The Thai National Shippers' Council (TNSC) has reiterated its call for the prime minister to form a collaborative public-private working group to navigate the evolving trade landscape.
This initiative is crucial amid recent US tariff hikes, which signal a shift in its economic strategy that could trigger substantial global repercussions, said the council.
Dhanakorn Kasetrsuwan, chairman of the TNSC, said the council assessed the potential impacts from US tariff policies across four main areas.
The US is expected to engage in talks with trading partners to reach mutual agreements, possibly imposing a 10% reciprocal tariff.
The council said negotiations should separate the value of exports manufactured under US investments and simultaneously promote the import of capital goods that Thailand needs from the US.
Both the public and private sectors urgently need to develop strategies for the changing trade and investment landscape, he said.
The focus should be risk diversification and seizing opportunities by using the Asean framework for talks with the US, Europe, China, Japan, South Korea and India, said Mr Dhanakorn.
He said a specialised task force should be established, led by the prime minister and comprising representatives from key government ministries (Finance, Commerce, Industry, Foreign Affairs), as well as the private sector, including the Thai Bankers' Association, the Thai Chamber of Commerce, the Federation of Thai Industries and the TNSC.
The TNSC is maintaining its export forecast, predicting growth in the second quarter based on increased production and rising US orders as buyers build inventories ahead of potential reciprocal tariffs, said Mr Dhanakorn.
However, a decline in export orders is expected in the latter part of the year, as stock levels will have been sufficiently filled during the first half, he said.
A recent TNSC exporter survey conducted from April 9-22 highlighted a variety of impacts. While some exporters reported an uptick in orders and faster shipments, others experienced reduced orders, cancellations and customers shifting higher tariff costs to them.
To confront these challenges, exporters are negotiating cost-sharing strategies, postponing orders until there is a clearer outlook and seeking alternative markets.
Some 88.9% of exporters said they have no plans to invest in the US due to high costs, while 11.1% have parent or subsidiary companies based there.
Only 31.6% of exporters source raw materials from the US, opting for alternative suppliers that offer lower costs.
The TNSC urged the government to monitor goods that might be redirected to Thailand from countries affected by reciprocal tariffs, especially in sectors such as electronics, toys, gaming consoles, auto parts, air conditioners, audio and kitchen appliances, tableware, plastics, furniture, home decor, buses, textiles and garments, leather goods and footwear.
Mr Dhanakorn said Thailand should implement strategies to curb the influx of substandard imports, while seeking to manage manufacturing investments effectively.