We calculate thermal corrections to the non-linear QED effective actio
n for low-energy photon interactions in a background electromagnetic f
ield, The high-temperature expansion shows that at T much greater than
in the vacuum contribution is exactly cancelled to all orders in the
external field except for a non-trivial two-point function contributio
n. The high-temperature expansion derived reveals a remarkable cancell
ation of infrared sensitive contributions. As a result photon-splittin
g in the presence of a magnetic field is suppressed in the presence of
an electron-positron QED-plasma at very high temperatures. In a cold
and dense plasma a similar suppression takes place. At the same time C
ompton scattering dominates for weak fields and the suppression is rar
ely important in physical situations. (C) 1998 Elsevier Science B.V. A
ll rights reserved.