MAKING LINKAGES A LIABILITY
More broadly, a third concern for Mr Trump is how his tariff policy is changing the policy calculations of US allies and partners.
His willing weaponisation of America’s economic leverage suggests that he would just as willingly use American technological or security links to coerce other countries. As researchers from the Washington think tank the Centre for a New American Security observed, Mr Trump’s tariff policy has led to concerns about dependence on US cloud service providers for artificial intelligence capabilities.
In the short term, governments are likely to play along with Mr Trump’s tariff threats to avoid a debilitating blow to their economies. They will offer concessions and likely grit their teeth if the terms of their deals are unexpectedly altered.
But under these circumstances, each successive tariff will conjure disgruntlement and suspicion, doubly so if Mr Trump later backs down. Moreover, they will reinforce the discomforting notion that any kind of reliance on America could become a liability.
Tariffs are undoubtedly a powerful weapon for the Trump administration, but they might undermine the network of partners and allies that made America a formidable power.
Kevin Chen is an Associate Research Fellow with the US Programme at the S Rajaratnam School of International Studies (RSIS), Nanyang Technological University (NTU), Singapore. He writes a monthly column for CNA, published every first Friday.
