Department of Foreign Trade Tightens Export Controls in respond to US Reciprocal Tariff

The Department of Foreign Trade (DFT) has expanded its watch list of products at risk of origin circumvention from 49 to 65 items, encompassing 224 tariff lines. This move is aimed at preventing the misuse of Thai origin in exports to the United States and protecting Thailand from potential US trade penalties. According to the Director-General of the DFT, the action comes in response to the US proposing a 36% reciprocal tariff on Thai goods, which may be partially attributed to misrepresented Thai origin claims.

The expanded watch list includes sensitive goods such as steel and aluminium products, cars and parts, solar panels, and medical equipment. The DFT also requested more specific tariff codes for furniture exports to avoid broad classifications that could hinder Thai trade. In coordination with US customs and Thai industry bodies, the DFT has tightened the process for issuing Certificate of Origin. The DFT will be the sole authority to issue Certificate of Origin for items on the watch list exported to the US. Exporters must complete a thorough origin verification process to ensure compliance and prevent third-country goods from exploiting Thai trade privileges. Under DFT current framework, exporters are required to apply for product origin verification before requesting for a general Certificate of Origin.

To support exporters in navigating this stricter framework, the DFT has provided the Service Manual for Requesting for Verification and Certification of Product Origin, which outlines the procedures and documentation required to prove that goods genuinely qualifies as Thai-origin under international trade rules and free trade agreements. For instance, a company exporting solar panels must present detailed records of material sourcing, manufacturing processes, and invoices to the DFT for evaluation. If the product meets the origin criteria—such as local value-added thresholds or substantial transformation—a Certificate of Origin will be issued. This certification enables the exporter to access preferential tariffs while ensuring transparency and compliance with trade laws.

Further adjustments to the watch list are recently reviewed by the DFT. The final version of the watchlist is expected to be submitted to the Thai Cabinet for approval.

 

Department of Foreign Trade Tightens Export Controls in respond to US Reciprocal Tariff_Bangkok Global Law