Legal Update: Recent Revisions to the United States–Thailand Joint Statement on Reciprocal Trade

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Legal Update: Recent Revisions to the United States–Thailand Joint Statement on Reciprocal Trade

The Joint Statement on the Framework for the United States–Thailand Agreement on Reciprocal Trade (the “Joint Statement“) has been revised in certain non-material respects, as proposed by the Ministry of Commerce of Thailand. Such revisions were made pursuant to authority previously granted by the Cabinet and do not alter the core principles approved at the policy level.

Cabinet Approval and Delegated Authority

The Cabinet of Thailand (the “Cabinet“) initially approved the Joint Statement on 1 August 2025 (B.E. 2568). Concurrently, the Cabinet delegated authority to the Ministry of Commerce to make revisions to non-essential provisions of the Joint Statement, provided that such revisions remain consistent with the principles approved by the Cabinet. The Ministry of Commerce was further required to subsequently report such revisions to the Cabinet, together with the rationale for and benefits arising from them.

Modifications Proposed by the United States

Following further discussions, the United States proposed several revisions to both the substance and wording of the Joint Statement to more accurately reflect prevailing factual circumstances and the current status of implementation. The key modifications are summarized below:

  • The reciprocal trade tariff, which had not previously been specified, was fixed at a rate of 19 percent.
  • The Joint Statement was revised to include a reference to Annex III of Executive Order No. 14346, dated 5 September 2025 (B.E. 2568), entitled “Potential Tariff Adjustments for Aligned Partners.” This annex addresses the identification of categories of goods that may be eligible for tariff exemptions for trading partners that successfully conclude negotiations with the United States. The inclusion of this reference enhances legal clarity, as the original text did not expressly refer to the relevant executive order.
  • Provisions relating to rules of origin were removed. This issue remains under consideration by the United States, and no definitive policy or implementation framework has yet been finalized.
  • Certain wording in the Joint Statement was refined to more accurately reflect the status and progression of negotiations between Thailand and the United States.

Thailand’s Representation and Formalization of the Joint Statement

The Prime Minister of Thailand appointed the Deputy Prime Minister as the representative of the Thai Government to engage in discussions with the United States regarding the Joint Statement through a conference meeting. During these discussions, Thailand formally confirmed the revised Joint Statement.

Subsequently, the United States publicly released the Joint Statement on the White House website during the 47th ASEAN Summit held in Kuala Lumpur, Malaysia, on 26 October 2025, which was attended by the President of the United States.

Consideration by the Ministry of Commerce

The Ministry of Commerce concluded that the revisions proposed by the United States constituted non-material adjustments to the Joint Statement. Such revisions were intended to enhance clarity and ensure consistency with prevailing factual circumstances and international practice and did not conflict with the principles previously approved by the Cabinet.

Key Takeaways

Thailand is expected to derive substantial benefits from the reduction of the reciprocal tariff from 36 percent to 19 percent, particularly in light of Thailand’s export value to the United States, which exceeds USD 56 billion.

The reciprocal tariff rate was fixed at 19 percent, a level broadly comparable to those applied to other ASEAN countries.

Author: Panisa Suwanmatajarn, Managing Partner.

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