Thai central bank chief says uncertainty very high over US tariffs impact

[BANGKOK] The effect on Thailand from the United States’ tariff policy will be prolonged, with a very high degree of uncertainty over the potential impact, its central chief bank said on Friday (May 8).

The impact will be more clear in the second half of the year, Bank of Thailand Governor Sethaput Suthiwartnarueput told a press briefing.

Thailand is among the South-east Asian nations hardest hit by US President Donald Trump’s trade measures, and is facing a 36 per cent tariff if a reduction cannot be negotiated before a global moratorium expires in July.

The United States was Thailand’s largest export market last year, accounting for 18.3 per cent of total shipments, or US$54.96 billion. Washington has put its deficit with Thailand at US$45.6 billion.

The manufacturing sector will be hit the hardest, but the impact will not be as bad as during the pandemic, Sethaput said, adding there were also concerns over a flood of imports into Thailand from diverted trade. REUTERS