Eyck Freymann

So the solution is, in principle, as many countries as possible should put up tariffs on China and they should take them down on one another.

Because what broke the global trading system is not that trade itself is bad.

It's that we allowed a communist country that doesn't play by the rules into the system.

TPP isn't coming back.

No, it's not.

But some version of it is.

And you already see the beginnings of this with the US deal with Japan just announced on the Takeuchi visit.

There's going to be collaboration on economic security, supply chains, critical minerals.

We're working with the Europeans on this stuff.

Why?

Because China is so big of a challenge that actually this time we don't have a choice.

But resetting the terms of this international trading system –

If we're doing it in peacetime, it's going to be step by step.

It's going to be political and messy.

What we should be thinking about is if, God forbid, deterrence fails with China, there's the question of what you do economically on day one to prevent the financial crisis.

And then there's the question of what you want the world to look like on day 100, day 1,000, day 2,000 after the immediate hostilities are over.

This is like a break the glass scenario.

So if this happens with China, our trading, our economic relationship with them won't be the same.

Maybe we'll have some, probably we will not break it entirely, but it won't be the same.

So what is our vision for what it should look like?