US-Vietnam trade deal rekindles China tensions
STELLA YIFAN XIE
HONG KONG -- U.S. President Donald Trump's hefty tariff on imports transshipped through Vietnam puts China back in the crosshairs, analysts say, injecting fresh uncertainty into a fragile trade truce between the two superpowers.
In a preliminary trade deal with Vietnam this week, Trump said the U.S. will impose a 20% tariff on all goods from the Southeast Asian country but 40% on all "transshipping." In return, Vietnam's imports from the U.S. -- which totaled merely $13 billion last year, versus $142 billion in exports -- will face zero tariff.
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The Mainichi
4 hours ago
- The Mainichi
Brazil hosts BRICS summit, eager to avoid provoking Trump's ire
RIO DE JANEIRO (AP) -- Brazil will play host to a summit of the BRICS bloc of developing economies Sunday and Monday during which pressing topics like Israel's attack on Iran, the humanitarian crisis in Gaza and trade tariffs imposed by U.S. President Donald Trump are expected to be handled with caution. Analysts and diplomats said the lack of cohesion in an enlarged BRICS, which doubled in size last year, may affect its ability to become another pole in world affairs. They also see the summit's moderate agenda as an attempt by member countries to stay off Trump's radar. Brazilian President Luiz Inacio Lula da Silva will have some of his priorities, such as debates on artificial intelligence and climate change, front and center for the talks with key leaders not in attendance. China's President Xi Jinping won't attend a BRICS summit for the first time since he became his country's leader in 2012. Russian President Vladimir Putin, who will make an appearance via videoconference, continues to mostly avoid traveling abroad due to an international arrest warrant issued after Russia invaded Ukraine. Debate over language on hot-button topics The restraint expected in Rio de Janeiro marks a departure from last year's summit hosted by Russia in Kazan, when the Kremlin sought to develop alternatives to U.S.-dominated payment systems which would allow it to dodge Western sanctions imposed after Russia's full-scale invasion of Ukraine in February 2022. A source involved in the negotiations told journalists Friday that some members of the group want more aggressive language on the situation in Gaza and Israel's attack on Iran. The source spoke under the condition of anonymity because they were not authorized to speak about the matter publicly. "Brazil wants to keep the summit as technical as possible," said Oliver Stuenkel, a professor at the Getulio Vargas Foundation think tank and university. Consequently, observers expect a vague final declaration regarding Russia's war in Ukraine and conflicts in the Middle East. As well as suiting Brazil, a watered-down and non-controversial statement may be made easier by the absences of Putin and Xi, Stuenkel said. Those two countries have pushed for a stronger anti-Western stance, as opposed to Brazil and India that prefer non-alignment. A Brazilian government official told The Associated Press Thursday that the group is expected to produce three joint statements and a final declaration, "all of which less bounded by current geopolitical tensions." The official spoke on condition of anonymity because they were not authorized to speak publicly about the summit's preparations. Joao Alfredo Nyegray, an international business and geopolitics professor at the Pontifical Catholic University in Parana, said the summit could have played a role in showing an alternative to an unstable world, but won't do so. "The withdrawal of Egypt's President Abdel Fattah al-Sisi and the uncertainty about the level of representation for countries like Iran, Saudi Arabia and the UAE are confirming the difficulty for the BRICS to establish themselves as a cohesive pole of global leadership," Nyegray said. "This moment demands high level articulation, but we are actually seeing dispersion." Brazil skittish in light of Trump tariffs Brazil, the country that chairs the bloc, has picked six strategic priorities for the summit: global cooperation in healthcare; trade, investment and finance; climate change; governance for artificial intelligence; peace-making and security; and institutional development. It has decided to focus on less controversial issues, such as promoting trade relations between members and global health, after Trump returned to the White House, said Ana Garcia, a professor at the Rio de Janeiro Federal Rural University. "Brazil wants the least amount of damage possible and to avoid drawing the attention of the Trump administration to prevent any type of risk to the Brazilian economy," Garcia said. While Brazil will continue to advocate for the reform of Western-led global institutions, a cornerstone policy of the group, the country wants to avoid becoming the target of tariffs -- a predicament it has so far largely escaped. Trump has threatened to impose 100% tariffs against the bloc if they take any moves to undermine the dollar. Other leaders shun the summit Iranian President Masoud Pezeshkian and Egypt's Abdel-Fattah el-Sissi will also be absent. Those two countries joined the BRICS in 2024, alongside Ethiopia, Indonesia and the United Arab Emirates. Saudi Arabia has been invited and is participating in member discussions, but it has yet to send its confirmation letter. As well as new members, the bloc has 10 strategic partner countries, a category created at last year's summit that includes Belarus, Cuba and Vietnam. That rapid expansion led Brazil to put housekeeping issues -- officially termed institutional development -- on the agenda to better integrate new members and boost internal cohesion. Despite notable absences, the summit is important for attendees, especially in the context of instability provoked by Trump's tariff wars, said Bruce Scheidl, a researcher at the University of Sao Paulo's BRICS study group. "The summit offers the best opportunity for emerging countries to respond, in the sense of seeking alternatives and diversifying their economic partnerships," Scheidl said. For Lula, the summit will be a welcome pause from a difficult domestic scenario, marked by a drop in popularity and conflict with Congress. The meeting also represents an opportunity to advance climate negotiations and commitments on protecting the environment before November's COP 30 climate talks in the Amazonian city of Belem.
Nikkei Asia
6 hours ago
- Nikkei Asia
China opens third extension to sensitive Taiwan Strait flight path
HONG KONG (Reuters) -- China said on Sunday it has opened a third extension of the M503 flight route, which is just west of an unofficial dividing line in the Taiwan Strait, with Taipei protesting this was a "unilateral" move aimed at changing the strait's status quo. China last year moved the M503 route closer to the median line, drawing a similarly angry response from Taipei, which says any changes to the flight route and its extensions must be communicated in advance and agreed by both sides. The opening of the W121 extension comes days before the annual Han Kuang military and civil defense drills that Taiwan holds to simulate a Chinese blockade and invasion of the democratic island. The median line had for years served as an unofficial barrier between Chinese-claimed Taiwan and China, but China says it does not recognize its existence and Chinese warplanes now regularly fly over it as Beijing seeks to pressure Taipei to accept its sovereignty claims. The Civil Aviation Authority of China said that "in order to further optimize the airspace environment and improve operational efficiency, from now on, civil aviation will use the W121 connection line of the M503 route." Taiwan's China policy-making Mainland Affairs Council said in a statement to Reuters that mainland China "used unilateral actions to change the status quo and increase cross-strait and regional unrest." This is the third extension after W122 and W123, which are to the south of W121, opened last year. All three go west to east, from mainland China in the direction of Taiwan. This measure is aimed at "ensuring flight safety, reducing flight delays, and protecting the rights and interests of passengers," China's Taiwan Affairs Office said. It added that the opening was "beneficial" to both sides of the strait. Taipei disputed the explanation as "unjustified", saying "the number of international air travelers on the mainland has not yet recovered" to pre-COVID-19 pandemic levels. Taiwan, facing ramped-up military pressure from China, which considers the separately governed island as its own, begins its Han Kuang exercises on July 9 and they are set to last for 10 days.
Nikkei Asia
7 hours ago
- Nikkei Asia
Dalai Lama turns 90 and vows to keep defying China for years
DHARAMSHALA, India (Reuters) -- The spiritual leader of Tibetan Buddhists, the Dalai Lama, turned 90 on Sunday after a week of celebrations by followers during which he riled China again and spoke about his hope to live beyond 130 and reincarnate after dying. The Nobel laureate is regarded as one of the world's most influential religious leaders, with a following that extends well beyond Buddhism, but not by Beijing which calls him a separatist and has sought to bring the faith under its control. Fleeing his native Tibet in 1959 in the wake of a failed uprising against Chinese rule, the 14th Dalai Lama along with hundreds of thousands of Tibetans took shelter in India and has since advocated for a peaceful "Middle Way" to seek autonomy and religious freedom for the Tibetan people. Thousands of followers from around the world, celebrities, and officials from the United States and India, will attend his birthday celebrations in Dharamshala, the small Indian town in the foothills of the Himalayas where the Dalai Lama lives. During the celebrations, which will include cultural performances and remarks by long-time follower and Hollywood star Richard Gere as well as federal Indian ministers, the Dalai Lama is scheduled to deliver a speech. In a birthday message on his website on Sunday, the Dalai Lama said he was "just a simple Buddhist monk" and that he will continue to focus on his commitments of promoting human values and religious harmony. Global leaders sent well-wishes, including Indian Prime Minister Narendra Modi and U.S. Secretary of State Marco Rubio. "I join 1.4 billion Indians in extending our warmest wishes to His Holiness the Dalai Lama on his 90th birthday. He has been an enduring symbol of love, compassion, patience and moral discipline," Modi wrote on X. Rubio said the Dalai Lama continued to inspire people by embodying a message of "unity, peace, and compassion." "The United States remains firmly committed to promoting respect for the human rights and fundamental freedoms of Tibetans. We support efforts to preserve Tibetans' distinct linguistic, cultural, and religious heritage, including their ability to freely choose and venerate religious leaders without interference," he said, according to a State Department readout. The preceding week of celebrations was particularly important for Tibetan Buddhists as the Dalai Lama had previously mentioned that he would speak about his succession at his 90th birthday. On Wednesday, he allayed their concerns about the future of the institution of the Dalai Lama by saying that he would reincarnate as the leader of the faith upon his death and that his non-profit institution, the Gaden Phodrang Trust, had the sole authority to recognize his successor. China has said that the succession will have to be approved by its leaders. The United States, which is seeking to counter the rise of China, has called on Beijing to cease what it describes as interference in the succession of the Dalai Lama and other Tibetan Buddhist lamas.
