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Survival in Times of Predatory Trade: Is Asia on to Something?

Mint Hyderabad

|

August 01, 2025

It may find dismal deals better than losing access to US markets

- DANIEL MOSS

For a region often hailed as the future of the global economy, it has been an unedifying experience. One by one, Asian leaders swallowed trade accords with the US that are slightly better than envisaged a few months ago, but more punitive than when they bet on access to the American market as a development strategy decades ago. The glory days of supply chains must seem like a prehistoric time to the countries that lined up to concede to White House demands for levies. It is certainly a throwback to an earlier, less prosperous, age: The overall level of US tariffs is now the highest since the 1930s, according to Bloomberg Economics. Japanese Prime Minister Shigeru Ishiba was once adamant he would never accept duties, especially on automobiles, but concluded he could live with a 15% penalty. The EU's top official, Ursula von der Leyen, on Sunday said the 15% rate the bloc settled on with US President Donald Trump was the best she could manage.

Key economies yet to strike a deal, such as South Korea and India, risk more adverse terms than those that already went along to get along.

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