BANGKOK (Reuters) -Thailand’s trade talks with the United States are expected to be concluded before August 1, and U.S. tariffs on the country are not expected to be as high as 36%, its finance minister said on Tuesday.
The United States was Thailand’s largest export market last year, accounting for 18.3% of total shipments, or $54.96 billion. Washington has put its deficit with Thailand at $45.6 billion.
Thailand is ready to negotiate and its proposal remains the same, Finance Minister Pichai Chunhavajira told reporters.
“The United States has already opened the way for further negotiations, and we will continue the discussions,” he said.
Asked whether the talks could be done before the August 1 deadline, Pichai said, “Yes, it can be done in time. We’re definitely ready and now we’ll see how the U.S. decides.”
U.S. tariffs on Thailand could be announced on August 1 or August 2, Pichai said.
“This is roughly where things stand. I think it’s very close now,” he added. “I believe we definitely should not face 36%.”
Earlier this month, Pichai said the country made more concessions in addition to an earlier improved trade proposal that offered zero tariffs on many U.S. products.
He said U.S. tariff rates on Thailand are expected to align with other countries in the region.
Vietnam and Indonesia now face U.S. tariffs of 20% and 19%, respectively, significantly lower than the levels announced in April.
(Reporting by Orathai Sriring, Kitiphong Thaichareon and Thanadech Staporncharnchai; Editing by David Stanway)
