Includes information on average tariff rates and types that U.S. firms should be aware of when exporting to the market.
Thailand’s average applied Most Favored Nation (MFN) tariff rate was 12.5% ad valorem in 2017. Approximately one-third of Thailand’s MFN tariff schedule involves duties of less than 5%, and 30% of tariff lines are MFN duty free, including chemicals, electronics, industrial machinery, and paper. Thailand has bound all tariffs on agricultural products in the WTO, but only around 70% of its tariff lines on industrial products are bound.
Thailand has bound its agricultural tariffs at an average of 39.5% ad valorem, compared with its average applied MFN tariff on agricultural products of 25.1%. MFN duties on imported processed food products range from 30% to 50%, which limits the ability of U.S. exporters of such products to compete in the Thai market. Tariffs on meats, fresh fruits (including citrus fruit and table grapes) and vegetables, fresh cheese, and pulses (such as dry peas, lentils, and chickpeas) are similarly high.
Thailand’s average bound tariff for non-agricultural products is approximately 25.6%. Thailand levies high tariffs on goods such as: 80% on motor vehicles, 60% on motorcycles and certain clothing products, 54% to 60% on distilled spirits, and 30% on certain articles of plastic and restaurant equipment. Further, the country charges tariffs of 10% to 30% on certain audiovisual products, and applies a 10% tariff on most pharmaceutical products, including products on the World Health Organization list of essential medicines.
Thailand maintains the same list of tariff-rate-quota (TRQ) from its commitments under WTO agreement on agriculture since 2004. Thailand imposes domestic purchase requirements for several tariff-rate quota products, including nonfat dry milk, soybeans, soybean meal, and fresh potatoes.