Post by account_disabled on Jan 1, 2024 19:57:27 GMT -8
Commerce opens 'product groups' most affected Point out the 'advantages and disadvantages' of the US cutting 'GSP' 27 October 2019 Ms. Pimchanok Wonkorphon, Director of the Office of Trade Policy and Strategy (O.C.), Ministry of Commerce. Revealing the case where the United States has announced that it will cut off the trade tariff benefits (GSP) that it previously granted to Thailand on some items on October 25, 2019, it is said that Thai exports will be affected, accounting for approximately 0.01% of exports. Total of Thailand's annual average But there will be some products that use a lot of rights that may be affected more than others. The details are as follows. On 25 Oct. 2019, the United States announced the cut off of Thailand's GSP rights (Country Review) for 573 items (40% from the number of products that Thailand used rights for in 2018, totaling 1,485 items), effective 25 Apr. 2020 and Restoring rights to Thailand, 7 items In 2018.
Thailand used only 355 GSP rights (out of 573 items) worth 1,279.8 million Buy Bulk SMS Service US dollars. and has an average exercise rate of 66.7%, such as processed seafood, pasta, various types of nuts, fruit jams, fruit juices, soy sauce, chemicals, kitchen equipment and household items, electric motors, steel sheets and stainless steel, musical instruments, and fishing equipment. The elimination of GSP rights will cause Thai export costs to increase by approximately $50.33 million, as this group of Thai products will be subject to an average 4.5% higher import tax (based on the MFN rate of the United States in 2018). The Office of the Consumer Protection Board estimates that the removal of GSP rights will have a limited impact on Thai exports.
Higher tax rates may cause Value of exports to the United States For products in the group whose rights were cut in 2020 (when the measure came into effect), the value decreased by 28.8 - 32.8 million US dollars. or equivalent to 0.01 percent of Thailand's total export value. In this regard, Thai exports are characterized by the distribution of new product groups that are likely to continue expanding well in the future, such as motorcycle clothing and components. furniture and parts and tableware, kitchenware, and household items. It will continue to support Thai exports in the US market, but the GSP cut will make the advantage in tax costs disappear. and Thailand will face higher competition. Therefore, maintaining product quality and standards is important.
Thailand used only 355 GSP rights (out of 573 items) worth 1,279.8 million Buy Bulk SMS Service US dollars. and has an average exercise rate of 66.7%, such as processed seafood, pasta, various types of nuts, fruit jams, fruit juices, soy sauce, chemicals, kitchen equipment and household items, electric motors, steel sheets and stainless steel, musical instruments, and fishing equipment. The elimination of GSP rights will cause Thai export costs to increase by approximately $50.33 million, as this group of Thai products will be subject to an average 4.5% higher import tax (based on the MFN rate of the United States in 2018). The Office of the Consumer Protection Board estimates that the removal of GSP rights will have a limited impact on Thai exports.
Higher tax rates may cause Value of exports to the United States For products in the group whose rights were cut in 2020 (when the measure came into effect), the value decreased by 28.8 - 32.8 million US dollars. or equivalent to 0.01 percent of Thailand's total export value. In this regard, Thai exports are characterized by the distribution of new product groups that are likely to continue expanding well in the future, such as motorcycle clothing and components. furniture and parts and tableware, kitchenware, and household items. It will continue to support Thai exports in the US market, but the GSP cut will make the advantage in tax costs disappear. and Thailand will face higher competition. Therefore, maintaining product quality and standards is important.