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Thailand’s perceptions on new U.S. tariffs: What are people thinking?
When news broke about the new U.S. tariffs on imports from Thailand, it didn’t take long for public opinion to form. Known for its robust economy and dynamic industries, Thailand is no stranger to global trade shifts. But the tariffs brought fresh waves of concern across the country. We recently surveyed over 1,000 Thai citizens, and our data reveals a range of emotions, from cautious curiosity to genuine anxiety. Here’s a deeper dive into how these tariffs are affecting the thoughts and behaviors of the Thai population.
Awareness: The tariffs aren’t a secret
The majority of Thais are aware of the tariffs- 73% of those surveyed had heard about them before taking the survey. However, younger people seem to be less informed, with only 67% of those aged 16-24 knowing about the tariffs, compared to 82% of individuals aged 55 and older. This shows that the older generation, perhaps more attuned to the economic impact of international policies, is keeping a closer watch on such developments.
For younger people, the tariffs might have felt like just another headline, but for their elders, they represent a potential threat to Thailand’s economic stability.
Concerns: A growing worry about daily life
When asked how much the tariffs concerned them, the majority of people expressed at least some level of concern. 57% said they were somewhat worried, and 18% said they were very concerned. Only 1% felt they weren’t concerned at all, and just 3% were not very concerned.
Despite the differences in awareness, the emotional response was relatively similar across age groups. It seems that the tariffs aren’t just a distant concern, they’re something that could affect people’s everyday lives.
Economic impact: A pessimistic outlook
Respondents were overwhelmingly pessimistic about the impact of these tariffs on Thailand’s economy. 93% of those surveyed believed the tariffs would have a negative impact, with more than half (55%) predicting it would be significant.
Thailand’s close trade relationship with the U.S. makes these tariffs particularly worrisome, with many fearing that the country’s economy will bear the brunt. Regardless of age or gender, the sentiment is clear: these tariffs are likely to hurt, and there’s not much confidence that the government will be able to avoid the fallout.
Rising prices: The hidden cost
The fear of rising prices was also palpable. 91% of respondents believed the tariffs would lead to higher costs of goods. Among them, 53% expected the increase to be significant. This aligns with the broader concern that inflation may rise, making daily essentials even harder to afford.
The younger generation, especially those aged 16-24, were more likely to express worry about food and beverage prices, with 45% expecting those costs to spike. For many, this added financial strain is a growing concern.
Adjusting spending habits: Going local
In response to potential price hikes, many Thais are already thinking about how to adjust their spending. A significant 51% of respondents said they would be buying more locally produced goods as an alternative to pricier imported products. This shift toward local products was especially strong among older generations (45+), who seemed more likely to support domestic industries.
Younger people, however, were more inclined to simply buy fewer imported goods, rather than shifting toward local alternatives. It’s a sign that while the idea of going local resonates with many, not everyone is ready to embrace it wholeheartedly.
Which products will feel the heat?
When asked which types of products would be most affected by the tariffs, electronics (68%), automobiles (54%), and household items (47%) topped the list. Food and beverages (39%) were also a concern for many, with younger people (16-24) particularly worried about food costs.
As expected, the tariffs seem to be causing more apprehension around higher-end goods like electronics and cars, but the everyday essentials like food are also firmly on the radar.
The local advantage: Will tariffs make us go local?
One interesting aspect of this situation is how it’s pushing people to support local businesses. A significant 93% of people said they would be more likely to purchase locally made products in response to the tariffs, with 45% saying they would "definitely" do so. This shift is especially evident among older generations, who seem to be embracing the idea of supporting local businesses in the face of rising prices.
It’s an encouraging sign for domestic manufacturers in Thailand, who may see an uptick in demand as people turn away from imported goods.
What should businesses do?
When it comes to how businesses should respond, 49% of Thais expect businesses to offer more discounts or promotions to help offset the impact of the tariffs. Only 20% thought businesses would simply raise their prices, and 17% believed they might reduce product quality to maintain margins.
It’s clear that consumers are looking for businesses to shoulder some of the burden of the tariffs. People want to see companies step up with deals and discounts, rather than passing the costs onto customers.
Government response: Mixed confidence
Finally, the question of how the Thai government will handle the economic fallout from the tariffs is a source of uncertainty. Only 6% of respondents expressed “very confident” views about the government’s ability to manage the situation, while 41% were “not very confident,” and 27% were unsure.
Despite the uncertainty, many people support the idea of reducing reliance on U.S. imports by bolstering domestic industries (49%), while 41% think Thailand should negotiate new trade agreements to reduce the tariffs' impact. However, only 11% believed retaliatory tariffs would be an effective solution.
The bottom line
The tariffs have created a sense of concern and cautious optimism among Thais. While there is widespread awareness of the economic implications, the majority of the population feels uncertain about the future. People are adjusting their buying habits, turning to local alternatives to avoid rising prices, and hoping that businesses will find ways to keep costs down. With a mix of concern and pragmatism, Thailand’s population is preparing for the potential impact, while also showing resilience in the face of global economic challenges.
