The future is uncertain for the European Union as powerful regimes with inward-looking agendas have begun rolling out policy in the U.S., Germany, and France, due in no small part to the second Trump administration. For Europe, NATO, and the conflict in Ukraine, this could potentially lead to unprecedented changes in the modern global order.

Trump’s proudly professed vision of greatness has once again become foreign policy, casting doubts over the stability of America’s relationships with even its closest allies. Could this sudden shift in paradigm strengthen China’s positions globally?

America’s stunning withdrawal from global leadership under President Donald Trump’s isolationist policies has accelerated China’s rise, marking a significant shift in global power dynamics. China’s timing is perfect for the moment as it promotes a vision of global collaboration and shared prosperity.

Three major conferences held in Europe — the Davos Forum, the Artificial Intelligence Action Summit and the Munich Security Conference — underscored the defining feature of the current international landscape: It’s a complex and evolving mix of cooperation and competition.

Simon Lacey, Head of Digital Trade and Geopolitics at the World Economic Forum, in a recent interview with Marc Smrikarov of China-US Focus, discusses areas where U.S. and Chinese interests align, such as global financial stability and freedom of navigation. Additionally, he emphasizes the need for patience and understanding on both sides, and to recognize the importance of cooperation in a shifting multipolar world. He also highlights the fragmentation of AI development between the U.S. and China, warning that the lack of cross-collaboration could hinder innovation, and urges a more rational approach to labeling AI and semiconductors as dual-use technologies in national security contexts.

It may be dangerous to be America’s enemy, but to be America’s friend may be fatal. For both, reassessing the conventional perception of U.S. diplomacy to explore the inner logic of Trump 2.0 foreign policy is a thorny task under the unpredictable new president.

U.S. allies in the long run are expected to pursue greater strategic autonomy, which means defining their national interests outside of American influence. Their policies toward China are therefore likely to continue evolving in a pragmatic and nuanced direction.

The latest moves by Trump’s administration are a sharp pivot into new, seemingly accommodating foreign policy. Would less U.S. presence around the world embolden China to make aggressive moves into contested spaces?

The grand strategies of Sun Tzu and Thucydides converge on a central idea: true victory lies in avoiding direct confrontation. In an era of nuclear deterrence and global challenges, their wisdom underscores that great powers must prioritize strategic restraint, internal resilience, and measured competition over reckless escalation.

Donald Trump’s return to the White House puts the Indo-Pacific at the center of U.S. foreign policy, but restoring American dominance won’t be easy. While his first term laid the groundwork for a strategic shift, China’s expanding economic and military influence has only grown stronger. To compete, Trump must recalibrate U.S. engagement—strengthening military alliances, reviving economic initiatives, and leveraging technological advantages—before Beijing cements its leadership in the region.