Ahmed Kamel – Egypt Daily News
President Donald Trump began his weeklong diplomatic tour of Asia on Sunday with a ceremonial welcome in Kuala Lumpur and an unexpected breakthrough in U.S.-China trade relations. Officials from both nations announced they had reached a “basic consensus” during talks held over the weekend in the Malaysian capital a development that appears to have defused, at least for now, the threat of a new tariff war between the world’s two largest economies.
U.S. Treasury Secretary Scott Bessent told reporters that the Trump administration’s threatened 100 percent tariff on Chinese goods, slated to take effect November 1, was now “effectively off the table” following two days of “very good” discussions with Chinese negotiators. “We had a very good two-day meeting,” Bessent said in an interview with CBS News. “I believe that the threat of the 100% tariff has gone away, as has the threat of China’s immediate imposition of a worldwide export control regime.”
Chinese state media confirmed the easing of tensions, reporting that both sides had agreed to a framework to address their respective economic concerns. The announcement comes just days before Trump’s anticipated face-to-face meeting with Chinese President Xi Jinping at the upcoming APEC summit in South Korea a sit-down that could mark a turning point in trade relations after years of volatility.
According to Chinese readouts, Vice Premier He Lifeng led Beijing’s delegation in the weekend talks, joined by senior U.S. officials including Bessent and Trade Representative Jameson Greer. The discussions covered a broad array of contentious issues: maritime and shipbuilding penalties, reciprocal tariffs, agricultural trade, fentanyl-related sanctions, and export controls. Both sides, the statement said, “engaged in candid, in-depth, and constructive exchanges” and “agreed to further finalize specific details after domestic approval.”
Diplomatic Fanfare in Kuala Lumpur
Trump’s arrival in Malaysia was marked by a mix of ceremony, diplomacy, and spectacle. Greeted with red-carpet fanfare and a lineup of Southeast Asian leaders, he opened his tour by presiding over the signing of a peace agreement between Thailand and Cambodia a reaffirmation of a ceasefire following this summer’s border clashes between the two nations.
While Trump repeatedly referred to the document as a “peace treaty,” Thai officials clarified that it was technically a “reaffirmation” of commitments to de-escalate tensions and promote humanitarian de-mining along their shared frontier. The agreement, witnessed by Malaysia’s Prime Minister Anwar Ibrahim, also includes ASEAN observers who will monitor compliance.
“I’m proud to help settle this conflict and strengthen friendships across the region,” Trump said during the signing ceremony. “You’re saving lives and saving countries by choosing prosperity and peace over bloodshed.”
The president also announced new bilateral trade and mineral access deals with Cambodia and Malaysia, emphasizing the importance of strengthening critical mineral supply chains and reducing U.S. reliance on Chinese exports.
Regional Diplomacy and Global Ripple Effects
Beyond the regional peace pact, Trump used his first stop in Asia to signal a thaw in relations with Brazil. In Kuala Lumpur, he met with Brazilian President Luiz Inácio Lula da Silva their second meeting in as many months marking a clear effort to rebuild trust after a year of strained ties between Washington and Brasília.
Trump’s broader trip itinerary includes Japan, where he will meet Prime Minister Sanae Takaichi, and South Korea, where he is scheduled to attend the APEC summit and hold a bilateral meeting with President Yoon Suk-yeol. The visit comes at a delicate moment for U.S.-South Korea relations, following controversy over the deportation of hundreds of South Korean workers from a Hyundai plant in Georgia under Trump’s immigration crackdown.
The Asia tour also follows a week of heightened global maneuvering by the Trump administration. Before departing Washington, the president announced new sanctions on Russian oil companies, reiterated his stance on the wars in Gaza and Ukraine, and imposed fresh tariff hikes on Canadian imports moves that have drawn both criticism and cautious praise from allies.
An Opportunity for Reset with Beijing
The easing of trade tensions with China could prove to be the most consequential development of the trip. The two economic powers have spent years locked in a cycle of tariffs, export bans, and retaliatory sanctions that have disrupted global markets. The apparent de-escalation signals a potential shift in tone ahead of Trump’s meeting with Xi, though analysts caution that the underlying disputes from technology access to industrial policy remain unresolved.
Still, officials on both sides have characterized the talks as productive. “The two sides have set the stage for the leaders’ meeting with a very successful framework,” Bessent said. Chinese negotiators echoed that sentiment, calling the talks “constructive, far-reaching, and in-depth.”
For Trump, the easing of tensions comes as a diplomatic win at the outset of a high-profile trip designed to project U.S. influence and reinforce his administration’s global economic strategy. Whether that momentum carries through his upcoming encounters in Tokyo, Seoul, and beyond may determine whether this tour becomes a symbolic show of unity or the beginning of a fragile new chapter in U.S.-China relations.
