World Business Report: Myanmar Earthquake and Global Trade Tensions
BBC World Service, Episode Released on March 28, 2025

1. Introduction

In this episode of the World Business Report, host Rahul Tandem delves into two significant global issues: the devastating earthquake in Myanmar and the escalating trade tensions between the United States and Denmark over Greenland's security. The episode provides in-depth analysis, expert insights, and firsthand accounts to offer listeners a comprehensive understanding of these complex matters.

2. Myanmar Earthquake: Immediate Aftermath and Rescue Efforts

At midday local time on March 28, 2025, a powerful 7.7 magnitude earthquake struck central Myanmar, with its epicenter approximately 10 miles from Mandalay, the country's second-largest city. The tremor resulted in widespread destruction, including collapsed buildings and significant casualties.

Rescue Operations in Mandalay

A firsthand account from a rescue worker highlights the severity of the situation:

Rahul Tandem [02:56]: "Our rescue was very horrific. Most of the buildings have collapsed."

Rescue Worker [03:00]: "People are running in the streets screaming and crying."

The rescue efforts are ongoing, with at least 144 fatalities reported and hundreds more injured. The death toll is expected to rise as rescue operations continue.

Regional Impact

The earthquake's effects reverberated beyond Myanmar's borders, notably impacting Thailand. Social media footage revealed the collapse of a half-built skyscraper in Bangkok, trapping numerous construction workers inside.

3. Expert Analysis: Economic and Humanitarian Challenges in Myanmar

To provide a deeper understanding of Myanmar's plight, host Rahul Tandem interviews Mimi Windbird, a Burmese-American security analyst specializing in the region.

Economic Devastation

Mimi Windbird outlines the severe economic challenges exacerbated by the earthquake:

Mimi Windbird [04:40]: "This economy has reduced by 30%, conservatively by World Bank. So it's 30% smaller than it was before the coup, military coup."

The economy has been further strained by:

• Inflation: Essential commodities like rice have seen prices surge by nearly 50%.
• Currency Devaluation: The local currency has plummeted from 1,300 per dollar to over 4,500 per dollar.

Windbird attributes these issues to the military regime's mismanagement, which has prioritized the interests of a select few over the broader population.

Humanitarian Response and Aid Distribution

Kieran Donnelly, Senior Vice President of International Programs at the International Rescue Committee (IRC), discusses the complexities of delivering aid in such a volatile environment:

Kieran Donnelly [06:04]: "Funding often comes from local communities and from organizations already on the ground."

Donnelly highlights the logistical and political challenges in Myanmar, including:

• Infrastructure Damage: Destroyed roads and airports hinder access to affected areas.
• Conflict Zones: Continuous civil unrest complicates negotiations for humanitarian access.
• Aid Siphoning: Concerns that aid may be diverted by the military, as past experiences in Myanmar have shown.

Mimi Windbird [10:41]: "If they are just working only with the military, I don't have any confidence that it will get to the right people."

Economic Setbacks

The earthquake is expected to further derail any semblance of economic progress in Myanmar, which was already struggling. Windbird emphasizes the nation's vulnerability:

Mimi Windbird [12:19]: "Economy is already in a shamble. So I think that people are already vulnerable and this would just devastate them some more."

4. Global Trade Tensions: US Accuses Denmark Over Greenland's Security

Shifting focus to international trade dynamics, the episode explores the United States' Vice President JD Vance's recent accusations against Denmark for allegedly underinvesting in Greenland's security infrastructure.

Denmark's Investment in Greenland

Mikael Rong Ollason, Senior Researcher at the Danish Institute for International Studies, provides context to the US claims:

Mikael Rong Ollason [15:26]: "Denmark is investing quite a bit every year in Greenland. Subsidies through a block grant to Greenland is a quite significant amount of money."

However, Ollason acknowledges challenges in efficiently allocating these funds:

Mikael Rong Ollason [16:19]: "We haven't heard a clear answer from the Danish Ministry of Defense yet. But... those money that was initially promised in 2019, that they haven't been spent yet."

Strategic Importance of Greenland

Greenland's vast reserves of critical minerals like graphite, rare earth elements, nickel, and gold make it a focal point for global economic and security interests. The US is keen on strengthening its presence in Greenland, partly due to its strategic location and resource potential.

Chris Lowe [19:36]: "They [Greenland’s minerals] are extremely valuable, but it's absolutely true that it's both extraordinarily hard to extract and ship them from an environment like Greenland’s."

Greenland's Independence Movement

Despite significant investment from Denmark, there is a strong desire among Greenlanders for true independence, not merely a shift of dependence from Denmark to the US.

Mikael Rong Ollason [18:14]: "The majority of the Greenlanders want independence from Denmark. But they don't want independence from Denmark just to be dependent on the U.S."

Retaliatory Tariffs and Economic Repercussions

The tensions have escalated into discussions of retaliatory tariffs, with potential impacts on US industries that are politically significant, such as agriculture, manufacturing, and fossil fuels.

Amica Insurance Representative [24:27]: "You see these foreign tariffs that are impacting places and industries that are really symbolic... such as agricultural products, manufactured products, and fossil fuel energy products."

Economic Analysts Weigh In

Chris Lowe, Chief Economist at FHN Financial in New York, comments on the intricacies of the situation:

Chris Lowe [19:36]: "Rare earths and other minerals, these markets that China dominates... have driven other people out of the market."

He further explains the challenges faced by global markets in the context of US-Denmark tensions:

Chris Lowe [20:34]: "It's extraordinary. I've had meetings all week with some huge money managers and all of them are struggling to keep up with the latest news."

5. Broader Implications: Trade Wars and Market Volatility

The episode discusses the potential for a broader trade war initiated by the US through tariffs targeting key industries and regions pivotal to Donald Trump’s political base.

Targeted Tariffs and Political Impact

Amica Insurance Representative [24:27]: "They have under invested in the security architecture of this incredible beautiful landmass filled with incredible people."

Tariffs are strategically aimed at:

• Swing States: Wisconsin, Indiana, Iowa, Arkansas.
• Key Industries: Agriculture, manufacturing, fossil fuels.

These tariffs not only affect economic relations but also carry significant political weight, potentially influencing voter sentiments in crucial regions.

Market Reactions

The uncertainty surrounding these trade tensions has led to increased volatility in global markets:

Chris Lowe [28:10]: "The stock market was down sharply again today."

He emphasizes the difficulty market analysts face in predicting outcomes amidst rapidly evolving trade policies.

Strategic Responses

Experts suggest that countries should navigate these tensions by:

• Standing Up for National Interests: Balancing economic benefits with political considerations.
• Diversifying Trade Relations: Reducing over-reliance on the US market to mitigate potential retaliatory impacts.

Larry Summers [22:38]: "Acting in your own national interest is exactly what Donald Trump is doing."

6. Technological Developments: Elon Musk's Acquisition

In a brief segment, the episode touches upon Elon Musk's business maneuvers:

Chris Lowe [28:36]: "X AI startup has acquired the X social media platform for 33 billion... can become a public company, making him less of a lightning rod for the company itself."

This acquisition reflects strategic realignments in the tech industry, although the broader economic implications remain limited within the episode's scope.

7. Conclusion

The episode of World Business Report offers a multifaceted exploration of pressing global issues—ranging from the humanitarian crisis in Myanmar following a catastrophic earthquake to the intricate web of international trade tensions involving the US and Denmark over Greenland's strategic assets. Through expert interviews and detailed analysis, listeners gain valuable insights into the challenges and dynamics shaping our world today.

Notable Quotes:

• Mimi Windbird [04:40]: "This economy has reduced by 30%, conservatively by World Bank."
• Kieran Donnelly [08:26]: "Cash assistance is actually one of the most efficient ways to deliver support."
• Mikael Rong Ollason [18:14]: "The majority of the Greenlanders want independence from Denmark."
• Chris Lowe [24:09]: "I think it would be better to cooperate."
• Amica Insurance Representative [24:27]: "They have under invested in the security architecture of this incredible beautiful landmass filled with incredible people."

Note: Advertisements and non-content segments have been excluded from this summary to focus solely on the episode's substantive discussions.