"Trump" He announces a series of trade agreements in Asia to strengthen American influence ahead of his meeting with the Chinese President

US President Donald Trump unveiled a group of new trade agreements during the first day of his Asian tour, in a move aimed at securing the United States’ supplies of vital minerals and opening new markets for American agricultural products, before his upcoming meeting with Chinese President Xi Jinping.

 

Trump said in his speech before the Association of Southeast Asian Nations summit. "ASEAN" In Kuala Lumpur, today, Sunday, “My message to the countries of Southeast Asia is that the United States is with you 100%, and we seek to be a strong partner and friend for generations to come,” according to what was reported by “Bloomberg” agency.

The agreements included customs exemptions on major exports from Thailand, Cambodia, Vietnam and Malaysia, in exchange for opening these markets to American goods. Trump also expressed during his meeting with Brazilian President Luiz Inacio Lula da Silva his optimism in the possibility of quickly reaching a trade agreement between the two countries, at a time when Brazil is seeking to reduce the duties imposed by 50% on many… Of its exports.

The White House hopes that these framework agreements, which are expected to enter into force in the coming weeks, will give Trump a strong negotiating push before his meeting with Xi Jinping in South Korea at the end of this week, as these moves come after Beijing announced a halt to purchasing American soybeans and imposing new restrictions on exports of vital minerals, which angered Trump and threatened With a new escalation in the trade war between the two countries.

Despite the strategic nature of these agreements, the details that were announced were limited, making it difficult to estimate their actual impact, and despite the countries concerned’ pledge to reduce fees and regulatory barriers to American goods, the size of the exemptions they will receive in return from the United States has not yet been decided, nor whether they will include major sectors such as electronics and textiles. With tariff reductions.

Peter Mumford, an analyst at the Eurasia Group, said: For political consulting, these agreements “represent a step in the right direction, but they are still very vague,” pointing to the absence of clear legal obligations regarding rules of origin, sectoral fees, and transit transport controls.

Southeast Asian countries have now become a major supplier of American goods, surpassing China in terms of the volume of exports to the United States, which gives these The agreements are of great economic importance, especially with the rise of Vietnam as one of Washington’s largest trading partners in the region.

The agreement with Cambodia stipulated the cancellation of all Cambodian duties on American imports of food, agricultural and industrial products, in exchange for exempting hundreds of Cambodian goods from the 19% duties previously imposed by Trump. Cambodian Deputy Prime Minister Son Chanthol said that his country "Delighted with the agreement" But it hopes to also reduce duties on exports of textiles, shoes, and bags, which are sectors that represent more than half of Cambodia’s exports.

As for the agreement with Thailand, it stipulates the abolition of customs barriers on 99% of American goods, including industrial, food, and agricultural products, provided that the United States will later determine the list of Thai goods exempt from its reciprocal duties, as has been done. Signing an agreement on vital minerals that gives American companies priority in accessing rare metals used in advanced industries such as semiconductors and aircraft engines, although the details of the agreement are still limited in light of China’s control of about 70% of the global rare metals market.

Trump also signed two additional agreements with Malaysia and Vietnam that give preference to American agricultural and industrial products, in exchange for customs exemptions. Partially on Malaysian and Vietnamese exports, which currently face mutual duties amounting to 19% and 20%, respectively. The most prominent of these deals was the agreement on cooperation in the field of rare earth minerals with Malaysia, which seeks to expand its capabilities in refining these vital minerals in cooperation with both Washington and Beijing.

These moves come as Trump faces increasing pressure from China ahead of his meeting with President Xi, In March, Beijing imposed retaliatory tariffs on American agricultural goods, effectively halting its imports of soybeans before the harvest season. Last year, China had purchased $13 billion worth of American soybeans, or about a fifth of American production, causing major losses to farmers who represent a major electoral base for the American president.

Trump’s political impasse deepened recently after China signed an agreement of intent with Argentina to buy soybeans, corn, and vegetable oils worth $900 million, at a time when Washington offered Buenos Aires a support package worth $40 billion.

At the same time, competition between Washington and Beijing in the field of rare earths has escalated, after China reduced its exports of them in response to the American restrictions imposed on its companies, and in an attempt to confront this, Trump is seeking to build a supply chain. An alternative agreement in cooperation with his allies, as early this month he signed a similar agreement with Australia worth $8.5 billion, and intends to sign another with Japan in the coming days.

Despite these moves, economic experts doubt the ability of the new deals to bring about a fundamental change in the US trade balance, especially if negotiations with China fail, and Trump hinted at the possibility of re-imposing duties on Canada after broadcasting an announcement. TV criticizes his trade policies.

For his part, US Treasury Secretary Scott Besent said that the recent talks between Washington and Beijing were “constructive, comprehensive, and deep,” and included issues of agriculture and the “Tik Tok” application. Combating fentanyl, rare metals, and general trade relations, adding that these discussions “pave the way for the two leaders to meet in a positive and optimistic framework.”  

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