As the global geopolitical landscape shifts and the United States redefines its role on the world stage, Japan, its closest ally in the Asia-Pacific, faces mounting expectations and emerging opportunities. In recognition of this critical juncture, APARC’s Japan Program and the United States-Japan Foundation convened a timely symposium at Stanford University, Recalibrating U.S.-Japan Collaboration in a Time of Tumult. The event brought together scholars, policymakers, and practitioners to explore how U.S.-Japan relations are adapting to new global realities. Over the course of five thematic sessions, participants engaged in a dialogue that spanned foreign policy, international trade, social governance, civil society, and even the cultural diplomacy of baseball.

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The opening session, “Global Democracy, Foreign Aid, and Regional Security: As the U.S. Pulls Back, Will Tokyo Step Up?,” featured Larry Diamond, Mosbacher Senior Fellow of Global Democracy at Stanford’s Freeman Spogli Institute, Shinichi Kitaoka, former Japanese ambassador to the United Nations and past president of the Japan International Cooperation Agency (JICA), along with APARC Japan Program Director Kiyoteru Tsutsui. Together, they examined Japan’s potential to assume a greater leadership role in defending democratic norms and providing regional public goods in an era of American retrenchment. The discussion underscored both Japan’s growing capacity and its constitutional and cultural constraints.

In the second session, “How Tariffs and Trade Wars are Reshaping the Indo-Pacific,” Wendy Cutler of the Asia Society Policy Institute and Peter Wonacott of the Stanford Doerr School of Sustainability reflected on the disruptions facing global trade. Drawing on their experience in economic policy and journalism, respectively, they traced how protectionist policies and decoupling strategies are altering regional supply chains. Their analysis emphasized the importance of maintaining open trade flows while also reinforcing economic resilience across the Indo-Pacific.

The third session, “The Future of DEI, ESG, SDGs: Will Japan Follow the U.S. or Stay the Course?,” focused on evolving norms around corporate and social governance. Keiko Tashiro, deputy president at Daiwa Securities Group, joined Gayle Peterson of Oxford’s Saïd Business School and Stanford sociologist Patricia Bromley to evaluate whether Japan’s institutions will align with American trends or continue along a distinct trajectory. Panelists discussed Japan’s historically unique approach to equity and sustainability, noting the domestic implementation of global frameworks such as the UN-sanctioned Sustainable Development Goals.

The fourth session, “Redefining the Relationship Through Civil Society: Burden Sharing, Knowledge Sharing, Picking up the Slack,” included remarks from Mike Berkowitz of the Democracy Funders Network, Laura Deal Lacey of the Milken Institute, and Jacob M. Schlesinger, president and CEO of the United States-Japan Foundation, who explored how non-state actors are increasingly stepping in to fill voids left by governments. The conversation highlighted the growing role of philanthropic networks and think tanks in shaping bilateral cooperation, particularly in areas such as disaster response, democratic resilience, and public diplomacy.

Capping the day’s proceedings was the session titled “Diamond Diplomacy Redux: Baseball as a Bilateral Bridge.” Featuring Stan Kasten, president and CEO of the Los Angeles Dodgers, and Yuriko Gamo Romer, director of the documentary “Diamond Diplomacy,” the discussion viewed U.S.-Japan relations from a cultural diplomacy perspective. The two reflected on the enduring symbolism of baseball in forging people-to-people ties, illustrating how shared pastimes can foster mutual understanding even amid geopolitical uncertainty.

The symposium served as a vital platform for reassessing the U.S.-Japan alliance in a period marked by shifting global norms. As the international system undergoes profound change, the panelists indicated that the robust partnerships must evolve not only through diplomacy and defense but also across the realms of trade, governance, civil society, and cultural exchange.

Donald Trump’s decisive victory in the 2024 U.S. presidential election has reignited debates about the United States' role in a world increasingly defined by geopolitical tensions, economic uncertainty, and democratic recession. The return of Trump to the White House will have profound implications for Asia. To assess the stakes for the region, APARC convened a panel of experts who weighed in on the potential risks and opportunities the second Trump administration’s policies may pose for Asian nations and how regional stakeholders look at their future with the United States. Another panel, organized by APARC’s China Program, focused on what’s ahead for U.S.-China relations.

High Stakes for the Asia-Pacific

APARC’s panel, The 2024 U.S. Presidential Elections: High Stakes for Asia, examined how the return of Trump’s political ideology and the macroeconomic effects of his foreign policy will affect Asia.

“We are witnessing the solidification of Trumpism as an influential political ideology,” stated APARC and Korea Program Director Gi-Wook Shin at the opening of the discussion, “one that has begun to transcend traditional  American conservatism. Trumpism — marked by a blend of economic nationalism, nativism, and a strongman approach to leadership —could have a huge impact not only in American society but also on the liberal global order.”

According to Shin, Trump’s policies, particularly his focus on unilateralism and economic self-interest, could significantly alter the political and economic dynamics of the Asia-Pacific region.

Political scientist Francis Fukuyama, the Olivier Nomellini Senior Fellow at the Freeman Spogli Institute, argued that Trump’s victory was no longer an anomaly but part of a larger trend of working-class voters shifting allegiance from the Democratic to the Republican Party. Fukuyama expressed concerns about Trump’s aggressive economic policies, including imposing broad tariffs on allies and adversaries alike, and warned that such policies could result in inflation, trade tensions, and long-term economic instability. In addition, he asserted that Trump’s reluctance to engage in foreign conflicts could undermine the United States’ commitments to security alliances, particularly in Asia.

APARC Deputy Director and Japan Program Director Kiyoteru Tsutsui emphasized the broader geopolitical implications of Trump’s policies, noting that Trump’s "America First" approach could further erode the international liberal order. He suggested that Japan would face significant challenges navigating the unpredictability of Trump’s foreign policies. According to Tsutsui, “There might be greater pressure to line up with the United States in dealing with China economically, which would  put a great deal of strain on the Japanese economy.” Such an alignment might also muddle Japan’s own diplomatic and security interests.

Gita Wirjawan, a visiting scholar with Stanford's Precourt Institute for Energy and former visiting scholar at APARC, focused on the stakes for Southeast Asia. Wirjawan argued that Trump’s economic policies, such as protectionism and prioritizing economic growth over democratic principles, could embolden right-wing populist movements in Southeast Asia. He suggested that parts of Southeast Asia could be a natural beneficiary of a reallocation of financial capital from the U.S. as companies diversify supply chains by establishing operations outside China in response to Trump’s planned tariffs. Yet, growing economic inequality in Southeast Asia, particularly in urban areas, could fuel the rise of similar nationalist policies, undermining efforts to promote inclusive, democratic development.

Shin highlighted the challenges South Korea might face under a second Trump presidency. Trump will likely demand higher defense payments from South Korea, potentially straining the U.S.-ROK alliance. This could put President Yoon in a tough spot, especially as trilateral U.S.-Japan-Korea cooperation has been progressing well but faces uncertainty. Economically, South Korean firms may struggle if U.S. policies like the Inflation Reduction Act and CHIPS Act are rolled back, as subsidies were crucial for their investments in the U.S. On North Korea, Shin noted that Trump may resume summit diplomacy with Kim Jong Un, leaving South Korea sidelined and potentially sparking an arms race in Northeast Asia. 

The panelists all emphasized that Asia, with its diverse political landscapes, would need to navigate a new era of economic nationalism and geopolitical unpredictability, with potential challenges to economic stability and democratic norms.

A Focus on U.S.-China Relations 

The second panel, "Crossroads of Power: U.S.-China Relations in a New Administration," focused specifically on the evolving dynamics of U.S.-China relations in the wake of the election. Moderated by APARC China Program Director Jean Oi, the discussion featured Shorenstein APARC Fellow Thomas Fingar, and Peking University's Yu Tiejun, the APARC's China Policy Fellow during fall 2024. The panelists analyzed the potential trade, security, and diplomacy shifts between the two global superpowers, particularly in light of Washington's bipartisan consensus on China. 

Central to the discussion was the continuity of U.S. policy toward China under the first Trump administration and the Biden administration. Examples of this continuity included recent tariff increases on Chinese imports, a new U.S. Department of the Treasury program to screen U.S. outbound foreign investments in key sectors, and tighter export controls on critical technologies like quantum computing and advanced semiconductors. The panelists explored the economic and strategic ramifications, noting that these policies could disrupt existing trade patterns. 

Another area of concern was China’s uneven implementation of the 2020 Phase One  trade deal it negotiated with the U.S., in which China had committed to domestic reforms and $200 billion of additional U.S. imports. This failure could buttress the new administration’s plan to increase tariffs, complicating diplomatic efforts between Washington and Beijing. Fingar noted that while China has made efforts to diversify its supply chains, these changes might not be enough to shield it from the effects of U.S. economic policies, which could include escalating tariffs or additional restrictions on Chinese exports. 

The conversation also touched on broader geopolitical considerations, particularly concerning China’s role in the ongoing war in Ukraine. The panelists discussed the potential for cooperation or de-escalation in U.S.-China relations, with China’s positioning on the war serving as both a point of contention and a possible avenue for diplomatic engagement. 

Underscoring the deepening complexities in U.S.-China relations post-election, the panelists highlighted the uncertainty surrounding U.S. foreign policy under a second Trump administration, particularly regarding the role of people-to-people exchanges in fostering mutual understanding.

Both events emphasized the multifaceted consequences of Trump’s return to power for Asia and the global international order. While the discussions highlighted the challenges posed by the rise of economic nationalism, trade tensions, and shifting security priorities, they also pointed to potential areas of cooperation and the evolving dynamics of global diplomacy.

In the Media

From Center Fellow Oriana Skylar Mastro:

What a Second Trump Term Means for the World
OnPoint – WBUR, Nov 12 (interview)

Race to the White House: How the US Election Will Impact Foreign Policy
UBS Circle One, October 23 (interview)

From Visiting Scholar Michael Beeman:

On Korea-U.S. Economic Cooperation in the Era of Walking Out
Yonhap News, Nov 20 (featured)

Trump Looking for Trade 'Reset' with Most Countries: Ex-USTR Official
Nikkei, Nov 16 (interview)

How Southeast Asia Can Weather the Trump Trade Typhoon
The Economist, Nov 14 (quoted)

The United States remains a leader in the global economy, yet over the past decade, it has taken a sharp turn away from its traditional support of free, rules-based trade. Since 2016, Washington has withdrawn from international trade agreements it once championed, opting for a more unilateral approach and pivoting from many of the obligations and norms it had shaped and insisted others honor to make trade fair, equitable, and mutually beneficial. How did the United States arrive here, and what steps should it take to leverage its strengths in the global trade system moving forward?

APARC visiting scholar Michael Beeman addresses these questions in his new book Walking Out: America’s New Trade Policy in the Asia-Pacific and Beyond (published by APARC, distributed by Stanford University Press). As a former Assistant U.S. Trade Representative for Japan, Korea, and APEC, Beeman brings an insider’s perspective to the recent transformation of U.S. trade policy. He provides a timely analysis of the forces driving this shift, examines its implications for America’s role in the global economy, and offers prescriptions for a robust U.S. trade policy that still serves American interests while allowing for compromise among competing ones.

Join Dr. Beeman on campus for our book launch event on October 17. Reserve your spot today >

Beeman joined APARC Communications Manager Michael Breger to discuss his new book. Listen to the conversation on our SoundCloud or YouTube channels. You can also download a transcript of the conversation.

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A Departure From the Norm

In Beeman's analysis, the tactic of "walking out" as a means to renegotiate international agreements reflects a fundamental shift in U.S. trade policy, marked by a rejection of established conditions, obligations, and norms that had previously facilitated global trade and reduced conflict. This shift has had significant repercussions, as Washington has increasingly distanced itself from the principles it once championed, such as non-discrimination, transparency, openness, and reciprocity in trade. The change represents more than the inability to agree to a specific trade deal. According to Beeman, it is a rejection of Washington's long-held principles in pursuit of new goals.

Beeman attributes the collapse of the decades-long bipartisan consensus supporting free trade to a domestic political climate, where “the emergence of America’s zero-sum-centered politics [is] the new, defining feature of its political system.” In this new system, trade is viewed not as mutually beneficial but as a competition for limited resources. This transformation began gaining traction during the 2007-2008 financial crisis, which galvanized new political movements, like the Tea Party and the so-called New Right, that simultaneously criticized free trade agreements.

Acknowledging the effects of domestic politics on trade policy, Beeman explores how the current political landscape, marked by extreme division, shapes trade decisions and reflects broader societal tensions. The author draws parallels between historical trade policy and the contemporary environment, noting that just as the 1930s saw dramatic swings in U.S. tariff policies, today’s new political geometry is “forged from extreme new levels of domestic political division [...] On trade, it is a geometry of acute angles and no longer one of curves and tangents.”

This political backdrop has resulted in an increasingly politicized trade policy that hampers efforts to find consensus. Beeman emphasizes that the transformation of U.S. trade policy is not merely a reflection of external pressures but a byproduct of internal political dynamics that redefine the goals and assumptions underpinning U.S. trade strategy.

Trade Policy Tensions
 

Among the many trade agreements that the U.S. has recently abandoned was the Trans-Pacific Partnership (TPP). According to Beeman, internal divisions regarding the TPP's stringent rules and demands — especially concerning auto manufacturing — highlighted a rift between America's expectations of its trading partners and its willingness to accept compromise.

Various rules and regulations dictated by the TPP stoked domestic contention and “had scrambled the usual pathways to achieve the vote margins needed for these agreements. [They] also revealed the sharp new tension between what America expected and wanted from others and what it was willing to agree upon and accept for itself.” The Biden administration's decision to abandon its Indo-Pacific Economic Framework for Prosperity (IPEF) trade agreement in late 2023 further illustrated ongoing tensions in U.S. trade policy, underscoring a lack of coherent strategy following the TPP's collapse.

The book explores how the Trump and Biden Administrations have grappled with the contradictions in their trade policies. While Robert Lighthizer, the former trade representative under Trump, embraced a confrontational approach, Beeman criticizes the fallout from these decisions, arguing they often left established commitments unfulfilled and damaged international relationships. But Beeman also maintains that the Biden Administration's attempts to repair and redefine trade relationships have resulted in a series of inconsistent policies, reflecting internal domestic tensions yet to be resolved.

“As a set of social values and domestic priorities in search of a means to express themselves through America’s external trade policies, [the Biden] Administration attempted to explain its approach in ways that often only raised contradictory distinctions.” Once these “became harder to explain and justify, [it] began developing what amounted to a new theory of global trade disorder and dysfunction in an attempt to more convincingly frame its decisions.”

According to Beeman, disruptions from Covid-19 were a “helpful backdrop,” but, he argues, “if set against the vastly more immense challenges of the late 1940s and early 1950s, when America made an intentional policy choice to work with other countries to commit to open, rules-based trade to lead the world out of crisis, the problems of 2020-21 were challenges that policymakers from that time undoubtedly would have preferred.”

Barriers to Progress
 

The current political landscape has made it challenging for Congress to reach a consensus on trade issues. The failure to renew the Generalized System of Preferences (GSP), which provided tariff relief to developing countries, exemplifies the paralysis in U.S. trade policy. Beeman remarks upon how, “after the bipartisan mainstream that advanced open and freer trade […] was swept away by America’s New Right and progressive Left, their shared interest in adding new and ever more conditions to America’s imports was insufficient to overcome their sharp disagreements over which conditions to add.” For Beeman, the inability to agree on new conditions for trade reflects broader ideological divides that hinder progress.

Ultimately, Beeman warns that America’s zero-sum approach to trade may lead to a cycle of self-inflicted isolation. He argues that this shift is not solely a reaction to China’s rise but represents a deeper ideological rift in American politics. “International trade adds a foreign, or external, dimension to zero-sum thinking that has facilitated a surprising degree of alignment between the New Right and the progressive Left,” he writes, specifically the “zero-sum belief that America is made worse off by freer trade, which benefits ‘them.’” Such an alignment has created an environment where bipartisan support for trade agreements has eroded, complicating efforts to establish a coherent and effective trade policy moving forward.

An essential read for anyone interested in the international political economy of trade and the future of America’s role in the global economy, “Walking Out” highlights the urgent need for the United States to reconcile its domestic divides to reestablish its role in the global economy. The current trajectory, characterized by a rejection of its foundational principles, risks fostering new conflicts with allies and adversaries alike, contradicting the original goals of the international trading system.

Since its formation in 1989, the Asia-Pacific Economic Cooperation (APEC) has functioned as a platform for economic engagement and cooperation across the Pacific Rim. The forum, which expanded to include 21 member economies, emerged following the success of other regional trade blocs, aiming to draw upon the increasing level of interdependence of Asia-Pacific economies to make progress on multiple member-defined priorities. Traditionally trade-focused, APEC has expanded its cooperation to other areas such as human resources, marine conservation, and public health.

On October 6, 2023, Shorenstein APARC kicked off its fall 2023 seminar series, Exploring APEC’s Role in Facilitating Regional Cooperation, to accompany APEC’s upcoming convening in San Francisco on the week of November 12. Meetings between the member economies will cover trade, innovation and digitalization, energy, and other related issues, with a special emphasis on fostering sustainable economic growth and prosperity across the region.

The first event in the series, APEC’s Role in the Evolving Asia-Pacific Order, featured panelists Aida Safinaz Allias, the minister for economic affairs at the Embassy of Malaysia to the United States and a former APEC senior official for Malaysia; Ambassador Kurt Tong, a managing partner at The Asia Group, former U.S. Ambassador for APEC, and former U.S. consul general and chief of mission in Hong Kong and Macau; and moderator Michael Beeman, a visiting scholar at APARC and former assistant U.S. trade representative for Japan, Korea, and APEC at the Office of the U.S. Trade Representative.

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Beeman opened the session by acknowledging that “these are very complicated and often tense times in the Asia-Pacific region.” APEC has been charged with being a facilitator for economic cooperation in the region and “current challenges in the region have impacted and, in many ways, limited the ambition that APEC held at its inception,” said Beeman.

Beeman recognized that there are many who question the value of multilateral groupings like APEC, but said that “APEC is in its 34th year and the level of activity and work in APEC going on under the surface is as high as it's ever been…although it has faded from public attention, it is still valued by its members and there are hundreds of meetings going on every year in APEC, with thousands of participants joining.”

Throughout the session, participants examined the extent to which APEC still has value in the region, can still shape the region and its future, and whether APEC is “worse for wear.” The panelists investigated the degree to which the forum remains a flexible way of maintaining cohesion on economic cooperation and setting an agenda while promoting ongoing engagement “under the surface.” For Beeman, APEC still maintains its usefulness because of its flexibility, and “in many ways, APEC has bent but not broken, which is an important attribute in this day and time, and it may be more valuable today in the current environment.”

Speaking from her experience as a former APEC official, Aida Safinaz Allias outlined the relevance of APEC over the years and its distinct mechanisms that separate it from other multilateral groupings. Allias discussed the unique elements of APEC’s mission and its voluntary, non-binding, and consensus-building principles.

Allias referenced the three pillars of APEC's agenda: Trade and investment liberalization, business facilitation, and economic and technical cooperation. “APEC’s three pillars are very important for a country like Malaysia because it balances out things like liberalizing trade and investment, but it also builds [Malaysia’s] capacity to work out its own issues further…It's not just liberalizing the digital regime but upgrading skills and infrastructure in many parts of the Pacific.”

In 2020, during the height of the COVID pandemic, Malaysia hosted APEC and members agreed upon the tenets of a new 20-year plan, Putrajaya Vision 2040. Allias outlined the initiative to establish an open, dynamic, resilient, and peaceful Asia-Pacific community by 2040. The Vision is predicated upon the goals of driving trade and investment to ensure that the Asia-Pacific remains a dynamic and interconnected regional economy driven by innovation and digitalization to empower people and businesses and promote sustainable and inclusive growth to increase resilience to shocks, crises, and pandemics.

Ambassador Kurt Tong further elaborated on some of the prevailing challenges facing APEC member economies and forecasted that such challenges would dominate the upcoming forum discussions in San Francisco. First and foremost, according to Tong, is the issue of global supply chain resilience, which “is not really a liberalization issue but rather an information issue.” Tong questioned whether solutions to global supply chain interruptions might be found and made useful through coordination between economies at the upcoming APEC convenings.

Tong also listed green growth as a top priority for member nations and asked, “Can APEC capture the desire of every economy to have less of an environmental impact while still growing rapidly?” He indicated that the primary impediment to energy transformation is the question of “who's going to pay for it, and can APEC make a contribution?” Tong listed other pressing issues including the mobility of people between economies, educational coordination, and cooperation between economies in the digital age.

The participants agreed that APEC still has an important role to play in bridging the divide between different constituent groups in the Asia-Pacific and directing economic policy that may lead to genuine public-private cooperation across boundaries, not just within economies but across economies. For Ambassador Tong, “APEC is well organized to accomplish that kind of discussion… [which is] very important if you want to try and drive things forward.”

This commentary originally appeared in Nikkei Asia.

An economic response toward China will be a leading agenda item for the Group of Seven major economies this year, Michael Beeman, who served as assistant U.S. trade representative for Japan, South Korea and APEC affairs until January, told Nikkei.

"It is important to agree on the most pressing issues, which will send a message to the rest of the world," said Beeman, now a visiting scholar at Stanford University. The U.S. is urging European nations and Japan to align with export restrictions of advanced semiconductors. "The G-7 is the best forum for discussion," said Beeman, who stressed member nations should work together to address export curbs and other measures.