Xi Courts Southeast Asia Amid US Tensions

Chinese President Xi Jinping has called on Vietnam to work alongside China in defending multilateral trade, as he embarks on a diplomatic tour across Southeast Asia aimed at reinforcing economic ties and presenting China as a stable and dependable global partner in contrast to the United States.

Xi arrived in Vietnam on Monday, with scheduled visits to Malaysia and Cambodia running from Tuesday through Friday. These countries have witnessed increasing levels of trade and investment with China in recent years, and Beijing appears keen to deepen those connections further.

The visit follows closely on the heels of US President Donald Trump’s announcement of a 90-day suspension on his controversial “reciprocal” tariffs targeting most countries—effectively sharpening the focus of his trade confrontation solely on China.

As tensions between Washington and Beijing continue to escalate through record-high tariffs, many Southeast Asian economies are feeling the pressure of being drawn into a trade war they did not initiate. The now-paused US tariffs had severely impacted export-driven economies like Vietnam and Cambodia, which faced levies of 46% and 49% respectively.

With this backdrop, Xi is expected to use the tour to position China as a reliable pillar of global commerce, promoting open trade and stability amid growing protectionism. Yet, while Southeast Asian leaders are welcoming Xi with diplomatic fanfare, they are also proceeding with caution, wary of alienating the United States and jeopardising their own ongoing negotiations with Washington.

There is also concern among some nations about a surge in Chinese goods redirected from US markets due to the tariffs, with Vietnam already running a substantial trade deficit with China. According to trade data, China exports goods to Vietnam worth 1.6 times more than it imports from its southern neighbour.

Since 2023, the Association of Southeast Asian Nations (ASEAN) has overtaken both the United States and the European Union as China’s largest export destination, underscoring the region’s growing significance in Beijing’s trade strategy.

In a signed article published by Vietnamese state media on Monday, Xi reiterated China’s stance on free trade and warned against the dangers of protectionism.

“Our two countries should resolutely safeguard the multilateral trading system, stable global industrial and supply chains, and open and cooperative international environment,” Xi wrote, as reported by China’s official state news agency, Xinhua.