July 25, 2025

 

Thailand faces trade pressure as US pushes for zero tariffs on meat imports 

 

 

 

The Thai government is encountering challenges in ongoing trade talks with the US, as demands for zero tariffs on pork, chicken, and beef pose a threat to local farmers and agricultural standards.

 

As of this writing, the ongoing trade negotiations between Thailand and the United States regarding reciprocal tariffs have yet to reach a conclusion. The US has announced a 36% tariff on Thai imports, effective from August 1, 2025, placing significant pressure on the Thai government, which must now respond swiftly.

 

Deputy Prime Minister and Finance Minister Pichai Chunhavajira revealed that Thailand plans to open markets to the US by reducing tariffs on 90% of products. The government has held numerous meetings with the "Team Thailand" to prepare proposals for the US, as the August 1 deadline approaches.

 

According to sources within the government, the US is seeking to open up Thailand's markets to various agricultural products, especially pork, chicken, and beef, as a way to address the trade imbalance, which has consistently favoured Thailand.

 

However, there is strong resistance from Thailand's agricultural sector. The US' request to lower tariffs on pork imports, including the sale of offal, has sparked concerns. With US pork being produced at a much lower cost, Thailand fears that allowing these cheaper imports will undermine its domestic industry, forcing many local pig farmers out of business. The estimated market value loss could reach ฿112.33 billion (US$3.49 billion) if US pork enters the market freely.

 

As US pork often contains beta-agonists (growth-enhancing chemicals), which are banned in Thailand, there are health concerns as well, as these substances could pose serious risks to public health.

 

In the case of chicken, Thailand has expressed concerns about opening the market to US poultry products, as Thailand is already a large producer and exporter of chicken. Reducing tariffs to 0% could flood the local market with US chicken, undermining Thailand's export industry.

 

For beef, Thailand currently imports under a Free Trade Agreement (FTA) with Australia and New Zealand. If US beef meets the required standards and certifications, Thailand would be willing to open the market for imports, as long as it adheres to the necessary regulatory frameworks.

 

Sources suggest that the negotiations with the US will likely be prolonged, as several conditions are non-negotiable for Thailand. Opening the market completely to the US with a 0% tariff, similar to Vietnam's agreement, is seen as unfeasible due to the extensive legal changes required. The government insists that any agreement must align with the interests of Thailand's agricultural sector and be carefully negotiated to avoid damaging local industries.

 

-      The Nation