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The United States has applied pressure on Thailand to recommit to a truce deal with the Cambodian side, warning that trade negotiations could be paused as attempts are made to stop a Trump-mediated peace agreement from collapsing.

Border Tensions Escalate

In recent days, Thailand declared it was putting on hold the ceasefire deal, accusing Cambodian forces of planting new explosives along the mutual frontier, among them an incident that allegedly wounded a Thai military personnel on patrol, who lost a foot in the explosion.

Since then, a fatality occurred and multiple individuals injured by gunfire along the border between the two nations, sparking fears of a fresh wave of tit-for-tat fighting.

US Trade Pressure

Over the weekend, a representative from Thailand's foreign office informed reporters that a official communication from the Office of the US Trade Representative announcing the suspension of trade deal talks was obtained on Friday night.

The spokesperson referenced the letter as saying that discussions on trade – which are addressing a US tariff of 19% – could resume once Thailand reaffirmed its commitment to carrying out the mutual truce agreement.

“Trade talks are ongoing and distinct from frontier matters,” stated a different official representative.

Trump’s Tariff Threat

Speaking to the press on Air Force One as he traveled to the Sunshine State on Friday, Trump suggested that he had employed tariff warnings in calls with the ASEAN nation heads.

The US president said, “Today, I prevented a conflict using tariffs, the menace of duties,” adding, “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 last autumn, and has promoted it as one of several deals around the world he claims should win him the Nobel Peace prize.

The most severe clashes in a decade between Thai and Cambodian troops 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 longstanding border dispute that dates back to disagreements over maps from the colonial period created by French cartographers. Ancient temples along the border are disputed by each nation.

Reuters contributed to this report.