Lee Hsien Loong (Singapore Prime Minister) – Remarks at Council on Foreign Relations (Oct 2017)
Chapters
00:00:00 Singapore's Prime Minister Lee Hsien Loong Discusses US-Singapore Relations
Introduction: * Prime Minister Lee Hsien Loong visited the Council on Foreign Relations for a special session to discuss U.S.-Singapore bilateral relations and broader regional issues. * His extensive experience engaging with the United States was highlighted, including his military service, political career, and tenure as Prime Minister since 2004.
U.S.-Singapore Bilateral Relations: * The Prime Minister expressed his desire to start the conversation by addressing bilateral relations between the United States and Singapore. * The relationship has been strong and positive, with extensive cooperation in various fields such as trade, investment, security, and education. * Both countries have a shared interest in maintaining peace, stability, and prosperity in the Asia-Pacific region.
Regional Challenges: * Prime Minister Lee acknowledged that the region is facing several challenges, including geopolitical tensions, economic uncertainties, and global health crises. * He emphasized the importance of cooperation and dialogue among regional countries to address these challenges effectively. * He also highlighted the need for countries to adapt to a rapidly changing global environment and embrace technological advancements.
U.S. Role in the Region: * The Prime Minister expressed his appreciation for the United States’ continued engagement in the region and its commitment to maintaining a stable and peaceful environment. * He viewed the United States as a crucial partner in addressing regional challenges and promoting economic growth and prosperity. * He emphasized the significance of the United States’ leadership in shaping the regional order and ensuring a rules-based international system.
Conclusion: * Prime Minister Lee Hsien Loong’s visit to the Council on Foreign Relations provided a valuable opportunity for dialogue on bilateral relations and regional challenges. * The discussion highlighted the importance of cooperation, dialogue, and shared interests between the United States and Singapore in addressing regional issues. * The Prime Minister’s insights and perspectives on the region’s evolving landscape and the role of the United States were significant contributions to the discussion.
00:02:15 Changing Asia: US Role, Regional Dynamics, and China's Influence
Asia’s Economic Progress and Interconnections: Asian economies are generally thriving, with China, Japan, and Southeast Asian countries experiencing growth. Regional integration efforts within ASEAN are underway. India, under Prime Minister Modi’s leadership, is gaining momentum in economic development and seeking international partnerships.
China’s Expanding Influence: China’s Belt and Road Initiative aims to promote regional prosperity and infrastructure development. Asia Infrastructure Investment Bank (AIIB) provides financing for infrastructure projects. China’s growing influence requires a stable and constructive accommodation within the regional and global system.
Evolving US Role in Asia: The changing strategic landscape demands America’s active engagement in Asia. North Korea, maritime disputes, and the need to accommodate China’s growing influence require US participation. America’s role in maintaining peace, providing security, and opening markets is crucial. The US needs to decide its level of engagement, whether it wants to deepen economic relations or seek a different balance.
US Withdrawal from TPP and China’s Role: America’s withdrawal from the TPP has led to disappointment among TPP advocates like Singapore. Regional countries are exploring options to build on the TPP framework without the US. China’s role in the region could be influenced by America’s withdrawal from TPP and its broader “America First” approach. China may strengthen bilateral relationships and expand its influence in the region.
Balancing Power between US and China: Singapore’s late leader, Lee Kuan Yew, emphasized the balance of power between the US as the greatest trading partner and China as the greatest security partner. Maintaining a stable and gradually evolving relationship with China is crucial for regional stability. A tense relationship between the US and China could create challenges for regional countries. China’s Belt and Road Initiative is viewed positively in Singapore and the region, as it promotes growth and infrastructure development.
00:14:27 ASEAN, Belt and Road, and the South China Sea
Overall View: Lee Hsien Loong discusses the Belt and Road Initiative (BRI), China’s growing power, and the geopolitical dynamics in the South China Sea.
BRI: BRI is a framework for Asian countries to participate in infrastructure, financing, and connectivity projects. BRI has the potential to foster regional prosperity, but it should not compromise the region’s existing open links with other parts of the world.
China’s Growing Power: China’s GDP is projected to match that of the United States within the next decade or two. China possesses significant financial resources and global influence. The United States cannot treat China as a middling power with limited armed forces and global influence.
South China Sea: The East China Sea dispute between China and Japan is historically contentious, with the potential for military escalation. The South China Sea dispute involves multiple claimant states in Southeast Asia, but none want to escalate tensions with China due to their extensive economic and political ties. The United States has an interest in freedom of navigation and international law in the South China Sea, which aligns with Singapore’s interests.
00:18:57 Differing Strategic Perspectives Among ASEAN Countries
ASEAN’s Consensus-Based Approach: ASEAN operates on the principle of consensus rather than majority rule. Each member state retains its sovereignty and independence. ASEAN positions are formed when there is an alignment of interests and a consensus of views among the members. In cases of differing opinions, ASEAN agrees to disagree and continues discussions.
Strategic Diversity Among ASEAN Members: Member states have distinct threat assessments, fundamental interests, and geopolitical positions. Indonesia and the Philippines are archipelagic states with unique maritime concerns. Laos is landlocked and shares a land border with China, influencing its perspective. Vietnam has a long history with China, including invasions, wars, and periods of coexistence. Myanmar’s coastline is on the Andaman Sea, and its relationships with China and India are significant.
Singapore’s Unique Position: Singapore is the smallest member of ASEAN, except for Brunei. It has a Chinese ethnic majority but is a multiracial country, not a Chinese country. Singapore’s perspectives differ from its neighbors due to its unique identity.
Challenges in Addressing Regional Issues: ASEAN faces difficulties in addressing regional issues due to diverse perspectives among its members. The humanitarian crisis in Myanmar exemplifies this challenge. ASEAN discussed the crisis but struggled to take concrete action due to the principle of non-interference in the internal affairs of member states.
00:21:41 Assessing China's Economic Health and Political Transitions
Xi Jinping’s Leadership and Vision: Xi Jinping has solidified his position and introduced a new leadership lineup in the Politburo and Central Military Commission. His “Xi Jinping thought” has been inscribed in the constitution, establishing his preeminent leadership.
China’s New Era: Xi Jinping has declared the start of a new era for China, extending beyond his two terms and aiming to reach 2050. The focus has shifted from “standing up” under Mao and “getting wealthy” under Deng to “getting strong” under Xi.
Economic Health of China: Singapore, as a major foreign investor in China, observes both strengths and weaknesses in the Chinese economy. There is a vibrant entrepreneurial ecosystem, especially in technology, with companies like Tencent, Alibaba, and Huawei rivaling global giants. However, structural issues such as SOEs, taxes, and the hukou system need to be addressed. The right combination of political and economic leadership is crucial for managing necessary economic transformations.
Risk of Military Confrontation with North Korea: There is always a risk of miscalculation, particularly with North Korea’s recent actions. The United States needs to carefully consider its response to avoid escalating tensions.
North Korea’s Nuclear Weapons and Missiles: North Korea has more nuclear weapons and powerful missiles than before, raising the stakes in the current situation. However, this does not qualitatively change the picture since there has always been some risk involved.
Response to North Korea: The United States needs to apply pressure on North Korea while also engaging in dialogue. Diplomacy is crucial, and China, Russia, South Korea, and Japan must be involved. Without the support of South Korea, decisive action against North Korea is difficult.
Dialogue vs. Confrontation: Dialogue is essential, but it is uncertain if an outcome can be reached before a confrontation occurs.
Managing Ethnic Diversity in Singapore’s Cabinet: Prime Minister Lee Hsien Loong selects good people for his cabinet, aiming for a multi-ethnic representation. Multiracialism is a core tenet of nation-building in Singapore, and the leadership team reflects this diversity.
00:32:22 U.S. Asia Strategy and Southeast Asian Response
Trump Administration’s Asia Strategy: The Trump administration is still developing its Asia strategy but has sent reassuring messages. Secretaries Mathis, Tillerson, Vice President Pence, and NSA advisor McMaster have visited the region and affirmed the US’s commitment to engagement. Singapore looks forward to hearing the same message from President Trump during his upcoming visit.
Chinese Party Congress Takeaways for Southeast Asia: Southeast Asia expects China to continue in its current direction based on the outcomes of the Party Congress. The leadership team is as expected, with President Xi Jinping firmly in control. Southeast Asia seeks to expand cooperation with China while adjusting to the new power balance.
ASEAN Unity on the South China Sea: There have been difficulties achieving consensus on the South China Sea issue within ASEAN, especially regarding a code of conduct. Singapore’s Prime Minister sees better prospects for ASEAN unity going forward, which is crucial for forging a diplomatic solution.
00:35:21 ASEAN's Role in Managing China-US Tensions
ASEAN’s Perspective on the South China Sea: ASEAN countries have diverse strategic perspectives due to differing claims and interests in the South China Sea. Consensus among the 10 ASEAN countries is challenging, but they share a desire for peace, stability, and a code of conduct with China. Negotiating a code of conduct with China will be a lengthy process.
Trade with China: TPP is no longer viable, and it is not the right time to start new ambitious trade negotiations. The US should focus on maintaining existing trade and investment links with China and avoid harming them. A new trade alignment may be possible in the future under different circumstances.
US-China Relations: The US and China should focus on establishing a shared frame of reference and mutual understanding. Quick deals may not lead to fundamental breakthroughs or long-term sound relationships. It is important to have a clear understanding of each other’s positions and a line of communication. The 19th Party Congress and the meeting between President Trump and President Xi could provide a basis for future cooperation. The Chinese have a strategic view, while American presidents are limited by their inability to commit their successors. The US should set the tone and establish an understanding with China during the four-year term.
00:42:57 Singapore's View on U.S.-China Relations and Regional Developments
Singapore’s Interest in the Arctic: Singapore has joined the Arctic Council as an observer to stay informed about developments in the region. The potential opening of the Northeast Channel, a shorter route from Europe to the Far East via the Arctic, is of strategic importance to Singapore as a major port in Southeast Asia.
Climate Change and Singapore: Singapore is experiencing the effects of climate change, such as rising sea levels, more intense rainfall leading to flooding, and potentially longer periods of drought. The country is closely monitoring these changes and taking steps to mitigate their impact.
U.S.-Singapore Trade: Singapore has not experienced significant concerns with doing business in the United States, but it monitors counter-trade measures and investment restrictions. Past cases involving CFIUS restrictions have been resolved through discussions with previous administrations.
TPP and U.S. Strategic Position in the Region: Prime Minister Lee Hsien Loong maintains his view that the TPP had strategic benefits beyond its economic value. The failure of the United States to follow through with the TPP has resulted in the loss of these benefits and may impact American credibility in negotiations.
India’s Role in the Strategic Relationships between China and the United States: India has the potential to play a larger role in the region, given its significant population and growing economy. The dynamics of the relationship between India, China, and the United States are complex and evolving.
00:50:22 Singapore's Role in Promoting Regional Cooperation in Asia
Singapore’s Role in Regional Architecture: Lee Hsien Loong emphasizes the disparity between China’s economic and international influence compared to India. He believes India plays a constructive and important role in the architecture of the region. The East Asia Summit includes Southeast Asia, Northeast Asia, India, Australia, and New Zealand to promote regional cooperation. The RCEP trade agreement also includes India to encourage its active participation and balance the overall picture. President Trump’s proposed strategic policy speech on the Indo-Pacific is the right approach, but India’s response and engagement are yet to be seen. Singapore hopes India’s “Act East” policy will lead to greater integration into the region. The East Asia Summit is the primary forum for embodying the idea of an Indo-Pacific community, and Singapore hopes President Trump can attend in future years.
Singapore’s Role in Cross-Strait Dialogue: Singapore’s role in facilitating cross-strait dialogue is limited. Singapore hosted the CIMA meeting in 2015 as a neutral venue for both sides. The lack of progress in resuming dialogue stems from differences in perspectives and trust between China and Taiwan. The 1992 consensus served as the basis for China’s engagement with Taiwan’s KMT, but Tsai Ing-wen’s preference for different wording creates challenges.
00:55:49 Diplomatic Challenges and Environmental Cooperation in Southeast Asia
China-Taiwan Relations: China’s firm stance against any shift from the 1992 consensus on Taiwan complicates efforts to find a solution. China views any change in wording as a slippery slope toward Taiwanese independence. Tsai Ing-wen’s commitment to her base makes it challenging for her to embrace the 1992 consensus. The current impasse between China and Taiwan leaves little room for progress or improvement in relations. China’s military buildup adds to the tensions in the region.
Climate Change Concerns: Singapore recognizes climate change as a significant global issue. Singapore played an active role in shaping the Paris Agreement consensus. Bilateral discussions with the United States on climate change have not taken place at the prime ministerial level, but environmental officials may have engaged on the matter.
Political Transitions in Singapore: Prime Minister Lee Hsien Loong acknowledges that no party can stay in power indefinitely. He emphasizes that he does not want to hasten a transition of power in Singapore before it is necessary.
00:58:25 Singapore Prime Minister's Views on Climate Change and Leadership
Singapore’s Role in Climate Change: Singapore will do its part in reducing emissions, even though its small size means its impact on the climate is limited. Singapore aims to peak its emissions by 2030 and has set a target of reducing emissions by 36% from 2005 levels by 2030.
Haze in Southeast Asia: The haze in Southeast Asia is a direct pollution problem rather than a climate change issue. ASEAN countries are working together to address the haze problem, with Indonesia taking significant steps to reduce forest fires and associated haze. Forest fires in Indonesia and other countries can release gigatons of CO2 emissions, equivalent to the emissions of a country like Germany.
Climate Change Implications of Forest Fires: Forest fires release large amounts of CO2 emissions, contributing to global warming. The CO2 emissions from forest fires are not beneficial and do not serve any purpose.
Lee Hsien Loong’s Thoughts on His Retirement: Lee Hsien Loong intends to retire as Prime Minister before the age of 70. He has a team of strong leaders in the Cabinet who will work together to determine the next leader.
Abstract
Navigating the Shifting Sands: Prime Minister Lee Hsien Loong’s Insights on U.S.-Singapore Relations and Regional Dynamics in Asia
In a special session at the Council on Foreign Relations, Prime Minister Lee Hsien Loong of Singapore provided a comprehensive analysis of Asia’s evolving geopolitical landscape. With his background in military, political leadership, and serving as Prime Minister since 2004, Lee’s insights into U.S.-Singapore relations and the broader regional challenges are particularly valuable. His visit underlined Singapore’s strategic position and offered perspectives on key issues such as Asia’s economic growth, China’s strategies, and the need for balanced U.S. involvement in the region.
Asia’s Economic Vibrancy and Interdependence:
The economic landscape of Asia has experienced remarkable growth, with notable advancements in China, Japan, Southeast Asia, and India under Prime Minister Modi. This growth has led to enhanced regional integration, with ASEAN playing a pivotal role in promoting stability and prosperity. Singapore, in particular, stands out with its strong economic connections to both China and the United States, serving as a vital gateway for trade and investment in the region.
China’s Growing Influence and Strategic Initiatives:
China has been actively involved in regional development, as seen through its Belt and Road Initiative and the Asia Infrastructure Investment Bank. Nevertheless, it is essential to reassess China’s role in the global system to maintain stability and constructive engagement. Prime Minister Lee highlighted the need to address structural issues in China’s economy, such as the management of state-owned enterprises, taxation, and the hukou system, to support sustainable growth.
America’s Role in the Changing Regional Dynamics:
The United States has historically played a significant role in ensuring peace, security, and economic stability in the Asia-Pacific region. Lee and other regional leaders consider America’s involvement crucial in addressing challenges like North Korea’s nuclear ambitions, maritime disputes, and counterbalancing China’s rise. However, the Trump administration’s shift in Asia policy, particularly the withdrawal from the TPP, has led to Asian countries seeking alternative trade agreements, indicating a change in regional dynamics.
Adjustments in U.S. Approach to Asia:
The Trump administration’s reorientation in Asia policy, especially the withdrawal from the TPP, has prompted Asian nations to explore different trade agreements, reflecting a shift in regional engagement. China is closely observing America’s evolving strategy, concerned about the future of their bilateral relationship. Despite this, China continues to pursue its goals diplomatically and by building regional alliances.
China’s Response to America’s Changing Role:
The Trump administration is still formulating its Asia strategy but has sent positive signals. Visits by high-ranking U.S. officials have affirmed America’s commitment to the region. Singapore anticipates a similar message from President Trump during his upcoming visit. Southeast Asia expects China to maintain its current trajectory, as indicated by the outcomes of the Party Congress. With President Xi
Jinping firmly at the helm, Southeast Asia aims to expand cooperation with China while adapting to the new power balance.
Balancing Act for Regional Countries:
Nations like Singapore are engaged in the intricate task of maintaining stable relations with both the U.S. and China. A stable and evolving relationship between these two superpowers is essential, as a strained U.S.-China dynamic could compel these nations to make a difficult choice between the two.
South and East China Sea Disputes:
The territorial disputes in the South and East China Seas, involving multiple Southeast Asian states, China, and Japan, remain a significant regional concern. These disputes are managed with a focus on broader relationships, underscoring the importance of stability and adherence to international law. ASEAN’s consensus-based approach and Singapore’s unique position as a multiracial state are key in maintaining regional stability. Despite challenges in reaching consensus on critical issues like the South China Sea Code of Conduct, unity is vital for diplomatic solutions. The Myanmar humanitarian crisis illustrates the difficulties in achieving consensus within ASEAN due to differing opinions and the principle of non-interference in member states’ internal affairs.
Xi Jinping’s Consolidation of Power and China’s Future:
The strengthening of Xi Jinping’s position and the integration of his ideology into China’s constitution signal a new era for China. This consolidation of power raises questions about China’s future direction, especially concerning economic growth, environmental issues, and military strength. As a significant foreign investor in China, Singapore observes both the strengths and weaknesses in the Chinese economy. Balancing political and economic leadership is key to managing necessary economic transformations.
Singapore’s Multiracial Governance and Climate Initiatives:
Singapore’s commitment to multiracial governance, as evidenced by its multi-ethnic Cabinet, reflects its dedication to a diverse and inclusive society. The selection process for Prime Minister Lee Hsien Loong’s cabinet aligns with the nation’s foundational principle of multiracialism. In terms of climate change, Singapore actively participates in global and regional discussions, addressing environmental challenges like haze and forest fires. As an observer in the Arctic Council, Singapore keeps abreast of developments in the region, recognizing the strategic significance of the potential Northeast Channel, a shorter route from Europe to the Far East through the Arctic, for its position as a major Southeast Asian port.
U.S. and Chinese Strategies in Asia:
The U.S. is recalibrating its strategy in Asia, focusing on bilateral trade and maintaining existing relationships. Meanwhile, China is observing these shifts while continuing its strategic diplomacy in the region. Establishing mutual respect and understanding between the U.S. and China is crucial for long-term stability. Both nations should strive for a shared frame of reference and mutual understanding, as quick deals might not lead to fundamental breakthroughs or durable relationships. Clear communication and understanding of each other’s positions are essential.
Singapore’s Strategic Role in Regional Affairs:
Prime Minister Lee’s visit highlights Singapore’s interest in Arctic matters, climate change impacts, and the importance of balanced relations with major powers. The city-state’s focus on economic and diplomatic engagements, especially during leadership transitions, demonstrates its strategic role in shaping regional dynamics. Singapore has not experienced significant concerns with doing business in the United States but remains vigilant about counter-trade measures and investment restrictions. Past cases involving CFIUS restrictions have been resolved through discussions with previous administrations.
Singapore’s Role in Regional Architecture and Cross-Strait Dialogue:
Prime Minister Lee Hsien Loong has emphasized the disparity between China’s economic and international influence compared to India, noting India’s constructive role in regional architecture. The East Asia Summit, which includes Southeast Asia, Northeast
Asia, India, Australia, and New Zealand, fosters regional cooperation. The RCEP trade agreement, also involving India, encourages active participation to balance the regional landscape. President Trump’s strategic policy speech on the Indo-Pacific is a positive step, but India’s response and engagement are crucial. Singapore hopes India’s “Act East” policy will lead to greater regional integration. The East Asia Summit is a primary forum for the Indo-Pacific community concept, and Singapore anticipates President Trump’s future participation.
Singapore’s role in facilitating cross-strait dialogue, though limited, includes hosting the CIMA meeting in 2015 as a neutral venue. The lack of progress in resuming dialogue between China and Taiwan is due to differences in perspectives and trust. The 1992 consensus was the foundation for China’s engagement with Taiwan’s KMT, but Tsai Ing-wen’s preference for different wording complicates the situation.
China-Taiwan Relations, Climate Change Concerns, and Political Transitions in Singapore:
China’s firm stance against any deviation from the 1992 consensus on Taiwan complicates efforts to find a solution, as any change in wording is seen as a step toward Taiwanese independence. Tsai Ing-wen’s commitment to her base makes it challenging for her to embrace the 1992 consensus. The current impasse between China and Taiwan leaves little room for progress or improvement in relations. China’s military buildup adds to the tensions in the region.
Singapore recognizes climate change as a significant global issue and played an active role in shaping the Paris Agreement consensus. Bilateral discussions with the United States on climate change have not occurred at the prime ministerial level, but environmental officials may have engaged on the matter.
Prime Minister Lee Hsien Loong acknowledges that no party can stay in power indefinitely and is cautious about hastening a transition of power in Singapore before necessary.
Lee Hsien Loong on Climate Change, Haze, and Singapore’s Leadership:
Singapore is committed to reducing emissions, aiming to peak its emissions by 2030 and reduce emissions by 36% from 2005 levels by the same year. The haze in Southeast Asia, a pollution problem rather than a climate issue, is being addressed through ASEAN cooperation, with Indonesia taking significant steps to reduce forest fires and associated haze. Forest fires in the region can release gigatons of CO2 emissions, equivalent to the emissions of a country like Germany.
Prime Minister Lee Hsien Loong plans to retire before the age of 70, confident in the strong leadership within his Cabinet to determine the next leader.
In conclusion, Prime Minister Lee Hsien Loong’s discussion at the Council on Foreign Relations not only emphasized Singapore’s intricate understanding of the complex dynamics in Asia but also highlighted its critical role in navigating these challenges. Lee’s insights offer a unique perspective on the opportunities and challenges that lie ahead for Asia and its interactions with global powers.
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