Timeline of Team Thailand’s 7-month negotiations ends in 19% Trump tariff deal
Team Thailand spent over seven months negotiating down the US’s initial 36% reciprocal tariff rate, amid diplomatic hurdles and Trump’s ceasefire condition for Thai-Cambodian hostilities.
Thailand has successfully reached a reciprocal tariff agreement with the United States, marking a significant breakthrough after months of trade uncertainty triggered by US President Donald Trump’s announcement of sweeping new tariffs.
The move had sent shockwaves through global trade, causing deep concern among Thai exporters and investors, who anxiously awaited the outcome of trade negotiations.
The deal is the result of coordinated efforts by "Team Thailand", led by Deputy Prime Minister and Finance Minister Pichai Chunhavajira, in collaboration with representatives from the Finance Ministry, Commerce Ministry, and Ministry of Foreign Affairs.
Their intensive diplomatic push secured a mutually acceptable tariff rate that safeguards Thailand’s regional competitiveness.
Timeline of Thailand’s tariff diplomacy with the US:
April 2, 2025: Trump announces reciprocal tariffs on 185 countries, with Thailand facing a 36% rate, set to take effect on 9 April.
April 3, 2025: Prime Minister Paetongtarn Shinawatra issues an urgent statement outlining Thailand’s response plan and prepares a counterproposal to restore the trade balance.
April 5, 2025: A special task force on trade policy is unveiled, including the Prime Minister's advisors. Notably, the team was established in January, before Trump’s return to office.
April 8, 2025: The prime minister convenes a high-level meeting with “Team Thailand” to finalise mitigation measures under a win-win framework that prioritises national interest.
April 9, 2025: The US postpones the implementation of tariffs by 90 days, extending the deadline to July 9.
April 17–23, 2025: The Thai delegation, led by both Pichai Chunhavajira and Minister of Commerce Pichai Naripthaphan, travels to Washington, D.C. for formal negotiations with the US Trade Representative (USTR).
During talks, Thailand proposed a five-point package:
- Strengthening economic partnership.
- Expanding market access and reducing tariffs.
- Increasing imports of US goods.
- Implementing measures to prevent third-country circumvention.
- Promoting Thai investment in the United States.
April 29, 2025: Prime Minister Paetongtarn instructed all relevant agencies to prepare negotiation strategies after ASEAN members agreed to present a united front in trade talks with the US.
July 3, 2025: Pichai Chunhavajira, leading the "Team Thailand" delegation, held the first formal round of talks with the USTR, highlighting a win-win approach for both nations.
July 8, 2025: Trump issued a formal notice to Thailand imposing a 36% reciprocal tariff, but extended the effective date to August 1 from the initial July 9.
July 11, 2025: Team Thailand convened with the Prime Minister's advisors, including a consultation with former Prime Minister Thaksin Shinawatra. The team expressed confidence that a deal could be finalised before the deadline, with tariffs not exceeding 20%.
July 26, 2025: Trump directly called Acting Prime Minister Phumtham Wechayachai, urging both Thailand and Cambodia to end their military clashes, warning that no trade deal would proceed unless a ceasefire was reached.
July 28, 2025: A high-stakes negotiation was held in Malaysia between Phumtham and Cambodian Prime Minister Hun Manet, with mediation by the Malaysian Prime Minister and participation from US and Chinese envoys. Both sides agreed to an immediate ceasefire, prompting Trump to resume tariff negotiations.
July 29, 2025: Pichai Chunhavajira confirmed that tariff discussions would continue following the ceasefire deal.
July 30, 2025: Thailand submitted a final, revised trade proposal ahead of the August 1 deadline.
August 1, 2025: The White House announced a final reciprocal tariff rate of 19% for Thailand—aligned with rates imposed on other ASEAN nations—helping ease competitive pressures in the region.
Speaking on the morning of August 1, Pichai Chunhavajira said the outcome reflected a strong and enduring partnership between Thailand and the United States. “The 19% tariff rate reflects our friendship and alliance. It ensures Thailand remains competitive on the global stage, boosts investor confidence, and paves the way for economic expansion, income growth, and new opportunities,” he said.
However, the government emphasised that the work is not yet done. Recognising the potential impact on businesses and farmers, it has prepared a comprehensive set of relief measures—including dedicated budgets, soft loans, subsidies, tax adjustments, and regulatory reforms—to ensure Thailand can adapt with confidence and thrive in the evolving global economy, Pichai said.
The outcome of the negotiations, Pichai said, should serve as a clear signal for Thailand to accelerate economic transformation, build long-term resilience, and strengthen its readiness to meet future global challenges.
“I would like to thank Team Thailand for their dedication and tireless effort in the face of a highly unpredictable situation,” said Pichai. “But our mission is far from over. There is still much work ahead as we continue to fight for the future of our country and all Thai people.”
