A fragile ceasefire between Thailand and Cambodia, brokered in Malaysia, held Tuesday despite reported skirmishes, following deadly border clashes driven by U.S. economic pressure. The truce, effective midnight Monday, was tested early Tuesday as Thailand accused Cambodia of attacks near Phu Makhuea in Sisaket province. Cambodia denied firing, and both sides met to halt troop movements and form coordination teams ahead of an August 4 joint border meeting, per Thai army spokesman Major Gen. Winthai Suvaree.

Thai spokesperson Jirayu Houngsub confirmed ongoing military response to control the situation, while Cambodian Defense Minister Tea Seiha insisted compliance with the truce. Thailand lodged complaints with Malaysia, the U.S., and China over alleged Cambodian violations. Despite tensions, over 260,000 displaced residents began returning home.

The ceasefire, announced by Cambodian Prime Minister Hun Manet and Thailand’s acting Prime Minister Phumtham Wechayachai, followed 41 deaths and was mediated by ASEAN chair Malaysia. U.S. Secretary of State Marco Rubio praised the move, with President Donald Trump pledging U.S. and Malaysian monitoring. Trump’s calls to both leaders tied the truce to favorable Thai trade talks, as a 36% U.S. tariff on both nations’ goods looms Friday.

Also Read: Thailand-Cambodia Clash: 32 Dead in Border Battle

Tensions stem from a land mine explosion wounding Thai soldiers, escalating a dispute since May’s fatal clash. Locals like Soklang Slay in Cambodia’s Oddar Meanchey fear renewed fighting over border temples, while Surin’s Kritsada Jindasri remains cautious after heavy gunfire. Analyst Kokthay Eng credits Trump’s tariff leverage for pausing bloodshed but warns the ceasefire’s stability hinges on Thailand securing lower U.S. tariffs.

Also Read: Deadly Border Clash: Thailand-Cambodia Tensions Explode