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The United States has applied pressure on the Thai administration to reaffirm its dedication to a ceasefire agreement with the Cambodian side, warning that trade talks could be paused as efforts are made to stop a Donald Trump-brokered ceasefire arrangement from collapsing.

Rising Border Hostilities

In recent days, Thai officials announced it was putting on hold the ceasefire deal, alleging Cambodia of planting new explosives along the shared border, among them an incident that allegedly wounded a Thai soldier on patrol, who suffered a foot amputation in the explosion.

Following this, one person has been killed and several others wounded by exchanges of fire along the border between the two nations, sparking fears of a fresh wave of tit-for-tat fighting.

American Economic Leverage

On Saturday, a Thai foreign ministry spokesperson informed reporters that a letter from the U.S. trade office declaring the suspension of trade deal talks was obtained on the previous evening.

The spokesperson referenced the document as saying that discussions on trade – which are focusing on a 19 percent American duty – could restart once the Thai government renewed its pledge to implementing the joint ceasefire declaration.

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

President’s Economic Warning

Speaking to the press on Air Force One as he flew to Florida on the end of the week, Trump suggested that he had used the “threat of tariffs” in calls with the ASEAN nation heads.

He stated, “I stopped a war just today through the use of tariffs, the threat of tariffs,” continuing, “they are performing well. I believe they will be okay.”

Ceasefire Agreement Background

Trump oversaw the signing of a peace deal, held in Malaysia this October, and has promoted it as one of several deals around the world he claims should win him the Nobel Peace prize.

The worst fighting in a ten years between military forces of both nations erupted in July, with exchanges of fire, shelling and aerial attacks causing numerous fatalities and hundreds of thousands forced to flee.

Historic Frontier Conflict

Thailand and Cambodia have a longstanding border dispute that originates from disagreements over maps from the colonial period drawn up by the French. Historic shrines along the border are claimed by both sides.

Reuters contributed to this report.