Thailand Extends Economic Relief Program Two Months Amid Geopolitical Risks
Thailand is extending its economic relief program for two months to cushion risks from geopolitical instability and rising oil prices, while simultaneously pushing trade negotiations with the United States ahead of talks between leaders on
Deputy Prime Minister and Commerce Minister Supanut Sutharmphand disclosed that Prime Minister Anutthin Charnweerakul has instructed Deputy Prime Minister and Finance Minister Ekniti Nitithanpraphas to examine the possibility of extending the Thai Help Thai Plus programme for approximately two months. The decision reflects heightened economic risks from geopolitical instability, particularly increased strait closures and rising oil prices, which could affect both the economy and ordinary citizens. The government seeks support measures over the next two months, with budget allocations and details to be determined.
Supanut noted that the Prime Minister understands Thailand's economic conditions and has tasked the Finance Ministry with finding maximum assistance within available resources. Concurrently, the Commerce Ministry is accelerating trade negotiations with the United States, preparing relevant data and documents for high-level discussions between Thai and US leaders on September 17 or 18. Details on tariffs and conditions have been forwarded to relevant parties, with the goal of securing terms comparable to those of neighbouring countries.
Regarding transshipment inspections, Thailand has provided the United States with information on three industrial groups under review, clarifying that Thai manufacturers operate at 75-90% capacity, demonstrating genuine production capability rather than merely serving as a conduit for goods from other nations. Supanut emphasised that negotiations with the United States are challenging but progress will reduce export barriers and improve US perceptions of Thailand.
The Commerce Ministry is also coordinating with the Industry Ministry to refine the Manufacturing Production Index to better reflect current industrial structure and emerging sectors. On trade strategy, the ministry is pursuing multiple fronts: ongoing US trade talks, finalisation of the Thailand-EU Free Trade Agreement, trade rebalancing with major partners including China, and contingency measures to protect living costs if oil prices continue rising. Supanut will attend the ASEAN Economic Ministers meeting in the Philippines and join the Prime Minister for engagements in New York, while the 10th round of Thailand-EU FTA negotiations will take place in Phuket from September 28 to October 3.
