Thai Satay Sauce

Rich and creamy and oozing with peanut flavor, the Thai satay sauce known as Nam Jim Sate is so good that you'll want to use it on everything! This peanut sauce is made with coconut milk and peanut butter to ensure maximum creaminess.

The peanut sauce that accompanies Thai satay is known as "nam jim sate". In Thai, "nam jim" translates to dipping sauce, and "sate" is, well, satay. This phrase therefore translates directly to "satay dipping sauce". It is a sauce that is specifically used for satay, and is not normally served with other Thai dishes.

In Thailand, this dipping sauce is made by cooking red curry paste with coconut milk, then adding crushed roasted peanuts, tamarind paste, fish sauce, and palm sugar to taste. It does not contain hoisin sauce, rice vinegar, sesame oil, or other ingredients that may be found in peanut dipping sauces from other cuisines.

The recipe below is our "easy" version of Thai satay sauce with coconut milk. It utilizes ingredients that may already be in your pantry (vinegar instead of tamarind paste, white sugar instead of palm sugar, and peanut butter instead of roasted peanuts). This recipe also uses roasted chili paste rather than red curry paste. This results in a peanut sauce that is not too spicy, making it perfect for kids.

Why You'll Love This Thai Satay Sauce

• Deliciously Creamy and Peanuty: This Thai satay sauce is irresistibly rich and smooth, thanks to the combination of coconut milk and peanut butter.
• Uses Easy-to-Find Ingredients: This version of Thai satay sauce is made with pantry staples you likely already have on hand. Peanut butter, coconut milk, white sugar, vinegar, and fish sauce come together to create an authentic-tasting peanut sauce.
• Kid-Friendly: This easy Thai peanut sauce is mild in spice, making it perfect for kids and those who prefer a more subtle heat. By using roasted chili paste instead of red curry paste, this version keeps the flavor complex without being overly spicy.
• Quick and Easy to Make: With just a few simple steps, you can whip up this flavorful sauce in minutes—perfect for busy weeknights or last-minute meals.

Ingredients

Our easy version of Thai satay sauce contains the following ingredients. Please see recipe card for specific amounts.

• Coconut milk: Canned unsweetened coconut milk works best. Be sure to shake the can before use.
• Roasted chili paste: Known as "nam prik pao" in Thai, this chili paste is a savory, sweet, slightly spicy paste made from roasted chilis, garlic, shallots, and dried shrimp.
• Peanut butter: Crunchy natural peanut butter is best, as it most closely represents the roasted peanuts that are in the traditional recipe.
• Sugar: White granulated sugar works well. If you have palm sugar and feel so inclined, you can substitute it.
• Fish sauce: Fish sauce provides the saltiness for this recipe.
• White vinegar: Vinegar is used for a bit of tang, to cut the creamy coconut milk and peanut butter. White vinegar, not rice vinegar or cider vinegar, works best.

How to Make Thai Satay Sauce

This recipe for Thai satay sauce comes together within a matter of minutes. You can easily cook it while your satay is on the grill.

Step 1: Start by cooking the coconut milk and roasted chili paste in a small saucepan.

Step 2: Add the rest of the ingredients and allow to simmer until slightly thick.

Step 3: Transfer to serving dish and top with chopped, roasted peanuts.

Step 4: Serve with Thai chicken satay and the Thai cucumber relish known as Ajaad.

Substitutions

We prefer this easy version of Thai peanut sauce to be made with Thai roasted chili paste, known as nam prik pao in Thai. It has a nice round flavor with a hint of spice. Red curry paste is bolder, and definitely more spicy. If you prefer a more robust spice to your peanut sauce, you can definitely substitute the roasted chili paste with red curry paste. This is, after all, how the sauce is usually made in Thailand.

Storage

You can store this satay sauce in the refrigerator for several days. When you're ready to eat it, just heat it up in a saucepan on the stove or in the microwave. You may need to add a bit of water to re-establish the right consistency.

Thai Satay Sauce FAQs