Asia & the Pacific

China is developing 500 smart cities — almost half the worldwide total, and more than 10 times North America's figure.

Why it matters: China's smart cities signal the country's strengths not only in technology and infrastructure, but in implementation.

Capital Choices analyzes the creation of different SWFs from a comparative political economy perspective, arguing that different state-society structures at the sectoral level are the drivers for SWF variation. Juergen Braunstein focuses on the early formation period of SWFs, a critical but little understood area given the high levels of political sensitivity and lack of transparency that surround SWF creation. Braunstein’s novel analytical framework provides practical lessons for the business and finance organizations and policymakers of countries that have created, or are planning to create, SWFs.

The strategic rationale for the relationship between the United States and China has collapsed. After a quarter century in which American presidents sought to integrate a rapidly developing China into the American-led international order, the United States has concluded that what it thought was a “strategic partner” is in fact a “strategic adversary.” After decades of keeping its head down following Deng Xiaoping’s injunction to “hide and bide,” Xi Jinping’s China has discarded that cloak and become increasingly assertive.

This article provides the first systematic analysis of China's conduct in its offshore territorial conflict with Japan to contend that Beijing has adopted a wedging strategy aimed at weakening the U.S.-Japan alliance. Building on previous scholarship, the article demonstrates that over the post–Cold War era China has consistently subordinated its territorial interests in the Senkaku/Diaoyu dispute to help advance broader political and strategic goals.

President Donald Trump's manipulation of America's privileged international system will strengthen other countries' incentives to extricate themselves from US networks of interdependence in the long run. In the meantime, there will be costly damage to the international institutions that limit conflict and create global public goods.

This week Project Syndicate catches up with Joseph Nye, Professor at Harvard University, and author of Is the American Century Over? and the forthcoming Do Morals Matter? Presidents and Foreign Policy from FDR to Trump.

Washington should adjust its coercive economic strategy to reflect a broader use of tools beyond sanctions. Given the degree of political interference in China’s banking system via formal state ownership and the indirect influence of opaque party committees, penalties imposed against the country’s banks are unlikely to produce a meaningful change in behavior.

President Trump’s trip Sunday to the Demilitarized Zone between North and South Korea and his historic decision to cross briefly into North Korea was a made-for-TV diplomatic spectacular. But it was also a test of whether personal diplomacy can trump (so to speak) longstanding definitions of a country’s national interests by persuading North Korean leader Kim Jong Un to end his nuclear weapons program.

If President Trump is to be believed, the United States just came within 10 minutes of launching war against Iran. Make no mistake, these would not have been pinprick strikes that Iran simply swallowed. They would have marked the beginning of a costly war that put tens of thousands of American service members in the Gulf, our regional partners and Israel directly at risk, while shocking the global economy by choking off shipping through the vital Strait of Hormuz.

The most important variable in the current Persian Gulf confrontation is time. The Trump administration wants to play a long game, to draw the sanctions tourniquet ever tighter. Iran needs to play a short game, to escape the U.S. chokehold before it becomes fatal.