Trump’s policies shake Thailand as USAID shuts down, refugee aid collapses and 10% China tariffs threaten Thai exporting firms. Media, NGOs, and political groups face scrutiny over secret USAID funding. With trade talks looming, Thailand braces for tougher U.S. demands.
This week, the impact of US President Trump’s blizzard of executive actions and changes in Washington, DC, hit Thailand. Even before Thailand talks trade with the new US administration, the country is facing consequences due to the closure of USAID and a 10% tariff on China with a wider effect. These are in addition to bilateral adjustments that can be expected in due course. In the meantime, the wider impact of the closure of USAID has yet to be seen, particularly given its funding of a wide array of civic, political, and media organizations in Thailand. Of course, that is in addition to the dismantling in the last few weeks of refugee support operations on the border with Myanmar across four provinces.
When US President Donald Trump took office on January 20, most people in Thailand worried about trade tariffs. Certainly, that threat has not receded. Indeed, there are rising fears that Trump’s trade war will almost certainly damage Thai exporting firms. That includes the new 10% levy already imposed on imports from China.
Information emerging from DHL, the international courier services firm, is disturbing. Basically, it indicates that the new tariff impacts not only Chinese manufactured goods shipped from China but also from anywhere in the world.
USAID suspension raises questions about the secretive agency’s influence on politics in Thailand
However, hardly anyone could have predicted the chaos that has beset Thailand’s non-governmental organizations (NGOs) in recent weeks. In particular, by Trump’s order to suspend USAID payments and subsequently an order to shutter the organization.
Indeed, this is still very much a developing story. Undoubtedly, the news emerging from the Elon Musk-run Department of Government Efficiency (DOGE) will soon give us further insight. Notably, into the secretive agency’s activities in Thailand.
For instance, this week has led to revelations that the New York Times and US left-wing outlet Politico were in receipt of tens of millions in dollars. Furthermore, the agency has been involved in projects prominently left-wing thinking and ideology throughout the world. It includes funding for the BBC and eleven major news outlets in Ukraine.
Certainly, there are already signs of USAID funding for Thai media outlets challenging the conservative establishment in the kingdom. This has, for instance, taken place through an organization called NED or National Endowment for Democracy (NED).
Indeed, information emerging this week shows how much of USAID funding was disguised through other organizations and in particular, partners.
At length, George Soros, it was revealed, had managed to receive $270 million over 15 years for his political campaigns.
The billionaire especially promotes open borders among other things. This includes a rejection of national sovereignty worldwide.
USAID’s role in Thailand’s political and media landscape comes under intense and sceptical scrutiny
Certainly, there will be more about USAID’s activities in Thailand. For instance, this week, the Thai Minister of Justice Thawee Sodsong revealed a new program to boost Thailand’s rule of law.
That programme has been developed in association with an organization called the World Justice Project. In turn, this has long been supported by USAID. Of course, the extent of funding by USAID to non-governmental organizations (NGOs) and other civic organizations is still unknown.
Nonetheless, it is clear that it has been involved in attempting to shape Thailand’s politics. In addition, it has also attempted to mould its media sphere as it now appears it has done in many other countries.
A key narrative that has emerged this week is that the organization appears to have acted separately and without accountability to the US State Department. This was how newly-installed Trump Secretary of State Marco Rubio saw it this week.
Trump administration moves forward forcefully with USAID downsizing despite signs of division
However, Secretary Rubio also signalled the first signs of division in President Trump’s ranks. America’s top diplomat has indicated that he does not wish to uproot USAID workers abroad.
Nonetheless, the word from President Trump and Elon Musk’s Department of Government Efficiency (DOGE) is unequivocal. That is that the organization will be shuttered.
Indeed, all foreign staff of the agency have already been ordered home. The organization employed 10,000 staff and 4,000 contractors abroad.
Reports from Washington DC this week suggested only 611 will remain. Furthermore, the office of USAID has already been closed and signage removed.
Over the weekend, however, a federal judge in Washington, Judge Carl Nichols, issued a temporary restraining order on the administration.
This comes ahead of a broader hearing on Wednesday. The judge, a Trump appointee, declined to rescind the suspension of aid grants. Nonetheless, he did grant protection to furloughed workers and those dismissed from January 20.
Legal battles loom over USAID closure and Trump’s executive authority to shutter the high-spending agency
In the meantime, Secretary Rubio has taken over as the administration’s head of USAID.
His comments to the media this week suggest he is conflicted. At the same time, US Democrats claim that only Congress can disband the organization. Trump’s White House counter claims it is certainly within the power of the executive branch.
Undeniably, there will be legal proceedings. Secretary of State Rubio appeared flustered in Guatemala on Wednesday responding to the fall of USAID. Especially amid shocking revelations about where US taxpayer funds had been applied.
He said he wished “the way things were handled” had been different, “but we’re forced to do it because of impediments that we would confront.”
Afterwards, he explained to reporters the unpopularity among US taxpayers of the application of foreign aid funds by the agency.
“I want to tell you that this is not about politics, but foreign aid is the least popular thing the government spends money on,” Rubio explained. “And I spent a lot of time in my career defending it and explaining it, but it’s harder and harder to do across the board—it really is.”
USAID suspension disrupts refugee aid and strengthens Thai government’s NGO crackdown
In Thailand this week, the USAID suspension saw the closure of medical services and a hospital in Tak province for refugees.
However, more broadly, the revelations about USAID’s political machinations through civic groups are profoundly shocking. The fact that they were under the radar is bound to strengthen concerns.
Indeed, it will strengthen the political argument in favour of contentious non-governmental organizations (NGO) legislation in Thailand. This has long been advocated by successive governments.
In brief, worldwide, the use of government funds through third parties is bound to be viewed more sceptically. Certainly, trust in USAID has been completely undermined.
This comes with revelations that it has been funding mainstream media outlets and political movements worldwide. For instance, the US news website Politico, the New York Times, and the BBC shared a pot valued at $35 million from the agency.
Notably, Thailand is one of the countries directly impacted by the USAID cuts. Over the weekend, the international press agency Reuters covered the story. It published several stories showing how the agency’s demise and cutbacks are already impacting the world.
Global aid and politcal, media programs face collapse as USAID cuts reverberate worldwide
For instance, the proposed strengthening of a security force in Haiti was halted. Indeed, there were alarming signs that USAID cuts could see the collapse of the Caribbean country entirely.
Meanwhile, the cuts have affected the refugee or migrant assistance on the border with Thailand. In particular, a hospital and refugee centre in the Tha Song Yang District of Tak province.
Migrants and refugees are being assisted in four Thai provinces: Kanchanaburi, Tak, Ratchaburi, and Mae Hong Son. In addition, the United Nations High Commissioner for Refugees (UNHCR) has confirmed that 86,539 people are being assisted by Thai officials and non-governmental organizations (NGOs) in these provinces. Significantly, approximately 5,500 of these are from over 40 countries worldwide.
USAID withdrawal leaves uncertainty over Thailand’s refugee and border policies in a time of change
Thailand opened the first refugee camp in 1984 in response to heavy fighting in Karen State in Burma. The situation exploded in 1988 with a violent uprising against the military in its western neighbour.
In 2015, the situation eased somewhat. Indeed, some 1,000 people were resettled. However, Myanmar’s brief flirtation with democracy did not close the camps. A simmering ethnic conflict remained. Meanwhile, USAID assistance helped no fewer than 100,000 Burmese nationals migrate legally to the United States over the last forty years. This has now all been put on hold.
At the same time, after the February 1 2021 coup d’état in Myanmar, the situation has become critical. A civil war has seen nearly 3 million people displaced.
Trump’s America-first policies firmly signal the end of the multilateral approach to world affairs
Ultimately, Thailand’s prospects of pivoting to a multilateral world order continue to fade as Trump’s America appears increasingly hostile. Firstly towards United Nations agencies and later perhaps the United Nations itself.
In short, this will limit Thailand’s attempts to strategically balance its position between China and the United States.
Trump pulled the United States out of the UN Human Rights Council this week. He also extended the ban on funding to the United Nations support agency in Gaza, UNRWA.
Trump immigration sweep sees Thai man wanted for child sex crimes arrested in Chicago on Sunday
Chinese and Thai economies both feeling the pinch even before Trump gets to work in the White House
In addition, he has already pulled America out of the World Health Organization (WHO) and the Paris Climate Change Accord.
In conclusion, Thailand will ultimately be forced to treat with the United States on a bilateral basis. It can confidently be expected that President Trump’s terms will be demanding.
Join the Thai News forum, follow Thai Examiner on Facebook here
Receive all our stories as they come out on Telegram here
Follow Thai Examiner here
Further reading:
Trump Presidency already having a heavy impact on Thailand even before he talks trade with Bangkok
Economy sees sharp setback with lower private spending, investment and foreign tourism income
Trump’s trifecta triumph means Thailand will be more on edge as he prepares to take power in January
Ung Ing congratulates Trump as Thailand uneasily confronts the meaning of his second Presidency
