Diplomacy

China’s Belt and Road plan builds bridge to Canada

27 Oct 2017

Aecon is being sold to a Beijing construction titan for C$1.5 bln. The 42 pct premium should satisfy the target's investors and Canadian officials have little to squawk about. It's also a deal that can bypass China's M&A crackdown as it befits an infrastructure drive.

Guest view: Chinese oil can fuel North Korea talks

16 Oct 2017

Nothing will concentrate the minds of North Korean leaders more than a Chinese oil embargo, argues William Rhodes, a former Citigroup executive and co-chair of the G30’s steering committee on bank culture and governance.

Trump’s hardline NAFTA stance could benefit Asia

11 Oct 2017

Canada and Mexico oppose a U.S. push to boost North American content for autos and impose a new 50 percent standard for U.S.-sourced parts. The White House says it will reduce the U.S. trade deficit. But the push could increase costs for automakers and force them to move abroad.

U.S.-Mexico water deal will get investment flowing

27 Sep 2017

The two countries set aside broader trade disputes in a new pact to share the Colorado River. More cooperation gives clarity to the 40 mln people who rely on the waterway. It will also help secure the billions needed for conservation, reusing water and upgrading infrastructure.

Trump’s new Democrat friends put China on notice

26 Sep 2017

The U.S. president touted his common ground with congressional minority leaders Chuck Schumer and Nancy Pelosi when it comes to Beijing. They talk tougher on currency manipulation and trade than some in the White House. Their chumminess could put more economic pressure on China.

Diplomatic fog blinds China and U.S. over N. Korea

22 Sep 2017

Economic curbs are squeezing North Korea but the volley of test missiles hasn't slowed. Trump and Xi have misread the situation, and each other. Kim Jong Un is unimpressed by half-hearted sanctions; they strengthen him domestically. Time to price in the risk of real violence.

South Korea wobbles walking U.S.-China high-wire

20 Sep 2017

Seoul's balancing act between China and America looks untenable. North Korean missiles are flying, yet Beijing is spanking South Korea over a U.S. missile-defence system. Trump, unsympathetic, wants trade concessions. Perhaps it’s time for a regional counterbalance to China.

Qatar jet deal a win for BAE but a loss for London

18 Sep 2017

A deal to buy Typhoon fighter jets will secure thousands of UK manufacturing jobs. But building stronger defence ties with the sheikhdom is a risk when its squabble with Saudi Arabia is unresolved. That could backfire if the kingdom reacts by vetoing a London listing for Aramco.

Fosun beats the odds with revamped Indian deal

18 Sep 2017

The Chinese conglomerate’s drug unit will buy a smaller 74 pct of KKR-backed Gland Pharma for $1.1 bln. That shows Beijing is still open to sensible foreign deals. And despite a recent border spat, India is open to Chinese money, especially if deals are carefully structured.

China-India spat signals last hurrah for BRICS

4 Sep 2017

The duo stepped back from a border dispute in time for a smooth summit of the emerging markets bloc. But Beijing’s focus on Belt and Road, its ambitious global infrastructure push, has it and India marching in opposite directions. That looks toxic for the alliance.

U.S. blunt force ill-suited to NAFTA intricacies

16 Aug 2017

President Trump’s trade chief demanded changes to reduce the country’s trade deficit at the renegotiation kickoff. He also wants to speed up talks given upcoming elections. The America First tone fails to recognize that Canada and Mexico have leverage, and face pressure at home.

Hadas: A lesson for the Brexit mess from Obamacare

16 Aug 2017

The British vote to leave Europe and the vow by Republicans to cut back government health insurance were triumphs of dreams over reality. Facing the unpopular prospect of actually reducing benefits, the Americans blinked. The UK, with even worse choices, could do the same.

Pyongyang nudges Seoul onto Trump’s bad-boy list

15 Aug 2017

The U.S. president is unhappy with South Korea's softer approach to hostile North Korea, putting pressure on other disputes. America is scrutinizing its ally over currency manipulation and trade barriers. With China squeezing the economy, compromise would be advisable.

Financial flirtation complicates China-India spat

14 Aug 2017

A tussle over territory between the Asian nations is more consequential given deepening economic ties. Beijing wants access to the Indian consumer; New Delhi cannot be picky about foreign capital. The mutual financial embrace is a new reason for both sides to keep the peace.

Viewsroom: Diplomatically challenged Trump

10 Aug 2017

The U.S. president needs Beijing’s help with North Korea even more after his recent warmongering outburst. Yet his administration just slapped petty import tariffs on Chinese aluminum. Also: what a Google engineer’s sexist memo says about the firm, Silicon Valley and society.

Wall Street’s resolve overcomes even Pyongyang

9 Aug 2017

U.S. investors shrugged off possible Armageddon just as easily as protectionism and D.C. dysfunction. President Trump’s blunt nuclear warning might have been a fresh reason to rush into gold or gunsmiths. Mr. Market, however, rarely foretells geopolitical or economic threats.

U.S.-China trade spat imperils N. Korea diplomacy

9 Aug 2017

The White House needs Beijing’s help more than ever as Trump and Kim Jong Un swap warmongering threats. Yet the administration just imposed import duties on Chinese aluminum-foil makers. That’s petty at the best of times. Right now, any trade dispute is a dangerous distraction.

Trump fuzziness gives NAFTA mediators wiggle room

17 Jul 2017

The president wants to cut deficits with Mexico and Canada and strengthen rules for products made in North America. But his trade rep is offering few details, while cribbing other ideas from the ditched TPP. Such a vague approach may increase the chance of striking a decent deal.

Dubai is weakest link in anti-Qatar stand-off

11 Jul 2017

Keeping its doors open while neighbours kept theirs closed has been a winning strategy for the Middle Eastern trading enclave. The blockade of Qatar will leave a mark on Dubai’s vital real estate sector and trade flows – and could leave its investor-friendly reputation dented.

Beijing-Trump relations enter dangerous phase

4 Jul 2017

Chinese and U.S. leaders misread each other. Beijing overinvested in a few relationships, while it ran up the trade surplus and failed to rein in North Korea. Trump's team is now pushing back with sanctions, tariff threats and military moves. The risks of a trade war are rising.