Trump brokers peace accord between Thailand-Cambodia; signs major deals with Malaysia

Trump brokers peace accord between Thailand-Cambodia; signs major deals with Malaysia
Geopolitics
Webp chusyaji78wimpnynkyrdp927hke
Kate Rebholz, Deputy Chief of Mission | U.S. Mission to ASEAN

President Donald J. Trump participated in a series of diplomatic and economic initiatives during his visit to Kuala Lumpur, Malaysia, on October 26, 2025. These actions included brokering the Kuala Lumpur Peace Accords between Thailand and Cambodia, signing trade agreements with Malaysia and Cambodia, issuing joint trade statements with Thailand and Vietnam, elevating U.S.-Malaysia relations, and expanding cooperation with Cambodia on defense and transnational crime. President Trump also attended the 13th annual U.S.-ASEAN Summit.

President Trump and Malaysia’s Prime Minister Anwar Ibrahim hosted the leaders of Thailand and Cambodia for the signing of the Kuala Lumpur Peace Accords. This agreement is intended to end border tensions between Thailand and Cambodia. As part of the accords, observer teams will be established along the border to build long-term peace and trust. Additionally, Thailand agreed to release 18 Cambodian soldiers detained since July.

According to President Trump’s office: “Through decisive U.S. diplomacy, Thailand and Cambodia reached a pivotal agreement to establish border observer teams, a critical step in solidifying long-term peace and fostering mutual trust between the two countries.” The statement added: “At the request of President Trump and pursuant to the commitments in the Kuala Lumpur Peace Accords, Thailand will release 18 Cambodian soldiers that have been detained since July.”

On trade matters, President Trump signed reciprocal trade agreements with Malaysia and Cambodia. The United States also announced frameworks for future negotiations with Thailand and Vietnam.

The agreement with Malaysia will open its market for U.S. exports by reducing or eliminating tariffs on nearly all American goods. Non-tariff barriers will also be addressed; for example, discriminatory practices against U.S. motor vehicles will end, allowing them equal competition in Malaysia’s market. Malaysia has agreed to recognize U.S. regulatory oversight for agricultural products.

The deal with Cambodia eliminates all tariffs on U.S. goods exported there, including food products and industrial goods. Cambodia committed to treating American exports fairly by recognizing U.S. regulatory standards without requiring additional testing.

Frameworks for future trade agreements were also set up with Thailand—where approximately 99% of tariff barriers would be eliminated—and Vietnam—which would provide preferential access for most American exports.

In efforts to enhance bilateral ties with Malaysia, several major commercial deals were announced:

- Up to $3.4 billion annually in liquefied natural gas (LNG) purchases from Petronas.

- $42.6 million per year in coal sales to TNB Fuel.

- Purchases of U.S telecommunications products valued at $119 million.

- A purchase order for 30 Boeing aircraft plus an option for 30 more.

- Agreements involving semiconductors, aerospace components, and data center equipment worth an estimated $150 billion.

A Memorandum of Understanding (MOU) was signed between the United States and Malaysia on critical minerals aimed at expanding trade in this sector across exploration through recycling stages. Another MOU was signed on maritime security cooperation.

Both countries elevated their relationship to a Comprehensive Strategic Partnership.

Additionally, both Malaysia and the Philippines signed onto the Artemis Accords regarding space exploration principles.

With respect to Cambodia, President Trump met Prime Minister Hun Manet—the first such meeting since Hun Manet took office—and announced that due to progress made by Cambodia toward peace and security goals, the United States would lift its arms embargo on that country. The two nations agreed to restart their ANGKOR SENTINEL defense exercise last held in 2017; more seats will be available for Cambodian officers at American military academies such as West Point.

Cooperation against transnational crime organizations—including narcotics traffickers and online scam centers—will expand as well.

Regarding Thailand-U.S relations, new commitments were secured that aim to deepen defense ties while improving supply chain resilience through information sharing on cybercrime investigations as well as securing critical minerals supplies via another MOU.

President Trump stated: “Thailand and the United States will enhance cooperation and information sharing between U.S. and Thai law enforcement to advance joint investigations of cyber and financial crimes associated with scam centers.”

Efforts are underway through these agreements to address unfair trade practices like dumping or heavy subsidies by promoting price floors or similar measures.