03.09.202507:59:54UTC+00Thailand Forms Task Force as U.S. Targets Trade Loopholes

In October, Thailand will initiate the establishment of a 50-member task force to address the anticipated increase in certificates of origin due to forthcoming trade regulations under negotiation with the United States, as stated by Arada Fuangtong from the Department of Foreign Trade. This initiative emerges amidst heightened scrutiny by Washington over transshipment activities, which have placed Southeast Asian countries such as Thailand and Vietnam under examination. These countries are suspected of redirecting Chinese goods without enhancing value. Although the U.S. has reduced its proposed tariff on Thai imports from 36% to 19%, a global executive order cautions that products suspected of origin concealment could incur tariffs as high as 40%. The Trump administration has yet to clarify the definition of "transshipment," with ongoing discussions regarding regional value content rules. Presently, certificates are mandated only for goods that have been flagged, but the impending framework is expected to encompass all exports to the U.S., intensifying verification of origin, cost, and local content.