New duties approved on goods imported via e-commerce

The ?cabinet has approved import duties of up to 30% for goods purchased via e-commerce platforms, Finance Minister Ekniti ?Nitithanprapas said ?on Tuesday.

The taxes are expected to take effect next year, said Phantong Loykulnanta, director-general of the Customs Department.

He said the revised collection regime would apply to goods entering Thailand through express delivery services and international post.

Duties on purchases made through e-commerce platforms would follow the applicable customs tariff classifications, with rates not exceeding 30%.

The new collection regime does not violate the terms of a free-trade agreement between Asean and China, he said.

The changes would effectively revoke a Customs Department notification that reduced or exempted import tariffs on goods entering Thailand in parcel form via online platforms. The applicable tariff rates would instead revert to the standard rates for each category.

For example, import tariffs on plastic products would increase from 20% to 30%; headphones and microphones from 10% to 30%; women’s handbags from 20% to 30%; fitness equipment from 10% to 30%; clothing would remain at 30%; jewellery from zero to 30%; and sunglasses from 5% to 30%, among other products.

Price competition

Mr Ekniti said the rapid growth in e-commerce had made foreign goods more accessible to Thai consumers and intensified price competition.

As a result, he said, it was harder for Thai businesses to compete, and the government wanted to ensure that all sellers could compete on a level playing field.

It is ?expected that the tax collection would boost Customs Department revenue by 6.3 billion baht in fiscal 2027, more than doubling from the 4.8 billion collected in fiscal 2026 that ended on Sept 30, Mr Phantong

The measure is aimed at supporting Thai small- ?and medium-sized ?businesses, he added.

The government on Jan 1 this year began collecting 7% value-added tax and customs duties on previously exempt imports valued at less than 1,500 baht to help Thai SMEs.

Some other products that were ?exempt from customs duty would be covered by the new taxes, Mr Phantong said.

Level playing field

Thanawat Malabuppha, honorary president of the Thailand E-Commerce Association, told the Bangkok Post that Thailand’s proposed import tariff rates are expected to be comparable to Indonesia’s and could help level the playing field for domestic businesses.

Cross-border products are currently estimated to account for 10-20% of total sales value on Thailand’s e-commerce platforms.

‘Import duties and taxes should be incorporated directly into product prices on e-commerce platforms to simplify tax collection and avoid placing the responsibility for collecting duties and taxes on logistics providers,’ he said.

The Customs Department said it works directly with major e-commerce platforms and express/postal services to automatically collect and manage taxes at checkout or upon arrival.

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