Xi promotes Asian unity amid escalating U.S. trade tensions
During his trip to Southeast Asia, Chinese President Xi Jinping promoted the idea of an "Asian family" and called for regional unity, as reported by Bloomberg. This initiative is intended as a response to U.S. actions, which, according to The Wall Street Journal, aim to push over 70 countries to commit to isolating Beijing.
Xi's visit occurs at a time when the relatively poorer countries of Southeast Asia face the possibility of their products being subjected to high U.S. tariffs. Vietnam, Malaysia, and Cambodia are expected to face rates of 46%, 24%, and 49%, respectively.
These tariffs, part of U.S. President Donald Trump's "Liberation Day" initiative, have significantly impacted the export-dependent economies of the region. Exports to the U.S. constitute about 30% of Vietnam's GDP and 25% of Cambodia's GDP, highlighting these countries' vulnerability to American trade policy.
According to Bloomberg, Xi Jinping is starting the final leg of his journey as the Trump administration prepares to seek cooperation from trading partners surrounding Beijing. On Tuesday, Xi arrived in Malaysia.
China and Malaysia will stand with countries in the region to combat the undercurrents of geopolitical and bloc-based confrontation, Xi said in the Malaysian capital. "Together we will safeguard the bright prospects of our Asian family."
The Chinese leader urged Malaysia to "resolutely oppose any attempts by external forces to interfere in our internal affairs, sow discord."
The Malaysian Prime Minister, in turn, described China as his country's most important trading partner and a "rational, strong, and reliable" ally. He noted that during geopolitical tensions, China's initiatives offer "new lease on hope." Referring to the current international situation, he commented that "dialogue has yielded to demands, tariffs are imposed without restraint, and the language of cooperation is drowned out by threats and coercion."
"What we are witnessing today is not an honest reckoning with the imperfections of globalization, but a retreat into economic tribalism," assessed Anwar Ibrahim, the Prime Minister of Malaysia.
In the presence of both leaders, 31 memoranda, agreements, and notes were signed, including those pertaining to the modernization of the China-Malaysia "Two Countries, Twin Parks" project.
Will the U.S. strike China again?
Xi Jinping's journey takes place as Beijing faces an escalation of the trade war with the U.S. The U.S. administration intends to leverage ongoing negotiations to persuade trading partners to limit their economic relations with China. According to information obtained by The Wall Street Journal, the White House wants to convince over 70 countries to commit to isolating Beijing.
Both China and the U.S. remain firm in their positions after Trump raised tariffs on Chinese goods to 145%, while Beijing responded with tariffs of about 125% on imports from the U.S.
