Thailand stops tax exemption for low-value imports to protect domestic businesses

Thailand will start collecting a 10% import tax on low-value items to protect domestic small and medium-sized enterprises.

Thai Finance Minister Ekniti Nithanprapas - Photo: BANGKOK POST

According to current regulations in Thailand, imported goods valued at 1,500 baht (about 1.3 million VND) or less are exempt from import tax.

However, this will change from January 1, 2026, when Thailand begins to collect a 10% tax on this type of import.

On November 14, Thai Finance Minister Ekniti Nithanprapas said this is a measure to support the country's manufacturing sector.

“The import duty will be used to protect small and medium-sized enterprises from the flood of cheap goods into the country following the global trade war,” Ekniti said, adding that the government is also seeking cooperation from e-commerce platforms in tax collection.

According to Reuters, Tilleke & Gibbins Law Firm said this measure will affect the e-commerce, logistics and retail sectors.

Carriers will be burdened with additional procedures to assess and collect duties on millions of low-value imported parcels.

“This policy marks a fundamental shift away from the tax-free low-value cross-border e-commerce model in Thailand,” the law firm said.

Thai businesses have called on the government to act as a wave of low-value goods, mainly from China, has hit production and business, causing a series of factory closures.

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Source: https://tuoitre.vn/thai-lan-ngung-mien-thue-hang-nhap-khau-gia-tri-thap-de-bao-ve-doanh-nghiep-trong-nuoc-20251114191825674.htm