IMPORT POLICIES
Tariffs
Thailand's high tariff structure remains a major
impediment to market access in many sectors.
The country's average applied tariff rate is
roughly 16 percent. A member of the World
Trade Organization (WTO) and the ASEAN
Free Trade Area (AFTA), Thailand has yet to
complete efforts to rationalize a complicated
tariff regime that currently has 46 rates. Highest
tariff rates apply to imports competing with
locally produced goods, including agricultural
products, autos and auto parts, alcoholic
beverages, fabrics, and some electrical
appliances. In some cases, tariffs on unfinished
and intermediate products are higher than on
related finished products. In the aftermath of
the 1997-98 financial crisis, the Thai
government increased duties, surcharges, and
excise taxes on a range of "luxury" imports,
including wine, passenger cars, and wool
carpets. Some tariff increases have
corresponded with implementation of trade
liberalization measures; for example, tariffs on
completely knocked down (CKD) auto kits
increased from 20 percent to 33 percent when
local content requirements were eliminated in
the automotive industry in December 1999.
Thailand also imposes a 60 percent duty on
motorcycles. At the request of the U.S