Thailand and US Accelerate ART Trade Deal to Lower Tariff Barriers and Boost Joint Investment
Thailand and the US are accelerating negotiations on a reciprocal trade deal aimed at lowering tariffs and boosting bilateral investment, with both countries committing to quickly conclude the agreement's essential elements.
Commerce Minister Suthiphon Thaveechai revealed following discussions with US Trade Representative Jamieson Greer and Deputy USTR Rick Switzer on May 4, 2025, that talks proceeded constructively and reflected shared commitment from both Thailand and the US to accelerate negotiations on the Agreement on Reciprocal Trade (ART) and reach conclusions quickly. This aims to build economic and investment confidence while reducing pressure from potential US trade measures against Thailand.
Thaveechai stated that the US prioritizes trade balance and welcomes Thailand's proactive role through expanded investment in the US in mutually competitive sectors such as agricultural processing and energy, along with imports of US goods that Thailand needs but cannot produce domestically. Thailand confirmed its readiness and presented plans for Thai private sector expansion in the US, which received positive reception from the American side and represents a crucial component of practical bilateral cooperation.
Thaveechai emphasized that Thailand leveraged this opportunity to push several key issues, particularly seeking US tariff exemptions for Thai products that the US cannot produce domestically. The US demonstrated openness and willingness to further consider this proposal, reflecting flexibility and commitment to finding mutually beneficial solutions.
Regarding ART negotiations, Thaveechai clarified to the US that Thailand prioritizes outcomes that are implementable in practice. The US showed understanding and agreed to discuss both clear implementation timelines and agreement details across various issues to enable Thailand's domestic implementation more efficiently. The US also expressed interest in Thailand playing a larger role in increasing US raw material usage in supply chains.
On timeline, both countries agreed to accelerate negotiations with the goal of quickly concluding the agreement's essential elements to confirm Thailand's status as a strategically important US trading partner while reducing risks from future tariff measures.
Thaveechai also disclosed that the Commerce Ministry will send a Thai delegation to the US between May 13-14, 2025, to present and answer questions to the US Trade Representative's office regarding Section 301 investigation proceedings to clarify Thailand's trade and production structure.
During the US visit, Thaveechai also met with US Senator Tammy Duckworth to exchange views on economic cooperation, investment, and opportunities to upgrade supply chains between the two countries. The US proposed cooperation avenues in promising sectors including clean energy and carbon-reduction technology, small modular nuclear technology, food innovation, healthcare cooperation, and infant food industry—areas of interest to Thai private businesses.
Both sides agreed to promote bilateral cooperation across sectors.
