China vs Thailand manufacturing: what US tariffs apply in 2026?

As of October 15, 2026, both China-made and Thailand-made products pay a 12.5% Section 301 duty when they enter the US. It comes from a Section 301 forced-labor action that covers many countries, so it is not a China-only tariff. The real difference is what China pays on top of that. Old China-only duties from 2018 and 2019 still apply to many China-made goods. Thai-made goods do not pay them.

Many numbers you see online are out of date. Figures like 145%, 30% and 19% belong to tariffs that no longer apply. This page covers what applies now.

We run two bases, Shenzhen and Bangkok, so buyers ask us this a lot. We are a factory, not a law firm. Read this as general information, then check your product codes with your customs broker.

What changed in 2026

The earlier “reciprocal” tariffs ended in February 2026. The Supreme Court ruled they were not authorized. A temporary 10% tariff replaced them and ran until July 23, 2026. On July 24 the 12.5% Section 301 duty took its place.

Since July 24, 2026, a Section 301 duty of 12.5% applies to products of China and to products of Thailand. US Customs (CBP) gave the guidance in message CSMS #69326983. The product codes are HTS 9903.05.31 for China and 9903.05.77 for Thailand. You can read the notice on the CBP bulletin.

China vs Thailand at a glance

	China	Thailand
Section 301 duty (2026)	12.5%	12.5%
Older China-only Section 301 duty (since 2018 to 2019)	Yes. 25% or 7.5% on most listed products, depending on the product code	No
Normal duty (MFN)	Yes. Depends on the product code	Yes. Same rate as China, because it depends on the product code
Metal parts (Section 232)	May apply, whatever the country. Check with your broker	May apply, whatever the country. Check with your broker
Typical added duty for a plastic part	Roughly 20% to 37.5% on top of normal duty	12.5% on top of normal duty

“Typical” is the key word. Your part’s exact duty depends on its HTS code. The code decides whether the older China-only duty is 25%, 7.5% or something else. It also decides the normal duty. Ask your broker to confirm both.

How the numbers add up

Take a typical China-made plastic part. It pays the 12.5% Section 301 duty. It also pays the older China-only duty of 25% or 7.5%. That adds up to about 20% or 37.5%, before the normal duty.

A Thai-made version of the same part pays the 12.5% duty and nothing else added. The normal duty is the same for both origins.

That gap is why buyers look at Thailand. It is also why the origin rule below matters so much.

Metal parts

Steel and aluminum parts may face separate Section 232 duties. These can apply no matter which country made the part. Parts covered by Section 232 pay the 232 duty instead of the 12.5% Section 301 duty, and since April 2026 the 232 metal duty applies to the full value of covered products. We do not quote 232 rates here. If your part is metal, or has metal in it, ask your customs broker.

Where US Customs says a part was made

US Customs decides origin by where a product is substantially transformed. That means where it was made into a new article. It does not matter where the product ships from.

So a part molded in China and only packed or lightly assembled in Thailand will generally still count as made in China. Moving a box through Bangkok does not change the origin of what is in it.

Customs actively pursues false origin claims. Do not plan around a shortcut. If your case is a gray one, you can ask CBP for a binding ruling before you ship.

What is made where at Fudakin

We are one company with two bases. Bangkok (Samut Prakan) runs injection molding, storage and assembly. Overmolding, two-shot and CNC machining are in Shenzhen only, so any part that needs those steps is made in China. Your customs broker confirms the origin of the finished product.

Whether a Thailand order is fully made in Thailand depends on the job. Some jobs are fully Thai. Some combine parts from Shenzhen. We work it out per project. We are upfront about where each part is made, so your broker gets the true picture. For more on the Bangkok site, see our Thailand manufacturing page.

If your mold is already in Shenzhen, production can move to Bangkok by moving the mold or by building a second one. It depends on the part. You pay for the mold and you own it. Our Tooling & Minimums page has the cost picture, and What a First Production Run Needs walks through the steps.

To see what these rates do to your own part price, try our free China vs Thailand landed cost calculator.

What could still change

These things are open as of today. We give no numbers, because none are settled.

• A US-Thailand trade deal is not signed.
• A US-China truce was reportedly extended to January 2027, with a list of products for tariff cuts.
• Section 301 actions covering many economies, including Thailand, can be revised.
• 178 product exclusions from the old China-only duties end on November 10, 2026, unless they are extended. If your part uses one of them, its China duty goes up on that date.

Any of these could move the rates. If you are choosing a country for a new program, do not build the whole plan on one number. Check the current rules with your customs broker when you are ready to order.

What to do next

Send us your part and your product codes if you have them. We will tell you which base can make it and which steps must stay in Shenzhen. Get a quote and mention that you want a China vs Thailand comparison.

Tariff rules change often. This page is general information. It is not legal or customs advice. Please confirm the rules for your product codes with your customs broker before you order.