Global Crisis Watch 325

You are invited to join us for Global Crisis Watch 325, on Friday, April 4th at 10:00 BST.

The highlighted topics will include:

Trump’s Economic Nationalism Risks America’s Global Influence

On Wednesday 2nd , President Trump formally announced his long-anticipated tariffs policy, under the banner of ‘Liberation Day’. While Trump frames the move as necessary to fix trade imbalances and boost domestic industry, critics warn it could trigger retaliatory tariffs, disrupt global markets and raise costs for American consumers.

The announcement, which confirmed tariffs of 20% on EU, 10% on UK and 34% on China, was accompanied by rhetoric that accused US’s trading partners of ‘looting, pillaging, raping and plundering’, and claiming that ‘This is one of the most important day, in my opinion, in American history’.

European Commission President Ursula von der Leyen has vowed to respond with countermeasures, and public sentiment in Europe is turning against the US. In France and Germany, polls show growing distrust of Washington, while Canada’s new Prime Minister Mark Carney declared that the US is no longer a “reliable partner.”

China stands prepared to take advantage of the rift. Analysts suggest that Trump’s actions could weaken transatlantic ties, softening Europe’s stance on Beijing. Under Biden, Washington aimed to unite allies against China, but Trump’s isolationist policies may push them closer to economic cooperation with Beijing. Experts argue that the US is now adopting aspects of China’s economic model – protectionism, state intervention and industrial subsidies—giving China a strategic advantage.

Trump’s tariffs have also led to rare economic talks between Japan, South Korea and China, raising concerns about shifting alliances in Asia. While Japanese and South Korean officials deny deeper coordination with Beijing, Trump’s policies are driving regional actors to explore new strategies.

Despite warnings from economists, the Trump administration remains committed to its protectionist approach, arguing that past concerns over tariffs proved exaggerated. However, experts warn that alienating allies could have lasting consequences, potentially accelerating China’s global influence while fracturing Western economic unity.

Hostage Families Demand Negotiations as Israel Pushes Forward with Military Offensive

Israel has announced a major expansion of its military operation in Gaza, with plans to seize large areas of land and incorporate them into its security zones. Defense Minister Israel Katz stated that the operation includes large-scale evacuations and intensified military action to eliminate Hamas infrastructure. Israeli forces have already issued evacuation orders to residents in southern Gaza, particularly around Rafah and Khan Younis.

Israeli airstrikes overnight killed at least 41 people, including civilians sheltering in a UN clinic. Reports indicate that many displaced Gazans are moving toward Al- Mawasi, a designated humanitarian zone. The situation has worsened as the United Nations warns of an increasing humanitarian crisis, with all bakeries shutting down due to a lack of fuel and flour, raising fears of famine.

The expansion follows renewed hostilities after the collapse of a ceasefire agreement. Israeli officials have linked the military operation to efforts to secure the release of hostages still held by Hamas. However, the families of hostages have expressed frustration, demanding that the government prioritize negotiations over military escalation.

Israel’s operation also aims to create a buffer zone along the enclave’s border, already covering around 17% of Gaza’s land. Critics argue this could result in long-term displacement and strain Gaza’s already fragile infrastructure. Amid ongoing international mediation efforts led by Egypt and Qatar, there is no sign of an imminent ceasefire, while regional tensions continue to rise with Israeli strikes targeting Hezbollah in Lebanon and Syria.

China’s Military Escalation Near Taiwan Marks Dangerous New Phase

China’s military has escalated tensions in the Taiwan Strait with a two-day series of live-fire drills, dubbed “Strait Thunder-2025A.” The exercises, which targeted key infrastructure such as ports and energy facilities, involved joint blockade operations and precision strikes in the East China Sea. This demonstration of military power is seen as both strategic preparation for a potential invasion and a show of force to deter Taiwan’s independence movements. The drills also included operations by the Shandong aircraft carrier, coordinating naval and air forces in multi-dimensional blockade strategies.

Taiwan condemned the exercises as aggressive and provocative, stating they raised a direct threat to regional stability. Taiwan’s defense ministry heightened alert levels, and the US government condemned China’s actions, warning that such military intimidation jeopardizes peace in the region. China has historically claimed Taiwan as part of its territory, and recent drills, including surprise joint military operations, reflect China’s increasing assertiveness.

In addition to military exercises, China has increased political pressure, including harsh rhetoric against Taiwan President Lai Ching-te, whom China denounces as a separatist. Taiwanese residents, however, appeared unshaken by the frequent drills, which they’ve become accustomed to. China’s growing military presence is widely viewed as preparation for more complex military operations, with analysts noting the importance of these exercises in refining amphibious assault tactics and enhancing operational readiness. The exercises, and China’s broader military posture, have drawn concern from the US, Japan and the European Union, who oppose any forceful changes to Taiwan’s status.

UK Finalizes Chagos Handover, Secures Military Base Lease

The UK government is close to finalizing a deal with Mauritius to transfer sovereignty over the Chagos Islands while maintaining the US-UK military base on the largest island, Diego Garcia, under a 99-year lease. The agreement, which had faced delays due to political changes in both Mauritius and the US, was recently approved by President Donald Trump, easing concerns over potential US opposition.

Despite this approval, some senior Republicans and UK conservatives have criticized the deal, citing concerns over national security, Mauritius’s ties to China and the financial burden on the UK, which could reportedly reach £18bn. However, UK officials argue that Mauritius’s relationship with China is overstated and emphasize India’s stronger regional influence.

The Chagos Islands, separated from Mauritius in 1965 while the country was still under British colonial rule, have been a long-standing point of dispute. International legal rulings, including from the UN’s top court, have supported Mauritius’s sovereignty claims. The UK government has defended the handover, citing legal obligations and the need to ensure the stability of the military base.

In parallel, the UK has announced an enhanced foreign influence registration scheme targeting Russia and Iran for their threats to national security. However, China has not been placed under stricter monitoring, leading to criticism from opposition figures who argue that China’s espionage activities pose a major security risk.

The Chagos agreement marks a significant geopolitical shift for the UK, balancing legal pressures, military strategy and diplomatic relations amid global security concerns.

Plus, all the stories that are catching our attention wherever we live in the world. Feel free to join us and add your voice to the conversation.