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Washington has exerted influence on Thailand to reaffirm its dedication to a ceasefire agreement with Cambodia, indicating that trade talks could be suspended as attempts are made to stop a Donald Trump-brokered ceasefire arrangement from collapsing.

Border Tensions Escalate

In recent days, Thai officials declared it was suspending the ceasefire deal, alleging Cambodian forces of laying fresh landmines along the shared border, including one that allegedly injured a Thai military personnel on duty, who suffered a foot amputation in the explosion.

Since then, one person has been killed and multiple individuals injured by exchanges of fire along the border between the two nations, raising concerns of a new round of retaliatory clashes.

American Economic Leverage

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

He quoted the document as stating that trade negotiations – which are focusing on a US tariff of 19% – could restart once Thailand renewed its pledge to implementing the mutual truce agreement.

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

President’s Economic Warning

Addressing reporters on Air Force One 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, “I stopped a war just today through the use of tariffs, the threat of tariffs,” adding, “they’re doing great. I think they’re gonna be fine.”

Ceasefire Agreement Background

The President witnessed the finalization of a ceasefire agreement, conducted in Malaysian territory this last autumn, and has promoted it as one of multiple agreements around the globe he claims should earn him the prestigious peace award.

The most severe clashes in a decade between military forces of both nations erupted in July, with exchanges of fire, shelling and aerial attacks leaving dozens of people killed and hundreds of thousands forced to flee.

Longstanding Border Dispute

Thailand and Cambodia have a historic territorial disagreement that originates from disagreements over colonial-era maps created by French cartographers. Historic shrines along the border are claimed by both sides.

Reuters contributed to this report.