New tariffs, old world

Ideology can only go so far, but business interests go a long way. The two forces fight fiercely sometimes. But ultimately, who wins and who loses is a no-brainer.

It seems morals are dictating developments concerning Palestine, with the United Kingdom, France and Canada among leading US allies that are getting further and further away from Israel. The United States, meanwhile, is suggesting that Thailand and Cambodia have agreed to a ceasefire not because of moral principles, but because of economic factors.

So, which is a more effective tool when ending hostility and violence is concerned, morals or business influences?

Make no mistake, the Thai-Cambodian ceasefire is a great thing, and the new tariff rate of 19 per cent is relatively a lot better. But if what America said is to be believed, Bangkok and Phnom Penh did not agree to a truce because of moral reasons.

Thailand and Cambodia were apparently influenced by Donald Trump’s tariff policy more than anything else.

US Commerce Secretary Howard Lutnick said it himself: "It's unbelievable. And because he (Trump) uses trade, he gets to invite me on the phone, and I listened all day Saturday while he's calling Cambodia. And what happens on Monday? They announce a truce. And here we did today. We made trade deals with Cambodia and Thailand."

So, in that case, the nationalism, proper or overblown, that drove the two countries to arms, has given way to economic deals with the United States. The “reward” is a 19 per cent tariff.

Meanwhile, atrocities in Gaza have swayed France, England and Canada toward Palestine and away from Israel. It appears morals are prevailing in this one.

But not so fast. Push has not come to shove yet. In other words, economic matters are yet to emerge all guns blazing.

And when they do, it’s interesting to see what happens to Palestine.

One big clue is that Trump’s Israeli tariffs were originally lower than Thailand’s and Cambodia’s, despite the massive killings of the innocent in Gaza and the huge number of displaced people.

Gaza has been a war far more brutal and devastating than what has happened at the Thai-Cambodian border. Why the relatively low tariffs? Why didn’t Trump say “Stop your Gaza campaign of terror or you will get 40 per cent”?

Trump may have been blatant, but he has done nothing out of the ordinary. Business interests are the most influential factors in virtually every world event.

Iraq has oil. Many Muslim countries are so rich it defies religious principles. The Russians sell gas to countries that “oppose” them. There are trade routes whose blockades or reopening have nothing to do with ideologies.

Nationalising the petrol industry played a big part in ideological turmoil in Iran decades ago, with the West having a huge role, sometimes active and sometimes passive. Behind what looked like political storms battling Afghanistan are global business interests primarily centered on its rich natural resources, strategic location, and potential for development in agriculture, mining, and energy sectors.

Why is Singapore prosperous, and darling of the West, despite rules that make true liberals frown and a virtually opposition-free Parliament?

Sometimes political and business interests mixed up, most of the times intentionally, to blur ideologies and created new ones to suit them.

Does America fear China’s political thinking, or does it fear losing business edges to cheap productions, commercial innovations and financial clout of Brics?

Is Huawei actually a bigger worry than freedom of expression?

Infamous Ferdinand Marcos ruled the Philippines for about two decades. Why did he last that long?

The West was motivated by maintaining a stable, anti-communist ally during the Cold War and securing strategic military bases in the Philippines. America, in particular, saw him as a bulwark against the spread of communism in Southeast Asia despite his human rights abuses.

That sounded ideological, but was there money involved? A lot. Communism is capitalism’s greatest enemy. Free trade is democracy’s illegitimate child that the parents, however, can’t live without.

The People Power Revolution in the Philippines is well-known not just because its size was mammoth, but also because it was a rare triumph of ideology over vested interests.

Nothing, however, guarantees that such a victory will last long. When money talks, everything else stops to listen.

This, after all, is a world where business interests have been shaping ideologies. It’s just happening so neatly and under such a perfect disguise that we think it’s the other way around.