Raid has limited impact on US-China talks

Analyst: Both sides eager to keep calm

- WICHIT CHANTANUSORNSIRI

The recent US military operation in Venezuela is unlikely to affect USChina trade negotiations and trigger a renewed trade war this year, as both nations are trying to maintain the negotiation framework until Nov 10, says an analyst.

However, in 2027 geopolitical and geoeconomic tensions will definitely intensify, said Sompop Manarungsan, an analyst focused on the US and Chinese economies and president of the Panyapiwat Institute of Management. "The US military operation in Venezuela will further strain US-China relations, but the extent of the tension will depend on China's response - whether it chooses to retaliate strongly or not," he said.

"I do not believe China will respond in a way that jeopardises existing agreements. Instead, China is more likely to issue strong criticism."

Mr Sompop said China is unlikely to retaliate harshly because Venezuela is not one of its principal trading partners in Latin America, such as Brazil, Argentina, Peru and Chile. Venezuela's bilateral trade with China accounts for less than 0.12% of China's annual total.

However, China still needs to react to the US's actions in order to maintain its role in Latin America, he said.