5.2. Bilateral and Regional Trade Agreements
Thailand has signed bilateral trade agreements with neighboring countries (Lao PDR: 1978, Malaysia: 2000, Cambodia: 2000, and Myanmar: 2010) in order to forge economic relations and trade facilitation (Department of Trade Negotiations of Thailand 2000). Regarding the regional trade agreement, the pertinent pacts are: (1) the ASEAN Free Trade Area (AFTA), which has a large market size at 590 million people. The old six member countries of ASEAN have reduced import duties of the Inclusion List (IL) within the Common Effective Preferential Tariff Scheme (CEPT) to 0–5% since 2003, and have become 0% since 2010. Whereas the new member countries have lowered import duties of IL within CEPT to 0–5% in 2006 by Vietnam, Lao PDR and Myanmar in 2008, Cambodia in 2010, and all four countries to become 0% in 2015. The total commodities under CEPT cover 105,123 items (ASEAN Secretariat 2008). Secondly, the ASEAN-China Free Trade Area was signed on November 29, 2004 leading to a gradual process of trade liberalization for two categories namely: (1) The Early Harvest program consisting of specific agricultural products. China and old ASEAN member countries started reducing import tariffs from January 1, 2004, and have lowered them to 0% since January1, 2006. New ASEAN member countries have reduced tariffs to 0% since 2010 (Department of Trade Negotiations of Thailand 2000). (2) The Tariff Reduction for General Commodity’s program was divided into three tracks. The Normal Track, which was higher than 20%, has become 20% since January 1, 2005. The Sensitive Track has been reduced to 20% since 2012, and the final tariff will be set at 0–5% by 2018; and the Highly Sensitive Track tariff should be lowered to become 50% by 2015.
5.2 การข้อตกลงการค้าทวิภาคี และระดับภูมิภาคThailand has signed bilateral trade agreements with neighboring countries (Lao PDR: 1978, Malaysia: 2000, Cambodia: 2000, and Myanmar: 2010) in order to forge economic relations and trade facilitation (Department of Trade Negotiations of Thailand 2000). Regarding the regional trade agreement, the pertinent pacts are: (1) the ASEAN Free Trade Area (AFTA), which has a large market size at 590 million people. The old six member countries of ASEAN have reduced import duties of the Inclusion List (IL) within the Common Effective Preferential Tariff Scheme (CEPT) to 0–5% since 2003, and have become 0% since 2010. Whereas the new member countries have lowered import duties of IL within CEPT to 0–5% in 2006 by Vietnam, Lao PDR and Myanmar in 2008, Cambodia in 2010, and all four countries to become 0% in 2015. The total commodities under CEPT cover 105,123 items (ASEAN Secretariat 2008). Secondly, the ASEAN-China Free Trade Area was signed on November 29, 2004 leading to a gradual process of trade liberalization for two categories namely: (1) The Early Harvest program consisting of specific agricultural products. China and old ASEAN member countries started reducing import tariffs from January 1, 2004, and have lowered them to 0% since January1, 2006. New ASEAN member countries have reduced tariffs to 0% since 2010 (Department of Trade Negotiations of Thailand 2000). (2) The Tariff Reduction for General Commodity’s program was divided into three tracks. The Normal Track, which was higher than 20%, has become 20% since January 1, 2005. The Sensitive Track has been reduced to 20% since 2012, and the final tariff will be set at 0–5% by 2018; and the Highly Sensitive Track tariff should be lowered to become 50% by 2015.
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