Thailand will cut tariffs on imports of corn from the United States, but volumes still need to be finalised, the finance minister said on Friday.
The country is among those in Southeast Asia hardest hit by U.S. President Donald Trump's trade measures, with a much larger than expected 36% tariff. A 90-day pause on the U.S. tariffs will give officials more time to prepare a response.
Thailand consumes about 9 million metric tons of corn annually, importing about 4 to 5 million tons, Pichai Chunhavajira said, adding that imports would have to benefit the country.
"The cost of American corn is cheap, making the cost of our animal feed lower."
U.S. corn is subject to a 73% import tax, according to the Thai Feed Mill Association.
The impact of the import volumes would have to first be assessed, he said, adding that Thailand could cut tariffs on agricultural products to zero and import more natural gas, while flag carrier Thai Airways (THAI.BK) plans to buy more planes from Boeing (BA.N).
"We give equal treatment to all. If we give others 5%, then we give America 5%. If we give others 0% then we give America 0%. We will not be disadvantaged."
For now, there are no plans to import U.S. pork as it will affect local producers, he added.
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.
"We have plans prepared, but are not disclosing them. We are not idle," Pichai said, adding that the government is assessing the reaction of other countries and nothing was set in stone.
However, he said there were also plans to increase joint investment in energy with the U.S. and that he hoped to discuss trade and investment with U.S. officials soon so that Thai exporters are not disadvantaged.
