US Flags Thailand in China Tariff-Evasion Watchlist

Photo: Reuters

WASHINGTON, August 15, 2026 — Thailand has been named among more than 40 countries and trading partners that the United States considers at high risk of being used as routes for China to evade US tariffs, according to a White House report.

The Trump administration said it would work with US Customs and Border Protection to develop an artificial intelligence system designed to identify potentially illegal transshipment routes, as Washington steps up scrutiny of goods entering the United States.

According to AFP, Thailand was listed alongside India, Japan, South Korea and Vietnam, while the European Union, Taiwan, Mexico and Canada were also among the trading partners identified.

The White House report, titled “The Great Transshipment Scam,” focuses on the practice of routing Chinese-made goods through third countries where they may face lower US tariff rates before being shipped to the American market.

White House trade adviser Peter Navarro said the practice had allowed Chinese exports to be routed through more than 40 countries, describing it as a major challenge for US trade enforcement.

The report said some countries face risks because of legitimate trade flows, while others have close links to China-based supply chains or favourable access to the US market, making them potentially attractive locations for rerouting goods.

Navarro said the administration was working with US Customs and Border Protection on an AI-based “border detection” system that would assess shipments using shipping data, route histories and other information to identify potential transshipment.

Thailand’s inclusion on the list does not itself mean new restrictions have been imposed on Thai exports, but shipments from Thailand could face greater scrutiny over their country of origin, supply-chain documentation and shipping routes.

The issue has become increasingly important as global manufacturers have shifted production away from China following the US-China trade conflict that began during Trump’s first presidency.

Countries including Vietnam have benefited from companies diversifying their supply chains, while Washington has continued to impose broad tariffs on trading partners and maintain higher duties on Chinese imports.