Trump's policy weakens US influence in Southeast Asia, while China strengthens - Bloomberg
Kyiv • UNN
A Lowy Institute report shows that Trump's policies, including tariffs and aid cuts, are weakening US influence in Southeast Asia. China is becoming the dominant power in the region through trade and investment efforts.
Tariffs, aid cuts, and visa restrictions under President Donald Trump's foreign policy are undermining the United States' influence in Southeast Asia. In contrast, China is an increasingly dominant force in the region, according to a report by the Sydney-based Lowy Institute, Bloomberg reports, writes UNN.
Details
In its "Southeast Asia Influence Index," published on Wednesday, the think tank places Washington behind Beijing as the region's most influential external partner, citing "uneven" diplomacy. China, conversely, has solidified its position in the region through consistent trade, investment, and diplomatic efforts.
"China is present in Southeast Asia. The United States, on the other hand, shows two different faces in Southeast Asia," the report states, evaluating partners in trade, investment, and defense.
"The Trump administration's global policies on tariffs, aid cuts, and international education are likely to only widen the gap between the United States and these countries," the report adds.
China dominates regional trade, accounting for 20% of exports and 26% of imports compared to 16% for the US, the report says. The largest gap is observed in Cambodia, Laos, and Myanmar, where China's influence is 60-150% greater than Washington's.
US influence remains strongest in traditional partners such as the Philippines and Singapore, where defense ties are central. But across mainland Southeast Asia, Washington is increasingly seen as peripheral, the study says.
The report cites Trump-era tariffs, visa restrictions, and an 83% cut in foreign aid as factors contributing to the decline. Southeast Asian countries were hit hard when tariffs were imposed in April, and Laos and Myanmar still face 40% duties even after July revisions.
Trump's second term in office was marked by the dissolution of USAID, as well as massive funding cuts and layoffs at organizations that had served as a source of American soft power in Asia for decades, namely the US Agency for Global Media, which oversees media outlets such as Voice of America and Radio Free Asia.
In July, Senate Democrats accused Trump of "retreating before China's global leadership," citing the trade war and a shift away from engagement through aid and media cuts. A Pew Research Center poll showed that favorable views of Beijing in wealthy countries reached a six-year high of 32%, while US approval fell to 35%, the lowest since 2017.
The results show how China has used trade, investment, and diplomacy to expand its influence in a region once dominated by Washington. At the same time, Southeast Asian states are diversifying to avoid dependence on a single power and limit geopolitical risks.
"China is significantly ahead of the United States. But we also demonstrate the importance of neighborly relations between Southeast Asian countries, which means that China has not drawn the region into an undisputed sphere of influence," said Lowy Research Deputy Director Susannah Patton about the results.
Addition
Donald Trump stated that India and China are the main sponsors of Russia's war against Ukraine, as they purchase Russian oil.