From February 3rd to February 6th, 2025, the US Department of Agriculture (USDA) led a trade mission for the first time to Bangkok, Thailand, alongside 38 businesses and organizations from the United States.
The trade mission marked a milestone in strengthening US-Thailand trade ties, reinforcing the relationship with one of the United States’ oldest allies in the Indo-Pacific. It also signified the United States' commitment to expanding exports and opening new doors for American trade across Southeast Asia.
Led by Acting Associate Administrator Patrick Packnett of the Foreign Agricultural Service, the mission included representatives from five state departments of agriculture, including North Dakota Agriculture Commissioner Doug Goehring, and officials from Idaho, Tennessee, Pennsylvania, and Wisconsin Departments of Agriculture.
US agribusiness representatives engaged in business-to-business meetings with importers from Thailand and Burma. They also participated in site visits to Thailand’s National Center for Genetic Engineering and Biotechnology (BIOTEC), the local supermarket’s grand opening, and Wondermilk’s Learning Center to learn about Thailand’s feed technology and livestock genetics. The delegates also attended briefings conducted by USDA staff and regional trade experts, providing them with a deeper understanding of local market conditions. With Southeast Asia’s growing demand for high-quality products, Packnett emphasized that the mission aimed to boost exports and foster partnerships that benefit American farmers.
This trade mission coincides with USDA’s expansion into new markets such as South and Southeast Asia, Latin America, the Middle East, and Africa. In October 2023, the Regional Agricultural Promotion Program (RAPP) was launched to diversify US food and agricultural products. The program aims to explore new markets beyond the “go-to” markets, namely Canada, Mexico, China, and the European Union, which have accumulated approximately 60% of the country’s exports.
In 2023, the United States ranked as the fifth-largest supplier of agricultural products to Thailand, exporting $1.2 billion worth of goods. While bulk commodities for feed and food manufacturing dominated US exports, there are significant opportunities for consumer-oriented products. Thailand has the fourth-highest per capita income in the Association of Southeast Asian Nations (ASEAN), with real GDP growth projected at 2.6% in 2024, up from 1.9% in 2022. Its population is 70 million, and there is a growing middle-class demand for imported goods.
Regionally, US agricultural exports to Southeast Asia increased by $4.8 billion between 2012 and 2022, though the market share declined slightly from 11.4% to 11.2% during this period. According to the US Agricultural Exports in Southeast Asia report, the tropical climate in the region is one of the biggest benefactors to soybeans, the most significant agricultural export product from the United States. Soybean exports were valued at $2.28 billion in 2022, while soybean flour and soybean were valued at $850 million and $430 million, respectively. Indonesia (2 million metric tons), Vietnam (670,000 metric tons), Malaysia (437,000 metric tons), and Thailand (390,000 metric tons) are among other countries in the region that have imported the most soybeans from the United States in 2022.
When it comes to soybean tariffs, most countries in Southeast Asia have relatively low most-favored-nation tariffs. Despite being the only country with a high tariff rate, the government of Thailand consistently permits unlimited duty-free soybean imports from World Trade Organization (WTO) member countries due to insufficient domestic production, effectively making soybean exports to Thailand tariff-free.
This trade mission to Thailand is one of the ways the United States market share in these diverse and dynamic markets will bolster the resilience of US exporters against global disruptions while enhancing their competitiveness in an increasingly volatile global economy.
Ashiqin Ariffin is a Spring 2025 Young Professional at the East-West Center in Washington. Ashiqin is currently a second-year Master of Journalism student at the University of British Columbia, Vancouver.