Xi's Southeast Asia Tour Bolsters Regional Ties Amid Escalating US Tariff War
Chinese President Xi Jinping's strategic diplomatic tour through Vietnam, Malaysia, and Cambodia underscores Beijing's push to strengthen regional alliances and present China as a stable trading partner in Southeast Asia, as nations grapple with unprecedented US tariffs that threaten to reshape global supply chains.
Xi Signs Dozens of Trade Agreements to Counter US Tariff Pressure
President Xi Jinping's carefully orchestrated Southeast Asian tour began with a high-profile visit to Vietnam, where he signed nearly four dozen cooperation deals with Vietnamese leader To Lam. The agreements, aimed at enhancing supply chains, improving customs inspections, and fostering railway cooperation, come as both nations face steep US tariffs—145% for China and 46% for Vietnam Fox Business1.
"We must firmly safeguard the multilateral trading system, maintain the stability of the global industrial and supply chains," Xi wrote in Vietnam's state-run newspaper Nhan Dan, directly addressing the economic instability created by recent US trade actions NBC News2.
The Vietnam visit was strategically significant, given the country's vulnerability to US tariffs as the sixth-largest source of US imports, with roughly a third of its GDP reliant on trade with America. Their joint statement emphasized support for maintaining a "multilateral trade regime" while opposing "hegemony, power politics, and unilateralism" Reuters3.
In Malaysia, the second stop on his tour, Xi witnessed the exchange of 31 agreements with Malaysian Prime Minister Anwar Ibrahim. These included memorandums on services and trade, and the continued development of two industrial parks Reuters4.
Xi's visit to Malaysia was particularly significant as the country currently chairs the 10-member Association of Southeast Asian Nations (ASEAN), positioning it as a key player in discussions about a potential China-ASEAN free trade agreement AP News5.
Global Reactions to China's Regional Diplomatic Push
US President Donald Trump has sharply criticized the partnerships being forged during Xi's tour, suggesting that the meetings between Chinese and Vietnamese leaders were about "trying to figure out how to screw the United States of America" Fox Business1.
The White House has amended some tariffs, keeping fees on smartphones and computer equipment at 20%, though Trump has indicated that new tariffs on semiconductors are forthcoming Fox Business1.
Regional reactions have been mixed. Countries like Japan and South Korea, facing tariffs of 24% and 25% respectively, have deployed trade envoys to address the situation. The South Korean Foreign Ministry emphasized that bilateral dialogue with the US remains the most effective approach to resolving tariff issues NBC News2.
Meanwhile, Malaysia's Prime Minister Anwar Ibrahim has welcomed Xi's visit, with the Chinese President expressing that he hopes to usher in another "50 golden years" in China-Malaysia relations Channel News Asia6.
Expert Insights on China's Strategic Approach
International experts view Xi's diplomatic tour as a calculated response to US trade policies and an opportunity to reshape regional dynamics.
Steve Tsang, director of the China Institute at SOAS, University of London, observed that "the Chinese leader happily sees Donald Trump destroying, undermining, discrediting... deliberate international order," making it easier for Xi "to push for the transformation of the international order" NBC News2.
Wang Dong from Peking University's Institute for Global Cooperation noted that the "bullying and cruel manner" in which the Trump administration implemented its tariffs has pushed US allies and partners closer to Beijing NBC News2.
Kerry Brown from King's College London highlighted the pragmatic reality for many nations: "China is still practically a power you have to deal with," despite differences in political values NBC News2.
These assessments suggest that China's diplomatic strategy is not merely reactive but aims to fundamentally alter regional alignments in its favor.
Future Implications for Global Trade and Geopolitics
Xi's Southeast Asian tour could have lasting implications for global trade and geopolitical relationships, potentially accelerating shifts already underway.
The intensifying trade conflict between the US and China has created opportunities for Beijing to position itself as a more reliable partner for regional economies. As China works to strengthen ties with ASEAN nations, it is effectively building a counterweight to US influence in the region Reuters4.
Vietnam, caught in the crossfire, is reportedly hoping to negotiate a reduction in US tariffs to the 22-28% range while simultaneously tightening controls on some China trade under US pressure Business Times7.
The agreements on railway cooperation between China and Vietnam also point to potential long-term infrastructure integration that could cement economic ties regardless of US policy fluctuations Reuters8.
Meanwhile, China's holding of over $700 billion in US government bonds serves as significant leverage in the ongoing trade disputes, with potential implications for America's ability to finance its debt NBC News2.
The European Union is also recalibrating its approach, reviving negotiations on tariffs imposed on Chinese-made vehicles, suggesting a broader realignment away from strict US trade policies NBC News2.
As Xi's diplomatic offensive unfolds against the backdrop of an increasingly fragmented global trading environment, will his vision of a China-centered multilateral trade system prevail, or will the US manage to rally allies to maintain its economic leadership in the Asia-Pacific region?### China's Xi Strengthens Southeast Asia Ties as US Tariff War Escalates
