Bangkok: Plastic industry group ready to cooperate with government to find a solution to the 36% tax, worried about order cancellations. Mr. Thititham Pongpanangam, Chairman of the Plastics Industry Club, Federation of Thai Industries (FTI), stated that the impact of the United States’ decision to impose a 36% tax on Thai plastics could vary across different sectors of the industry. Although a significant portion of the production is intended for the domestic market, the tax affects plastic as a raw material in various industries, both directly and indirectly. The Plastics Industry Club is prepared to work with the government to devise a collaborative solution. Initial discussions have been held to compile information and recommendations that will be forwarded to the government, with the aim of developing additional proposals to submit to the United States. The plastics group underscores the urgency for the government to present these proposals and engage in negotiations with the US to reach a swift resolutio
n, which would be advantageous for the industry as a whole.

According to Thai News Agency, Mr. Tossapol Jinantadet, Deputy Managing Director of A.J. Plast Co., Ltd., a plastic film exporter, expressed concerns regarding the impending US tax collection scheduled for August 1, 2025. He warned that if the situation remains unchanged, US importers might cancel their existing orders, as the 36% tax would immediately apply to goods imported into the US, resulting in higher prices than originally agreed upon with exporters. In the long run, the focus will be on strategizing to ensure that Thailand derives maximum benefits. Mr. Jinantadet is confident that the government will expedite negotiations to alleviate the impact of the tax.

The economic value of Thailand’s plastic industry was approximately 504,355 million baht in 2024.