Team Thailand, led by the Ministry of Commerce, has assured the United States that Thailand's supply chains do not use forced labour and firmly rejected allegations of excess production capacity.
Thailand's representatives took part in a two-day technical meeting with the Office of the United States Trade Representative (USTR) on May 13-14 in the US.
Arada Fuangtong, director-general of the Department of Foreign Trade, said Thailand clarified its position on key supply chain issues currently under investigation under Section 301 of the US Trade Act.
Thailand reiterated that its export supply chains are completely free of forced labour, emphasising strict domestic enforcement and rigorous third-party audits by international brands.
The delegation also informed the US that Thailand is drafting a new Human Rights Due Diligence law to enhance supply chain audit standards and strengthen trade partners' confidence.
On the issue of excess production capacity, the US expressed concern that it could lead to an increase in Thai exports to the US, potentially widening the US trade deficit with Thailand.
In response, Thailand reaffirmed its commitment to free trade principles and market mechanisms, explaining that production and investment decisions are made by the private sector based on market conditions and business opportunities. The government's role is to facilitate and regulate transparent and fair competition rather than set production targets.
Thailand also firmly denied having excess production capacity in the industries under scrutiny, including automotive and auto parts, rubber products, machinery and electronic goods.
Addressing concerns over transshipment, the Department of Foreign Trade underscored its close cooperation with US customs authorities to monitor and prevent false claims of product origin. Thailand has also enhanced origin certification measures for exports to the US to ensure Thai products comply with US rules-of-origin requirements.
Mrs Arada added that the discussions were conducted in a constructive and friendly atmosphere.
"Thailand emphasised the longstanding trade partnership and shared interests between the two nations. Thailand plays an important role in US supply chains, and Thai products remain in demand among American consumers. Therefore, Thai goods should not be viewed as a trade threat," she said.
Thailand also reaffirmed its readiness to work closely with the US to ensure bilateral trade remains transparent, fair and sustainable, she added.
