This article explores the evolving relationship between the United States and Japan, highlighting the recent shift in their economic policies and the growing strategic importance of Japan in the face of China’s rise. While America embraces industrial policies and protectionism, Japan is becoming more pro-market and shareholder-friendly, leading to a complex and multifaceted partnership.
The European Union has initiated an investigation into China’s medical devices market, prompting immediate accusations from Beijing that the bloc is engaging in protectionism. Brussels suspects that China favors domestic suppliers in medical device procurement, raising concerns over a ‘Buy China’ policy, import restrictions, and abnormally low bids. If the EU investigation concludes that China is engaging in unfair practices, it could limit Chinese companies’ access to the 27-nation bloc’s public procurement market.
The global economy is becoming increasingly polarized between the West and the Global South, with the former propping up its green industries with subsidies and tariffs against the cheaper products of the latter. This strategy, however, is short-sighted and will ultimately lead to slower growth and higher indebtedness in the West. Meanwhile, the Global South, with its lower costs, will enjoy faster growth and healthier finances.
