Central European buyers ask a sharper version of this question, because Poland, Czechia and Hungary still have competitive domestic manufacturing. The real comparison is often not import versus Thai production, but Thai production versus local production.
Three options, not two
- Import finished goods from a Thai catalogue supplier — lowest setup cost, least control.
- Dedicated Thai production — 12–25% lower unit cost at volume, tooling investment, 30–40 day transit.
- Local CEE production — highest unit cost on labour-intensive work, but two-week lead times and no ocean freight.
Thailand generally beats CEE production on labour-intensive assembly, injection moulding at scale, stainless fabrication and rubber. CEE usually wins on short-run machining, urgent programmes and anything where a two-week replenishment cycle is worth more than a lower unit price.
Duty and clearance
Thai goods enter the EU at MFN rates regardless of the CEE entry port — 0–6.5% for most industrial goods. Poland's clearance at Gdansk is fast and inexpensive, and Koper (Slovenia) is frequently the cheapest entry for Hungarian, Slovak and Czech destinations with 3–5 days less transit than northern ports.
Freight from Thailand to Central Europe
Laem Chabang to Gdansk runs 30–38 days; to Koper 24–30 days plus rail. Compare the total door cost — a cheaper ocean leg into Rotterdam is often erased by inland trucking to Wroclaw or Katowice.
Break-even maths
A welded steel assembly quoted at EUR 41 in Poland typically quotes at EUR 27–31 FOB Thailand on a dedicated programme with EUR 20,000 of jigs and fixtures. Including freight, duty and inland delivery, break-even lands near 2,500 units per year — noticeably lower than in Western Europe, because the CEE alternative is cheaper than the German or French one.
Working-capital reality
Thailand adds roughly 6–9 weeks of inventory in transit compared with a local supplier. At a 20% unit-cost saving, that carrying cost is usually worth it above 2,500 units; below it, the cash tied up in a container rarely justifies the saving.
Compliance checklist
- CE marking and declaration of conformity in the local language.
- REACH and RoHS files held by the importer of record.
- Packaging and WEEE EPR registration per country — these are national, not EU-wide.
- Correct HS classification and EORI number.
- Material and test certificates specified in the purchase order.
How TUSKO runs it
TUSKO audits and qualifies the Thai factory, owns the quality plan and export paperwork, and sells to you on one purchase order. You keep a single accountable counterparty instead of managing a supplier eight time zones away.
FAQ
Is it cheaper to import finished goods or manufacture in Thailand?
Below roughly 3,000–5,000 units a year, importing stock or lightly customised product usually wins because you avoid tooling, first-article inspection and qualification cost. Above that, a dedicated Thai production programme normally beats it on unit cost, and the gap widens as volume grows.
How long does it take to move from importing to a dedicated production programme?
Plan 12–20 weeks: 1–2 weeks for factory shortlist, 3–4 weeks for audits and quotes, 4–8 weeks for tooling and samples, and 4–6 weeks for first article inspection and pilot run before the first commercial container.
Do we need our own entity in Thailand?
No. Most buyers contract with TUSKO and never register locally. You place one purchase order, receive one invoice, and we carry the supplier relationship, quality accountability and export documentation.
What does TUSKO charge for this?
There is no retainer and no separate sourcing fee. Our margin sits inside the quoted price of each order and is disclosed per case, and the percentage falls as your annual volume rises.
What happens if a shipment fails inspection?
You contract with TUSKO, so we are the accountable party. We manage rework, replacement or credit with the factory directly and keep your delivery plan on track without you negotiating across time zones.