Zero-Tariff Export from Thailand

A Practical Guide for Foreign Investors

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EP 2: Which Countries Import Goods from Thailand at 0% Tariff

One of the most common questions foreign investors ask before setting up manufacturing or export operations in Thailand is:

“Which countries can import goods from Thailand at zero import duty?”

The short answer is: many—but not automatically.

Thailand’s zero-tariff export potential comes from its extensive Free Trade Agreement (FTA) network, not from unilateral exemptions. Understanding where zero tariffs are possible—and under what conditions—is critical for any export-driven investment decision.

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Zero-Tariff Exports: A Conditional Benefit

Goods exported from Thailand may enter certain countries at 0% import duty only if they:

• Fall under the relevant FTA tariff schedule
• Meet Rules of Origin
• Are supported by proper trade documentation (e.g., Certificate of Origin)
• Are exported by a structure that can legally claim the benefit

With that context, below are the key countries and regions where zero-tariff imports from Thailand are commonly available.

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1. ASEAN Countries (Near-Complete Zero Tariff)

Under the ASEAN Free Trade Area, Thailand enjoys near-complete tariff elimination across the region.

Countries:

• Singapore
• Malaysia
• Indonesia
• Philippines
• Vietnam
• Cambodia
• Laos
• Myanmar
• Brunei

Key characteristics:

• Most goods: 0% import duty
• Simplest and most widely used framework
• Ideal for regional distribution and consolidation hubs

For many investors, ASEAN is the first and fastest market to leverage zero-tariff exports from Thailand.

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2. China

Through ASEAN–China FTA and broader regional frameworks, many Thai-origin goods enter China at 0% tariff, especially:

• Industrial products
• Electrical and electronic components
• Selected agricultural and processed food products

China remains one of the most strategically important zero-tariff destinations for Thailand-based manufacturers.

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3. Japan

Japan is one of Thailand’s most established FTA partners, supported by multiple overlapping agreements.

Zero-tariff access is common for:

• Automotive and parts
• Machinery and equipment
• Electronics and components

Japan’s tariff schedules are detailed and strictly enforced, making proper structuring and documentation essential.

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4. South Korea

Under ASEAN–Korea FTA and regional trade arrangements:

• Many industrial goods qualify for 0% import duty
• Frequently used by electronics and component manufacturers

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5. Australia and New Zealand

Through the ASEAN–Australia–New Zealand framework:

• A wide range of industrial, agricultural, and food products enjoy zero or near-zero tariffs
• Particularly attractive for food processing and value-added exports

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6. Hong Kong

Under the Thailand–Hong Kong FTA:

• Zero tariffs apply to most goods
• Often used as a trading, logistics, and re-export hub
• Strong linkage with investment and services activities

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7. RCEP Markets (The Largest Opportunity Set)

Thailand is part of RCEP, the world’s largest trade agreement, covering 15 economies across Asia-Pacific.

RCEP allows:

• Zero or reduced tariffs across multiple markets
• Accumulation of origin, meaning inputs from several member countries can still qualify
• Greater flexibility in supply-chain design

For investors managing multi-country sourcing, RCEP significantly expands zero-tariff potential.

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Important Markets Where Zero Tariff Is NOT Automatic

It is equally important to understand where zero tariff does not apply by default.

United States & European Union

• Thailand does not have a direct FTA with the U.S. or EU
• Standard MFN tariffs apply in most cases
• Limited exceptions may exist under special programs (e.g., GSP), subject to product eligibility and policy changes

These markets require separate tariff and trade-program analysis.

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A Common Investor Misunderstanding

Many investors assume:

“If we export from Thailand, tariffs will be zero.”

In reality:

• Zero-tariff eligibility depends on destination, product, and structure
• A qualifying product under one FTA may not qualify under another
• Improper use can result in tariff clawbacks, penalties, or audits

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Strategic Takeaway for Investors

Thailand offers one of the widest zero-tariff export networks in Asia, but the benefit is:

• Conditional
• Highly technical
• Structurally driven

Investors who plan correctly can achieve long-term tariff efficiency.
Those who assume benefits without structuring often face costly corrections later.

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How BRW Supports Export-Driven Investors

At BRW, we help foreign investors:

• Identify which markets can realistically offer 0% tariffs
• Assess product eligibility under relevant FTAs
• Design export-ready company and supply-chain structures
• Align licensing, customs, and compliance requirements
• Reduce post-investment regulatory and tariff risk

Zero-tariff exports begin with strategy, not assumptions.

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At BRW – Boonrawee Co., Ltd., we offer comprehensive legal, business, and property consulting services to support foreign investors and business owners looking to establish and grow in Thailand.

Our services include:

• Helping you understand and comply with Thai property and land ownership laws.
• Company registration and structuring for business and property purposes.
• Applying for BOI or IEAT promotions if land ownership or special privileges are needed.
• Drafting and reviewing land lease agreements to ensure legal protection.
• Finding suitable land or property locations that match your business needs (factory, office, or commercial spaces).
• Advising on site selection for business operations, including industrial estates, office buildings, and commercial zones.
• Providing architectural design and construction services for buildings, offices, and factories, including customized designs to meet specific business requirements.
• Coordinating with professional architects, engineers, and contractors to ensure your building project complies with Thai laws and standards.

📞 Contact BRW today for expert advice and a one-stop solution to establish your business and property in Thailand!