Commercial diplomacy with Pacific Island nations is difficult to implement because these are small, niche economies with significant investment risk, and the US cannot simply tell businesses to invest without addressing structural barriers; the Trump administration has recognized this through Deputy Secretary of State Landau's investment summit bringing DFC and EXIM Bank financing tools.
factualpending
Speaker
Katherine LeeEvidence Quote
“commercial diplomacy...is more difficult...bringing businesses into the Pacific, these small niche economies far away. There's a lot of risk involved and it's hard...You can't just tell US businesses, we're not China”
Source
How Should the U.S. Counter China in the Pacific?— Center for Strategic & International StudiesCreated: 8/12/2026, 6:42:22 PM
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