Asia-Pacific Archive

By calling the Chinese out explicitly on their currency manipulation in his concluding address to the G-20 summit last week, President Barack Obama may have torpedoed his relationship with Beijing for the remainder of what China’s bosses most certainly now hope is his first and only term. Burdened by a Republican-controlled, Tea Party-infused House, and bathed in hypocrisy thanks to the Fed’s own, just-announced currency manipulation (aka, QE2), Obama seems not to recognize either the gravity of his nation’s long-term economic situation or the degree to which his own political fate now hinges on his administration’s increasingly stormy ties with […]

As the current political narrative has it, President Barack Obama has been weakened by the midterm elections. So it should come as no surprise that his failure to sell Congress’ version of the U.S.-South Korea free trade agreement is a reflection of Obama’s weakened position, rather than, say, a reflection of Congress’ unrealistic expectations of what trade concessions other countries are willing to make in the current dismal economic environment. The same latent theme runs through much of the coverage of Obama’s tepid performance at the G-20 summit, although it is not as pronounced. So be it, narratives are often […]

It is unfortunate that President Barack Obama’s visit to Asia as well as the G-20 summit in Seoul took place in the aftermath of what he himself termed a “shellacking” in the midterm elections — an electoral rebuke delivered in part because Americans believe that the Democrats have not delivered on their promises of economic security. The trip could have been used to project the message that the United States is prepared to take the lead in the global community of nations. As Secretary of State Clinton put it back in September, “[T]he United States can, must and will lead […]

There are no dramatic developments here, but it is another data point — similar to something I flagged earlier — in the EU’s ability to toughen up its soft power approach in order to more strategically defend its interests: Europe’s top trade official has signaled his intention to create a new retaliatory trade tool, amid ongoing complaints from European businesses that they are being excluded from Chinese public contracts. I think of the EU’s strategic potential in the same terms as YouTube and Twitter’s revenue potential: tons of upside if they only figure out how to “monetize” the connectivity they […]

Asia and the European Union held their biannual interregional gathering, the Asia-Europe Meeting (ASEM), in Brussels last month. In an e-mail interview, Jonas Parello-Plesner, senior policy fellow at the European Council on Foreign Relations, discussed relations between Asia and the EU. WPR: What are the major issues and obstacles driving economic relations between the two regions? Jonas Parello-Plesner: The main driver of cooperation is economic. Asia and particularly China are Europe’s largest trading partners, with the two regions intertwined as part of the global supply chain. That is illustrated by the biannual ASEM summit, which unites 49 countries and 60 […]

U.S. and Taiwanese officials announced last month that the two will resume suspended free trade talks as early as this year. In an e-mail interview, Rupert Hammond-Chambers, president of the U.S.-Taiwan Business Council, discusses the current state of U.S.-Taiwan trade relations. WPR: What have been the obstacles holding up this deal? Rupert Hammond-Chambers: Talks on the Trade and Investment Framework Agreement (TIFA) between the U.S. and Taiwan had been on hold for three years prior to the Sept. 29 announcement. The impasse was primarily due to disagreements over U.S. beef exports. It was the second time in a decade that […]

Before President Barack Obama embarked on his 10-day Asian trip, his longest overseas visit since taking office, he highlighted the tour’s economic objectives. But given that government leaders generally exert more control over political-military decisions than over economic trends, the strategic goals of Obama’s trip are perhaps more important and certainly worth examining. Obama has already completed the first and longest leg of his trip in India. Some Indian leaders who place great stock on status and symbolism grumble that despite enthusiastic rhetoric, the Obama White House has effectively downgraded the U.S.-Indian partnership compared to his predecessor. Unlike the Bush […]

South Korea is set to host the G-20 leaders’ summit in Seoul on Thursday and Friday, the fifth such gathering since the onset of the global financial crisis. While past summits have focused on coordinated stimulus, global financial regulation and reform of the major international financial institutions, this week’s meeting is gearing up to be known as the “trade and currency summit.” It is also likely to be more tense and contentious than any of its predecessors, whether leaders admit it publicly or not. This is especially true when it comes to the ongoing economic prize-fight between the G-20’s two […]

On the morning of Jan. 1, 2009, Russia’s state-owned gas-export monopoly Gazprom halted natural gas deliveries to Ukraine. Gazprom blamed the disruption on Kiev’s refusal to pay its debts on past deliveries and its unwillingness to accept an increase in its gas prices. Although Gazprom continued to transit gas through Ukraine for delivery to other European countries, by Jan. 5, five European Union (EU) member states, including Poland, Hungary and Romania, had announced that they were experiencing gas-supply disruptions. On Jan. 7, Russia shut off all gas deliveries through Ukraine, accusing Kiev of siphoning off gas destined for Europe to […]

The rapid economic growth of the People’s Republic of China has fueled a demand for energy that has now outstripped domestic sources of supply. As a result, China can no longer sustain its economic expansion without importing massive quantities of energy. To compensate for the projected underproduction of domestic energy sources as well as further increases in anticipated energy consumption, the Chinese government has pursued a subtle energy security strategy that includes three major components: first, reforming the domestic energy sector to maximize production and attract foreign direct investment; second, expanding China’s energy mix to reduce the nation’s dependency on […]

For much of the last half-century, the U.S. has failed to engage the nations of resource-wealthy Latin America in any strategic manner. This lack of attention to our closest neighbors, and some of our strongest allies, is dangerously short-sighted given U.S. dependence on Latin America as a source for our energy. Currently, more than one-fourth of America’s imported oil comes from Latin America, which is estimated to hold 13.5 percent of the world’s proven oil reserves. In 2009, the U.S. imported 11 percent of its crude oil from Mexico, 9 percent from Venezuela, 3 percent from Brazil and 2 percent […]

BEIJING — Forty years after the establishment of modern diplomatic ties between Italy and China, Rome has become one of Beijing’s most-trusted partners in Western Europe. Following recent high-level talks in both capitals, the two countries have enhanced cooperation in a range of areas. With China keen to increase its influence in the Eastern Mediterranean and Italy in desperate need of fresh economic impetus, the potential benefits to both sides could be significant. In contrast to China’s engagement with resource-rich and emerging nations, its interest in Italy is motivated by the Mediterranean country’s geographic advantages and advanced technological capabilities. Since […]

Judging from the accounts of virtually every pundit, the Chinese emerged as the foreign threat of choice in the just-concluded U.S. elections, with the breakthrough “Chinese Professor” ad being compared by the always-calm James Fallows to such incendiary hall-of-famers as “Daisy Girl” (1964) and “Willie Horton” (1988). I’m with Fallows: The exceedingly clever ad represents a crystallizing moment in our increasingly contentious relationship with China, elevating the Chinese far beyond Iran’s mullahs and Osama Bin Laden as the pre-eminent fear-driven threat dynamic motivating calls to get our house in order. The ad portrays a high-tech college lecture hall in Beijing, […]

It’s pretty rare that a politician does an about-face as flagrant and publicly documented as French President Nicolas Sarkozy’s stance on human rights in the conduct of foreign policy. Here he is back in the summer of 2007, just before his first meeting with Russia’s then-President Vladimir Putin: Mr. Sarkozy has promised to confront Mr. Putin about human rights violations in Chechnya and about the slaying last October of Anna Politkovskaya, a journalist who wrote scathingly of the Russian president. Here he is yesterday before his meeting in Paris with Chinese President Hu Jintao: “China should not be seen as […]

Burma’s border security is increasingly an issue of concern for its neighbors, with armed rebel groups reportedly mobilizing in Burmese border regions. In an e-mail interview, Nicholas Farrelly, an associate investigator in the Center of Excellence in Policing and Security at the Australian National University, explains the significance of border security in Burma’s relations with its neighbors. WPR: What are the main sources of insecurity along Burma’s borders? Nicholas Farrelly: Burma shares borders with five countries — Bangladesh, India, China, Laos and Thailand. Often the consideration of border issues focuses on the Burma-Thailand border, which is the most accessible and […]

The room came to order. The negotiators, some still exasperated by the day’s events, sat anxiously awaiting the final results. “Congratulations, delegates,” the moderator announced. “You have negotiated a comprehensive successor agreement to the Kyoto Protocol.” The delegates erupted in deafening applause, screams of joy and relieved laughter. No, these were not real-life climate-change negotiators. In August, we designed and ran a daylong scenario to simulate the international climate-change negotiations that will launch in Cancun, Mexico, on Nov. 29. Our goals were to gain a sense of how events may play out in Cancun when the real international negotiators meet […]

Given the timing of Russian President Dmitry Medvedev’s visit to the Kuril Islands, it’s hard to see it as anything other than an intentional effort to destabilize Japan, and particularly Prime Minister Naoto Kan. Coming in the aftermath of Tokyo’s standoff with Beijing over the Senkaku Islands, it reinforces the perception of a weak Japan unable to make its territorial claims respected. The fact that this was a peripheral and largely frozen dispute that had until now not seriously affected improving bilateral relations adds to that impression. The move also comes in the aftermath of Russia’s refusal to support South […]