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China-Thailand border transportation - an emerging way of supply chain transfer

17 Feb 2025

By Nick Lung    Photo:CANVA


Due to the trend of supply chain transfer, Thailand's economic rise is the fastest among Southeast Asian countries, and the result is an increasingly stable position as a manufacturing and logistics center. This article will explore the transportation of goods from China to Thailand and further introduce and list the various modes of transportation and relevant regulations involved in the transportation of goods across the China-Thailand border. The following are some important points to note:

 

1. Transport route selection

  •  Road transport: mainly via R3A (China-Laos-Thailand) Highway or Kunming-Bangkok Highway (Kunming-Bangkok), taking into account traffic conditions along the way, border crossing procedures and checkpoint operation time.
  •  Railway transport: The China-Laos railway has been opened, and goods can be transported to Vientiane, Laos and then transferred to Thailand. The railway capacity and transshipment arrangements need to be confirmed.
  •  Sea and air transport: Large-volume goods are suitable for sea transport, while high-value or time-sensitive goods can be transported by air.

 

2. Customs affairs and customs declaration

  • Customs documents:

o Import and export declarations

o Proforma Invoice

o Packing List

o Certificate of Origin (CO)

o Relevant inspection and quarantine certificates (food, agricultural products, chemicals, etc.)

  • Customs clearance time: You need to consider the working hours of border ports, such as Mohan-Mohan Port, Chiang Khong Port, etc. Some ports may affect customs clearance on weekends or holidays.

 

3. Tariffs and import and export regulations

  • Customs Duties and Value Added Tax (VAT):

o To understand the import and export tax rates between China and Thailand, you can check whether the ASEAN–China Free Trade Area (ACFTA) is applicable to your goods.

  • Prohibited and restricted goods:

o Thailand has import controls on some commodities (such as agricultural products, medicines, animal and plant products), and you need to confirm in advance whether they comply with Thailand's import regulations.

o Avoid transporting prohibited items such as illegal drugs, counterfeit goods, etc. to prevent the goods from being seized or fined.

 

4. Logistics and warehousing

  • Cold chain logistics: Perishable foods and fresh products need to be transported using a cold chain to ensure that the appropriate temperature is maintained throughout the entire process.
  • Cargo Insurance: It is recommended to purchase cargo insurance to protect against the risk of damage or loss during transportation.
     

5. Transit and transshipment

  • Laos transit: Most road and rail freight needs to pass through Laos, and Laos’ transit fees and related procedures need to be considered.
  • Transshipment mode: Some goods may need to be transshipped (e.g. road to rail), and transshipment arrangements should be confirmed in advance to avoid affecting timeliness.

 

6. Other

  • Exchange rate and payment: Changes in the exchange rate between the Thai baht and the RMB may affect costs. You can use local banks or third-party payment methods to reduce exchange risk.
  • Political and weather factors: Changes in border policies, epidemic prevention and control measures or weather factors (such as road closures during the rainy season) may affect transportation, so you need to pay attention to the latest information in advance.

 

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