China's Naval Modernization Challenges US Dominance

The US-China trade dispute has significantly altered global trade dynamics, with China's market share in the US declining by 7.7 percentage points since 2018, particularly impacting sectors like leather goods and furniture. Despite this, China remains a crucial import source for the US, with some sectors such as pharmaceuticals seeing increased market share. Meanwhile, companies are diversifying their supply chains away from China, benefiting countries like Vietnam and Mexico as they gain import market share in the US. The US faces internal challenges reminiscent of past republics, with political dysfunction and corporate interests threatening its foundational principles and stability. Additionally, Asia is grappling with economic dependency on the US, the need for a robust middle class, and innovation without job losses, as highlighted by critic Liew Chin Tong. Lastly, China's rapid naval modernization poses significant security challenges in the Asia-Pacific region, reshaping the balance of power and contesting US dominance.