Geopolitical Changes【ENGLISH BLOG】

In the previous blog,
we talked about personal changes in our life.

Today, we would like to take a look at social and geopolitical changes.

Geopolitical Changes (1) Russia-Ukraine situation

The war between Russia and Ukraine is likely to drag on.
The United States and Germany have announced plans
to send dozens of advanced battle tanks to Ukraine.
Though the situation in Ukraine is still not stable.

Military Advisor Tomoaki Iishiba comments,
“The more advanced the tank is,
the more training is required before it can be used.
If it is a U.S. military tank, the software, and manuals are in English.
If it is a Leopard, they are in German.

With great training facilities and high language understanding,
facilitate smooth communication takes at least five weeks.
They will need more time to use the tank.”

Also from my personal view,
moving a tank is like an orchestra playing a symphony.
It must be moved in an organized manner.

These tanks also need to be maintained
after moving several tens of kilometers.
In the case of this U.S. tank,
maintenance is performed by a private company together with the tank.

As a result, it is unlikely that
the introduction of new tanks
will immediately turn the situation around.
We cannot take our eyes off these changes.

Geopolitical Change (2) Trends in China

China is getting closer to Russia
to gain economic benefits from energy and trade.While the U.S. is busy joining forces with Ukraine,
China is also getting closer to Saudi Arabia
and has successfully normalized diplomacy with Iran.

China’s economic interests are to secure
cheap oil, natural gas, and other energy sources.
Secure and expanding the Chinese Yuan for its trade
will also give economic pressure on other countries.

Another surprising change is that,
China has established diplomatic relations with Honduras.
Conversely, Honduras has broken off relation with Taiwan.

From a long-term perspective,
I feel that this move by China is a major threat to Japan.

Geopolitical Change (3) North Korea

An intermediate-range or longer ballistic missile was launched toward the Sea of Japan last week.

The government is still in the process of analyzing the situation.
There is not much information available.
We are concerned about the impact of geopolitical changes.

Geopolitical changes generally have an impact on the financial economy.
We, as individuals, are also affected.
This is obvious if you open a history book.
What we can do now is to take measures to prepare for the foreseeable risks.

For more information on starting an overseas business or investing overseas, please message us!

Masahiko KUMADA
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