World Events Summary: 20th-26th March 2018

Koreas/China: with a potential 3-way summit (U.S., South Korea, North Korea) within months it would be unsurprising if speculation that Kim Jong-Un is visiting China were true. China must be a part of the solution to the North Korea crisis – giving it leverage in U.S. trade disputes. South Korea is debating a Constitutional change to the presidency – four-year terms, with a two-term limit. 

U.S. Trade: South Korea appeared to have agreed a series of revisions to its bilateral trade deal. These give improved access for U.S. car manufacturers, while South Korea is permanently exempted from steel and aluminum tariffs. This pressures other countries to deal directly with Washington – something that Japan has so far refused hence it is the only major U.S. ally subject to steel tariffs. 

U.S./China: Treasury Secretary Mnuchin calmed markets by saying that a dialogue continued on how to resolve trade tensions. Beijing renewed pledges to open up its economy and better protect IP. 

EU Rhetoric: Macron and Merkel gave speeches filled with defiance against Trump’s tariff policies, but Berlin has, reportedly, chosen to step back from a controversial technology (mostly U.S.) tax plan.