Trump’s Second Term, Expected Expansion of Global Influence⋯ “Strategic Response Needed”

# Trump Administration’s Second Term May Exert Greater Global Influence, Report Finds A new analysis suggests that the potential second term of the Trump administration could have a broader impact on the global stage compared to its first term. The report highlights that differing responses from major nations to U.S. economic security policies make it imperative to adopt a strategic and deliberate approach to assessing these developments. On Nov. 2, the Korea Small Business Institute released a report titled “Prospects and Implications of a Second Trump Administration: Diverging from the First Term.” The study examined the "America First" policy’s trajectory and global responses. Eom Boo-young, a research fellow and co-author of the report, noted that a potential second Trump administration would extend pressure not only on China but also across the global spectrum. The anticipated focal points include attracting foreign investment, advancing artificial intelligence and energy development, and enhancing economic security. Eom specifically underscored the uncertainty amplified by Trump’s unpredictable negotiation strategy, characterized by his “tariffs-first, negotiations-later” approach. This dynamic, the report states, not only affects targeted countries but also heightens volatility across the global economy. # Strategic Recommendations for Navigating Global Uncertainty Drawing on these observations, the report advocates for thoroughly preparing negotiation strategies while advancing talks with strategic discretion. The authors also recommend proactive trade measures to mitigate potential damage to domestic small and medium-sized enterprises (SMEs). Collaboration with industry associations in key countries, leveraging multilateral trade systems, and forming coalitions among like-minded nations were also emphasized. The study further proposed measures to preempt industrial hollowing out and reinforce SME manufacturing foundations. Enhancing export support systems to better manage risks was identified as a priority. To achieve these goals, the report recommended the following actions: 1. Providing timely and accurate updates on U.S. policy changes and local developments. 2. Offering expert consulting on challenges that domestic SMEs may face, such as determining the applicability of U.S. tariffs or China-related sanctions to their products, addressing issues like transfer pricing, and managing foreign exchange hedging strategies. 3. Identifying SME-affected product categories and pursuing export diversification and tailored approaches for local market adaptation. By adopting these strategies and ensuring agile responses to economic shifts, the report underscores the critical need for SMEs to navigate the complexities of evolving global trade and policy conditions effectively.