🇹🇭 Thailand vs 🇮🇩 Indonesia Tariffs — Import Duty Comparison (2026)

🇹🇭

Thailand

Section 122 Rate10%

Section 301N/A

Section 232 (Metals)50%

Trade AgreementNone

Trade Volume$60B

Base Effective Rate10%

🇮🇩

Indonesia

Section 122 Rate10%

Section 301N/A

Section 232 (Metals)50%

Trade AgreementNone

Trade Volume$38B

Base Effective Rate10%

Product Overlap

Both countries export these product categories to the US:

MachineryRubber

🇹🇭 Thailand Advantages

+Higher US trade volume ($60B vs $38B)
+Unique export categories: Computers, Precious stones, Auto parts

🇮🇩 Indonesia Advantages

+Unique export categories: Palm oil, Textiles, Footwear

When choosing between Thailand and Indonesia as import sources, US businesses must weigh tariff rates, trade agreements, product availability, and supply chain logistics.

Both countries face the same base tariff rate of 10% on most goods entering the United States.

Both countries export Machinery, Rubber to the United States, creating direct competition in these sectors.

In terms of trade volume, Thailand accounts for approximately $60B in bilateral trade with the US, exceeding Indonesia's $38B.

Both countries are subject to the 10% Section 122 tariff imposed on February 24, 2026, following the Supreme Court's ruling striking down IEEPA tariffs. This rate expires approximately July 24, 2026 unless Congress extends it.

Thailand's advantages include: Higher US trade volume ($60B vs $38B); Unique export categories: Computers, Precious stones, Auto parts. Indonesia's advantages include: Unique export categories: Palm oil, Textiles, Footwear.

With equivalent base tariff rates, the choice between Thailand and Indonesia depends primarily on product-specific duties, shipping costs, lead times, and supply chain considerations rather than the base tariff rate.

Frequently Asked Questions

Which has lower tariffs — Thailand or Indonesia?

Both countries face the same base Section 122 tariff of 10%. The difference comes from product-specific duties, Section 301 (China only), and Section 232 (metals).

Should I switch sourcing from Thailand to Indonesia?

The decision depends on more than tariff rates. Consider total landed cost (shipping, insurance, customs fees), lead times, quality standards, minimum order quantities, and supply chain reliability. With equivalent base rates, focus on non-tariff factors.

Do both Thailand and Indonesia face the same Section 122 tariff?

Yes, both countries are subject to the 10% Section 122 tariff imposed on February 24, 2026. This flat rate replaced the variable IEEPA tariffs struck down by the Supreme Court. It expires approximately July 24, 2026.

What products overlap between Thailand and Indonesia exports to the US?

Both countries export Machinery, Rubber to the US. Thailand has total bilateral trade of ~$60B while Indonesia has ~$38B.