The White House (via OMB) strongly protests Congressional efforts within the FY 2027 NDAA to prohibit the purchase of warships from foreign shipyards. The Administration argues that these restrictions undermine national security by limiting flexibility and hindering its strategy of leveraging allied yards, such as in the 'Finland model,' to drive investment into U.S. shipbuilding capacity. This signals a significant policy shift toward integrating international partners into advanced naval construction, suggesting the Pentagon is prepared to bypass traditional domestic build requirements for future combat vessels.
What to read this summer
English Summary
The curated reading list highlights a global environment defined by intense, multi-faceted competition across technology, resources, and great power rivalry. Central arguments focus on systemic vulnerabilities, such as the struggle for AI dominance and the geopolitical implications of critical mineral supply chains (e.g., the Congo). Key evidence points to China's extraordinary industrial capacity and its deep integration into global systems, which dictates much of the West’s strategic action. Policy implications suggest that national strategy must pivot from traditional diplomacy toward securing resilient supply chains, managing technological decoupling risks, and addressing resource exploitation to navigate escalating geopolitical instability.
中文摘要
這份精選閱讀清單強調，當前全球環境的特徵是科技、資源和大國競爭等多層面、高度激烈的競爭。核心論點聚焦於系統性脆弱性，例如爭奪人工智慧（AI）主導權的鬥爭，以及關鍵礦物供應鏈（如剛果）所帶來的地緣政治影響。主要證據指出中國非凡的工業產能及其深度融入全球體系，這在很大程度上決定了西方世界的戰略行動。政策意涵表明，國家戰略必須從傳統外交轉向確保具備韌性的供應鏈、管理技術脫鉤風險，並應著手處理資源掠奪問題，才能有效應對日益升級的地緣政治不穩定性。
Related Entries
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The Western Pacific remains a highly active theater defined by sustained U.S.-led military exercises and escalating great power competition. Key evidence includes continuous joint operations, such as RIMPAC 2026 in Hawaii and the deployment of CSGs into the South China Sea, juxtaposed with increased naval activity from both China (PLAN task groups) and Russia near Japan's critical straits. These movements underscore a strategic push by non-allied powers to assert presence and challenge regional norms. Policy implications dictate that allied nations must maintain robust multilateral cooperation and interoperability to safeguard freedom of navigation and manage escalating tensions in the Indo-Pacific.
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The article argues that the post-Cold War era of U.S. unipolarity, established by the perceived invincibility demonstrated during the Gulf War, has ended. This decline is driven by globalization and technological diffusion, which have democratized advanced military capabilities, allowing regional actors to challenge major powers. Consequently, policymakers must prepare for a more volatile international order marked by frequent crises, heightened costs for securing global trade chokepoints, and reduced predictability from American power. The new rules dictate that great powers can no longer effortlessly impose their will through force.
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The article argues that current market borrowing costs are rising independently of the Federal Reserve's policy stance, challenging the assumption that the Fed controls all rates. Evidence shows significant increases in key rates—such as 2-year Treasuries and mortgages—even while the effective federal funds rate remains steady. This divergence occurs because market rates reflect complex factors like inflation expectations, credit risk, and geopolitical volatility, which are outside the central bank's direct control. Policymakers should therefore recognize that sustainable rate moderation requires credible disinflation and disciplined government budgets, rather than relying solely on Fed intervention.
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Despite recent trade setbacks, the U.S. retains fundamental structural economic leverage over China, particularly in high-tech sectors and intermediate goods. While Beijing can temporarily weaponize specific resources like rare earths, these chokepoints are vulnerable to diversification efforts by the West. The article argues that the most effective strategy is not unilateral action but coordinated multilateral pressure from U.S. allies across Asia and Europe. Washington must therefore coordinate its economic statecraft with partners to maximize damage to China’s export-dependent model.