PUBLISHED : 4 Aug 2024 at 07:01
The Revenue Department and the Ministry of Digital Economy and Society (DES) have been directed by Prime Minister Srettha Thavisin to ensure compliance with Thai laws by the new Chinese online retailer Temu, specifically regarding tax obligations.
This directive arises amid concerns from local manufacturers that they may be inadequately protected against an influx of inexpensive Chinese goods facilitated by Temu’s entry into the market.
Temu is expected to draw consumers by offering steep discounts, potentially up to 90% on various products. Such promotional strategies have sparked apprehension about negative impacts on local small and medium-sized enterprises (SMEs).
In response to inquiries about protective measures for local industries, Mr. Srettha emphasized that all businesses operating in Thailand must meet their tax responsibilities and that government agencies must ensure compliance with these regulations.
Highlighting the significance of this issue, the Prime Minister reaffirmed the government’s commitment to safeguarding local SMEs, noting ongoing discussions about implementing stricter import regulations, including the possibility of a value-added tax on imported goods valued under 1,500 baht.
Previously, Pawoot Pongvitayapanu, an industry leader, urged the government to take decisive action against illegal cross-border products and to enforce stricter import standards to create a level playing field for Thai SMEs.
