The US President Pressures the Thai government to Reaffirm Commitment to Cambodian Truce with Tariff Warnings

Washington has exerted influence on Thailand to reaffirm its dedication to a ceasefire agreement with the Cambodian side, indicating that trade negotiations could be suspended as efforts are made to prevent a Donald Trump-brokered peace agreement from collapsing.

Rising Border Hostilities

In recent days, Thai officials announced it was putting on hold the ceasefire deal, alleging Cambodia of planting new explosives along the shared border, including one that allegedly injured a Thai military personnel on duty, who suffered a foot amputation in the explosion.

Since then, a fatality occurred and several others wounded by gunfire along the Thai-Cambodia frontier, sparking fears of a new round of tit-for-tat fighting.

US Trade Pressure

Over the weekend, a representative from Thailand's foreign office told journalists that a letter from the U.S. trade office announcing the suspension of trade deal talks was received on Friday night.

He quoted the document as saying that discussions on trade – which are focusing on a 19 percent American duty – could resume once the Thai government renewed its pledge to implementing the mutual truce agreement.

“Tariff negotiations will continue and remain separate from border issues,” stated another government spokesperson.

Trump’s Tariff Threat

Addressing reporters on Air Force One as he flew to Florida on Friday, Trump implied that he had used the “threat of tariffs” in calls with the south-east Asian leaders.

The US president said, “I stopped a war just today through the use of tariffs, the threat of tariffs,” adding, “they are performing well. I believe they will be okay.”

Truce Deal Origins

Trump oversaw the signing of a ceasefire agreement, held in Malaysia this October, and has touted it as one of several deals around the globe he claims should earn him the Nobel Peace prize.

The most severe clashes in a ten years between military forces of both nations broke out in mid-summer, with gunfire, artillery and airstrikes causing numerous fatalities and hundreds of thousands forced to flee.

Longstanding Border Dispute

The two neighboring countries have a historic territorial disagreement that originates from conflicts regarding colonial-era maps drawn up by the French. Historic shrines along the frontier are disputed by each nation.

Reuters contributed to this report.

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