Thailand-Japan JTEPA Review and Car Tax Negotiations

Thansettakij•Economy•6d ago

Reader Briefing

Thailand and Japan are preparing to review the JTEPA agreement in 2027, with Japan requesting a review of automotive import duties.

•The Thailand-Japan Economic Partnership Agreement (JTEPA) is scheduled for a full review in 2027.
•Japan has requested Thailand to review import duty rates for automotive products.
•Thailand is currently negotiating a bilateral FTA with South Korea, starting in 2024.
•Thailand and Japan have held three meetings of the Sub-committee on General Review.

•Thailand has had the Japan Economic Partnership Agreement (JTEPA) since 2007 to reduce or eliminate customs duties and promote investment.
•The next scheduled full review of the JTEPA agreement will occur in 2027.
•Japan has made requests for Thailand to review import duty rates for automotive products.
•Thailand has proposed to Japan several times to conduct reviews before the 2027 deadline to discuss mutually beneficial issues in advance.
•Under JTEPA, Thailand's duties are 0% for tractors and transport vehicles, while passenger cars range from 0% for ambulances to 60% for engines over 3,000 CC.
•Japan currently applies a 0% import duty on all types of cars imported from Thailand.
•Thailand is negotiating a bilateral FTA with South Korea, having completed 7 rounds of talks since 2024.
•Japan is coordinating with the ASEAN Secretariat to set a date for detailed discussions on upgrading the ASEAN-Japan Comprehensive Economic Partnership (AJCEP).

Full article content is available on the original source.

Department of Trade Negotiations(กรมเจรจาการค้าระหว่างประเทศ)

The agency reporting on FTA status and negotiations between Thailand, Japan, and South Korea.

ASEAN Secretariat(สำนักเลขาธิการอาเซียน)

The body Japan is coordinating with to determine the date for detailed AJCEP discussions.

Automotive and Parts Association(สมาคมยานยนต์และชิ้นส่วน)

A sector that Thailand is consulting with regarding automotive FTA negotiations.

Japan(ญี่ปุ่น)ℹ️

A country with existing FTA agreements with Thailand and ASEAN and a party requesting automotive tax reviews.

Thailand(ไทย)ℹ️

A country negotiating and reviewing FTAs with Japan and South Korea.

South Korea(เกาหลี)ℹ️

A country negotiating a bilateral FTA with Thailand since 2024 with interests in electric vehicles.

The Thailand-Japan Economic Partnership Agreement established in 2007.

AKFTA

The ASEAN-Korea Free Trade Area established since 2010.

AJCEP

The ASEAN-Japan Comprehensive Economic Partnership agreement.