US trade deals come with defence strings attached

WE HAVE entered a dark era of trade deals, one where Washington now openly links national security to success. If countries want lower tariffs, they have to meet US President Donald Trump’s defence demands.

It’s working. Last week, the White House cut deals with Indonesia, the Philippines and Japan, granting them lower rates than Trump’s threatened tariffs. In exchange, they have had to sign up to vaguely worded commitments on defence and national security.

This is a sharp break from normal statecraft, notes Bob Savic, head of international trade and sanctions consulting at the London-based Global Policy Institute. “The Trump administration has redefined US policy by explicitly tying economic agreements to national security,” he told me.