Thaksin signals a shift toward the US as he calls for trade policy overhaul, tighter export controls and readiness for tariff talks. His comments contrast with China-leaning ministerial announcements, fuelling speculation over his behind-the-scenes influence at the same time as his own ongoing legal worries.
Thailand’s former Prime Minister and, some would say, de facto government leader moved on Thursday night to assure US business interests that Thailand was still a key US ally. Indeed, Mr. Thaksin not only assured his influential US business community audience that the kingdom was ready for talks, he furthermore suggested that Thailand’s longstanding trade and industrial policies needed reconsideration. In particular, he emphasised that Thailand would control the quality and veracity of goods being exported from its shores. Furthermore, he appears to suggest a new and improved investment environment for US concerns.
Former Prime Minister Thaksin Shinawatra gave an insightful address on Thursday at an American Chamber of Commerce event in Bangkok. In it, he appeared to rebuff rising fears that Thailand was siding with China in what is an increasingly fraught and bitter trade war.
He delivered his keynote on “Thailand’s economy, current challenges, and investor appeal,” emphasising resilience and strategic autonomy.
Finance Minister Pichai defends tariff stance amid claims of mixed signals and delayed negotiations in Washington
Nonetheless, on Friday in Bangkok, Deputy Prime Minister and Minister of Finance Pichai Chunhavajira again extolled the virtues of his approach to negotiations. Finance Minister Pichai also stated Thailand would review currency manipulation claims raised by the US, signalling openness.
Yesterday, opposition economic spokesperson Sirikanya Tansakul MP had called the government out on its contradictory statements. On Tuesday, the Prime Minister stated that the United States had postponed negotiations, while Mr. Pichai suggested that Thailand had cancelled them.
On Friday, Mr. Pichai insisted that it was immaterial. However, waiting to see a template emerge as a solution to the US tariffs was worthwhile. Thailand’s delay contrasts with Vietnam and Indonesia, which rapidly advanced talks after the tariff threat.
Thaksin calls tariffs a ‘wake-up call’ and warns Thailand must revise flawed trade and industrial policy framework
However, on Thursday, Mr. Thaksin described the tariff change as a ‘wake-up call’ for Thailand’s trade and industrial policies.
Mr. Thaksin, a former telecommunications tycoon, questioned key Thai policies. He pointed to a looming 36% reciprocal tariff as a pivotal moment to reassess flawed import regulations and promotion schemes.
In particular, he referenced the investment of Chinese firms into Thailand’s EV industry, aided by generous government subsidies.
Billions of dollars have poured into EV factories, mainly from Chinese firms drawn additionally by tax breaks and fast-track permits.
“We have a huge deficit with China and a moderate surplus with the US. Maybe something is wrong here,” the former Premier noted. “We’re going to change our policy because of the tariffs.”
He hinted that US liquefied natural gas and corn imports could help rebalance trade and appease Washington.
Prime Minister’s China-friendly stance clashes with Thaksin’s pro-US message and tariff urgency
Undoubtedly, it was what American businesses in Thailand wanted to hear. However, it stood in marked contrast to comments earlier this week by his daughter, Prime Minister Paetongtarn Shinawatra. Ms. Paetongtarn had spoken of Chinese partnerships with Thai farmers and businesses in Thailand.
She has cautioned that any deal must not tilt the balance in favour of either the United States or China. Even more significantly, she described America’s tariff stance as changeable. She explained that talks were paused so her cabinet could resolve US concerns, including illegal certificates of origin.
Critically, the Thai government was placed under enormous pressure this week. This came after statements from the Commerce Ministry in Beijing which berated any countries ‘pleasing’ the United States in tariff talks. It also warned of stiff retaliation.
Neighbours speed up tariff talks while Thailand stalls and seeks a template and energy trade to placate the US
Nonetheless, on Thursday, Vietnam kicked off its second stage of detailed negotiations with the United States. Cambodia, within hours of the tariff announcement, lowered its tariff regime. Certainly, Thailand’s slow pace drew scrutiny as a key regional US trade partner.
In the meantime, Thailand has flatly proposed to purchase more US energy and agricultural products, particularly corn.
It has also emphasised a revamped regime to counter export fraud. Thaksin also said Thailand may move toward bilateral deals over WTO rules to boost US trade ties.
Indeed, on Friday, Mr. Pichai Naripthaphan, the Minister of Commerce, stood united alongside his negotiating team counterpart, Finance Minister Pichai Chunhavajira. Notably, the Commerce Minister on Thursday shared the stage with Thaksin at AMCHAM, reinforcing the government’s united front on trade.
Thailand to tighten export oversight and certifying powers of outward goods in response to US tariff fraud
Thailand is moving to not only curb re-exporting but also the importation of shoddy or defective products. In addition, it will examine all manufacturing centres to certify that the products being produced meet its technical standards.
Before that, on Thursday, Thaksin noted the crackdown will hit firms exploiting Thailand as a backdoor to US markets.
Moreover, it has already proposed centralising the power to certify goods of origin from Thailand with the Commerce Ministry.
This will mean tight control to ensure that what is exported from Thailand is Thai-produced and originates in the kingdom. This change follows US requests to verify the authenticity of 65 suspect items across 224 tariff categories.
On Thursday night, Mr. Thaksin said Thailand is ready to engage with United States trade negotiations. He acknowledged that doing so may be ‘quite tough’ but assured the US audience, including US Ambassador Robert F. Godec, that his daughter’s government was ready.
He added that Thailand’s $46 billion surplus with the US made it a top priority for tariff resolution.
Thaksin pledges Thai readiness for trade talks despite his own legal cloud and behind-the-scenes influence
In particular, he noted that these were complex matters. He said it was not just about ‘how many per cent’. “We hope the US remembers our shared history,” Thaksin said, urging a stronger strategic bond with Washington.
“The government is well-prepared and ready to go anytime they want us to go,” Mr. Thaksin declared.
Though he holds no office, Thaksin is seen as a powerful policy architect behind the scenes. However, while Mr. Thaksin may be the ‘de facto’ prime minister, he is still the subject of legal worries in Thailand.
For instance, Mr. Thaksin is presently on bail relating to a 2016 lèse-majesté charge. Despite being an advisor to Malaysia as ASEAN chair this year, he was recently denied by a court permission to travel to Indonesia.
Court calls hearing as Thaksin faces renewed jail push amid questions over his lenient prison treatment
Furthermore, Mr. Thaksin is before the Supreme Court’s Criminal Division for Holders of Political Positions on Wednesday, April 30th next.
Despite the court rejecting two previous submissions from a former Democrat Party MP for Nakhon Nayok to have Mr. Thaksin jailed, a third submission has seen the court call a press conference.
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The political figure wants Mr. Thaksin sent back to prison because of his extraordinary treatment by the Corrections Department after he was jailed in 2023. The former Premier never spent a full night in prison. He was transferred within hours to the Police General Hospital in Bangkok.
Legal analysts believe that the law is quite clear on the matter. However, there is concern as to why the court has scheduled a ruling and press conference.
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Further reading:
Thaksin does not rule out joining talks in US as Thai team finalises plans. They fly out on Thursday
Trump’s remaking of World trade, if it works, will force Thailand to decide between the US and China
US offers a 90-day tariff pause but Thailand must move faster as it already faces shaved GDP in 2025
PM addresses the nation in shock over last week’s earthquake and this week’s Trump tariff bombshell
