US, Japan, South Korea Shipbuilding Pact Amid China Tensions

At the APEC meeting in Gyeongju, leaders discussed trade and security amid attention to a Trump‑Xi encounter and U.S. tariffs that have disrupted regional trade. Japan reported round‑the‑clock monitoring by its Self‑Defense Forces of Chinese coast guard vessels transiting the Tsugaru Strait during a month‑long North Pacific patrol. In response, Washington formalized major cooperation with Japan (and South Korea), signing a memorandum and creating a working group to standardize ship designs, boost shipyard investment, coordinate repairs and parts sharing, and collaborate on power and defense infrastructure. The cooperation package also includes broader economic elements such as increased U.S. soybean exports and potential vehicle imports. Analysts warn U.S. tariff policies are reshaping regional economics, and some commentators caution the defense‑oriented cooperation could be perceived as militarization that risks escalating tensions with China.