This is East Asia and the Pacific.
Here one third of the world's population is spread out among tiny island nations, sprawling
archipelagos and many of the largest wealthiest and most modern cities
on the planet.
But 100 years ago, this region looked vastly different and
Asian countries were invariably poor.
So how did this transformation happen?
Following the end of World War II, Japan's economy took off, and it became a
model for growth in the region.
Hong Kong, South Korea, Singapore and Taiwan evolved into high income
economies in the wake of rapid industrialization, unveiling new approaches
for development and modernization.
Despite political, historical and cultural differences among neighbors, countries
in the region were able to put aside many disagreements to transform
into the most economically integrated region on the planet.
And the world's attention turned to the region as its economies began to hold greater
promise.
China in particular has taken advantage of increasing globalization.
In just 50 years, China transformed from economic
backwater to global powerhouse.
Economic reforms that began in the late 1970s set China up to
become a major trading partner to the world's greatest economies.
In the wake of its economic development, some in
the west expected China to undergo political reform.
China is the only major world economy under a
communist government and there was a belief that to continue growing in
global importance, China would have to change to keep up.
When China joined the World Trade Organization in 2001
the US and others thought economic reform and exposure to the world
economy would lead to China becoming more open politically.
But while increased integration into the world trade system did lead China to embrace
elements of a capitalist system, the economic gains actually served
to further legitimize the country's communist party and reinforce and
authoritarian political system.
Today, China is the largest trading partner of about 70 countries, including
many in the region such as Australia, Singapore, and South Korea.
China and its neighbors have become the world's
factory, and are critical to supply chains around the globe, including many US
businesses.
Instability here would cause major problems for the world economy.
Today, China seeks to convert its economic power into geopolitical influence both through
strategic investments and military strength.
One of China's biggest maneuvers is focused on gaining
influence through international infrastructure projects.
China launched the Asian Infrastructure Investment Bank in 2016, and
it now has the second largest membership of any bank in the world.
And China's Belt and Road Initiative is a massive infrastructure program that aims
to connect Asia to Africa and Europe via land and maritime networks.
The initiative seeks to dramatically increase China's global influence through
access to shipping routes and ports.
However, critics claim that many of the projects encourage countries to
accumulate substantial debt and are set up to benefit mostly China.
Reactions to China's ambitions across East Asia and the Pacific range from
welcoming to suspicious.
Some countries like Cambodia and Myanmar embrace Belt and Road Infrastructure projects
and close relations with China, but others are wary of China's intentions.
Assertive territorial claims by China have heightened tensions in the region.
Chinese president Xi Jinping has made repeated calls and promises for the
reunification of all of China's historical territory, which he asserts includes
Taiwan.
China also seeks control of the South China Sea, where six
countries lay overlapping claims to groups of islands in the strategic waters
through which more than $3 trillion in trade passes every year.
Despite international objections, China has reclaimed
much of these waters as its own.
It's built entirely new islands in the sea and expanded existing ones.
Across this expanse, China has built airstrips military installations and ports
for its Navy.
In a show of support for its Asian allies such as the Philippines,
the United States has sent its own vessels to the area in order to assert that
the waters are international and do not fall under any one country's
territory.
The United States has also affirmed that its security commitments
to Japan, an ally, extend to the Senkaku Islands, or as China calls them, the
Diaoyu Islands.
An area, which is the subject of a Japan China dispute in the
East China Sea.
Of major international concern is the threat posed by North Korea, a small
and impoverished country governed by a brutal family dictatorship.
Despite its meager economy, North Korea possesses
nuclear weapons capable of reaching not only its Asian neighbors but
also the US.
An open question is whether diplomacy backed by sanctions will persuade North Korea to
restrain or even eliminate its nuclear program.
If not, the US and others must decide whether to act and how, including
the risky and costly option of using military force.
All this leaves the United States in a delicate position.
Amidst the worrying economic, political and territorial trends
taking place, the US economy and those of its many allies is closely intertwined
with China's.
The challenge for the US is how to strike a balance between
preserving its influence in Asia, including working closely with its regional
allies, and maintaining important trade and investment ties with China.
So far, the East Asia and Pacific region has been the greatest success story of
any in the 21st century.
Whether it can sustain its impressive economic growth and fend off looming conflicts will
have great repercussions.