Asia Pacific News
LAST UPDATE: July 26, 2025
Cracks widen in Japan and US’s interpretation of tariff trade deal
A recently announced trade deal between the U.S. and Japan is under dispute: the U.S. claims Japan agreed to invest $550 billion in strategic sectors and assured that America would receive 90 % of profits, while Tokyo denies these assertions and says profit-sharing will depend on proportional risk and financing.
Insight
Despite agreeing swiftly in a brief negotiation, the deal lacks clarity and binding commitments, leaving room for conflicting interpretations and future disputes. Experts suggest Japan may secure tariff reductions and concessions while limiting fiscal exposure — a model that could appeal to other exporters negotiating with Washington.
Trump says US will sell ‘so much’ beef to Australia
Reuters
Former President Trump declared that the U.S. will sell “so much” beef to Australia after Canberra loosened biosecurity restrictions on American beef imports, though analysts doubt substantial exports due to high U.S. beef prices, record-low cattle supplies, and Australia’s own large domestic production.
Insight
The move is largely symbolic from Trump’s perspective: regulatory change does not guarantee export volume. Market realities—including drought‑induced U.S. herd shrinkage and differing consumer preferences—are likely to limit any significant U.S. beef penetration into a saturated Australian market.
China Premier Links Factory Boom to Hard Work, Not Subsidies
China’s Premier Li Qiang attributed the country’s manufacturing boom to domestic diligence and workforce productivity, rejecting claims that government subsidies are driving overcapacity.
Insight
The rhetoric signals Beijing’s desire to shift global perception: positioning growth as organic and sustainable may be aimed at defusing criticism from trade partners, particularly in the EU and U.S., about unfair state support.
Thailand Warns of War With Cambodia as US, China Call for Calm
Thailand said its armed border clashes with Cambodia could escalate into full-scale war as both sides employ rockets, artillery, and airstrikes. Civilians are fleeing in the tens of thousands, while diplomatic efforts and international appeals from the U.S., China, and others call for a ceasefire.
Insight
The conflict marks the worst escalation between the two in a decade. Territorial tensions around Preah Vihear Temple are reignited, showcasing the fragility of ASEAN-mediated peace deals. The international community faces pressure to broker stabilization quickly to avoid humanitarian catastrophe.
US lifts some Myanmar sanctions after general asked Trump for relief
The U.S. Treasury removed sanctions on several companies tied to Myanmar’s ruling junta two weeks after the junta leader endorsed Trump and requested sanction relief. U.S. officials insist there was no causal link, though human rights groups condemn the move.
Insight
The action may signal a transactional approach: favorable political gestures from Myanmar’s military may influence U.S. policy, raising concerns about the credibility of sanctions frameworks and potential weakening of pressure on authoritarian regimes.
