Tuesday, 02 January 2024 12:17 GMT

Trump's Asia Policy Should Prioritize Security Over Revenue


(MENAFN- Asia Times) Although People's Republic of China (PRC) officials say they do not seek hegemony, US regional pre-eminence is standing in the way of achieving their objectives, which include satisfying Beijing's vast irredentist claims, holding veto power over the foreign policies of neighboring countries and keeping out unwanted foreign military influence.

China enjoys important advantages in this competition with the US for regional leadership: geography, ability to focus its forces close to home and superior manufacturing capability. China is also narrowing the technological gap.

Washington recently tried to slow China's technological progress by restricting sales of US semiconductors and limiting visas for Chinese students, but soon relented because of American dependence on rare earth elements, of which China controls 90% of global production.

Despite questions about possible US retrenchment, senior Trump administration officials say they are committed to maintaining US leadership in the Asia-Pacific region. One of their primary stated US foreign policy goals is to rally friendly governments to block Chinese expansionism.

Perhaps the clearest advantage the US enjoys in pursuit of that goal is a robust network of allies and security partners. As the competition with China reaches a critical stage, America needs the full strategic value of these partnerships-to help prevent Chinese domination of vital supply chains, to unitedly oppose Chinese coercion and aggression against individual countries, to offer bases for US forces, to be prepared to provide additional combat capability if needed and even to build ships for the US Navy.

The administration's efforts to raise revenue and cut government expenditures, however, are at odds with the geostrategic task of facing up to the China challenge. After half a year in office, the new US government still lacks a coherent Asia strategy.

The most prominent issue here is the tariffs. Trying to maximize revenue from security partners both antagonizes them and makes it harder for them to fulfill US demands that they increase their defense spending.

Washington announced a deal in July that would set Japan's tariff to 15%, which while lower than a previously threatened 35% rate, is still 10 times what the average US tariff on Japanese imports was in 2024 .

Simultaneously, the US has demanded that Japan further raise its defense spending target from an already difficult 2% to 3.5% , then 5% . Japanese Prime Minister Shigeru Ishiba spoke of Japan becoming“less dependent on America” for its security.

South Korean tariffs on US imports already dropped to 1% under the 2012 US-Korea Free Trade Agreement (KORUS). Then the first Trump administration renegotiated KORUS in 2019, resulting in a deal that Trump called“fantastic” and“a model for fair trade .”

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