Latest / The Fourcast / Starmer Xi meeting: is Trump making China great again?
Transcript
- 0:00This is a great moment for China.
- 0:01They've been calling for this. They call Trump the nation
- 0:04builder because Trump is actually helping unite China.
- 0:07Trump and his people like Stephen Miller are trying to
- 0:10militarize America. We are heading into dictatorship
- 0:14if we are not already in dictatorship.
- 0:16Trump is simply power mad. The question is whether
- 0:21Greenland represents that watershed.
- 0:23Have we learned that when we basically say these are our red
- 0:28lines, what happens? Market, Market reacts.
- 0:30And when market react, then Trump backs down.
- 0:33Is Trump dragging this new world order closer towards great power
- 0:39wars? Yes, he is.
- 0:44Hello and. Welcome to the forecast.
- 0:46I'm Krishna Guru Murthy. And the skyline you can see
- 0:48behind me is Beijing, China, because Keir Starmer, the
- 0:52British Prime Minister, is on a short official visit here, and
- 0:55he has met President Xi and he has a pact schedule going to
- 1:00Shanghai and meeting various people.
- 1:03And it's got people wondering whether there is a proper and
- 1:07bigger and more significant reset going on because Starmer
- 1:11is just the latest in a procession of international
- 1:14leaders who have been coming to China to try and reset their
- 1:18trade relationship. And of course, it comes after
- 1:21President Trump has upsets a lot of NATO and Europe with his
- 1:25posturing towards Greenland. He's got an Armada around Iran
- 1:30at the moment. And of course he has intervened
- 1:32militarily in Venezuela. And people are wondering whether
- 1:37the post war world order as we knew it is gone.
- 1:41So is the old world order gone? And if so, what's going to
- 1:45replace it? To discuss all this, I'm joined
- 1:48by Robert Kagan, staff writer at The Atlantic and Washington
- 1:51Foreign Policy Insider. The author and scholar Amitabh
- 1:54Acharya, who has long criticised the US-led world order, and the
- 1:59former EU foreign policy adviser Natalie Tochi joins us as well.
- 2:05And Robert, can I, can I begin with you with with the question
- 2:08that occurs to me here sitting in China, which is, has Donald
- 2:11Trump made China great again? Well, it's a good question.
- 2:15It certainly opens opportunities for China.
- 2:18I think that, you know, you can't tariff all your allies.
- 2:23You can't threaten them with territorial aggression and
- 2:26expect them to continue to be reliable allies.
- 2:29They need to find other sources for their economic interests as
- 2:33well. I think ultimately for their
- 2:35strategic interests, since the United States is no longer their
- 2:38partner. The question I have is whether
- 2:41China can take advantage of this opportunity.
- 2:44They have been pretty ham handed so far.
- 2:48Their their own trade policies don't make many Europeans happy,
- 2:53but I think it's obviously a huge opportunity and we'll see
- 2:57what happens. We'll see if China's capable of
- 2:59taking advantage of it. But is this the beginning of,
- 3:02you know, a realignment? Some people think we are
- 3:05entering a, you know, a world of, of, of power moves and that
- 3:10Trump, Putin and XI are essentially calling the shots.
- 3:15What kind of new world order are we edging into?
- 3:18Well, the order we're heading into is one that we've seen
- 3:20before, the one that existed before 1945 and in previous
- 3:24centuries. It's a truly multipolar world
- 3:28without reliable alliances. You'll see shifting alliances
- 3:32and a much more greater likelihood of warfare.
- 3:35As the basic structure of security that the United States
- 3:39assembled after World War 2 disappears, other nations are
- 3:43going to have to lookout for themselves.
- 3:45A lot of the things that Americans take for granted that
- 3:48are the benefits of this order, access to markets, access to
- 3:52bases of the free use of oceans, etc, is no longer going to be
- 3:57the case in multipolar worlds. All those things are up for
- 4:00grabs and in a state of constant scramble among the great powers.
- 4:05Amitabh, you've lived and worked in China as well.
- 4:08So the same question to you is, is Trump making China great?
- 4:12Well, first of all, I do agree that it's a bit of a reset, the
- 4:15term that he used, and I think it was long overdue because I
- 4:21think for a long time, maybe far too long, Britain and Europe
- 4:25have been following the same narratives from that. the United
- 4:29States has been promoting that the current world order was good
- 4:35for everybody. It's sort of cooperate.
- 4:38China. China benefited so much from the
- 4:40existing world order. But The thing is, great powers
- 4:43don't behave like that. They don't have like, gratitude.
- 4:47The Chinese also having their own agenda.
- 4:49They're right. And the Indians have their own
- 4:51agenda. So what we see was something
- 4:52that was happening for quite some time and Trump is basically
- 4:56pushing it bit hard and fast and therefore the Britain and the
- 5:02European Union and Canada don't have much of A choice.
- 5:07So, so that leads me the other other point that whether the
- 5:11world is becoming multipolar in a in a narrow sense, yes, we
- 5:15have more than multiple powers and, but but The thing is, is
- 5:22not quite the same as the multipolar world of 19 before
- 5:251945. I mean, at that time there was
- 5:28really no Asian or non western great powers to the exception
- 5:33exception of Japan, but it was all European Western powers in
- 5:38the 19th century, early 20th century.
- 5:40And now we have actually non Western powers, including China
- 5:44and India. And it's it's not guaranteed
- 5:46that they will behave the same way as the European state before
- 5:491945. And also the structure of
- 5:52interdependence today people think it's been weaponized.
- 5:55Yes, but you know, there are other some of the links will
- 5:59continue. The existing world order is not
- 6:02completely gone. So, so maybe the United States
- 6:06is out of it for the for the time being.
- 6:08And finally, I would call it a Multiplex order rather than
- 6:11multipolar order because there's a lot more going on than just a
- 6:15Power Distribution, military, economic.
- 6:17I also take into account technology.
- 6:19I take into account, I'll take into account another changing
- 6:23form of globalization, like, you know, that the Britain and the
- 6:28India, European Union and India have signed major trade
- 6:31agreements. The Asian countries minus the US
- 6:34have also signed with China major trade agreements.
- 6:38So it's not like everything is collapsing.
- 6:41So we will wait and see before we pass the judgement.
- 6:45I think some elements of the existing world order will
- 6:47continue, some will be different.
- 6:50Naturally. What what do you make of this?
- 6:51I mean, you know, we, we have this sort of warmth towards
- 6:56China coming from various European countries and and
- 7:01America confusing everybody. Yeah.
- 7:03I mean, I don't think that Europeans have basically, you
- 7:07know, all of a sudden you turned 180° and no longer see that
- 7:13China is intent and economic statecraft and that has
- 7:17ambitions over Taiwan and the South China Sea.
- 7:19So all that remains front and center of European minds in the
- 7:23same way as the Russia, China relationship obviously does,
- 7:27especially as it relates to Ukraine.
- 7:29However, I think Europeans also acknowledge that indeed the rest
- 7:35of the West without the United States cannot be against
- 7:39everyone at the same time. And so inevitably there has to
- 7:43be some reassessment. And I think they also
- 7:46acknowledge the fact that indeed there are two potential models
- 7:51out there as far as the international system is
- 7:53concerned. And 1 is a modular of, let's
- 7:56call it imperial collusion, right?
- 7:59And I think it's very much the models certainly that Donald
- 8:01Trump is after as well as Vladimir Putin.
- 8:04And the question mark is, is this also she's China's model
- 8:08and it's one in which that imperial collusion perhaps at
- 8:11some point tips into competition.
- 8:14But the at this point in time, who is really on the menu are
- 8:18the would be colonies, right? And Europe is certainly there.
- 8:22And then there's the alternative model, which is indeed one,
- 8:25let's call it the Carney model, you know, the sort of multipolar
- 8:29or Multiplex to use expression in which there are, you know,
- 8:35you know, there are still rules. They may not be as thick as the
- 8:39rules of the quote UN quote liberal international order
- 8:42were, but there are still rules even if they have to be
- 8:44redefined. And that is, I think the model
- 8:47that Europe is after obviously first and foremost trying to
- 8:52intensify its relations with countries in Latin America, with
- 8:56the medical school deal, with the India, deal with Indonesia,
- 8:59with Mexico, but also with all the caveats, the Jew caveats,
- 9:04also with China. What about the old institutions,
- 9:07though, Robert? I mean, if Trump is pulling out
- 9:10of all the UN agencies, hasn't pulled out of the UN yet, but
- 9:15he's out of the WTO and he's out of the Paris climate agreement
- 9:18and he's out of various UN agencies, is it over for that
- 9:25institutional model? Yes, again, if you look back in
- 9:28history, there was never a really functioning
- 9:33international, these kinds of international institutions
- 9:37except in the most basic ways. But even even trading
- 9:40relationships were disrupted when necessary.
- 9:44The League of Nations was a very weak organization.
- 9:49At the end of the day, there are no rules without power to
- 9:52enforce them. And that's the thing that people
- 9:55need to understand. These rules don't exist in
- 9:59isolation that human beings follow.
- 10:01If you look at the whole sweep of history, rules are enforced
- 10:06by powers that find it in their interest to do so.
- 10:10It has been in America's interest to enforce certain
- 10:15rules about aggression when possible.
- 10:18That doesn't mean they've done it always successfully, but also
- 10:20the way the nations within the world order operate with each
- 10:25other. But in the absence of that
- 10:27enforcement, I think we have to be realistic and realize that
- 10:30there there won't be rules. There were no rules protecting
- 10:34middle powers prior to 1945 in the UN Charter, which was backed
- 10:39ultimately by American power. And so I don't.
- 10:43Middle powers cannot simply rely on rules, and this is very
- 10:47important for Europe. They need to have power to be
- 10:50able to defend themselves and if they care about those rules, to
- 10:54enforce them. Europe cannot leave itself
- 10:57completely vulnerable to the two predatory empires that are now
- 11:02on its flanks, Russia and the United States, and hope to
- 11:06survive and maintain their sovereignty and a rules based
- 11:09system insofar as that's even possible.
- 11:12That's what you're nodding, but I mean, can can you really be at
- 11:15the table as a middle power rather than on the menu without
- 11:21the same kind of power as the great powers?
- 11:23I mean, it's clear that European countries acting individually
- 11:27are not middle powers. They're just not powers at all.
- 11:31They're tiny powers. They're irrelevant powers.
- 11:36However, it is obvious that Europe united and I deliberately
- 11:41say Europe united and I'll come back to this in a moment, but
- 11:44Europe united of course, right now I think, you know, NATO
- 11:48Secretary General Mark Rutte is completely wrong when he
- 11:52basically says, you know, forget Europe defending itself without
- 11:55America. It means spending 10% GDP on
- 11:58defence. It doesn't mean spending 10% GDP
- 12:02on defence. If Europe were to have the same
- 12:06capabilities of the United States, that would mean spending
- 12:0910% on GDP on defence. But that's not the aim.
- 12:12The aim is to be able to defend ourselves against Russia that,
- 12:15frankly speaking, has not been able to occupy more than 20% of
- 12:19Ukraine in, you know, 12 years of war basically, so that Europe
- 12:26united. Of course, it can be at the
- 12:28table now. I therefore come back to what
- 12:31you're probably talking about because I think you know,
- 12:34underlying the question that you were asking, thinking about
- 12:36institutions, thinking about the global level in the UN, you can
- 12:39almost ask the same question at a regional level, do existing
- 12:44institutions, the European Union, NATO institutions that to
- 12:49come back to Bob's point about rules and power being two sides
- 12:53of the same coin, those institutions were basically
- 12:57established within a particular configuration of power.
- 13:01That configuration have gone. Can those institutions survive a
- 13:06different configuration of power?
- 13:08And what it's obviously very early to tell, but, you know,
- 13:11what I do see is that actually most of the dynamism in Europe
- 13:16tends to happen, even collectively tends to happen
- 13:19outside existing institutions, coalitions of the willing, You
- 13:23know, the group of countries that decided to sort of, you
- 13:26know, be a little bit more forthright when it comes to
- 13:28Greenland. It's not a coincidence that it's
- 13:31not coming from the EU. It's not coming from nature
- 13:34because these are institutions that were born and were made for
- 13:38a different era. Amitabh, are you, are you glad
- 13:40to see these institutions undermined?
- 13:43I I think first of all to, to relate to what Bob said, the
- 13:50United Nations when it was created and then we talk about
- 13:53the rules, best order around the UN system.
- 13:56It was simply not a purely American creation. the United
- 14:00States, actually middle powers did play a very important role.
- 14:03I have studied all the 22 volumes of the San Francisco
- 14:07Conference, the meetings and all these things happen that created
- 14:12this most war rules. And I see that Canada, Britain,
- 14:17European countries, no European Union at that time.
- 14:20Even India was very important even under the British rule,
- 14:25creating different rules in different domains, security,
- 14:30economics and also in diplomacy and the norms.
- 14:36So why did the United States prefer the UN at that time?
- 14:40Because the US was pragmatically aware that it is so dominant
- 14:43after World War 2. So Europe is pretty much
- 14:47destroyed, Japan is destroyed if it had too much power.
- 14:50These countries will balance US. They will not accept American
- 14:53rule. They will, you know, pretty much
- 14:55what they're trying to do now. So US said will create this,
- 14:58United Nations, support it, and then we can also do a little bit
- 15:02of power sharing. the US remains dominant, but at least it
- 15:05creates the legitimacy for itself.
- 15:07Now Trump is taking that away. He's not remembering that the
- 15:11rules that existed under the UN system actually favoured the US
- 15:15into to a large extent, and it created the framework of
- 15:19collaboration, including those middle powers.
- 15:23The other point I'd like to make is that the United Nations is a
- 15:26very big umbrella. So it's not just the Security
- 15:30Council. It also has institutions that
- 15:32are linked to the UN, IMF, World Bank.
- 15:35And not every institution is doing badly.
- 15:38Trump is not going to withdraw from IMF, for example, might
- 15:43destroy the Security Council with the Board of Peace, for
- 15:46example. And so there's a lot of UN that
- 15:49is still very valuable, inefficient and deserves urgent
- 15:55reform, this urgent reform. But I don't think the
- 15:58institutional model is going to disappear.
- 16:00But I do also want to support what Natalie said about the
- 16:03European Union. Since the World War 2, Europe,
- 16:07regional organizations have become very important.
- 16:09I mean, you cannot think about European security, European
- 16:13governance, European model without the European Union.
- 16:16And similarly we have our Southeast Asia S association of
- 16:21South ASEAN countries, African Union.
- 16:23They actually do much more work than we give them credit for.
- 16:28So it's a much more, that's why I call it Multiplex.
- 16:30We have not just the United States or handful of great
- 16:34powers calling the shots at the at the at the local level,
- 16:38regional level, there's a lot more complexity and and Trump is
- 16:43not going to demolish that overnight.
- 16:46And there will be, of course, you know, there will be backlash
- 16:50and the United States will see what is happening today.
- 16:53The rest of the world is going to balance against the US and
- 16:56undermine undercut its influence.
- 16:58And what do you think China, India and Russia make of what
- 17:04Trump is doing? I mean, China is, is, you know,
- 17:07President Xi with Starmer today was pointing out, perhaps with
- 17:12some humour, the the volatility of Trump.
- 17:15This is a great moment for China.
- 17:17They've been calling for this. And you know, in China there is
- 17:20a saying that Trump, they call Trump the nation builder because
- 17:24Trump is actually helping unite China.
- 17:27And so, but I think once and also not make too much of it.
- 17:32And India is playing a very smart game, going to do this
- 17:35trade deals with Britain and the European Union means India is
- 17:40not also doing this kind of deals with China.
- 17:42There is a trade agreement in Asia called Regional
- 17:45Comprehensive Economic Partnership and India pulled out
- 17:48of it because of our peering Chinese dominance.
- 17:51But India is then going after getting American sanctions, 50%
- 17:56tariffs. So India thought it would be
- 17:59very natural to push up push the deal with the European Union,
- 18:02creating a, you know, a very large market and, and Britain.
- 18:05So and also between Russia and China, despite the facade of a
- 18:10close cooperation alliance is not going back to the 1950s.
- 18:15The Chinese have their own agenda.
- 18:17They see the world order very differently than the Russian
- 18:20stage. The Russians of course don't
- 18:22like anything about Western European or American dominated
- 18:27world order. The Chinese actually not too
- 18:30unhappy with the economic part of it.
- 18:32They don't like the political world order, but they subtly
- 18:38like the idea. They have benefited from the
- 18:41economic world order, the globalization, so they're not
- 18:44going to sign off on that. Naturally.
- 18:46I mean, do you think China has shown Europe the way to deal
- 18:50with Trump? But when it came to the tariff
- 18:53threats, they matched it. Trump backed down.
- 18:56Trump chickened out. Should Europe be doing the same?
- 18:59Yeah. I mean, actually, I think that
- 19:02probably Canada or Mexico or even India are better examples
- 19:08because the China comparison with Europe inevitably runs into
- 19:13the counter argument of, again, to sort of use a Trumpian
- 19:17expression, China's the one with the cards.
- 19:21Right now, Europe does not have the same cards vis A vis the
- 19:26United States that China has. And so, you know, fair enough.
- 19:30China used its cards because it had them.
- 19:33I find that and This is why I didn't really kind of, you know,
- 19:37refer to Mexico, I mean, you know, or, or Canada here.
- 19:40We're talking about countries which are weaker than the United
- 19:46States in different ways, just as dependent.
- 19:49And yet they, over the course of the last year, if you take, you
- 19:54know, if you take the European reaction up until the Greenland
- 19:57point, yeah, I think Greenland, the question mark is whether
- 20:00that represents a turning point. But up until the Greenland
- 20:03point, you basically have the Mexicans, the Brazilians, the
- 20:07Canadians, the Indians actually demonstrate greater.
- 20:13Yeah, I mean, firmness, really. I mean, you know, essentially
- 20:16saying these are red lines and no, you know, we will not go
- 20:20beyond. And each and every time that an
- 20:22actor has done that, Trump has reacted to that.
- 20:26Right now, Europeans had tried over the course of the last year
- 20:30the opposite method, right? It was Keir Starmer's regal
- 20:35invites breaking protocol. It was Chancellor Mertz's birth
- 20:39certificates. It was Georgia Maloney's Pretty
- 20:42Little smiles. It was Alex Stoobs golf gaze.
- 20:48None of that worked. You know, a year ago we could
- 20:51say, well, I mean, there's a legitimate question.
- 20:54Will it work? Will it not?
- 20:55After a year, we can only conclude that the Shine Bounds
- 20:59and the Carnies and the Maldis again let's you know, let's put
- 21:03in China to one side actually achieved more than the Stoobs
- 21:09and the Mertz and the Summers. And therefore we come to the
- 21:13conclusion that maybe we have to change our tactics.
- 21:15Now the question is whether Greenland represents that
- 21:19watershed. Have we learned that essentially
- 21:23when we basically say these are our red lines, we're going to
- 21:27stand up to those red lines. We know that we will be hurt
- 21:30more than you will. You know we will hurt you less
- 21:34than you will be able to hurt us.
- 21:35And yet we're willing to take the pain.
- 21:38When we do that, what happens? Market reacts, and when market
- 21:42react, then Trump backs down, right?
- 21:45So I hope that the lesson that we will have learned from all of
- 21:47this is maybe we don't have China's cards, but even with the
- 21:51fewer cards that we do have, if we learn to play them in a
- 21:54different way, we're actually going to get better results.
- 21:57Robert, do you think Trump supporters are getting what they
- 21:59wanted here, or did they have no idea that this is where they
- 22:03would end up? Trump is simply power mad.
- 22:07He wants to get as much power for himself and, and, and also
- 22:11recognition, etcetera. But I don't think he thinks very
- 22:16much about the he's under the illusion that the United States
- 22:19is omnipotent and that if he just sends an Armada someplace
- 22:24or if he threatens a tariff, then the rest of the world will
- 22:26just go along. And I think what he doesn't
- 22:29realize is that American power is not just raw, does not just
- 22:35derive from raw military and economic power, although those
- 22:38are important. It really does stem from a
- 22:41relationship that the United States has had with much of the
- 22:44world in which that world has not only tolerated but
- 22:48legitimized and even supported American power in in all its
- 22:53many dimensions. We have not yet lived in a world
- 22:56where not just Russia and China, who by the way, are not going to
- 23:00join in the carving up of the world with the, the, the
- 23:02hostility, you know, the hostility to the American order
- 23:05in Russia and China persists. But now we will have not only
- 23:08them turning against us, but as Amitav says, you'll now have
- 23:13other powers who used to be American allies, will not be
- 23:16American allies and will be balancing against the United
- 23:18States. And that will lead to a much
- 23:20weaker and more vulnerable America.
- 23:22And this is something that I don't think Donald Trump has any
- 23:25understanding of. But I I hope that there are
- 23:27people in Congress and, and at large in the United States who
- 23:30understand this because it is going to lead to a weakening of
- 23:34the United States in the medium term.
- 23:37Right. What?
- 23:37But what do you make of his use of military action then?
- 23:40I mean, you know, there's a big difference between seizing
- 23:43Maduro with some special forces and sending an Armada to Iran,
- 23:49You know, is Trump dragging this new world order closer towards
- 23:55great power wars? Yes, he is now.
- 23:58I mean, you know, he, he only is using military power at this
- 24:01moment against people who can't shoot back.
- 24:04And that's why, you know, countries like Russia and China
- 24:07don't really, I don't think they're very worried about what
- 24:10Trump will do to them. But, you know, if you deal with
- 24:14a country like Venezuela, which has no capacity to defend itself
- 24:16against the United States, if you deal with a country like
- 24:18Iran who, whose air defenses we never took out, but the Israelis
- 24:23took out and therefore is vulnerable to American attack,
- 24:27sure, What you can accomplish with these things, I don't know.
- 24:30The Venezuela story is yet to unfold.
- 24:33I don't know what he thinks he can accomplish in the case of
- 24:35Iran. But this, the fact that he, oh,
- 24:38by the way, a lot of this is domestically oriented in the
- 24:40United for the United States. Trump and his people like
- 24:44Stephen Miller are trying to militarize America.
- 24:47And a lot of this use of force overseas has got domestic
- 24:51purposes. Ultimately, he wants to use the
- 24:54American military at home. And that's another thing, if I
- 24:57may say so, that a lot of the rest of the world is not
- 24:59understanding we are heading into dictatorship if we are not
- 25:03already in dictatorship here in the United States.
- 25:06If you look at what happened in Minnesota, I believe that is a
- 25:09precursor to what is going to be happening across the country.
- 25:12And so a lot of what Europe is expecting is that, well, Donald
- 25:16Trump will go away and then we'll all go back to normal.
- 25:18And I think people need to understand that America is in
- 25:21much deeper trouble than then maybe they understand, and that
- 25:25we may not be getting out of this anytime soon.
- 25:29Amitav, I mean, doesn't that make America not just an
- 25:32unreliable partner, but a country you know most of the
- 25:37world will want to reappraise its whole relationship with?
- 25:40Right. But I have heard Trump
- 25:43supporters say, and there are some of them in Washington in
- 25:47the think tanks, that this makes America more respected.
- 25:50And they're using force and asserting itself and overcoming
- 25:54the weakness of the liberals, the Biden and Obama years.
- 25:57But in reality, it's not making America more respected, but more
- 26:03more feared. And and that fear in a fear is
- 26:07not a good way to organize. Well, you can do it up to a
- 26:10point, but. Well, Trump thinks it is.
- 26:13It will create backlash. I mean.
- 26:16And so I think ultimately, ultimately this will backfire on
- 26:22the United States. Maybe it's already beginning to
- 26:24because you see the allies and the rest of the world ganging
- 26:27up. What we have today is what I've
- 26:29called in a, there's an article in Foreign Policy magazine as
- 26:32world -1 the, the world without the United States and for
- 26:37cooperation, for trust. But you can also call it US
- 26:43minus the world, Trump, minus the world.
- 26:44Trump doesn't care about, you know, he cares about who gives
- 26:48him money, gives him private jets or jets that can be used
- 26:54for his purposes. He's in very good terms with the
- 26:57golf states. But the rest of the world is
- 27:00actually ganging up against the US.
- 27:03And ultimately, this is fear. This will be a world order in
- 27:07the short term based on the fear of America rather than respect
- 27:12and not to mention love for America.
- 27:15I would like to go back to Europe and what Europe can do
- 27:18again because I do think that Europe is underestimating its
- 27:22its capabilities in this situation.
- 27:25First of all, Natalie, you have to get used to the idea that
- 27:28you're going to spend 10% of GDP on defense.
- 27:31The United States spent 10% or more of its GDP on defense
- 27:35throughout the 1st 2 decades of the Cold War.
- 27:39If Europe understood that it's very sovereignty was at stake, I
- 27:43think it can it can do what what needs to be done to protect
- 27:46itself. And on the trade stuff, you
- 27:49know, the American market, everybody, yes, we desperately
- 27:51need the American market, etcetera.
- 27:53But what people need to understand is the American
- 27:56system is highly sensitive to any small disruption in its
- 28:01economic well-being. And so you don't have to go
- 28:05after everything in the United States.
- 28:07You can go go after sectors in the United States where Europe
- 28:10does have leverage and which will have an outsized effect.
- 28:14Because you look at Trump, he responded to one day of market
- 28:18crash. You know, imagine if if the that
- 28:22the market went down for four days or 10 days.
- 28:25And I just think Europe is undervaluing its potential power
- 28:29in this situation. That's Lee.
- 28:32Yeah. I mean, just to jump in on this.
- 28:35So when I say we don't need to spend 10%, of course, what I
- 28:39don't mean is we don't need to spend more on defense.
- 28:42We do need to spend more on defense.
- 28:43And that's, that's all that's very clear.
- 28:45But we need to spend more on defense because we need to
- 28:49defend ourselves against Russia without America.
- 28:53So that's my starting point. And what's needed to do that
- 28:56now, if on average European countries in the next couple of
- 29:01years end up spending 3%, you will basically have just one of
- 29:06these countries, granted the biggest one and the richest one,
- 29:09IE Germany, there will be the third largest military spender
- 29:13in the world, right? So after the United States and
- 29:15China, more than Russia. And this is just Germany, right?
- 29:19So if on average all European countries spend 3% and do so in
- 29:25a rational way, in a coordinated way, that's in a sense more than
- 29:29enough. That's what I was trying to get
- 29:30AT. And what I feel is that when you
- 29:33have people like Ruth basically kind of erecting these straw men
- 29:37saying, oh, well, you know, I mean, if you really want to act
- 29:40without America, you'll have to end up spending 10%.
- 29:44That's basically an argument to try and get to the opposite of
- 29:47what I I think you, Bob and Avatar are trying to get to,
- 29:51which is basically a more autonomous Europe.
- 29:53Fair enough. If I can, if I can add a lot of
- 29:56person here, you know, Europe is not one, the United Kingdom is
- 30:02not Europe institutionally in a way that used to be.
- 30:06And I have a feeling that the British Prime Minister is in
- 30:10China now and I think that he is unusually agitated about Trump's
- 30:17comments about Afghanistan, that what British soldiers need in
- 30:21Afghanistan to help united American troops.
- 30:24So I, I, I, UK always had defected from the European
- 30:28consensus about the world order. And they, it's quite possible
- 30:33not just the UK, but also there are other European countries,
- 30:38possibly possibly Italy, Natalie can talk about it, who would
- 30:41actually have a little more sympathy for Trump and his wall
- 30:45view, especially because of their domestic politics,
- 30:48populism and all. Hungary.
- 30:50So let's not say Europe is going to act as a single entity.
- 30:54While I do agree that Europe is underestimating itself, should
- 30:58have been actually not becoming too dependent on the United
- 31:01States either for military or for economics, and I think it's
- 31:06time to reset that. But I think there will be
- 31:10divisions within Europe when it becomes to dealing with the
- 31:12United States. Yeah, I mean, well, there's
- 31:14there's no doubt that populism is dividing not just the West,
- 31:17but Europe, too. But I mean, Natalie Starmer's
- 31:20view at the moment seems to be, well, Trump won't be in power
- 31:24forever. He doesn't define America for,
- 31:28you know, for decades. He is the now and that we should
- 31:33sort of ride this out. Is is is what you have to read
- 31:36between the lines that this this too will pass.
- 31:41Is is that naive? Yes.
- 31:43Well, it's just not even naive. It's wrong, right?
- 31:47It's wrong because that's not how history works, right?
- 31:50History does not. It's not as if what is happening
- 31:54now. Well, two things I think are.
- 31:57I mean, I it's both true that what is happening now is not
- 32:00necessarily going to last forever.
- 32:02Nothing lasts forever. But it's equally true that what
- 32:05is happening now means that we will not go back to what we had
- 32:08before because that is just not the way history works, right?
- 32:14So what is happening now is going to leave Marks and it's
- 32:18going to leave marks. That is going to influence in a
- 32:20sort of Hegelian way what is going to happen in future,
- 32:24right? And so, fair enough if one
- 32:28thinks, well, you know, we somehow need to try and gain as
- 32:33much time. But you want to gain time in
- 32:36order to use it, and you want to use it to become more
- 32:38autonomous. You don't want to gain time in
- 32:41order to wait it out with under the illusion that somehow you're
- 32:45going to return to a past which, as Mike Carney wonderfully said,
- 32:49has gone and the sign needs to come down.
- 32:53Right. But but if Robert's right about
- 32:55the kind of administration this is perhaps already, but moving
- 32:58towards, and we're talking about fascism essentially, does that
- 33:03mean Europe also has to question whether it wants to be America's
- 33:06ally? Well, yeah, completely.
- 33:09And in fact, I would put it in a in a probably even more acute
- 33:12way. We need to make sure that Europe
- 33:15itself does not go down the same path.
- 33:17So I think the urgency about doing the kind of things that
- 33:21we're talking about is that actually we don't have a lot of
- 33:24time also because if we don't get it right, likelihood is that
- 33:29Europe is going to go down exactly the same path that the
- 33:32United States is on now. Generally, I agree the time is
- 33:36short for Europe. Europe needs to make this
- 33:38adjustments. But I also would like to say
- 33:41that Trump is not the cause of all this unnecessarily.
- 33:46He's a trigger, but the lot of the changes that are happening
- 33:51in the world has been happening for some time.
- 33:54The power shift is happening for some time and Trump is
- 33:58exploiting that. So that's why I don't think the
- 34:01old order will come back. I mean, there I am completely
- 34:03agreement with Natalie. The, the, the, whatever you call
- 34:06it, the liberal international order, US-led world order, the
- 34:10free world order, that's gone for good and not because of
- 34:14Trump. It was also happening because
- 34:16there are long term ships in economic power and also in terms
- 34:20of diplomatic power as well since decolonization in the 50s
- 34:25and 60s. Robert, I mean, do you agree?
- 34:27Trump as a symptom, not a cause. No, I don't.
- 34:30And it's not that I don't agree that there were that the that
- 34:33the order was fraying, but there's a big difference between
- 34:37questions being raised about American relative power,
- 34:41etcetera, and and actually having the United States turn
- 34:45against its allies. I don't think it's, it's
- 34:48important not to lose sight of that critical break.
- 34:52As long as the United States was committed to the security in
- 34:56Europe and Asia, I think the world order could have, could
- 34:59have maintained itself for quite some time.
- 35:01Actually, we can have another debate about that, but but I, I
- 35:05do think it's vitally important to understand, you know,
- 35:09Greenland has come and gone and people have moved on from it.
- 35:13I think it's worth remembering that it was an only a couple of
- 35:16weeks ago that European forces were being moved into Greenland
- 35:21to defend against a potential act of aggression by the United
- 35:26States. Right.
- 35:27OK, that is not going to be unremembered by the rest of the
- 35:31world, even if we would like to get past it right now.
- 35:34That is a that is a turning point in history, something that
- 35:38was unimaginable at any time in the last 80 years.
- 35:42Let's not treat it as if it was a blip on the screen.
- 35:45And the forces that support Donald Trump in the United
- 35:48States, even after Trump is gone, they're still going to be
- 35:52here. It's not as if there was, this
- 35:55was a, you know, Truman's, Harry Truman's America before Donald
- 36:00Trump. And in this sense, I agree with
- 36:02Amitav. The consensus among public
- 36:05opinion in the United States in both parties was very
- 36:08disenchanted with the global order that the United States had
- 36:13responsibility for upholding. They, it wasn't just Trump who
- 36:16said we're being ripped off in this system.
- 36:19Democrats felt that way about trade, etcetera.
- 36:23So the notion that once Trump is gone, we're back to Dean
- 36:28Atchison and the old boys back in the 1950s is not true.
- 36:34I think that we have been in a long through in the United
- 36:37States, a long period of disenchantment with the American
- 36:41role. That's one reason Trump got
- 36:43elected again. He ran on America First and won.
- 36:48Doesn't that tell us something about the state of American
- 36:51public opinion? So I just think the reason
- 36:54people say, Oh, well, it'll be we all fine after Trump is gone
- 36:58is it relieves them of the burden of having to do anything
- 37:01now. And I think it is really very
- 37:04much in accord with the appeasement approach that Mark
- 37:07Ruta and others have been taking.
- 37:10And, and it's just an excuse for Europeans and others around the
- 37:14world not to make the hard, the very hard choices they need to
- 37:18make right now if they're going to survive as independent
- 37:22sovereign states in a world dominated by predatory empires.
- 37:27And if Amitabh sort of world -1 is correct, can the rest of the
- 37:33world maintain a rules based order that America ignores or is
- 37:38opposed to? And does it mean anything?
- 37:40I I think that's a very fair question.
- 37:43We don't have all the answers, but I think what the European
- 37:46Union is doing, what the British are doing is pretty, pretty
- 37:51good. I mean, build inter regionalism,
- 37:53build linkages with powers. It doesn't have to be China.
- 37:57I mean, India is the largest country in the world, should be
- 38:01with Southeast Asia, ASEAN. European Union has been the
- 38:05biggest champion of what we call the inter regionalism, building
- 38:08links within among regions. And Natalie can talk about it.
- 38:12But at the same time, as I said, there would be, you know, I have
- 38:16seen and I'm very much following the what's happening to the
- 38:19United. The UN actually needed some
- 38:21reform, needed some cutting back as excess fat.
- 38:25And this can be also helping to boost the UN to reduce like like
- 38:30a big corporation that has been too big downsides.
- 38:34And finally, I would say that Trump is doing the Europeans a
- 38:39big favor. They're finally asking them to
- 38:42wake up. Or you know, you will be
- 38:45finished. You'll be it'll be on the cable.
- 38:47In the final couple of minutes, Natalie and then Robert.
- 38:51I come back to this point about power and norms being two sides
- 38:55of the same coin. So power is being reconfigured.
- 39:00I didn't think that this is the moment for, you know, where it's
- 39:04even possible to think that given that the the power is
- 39:08being reconfigured, it's going to settle into something neat
- 39:12and orderly and institutionalized.
- 39:15So it seems to me that this is the moment in which the form
- 39:21multilateralism, including rules based multilateralism will take
- 39:25is going to be a lot more fluid. It's going to be a lot more
- 39:28through coalitions, be it at the regional level, be it at the
- 39:33global level. So at the global level, there
- 39:36will be a whatever high ambition coalition on climate between
- 39:41Europe and countries in the, you know, certain countries in the
- 39:45global S on trade. We're already beginning to see
- 39:48the way in which bilateral and plurilateral agreements are
- 39:51working out. One could make similar arguments
- 39:54on defence, on, you know, so basically on technology.
- 39:58So at some point this may, may settle into something more fixed
- 40:04and consolidated and institutionalized, right.
- 40:06But I didn't think that this is basically the conversation not
- 40:10just of this day and this month, but probably not for the next
- 40:13few years still. Robert, very briefly, if you
- 40:16will. Look, I just think we need to
- 40:17understand when you remove the United States as a guarantor of
- 40:22so many countries basic security, those countries need
- 40:25to see to their own security or become the thiefs of some other
- 40:30great empire. I believe it's almost a
- 40:32mathematical requirement that countries like Japan and Europe
- 40:38and the nations of Europe that that care about their own
- 40:41sovereignty will need to respond to what the United States is
- 40:45doing by rearming. And I think that that will have
- 40:48benefits in terms of defending themselves.
- 40:51But it is going to be a world of multiple great powers, not just
- 40:55Russia, China and the United States, and multiple conflicts
- 40:58as we saw prior to 1945 and throughout the 19th century and
- 41:03previous centuries. Thank you all very much indeed.
- 41:05It's been a fascinating conversation.
- 41:07That's the forecast from Beijing.
- 41:09Until next time, bye bye.