America's Asian Balancing Act

Amid a shifting Asian order, Trump’s visits to Malaysia, Japan, and South Korea were as much about optics as influence — an attempt to restore America’s waning sway in Beijing’s backyard

- DIPANKAR DEY

The US President just completed his three nations - Malaysia, Japan and South Korea, East Asian tour (October 26-30), where he met leaders from the Association of SouthEast Asian Nations (ASEAN) and the Asia Pacific Economic Cooperation (APEC) bloc.

Malaysia hosted the 47th ASEAN Summit, and South Korea played host for the APEC 2025 Korea. ASEAN comprises 11 core member nations from South East Asia, and ASEAN+6 has free trade agreements with India, China, Japan, South Korea, Australia and New Zealand -the six major economies of the Asia Pacific region. The Asia-Pacific Economic Cooperation (APEC) has 21 members, namely, Australia, Brunei Darussalam, Canada, Chile, China, Hong Kong, Indonesia, Japan, Malaysia, Mexico, New Zealand, Papua New Guinea, Peru, the Philippines, Russia, Singapore, South Korea, Chinese Taipei, Thailand, the United States, and Vietnam, that represent more than 50 per cent of global GDP and are home to about 2.7 billion people. APEC defines membership as “economic entities” rather than “sovereign states,” allowing China, Taiwan, and Hong Kong to join simultaneously in 1991. However, Taiwan participates under the name “Chinese Taipei,” and Hong Kong, after its return to Chinese sovereignty in 1997, uses “Hong Kong, China.”

SIGNIFICANCE OF TRUMP’S EAST ASIA TOUR

Both APEC and ASEAN+5 (RCEP) member nations of the Asia Pacific region are important trading partners of the USA. Table 1 reveals that, except for Australia, the USA runs huge trade deficits with ASEAN, China, Japan, South Korea, and Taiwan. Again with India, which is not part of APEC and RCEP (ASEAN+5), the USA has a substantial trade deficit. Considering the importance of these Asia Pacific economies to the USA, Trump should have visited this region much earlier.