Trump Announces Oil Development Deal with Pakistan... Trade Agreements Reached with Thailand and Cambodia

Negotiations with Pakistan Concluded
Oil Company Selection Process Underway
Talks with India Also in Progress

On July 30 (local time), U.S. President Donald Trump announced that the United States and Pakistan have agreed to jointly develop large-scale oil resources.

Shinhwa Yonhap News

President Trump stated on his own social networking service, Truth Social, that "negotiations with Pakistan have been concluded" and that "the United States and Pakistan will cooperate to develop large-scale oil reserves." He added that "the process of selecting an oil company to lead this cooperation is currently underway."

However, President Trump's announcement did not include specific details of the trade agreement between the United States and Pakistan, such as mutual tariff rates.

The total value of goods traded between the United States and Pakistan is estimated to be approximately $7.3 billion (about 10.1 trillion won) as of last year. This is an increase from about $6.9 billion (about 9.5 trillion won) in 2023. Last year, the United States recorded a trade deficit of $3 billion (about 4.1 trillion won) with Pakistan.

Reuters assessed that the United States has recently strengthened its relations with Asian countries to counter China's influence, and that Pakistan has been designated as a major non-NATO ally.

On the same day, the United States also announced that it had concluded separate trade negotiations with Thailand and Cambodia. U.S. Secretary of Commerce Howard Lutnick said in an interview with Fox News that "the United States has signed trade agreements with Cambodia and Thailand." However, he did not disclose the specific details of the agreements with the two countries.

Cambodia and Thailand have continued to engage in skirmishes since a small-scale clash occurred at the northeastern border area of Thailand at the end of May. As the armed conflict escalated, with both countries deploying fighter jets, President Trump pressured for a ceasefire by stating, "If the war continues, I will not negotiate tariffs with either country." Subsequently, President Trump spoke directly with the leaders of both countries and led them to agree to a ceasefire.

Meanwhile, President Trump stated that he would impose a 25% tariff on India, Pakistan's rival, but that trade negotiations with India are still ongoing.