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@Daily_Discussion @TigerStars On a separate note, Singapore does have a role to play against the big bully, Donald Trump. While it may be true that Singapore is too small to stand alone and free trade is the lifeblood of Singapore's economy, giving in to bully, they will come back for more! It's not easy, but if Singapore can do what it does best to provide a platform for negotiation and cooperation between East and West (excludes US), Singapore will only grow stronger (together) with like-minded economies. There's also an opportunity to create alternate combined trading currencies backed by gold to gradually replace USD. How about this for a food for thought? @Daily_Discussion @TigerStars
@Daily_Discussion @TigerStars @Ah_Meng：Retaliatory tariffs... The question is not if Singapore is smart not to impose a retaliatory tariff. It's about if Singapore is able to retaliate economically against US. We have to understand the context here. Singapore is a small island nation with no natural resources. What it lacks it made up for through sheer hard work from its people to arrive at today's prosperity. Singapore economy strives in an open economy environment. Therefore, Singapore had benefited greatly from a free trading world 🌍. With the second coming of Donald Trump brings chaos and a new dawn to the world of economic. The words, "protectionism" and "closed economy" seems to loom large in this new term. Much worse than his first. It appears he has already warmed up and ready to show his true colours. Singapore economy is built on the twin engines of financial and advanced technology manufacturing. In advanced manufacturing, the sector takes components from different countries for value-added assembly before on-selling. As for finance, it is acting as a Asian financial hub, servicing the East and West. Of course, to go with that, it is also acting as a transshipment hub for the region. The hub concept facilitates the movement of goods and services in the region. Why are these points important? They are to show that Singapore has no means for retaliatory tariffs against a big economy such as US. For Singapore economy to continue to run efficiently, it needs the open economy concept to continue working. Protectionism from big countries like US or China would adversely impact Singapore. Therefore, it is not that Singapore is smart not to retaliate, but it serves to hit itself in the face if it did. On the other hand, if the same cannot be said for a country such as a big economy like EU or China. They are major trading partners with US, no matter if Donald Trump likes it or not. They do have the means to apply retaliatory measures against US. The question is if this would be a smart move. If I am to answer that, I would say yes. The rationale is simple. Obviously, Donald Trump is taking a bully approach. He started the tariffs stance not as a mean to negotiate. Rather, he simply wanted his way to show off his power (mind you, it's US's power, not his - but he always like that, as of a Chinese saying, 狐假虎威, meaning to bully or frighten others relying on other people's power). If the world lets him have his way, US will change the world 🌎 economy upside down. It will definitely strengthen US future position and weaken the rest of the world. Countries will merely be submitted to US terms. Who knows what Donald Trump will do next if he gets what he wants now. Remember this very important point. This so-called reciprocal tariffs is nonsense. It is concocted based on US administration's wants, i.e. a blatant extortion scheme! When US runs out cash, it simply asks for more... how easy... there is no longer world order... I mean, like how US always thought, they are the world... or is it? Only if China and the rest of the major economies work together could they possibly bypass US. Trading with US must still go on, but by working hand-in-hand, using gold or other alternative currencies as a base, these nations should be gradually able to stand on their own, and wait for Donald Trump and US to come crawling back. By then, the power of US would diminish and a new world order would be here... @TigerStars @Daily_Discussion @CaptainTiger
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