The Des Moines Register reports: "Terry Branstad has the opportunity to ride a dragon — an increasingly assertive and ambitious China — as ambassador. He has the chance to improve cooperation and shape a strategy to handle the nation's rise. But missteps can lead to deadly confrontation. My 10-day visit to China in May confirmed that Branstad's task could be the biggest challenge of his career. He must engage Chinese leaders on a long list of issues, from economic protectionism to nuclear proliferation, while attempting to lessen the nation's deep distrust of the West...One of Branstad's biggest challenges will be responding to China's increasingly global role...While the Trump administration touts its 'America First' policy, China has aims to remake the global order. The most prominent example we saw was One Belt, One Road, China's 21st-century version of the Silk Road trade route. The plan would link the Middle Kingdom to the rest of the world through investments in ports, pipelines, railways and other infrastructure...While the Chinese emphasize "win-win" diplomacy, the relationship with the U.S. often hearkens back to the Cold War. That was evident when The New York Times disclosed this month that from 2010-2012, the Chinese government crippled U.S. intelligence by killing or imprisoning 18 to 20 of the CIA's sources in China. The two nations could be headed toward an arms race if tensions grow over trade and military engagement in the East and South China seas, warns Shen Dingli, associate dean of the Institute of International Studies at Fudan University in Shanghai."
The Financial Times reports: "The effects of the oil price crash of 2014 are still reverberating around the Middle East. A decade of plenty, when oil prices were high, has been replaced by two years of fiscal crisis and the region continues to feel the pain. In the oil-rich Gulf states, for example, growth is expected to slow to 0.9 per cent this year, compared with 2 per cent in 2016, as exporters trim output in a bid to support flagging oil prices...This month, Donald Trump chose Saudi Arabia for his first overseas visit since taking office and agreed deals worth as much as $380bn including an $110bn arms deal...'Both governments will open their doors, wide,' Khalid al-Falih, the Saudi energy minister said during Mr Trump's visit. Saudi Arabia's economic and social reform process known as 2030 Vision would boost capital flows into the kingdom and ease business for foreign investors, he added. Saudi Arabia is also turning to the east as it seeks to diversify its economic base away from traditional reliance on western allies. When King Salman bin Abdul Aziz, visited China in March, the Saudi monarch sealed deals worth $65bn, including schemes to develop refineries and petrochemicals plants. China, an increasingly important destination for Saudi crude, has balanced its interests within the conflicts of the Middle East, maintaining close relations with Riyadh's enemy, Tehran."
The New York Times comments: "President Trump has promised the world that he will 'solve' the North Korean nuclear crisis before the country's leader, Kim Jong-un, can screw a nuclear weapon onto a missile that can reach San Francisco or Los Angeles, a grim feat that experts say he is on track to achieve during Mr. Trump's first term. The president is right to point out that his predecessors succeeded only at kicking this problem down the road. But Mr. Trump hasn't said how he plans to solve the problem. History suggests that as Mr. Trump comes to understand the risks involved, he will settle for constraints on North Korean testing to stop it from being able to reach the American homeland with a nuclear-tipped missile...An approach that requires the United States to accept what it longed deemed 'unacceptable' will strike many people in Washington as irresponsible. Is United States national security really strengthened if a 33-year-old dictator with a record of executing his enemies and defying red lines is left with an arsenal of 20 warheads and missiles that can deliver nuclear strikes against Seoul and Tokyo? It would be a hard pill to swallow, as Secretary of State Rex Tillerson acknowledged in South Korea two months ago, when he noted that such a freeze was 'premature' since it does not readily solve anything. But as Mr. Trump and Mr. Tillerson review the choices that Mao Zedong made in 1950, and John F. Kennedy made in 1962, they will come to appreciate the risks of cornering an adversary — and find the clearest clues for a deal that Washington and Beijing could support."