Thailand, Cambodia Secure 19% US Tariff After Deadly Border Ceasefire

Thailand and Cambodia successfully negotiated a 19% U.S. import tariff rate, significantly lower than the initially threatened 36%, following a ceasefire that ended deadly border clashes between the two nations. This tariff deal, announced by President Donald Trump, is viewed by Thai officials as a major success that preserves export competitiveness and economic stability. Thailand has agreed to concessions including opening agricultural markets to U.S. imports, phased tariff reductions, and increased purchases of U.S. energy and Boeing aircraft, while also preparing support measures such as loans and subsidies to help businesses and farmers adapt. The U.S. trade deficit with Thailand increased significantly in 2024, and uncertainty over tariffs had previously caused Thailand to lower its economic growth forecast. Cambodian Prime Minister Hun Manet also welcomed the tariff agreement as beneficial for his country's development. The tariff deal aligns Thailand's rates with other ASEAN countries and reflects a broader U.S. strategy to reshape global trade in favor of the American economy, while the ceasefire between Thailand and Cambodia helped facilitate this outcome.