President of the Eurasia Group Ian Bremmer told Yahoo Finance Editor-in-Chief Andy Serwer that the North Korea crisis is not the biggest geopolitical problem in the world right now.
“That’s not the worst [problem]. It’s much more stable,” Bremmer said at the 2017 Concordia Summit. “This is a problem we’ve been dealing with for decades. We’re going to keep dealing with it. The idea that we won’t tolerate a North Korea that can have the same capabilities that the US, that it’s had in Japan and South Korea for a long time I think is a good talking point, but it’s not real.”
Bremmer noted that the Trump administration has actually made progress on the North Korea issue by attempting “work with allies and antagonists.” The clearest example of international cooperation came earlier this month when the UN Security Council unanimously passed a resolution (albeit watered-down) that placed new sanctions on the rogue regime.
“It’s hard for [the current US administration] to fix it, but that doesn’t mean that it’s going to be a disaster,” Bremmer said.
“The Chinese are writing big checks”
As for China, by far North Korea’s biggest trading partner, Bremmer argued that “it’s getting more challenging for Trump to get what he wants” as China’s economy becomes more influential globally.
“China’s getting more powerful by the day, particularly economically,” Bremmer said. “And the environment for Western multinationals to invest and have a long perspective in China, for some of the most important American companies that we have, is actually getting much more challenging.”
The U.S. dollar has logged its worst year since 1986, and one factor is the Chinese yuan subverting the dollar’s primacy as the currency used to facilitate international trade. For example, this summer Russia began accepting yuan (as opposed to dollars) when selling oil to China.