Mind over tariffs
Re: "Call for new tariffs on Chinese goods", (Business, Aug 8).
Imposing tariffs on Chinese goods to protect Thai factories from cheaper Chinese items of equal quality is likely to inflict net long-run harm on Thai consumers and shouldn't be done.
We'll be hit with a double blow: importers will pass on the tariffs to their customers, and China would probably retaliate with tariffs on Thai goods. China is our largest trade partner, accounting for 13.7% of Thai exports in 2021. Our exports to China have risen at an amazing annualised 75.4% from $1.82bn in 2017 to $30.2bn in 2022. China's the largest market for our agricultural products, accounting for 41.92% of our total farm exports in 2023. We levy tariffs on their goods at our peril.
So, what to do? We can diversify into new markets and develop new products, adding value where we have a competitive advantage. We should raise our quality standards and develop new distribution channels, such as online.
Almost two-thirds (64.7%) of youth and adults in Thailand -- including farmers, can barely read and understand short texts to solve a simple problem such as following medical instructions -- the result of decades of deliberately ignoring our education system. To sustainably compete, we must thoroughly reform our education/training systems so that our youth follow Albert Einstein, who noted that "Education is not the learning of facts, but the training of the mind to think."