From RAND Policy Currents <[email protected]>
Subject U.S.-China Trade Relations: Beijing’s Self-Reliance Strategy
Date June 12, 2025 7:10 PM
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Policy Currents | The newsletter for policy people
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** June 12, 2025
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U.S.-China Trade Relations: Beijing’s Self-Reliance Strategy

The United States and China reportedly reached a framework agreement on trade this week. The exact contours are unclear, and the overall trajectory of U.S.-China trade relations remains shrouded in uncertainty. That said, the U.S.-China trade war has revealed several lessons about China's vulnerabilities and power, say RAND's Gerard DiPippo and Benjamin Lenain.

The trade war has been "as much a test of China's economic resilience as it is of U.S. pressure." Although Washington retains meaningful leverage over Beijing, its influence is diminishing. That's because China is reducing dependence on U.S. markets and technology: It is focusing on manufacturing goods for China's internal market and deepening its control over critical global supply chains, including those for smartphones and batteries.

If tensions re-escalate, then China could endure the shock, but it would be doing so at a fragile moment, according to DiPippo and Lenain. This highlights "the limits of U.S. leverage and the stakes of Beijing's self-reliance strategy." Whatever happens with future negotiations, China's approach is unlikely to change.

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Preventing and Treating Alcohol Use Disorder Among Veterans

Veterans have an increased risk of adverse alcohol use, and excessive drinking is a leading factor in preventable deaths among veterans. A new RAND paper explores this issue, providing an overview of veterans' alcohol use, its consequences, and recommendations for addressing the problem. The authors highlight important actions, such as focusing on prevention efforts, providing treatment for PTSD and other co-occurring mental health disorders, and improving access to alcohol use disorder medication.

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Preparing for the Quantum Threat to Cryptography

Quantum computers can perform certain calculations far more quickly than even the best supercomputers. These include the complex math problems underlying encrypted information online. According to RAND's Edward Parker, "it's hard to overstate the consequences that might occur if a bad actor acquired the ability to use a quantum computer to break today's cryptography." Even though quantum computers are not yet capable of such a feat, the United States and its allies should act "as soon as possible" to secure their communications systems, Parker says.

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** Events
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Wednesday June 18, 2025 (Online)
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