In 2025, China successfully positioned itself as a “stability leader” by exploiting Donald Trump’s transactional foreign policy. While Washington disrupted alliances and institutional norms, Beijing unveiled its Global Governance Initiative, offering the Global South a pluralistic, non-liberal alternative to a fragmenting Western order.
Europe faces a severe existential crisis driven by technological and economic stagnation. Since 2008, the EU’s GDP per capita has plummeted from 76.5% to just 50% of US levels. With fragmented regulations and minimal venture capital, Europe risks irreversible decline unless it prioritizes structural innovation over cultural politics.
The global financial system is at a critical juncture as digital currencies redefine international monetary flows. To maintain dollar supremacy, Washington must transition from traditional banking models to advanced digital infrastructure, ensuring the greenback remains the primary rail for global trade amidst rising competition from China’s digital yuan.
Three key geopolitical events in 2025 have shifted Europe’s role from an aspiring strategic player to a subordinate partner reliant on external powers. The military defeat in Ukraine, technological dependence on China, and economic capitulation to the United States expose deep structural vulnerabilities that years of integration did not resolve, resulting in Europe’s reduced influence amid increasing global competition.
American hegemony is weakening due to self-inflicted challenges, including inconsistent trade policies and mass deportations, which erode key competitive advantages. Despite stock market gains in technology, economic weaknesses grow, prompting traditional allies to seek alternative arrangements away from unreliable U.S. governance.
American foreign policy towards India illustrates that punitive measures against key partners often result in the opposite of intended outcomes. During Putin’s ceremonial visit to India in December 2025, Washington faced the uncomfortable truth that its economic coercion was reinforcing the relationships it aims to weaken.
