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Washington has exerted influence on the Thai administration to reaffirm its dedication to a truce deal with the Cambodian side, indicating that trade talks could be paused as efforts are made to stop a Trump-mediated peace agreement from collapsing.

Rising Border Hostilities

In recent days, Thai officials announced it was putting on hold the truce agreement, accusing Cambodia of laying fresh landmines along the shared border, including one that reportedly injured a Thai military personnel on patrol, who lost a foot in the blast.

Since then, one person has been killed and multiple individuals injured by exchanges of fire along the border between the two nations, sparking fears of a fresh wave of tit-for-tat fighting.

American Economic Leverage

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

The spokesperson referenced the document as saying that trade negotiations – which are focusing on a 19 percent American duty – could resume once the Thai government reaffirmed its commitment to implementing the mutual truce agreement.

“Tariff negotiations will continue and remain separate from border issues,” said a different official representative.

President’s Economic Warning

Addressing reporters aboard the presidential plane as he flew to Florida on Friday, Trump implied that he had used the “threat of tariffs” in discussions with the ASEAN nation heads.

The US president said, “Today, I prevented a conflict using tariffs, the menace of duties,” continuing, “they are performing well. I believe they will be okay.”

Ceasefire Agreement Background

Trump oversaw the signing of a peace deal, held in Malaysia this last autumn, and has promoted it as one of multiple agreements around the globe he says should win him the prestigious peace award.

The most severe clashes in a decade between Thai and Cambodian troops erupted in mid-summer, with gunfire, artillery and airstrikes leaving dozens of people killed and 300,000 displaced.

Historic Frontier Conflict

Thailand and Cambodia have a historic territorial disagreement that originates from conflicts regarding maps from the colonial period created by French cartographers. Ancient temples along the frontier are claimed by both sides.

International news agency contributed to this report.