We present CO 3-2, SiO 8-7, C34S 7-6, and 878 mum dust continuum subarcsecond angular resolution observations with the SMA toward IRAS 16293-2422 (I16293). The C34S emission traces the 878 mum dust continuum well, and clearly shows a smooth velocity gradient along the major axis of component I16293A. The CO shows emission at moderate high velocities arising from two bipolar outflows, which appear to be perpendicular with respect to each other. The high sensitivity and higher angular resolution of these observations allows us to pinpoint well the origin of these two outflows at the center of component I16293A. Interestingly, the most compact outflow appears to point toward I16293B. Our data show that the previously reported monopolar blueshifted CO outflow associated with component I16293B seems to be part of the compact outflow arising from component I16293A. In addition, the SiO emission is also tracing this compact outflow: on one hand, the SiO emission appears to have a jet-like morphology along the southern redshifted lobe; on the other hand, the SiO emission associated with the blueshifted northern lobe traces a well defined arc on the border of component I16293B facing I16293A. The blueshifted CO lobe of the compact outflow splits into two lobes around the position of this SiO arc. All these results lead us to propose that the compact outflow from component I16293A is impacting on the circumstellar gas around component I16293B, possibly being diverged as a consequence of the interaction.