Amidst strained EU-US relations following President Trump’s return, European Commission President von der Leyen has signaled a potential shift in approach toward China. This involves “de-risking” the economic relationship while simultaneously exploring opportunities to deepen trade ties and find mutually beneficial agreements with Beijing. This represents a softening of the EU’s previously assertive stance toward China, reflecting the complexities of navigating a highly competitive global landscape. The goal is to achieve a fairer, more balanced relationship with China, even while addressing trade imbalances and Beijing’s support for Russia.
Read More
President Trump threatened “powerful” US action against Panama over China’s influence near the Panama Canal, vowing to “take it back.” Following a meeting between US Secretary of State Rubio and Panamanian President Mulino, Panama agreed to end its participation in China’s Belt and Road Initiative and is auditing a Chinese-linked port company. Mulino asserted Panama’s sovereignty over the canal, while also expressing willingness to increase US investment and collaborate on migrant repatriation, with the US covering all costs. The 1977 treaty allows US intervention if the canal’s operation is disrupted, though Mulino downplayed the risk of US military action.
Read More
Despite threatening to increase tariffs on Chinese goods by 10% as early as February 1st and launching investigations into harmful Chinese trade practices, President Trump expressed a desire for fair trade and a level playing field with China. He simultaneously asserted that his tariff threats hold significant leverage over China, a sentiment seemingly echoed by China’s recent willingness to negotiate and its positive market response to Trump’s comments. A recent phone call between Trump and Xi Jinping further suggests ongoing dialogue, although the details of the conversation vary slightly between the two countries’ accounts. Ultimately, the situation reveals a complex interplay of threats, conciliatory statements, and ongoing negotiations between the two nations.
Read More
President Trump announced plans to impose a 10% tariff on Chinese goods starting February 1st, citing unfair trade practices. Simultaneously, he threatened tariffs against the European Union for similar reasons. These actions follow previous threats of 25% tariffs on Mexico and Canada, prompting retaliatory measures from Canada, which is preparing counter-tariffs. Trump’s stated goal is to achieve fairer trade deals, although economists warn of potential negative consequences for American consumers and businesses.
Read More
President-elect Trump spoke with President Xi Jinping, expressing optimism about resolving various bilateral issues, including trade imbalances, fentanyl trafficking, and TikTok’s future. Despite Trump’s previous threats of high tariffs on Chinese imports and a history of strained US-China relations, he anticipates collaborative problem-solving. The call follows increased tensions stemming from trade deficits, cybersecurity concerns, and differing geopolitical strategies. However, both sides have consistently affirmed their desire to avoid a new Cold War.
Read More
Taiwan is reporting a significant rise in suspected Chinese espionage, and this increase is raising serious concerns. The timing of this escalation is particularly noteworthy, prompting questions about the underlying motivations and potential implications.
It’s tempting to view this surge in suspected espionage as a direct precursor to potential military action. The possibility of a Chinese invasion of Taiwan has been a looming threat for decades, fueled by historical tensions and geopolitical ambitions. Some suggest that the current international climate, marked by shifting alliances and uncertainties about the future, is creating a window of opportunity for China.
However, a simpler explanation might be at play.… Continue reading
Tencent Holdings and CATL experienced significant share price drops after the U.S. Department of Defense added them to its list of Chinese military companies, a designation both firms deny. The National Defence Authorization Act of 2024 prohibits U.S. procurement from listed entities, starting in 2026. While Tencent maintains the listing is erroneous and anticipates legal recourse, analysts express concerns about potential long-term impacts, particularly for CATL’s U.S. business. This action is part of a broader U.S. effort to limit China’s access to advanced technologies.
Read More
China’s Foreign Ministry spokesperson Mao Ning strongly condemned the Philippines’ deployment of the U.S. Typhon missile system, citing its potential to escalate regional tensions and initiate an arms race. Mao argued the system, possessing both nuclear and conventional capabilities, represents a strategic offensive threat, contradicting the Philippines’ claims of neutrality and jeopardizing its sovereignty. The spokesperson accused the Philippines of dishonesty regarding the system’s intended use, shifting from a temporary exercise to potential permanent deployment. China urged the Philippines to withdraw the system, warning that continued deployment could have severely detrimental consequences for the country.
Read More
China’s military expansion, including its growing nuclear arsenal exceeding 600 warheads and projected to surpass 1,000 by 2030, coupled with increased pressure on Taiwan and strengthened ties with Russia, presents a significant challenge to the U.S. However, widespread corruption within the People’s Liberation Army (PLA) may be hindering China’s modernization efforts. Despite setbacks, China continues to advance its military capabilities, particularly in unmanned aerial systems, while engaging in unsafe operations near U.S. and allied forces. The U.S. is responding by increasing its military presence in the Asia-Pacific region and maintaining diplomatic engagement with China.
Read More
The FBI briefed select U.S. lawmakers on a Chinese Communist Party (CCP) scheme to create false narratives portraying them negatively due to their pro-Taiwan stance. The CCP allegedly plans to fabricate stories claiming these lawmakers accepted bribes from Taiwan to influence their support for the island’s democracy. These “defensive” briefings, occurring in the fall, aimed to preempt the CCP’s disinformation campaign. The CCP’s actions reflect escalating tensions between the U.S. and China over Taiwan and are part of broader efforts to influence American politics.
Read More
John Q. Hosedrinker 
Matt Underwood