President Xi Jinping's visit to Southeast Asia aims to leverage the disruption caused by US tariffs to strengthen ties with regional nations. Countries like Vietnam, despite closer relations with the US, experienced significant tariffs under President Trump.
Xi's tour includes Vietnam, Malaysia, and Cambodia. He emphasized strong ties with Indonesia's President Subianto, highlighting historical cooperation. This highlights China's attempts to maintain and expand its influence in the region.
China's trade relations with its neighbors are complex. While China is ASEAN's largest trading partner, many nations seek to diversify, fearing over-reliance on China. Vietnam, for instance, became a manufacturing hub for American companies, provoking higher tariffs from the US under the Trump administration.
The US imposed significant tariffs on several Southeast Asian countries, ranging from 20% to 49%, before suspending them temporarily. China also faced high tariffs, which were later partially suspended by Trump.
China views the US tariffs as disrupting the international trade order and harming global commerce. Xi's visit likely aims to reassure neighbors about potential trade redirection from the US market and offer incentives, such as loans for infrastructure projects.