Thailand steps up crackdown on cheap imports

Thailand has recorded a decrease of 20% in low-quality imports, mainly from China, since restrictions on cheap imports that hurt business in Southeast Asia's second-largest economy were imposed, government spokesperson Sasikarn Wattanachan said on Monday.

Cheap goods from China are said to have disrupted production and business activities in Thailand, contributing to a slew of factory closures and job loss.

Responding to calls for action from businesses, since July, the Thai government has tightened regulations and increased inspections of cheap imports, focusing on agricultural, consumer and industrial goods.

Thanks to the above-mentioned measures, the value of low-quality goods’ import has decreased sharply, Sasikarn said.

The government also seized THB506 million ($14.97 million) worth of imports including counterfeit goods, shirts, shoes and e-cigarettes, according to official data.

In addition, Thailand began levying a 7% value-added tax (VAT) in July on goods under THB1,500. According to the Finance Ministry, it has so far collected THB707 million.

Sasikarn said the government will roll out more measures to support domestic businesses, including requiring foreign online businesses to incorporate in Thailand and register to pay VAT.