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US tariff dispute: No winner

The trade conflict between the US and China, which began in 2018, has had a lasting impact on the global economy. Under the leadership of President Donald Trump and President Xi Jinping, a bitter tariff dispute developed, characterised by reciprocal punitive tariffs and countermeasures. In April 2025, both countries agreed to a temporary reduction in tariffs: the US reduced its tariffs on Chinese goods from 145% to 30%, while China reduced tariffs on US products from 125% to 10%. This 90-day agreement is seen as a step towards de-escalation, but a final resolution of the conflict remains elusive.

Origin and development
It all began in March 2018, when the US imposed tariffs on Chinese imports worth 50 billion dollars in order to reduce the trade deficit and protect domestic industries. China responded promptly with its own tariffs on US goods, triggering a spiral of escalation. Over the years, tariffs were imposed on goods worth hundreds of billions of dollars, ranging from technology products to agricultural goods and consumer goods. This conflict quickly became a central element of the geopolitical rivalry between the two superpowers.

The Phase One Agreement
A milestone was the ‘Phase One’ agreement in January 2020. China committed to purchasing an additional $200 billion worth of US goods over two years, including agricultural products and industrial goods. Improvements in intellectual property protection and a waiver of forced technology transfers were also agreed. However, implementation lagged behind: China did not fully meet its purchase commitments, which kept tensions high and prompted the US to consider new measures.

Current situation
The April 2025 agreement marks another attempt to defuse the conflict. Nevertheless, the situation remains fragile. China has intensified its trade relations with countries in Southeast Asia in order to reduce its dependence on the US market. At the same time, the US is threatening new tariffs on Chinese electric vehicles, which could reignite the dispute. These developments make it clear that the tariff dispute goes far beyond pure trade policy and is deeply embedded in strategic considerations.

Economic impact
The economic consequences are being felt by both sides. In the US, higher import prices have weighed on consumers, while companies are struggling with higher costs and disrupted supply chains. China has seen its economic growth slow, but has shown resilience thanks to diversified trading partnerships. The conflict has not only damaged bilateral relations, but also reshaped the global economy as both countries seek to minimise their mutual dependence.

Conclusion: A stalemate with no winners
The tariff dispute between Trump and Xi Jinping has not produced a clear winner. Although the US was able to force some concessions, China has strengthened its strategic position through diversification and technological independence. Both countries are paying a high economic price, and the latest tariff reduction is merely a temporary truce. The conflict remains an open chapter in the rivalry between the US and China, with neither side gaining the upper hand.

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Stargate project, Trump and the AI war...

In a dramatic return to the global political stage, former President Donald J. Trump, as the current 47th President of the United States of America, has unveiled his latest initiative, the so-called ‘Stargate Project,’ in a bid to cement the United States’ dominance in artificial intelligence and outpace China’s meteoric rise in the field. The newly announced programme, cloaked in patriotic rhetoric and ambitious targets, is already stirring intense debate over the future of technological competition between the world’s two largest economies.According to preliminary statements from Trump’s team, the Stargate Project will consolidate the efforts of leading American tech conglomerates, defence contractors, and research universities under a centralised framework. The former president, who has long championed American exceptionalism, claims this approach will provide the United States with a decisive advantage, enabling rapid breakthroughs in cutting-edge AI applications ranging from military strategy to commercial innovation.“America must remain the global leader in technology—no ifs, no buts,” Trump declared at a recent press conference. “China has been trying to surpass us in AI, but with this new project, we will make sure the future remains ours.”Details regarding funding and governance remain scarce, but early indications suggest the initiative will rely heavily on public-private partnerships, tax incentives for research and development, and collaboration with high-profile venture capital firms. Skeptics, however, warn that the endeavour could fan the flames of an increasingly militarised AI race, raising ethical concerns about surveillance, automation of warfare, and data privacy. Critics also question whether the initiative can deliver on its lofty promises, especially in the face of existing economic and geopolitical pressures.Yet for its supporters, the Stargate Project serves as a rallying cry for renewed American leadership and an antidote to worries over China’s technological ascendancy. Proponents argue that accelerating AI research is paramount if the United States wishes to preserve not just military supremacy, but also the economic and cultural influence that has typified its global role for decades.Whether this bold project will succeed—or if it will devolve into a symbolic gesture—remains to be seen. What is certain, however, is that the Stargate Project has already reignited debate about how best to safeguard America’s strategic future and maintain the balance of power in the fast-evolving arena of artificial intelligence.

Truth: The end of the ‘Roman Empire’

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Malaysia's Strategic Ascent

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