Trump risks serious rift with China over Taiwan

Subject US Taiwan policy. Significance US President-elect Donald Trump has suggested that Washington could fundamentally alter its policy on Taiwan, implying movement towards recognising Taipei as a sovereign state. The 'Taiwan issue' has little resonance in US politics but huge resonance for Beijing, whose top foreign policy priority is to prevent other governments from recognising Taiwan as a sovereign state and manoeuvre Taiwan into accepting full political unification with China. Impacts In attempting to influence US-Taiwan relations, Beijing will prefer to apply pressure on Taipei rather than Washington. China's leadership may feel they must take risks in order to mollify nationalist sentiment at home. Nothing at present suggests that war is a plausible scenario.

Significance President-elect Donald Trump plans to expand military spending as part of his "America First" foreign policy but has so far offered few details of how this expansion will be financed. The new budget will have significant commercial implications for private entities involved in US defence procurements and for Washington’s force posture abroad. Impacts Trump may focus on increasing US-based missile defence capabilities instead of regionally focused systems based overseas. Political complications over NATO deployments may ensue if US spending outstrips that of its allies. Expansion of the nuclear arsenal beyond current modernisation plans could spark an arms race with Washington’s rivals.


Subject Russia's new foreign policy document. Significance A new foreign policy concept presents Russia as a nation facing a range of security threats but nevertheless willing to play a global role in a multipolar, chaotic and unpredictable world. Replacing the 2013 foreign policy concept, the document also attempts to assuage fears of Russian expansionist intent. Impacts Assumptions about the United States may change rapidly under President Donald Trump. Moscow will strengthen its foothold in Syria as a bargaining chip with the West and to show its resolve not to back down under pressure. Russia will refuse to relax control over Ukraine's eastern regions. Asian policy will consist partly of courting China and partly of seeking alliances to counterbalance this. Economic cooperation with Japan will be constrained by lack of a near-term deal on territorial issues.


Significance Since it began in March 2015, the many-sided conflict has become internationalised, following threats to the vital shipping artery in the Bab al-Mandab strait, through which trade worth 700 billion dollars per year passes between Europe and Asia. Previous ceasefires have not held. There is a looming humanitarian crisis. Unpaid public-sector workers are unable to buy food, boosting malnutrition rates. Impacts US President-elect Donald Trump is unlikely to take much interest in the Yemen conflict, leaving mediation to the UN and regional actors. The United Arab Emirates (UAE) will confront al-Qaida in the south of the country, but cannot extinguish its tribal support base. Hadi's vice-president, Ali Mohsen, an old enemy of the Huthis and former ally of Saleh, will be an important power broker.


Significance The Pakistan Muslim League-Nawaz (PML-N)’s five-year term ended on May 31. PML-N President Shehbaz Sharif faces a tough fight to become prime minister, with the main challenge set to come from Imran Khan’s Pakistan Tehreek-e-Insaf (PTI) and further opposition provided by Bilawal Bhutto Zardari’s Pakistan Peoples Party (PPP). Impacts With Khan as prime minister, the military would likely have free rein to pursue an anti-India foreign policy. Khan would step up his criticisms of the war in Afghanistan and likely have a difficult relationship with US President Donald Trump. Pakistan under any government will pursue balanced diplomacy in the Middle East, seeking good ties with both Saudi Arabia and Iran.


Significance President Donald Trump said he dismissed Tillerson as he wants his cabinet to be more in line with his thinking; Trump and Tillerson had clashed over policies and priorities. CIA Director Mike Pompeo will be nominated to succeed Tillerson. The nominee to replace Pompeo at the CIA will be current CIA Deputy Director Gina Haspel. Impacts A better-coordinated foreign policy team could help Trump prepare for his new push on North Korea-US ties. Pompeo may find as secretary of state that he disagrees more openly with Trump; the CIA director is not public-facing. Conceivably, the 2018 midterm elections could further delay Trump nominees, but secretaries could work in an acting capacity.


Subject The State Department. Significance The US State Department’s third-ranking official and most senior career diplomat, Tom Shannon, announced his departure on February 1. While the 60-year old Shannon said he was stepping down for personal reasons, he is only the latest in a stream of senior career diplomats who have left since Donald Trump became president a year ago and appointed Rex Tillerson as secretary of state with a mandate to downsize the department. Impacts Minimising the benefits of diplomacy in favour of military action could exacerbate foreign policy crises and conflicts. White House heel-dragging on filling posts both 'streamlines' State and avoids congressional confirmation scrutiny of political nominees. Concerned that State wields little influence with the White House, Congress will be more assertive in the foreign policy process. Other powers -- particularly US allies -- will seek and have increased direct influence on the White House, cutting out State.


Subject UK foreign policy. Significance Last week the EU and United Kingdom published their negotiating objectives for the future relationship. The European Commission’s negotiating mandate largely reflects the Political Declaration, including a desire for close formal cooperation in defence, security and foreign policy. The United Kingdom’s objectives indicate that it wants less formal cooperation as it seeks to de-institutionalise its relationship with the bloc. Impacts The economic impact of Brexit could cut the size of the UK defence budget, which has already fallen more than 10% in real terms since 2010. The absence of formal channels of EU-UK cooperation and coordination could result in a weakening of the EU’s sanctions regime on Russia.  The re-election of US President Donald Trump would herald a further four years of transatlantic tensions.


Significance Biden and Republican President Donald Trump, seeking re-election, are already sparring over US-China policy; this and other differences over foreign policy will mark the candidates’ campaigning. Impacts Biden would reduce US tariffs on China, favouring more targeted tariffs, but still push for Chinese economic reform. He would increase US attention to the Asia-Pacific, and work with China on North Korean denuclearisation. The next president will likely have to trim US defence spending and commitments overseas. Biden will refer to the Obama administration’s record as evidence of his fitness to govern.


Significance The summit was delayed when a routine 'contact group' meeting failed to produce a common commitment to the 'Steinmeier formula' for moving towards pace. Moscow blamed Kyiv, but Ukrainian President Volodymyr Zelensky's chief aide signalled a shift of position three days later by saying the 'Steinmeier formula' would be written into national legislation. Impacts Zelensky's foreign policy is complicated by US developments around his phone call with President Donald Trump; he will avoid comment. Zelensky has re-committed to four-party-only talks, rowing back on earlier talk of imminent US involvement. Nationalists and former combatants remain a constraint on any Ukrainian leader hoping for compromise. Even a successful settlement in eastern Ukraine would leave Crimea unresolved; Russia will not give ground there.


Subject China's position on humanitarian intervention. Significance China frequently and vocally reiterates its stance on 'non-intervention', which holds that preserving national sovereignty outweighs other ethical concerns in the conduct of foreign policy. Nevertheless, Beijing has over the past decade repeatedly endorsed the doctrine of 'responsibility to protect' (R2P), which mandates intervention in states that fail to protect their populations from atrocities, or that commit such atrocities themselves. In 2011, Beijing appeared to cross the Rubicon, consenting at the UN Security Council to military intervention in Libya. Impacts China's stance towards R2P will greatly affect the future of how the doctrine is applied and developed. It is unlikely that China will again feel it must consent to military intervention against a host government's consent. Promoting a stable international environment for economic development remains China's foreign policy priority.


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