Southeast Asia to step up US trade talks over Trump’s new tariffs

Malaysian Trade Minister Tengku Zafrul Aziz takes part in negotiations with the US Secretary of Commerce Howard Lutnick in April 2025. (Malaysian Trade Ministry)
Short Url
Updated 08 July 2025
Follow

Southeast Asia to step up US trade talks over Trump’s new tariffs

  • Indonesian government ‘very optimistic’ about upcoming negotiations 
  • Thai minister vows to ‘fight to the very end’ for best possible deal 

JAKARTA: Officials in Southeast Asian countries prepared on Tuesday to step up trade negotiations with Washington after President Donald Trump’s administration hit some of them with over 30 percent tariffs, despite a raft of new concessions and offers to boost investment in the US.

Trump sent letters on Monday to over a dozen nations, notifying them of new tariff rates set to begin on Aug. 1. About half were heavily export-reliant Southeast Asian economies. 

In Indonesia, the region’s largest economy, Trump’s announcement came despite last week’s offer to increase imports of US wheat, soybean, cotton, corn and energy products in a deal that could go as high as $34 billion, and to boost investment in the US.  

Jakarta has immediately sent Airlangga Hartarto, its top negotiator and senior economics minister, to Washington to hold talks with US officials.

“We have a team of negotiators ready in Washington, D.C., and our coordinating minister for economic affairs is on his way to D.C.,” Hasan Nasbi, head of the presidential communications office, told reporters in Jakarta on Tuesday afternoon.

“With the date extended to Aug. 1, it means we have a few weeks’ opportunity to negotiate, and our government is very optimistic about these negotiations as we have good relations with all countries, including the US.”

Trump said in a Truth Social post on Sunday that countries “aligning themselves with the Anti-American policies of BRICS, will be charged an additional 10% Tariff. There will be no exceptions to this policy.”

The post followed Sunday’s summit of BRICS — a geopolitical forum that includes Russia, China, India, and Indonesia — which condemned Trump’s tariffs.

The US is Indonesia’s second-largest export market after China, with exports valued at around $26.3 billion in 2024, according to data from Indonesia’s Central Statistics Agency. Last year, Indonesia ran a $16.8 billion goods trade surplus with the US.

Also, Thailand is facing a tariff rate of 36 percent, despite offering to cut levies to zero on many US imports last week.

“The United States has not yet considered our latest proposal,” Thai Finance Minister Pichai Chunhavajira wrote on X. 

“We will not stop; we will keep fighting. We will seek additional measures and find more solutions to ensure that we all fight to the very end, to secure the best possible deal for Thailand.” 

In 2024, Thailand’s shipments to the US accounted for 18.3 percent of its total and were worth about $54.96 billion last year, making the US the country’s biggest export market. 

Malaysia, for whom the US is the second-largest trading partner after China, and the largest export destination — with total trade worth $71.4 billion in 2024 — faces a 25 percent tariff rate.

Its Trade Minister Tengku Zafrul Aziz said the country “remains committed to constructive engagement” with the US.

“While we understand concerns regarding trade imbalances, we believe that dialogue and engagement are the best approach,” he wrote on X.

“(Malaysia’s Trade Ministry) will continue discussions with U.S. counterparts to address unresolved issues. Our goal is to achieve a balanced, mutually beneficial, and comprehensive trade agreement.” 


Mystery of CIA’s lost nuclear device haunts Himalayan villagers 60 years on

Updated 56 min 44 sec ago
Follow

Mystery of CIA’s lost nuclear device haunts Himalayan villagers 60 years on

  • Plutonium-fueled spy system was meant to monitor China’s nuclear activity after 1964 atomic tests
  • Porter who took part in Nanda Devi mission warned family of ‘danger buried in snow’

NEW DELHI: Porters who helped American intelligence officers carry a nuclear spy system up the precarious slopes of Nanda Devi, India’s second-highest peak, returned home with stories that sent shockwaves through nearby villages, leaving many in fear that still holds six decades later.

A CIA team, working with India’s Intelligence Bureau, planned to install the device in the remote part of the Himalayas to monitor China, but a blizzard forced them to abandon the system before reaching the summit.

When they returned, the device was gone.

The spy system contained a large quantity of highly radioactive plutonium-238 — roughly a third of the amount used in the atomic bomb dropped by the US on the Japanese city of Nagasaki in the closing stages of the Second World War.

“The workers and porters who went with the CIA team in 1965 would tell the story of the nuclear device, and the villagers have been living in fear ever since,” said Narendra Rana from the Lata village near Nanda Devi’s peak.

His father, Dhan Singh Rana, was one of the porters who carried the device during the CIA’s mission in 1965.

“He told me there was a danger buried in the snow,” Rana said. “The villagers fear that as long as the device is buried in the snow, they are safe, but if it bursts, it will contaminate the air and water, and no one will be safe after that.”

During the Sino-Indian tensions in the 1960s, India cooperated with the US in surveillance after China conducted its first nuclear tests in 1964. The Nanda Devi mission was part of this cooperation and was classified for years. It only came under public scrutiny in 1978, when the story was broken by Outsider magazine.

The article caused an uproar in India, with lawmakers demanding the location of the nuclear device be revealed and calling for political accountability. The same year, then Prime Minister Morarji Desai set up a committee to assess whether nuclear material in the area near Nanda Devi could pollute the Ganges River, which originates there.

The Ganges is one of the world’s most crucial freshwater sources, with about 655 million people in India, Nepal, and Bangladesh depending on it for their essential needs.

The committee, chaired by prominent scientists, submitted its report a few months later, dismissing any cause for concerns, and establishing that even in the worst-case scenario of the device’s rupture, the river’s water would not be contaminated.

But for the villagers, the fear that the shell containing radioactive plutonium could break apart never goes away, and peace may only come once it is found.

Many believe the device, trapped within the glacier’s shifting ice, may have moved downhill over time.

Rana’s father told him that the device felt hot when it was carried, and he believed it might have melted its way into the glacier, remaining buried deep inside.

An imposing mass of rock and ice, Nanda Devi at 7,816 m is the second-highest mountain in India after Kangchenjunga. 

When a glacier near the mountain burst in 2021, claiming over 200 lives, scientists explained that the disaster was due to global warming, but in nearby villages the incident was initially blamed on a nuclear explosion.

“They feared the device had burst. Those rescuing people were afraid they might die from radiation,” Rana said. “If any noise is heard, if any smoke appears in the sky, we start fearing a leak from the nuclear device.”

The latent fear surfaces whenever natural disasters strike or media coverage puts the missing device back in the spotlight. Most recently, a New York Times article on the CIA mission’s 60th anniversary reignited the unease.

“The apprehensions are genuine. After 1965, Americans came twice to search for the device. The villagers accompanied them, but it could not be found, which remains a concern for the local community,” said Atul Soti, an environmentalist in Joshimath, Uttarakhand, about 50 km from Nanda Devi.

“People are worried. They have repeatedly sought answers from the government, but no clear response has been provided so far. Periodically, the villagers voice their concerns, and they need a definitive government statement on this issue.”

Despite repeated queries whenever media attention arises, Indian officials have not released detailed updates since the Desai-appointed committee submitted its findings.

“The government should issue a white paper to address people’s concerns. The white paper will make it clear about the status of the device, and whether leakage from the device could pollute the Ganges River,” Soti told Arab News.

“The government should be clear. If the government is not reacting, then it further reinforces the fear.”