As US President Donald Trump imposes higher tariffs on Chinese imports, ratcheting up the US-China trade war, local manufacturers are concerned over a possible influx of Chinese products being dumped on the Thai market.
Thai cosmetics firm Srichand is calling for fairness, urging the government to implement equal inspection standards on all imported goods.
The Thai economy must weather geopolitical uncertainties, said Rawit Hanutsaha, chief executive of Srichand United Dispensary Co Ltd.
US policies remain unclear, potentially leading to instability for Thai businesses, he said.
Mr Rawit said US tariffs on Chinese goods could hinder Beijing's ability to export to the US and its allies.
"This may result in a surge of Chinese products entering Thailand and neighbouring countries," he said.
Mr Rawit said the Thai government should negotiate, establishing a balanced position between the two powers to mitigate the effects of the evolving trade dynamics.
He said escalating tariffs on Chinese goods could lead to cosmetics imports flooding into Thailand, affecting the local cosmetics industry.
The government should implement prompt inspections of imported products, said Mr Rawit.
"Imported products should meet the same standards as those manufactured locally, and must be registered and comply with the Food and Drug Administration's tests and regulations," he said.
Mr Rawit said stringent measures are needed for imports, advocating a thorough examination similar to the checks Thai products undergo for shipments to China.
"We need a fair game. If our products face rigorous scrutiny when shipped to China, their products should too," he said.
On a positive note, Mr Rawit said this could be an opportunity for Thai entrepreneurs to seek new markets and reduce business risk.
He said the trade war is an uncontrollable factor in business, and Thai entrepreneurs must be agile and adaptable to the changing business landscape.
Mr Rawit said he views Thai cosmetics as the market leader in Cambodia, Laos, Myanmar and Vietnam, as consumers in those countries trust and value Thai brands.
He encouraged local producers to maintain high standards while focusing on enhancing product value, as this is a critical factor for attracting consumers.