Thai steel, aluminium, chemicals and frozen seafood products have promising export prospects after Thailand's rivals were hit with penalty tariffs by foreign countries.
Adul Chotinisakorn, director-general of the Foreign Trade Department, said the department has studied trade measures such as anti-dumping (AD), countervailing duty (CVD) and safeguards (SG) for three categories of products: steel and aluminium; chemical products; and frozen seafood.
Key importers such as the US, the EU and Australia have introduced AD/CVD/SG measures for steel products sold by several of Thailand's rivals, while leaving Thailand free from similar penalties.
For instance, Australia exercised AD and CVD measures on zinc-coated (galvanised) steel and aluminium zinc-coated steel imported from China, South Korea, Taiwan, Malaysia and Vietnam, while India, Australia, the US and Canada have imposed AD and CVD measures on aluminium extrusion from China, Vietnam and Malaysia.
The EU has also imposed temporary SG tariffs on 28 steel items imported from all the countries except Thailand.
"Steel and aluminium are important raw materials for automotive parts, electric appliances and construction industries," Mr Adul said. "Key importing countries have yet to introduce AD and SG measures on Thai products, offering a greater opportunity for Thailand to export more. However, Thai manufacturers themselves have to upgrade product quality to meet standard importer requirements."
He said China also imposed AD measures on 20 chemical items, including polyformaldehyde copolymer, vinylidene chloride, acetone and perchloroethylene imported from Taiwan, South Korea, Japan and the US, while India has raised AD tariffs on 48 chemical items, including linear alkyl benzene, O-acid, ofloxacin, resorcinol, dimethylacetamide and methyl ethyl ketone from China.
The US has imposed AD tariffs on certain frozen fish fillets from Vietnam at a rate of 63.88% of CIF (cost, insurance and freight), with an exemption for Thai products.
The US also imposed AD measures on certain frozen warm-water shrimp from China, India, Brazil and Vietnam at rates of 112.81%, 110.90%, 67.8% and 25.76% of CIF.
Thai shrimp products are also subject to the AD, but at a lower rate of 5.34% of CIF.
Mr Adul said Thailand has yet to see an impact from the US's Section 232 of the Trade Expansion Act of 1962 that was invoked by President Donald Trump on March 8 to impose a 25% tariff on steel and 10% tariff on aluminium imports.
"In light of the impact of the US's Section 232, which has halted the export of steel and aluminium products from China to the US, leading to these products flooding the Asean region, including Thailand, instead, the department has been closely observing this issue," Mr Adul said.
"Thai manufacturers, if affected, are eligible to call for investigations by the department so that the government can introduce remedy measures. The department has been closely working with US customs officials to find ways to prevent circumvention practices and the redirection of Chinese products to Thailand that are subject to higher tariffs."
