The US Japan relationship is facing its worst crisis in 25 years because of Donald Trump's transactional approach to defense and trade in his second term. The US president's tariff demands and rhetoric like referring to Japan as Mr. . Japan suggest there's real fragility between Washington and its top investor and its key security ally in Asia.Trump has pushed Japan to raise its defense spending and regards the $68 billion trade surplus that Japan has over America as a clear sign of unfair trading practices ...

Turkeykey's economy, once tipped to repeat the success of South Korea's transformation, is in a rut. The reason is the tough measures needed to rescue the country from the balance of payments crisis it faced 2 years ago. But the arrest this March of Istanbul mayor and star opposition politician Ecram Imamolu made matters worse.It led to mass riots and caused the financial panic which forced the central bank to jack up interest rates again. Around a thousand domestic companies have filed for bankruptcy so fa ...

Geopolitical & Economic Landscape - China has become the world's second-largest economy and a military superpower, but faces industrial choke points hindering its independence [1] - These choke points make China vulnerable to US pressure in trade wars and export controls [1] Industrial Challenges & Opportunities - China faces challenges in advanced computer chips and essential manufacturing components [2] - China is systematically addressing these choke points using AI to accelerate progress [2] - Some choke points, like advanced semiconductor manufacturing, may take years or decades to resolve, while others are nearing resolution [2] Competitive Landscape - Products affected include carbon fiber for aviation and ball bearings for various industries [3] - European, Japanese, and American rivals are now on high alert due to improving Chinese quality and yield [3]

US Political & Economic Landscape - The US political system is perceived to be transforming, with concerns about slavish devotion to a leader and Washington potentially turning into Pyongyang [1] - There's a sense that the US is politically not the same country it was a few years ago, impacting the entire international system [1] - Public opinion is largely negative towards current legislation, even with deliberate obfuscation of its impact [25] - The US stock market may be detached from the economic reality, potentially driven by corporate profit expectations in a favorable regime [15] International Order & Global Economy - The traditional global order is being tested, with the US potentially abdicating its leadership role [1][3] - The world may be moving towards a "world order minus one," where the US is excluded due to its current political climate [3] - There's an opportunity for other countries, like China and the EU, to take on leading roles in trade, climate action, and global governance [5][6][7] - The US dollar has fallen about 10% since the start of the year, a phenomenon typically seen in emerging markets [17] Risks & Uncertainties - There are concerns about the stability of the US system, with potential for unfair elections and the creation of a massive secret police force [2] - The US is potentially setting itself up for a financial crisis due to deregulation, irresponsible fiscal policy, and pressure on the Federal Reserve [31][33] - There's a risk of runaway inflation if the Federal Reserve becomes too politicized and attempts to goose up the economy for political gain [34]

Previously on Hot Money. I don't know. It's a kind of almost like a a Sharon Stone moment from Basic Instinct, you know, the plot of Basic Instinct where she uh she murders her husband, but uh uh but that's also the plot of the book she's written.So, it couldn't possibly be true. Do you know about this life-sized Trump figure in the office and his in Marshall's office and his um altar of of Russian officers caps and shanka kind of Yeah. Yeah.All those heads. Yeah. I think the biggest tragedy of Yan Masale i ...

Economic Vulnerability - Vietnam's economy is vulnerable due to its reliance on exports to the US and investments from companies leaving China [1] - US President Trump's trade policies and escalating tensions between the US and China have highlighted this vulnerability [1] - Vietnam faces potential setbacks to its goal of becoming a developed country by 2045 due to its export-led growth model [2] Trade Relations with the US - Vietnam has the third largest surplus with the US [2] - Vietnam was hit with a 46% tariff rate [2] - Trump's actions serve as a wake-up call for Vietnam [2] Economic Diversification and Reforms - The Communist Party is seeking to re-engineer the country's economic model to reduce dependence on the US [3] - Efforts are underway to diversify export markets and boost the domestic market through reforms [3] - Economic reforms could mitigate the impact of tariffs on Vietnam [3]

Government Initiatives & Funding - The Danish government launched the Action Plan for Plant-based Foods in 2023 to improve public health and address climate emissions from the agriculture sector [3][4] - A government fund worth approximately $190 million (DKr1 billion) supports the Action Plan, aiming to improve land health and promote a shift towards plant-based diets and production [4][6] - Farmers growing plant-based protein crops for human consumption are eligible for bonuses from the fund [7] Market & Economic Impact - Research indicates that the plant-based food market in Denmark could be worth up to $2 billion and create 27,000 jobs by 2030 [9] - A significant majority of initial grants from the fund have been allocated to projects focused on boosting demand for plant-based food [8] Environmental Considerations - The agriculture sector, dominated by meat and dairy, accounts for about a third of Denmark's climate emissions [5] - A 2021 study suggests that producing plant-based foods generates approximately half the emissions of meat-based products [5] Consumer Behavior & Normalization - Normalization strategies, such as serving more plant-rich meals in public and private organizations, are being explored to encourage consumers to adopt climate-friendly diets [14][15] - Avoiding terms like "vegan" or "vegetarian" and instead using descriptive names for plant-based dishes can increase their appeal and sales [16] Innovation & Production - Companies are developing alternative seafood and meat products using fungi, fermentation, and plant-based proteins to address the taste challenge and provide appealing alternatives [9][10][11] - Some companies disagree with the fund's initial focus on minimally processed foods, arguing that processing is necessary to create better-tasting and more appealing meat replacements [12][13] International Influence - Other countries, including Germany and South Korea, have followed Denmark's lead and launched similar funds, potentially impacting diets globally [17]

M&A and Corporate Governance - Japan views M&A as a way to encourage consolidation in fragmented industries, shake up complacent boardrooms, and improve corporate governance [1] - Hostile bids pose both a threat and an opportunity for Japan's government [1] Geopolitical and Technological Concerns - Japanese companies are central to the geopolitical tussle between the US and China for control over emerging technologies such as artificial intelligence, semiconductors, humanoid robots, and facial recognition [2] - Japanese materials and equipment suppliers are indispensable cogs in the semiconductor supply chain [2] - Some Japanese officials are rushing to prevent the nation losing control over its most advanced and sensitive technologies [1] - The Japanese government is shoring up measures to prevent takeovers by possible front companies, economic espionage, or the accidental transfer of intellectual property to rival nations [2] Regulatory Response - Japan plans to introduce a new investment screening law next year [3] - The new investment screening law needs to be balanced with the drive to consolidate Japanese industry [3]

Artificial Intelligence & Labor Market - The report explores whether AI advancements will reshape the working world or if it's a recurring narrative [1] Key Individuals & Institutions - Martin Wolf, FT's chief economics commentator, and Paul Krugman, Nobel Prize-winning economist, are featured [1] - The Financial Times (FT) is the source of the content [1] Content Overview - The content is part of a six-part series called "The Economics Show" [1] - The content includes links to FT Edit (daily journalism), student access, trial subscriptions, community stories, podcasts, and Instagram/TikTok accounts [1]

Corporate Fraud & Espionage - The Financial Times exposed Wirecard, a German financial payments giant, as a major corporate fraud in 2020 [1] - The fraud is considered the biggest in German history [1] - Yan Marcel, Wirecard's COO, led a double life as a fraudster and a spy connected to Russian intelligence agencies [2] - Marcel disappeared with millions just before Wirecard's collapse [3] - Marcel's activities included conspiracies to empower the far-right, corrupt politicians, manipulate intelligence agencies, and engage with organized crime [5] Investigation & Scope - The Financial Times has been investigating Marcel's activities for the past year [3] - The investigation spans from Vienna to North Africa, exploring Marcel's past and his connections [4] - Marcel's life involved high-end European restaurants, parties with a Russian lover, and involvement in the war on terror, including selfies with Russian mercenaries in Syria and Libya [5] - Marcel used proxies to steal classified military equipment, trail journalists and dissidents, and potentially lay the groundwork for assassinations [5] - The investigation highlights the fragility of law-abiding societies and the allure of the "other side" for some individuals [6]