Diplomacy

China bullies South Korea at its own risk

12 Jan 2017

Beijing looks to be exacting economic revenge against Seoul over a U.S. military pact. Sectors riding the "Korean wave" in China, like cosmetics and entertainment, are in the crosshairs. But deep manufacturing ties are harder to break. Excessive harshness would backfire on China.

Anglo-U.S. trade exposed to specialness deficit

9 Jan 2017

The UK’s “special relationship” with America gets more crucial as it moves towards a clean break with Europe. Transatlantic imports and exports are balanced – which should please President-elect Donald Trump – yet Britain has more to lose. Finance looks particularly vulnerable.

Seoul’s top buyout firm dodges missile-shield hit

5 Jan 2017

MBK wanted to sell ING Life Korea for $3 bln. But Chinese buyers fled after a U.S.-South Korea defence pact riled Beijing.  So the private equity group plans to float it. After more than doubling the value of the once-struggling insurer, MBK can still profit nicely.

Trump adds attack-dog bite to global-trade bark

3 Jan 2017

GM is the latest target of the president-elect's ire for outsourcing to Mexico. His pick for U.S. trade rep knows how to impose import restraints and tariffs. Robert Lighthizer's nomination heralds a more comprehensive assault on free trade than Trump's Twitter tirades.

Cox: Taiwan deserves better than Trump’s drive-by

15 Dec 2016

In the days since the U.S. president-elect trashed protocol and spoke to President Tsai, it has become apparent that Asia's shining example of vibrant democracy got taken for a ride. A flicker of pride can't offset being played as a pawn in Trump's antagonistic approach to China.

Tillerson would take more bad than good to State

12 Dec 2016

The Exxon CEO's dealmaking means he's already a diplomat of sorts. So he would be fine with the basics of foreign affairs and Donald Trump's apparent "America-first" policy. But his ties to Vladimir Putin and his cronies would make him an inflammatory pick, even with Republicans.

China will show Trump more carrot than stick

9 Dec 2016

The People's Republic likes to test out new U.S. presidents. Its response to the TV tycoon’s early tantrums, however, hints at a more measured approach. China will try to avoid provoking Trump on currency and military issues, but take a harder line on investment and trade.

Trump to U.S. businesses in China: drop dead

5 Dec 2016

U.S. President-elect Donald Trump's precedent-breaking call with Taiwan's president, followed by ominous tweets about Chinese policy and American firms' overseas production, has diplomats scrambling. One thing is clear: Trump doesn't care about U.S. investments in China.

Britain’s haul: 27 gold medals and a wooden spoon

22 Aug 2016

China underwhelmed in the Olympic medals table, while the tiny UK excelled. That’s a poor guide to more important competitions. Though Britain still has soft power, its value as a role model is on the wane. China no longer needs gold medals to secure its place on the podium.

Barnier’s Brexit gig better than it looks for UK

27 Jul 2016

Brussels' ex-financial services tsar is to lead EU talks over Britain's exit. Michel Barnier has at times raised British hackles, but he largely treated the City of London fairly. Arbitration won't be smooth, but the identity of the negotiator could have been worse.

China’s legal defeat is new threat to Asian trade

14 Jul 2016

The People's Republic has angrily rejected an international panel's denial of its claims in the South China Sea. Though rhetorical sabre-rattling is mostly harmless, an economic backlash would hurt already-weak imports and exports in the region. Such tactics have misfired before.

Damning Iraq report shows there’s hope for Britain

6 Jul 2016

A state inquiry has slated British lawmakers for the 2003 Iraq war. This, and a post-referendum political vacuum, may spur investors to wonder why they fund the UK’s big current account deficit. The answer - for now - is institutional resilience and a capacity for self-criticism.

Putin is slipping into Crimean economic sinkhole

14 Jun 2016

Russia’s struggle to build a bridge link to Crimea is a microcosm of President Vladimir Putin’s problem: his annexation carries high costs but is yielding meagre benefits. Public discontent risks flaring before September’s parliamentary elections and may spur a new crackdown.

Mass shootings erode U.S. soft power

13 Jun 2016

People the world over sympathize with the dozens killed in an Orlando nightclub. Whatever the attacker’s motives, though, Washington’s allies can’t fathom the richest nation’s continuing failure to control access to lethal weapons. It’s a blind spot that saps America’s influence.

Saudi pitches to U.S. in diminished circumstances

13 Jun 2016

Cheap oil, the opening up of Iran and shootings in Orlando could all make Deputy Crown Prince Mohammed bin Salman’s visit to the United States unusually tense. Saudi needs security guarantees and oil demand as it tries to modernise its economy. That puts it on the back foot.