Abstract
The U.S. has imposed tariffs up to 50% on electrical appliances with steel components, impacting Thailand’s exports significantly. These tariffs affect products like refrigerators, dishwashers, and washing machines, with Thai exports totaling USD 153.4 million in 2024. The adjustments are expected to contract Thailand’s exports by 1.9% in 2025 and 2.1% in 2026. Thai manufacturers must adapt by diversifying markets and enhancing technology use, while government support for R&D is crucial for overcoming these challenges and fostering growth in the industry.
Summary
U.S. Tariffs on Electrical Appliances
The United States recently imposed import tariffs of up to 50% on electrical appliances containing steel components. These tariffs come amid rising duties impacting Thailand, which already faces a 10% universal tariff and additional U.S. specific product tariffs. The latest regulations, effective June 23, 2025, broaden the scope to include ten appliance categories such as washing machines and refrigerators, with certain exceptions like the UK and appliances containing U.S.-melted steel.
Impact on Thai Exports
Thailand’s electrical appliance exports are set to face significant hurdles due to these tariffs, affecting five key product categories. In 2024, exports of these appliances to the U.S. reached USD 153.4 million, constituting about 4.1% of Thailand’s total exports in the sector. The expected contraction in exports is alarming, particularly for dishwashers and large washing machines, which heavily rely on the U.S. market.
Need for Strategic Adjustments
To navigate the challenges posed by these tariffs, electrical appliance manufacturers must urgently revise their strategies. This includes reassessing production costs, diversifying markets beyond the U.S., and investing in technology to enhance manufacturing. Additionally, research into alternative materials is essential, alongside government support for innovation. By adapting, Thailand can position itself as a robust player in the electrical appliance industry.
Source : Tracking the U.S. Tariff Domino Effect: From Steel to Electrical Appliances
