Thailand will proceed with talks to finalise a reciprocal trade agreement with the United States, a government spokesperson confirmed on Saturday. The discussions will be kept separate from the ongoing border dispute with Cambodia.
Earlier on Saturday, Bangkok had stated that Washington was suspending negotiations until the Thai government reiterated its commitment to a U.S.-brokered ceasefire agreement with Cambodia. However, the temporary suspension came before a phone call between Thai Prime Minister Anutin Charnvirakul and U.S. President Donald Trump late on Friday, as noted by Thai government spokesperson Siripong Angkasakulkiat.
"Tariff negotiations will continue independently of the border issues," Siripong said, adding that Trump had assured Anutin that the U.S. did not wish to interfere in the Thailand-Cambodia situation under existing bilateral frameworks.
Last month, Washington and Bangkok announced a framework for reciprocal trade, which would see the U.S. maintain a 19% tariff on Thai products while identifying certain items where tariffs could potentially be adjusted or eliminated.
The Thai Foreign Ministry spokesperson, Nikorndej Balankura, said that a letter from the U.S. Trade Representative (USTR) confirming the suspension of talks was received on Friday night. The letter stated that trade negotiations could resume once Thailand reaffirmed its commitment to the ceasefire agreement with Cambodia.
Both sides must finalise the details of the trade deal before it can be signed and take effect.
Following the phone call with the leaders of Thailand and Cambodia on Friday, Trump said he believed the two countries would "be fine". This came after renewed border tensions earlier in the week, with Thailand suspending the ceasefire agreement and demanding an apology from Cambodia over allegations that fresh landmines had been laid, injuring Thai soldiers, claims Cambodia denies.
Trump did not refer to the USTR letter in his conversation, and it was not mentioned on the USTR or White House websites.
In a Facebook post after speaking with Trump, Anutin stated that he had requested a reduction in the 19% tariff on Thai goods. Trump responded that the rate was already low but would consider the request if landmine removal along the Cambodia border was completed swiftly.
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