Thai Ecommerce Leaders Seek $100 Floor on Online Imports and Tax Collection at Checkout

A proposed reset for Thailand's online shopping market

Thai ecommerce leaders are calling for a ban on imported products priced below $100 on digital marketplaces and a national customs system that collects taxes when shoppers pay. Their push comes as the Customs Department plans to impose import duty on parcels valued at less than 1,500 baht from January 1, adding another charge to small imports already subject to value added tax.

As of November 6, 2025, the $100 floor and direct connection between platforms and customs are industry proposals. Supporters want the government to use them to protect Thai producers, improve product standards and make the full cost of an imported purchase visible before a buyer places an order.

Pawoot Pongvitayapanu, honorary president of the Thai Ecommerce Association, supports the duty change and wants transparency at every stage of customs processing, together with stricter safety and quality enforcement. Paul Srivorakul, group chief executive of aCommerce, wants platforms to become official tax collectors through a direct link to customs.

Thanawat Malabuppha, also an honorary president of the association, is seeking clear rules for goods passing through free zones and stronger connections between marketplaces and agencies responsible for standards and medical approvals. He forecasts as much as 10 billion baht in new revenue, based on an ecommerce market worth 1 trillion baht.

The proposals reach beyond border taxes. Executives also want limits on platform pricing practices, restrictions on platforms selling their own branded goods and tighter controls on payment systems. They argue that cheap imports, uneven tax collection and fragmented oversight have put compliant Thai sellers at a disadvantage.

Supporters expect some small imported products to become more expensive in the short term. Their case is that clearer taxes and better enforcement would encourage spending on locally made goods, support Thai brands and factories, and increase confidence among buyers and sellers.

How a $100 minimum price would work

Indonesia provides the model for the proposed minimum price. Its ecommerce overhaul set a $100 floor for foreign goods sold online, tightened loopholes in rules for imports of low value and restricted social commerce practices that mixed online content with retail activity.

Indonesian authorities also raised import tariffs on consumer categories including apparel, footwear, cosmetics and electronics. Together, those measures were intended to protect domestic sellers and make platforms and sellers operating across borders meet stronger tax and product requirements.

Thai executives backing a similar floor argue that it would reduce the volume of extremely cheap items sold through digital marketplaces. Their concerns include products that bypass quality checks, lack Thai labeling or arrive with values declared incorrectly.

A minimum price would work differently from a tax. A tax adds a charge to an eligible purchase. The proposed floor would block online sales of imported goods below the threshold. Higher priced imports could continue under stricter compliance rules, while very cheap goods would be directed toward traditional retail channels or replaced by locally sourced products.

Indonesia's experience also points to enforcement problems. Smuggling and incorrect declarations continued, requiring authorities to look beyond large marketplaces to smaller social channels. Clear product definitions were needed to distinguish finished goods from imported materials used by businesses.

Thai agencies considering a similar approach have identified the same risks and the need for data analysis and coordination between regulators. A restriction on major platforms would need to be supported by oversight of the other channels through which imported goods reach buyers.

Why platforms want to collect tax at checkout

Paul Srivorakul's proposal would connect major marketplaces and social commerce operators to a single digital customs gateway. The connection would allow import duty and value added tax to be calculated in real time and collected as part of the purchase payment.

The approach is known as delivery duty paid, or DDP. Under this arrangement, the seller or platform calculates the full landed cost, meaning the cost of getting the item to the buyer with the relevant import charges included. The shopper pays that amount upfront, and the courier delivers without collecting unexpected taxes at the door.

Platforms already hold much of the information needed for that process: payment records, product details and shipping information. Executives argue that making them tax collectors would reduce the administrative burden on customs officers handling millions of small parcels.

A shared system would also create clearer records for audits and reduce opportunities for informal payments during the final stage of delivery. For shoppers, its most immediate benefit would be knowing the total price before clicking buy.

The system would require a reliable database of tariff rates and product classifications, together with a common connection that all major platforms could use. Accurate product information would be central because the duty charged on a parcel depends on what it contains.

What changes for parcels below 1,500 baht

Thailand removed the value added tax exemption for imports of low value in mid 2024. The Customs Department's planned next step is to apply import duty to goods valued at less than 1,500 baht from January 1. Such consignments have often entered without duty, with fragmented oversight contributing to gaps in collection.

Value added tax, usually shortened to VAT, is a broad consumption tax on goods and services. Import duty is a tariff charged on imported goods, with the rate varying by product. Applying both means a small parcel can carry two different tax charges.

The changes and proposals follow this sequence:

• Mid 2024: Thailand removed the VAT exemption for imports of low value.
• November 6, 2025: Industry leaders are pressing for a $100 online import floor, collection of taxes at checkout and stronger platform rules.
• January 1: The Customs Department plans to begin charging import duty on parcels valued below 1,500 baht.

Customs uses a value known as CIF, which combines the cost of the goods, freight and insurance. Insurance is often counted as 1 percent of the item cost. Import duty is calculated by multiplying CIF by the tariff rate for the product.

VAT is then calculated on the combined amount of CIF and import duty. This means that adding duty also increases the amount on which VAT is charged. The combined cost can matter even for an inexpensive parcel, which is why executives want platforms to display it before payment.

Tariff rates are linked to the Harmonized System, or HS, code used to classify a product. Electronics, apparel, cosmetics and food can fall under different duty schedules. Some products also need import permits or approvals, making correct classification part of both tax collection and regulatory checks.

Product approvals and free zones need clearer connections

Cosmetics, supplements, medical devices and food generally require clearance from the Thai Food and Drug Administration. Products that fail to meet Thai Industrial Standards can be stopped, while regulated categories often require labeling in Thai.

Pawoot's call for stricter enforcement therefore extends beyond collecting money at the border. Industry leaders want customs, the national platform regulator, standards bodies and the health regulator to share information more effectively so marketplaces can act on product bans, recalls and approval requirements in real time.

Thanawat is also asking policymakers to clarify how the new duty would apply to goods routed through free zones. These are designated areas used for manufacturing, logistics and other activities where goods receive tax and customs privileges until they enter the domestic market.

If the duty covers all goods of low value entering Thailand for domestic consumption, parcels released from a free zone would need clear treatment. Executives want that treatment spelled out to prevent confusion and abuse of the rules.

Thanawat's estimate of up to 10 billion baht in additional revenue is equivalent to 1 percent of the 1 trillion baht ecommerce market value he cites. The estimate describes the potential scale of new receipts, while the requested clarification concerns how collection would operate for particular shipments.

Platform pricing, own brands and payment systems face scrutiny

Industry leaders want rules addressing the power marketplaces hold over sellers as well as the goods entering Thailand. Their requests include bans on platforms selling their own branded products in competition with independent merchants and tougher controls on prices steered by algorithms.

An algorithm is a set of automated instructions used to make decisions, such as which products appear first or how prices are presented. The concern raised by executives is that platform control over these decisions can affect the ability of sellers to compete.

Executives also want stricter separation between marketplace operations and payment services. They argue that integrated payment systems can lock sellers into particular arrangements or impose hidden fees, especially when combined with preferred logistics services.

The Trade Competition Commission has drafted guidelines aimed at practices that squeeze small sellers. These would bar excessive or coordinated fee increases, prevent platforms from forcing merchants to use a single delivery partner and limit unfair ranking practices linked to advertising spending.

The draft also seeks to stop exploitation of seller data and provide greater transparency about ranking and recommendation systems. Sellers would have more freedom to choose among logistics providers. Officials expect the rules to be finalized after consultation and to carry penalties under competition law.

Those competition measures address a different part of the proposed reset from border taxation. Import charges affect the cost of foreign goods entering the country. Platform conduct rules affect fees, visibility, payments and delivery choices for businesses selling through marketplaces.

What buyers and smaller businesses could gain or lose

Thai consumers could face higher prices for some inexpensive imported items and longer shipping times while systems adjust. Shoppers with low incomes who depend on cheap imports could feel those changes most directly.

Supporters argue that stricter controls would bring safer products, fewer counterfeit listings and better protection for jobs in manufacturing, retail and logistics. Collection at checkout would also make prices more predictable by removing unexpected charges at delivery.

Small and medium sized enterprises could gain relief from predatory pricing and subsidized production models that have squeezed their margins. Executives expect more consistent tax collection and stronger checks on products to give compliant local sellers a more equal basis for competition.

Thai producers could also benefit if the price gap between imported and locally made goods narrows. The proposed $100 floor would go further by restricting which cheap foreign products could be sold through digital marketplaces.

Enforcement remains a practical challenge. Sellers can move shipments through smaller social commerce channels, divide orders into separate parcels to fit thresholds or obscure product details. Authorities are increasing oversight of these tactics.

An enforcement campaign involving several agencies has targeted substandard products, false Thai labeling, nominee company structures and transshipment schemes. Recent actions have removed thousands of illegal listings and secured duty payments on parcels of low value, while investigations into nominee businesses have expanded.

A large digital market faces stronger accountability rules

Thailand has more than 43 million online shoppers. Mobile devices account for most transactions, and orders across borders make up roughly a third of ecommerce trade. Fashion, personal care, electronics and food are leading categories.

Shopee and Lazada anchor a market that also includes domestic retailers, specialist websites for IT and electronics, and rapidly growing social commerce. The breadth of these channels explains why industry leaders want a customs connection and regulatory checks that reach beyond individual marketplaces.

The Digital Platform Services decree gives the Electronic Transactions Development Agency, or ETDA, powers to require information from large platforms, address consumer complaints and suspend operators that fail to comply. ETDA has already received compliance information from well over a thousand platform operators.

Policymakers are preparing further obligations for marketplaces and social platforms whose large transaction volumes give them substantial influence. Proposals include registration as a legal entity in Thailand, detailed operating reports, verification of merchants, clear product displays and a process for reporting and removing unsafe or illegal goods.

Foreign platforms serving Thai users face rising expectations for local accountability. Authorities have signaled that large operators may need a registered office in Thailand and a designated local contact.

Expected reporting would cover transaction values, gross income and subscriber numbers. Platforms reaching a large share of consumers would also need to strengthen checks on illegal listings, verify merchant identities and share data with regulators. The aim is to match the scale of their operations with responsibilities that Thai authorities can enforce.

How businesses selling to Thailand can prepare

Businesses sending goods into Thailand would need accurate product classifications, reliable paperwork and clear prices to operate under the proposed approach. The same information used to calculate taxes would also help determine whether an item requires a permit, approval or specific label.

Practical preparation covers the product, the shipment and the marketplace arrangement:

• Assign the correct HS code to every product and check its applicable tariff rate.
• Check Thai standards and approval requirements, including Thai FDA clearance for cosmetics, supplements, medical devices and food.
• Prepare to collect the full landed cost at checkout under DDP, with shipping and taxes displayed transparently.
• Connect to a customs data system or work with a customs broker to automate duty and VAT calculations.
• Review marketplace payment and logistics policies, including arrangements that restrict the choice of delivery providers.
• Monitor the treatment of goods released from free zones into Thailand's domestic market.
• Audit listings for required Thai language labeling and accurate declarations of value and origin.
• Keep commercial invoices, packing lists, air waybills, certificates of origin and required licenses ready.
• Consider using an importer of record or establishing a local entity as volumes grow and local presence requirements develop.

An importer of record is the party responsible for the import declaration and the associated customs obligations. Using one would be part of arranging responsibility for a shipment, alongside the proposed platform collection of taxes.

Thai ecommerce leaders are pressing for a market in which product checks, customs payments and platform responsibilities operate together. The immediate scheduled change concerns import duty on small parcels; their wider package would also reshape what marketplaces can sell and how they handle buyers and merchants.

The Bottom Line

• Thai ecommerce leaders propose a $100 minimum price for imported goods sold online, following Indonesia's approach.
• The Customs Department plans import duty on parcels below 1,500 baht from January 1, alongside VAT already applied since mid 2024.
• A unified customs gateway would let platforms calculate and collect taxes at checkout, reducing unexpected delivery charges.
• Executives also seek stronger product checks, clear free zone rules and restrictions on platform pricing, own brands and payment practices.
• Thanawat Malabuppha forecasts up to 10 billion baht in new revenue from an ecommerce market worth 1 trillion baht.
• Consumers could pay more for cheap imports, while supporters expect safer goods and fairer competition for Thai businesses.
• ETDA and the competition watchdog are pursuing stronger platform accountability, merchant checks, reporting and logistics choice.
• Businesses selling into Thailand should prepare accurate classifications, compliant products, transparent prices and complete customs documents.