"MAGA Slogan, a Recurring Theme in U.S. History... Preparing for Prolonged U.S.-China Conflict"

Toss Securities Research Center Publishes
"We Have Returned, Washington D.C." Report
Exploring Key Themes: MAGA, China, and DOGE

On September 3, Toss Securities Research Center published a report titled "We Have Returned, Washington D.C.," which contains insights gained from a recent field visit to the United States.

This report is organized around three main themes: America First, checks on China, and the Department of Government Efficiency (DOGE). Through in-depth interviews with corporate representatives, research institutions, and think tanks encountered during the U.S. visit, the report provides a multifaceted view of changes in U.S. policy and industry.

The Toss Securities Research Center explained that "America First" and "MAGA" (Make America Great Again) are not merely slogans of the Donald Trump administration. Instead, they are recurring historical trends that emerge whenever the United States perceives economic crisis or a weakening of its global dominance.

The center further predicted that, amid the contraction of manufacturing and intensifying technological hegemony competition, America First policies are likely to persist for the long term. As a result, sectors such as semiconductors, automobiles, energy, and steel and chemicals are expected to benefit, particularly companies with a high proportion of production and business activities within the United States.

Regarding U.S. policy toward China, the report assessed that it is expanding beyond a simple tariff dispute to encompass comprehensive checks across systems, finance, technology, and supply chains. Researcher Han Sangwon cited past examples of the United States countering the Soviet Union and Japan, emphasizing that China is also a complex competitor that the U.S. is strategically blocking. For this reason, Han stressed that prolonged conflict between the U.S. and China is inevitable.

From an investment perspective, the report identified that the industrial growth triggered by technological hegemony competition in fields such as artificial intelligence, space, and robotics could present opportunities. However, it also advised that risk management is essential, as heightened tensions could increase volatility in global stock markets.

Finally, the Research Center highlighted DOGE, an agency established by the Trump administration to improve government spending efficiency. DOGE has already achieved fiscal savings of 205 billion dollars (approximately 286 trillion won), driving policy changes.

Researcher Lee Jiseon evaluated that DOGE's policies could create opportunities for sectors such as defense, cybersecurity, and data management software. In contrast, industries dependent on government leasing, small and medium-sized government partners, and eco-friendly service sectors are likely to face challenges as a result of these policies.

Lee Youngkon, head of the Toss Securities Research Center, stated, "This report comprehensively covers changes in U.S. policy and industrial landscape, focusing on the three key themes of MAGA, China, and DOGE. We will continue to provide in-depth analysis and insights gained from the field to help individual investors view and prepare for the global market in a rational manner."

Established in September last year, the Toss Securities Research Center has been publishing reports that combine insights from overseas field trips with the professional analysis of its analysts. Together with content managers, the center aims to make complex global economic issues easy to understand for individual investors. The "We Have Returned" series from the Research Center began with the "Silicon Valley" edition in November last year, and this Washington D.C. edition marks the second installment.

This content was produced with the assistance of AI translation services.