'Trump’s Asia tour signals renewed US engagement in the Indo-Pacific'

US President Donald Trump's week-long visit to Asia from October 24–29 has redefined the geopolitical and economic landscape of the region. His trip -- covering Malaysia, Japan, South Korea, and a meeting with Chinese President Xi Jinping in Busan -- led to major agreements on defence, trade, technology, and rare earth minerals worth hundreds of billions of dollars.

To understand its broader implications, The Daily Star spoke to Parvez Karim Abbasi, assistant professor of Economics at East West University and executive director at the Centre for Governance Studies.

The Daily Star (DS): How significant was President Trump's Asia tour overall?

Parvez Karim Abbasi: This tour marked a crucial phase in Trump's presidency. He proved many of his critics wrong, at least in the short term, by opening new economic and geopolitical opportunities for the United States.

At the Asean Summit in Kuala Lumpur, Trump took credit for facilitating a ceasefire between Thailand and Cambodia, while also securing access to critical minerals and rare earth metals from Malaysia. In Japan, he met the newly appointed Prime Minister, Sanae Takaichi, and finalised commitments worth $550 billion to strengthen the US semiconductor and pharmaceutical supply chains. He also resolved long-standing trade issues on rice imports and Japanese car tariffs.

In South Korea, during the APEC Summit, he reached a $220 billion investment agreement with President Lee Jae-myung. These moves allowed him to demonstrate that he could attract foreign investment, reduce tariffs, and expand export markets, key themes for his domestic audience.

DS: How might the Trump–Xi meeting impact the global economy?

Parvez: This was arguably the most significant event of the tour. For years, the US–China relationship had been fraught with tensions, from currency manipulation to intellectual property disputes and trade wars. Tariffs reached as high as 145 percent from the US side and 125 percent from China.

Now, a "temporary trade ceasefire" has been achieved. China has agreed to import 12 million metric tons of US soybeans this season and 25 million annually for the next three years. Another key point was rare earth materials — essential for semiconductors, defence systems, and smartphones.

China, which controls around 90 percent of global supply, agreed to ease some export restrictions. In exchange, the US granted a one-year pause on its technology export bans. This offers temporary relief for global industries and shows that Washington remains committed to the Indo-Pacific Strategy, though in a more transactional and showy manner compared to previous administrations.

DS: From a geopolitical standpoint, what message does this visit send about US engagement in Asia?

Parvez: The message is clear. The US is not retreating from Asia. While Trump's earlier rhetoric was isolationist, this trip indicates a recalibrated approach. His involvement in the Thailand–Cambodia peace initiative highlights America's continued influence in Asean affairs.

For countries like Vietnam, the Philippines, Malaysia, and Indonesia — all wary of China's assertiveness — the US remains a vital counterbalance. Japan, for instance, is expanding its military budget, marking a shift from its post-WWII pacifist stance. So, the US is reasserting itself economically, politically, and militarily in the region.

DS: The Asean Summit largely ignored the Rohingya crisis. Why do you think that happened?

Parvez: Asean's long-standing principle of non-interference explains much of it. The organisation avoids getting involved in members' internal affairs. Although Malaysia, Indonesia, and Brunei attempted to raise the issue, domestic priorities took precedence.

For Washington, Myanmar is currently low on the list of global priorities. The US is preoccupied with conflicts in the Middle East, the war in Ukraine, and counter-narcotics operations in the Caribbean.

That said, Myanmar still holds strategic importance because of its rare earth reserves, and the US may shift attention there if global conditions change.

DS: Rare earth materials seem to play a central role in these discussions. Could they trigger a new geopolitical rivalry?

Parvez: That rivalry has already begun. Rare earths are indispensable for modern technologies, from renewable energy to advanced defence systems. China dominates both mining and processing, giving it enormous leverage.

The US, European Union, and others are now searching for alternative sources in Africa and Central Asia. Washington's strategy is increasingly transactional, offering investment or aid in return for access to these materials.

Even countries like Pakistan are negotiating rare earth deals, and reports suggest that talks with the Taliban over Afghanistan's mineral wealth have occurred. This shows that future US engagement in places like Myanmar could be driven more by strategic resource interests than by human rights concerns.

DS: What implications could Trump's Asia visit have for Bangladesh?

Parvez: The effects will be indirect but significant. Japan and South Korea may recalibrate their development assistance and investment strategies in Bangladesh to counter China's growing presence.

The more Bangladesh engages economically with China, the more you'll see Japan and South Korea stepping up efforts to balance that influence.

DS: We're seeing rising defence budgets worldwide. Is this trend likely to continue?

Parvez: Yes, absolutely. The post-Ukraine war environment has accelerated global militarisation. Countries such as Japan, South Korea, and India are increasing defence spending while deepening economic engagement with the US.