Trump’s tariffs leave China’s neighbors with an impossible choice

The US President Donald Trump, when he hit the porcelain with tariffs in the first term, the Vietnam entrepreneur Hao le saw an opportunity.

His company is one of hundreds of businesses that arise to compete with China exports, which faces restrictions outside the West.

Le’s SHDC Electronics sitting in the Hai Duong-Budding Industrial Center, sells 2 million (£ 1.5m) to the United States of America every month, sells 2 million (£ 1.5m).

If Trump applies 46% tariff to Vietnamese goods, this revenue can be dried, A plan that is currently held To the beginning of July. This says “disastrous for our work.”

Selling to Vietnamese consumers is not an option, he adds: “We are not able to compete with Chinese products. This is not our problem. Many Vietnamese companies fight in their home market.”

In 2016, Trump tariffs first sent a cheap Chinese imports for the United States, South East Asia, which damaged many local producers. However, they also entered the global supply chains, which are often new doors for other businesses, often to reduce it dependence on China.

But Trump 2.0 threatens to close the doors he saw as an unacceptable gap. And this is a blow to the fastest growing economies such as weapons and Indonesia to become a major player in areas of electric vehicles from the chips.

Among the two largest economies in the world, China, a strong neighbor and the largest trading partner, and among the main export market that can hit Beijing’s expenses.

Thus, Xi Jinping took a new journey for a long time for Vietnam, Malaysia and Cambodia this week.

Three countries have expelled the red carpet for him, but Trump saw it more evidence To assassinate the United States for “screw”.

According to reports, the White House will use the ending talks to restrict relations with smaller peoples and Beijing.

However, this type of money can be this way, taking into account the amount of money flowing between China and Southeast Asia.

In 2024, China gained a record of $ 3.5 billion from exports – 16% of South Asia, the largest market. Beijing, in turn, Railways in Vietnam, Cambodia and Malaysia, are part of the “Belt and Road” infrastructure program, trying to develop abroad.

“We can never choose and we will never choose between China and the United States),” said Malaysian Trade Minister Tengku Zafrul Aziz, BBC’s visit to BBC on Tuesday.

“If there is a matter, we will protect (ourselves) if it applies to something we feel.”

In After a few days after Trump revealed broom tariffsSouthern East Asian governments interfere with the deal.

In what Trumm described as the “a very productive call”, which is a “very productive call”, the Vietnamese leader Lam, offered to completely break the tariffs in the US goods.

The US market is very important for Vietnam, which produces giants that produce such as a Taiwanese company that produces as a Taiwan company, which is a contract that has been signed as a Taiwan company, which is a contract to correct the iPhones.

Meanwhile, Thai officials are aimed at Washington with a plan that includes higher importance and investment in the United States. The United States is the largest export market, so they hope to prevent 36% of Levy in Thailand where Trump can restore.

“We will say that the US government is not only exporter than Thailand, but also the United States is an ally and economic partner that the United States can trust in the long run,” Prime Minister Paetongtarn Saikawatra.

Instead of emphasizing the economic and political significance of the southeastern Asia (ASEAN) Association (ASEAN), Instead of emphasizing the economic and political importance of the United States, Trump has revenated against tariffs.

“We understand the worries of the United States,” Mr Zafrul spoke to BBC. “Therefore, in fact, we must show that we can be ASEAN, especially Malaysia, this bridge.”

Southern Eastern Asia is a role in Azerbaijan’s exports – has benefited from both Chinese and US trade and investments. However, the trump-disclosed remains can break so much.

For example, take Malasyia. In recent years, chip manufacturers from the United States blocks Washington’s advanced technological sales. Last year, China imported $ 18 billion in Malaysia. These chips are usually used in Chinese-made electronics like the iPhone, which is connected to the United States.

Trump’s tariffs offered by Malaysia – 24% – can cut the US market in the US market. But this is not all.

“If this continues, then companies will have to reconsider their investment obligations,” Mr Zafrul. “This will only affect the global economy, not only in the Malaysian economy.”

Then there are Indonesia that can face 32% of tariffs and is a wide range of nickel resources and have sights in the supply chain of global electric vehicles.

A Chinese Cambodia faces the most steep capacity: 49%. One of the poorest countries in the region, the United States has developed as a transforcement center for Chinese enterprises who want to search for the skirt. Chinese enterprises currently have 90% of clothing factories exporting to the United States.

Trump may hinder these tariffs, but “Damage” says a economist Doris Liew at the Institute of Democracy and Economic Affairs of Malaysia.

“This is not only to reduce the invention call for the region, not to reduce the confidence in the United States, but also to any trade and export partner to exceed.”

In this uncertain time, Xi Jinping tries to send a continuous message: Let’s join your hands and “Insult” from the United States.

It is also an easy task, because Southeast Asia has trading tensions with Beijing.

In Indonesia, the business owner Isma Savitri, Trump’s 145% of China’s tariffs are more competitive than Chinese rivals, which are no longer able to export to the United States.

“Small businesses felt like us,” says the owner of the Helopop of sleep clothes. “We are fighting to live against the attack of Ultra Cheap Chinese products.”

One of Helopopi’s popular pajamas is 7.10 (119,000 Indonesia Rupiah). Isma said he saw similar designs from China to about half of this price.

“Southeast Asia, open trade modes and rapidly growing markets, it became naturally unloaded,” says Nguyen Xac Giang, Nguyen Xac Giang at the Yusof-Ishak Institute in Singapore. “Politically, many countries are reluctant to meet Beijing, adding another layer of sensitivity.”

Consumers applauding their valuable Chinese products in competition – from clothes to shoes until the phone – thousands of local enterprises could not match such low prices.

More than 100 factories in Thailand have closed every month in the last two years, according to an assessment of the Thai thinking center. In Indonesia, 250,000 textile officers were closed due to the closure of about 60 clothing producers, local trade unions, including the largest textile producer in the region.

“When I see the news, there are many imported products in the domestic market that confused our market,” Mujiati talks to an employee, who was removed from Sritex after 30 years.

“Maybe this was not our luck,” says 50 years old, still hunting for work. “Who can we complain about? There are none.”

Southeast Asian governments responded to the wave of protection because they demanded the protection of local enterprises from the influence of Chinese imports.

Last year, a number of Chinese goods popular among the Chinese merchants of Indonesia were considered a number of products and tariffs on the blocked e-commerce website. Thailand has compressed the inspections of imports, more than 1,500 Thai Baht ($ 45; £ 34), additional taxes were applied.

This year, Vietnam applied temporary anti-fog tasks to Chinese steel products twice. After the latest Tariffs for Trump, Vietnam was reported to be determined to collapse in China, which is transmitted to the United States with its territory.

This week would be on the agenda of the XI this week.

China, to cope with and aggravate and aggravate the rest of the world to the rest of the world, “David Rennie’s economist newspaper David Rennie, BBC’s new David Rennie’s new revolt David Rennie.

“The tidal wave of Chinese exports is sinking these markets and hurts employment and work … Mass diplomatic and geopolitical headache for Chinese leadership.”

China has not always been easy with this region. Laos, Cambodia and war-torn Myanmar are banned, others are wary of Beijing’s ambitions. The territorial disputes in South China have established relations with the Philippines. It is also a problem with others like Vietnam and Malaysia, but became a factor of trade.

But now it can change, experts say.

“Southeast Asia should have thought about those who want to hurt the porcelain. Now it is difficult,” he said.

China’s loss can be the gain of Southeast Asia.

Hao Le, in Vietnam, American customers saw an increase in scouts in the surveys for new electronics suppliers, “US buyers are made in several days.”

Malaysia, which has sliding rubber plantings and world’s largest medical rubber gloves, is about half of the world market for rubber gloves. But China is preparing to catch a greater share than the main opponent.

The region is still facing a 10% initial tariff as most of the world. It is bad news, Oon Kim AS, who is the President of the Association of the Malaysian rubber glove manufacturers.

However, although the continuous tariffs enter, the customers will pay an additional 24% to Malaysian gloves that will take 145% for Chinese-made gloves.

“We do not jump with the exact joy, but those in our manufacturers, as well as Thailand, Vietnam and Cambodia can benefit.”

Additional Report Tessa Wong and Abhiram V Subramaniam