

Finally, Some Clarity on US-China Relations || Peter Zeihan
Jun 11, 2025
Dive into the shifting dynamics of US-China relations with a focus on defense strategies for Taiwan. The discussion highlights a crucial phone call between the leaders, revealing the move away from strategic ambiguity. There's a deep exploration of leadership challenges that have left both nations unprepared for impactful conversations. Expect insights that clarify the evolving landscape and what it means for the future!
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Clear U.S. Shift on Taiwan
- Defense Secretary Pete Hegseth clearly labeled China as a threat and vowed a strong military response if Taiwan is invaded.
- This marks a sharp break from decades of U.S. strategic ambiguity regarding Taiwan's defense.
Blind Leadership in U.S.-China Talks
- Both Trump and Xi suffer from leadership blind spots due to major purges that limit their access to accurate information.
- Their ideological rigidity and lack of good counsel threaten effective management of U.S.-China relations.
Trade War's Harsh Impact
- The U.S.-China trade war drastically cut trade volumes, with tariffs sometimes exceeding 500%.
- Despite tariff rollback and resumed talks, the economic damage is starting to show through inventory shortages.