Thai PM says no longer cares about Trump's tariffs, rips apart truce in blow to Anwar's Asean chairmanship

Thailand has threatened to tear up the ceasefire agreement with Cambodia, which was signed amid much fanfare in Malaysia in the presence of Donald Trump last month, dealing another blow to Prime Minister Anwar Ibrahim who is already facing growing criticism of his Asean chairmanship for accommodating the US president's wish to be feted a peacemaker.

The US has dangled lower tariffs as a condition for the ceasefire to last, but Thai Prime Minister Anutin Charnvirakul said he "no longer cares" about Trump's threat to revert to higher tariffs.

"I have to sing My Way – there will be no more sitting at the negotiation table," Anutin said, as quoted by Thai Enquirer.

"As for trade or tariff negotiations, I no longer care. If we can't sell to this country, we'll find others. The private sector must cooperate. How can we entrust our nation's future to just one country? The private sector understands this well. If this channel closes, we can find another. If tariffs are used as pressure, so be it — other countries are affected by tariffs too. Ultimately, if tariffs rise to 100%, it is the buyers who will suffer. We, as producers, must rely more on our own products and strengthen our self-sufficiency."

On Monday, a landmine explosion injured several Thai soldiers, prompting the Thai army to announce that it was "halting all agreements". Meanwhile, Cambodia has denied that the landmine was planted by its army, with Prime Minister Hun Manet accusing Thai soldiers of killing a civilian.

Anutin's defiant tone is far from the familiar narrative presented by Anwar and his Cabinet members in defending Putrajaya's move to sign the so-called "reciprocal trade" agreement with the US.

Malaysian leaders have often argued that the country "is a small nation", amid calls to withdraw from the agreement, which has been condemned by opposition leaders, economists, and trade experts as serving Washington's unilateral interests while stripping Malaysia of its sovereign regulatory power.

The Thailand-Cambodia ceasefire agreement signed in Kuala Lumpur on Oct 26 has been hailed by the Malaysian government as proof of its diplomatic acumen.

But many analysts have warned that linking the agreement to trade matters – wrapped around the trade tariffs imposed by Trump – was all that mattered to Washington.

"It was predictable that the agreement would break down, because it was plainly concluded to placate President Trump on matters unrelated to the conflict, namely, trade and Trump's desire to be perceived as a peacemaker," said analyst Matthew Wheeler from the Belgium-based International Crisis Group.

There has been growing anger in Thailand over the ceasefire deal, at the heart of which is the concern that it would cause the country to lose rights to its huge rare earth reserves.

Apart from securing commitments from Thailand and Cambodia in exchange for "lower tariffs", The US has also managed to secure rare earths from Malaysia, a move seen as undermining China, which had banned the export of the much-needed minerals to the US as leverage in its trade war with Washington.

Anwar recently attempted to dismiss an outspoken Thai general's condemnation of the treaty, as well as remarks by former Indonesian president Susilo Bambang Yudhoyono.

Rangsi Kitiyansap accused Anwar of causing economic losses to Thailand, accusing him of taking advantage of the Thai-Cambodia conflict to insert trade elements benefiting the US.

"Anwar is a spy. He is a real hassle who has caused us calamities. Why is he meddling with us?" said Rangsi, an outspoken retired general-turned-politician who frequently appears on major Thai media outlets.

Meanwhile, Yudhoyono, who ruled Indonesia for two terms during which he served as the Asean chairman, said he was embarrassed when Trump was allowed to take centre stage in the bloc's affairs, adding that past conflicts were resolved without outside interference.

"Suddenly Donald Trump became an intermediary and I felt embarrassed and humiliated," said Yudhoyono.