China's Influence Grows Amidst US Trade Tensions in Southeast Asia

The escalation of US tariffs under President Trump has accelerated the economic decoupling between the US and China, pushing Southeast Asian nations into a precarious balancing act between the two powers. While China is better positioned to weather the trade war due to reduced dependence on US exports and strong domestic sectors, it continues to expand its economic influence in Southeast Asia through investments and trade agreements. Southeast Asian governments are responding by simultaneously seeking closer ties with both the US and China, hesitating to join any anti-US bloc despite Beijing's efforts. China’s approach includes deepening cooperation in infrastructure, technology, and trade with neighboring countries, though political and economic challenges persist in the region. US officials have raised concerns about Chinese transshipment practices through Southeast Asia to bypass tariffs, highlighting the complexities of regional supply chains. Overall, the ongoing US-China rivalry and shifting trade dynamics are creating uncertainty and structural pressures for economies throughout Asia.