U.S.-CHINA RIVALRY DOMINATES INDO-PACIFIC

The main Asia-Pacific story is the sharpening U.S.-China rivalry, which is driving regional security, maritime competition, and policy alignment across the Indo-Pacific. Strategic pressure is centered on key flashpoints including Taiwan, the South China Sea, the Korean Peninsula, and major sea lanes such as Malacca and Luzon. Economic interdependence among China, Japan, South Korea, and Taiwan continues to support trade stability, but it also increases vulnerability as governments hedge against disruption. Regional states are responding by expanding defense cooperation, diversifying partnerships, and tightening economic-security measures around trade and technology.