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

Rising Border Hostilities

Earlier this week, Thai officials announced it was putting on hold the ceasefire deal, accusing Cambodian forces of planting new explosives along the shared border, including one that allegedly wounded a Thai military personnel on patrol, who suffered a foot amputation in the blast.

Following this, one person has been killed and multiple individuals injured by exchanges of fire along the Thai-Cambodia frontier, sparking fears of a new round of tit-for-tat fighting.

American Economic Leverage

On Saturday, a representative from Thailand's foreign office informed reporters that a letter from the Office of the US Trade Representative declaring the suspension of trade deal talks was received on the previous evening.

The spokesperson referenced the letter as stating that discussions on trade – which are focusing on a 19 percent American duty – could restart once Thailand reaffirmed its commitment to implementing the joint ceasefire declaration.

“Tariff negotiations will continue and remain separate from border issues,” stated another government spokesperson.

Trump’s Tariff Threat

Addressing reporters on Air Force One as he traveled to the Sunshine State on the end of the week, the US leader suggested that he had used the “threat of tariffs” in discussions with the south-east Asian leaders.

The US president said, “Today, I prevented a conflict using tariffs, the menace of duties,” adding, “they are performing well. I believe they will be okay.”

Ceasefire Agreement Background

The President witnessed the finalization of a peace deal, conducted in Malaysian territory this October, and has promoted it as one of multiple agreements around the globe he claims should win him the Nobel Peace prize.

The most severe clashes in a ten years between military forces of both nations erupted in July, with exchanges of fire, shelling and aerial attacks leaving dozens of people killed and hundreds of thousands forced to flee.

Longstanding Border Dispute

Thailand and Cambodia have a longstanding border dispute that dates back to conflicts regarding maps from the colonial period created by French cartographers. Ancient temples along the frontier are claimed by both sides.

International news agency contributed to this report.