Thailand Leverages US Security Alliance to Negotiate Trade Tariffs

The Government of Thailand is planning to use its security alliance with the United States as leverage in reciprocal-trade negotiations to avoid steep tariffs. Thailand currently faces a 12.5% tariff on most exports under Section 301 and recorded a $51.4 billion trade surplus with the US last year.

Bangkok may warn the Trump administration that high tariffs could result in reduced military cooperation, specifically citing the Cobra Gold exercises. To secure more favorable terms, Thailand has offered to eliminate tariffs on US alcoholic beverages, lamb, and beef, while pledging to accelerate legislation that bans imports produced via forced labor.

Commerce Minister Suphajee Suthumpun characterized the negotiations as a whole-of-government effort, arguing that the strategic alliance warrants better treatment. Conversely, Defense Ministry spokesman Surasant Kongsiri stated that negotiations are more likely to focus on enhancing cooperation. The strategy follows recent affirmations of the alliance's strength by US Undersecretary of Defense Elbridge A. Colby.