30 May 2024

China-Proofing Asia

MOHAMMED SOLIMAN

China's Belt and Road Initiative (BRI), Beijing’s ambitious international infrastructure strategy, prompted a scramble in Washington and Brussels for a Western response. Perceived as a comprehensive Chinese statecraft initiative aimed at reshaping Eurasia's geoeconomic and geopolitical landscape, every Chinese overseas investment became, in Western eyes, part of the BRI. Indeed, the BRI itself became a catch-all for Western anxieties about Chinese economic power and influence, both justified and unfounded, leading to misinterpretations of Chinese actions and, more importantly, trepidation about China's rise and the West’s own relative decline.

The BRI's launch coincided with a seismic shift in American trade policy. The 2016 U.S. presidential election saw both Republican candidate Donald Trump and Democratic primary contender Sen. Bernie Sanders (I-VT) criticize free trade's impact on America. Former Secretary of State Hillary Clinton, the eventual Democratic nominee, remained the sole national voice in favor of free trade—but she had to pivot her messaging and policy proposals to adjust to the new realities of American politics. The bipartisan consensus on trade fractured, and Trump ushered in a new era of growing support for industrial policy and trade restrictions. This shift continued under the Biden administration with in policies like the Inflation Reduction Act, the CHIPS Act, and a cautious approach to new trade deals due to domestic political considerations.

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