With the continuous development of e-commerce in Southeast Asia, the industry is gradually shifting from extensive growth to refined operations. Recently, multiple countries in the region have initiated a "tax wave," and Thailand is not an isolated case.
Indonesia led the way in tightening thresholds as early as January 30, 2020, by reducing the duty-free threshold for low-value cross-border parcels from USD 75 to just USD 3. Parcels exceeding USD 3 are now subject to import duties and an 11% VAT, with only goods valued at USD 3 or less enjoying exemption.
Earlier this year, Vietnam introduced new regulations. Starting February 18, low-value imported goods (under 1 million VND, approximately USD 40) entering Vietnam via express channels, including e-commerce parcels, will no longer be exempt from import tax and VAT. Instead, they are subject to the prevailing 10% VAT and applicable customs duties.
Industry insiders point out that Thailand's recent policy adjustment is by no means a temporary measure. The "survival demands" of local businesses are a significant driving force behind these new policies. The underlying logic involves a shift in the competitive rules of cross-border e-commerce: moving from "unregulated growth" to "standardization and quality improvement," and from a cross-border focus to localization.
Simultaneously, the "influx effect" of Chinese goods has acted as a policy catalyst. Against the backdrop of Sino-US trade frictions, a significant number of Chinese sellers have turned to the Southeast Asian market. Thailand's newly appointed Minister of Industry has already listed "addressing the influx of Chinese goods" as a top priority. Coupled with technological upgrades in regulatory measures, such as AI monitoring and warehouse raids, the room for survival for low-cost, volume-oriented business models is continually being squeezed.
