Thailand Gives Online Sellers Freedom to Choose Delivery

Thousands of small online sellers in Thailand are about to get something they've been asking for: the freedom to ship their products however they want.

New guidelines from Thailand's Trade Competition Commission will stop major e-commerce platforms from forcing merchants to use specific delivery companies. The rules target unfair practices that have squeezed both sellers and shipping providers in one of Southeast Asia's fastest-growing online markets.

The guidelines focus squarely on giving sellers control. Platforms can no longer demand that merchants use particular logistics services or ban them from offering better prices on other websites. They also can't collect fees without clear reasons or set prices below cost to push competitors out.

Secretary-General Visanu Vongsinsirikul submitted the final version to the commission board on February 10, and the guidelines should appear in the Royal Gazette next month. The original October 2025 deadline was pushed back to get the details right.

The stakes are huge. Thailand's delivery market alone is worth 117 billion baht (about $3.2 billion), employing thousands of workers across the country. The entire e-commerce sector is projected to reach 1.15 trillion baht ($31 billion) in 2026, growing at a steady 7% despite earlier explosive growth settling down.

Companies that break the rules face serious consequences. Criminal violations like abusing market dominance can result in two years in prison, fines up to 10% of annual revenue, or both. Administrative violations for unfair practices carry fines up to 10% of yearly turnover.

The Ripple Effect

The delivery industry has been bleeding money while trying to compete. KEX Express lost nearly 13 billion baht between 2022 and 2024. Flash Express accumulated losses of 5.3 billion baht from 2018 to 2023. SCG Express shut down entirely at the end of 2024.

Meanwhile, platforms with their own delivery fleets like Shopee's SPX and Lazada Express turned profits while independent couriers struggled. The new rules open doors for smaller logistics companies to compete fairly and give them a real shot at winning business based on service quality rather than platform mandates.

Consumers might not notice immediate changes, but over time they'll benefit from more merchant choices and better service as competition increases. Sellers who can shop around for the best shipping rates can pass those savings along or invest in growing their businesses.

The three giants dominating Thailand's market (Shopee, Lazada, and TikTok Shop) will need to adjust their practices, but the playing field is becoming more fair for everyone who wants to sell online.

Thailand is showing that protecting competition in digital markets can create opportunities for thousands of small businesses trying to build something meaningful.