Thai rubber exports rank the third place in the world

January 22, 2021

Abstract : From January to November 2020, Thailand saw a rubber export of 10.938 billion US dollars, up 7% from the same period in 2019, and becomes the world's third-largest exporter of rubber products, after China and Germany.

InfoQuest (January 20, 2021) -- Thai exports of rubber products continued to rise during the COVID-19, said Ms. Auramon Supthaweethum, Director of the Department of Trade Negotiations of the Ministry of Commerce of Thailand. From January to November 2020, Thailand saw a rubber export of 10.938 billion US dollars, up 7% from the same period in 2019, and becomes the world's third-largest exporter of rubber products, after China and Germany.

Exports of rubber gloves, synthetic rubber and medical products keep growing, with exports of 2.018 billion US dollars (up 83%), 2.233 billion US dollars (up 17%) and 205 million US dollars (up 2%) respectively.

The Free Trade Agreement (FTA) is one of the factors driving the growth of Thai rubber exports, added Mrs. Auramon. Currently, Thailand is exempted from import duties on all rubber products in 14 FTA partners, including ASEAN countries, Japan, Australia, New Zealand, Peru and Hong Kong, China.

Most Thai rubber products are exempted from import duties in China, South Korea, India and Chile, but there are exceptions. For example, China and South Korea levy a 5% tax on Thai synthetic rubber, India and Chile levy 5% and 1.32% tax on rubber products other than the rubber used in passenger cars (such as rubber bands) respectively, etc. Rubber gloves and medical products are exempted from import duties in the above 18 FTA partners.

From January to November 2020, Thailand exported a total of 4.889 billion US dollars of rubber products to FTA partners, accounting for 45% of Thailand's global rubber exports, up 5% from the same period in 2019.

"Thailand, as the world's largest producer of natural rubber, saw the rising global demand for rubber products, especially those related to the pandemic prevention and control, due to the outbreak of the COVID-19," said Mrs. Auramon.

Thai rubber products enterprises should explore innovative paths to ensure product standards and quality, and improve new product value, and make good use of FTAs to seek more export opportunities and expand foreign markets.

Source: InfoQuest, by Phonnareu/Kasamarporn/Sasithorn, translated by Xinhua Silk Road

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