> what form of subsidy to use

Most countries are adopting a Production Linked Incentive model for REEs which Vietnam [1] and India [0] are using to build our capacity, as both face active military disputes against China, and have been supported by Japanese [2] and Korean [3] processing tech transfers and JVs.

Western countries like Australia and the US are adopting similar strategies, which is the point of the summit mentioned.

> The issue was trust regarding agreement-breaking tariff and other trade policies which turn any agreement into a one-sided tool for achieving market domination

The issue is China has already [4] done [5] this [6] for over a decade [7].

As such, most countries (especially Asian countries where the majority of the electronic supply chain exist) are fine working with the US because China is an existential threat that wishes to invade them.

The EU used to be on the fence but Chinese leadership's constant undermining [8] of the EU [9] as an institution [10] led the EU to get on board as well.

[0] - https://www.reuters.com/sustainability/climate-energy/india-...

[1] - https://www.reuters.com/markets/commodities/vietnam-aims-rai...

[2] - https://trei.co.in/

[3] - https://koreajoongangdaily.joins.com/news/2025-08-20/busines...

[4] - https://www.reuters.com/world/china/eu-firms-brace-more-shut...

[5] - https://www.mofcom.gov.cn/zwgk/zcfb/art/2026/art_8990fedae8f...

[6] - https://www.reuters.com/world/china/india-taking-steps-mitig...

[7] - https://stratcomcoe.org/cuploads/pfiles/senkaku_crisis.pdf

[8] - https://www.scmp.com/news/china/diplomacy/article/3316875/ch...

[9] - https://www.ft.com/content/1ed0b791-a447-48f4-9c38-abbf5f283...

[10] - https://www.intelligenceonline.fr/asie-pacifique/2025/12/16/...