Dec 14th 2016

Trump’s Foreign Policy Under Tillerson And Bolton

by Daniel Wagner

 

Daniel Wagner is the founder and CEO of Country Risk Solutions and a widely published author on current affairs and risk management.

Daniel Wagner began his career at AIG in New York and subsequently spent five years as Guarantee Officer for the Asia Region at the World Bank Group's Multilateral Investment Guarantee Agency in Washington, D.C. After then serving as Regional Manager for Political Risks for Southeast Asia and Greater China for AIG in Singapore, Daniel moved to Manila, Philippines where he held several positions - including as Senior Guarantees and Syndications Specialist - for the Asian Development Bank's Office of Co-financing Operations. Prior to forming CRS he was Senior Vice President of Country Risk at GE Energy Financial Services. He also served as senior consultant for the African Development Bank on institutional investment.

Daniel Wagner is the author of seven books: The America-China Divide, China Vision, AI Supremacy, Virtual Terror, Global Risk Agility and Decision Making, Managing Country Risk, and Political Risk Insurance Guide. He has also published more than 700 articles on risk management and current affairs and is a regular contributor to the South China Morning Post, Sunday Guardian, and The National Interest, among many others. (For a full listing of his publications  and media interviews please see www.countryrisksolutions.com).

Daniel Wagner holds master's degrees in International Relations from the University of Chicago and in International Management from the Thunderbird School of Global Management in Phoenix. He received his bachelor's degree in Political Science from Richmond College in London.

Daniel Wagner can be reached at: daniel.wagner@countryrisksolutions.com.

With the presumed designation of Exxon Mobil CEO Rex Tillerson as Secretary of State, and former U.S. Ambassador to the UN John Bolton as Deputy Secretary of State, Donald Trump will be sending a clear message to the world: the U.S. is open for business (presumably to the highest bidder), it will be carrying a big stick, there will be no speaking softly, and the operative word will be “bulldozer.” There will effectively be no subtlety, no negotiation, and no shades of grey: starting in January, it will be Trump’s way or the highway.

For those Trump voters who might have imagined that he would assemble a cabinet and team of advisors attuned to the needs of the blue-collar worker or man in the street, it should be becoming crystal clear by now that they have been hoodwinked. Instead, the Trump Administration is turning out to be the domain of big business, billionaires, and Goldman Sachs. How anyone could have imagined that a man who has never worked a blue-collar day in his life nor associated with ordinary people until his run for the presidency would be genuinely transformed into the champion of the working class always defied logic. Given that Trump has so far refused to personally divest himself of his business interests during his presidency, it is plain for all to see that he plans to enrich himself and his family on the backs of the American economy. Tillerson’s appointment would be consistent with that objective.

The very idea that Trump would propel Tillerson to the role of Secretary of State is a real slap in the face to the rest of the world. America’s presumed top diplomat-in-waiting has no experience in government, or outside of Exxon Mobil. He is best known for arranging a $500 billion deal with Russia’s Rosneft to jointly drill for oil in the Arctic and Siberia, until it was side tracked by the Obama Administration’s sanctions against Russia in return for the forced annexation of Crimea. Tillerson knows how to get a deal done, but there is no evidence — at all — that he has any of the skills ordinarily associated with a diplomat, such as tactfulness, sensitivity, discretion, finesse, judiciousness, or prudence. Perhaps that is the point — Trump did not want to put in place a Secretary of State with traditional skills of diplomacy, because, to him, the world is about extracting maximum advantage from one’s allies and opponents, not arriving at solutions where all parties’ needs are met.

By comparison, Bolton has good diplomatic credentials. Apart from his brief stint at the UN, Bolton was an Undersecretary of State, has held a number of other positions in government and at prestigious think tanks in Washington, and won praise for his work in establishing the Proliferation Security Initiative. However, some of his critics have alleged that Bolton has tried to spin intelligence to support his own political views. His bluntness has earned him a variety of governmental enemies, with Iran’s foreign ministry having called him “rude” and “undiplomatic,” and North Korea’s government having referred to him as “human scum.” This is not a particularly good place to start if one of the Trump Administration’s foreign policy objectives is to make progress with America’s most ardent foes. It would appear that his objective is exactly the opposite.

What is clear is that one of Trump’s near-term goals is to strengthen America’s relationship with Russia. Given that Tillerson is extremely close with Putin, his role in the government would certainly be a step in that direction. But Russia is an issue in which Tillerson and Bolton will surely butt heads. As a high-profile neocon, Bolton has a traditional view of Russia as ‘the enemy’. How the two will come to terms with that remains to be seen. While Bolton shares Trump’s view vis-à-vis Iran, North Korea and a variety of other foreign policy concerns, as a member of the failed Washington foreign policy elite that Trump so frequently and virulently opposed on the campaign trail, Bolton’s appointment is yet another fundamental contradiction that must leave Trump supporters scratching their heads.

Trump’s approach to creating a government, running the government, and crafting a foreign policy has all the makings of a business transaction in which he imagines that everyone else in the world can’t wait to ‘do business’ with America, and that the U.S. is the world’s first choice - for everything. That is obviously his world view, which, he believes, has been the key to his success, and is central to America’s future success. He, and America, are in for a rude awakening with this approach, however. Many of its allies — particularly in Europe — are already wondering if Trump’s America is worth being allied with, questioning basic tenets of American post-war foreign policy, and whether the U.S. can be depended upon to adhere to its historical and ‘binding’ security, aid, and other commitments. America’s enemies must already have come to the conclusion that, at least for the next four years, there is no point in even trying to negotiate with a U.S. president and administration that subscribes to a ‘heads I win, tails you lose’ view of the world.

What seems clear is that the next four years are going to be a period of profound transformation - for America and the world. Trump is riding an alternative political wave already under way in countries such as the UK, the Philippines and Turkey. Rather than attempting to put a lid on the unraveling of the West’s post-war security and foreign policy architecture, Trump is intent on ensuring that it proceeds full throttle. America voted in a president who promised to be a change agent, and we are all now on an out of control roller coaster ride that will have previously unheard of twists, turns, and perils. With foreign policy being reduced to a series of business transactions, and with diplomacy now a function of who can shout the loudest and hurl the worst obscenity, anything is possible.




Daniel Wagner
 is Managing Director of Risk Solutions at Risk Cooperative, a Washington, D.C.-based specialty strategy, risk and capital management firm. He was previously CEO of Country Risk Solutions -- a cross-border risk advisory firm he founded -- and Senior Vice President of Country Risk at GE Energy Financial Services.

Daniel Wagner began his career at AIG in New York and subsequently spent five years as Guarantee Officer for the Asia Region at the World Bank Group’s Multilateral Investment Guarantee Agency in Washington, D.C. During that time he was responsible for underwriting political risk insurance (PRI) for projects in a dozen Asian countries. After serving as Regional Manager for Political Risks for Southeast Asia and Greater China for AIG in Singapore, Daniel moved to Manila, Philippines where he was Guarantee and Risk Management Advisor, Political Risk Guarantee Specialist, and Senior Guarantees and Syndications Specialist for the Asian Development Bank’s Office of Co-financing Operations. Over the course of his career Daniel has also held senior positions in the PRI brokerage business in London, Dallas and Houston.

He has published more than 500 articles on risk management and current affairs and is a regular contributor to the Huffington Post, South China Morning Post and The National Interest, among many others. His editorials have been published in such notable newspapers as the New York Times and Wall Street Journal. Daniel is also the author of three books: "Political Risk Insurance Guide", "Managing Country Risk", and "Global Risk Agility and Decision Making" (co-authored with Risk Cooperative CEO, Dante Disparte).

He holds master’s degrees in International Relations from the University of Chicago and in International Management from the American Graduate School of International Management (Thunderbird) in Phoenix. He received his bachelor’s degree in Political Science from Richmond College in London.

Daniel Wagner can be reached at: dwagner@riskcooperative.com or 1-203-570-1005.



 


This article is brought to you by the author who owns the copyright to the text.

Should you want to support the author’s creative work you can use the PayPal “Donate” button below.

Your donation is a transaction between you and the author. The proceeds go directly to the author’s PayPal account in full less PayPal’s commission.

Facts & Arts neither receives information about you, nor of your donation, nor does Facts & Arts receive a commission.

Facts & Arts does not pay the author, nor takes paid by the author, for the posting of the author's material on Facts & Arts. Facts & Arts finances its operations by selling advertising space.

 

 

Browse articles by author

More Current Affairs

Apr 13th 2024
EXTRACT: "That said, even if Europe were to improve its deterrence capabilities, it would be unwise to assume that leaders necessarily make rational decisions. In her 1984 book The March of Folly, historian Barbara Tuchman observes that political leaders frequently act against their own interests. America’s disastrous wars in the Middle East, the Soviet Union’s ill-fated campaign in Afghanistan, and the ongoing war of blind hatred between Israel and Hamas in Gaza, with its potential to escalate into a larger regional conflict, are prime examples of such missteps. As Tuchman notes, the march of folly is never-ending. That is precisely why Europe must prepare itself for an era of heightened vigilance."
Apr 13th 2024
EXTRACTS: " Nathan Cofnas is a research fellow in the Faculty of Philosophy at the University of Cambridge. His research is supported by a grant from the Leverhulme Trust. He is also a college research associate at Emmanuel College. Working at the intersection of science and philosophy, he has published several papers in leading peer-reviewed journals. He also writes popular articles and posts on Substack. In January, Cofnas published a post called “Why We Need to Talk about the Right’s Stupidity Problem.” No one at Cambridge seems to have been bothered by his argument that people on the political right have, on average, lower intelligence than those on the left." ---- "The academic world will be watching what happens. Were the University of Cambridge to dismiss Cofnas, it would sound a warning to students and academics everywhere: when it comes to controversial topics, even the world’s most renowned universities can no longer be relied upon to stand by their commitment to defend freedom of thought and discussion."
Apr 13th 2024
EXTRACTS: "Word has been sent down from on high that there is room for only “good stories of China.” Anyone who raises questions about problems, or even challenges, faces exclusion from the public sessions. That was certainly true for me." ----- " But my admiration for the Chinese people and the extraordinary transformation of China’s economy over the past 45 years persists. I still disagree with the consensus view in the West that the Chinese miracle was always doomed to fail. Moreover, I remain highly critical of America’s virulent Sinophobia, while maintaining the view that China faces serious structural growth challenges. And I continue to believe that US-China codependency offers a recipe for mutually beneficial conflict resolution. My agenda remains analytically driven, not politically motivated."
Apr 11th 2024
EXTRACTS: "The insurrection began just after 8 p.m. on November 8, 1923, when Hitler and his followers burst into a political rally and held the crowd hostage. ---- The Nazi attempt to seize power ended the following morning, ---- After two and a half days in hiding, Germany’s most wanted man was discovered ----- Hitler was charged with treason, and his trial began on February 26, 1924. ---- .....the judge, having found Hitler guilty, imposed the minimum sentence....That miscarriage of justice was facilitated by the trial’s location in the anti-democratic south, and by the role of the presiding judge, Georg Neithardt, a conservative who was happy to allow Hitler to use his court as a platform to attack the Republic. ----- Like Hitler in 1924, Trump is using the courtroom as a stage on which to present himself as the victim, arguing that a crooked 'deep state' is out to get him."
Apr 9th 2024
EXTRACTS: "If Kennedy’s emphasis on healing suggests someone who has been through “recovery,” that is because he has. Following the trauma of losing both his father and his uncle to assassins’ bullets, Kennedy battled, and ultimately overcame, an addiction to heroin. Like Kennedy, Shanahan also appears to be channeling personal affliction. She describes grappling with infertility, as well as the difficulties associated with raising her five-year-old daughter, Echo, who suffers from autism," ----- "Armed with paranoid conspiracy theories about America’s descent into chronic sickness, loneliness, and depression, Kennedy has heedlessly spread lies about the putative dangers of life-saving vaccines while mouthing platitudes about resilience and healing. To all appearances, he remains caught in a twisted fantasy that he just might be the one who will realize his father’s idealistic dreams of a better America."
Mar 18th 2024
EXTRACT: "....the UK’s current economic woes – falling exports, slowing growth, low productivity, high taxes, and strained public finances – underscore the urgency of confronting Brexit’s catastrophic consequences."
Mar 18th 2024
EXTRACTS: Most significant of all, Russia’s Black Sea fleet has suffered significant losses over the past two years. As a result of these Ukrainian successes, the Kremlin decided to relocate the Black Sea fleet from Sevastopol to Novorossiysk on the Russian mainland. Compare that with the situation prior to the annexation of Crimea in 2014 when Russia had a secure lease on the naval base of Sevastopol until 2042." --- "Ukrainian efforts have clearly demonstrated, however, that the Kremlin’s, and Putin’s personal, commitment may not be enough to secure Russia’s hold forever. Kyiv’s western partners would do well to remember that among the spreading gloom over the trajectory of the war."
Mar 8th 2024
EXTRACT: "As the saying goes, 'It’s the economy, stupid.' Trump’s proposed economic-policy agenda is now the greatest threat to economies and markets around the world."
Mar 8th 2024
EXTRACT: "Russia, of course, brought all these problems on itself. It most certainly is not winning the war, either militarily or on the economic front. Ukraine is recovering from the initial shock, and if robust foreign assistance continues, it will have an upper hand in the war of attrition."
Mar 8th 2024
EXTRACT: "...... with good timing and good luck, enabled Trump to defeat [in 2016] political icon Hillary Clinton in a race that appeared tailor-made for her. But contrary to what Trump might claim, his victory was extremely narrow. In fact, he lost the popular vote by 2.8 million votes – a larger margin than any other US president in history. Since then, Trump has proved toxic at the ballot box. " -----"The old wisdom that 'demographics is destiny' – coined by the French philosopher Auguste Comte – may well be more relevant to the outcome than it has been to any previous presidential election. "----- "Between the 2016 and 2024 elections, some 20 million older voters will have died, and about 32 million younger Americans will have reached voting age. Many young voters disdain both parties, and Republicans are actively recruiting (mostly white men) on college campuses. But the issues that are dearest to Gen Z’s heart – such as reproductive rights, democracy, and the environment – will keep most of them voting Democratic."
Mar 8th 2024
EXTRACTS: "How can America’s fundamentalist Christians be so enthusiastic about so thoroughly un-Christian a politician?" ---- "If you see and think outside the hermeneutic code of Christian fundamentalism, you might be forgiven for viewing Trump as a ruthless, wholly self-interested man intent on maximizing power, wealth, and carnal pleasure. What your spiritual blindness prevents you from seeing is how the Holy Spirit uses him – channeling the 'secret power of lawlessness,' as the Book of 2 Thessalonians describes it – to restrain the advent of ultimate evil, or to produce something immeasurably greater: the eschaton (end of history), when the messiah comes again."
Mar 1st 2024
EXTRACT: "The lesson is that laws and regulatory structures are critical to state activities that produce local-level benefits. If citizens are to push for reforms and interventions that increase efficiency, promote inclusion, and enable entrepreneurship, innovation, and long-term growth, they need to recognize this. The kind of effective civil society Nilekani envisions thus requires civic engagement, empowerment, and education, including an understanding of the rights and responsibilities implied by citizenship."
Feb 9th 2024
EXTRACT: "Despite the widespread belief that the global economy is headed for a soft landing, recent trends offer little cause for optimism."
Feb 9th 2024
EXTRACT: " Consider, for example, the ongoing revolution in robotics and automation, which will soon lead to the development of robots with human-like features that can learn and multitask the way we do. Or consider what AI will do for biotech, medicine, and ultimately human health and lifespans. No less intriguing are the developments in quantum computing, which will eventually merge with AI to produce advanced cryptography and cybersecurity applications."
Feb 9th 2024
EXTRACTS: "The implication is clear. If Hamas is toppled, and there is no legitimate Palestinian political authority capable of filling the vacuum it leaves behind, Israel will probably find itself in a new kind of hell." ----- "As long as the PLO fails to co-opt Hamas into the political process, it will be impossible to establish a legitimate Palestinian government in post-conflict Gaza, let alone achieve the dream of Palestinian statehood. This is bad news for both Israelis and Palestinians. But it serves Netanyahu and his coalition of extremists just fine."
Jan 28th 2024
EXTRACTS: "According to estimates by the United Nations, China’s working-age population peaked in 2015 and will decline by nearly 220 million by 2049. Basic economics tells us that maintaining steady GDP growth with fewer workers requires extracting more value-added from each one, meaning that productivity growth is vital. But with China now drawing more support from low-productivity state-owned enterprises, and with the higher-productivity private sector remaining under intense regulatory pressure, the prospects for an acceleration of productivity growth appear dim."
Jan 28th 2024
EXTRACT: "When Chamberlain negotiated the notorious Munich agreement with Hitler in September 1938, The Times did not oppose the transfer of the Sudetenland to Germany without Czech consent. Instead, Britain’s most prestigious establishment broadsheet declared that: “The volume of applause for Mr Chamberlain, which continues to grow throughout the globe, registers a popular judgement that neither politicians nor historians are likely to reverse.” "
Jan 4th 2024
EXTRACTS: "Another Trump presidency, however, represents the greatest threat to global stability, because the fate of liberal democracy would be entrusted to a leader who attacks its fundamental principles." ------"While European countries have relied too heavily on US security guarantees, America has been the greatest beneficiary of the post-war political and economic order. By persuading much of the world to embrace the principles of liberal democracy (at least rhetorically), the US expanded its global influence and established itself as the world’s “shining city on a hill.” Given China and Russia’s growing assertiveness, it is not an exaggeration to say that the rules-based international order might not survive a second Trump term."
Dec 28th 2023
EXTRACT: "For the most vulnerable countries, we must create conditions that enable them to finance their climate-change mitigation" ........ "The results are already there: in two years, following the initiative we took in Paris in the spring of 2021, we have released over $100 billion in special drawing rights (SDRs, the International Monetary Fund’s reserve asset) for vulnerable countries.By activating this “dormant asset,” we are extending 20-year loans at near-zero interest rates to finance climate action and pandemic preparedness in the poorest countries. We have begun to change debt rules to suspend payments for such countries, should a climate shock occur. And we have changed the mandate of multilateral development banks, such as the World Bank, so that they take more risks and mobilize more private money."
Dec 27th 2023
EXTRACT: "....if AI causes truly catastrophic increases in inequality – say, if the top 1% were to receive all pretax income – there might be limits to what tax reforms could accomplish. Consider a country where the top 1% earns 20% of pretax income – roughly the current world average. If, owing to AI, this group eventually received all pretax income, it would need to be taxed at a rate of 80%, with the revenue redistributed as tax credits to the 99%, just to achieve today’s pretax income distribution; funding the government and achieving today’s post-tax income distribution would require an even higher rate. Given that such high rates could discourage work, we would likely have to settle for partial inequality insurance, analogous to having a deductible on a conventional insurance policy to reduce moral hazard."