trade policies, with tariffs reaching an unexpected 36%. A temporary 90-day suspension of these tariffs will provide officials with additional time to formulate a response.
Thailand consumes approximately 9 million metric tonnes of corn each year, importing between 4 to 5 million tonnes. Minister Pichai emphasized that any imports must be beneficial to the country, citing that “the cost of American corn is cheap, reducing our animal feed expenses.”
Currently, US corn imports face a 73% tax, according to the Thai Feed Mill Association. The government will first evaluate the effects of the import volumes, with the possibility of reducing other agricultural tariffs to zero and increasing imports of natural gas. Additionally, Thai Airways intends to acquire more aircraft from Boeing.
“We treat all countries equally. If we provide a 5% tariff for others, the same will apply to the U.S. If we set a 0% tariff for others, the U.S. will receive 0%. We want to ensure there’s no disadvantage for us,” he stated.
At this time, there are no plans to import US pork, as it could negatively impact local producers.
The United States was Thailand’s largest export destination last year, accounting for 18.3% of total exports, valued at $54.96 billion. Washington has indicated a trade deficit with Thailand of $45.6 billion.
“We have plans in place, but we are not ready to share them yet. We are actively preparing,” Mr. Pichai mentioned, adding that the government is monitoring reactions from other countries and that nothing is finalized. He also expressed hopes to enhance joint energy investments with the U.S. and looks forward to discussions on trade and investment to ensure Thai exporters remain competitive.
