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Washington has exerted influence on Thailand to recommit to a ceasefire agreement with the Cambodian side, indicating that trade negotiations could be paused as attempts are made to stop a Donald Trump-brokered peace agreement from collapsing.

Border Tensions Escalate

In recent days, Thai officials declared it was putting on hold the ceasefire deal, alleging Cambodia of laying fresh landmines along the mutual frontier, including one that reportedly injured a Thai soldier on patrol, who suffered a foot amputation in the blast.

Following this, a fatality occurred and multiple individuals injured by exchanges of fire along the Thai-Cambodia frontier, sparking fears of a fresh wave of retaliatory clashes.

US Trade Pressure

On Saturday, a Thai foreign ministry spokesperson informed reporters that a letter from the Office of the US Trade Representative announcing the suspension of trade deal talks was received on Friday night.

The spokesperson referenced the letter as stating that trade negotiations – which are focusing on a US tariff of 19% – could resume once the Thai government renewed its pledge to carrying out the joint ceasefire declaration.

“Trade talks are ongoing and distinct from frontier matters,” stated another government spokesperson.

President’s Economic Warning

Speaking to the press aboard the presidential plane as he traveled to the Sunshine State on the end of the week, Trump suggested that he had employed tariff warnings in calls with the south-east Asian leaders.

He stated, “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, conducted in Malaysian territory this October, and has touted it as one of several deals around the world he says should win him the Nobel Peace prize.

The most severe clashes in a ten years between military forces of both nations broke out in July, 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 dates back to conflicts regarding maps from the colonial period drawn up by the French. Ancient temples along the frontier are disputed by each nation.

Reuters contributed to this report.