ASEAN leaders look to build trade ties as Trump departs
World leaders meeting in Malaysia will discuss ways to strengthen economic and trade ties in the shadow of looming US tariffs after President Donald Trump left a summit of Southeast Asian countries to continue his tour of the region.
During the first stop of his Asia trip, Trump oversaw the signing of an extended ceasefire agreement between Cambodia and Thailand and four regional trade agreements on Sunday.
The White House said that although none of those framework agreements reduce high U.S. tariffs on Cambodia, Malaysia, Thailand and Vietnam, they leave room for some exemptions.
“Our message to Southeast Asian countries is that the United States is with you 100 percent and we plan to be a strong partner for generations to come,” Trump said on a day when US and Chinese negotiators agreed to pause tariffs in their trade war.
While Trump and Secretary of State Marco Rubio fly to Japan, senior officials from China and leaders from Brazil, Canada, the European Council and the 11-member ASEAN bloc will work to solidify economic partnerships and forge trade deals.
While Chinese officials are expected to push for multilateralism in trade and support regional relations, other US officials are expected to attend the summit after Rubio’s departure.
Also on the cards is a China-backed Regional Comprehensive Economic Partnership summit, which groups the 10 ASEAN members with Australia, Japan, New Zealand and South Korea.
The partnership, the world’s largest trading bloc, covers about 30 percent of global gross domestic product and has been touted by some analysts as a potential buffer against U.S. tariffs.
European Council President Antonio Costa said he met with Chinese Premier Li Qiang and conveyed his strong concerns about Beijing’s expansion of export controls on critical raw materials.
“I called on him to restore fluid, reliable and predictable supply chains as soon as possible,” Costa said after the meeting, adding that Russia had asked for China’s help in its efforts to end its war in Ukraine.
Rare earth magnets and minerals have been a major sticking point in Beijing’s trade war with Washington; China is using its control over 90 percent of global supply as leverage to fight U.S. tariffs.
Brazilian President Luiz Inacio Lula da Silva said his meeting with Trump on Sunday “guaranteed” a more positive trade deal.
The United States imposed a 50 percent tariff on Brazilian products in retaliation for former President Jair Bolsonaro’s fine.
“I told him that it is extremely important to take into account Brazil’s experience as the largest country in South America and the most economically important country that borders almost all of South America,” Lula said Monday.
The Association of Southeast Asian Nations (ASEAN) groups Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, East Timor and Vietnam.
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