ASEAN members urged to reduce imports of raw materials

BANGKOK, December 20 (TNA) - Thailand and other member countries of the Association of Southeast Asian Nations (ASEAN) have been urged to reduce imports of raw materials in order to ease negative impacts on their economies from the ongoing trade war between the United States and China. Ath Pisalvanich, Director of the Center for International Trade Studies (CITS), under Bangkok-based University of the Thai Chamber of Commerce (UTCC), made the remarks on Thursday while assessing impacts from the ongoing trade war between the immense Chinese and the US economies on Thailand and other ASEAN member countries. For Thailand, Ath suggested that Thai business operators, especially those running small and medium-sized enterprises (SMEs) adjust themselves to the updated situation amid the ongoing trade war, including preparations for rising imported products from China and the United States, as both of the major trading partners could see Thailand as one of their alternative export markets. Ath told journalists that his CITS has made its analytical assessment of the ongoing US-China trade war in a few possible cases, including the current 10-per cent US imported tariff would be unchanged and the imported tariff would be raised to 25 per cent as of March 2019 with either negotiable or non-negotiable prospects of both sides, all the cases of which should cause a decline in the world's gross domestic product (GDP) by 0.1-0.5 per cent year-on-year in 2019 when Thailand's exports should also drop by 0.5-1.9 year-on-year, or 1.18-4.43 billion US dollars, to grow only by 6.1-7.5 per cent year-on-year. According to the CITS chief, Items of Thai exports that could be mostly affected by the US-China trade war, in terms of a cut in shipments to the US and the Chinese economies, include electrical and steel products. Meanwhile, the Trade Policy and Strategy Office (TPSO), under the Thai Ministry of Commerce, is implementing strategies to help expand Thai exports to targeted China provinces specifically, focused on Thai potential products, with quality and high-demand, in the separate areas. (TNA)