Thailand had a surplus last year of US$35.4 billion with the US, according to the commerce ministry, which has cited challenges to growing exports, a key driver of Thailand’s economy, due to President Donald Trump’s uncertain trade policies.

The US was Thailand’s largest export market last year, accounting for 18.3% of total shipments, or US$54.96 billion.

“Under the leadership of president Trump, the US will have trade policies such as tariffs that may have a negative impact on Thai agriculture exports, and other products such as electronics,” government spokesman Jirayu Houngsub said.

“A working group on US trade was created in January to plan Thai trade policies with the US,” Jirayu said.

“The group would urgently summarise pros and cons for trade and investment negotiations,” he added.

Thailand’s investment board is planning to attract foreign investment in semiconductors, printed circuit boards and electronics, amid a renewed US-China trade war.

It is targeting around ฿500 billion (US$14 billion) in new investments in semiconductors by 2029.

Trump last month signed a broad trade memorandum ordering federal agencies to complete comprehensive reviews of a range of trade issues by April 1, including analyses of persistent US trade deficits.

Thailand plans to try to narrow its trade gap with the US by importing 1 million tonnes of ethane in the second quarter (Q2) this year.

Thai commerce minister Pichai Naripthaphan said that after discussions with US companies in Washington earlier this month, there was a positive view on Thailand.

“The private sector sees Thailand as an important ally and production base,” he said, adding that he invited US companies to invest in the Thai pharmaceuticals, energy, digital, and agricultural industries.