Chinese President Xi Jinping has kicked off a high-stakes tour of Southeast Asia, visiting Vietnam, Malaysia, and Cambodia this week — his first foreign trip of 2025.
Why does this matter?
Because it’s happening right in the middle of an escalating US-China tariff war.
– The US has imposed 145% tariffs on Chinese goods.
– China hit back with 125% tariffs on US imports.
– And Washington has slapped new tariffs on Vietnam, Malaysia, and Cambodia too — 49%, 46%, and 24% respectively.
So, what’s Xi doing?
He’s meeting top leaders, signing agreements, and pushing for deeper ties.
In Vietnam:
– Met with President Luong Cuong in Hanoi.
– Expected to sign 40 agreements, including cross-border railway deals.
– China-Vietnam trade hit $260.65 billion in 2024.
In Malaysia:
– Will meet King Sultan Ibrahim and PM Anwar Ibrahim.
– Malaysia is China’s largest trading partner in Southeast Asia — trade hit $212 billion in 2024.
– Malaysian officials want stronger China ties to offset US tariffs, but worry about cheap Chinese goods flooding their market.
In Cambodia:
– Will meet PM Hun Manet and former PM Hun Sen.
– China is Cambodia’s top foreign investor.
– Their bilateral trade reached $15.1 billion in 2024.
What’s at stake?
Experts call this a “charm offensive.” It’s Xi’s attempt to:
– Shore up regional alliances.
– Cement China’s role as a leader of the Global South.
– Push back against US-led economic pressure.
“China is leveraging trade and diplomacy to win over Southeast Asia,” said Prof. Lynette Ong. Others see it as a signal that China won’t back down.
Xi wrote before the trip: “There are no winners in trade wars. Protectionism has no way out.”
Bottom line:
As the US doubles down on tariffs, Xi is countering with diplomacy and deals. Southeast Asia, caught in the middle, could shape the balance of power in Asia’s economic future.
