Asia & the Pacific

Secretary of State Mike Pompeo’s most recent announcement on Iran policy has raised some eyebrows. He indicated on Monday morning that the Trump administration will not renew waivers to importers of Iranian crude and that other suppliers (meaning Saudi Arabia) have agreed to increase production in to ensure the global oil market remains well-supplied. Skeptics question whether — after last summer’s debacle — there is sufficient trust between Washington and Riyadh for this arrangement to work. What skeptics may not have digested is that, while timing remains a problem, this is a classic win-win situation. It is a near-perfect example of the very limited universe of occasions when transactional diplomacy could actually work.

Shifts in the global economy have altered Washington’s sanctions calculus. In today’s era of great power competition, priority threats are no longer rogue states with little economic clout but nations with systemically important financial institutions and economic linkages. Russia and China top the list.

America’s sanctions strategy, however, hasn’t evolved to meet this challenge. Section 311 of the Patriot Act remains a powerful tool, but its collateral costs are too high to confront banks that are too big to fail. It’s time for a new Economic Patriot Act that can provide the scalpel-like instruments Washington needs to thwart our adversaries with speed and precision.

The United States and China should manage competition and cooperation at the same time by identifying and working on areas of shared interest, the Harvard professor who has been hunting for solutions to the "Thucydides Trap" has said.

Stephen Walt argues for a return to a realism-based U.S. grand strategy.

Stephen Walt writes that the number of problems Americans need to address is growing and at an increasingly rapid rate. Issues such as climate change, refugees, changing labor markets, soaring deficits, violent extremists, privacy, shifting balances of power, etc. may outstrip the country's capacity to formulate workable solutions. Addressing such problems  successfully will require paying less attention to conditions abroad and more attention to domestic institutions.

As US and China edge towards an accord over trade tariffs, Brussels reaches an understanding with China that relations be built on ‘openness, non-discrimination, and fair competition’ – and a need for vigilance. The EU has been very firm on trade with China, but less so on the vexed question of Beijing’s human rights record.

This paper focuses on the deep decarbonization of the transportation sector. The first part of the paper provides an assessment of China’s efforts to stimulate the rapid deployment of electric vehicles. The second part analyzes the CO₂ equivalent reductions from a 20% electric vehicle deployment scenario. It concludes that under most assumptions, emissions will be reduced, but the total reduction will be less than many people believe due to the carbon intensity of battery manufacturing.

Following the breakdown of February’s Trump-Kim Summit in Hanoi, Belfer Center experts discussed the impact of the shortened summit. 

Juliette Kayyem provides an update on the lack of implementation of the Synthetics Trafficking and Opioids Prevention Act (STOP Act),  which became federal law last year.  The STOP Act closes a security loophole that has provided drug traffickers with a way of shipping synthetic controlled substances into the country through the postal system.