Krungthai COMPASS reports China became Thailand's top cosmetics import source in H1 2026, with a 24% share and imports from China up 39.8% year on year. In 2025 Thai cosmetics imports from China reached about 5.38 billion baht (+34.3%) while total cosmetics imports fell 7.4%. ASEAN is about 38% of Thai cosmetics exports, so Chinese brands now compete in both the home and export markets. For a Thai beauty SME, the article points to three levers: faster product development, using consumer data and social-commerce signals, and building proof-backed differentiation (Thai herbs, OEM/ODM strength) rather than competing on price.