A sudden escalation in border conflict between Thailand and Cambodia in July 2025 resulted in dozens of deaths and mass displacement. U.S. President Donald Trump claimed personal credit for brokering a swift ceasefire by threatening steep tariffs and leveraging ongoing trade negotiations. Both Southeast Asian nations agreed to halt hostilities and resume talks, with Trump touting his role as 'President of Peace.' The move has drawn both praise and criticism, with some officials warning against using economic pressure to resolve military disputes. The ceasefire is seen as a pivotal moment for regional stability and could open new opportunities for trade and investment in Southeast Asia.
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