Energy authorities are working on a plan to buy more liquefied natural gas (LNG) from the US to help the government deal with the trade imbalance that led Washington to impose a high tariff on Thai exports.
Buying more products from the US, including LNG, is among the measures expected to reduce the value of Thailand's trade surplus with America.
The country's trade surplus with the US in 2024 was the 11th-largest globally at more than US$35 billion or 1.2 trillion baht.
"Officials are looking into whether Thailand will first import LNG from US companies drilling natural gas in the Middle East," said a source at the Energy Ministry who requested anonymity.
Thailand mostly buys LNG from the Middle East. Shipping LNG from the US would incur higher transport costs, leading to higher prices.
Gas makes up 60% of fuels used for power generation in Thailand.
An increase in LNG prices would lead to higher electricity bills, the source said.
Officials are considering how much LNG Thailand should import from the US and whether such purchases ought to be made in the spot market or under long-term purchase contracts, said the source.
Though LNG prices under long-term purchases are more stable than spot market prices, the former can sometimes be more expensive.
LNG storage facilities in Thailand, including those belonging to national oil and gas conglomerate PTT Plc, can serve additional LNG imports from the US, but the government needs to carefully think about supply and demand to prevent overspending, said the source.
The government should also come up with other measures to ease the impact of steep US tariffs, such as encouraging Thai companies to invest in gas and clean energy businesses in the US, said Praipol Koomsup, an economist at Thammasat University who was a committee member under Narongchai Akrasanee, a former energy minister.
The 36% tariff on Thai goods was initially set to take effect on April 9, but US President Donald Trump decided to delay enforcement for 90 days, allowing countries that did not retaliate against US tariffs to negotiate on trade matters.