US should rethink Asia strategy as TPP talks break down

Want China Times, Tseng Fu-sheng 2015-08-07

Xi Jinping welcomes Barack Obama to the Great Hall of the People in
Beijing, Nov. 12, 2014. (File photo/Xinhua)

In a significant blow to President Barack Obama's Asia-Pacific strategy, ministerial-level trade negotiators from the United States and 11 other Pacific Rim nations failed to reach final agreement on the proposed Trans-Pacific Partnership (TPP) last weekend, while Democratic presidential candidate Hillary Clinton has hedged on the TPP recently.

The TPP is a far-reaching framework designed to be the economic arm of the US "pivot to Asia" to encircle and confront China, which has been effectively excluded from the treaty.

Although Congress has granted Obama "fast-track" authority to conclude the TPP, the trade talks failed to reach a final deal by a self-imposed deadline of July 31, signaling Washington's shrinking influence among the negotiators.

Obama's "pivot" or "rebalance" regarding Asia is aimed at bolstering US leadership and its economic and trade interests in the Asia-Pacific, while strengthening the dollar on the back of military might to respond to challenges posed by China's rise.

However, the US has undergone a decline in its reputation and global influence as the result of its financial woes, exacerbated by political infighting and slow economic growth. The breakdown of the trade negotiations is seen as a consequence of old-style protectionism trumping rational economics and a failure by the US to lead internationally.

Failure to conclude the TPP will make the US unable to determine the rules for trade and investment in the Asia-Pacific region and might shake the confidence of countries in the Asia-Pacific regarding the reliability of America's security guarantee to them.

While countries in the region are inclined to lean toward China economically and rely on the US for security, they have gradually developed a balance strategy of avoiding clear signs of a tilt toward either the US or China.

Moreover, the political elite in the US has also expressed concern about the decline of the country's global leadership, while most American citizens are lukewarm about US intervention in the affairs of other countries after more than a decade of war in the Middle East.

Some American strategists recently proposed that the administration review its Asia-Pacific policy, saying that if it still attempts to consolidate ties with its regional allies by placing emphasis on military security, economic benefits and common values to counter China's rise, this could cause armed confrontation between the US and China and lead to an arms race between the two countries, while hurting the country's financial situation.

In fact, most nations in Asia think the US should first reinvigorate its own economy, rid itself of its financial plight and develop balanced competitive and cooperative relations with China before it continues to contribute to the international community.

(Tseng Fu-sheng is an adviser on national security issues at the Taipei-based National Policy Foundation. Translated by Want China Times.)