0912 GMT - Trade tensions have sparked speculation about the decoupling of the U.S. and Chinese economies, but former Bank of Japan policy board member Sayuri Shirai says that seems very difficult to achieve. China's strong ties with the rest of Asia would make it hard to untangle its economy from the U.S.'s, she says. The trade frictions provide a good opportunity for the world to think about its overdependence on the U.S. and how to boost demand elsewhere, she adds. Facing trade uncertainty, economies in Asia that want to bolster domestic consumption have a big challenge: improving social safety nets, such as pension and medical systems, she says. "People are saving up because there aren't enough safety nets in place yet." (megumi.fujikawa@wsj.com)

(END) Dow Jones Newswires

May 21, 2025 05:15 ET (09:15 GMT)

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