HIGHLIGHTS
CHINA & THE AMERICAS
US House of Representatives approve TikTok ban bill
On 20 April, the US House of Representatives approved a bill that would impose a ban on TikTok if it does not divest from Chinese parent company ByteDance. The Straits Times mentions the growing popularity among young Americans, allowing Beijing to spy on them. The bill was passed with strong bipartisan support by a margin of 360 to 58. The bill comes after the US President Biden expressed on TikTok to Chinese President Xi Jinping. The ultimate to TikTok was mentioned in the legislation that provides aid to Ukraine, Israel and Taiwan. Under the bill, ByteDance would have to sell the app within a year or be excluded from Apple’s and Google’s app stores in the US. However, many critics, including the owner of X, Elon Musk, said that the ban would be contrary to the Freedom of Expression in the US. (“Bill to ban TikTok in US moves ahead in Congress,” The Straits Times, 21 April 2024)

EAST ASIA
Taiwan discusses the US funding assistance 
On 21 April, Taiwan’s Ministry of Defense said that the country is discussing with the US the legislative funding assistance included in the USD 95 billion package. The request comes as Chinese warplanes fly closer to Taiwanese airspace. The ministry thanked the US for ensuring “rock solid” support for Taiwan. The Straits Times reports multiple complaints made by Taiwan to the US regarding delayed weapons deliveries. Wang Ting-yu of Taiwan’s ruling Democratic Progressive Party said that Taiwan was able to detect the incoming warplanes using its aircraft and land-based missile systems. (“Taiwan to discuss new funding with US as Chinese warplanes get close to island,” The Straits Times, 21 April 2024)

CHINA & THE AMERICAS
Chinese researchers face increasing interrogations and deportations in the US 
On 20 April, The Guardian reported that Chinese researchers are facing increased interrogations and deportations in the US despite possessing valid visas for scientific research. This comes as the Chinese embassy in Washington mentioned 70 deportation cases since July 2021 despite possessing valid documents. Professor Win Yan of Yale School of Medicine said that the impact is significant and will have a significant impact on future Chinese students. He also mentioned straining US-China people-to-people exchanges. The interrogation is linked to the 2020 US rule that barred Chinese postgraduate students with links to China’s “military-civil fusion strategy,” which aims to leverage civilian infrastructure to support military development. (Amy Hawkins, “Chinese students in US tell of ‘chilling’ interrogations and deportations,” The Guardian, 20 April 2024)

CHINA READER DAILY WIRE 
INTERNAL
High alert in China flooding in the southern city of Guangdong
On 21 April, the South China Morning Post reported flooding alerts in the southern Chinese province of Guangdong with local authorities warning of once in 100 years floods. The provincial flood and disaster prevention department said that floodwaters in the Bei River were expected to peak at 37.3 metres (122 feet) by 1am, or about 5.8 metres above the warning line. The department also reported intense rainstorms hitting Northern and western Guangdong since 19 April. According to the National Meteorological Centre, most of the affected areas have reported 200-350mm of rain since April. Local officials announced that they would ensure to set up monitoring and early warnings, flood control dispatch, flood diversion, patrol duty, and emergency rescue. (Xinlu Liang, “China issues ‘once in a century’ flood warning for Guangdong’s Bei River zone,” South China Morning Post, 21 April 2024)

EXTERNAL
Western Pharma companies warn of supply chain disruption, says an Opinion in Financial Times 
On 22 April, according to an opinion in the Financial Times, Western pharmaceutical companies warns of potential supply chain disruption due to certification issues for manufacturing sites in China. It also reports fears over arrest for spying and denying access to the facilities. This comes as China’s anti-espionage laws continue to target foreign citizens as spies. According to the German Medicines Manufacturers’ Association (BAH), the fear of arrest led to the refusal of a visit by Germany to China. Fatima Bicane of BAH mentions the pending certifications of Chinese sites, which were delayed due to the COVID-19 pandemic. The US FDA’s data mentions the 150 refusals by China in 2021. Jim Miller notes China’s critical role in supplying important ingredients and active ingredients for antibiotics. (Arjun Neil Alim, Oliver Barnes, Ian Johnston, “Pharma groups warn of supply crunch over China spying law,” Financial Times, 22 April 2024)

MARITIME
“South Pacific region should not become an arena for major power rivalries,” says Chinese FM Wang Yi
On 20 April, Chinese Foreign Minister Wang Yi said the “South Pacific region should not become an arena for major power rivalries,” and that “its assistance to countries there is free of political conditions.” His comments come during a joint press conference with his Papua New Guinea counterpart. He also said that confrontation attempts do not serve any purpose for the people of South Pacific Island countries. He mentions China’s regional engagement as mutual assistance without any “geopolitical self-interests.” He further mentioned China’s willingness to open free trade negotiations with Papua New Guinea. (“Major powers should avoid rivalry in the South Pacific, says China’s Foreign Minister,” The Straits Times, 21 April 2024)

CHINA & SOUTHEAST ASIA
China warns against “gunboat muscle” flexing by US-Philippines joint drills 
On 22 April, Vice Chairman of the Central Military Commission Zhang Youxia warned the countries against “gunboat muscle” flexing amid the ongoing US-Philippine joint drills in the South China Sea. On 22 April, the annual Balikatan, or “shoulder-to-shoulder” drills, began and will continue till 22 May outside of Philippines territorial waters with the participation of the Philippines Coast Guard. Defending the drills, the Philippines military said that the exercises were not linked to one country’s actions. Zhang also said that China would prefer to resolve the maritime disputes through dialogue. The tensions arise as Philippines President Marcos Jr tries to cement its ties with the US and its allies amid the escalation of maritime disputes with China in the region. (Helen Davidson, “Beijing warns against flexing of ‘gunboat muscles’ as US and Philippines begin military drills,” The Guardian, 22 April 2024)

Chinese FM Wang Yi arrives for a three-day trip to Cambodia
On 21 April, the Chinese Foreign Minister arrives for a three-day trip in Cambodia to boost bilateral relations. His trip comes after the three-nation tour to Indonesia and Papua New Guinea. Associated Press reports of his visit aiming to oversee the two ongoing Chinese-funded projects in Cambodia. At present, 40 per cent of USD 10 billion is owed to China in foreign debt. Wang Yi is set to meet Prime Minister Hun Manet, and his father, Hun Sen. Cambodia said that it is determined to proceed with the Chinese-financed 180-kilometer long, USD 1.7 billion Funan Techo Canal project, connecting Phnom Penh to the Gulf of Thailand. (Sophie Cheang, “Chinese foreign minister arrives in Cambodia, Beijing’s closest Southeast Asian ally,” Associated Press, 21 April 2024)

CHINA & SOUTH ASIA
Pro-China Muizzu’s party won the landslide elections
On 22 April, According to the Elections Commission of Maldives, President Mohamed Muizzu’s People’s National Congress (PNC) won 66 of the first 86 seats, winning a greater majority in the 93-member parliament. The Guardian notes that the election victory is critical for Muizzu’s plan to boost ties with China. Despite winning the elections in September, his party, PNC, lacked a majority in the parliament. The main opposition, the Maldivian Democratic Party (MDP), faced a massive defeat with few seats. (“Pro-China party wins landslide victory in Maldives parliamentary elections,” The Guardian, 22 April 2024)

“Pakistan rejects political use of export controls,” says Pakistan FM spokesperson
On 20 April, spokesperson of Pakistan’s Ministry of Foreign Affairs Mumtaz Zahra Baloch said, “Pakistan rejects political use of export controls.” The statement comes after the US imposed sanctions on four international companies aiding Pakistan’s ballistic missile program. The US Department of State said that it imposed sanctions on three Chinese companies and one Belarus-based firm for supplying missile-applicable items to Pakistan’s long-range missile program. Baloch reiterated the need to end the arbitrary application of sanctions and the use of technology intended for socio-economic development. She also said Pakistan is ready to discuss the end-use and end-user verification mechanisms with the US. (Ayaz Gul, “Pakistan protests 'erroneous' US sanctions on Chinese firms over missile program allegations,” VOA, 20 April 2024)

CHINA & THE AMERICAS
Chinese companies using Mexico to get access to the US market
On 22 April, according to a commentary on BBC, Chinese companies are using Mexico to manufacture final goods in Mexico and export directly to the US market to avoid tariffs and sanctions amid the ongoing trade war between the two countries. The nearshoring phenomenon has boosted the Mexican economy, with its total exports increasing by 5.8 per cent to USD 52.9 billion in June 2023. However, the trend has slowed down significantly. BBC reports that Mexico is displacing China as the largest trading partner of the US. However, some experts warn of Mexico being drawn into the US-China trade war. (Will Grant, “How Chinese firms are using Mexico as a backdoor to the US,” BBC, 22 April 2024)

HIGHLIGHTS
SCIENCE & TECHNOLOGY
Huawei’s new Pura 70 series to take over iPhone sales in China, reports SCMP
On 19 April, the South China Morning Post reported on Huawei’s new Pura 70 phone series affecting iPhone sales in China. The new model of the Huawei phone is expected to take on the biggest smartphone market in the world. The Pura 70 model is set to generate 10.4 million from global shipments. The new model is set to be the only key competitor to Apple’s iPhone. TechInsights predicts that the Pura 70 model will ship over 50 million smartphones and will regain the No.1 spot. Huawei’s Pura 70 Pro and Ultra would cost USD 1,400. IDC Asia-Pacific research manager Will Wong informed that the new series has seen good initial demand which is not surprising for Huawei. Wong said: “There’s a good chance [to be back in the top five], especially since Huawei has a more well-rounded 5G product portfolio now, ranging from the flagship series to the Nova series.” (Iris Deng, “Huawei’s new Pura 70 series smartphone poses a threat to iPhone sales in China, say analysts,” South China Morning Post, 19 April 2024)

INTERNATIONAL
G7 countries to put pressure on China from supporting the Russian defence industry
On 19 April, G7 member countries meeting the Capri Island discussed the concerns regarding China transferring material to Russia that would be used for weapons and military. The US Secretary of State Antony Blinken urged his counterparts that they need to further push China to stop this and create pressure. The US believes that China is supporting the Russian cause in the war regardless of what it says. Blinken said that China’s exports are fueling the biggest threat to Europe since the Cold War, and that: “We see China sharing machine tools, semiconductors, other dual-use items that have helped Russia rebuild the defence industrial base.” He said that this enables Russia to constitute and revitalize the defence industrial base, which poses a threat to not only Ukraine but the international security. German Foreign Minister Annalena Baerbock said: “If China openly pursues an ever-closer partnership with Russia, which is waging an illegal war against Ukraine, … we cannot accept this.” (“G7 countries slam Chinese firms’ support for Russia’s defence industry,” Al Jazeera, 19 April 2024)

CHINA READER DAILY WIRE 
INTERNAL
Controversial Chinese marathon winners stripped of their medals
On 19 April, BBC reported that all three top finishers of the Chinese Half Marathon are now stripped of their medals and prices after the controversial race. This comes after a video on Chinese social media went viral showing three African-origin runners pushing and signing the Chinese runner, He Ji to move ahead as they reach the finish line. The race was called fixed and caused a major backlash against the Chinese Athletics Association. During the probe, one of the African athletes claimed that they participated in this race as “pacemakers” and not as competitors therefore justifying their actions. CCTV, the Chinese state broadcaster reported that all four athletes have been punished and the results have been cancelled. The Chinese Athletics Association said: “In general, the overall operation of road running events has been smooth, “But problems in the organisation and management of the events have also been exposed, which has aroused widespread concern.” He Ji the controversial winner was the 2023 Asian Games gold medal winner and held the country record in the full marathon. (“Beijing half marathon: Top three stripped of medals after investigation,” BBC, 19 April 2024)

“Without a hi-tech, high-quality service sector..there would be no advanced manufacturing,” says former Chief of China’s Central Bank
On 20 April, the South China Morning Post reported on the former Chief of China’s Central Bank Sheng Songcheng, emphasising the need for a modern service sector in the push for a new productive force. He said as China seeks to develop its manufacturing sector and move away from service-centric growth, Sheng called for the need to refocus and to have more enhanced R&D product services. And that “My view is, we cannot simply categorise the service sector as the ‘virtual economy’.” Sheng asserted that the Chinese service sector is China’s largest source of employment providing 54.6 per cent of the GDP. The current economic agenda focuses on cutting down the support for what is the real economy with which Sheng disagrees. Sheng warned against the division of real and virtual economy, as elements of manufacturing also require producer services. Sheng said: “Without a hi-tech, high-quality service sector – particularly producer services – there would be no advanced manufacturing.” (Frank Chen, “Former China central bank official warns against miscategorising ‘virtual economy’,” South China Morning Post, 20 April 2024)

CHINA & EUROPE
EU to investigate Chinese subsidies and the procurement of medical devices
On 19 April, Reuters reported that the European Union is set to start the investigation into the Chinese procurement of medical devices. Additionally, they plan to probe into whether Chinese green and clean tech are not dumping subsidies goods on the market and are the Chinese companies unfairly benefiting from these subsidies. The European Commission stated that it aims to prevent any kind of unfair competition and market distortion. The investigation will look into whether any third countries' domestic policies are favouring suppliers and it will also look into the wind park development in various countries by Chinese firms. (“EU probes on Chinese subsidies and imports,” Reuters, 19 April 2024)

CHINA & THE AMERICAS
FBI on trump era China Initiative
On 20 April, the South China Morning Post reported that the FBI did not plan to have a “negative impact” on the Chinese Asian-American community, addressing Committee of 100. The initiative was brought under Donald Trump's administration where they prosecuted Chinese researchers. The people criticized the initiative stemmed from China’s espionage threats and the Asian-American communities complained that they were punished harshly for minor paperwork violations. Though the China initiative was disbanded in 2022, due to the ongoing threat of espionage it considered that it was observed and followed. (Mark Magnier, “FBI ‘did not intend negative impact’ of prosecuting Chinese academics with ties to Beijing under Trump-era China Initiative,” South China Morning Post, 20 April 2024)

Chinese Ambassador to Canada return to China as tensions rise 
On 20 April, the South China Morning Post reported that China’s ambassador to Canada returned to its homeland after being posted for five years in Canada. The return to China of Amb Cong Peiwu comes as Canada and China see rising tensions. The representative of Global Affairs Canada informed of this return. The relationship between the two countries has been souring in the previous years, the recent investigation ongoing on the Chinese interference in the Canadian elections and the involvement of the Chinese consulate led to this move. Canada probed into the interference and even made top Canadian leaders including Prime Minister Justin Trudeau testify. (“China’s ambassador to Canada Cong Peiwu leaves post amid tensions,” South China Morning Post, 20 April 2024)

FBI director warns of Chinese hacker's infiltration into critical American firms
On 18 April, FBI director Christopher Wray informed that the Chinese hackers had stationed themselves in the critical US infrastructure and were just waiting for the right moment to deal a devastating blow. During his speech at Vanderbilt University, he informed that the Chinese hacking campaign the Volt Typhoon has hacked into a number of American companies in all sectors of telecommunication, energy and water among others. Wray said it has the: “ability to physically wreak havoc on our critical infrastructure at a time of its choosing,” and that “It plans to land low blows against civilian infrastructure to try to induce panic.” Wray informed that the Chinese hackers operate through a series of compromised personal computers and servers around the globe to conceal their malicious intent and activities. (“FBI chief says Chinese hackers have infiltrated critical US infrastructure,” The Guardian, 18 April 2022)

EAST ASIA & THE PACIFIC READER
EAST ASIA
North Korea tests warhead test of cruise missile
On 20 April, Korean Central News Agency (KCNA) informed that North Korea had successfully conducted cruise missile warhead testing of the new anti-aircraft missile. They conducted a test for the super-large warhead made for the “Hwasal-1-Ra-3,” a strategic missile and another new type of aircraft missile the “Oyoljji-1-2.” KCNA informed that both test were part of the regular activities for North Korea’s administration that is affiliated with the defence science institute. And that it aims for: “rapid development of technologies in various aspects such as tactical and technical performance and operation of new-type weapon systems.” (“North Korea conducts cruise missile warhead test on April 19: KCNA,” The Straits Times, 20 April 2024)

HIGHLIGHTS
INTERNATIONAL
China calls for a ceasefire and supports Palestine’s full UN membership
On 18 April, Chinese Foreign Ministry Wang Yi called for an immediate ceasefire and extended support for Palestine’s full UN membership ahead of the upcoming UNSC vote. Global Times analysts mention the increased political and moral pressure on the US and Israel, thereby leading to global isolation. Wang Yi’s statements come during a bilateral meeting with Indonesian Foreign Minister Retno Marsudi in Jakarta. Wang calls for an immediate setup of the humanitarian relief mechanism to provide aid to Gaza and calls for a two-state solution to the escalating situation. Citing Reuters, Global Times notes that the UNSC meeting schedule is to take place at 3 PM local time. US ambassador to the UN Linda Thomas-Greenfield said that “the US opposes a Palestinian push for full membership at the UN, as it backs statehood but only after direct negotiations with Israel.” (Wang Qi, “China expresses support for Palestine's full UN membership ahead of Security Council vote,” Global Times, 18 April 2024) 

CHINA & SOUTHEAST ASIA
China warns of greater insecurity amid the upcoming US-Philippines drills 
On 18 April, the Chinese Foreign Ministry warned against the upcoming US-Philippines drills and said that it would lead to greater insecurity in the South China Sea. The annual Balikatan, or shoulder-to-shoulder drills, will take place from 22 April to 10 May. They will involve 16,700 soldiers simulating retaking enemy-occupied islands facing Taiwan and the South China Sea. Colonel Michael Logico mentioned that the drills will be held outside of the Philippines’ territorial waters and will involve the Philippine Coast Guard for the first time. Chinese state media also criticized the drills and said that they would have a “destructive impact on regional security.” The Philippines Department of Foreign Affairs said that its decision was a sovereign choice and urged China to “reflect upon its own actions” in the South China Sea. (Helen Davidson, “China sounds warning after Philippines and the US announce most expansive military drills yet,” The Guardian, 18 April 2024)

EAST ASIA
US to begin new sanctions enforcement regime on North Korea, says the US ambassador to the UN 
On 19 April, the US Ambassador to the United Nations, Linda Thomas-Greenfield, said that the US aims to find new ways to enforce a new sanctions enforcement regime on North Korea by May as Russia and China withdrew from the previous monitoring regime. She added that the US and its allies are looking to replace the old panel that monitored the implementation of sanctions aimed at curbing North Korea’s nuclear and missile programs for 15 years. The Straits Times notes Russia’s rejection and China’s abstaining from the annual renewal of the panel in March. (“US aims to begin new North Korea sanctions monitoring regime by May,” The Straits Times, 19 April 2024)

CHINA READER DAILY WIRE 
INTERNAL
Half of Chinese cities are shrinking because of water extraction and building weight: BBC report
On 19 April, according to a report in BBC, around half of China’s major cities are sinking due to water extraction and increased building weight caused by their rapid expansion. Scientists mention the rapid rise of sea levels leading to flooding and threatening the lives of millions of people. BBC mentions a study by some Chinese universities that aims to understand the problem of sinking cities in China. They researched a population of two million in 82 cities using Sentinel-1 satellites to measure vertical land motions. The study revealed that 45 per cent of urban areas are subsiding by more than 3mm per year between 2015-2022. It also said that 16 per cent of urban lands are sinking faster than 10mm a year. Scientists mention that the major reasons for sinking are groundwater loss, geology, and building weight. They also highlight the presence of urban transportation systems and excessive mining for minerals and coal, which leads to city subsidence. McGrath mentions that urban areas will soon be exposed to severe flooding arising from subsidence and rising sea levels due to climate change. Matt McGarth, “Water extraction and weight of buildings see half of China's cities sink,” BBC, 19 April 2024)

ECONOMY
Countries fear of global supply shock as China manufacturing booms by 6.1 per cent: Morgan Stanley expert
On 18 April, countries fear a global supply shock amid a boom in China’s manufacturing output over demand. The concerns come as Chinese President Xi Jinping puts his belief on the country’s manufacturing sector to revive the economy from a prolonged property crisis. On 16 April, the data released by the National Bureau of Statistics showed a 6.1 per cent rise in industrial production and a nearly 10 per cent increase in manufacturing investment, thereby expecting GDP growth of 5.3 per cent in 2024. Chinese officials counter the criticism and argue that the market forces drive China’s green industries, not solely on subsidies and protectionism. According to Robin Xing, chief China economist at Morgan Stanley, China’s massive overcapacity has forced exporters to offer huge discounts on their exports. (John Leahy and Thomas Hale, “China warns west of ‘survival of the fittest’ as manufacturing boosts economy,” Financial Times, 18 April 2024)

CHINA & TAIWAN
China opens new air route close to Taiwanese-controlled island
On 19 April, China’s Civil Aviation Administration said that it opened the new air routes to the Chinese cities of Xiamen and Fuzhou, close to the Taiwan-controlled islands of Kinmen and Matsu. Straits Times notes Taiwan’s anger at China after Beijing unilaterally changed the flight path called M503 close to the sensitive median line in the Taiwan Strait. In January, China said that it was opening routes from west to east towards Taiwan, but it did not announce its operation. The regulator announced that the flight paths would optimize the airspace around Fuzhou airport. Both Kinmen and Matsu have regular flights to Taiwan, and Taiwan does not permit Chinese aircraft to fly in the island’s airspace. However, China threatens aviation safety and seeks to use flight routes to further pressure Taipei for political purposes. (“China opens new air routes near Taiwanese islands,” The Straits Times, 19 April 2024)

CHINA & SOUTHEAST ASIA
China rejects President Marcos’s allegations of a deal signed between Duterte and Beijing on SCS
On 19 April, China rejected remarks made by Philippine President Ferdinand Marcos Jnr, claiming that former President Rodrigo Duterte had signed a secret deal with Beijing over the South China Sea. Marcos said that the secret deal made by Duterte could jeopardize sovereignty. The Chinese embassy in Manila rejected the accusations and said that the Marcos government abided by the agreement after taking office in 2022. The embassy said that the Philippine government complied with the agreement until the start of February 2023. The embassy stated that the agreement focused on diffusing the tensions and did not impact the respective sovereign positions. It also said that the two sides agreed on a new agreement for resupply to the reef after multiple negotiations. President Marcos said that the country will not honor the agreement and will not seek any permission from another country for its sovereign decisions. (Liu Zhen, “Beijing denies its South China Sea deal with former Philippine leader Duterte was a ‘secret’,” South China Morning Post, 18 April 2024)

CHINA & EUROPE
EU sees Chinese exporting military components to Russia
On 18 April, Executive Vice-President of the European Commission, Valdis Dombrovskis, said that the EU sees the military application of components exported by China to Russia. During his meeting with the US lawmakers, Dombrovskis raised the importance of approving long-delayed US aid to Ukraine. He said that the EU was working alongside the US to crack down on the bypassing of sanctions. He also said West’s actions are insufficient and will lead to negative consequences. (“EU sees signs China supplying dual-use components to Russia,” The Straits Times, 19 April 2024)

CHINA & THE AMERICAS
US returns 38 ancient Chinese artifacts to China
On 17 April, the US announced that 38 ancient cultural artifacts were returned to Beijing under the repatriation deal. The officials stated that the artifacts dated back to the Ming (1368-1644) and Qing (1644-1911) dynasties. The Director General of the Chinese National Cultural Heritage Administration (NCHA), Li Qun, said the latest repatriation deal would signify mutual trust between the two sides to retrieve lost treasures. He also noted that this cultural exchange is marked on the 45th anniversary of establishing diplomatic relations between China and the US. The US Heritage Administration said that with the 2009 MoU, around 504 artifacts have been successfully returned to China. Chief of the Antiquities Trafficking Unit at the Manhattan District Attorney’s Office, Matthew Bogdanos, said: “Cultural heritage has the power to bring people together and bridge differences.” (Meredith Chen, “US returns cultural relics to China as part of antiquity repatriation deal,” South China Morning Post, 19 April 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
TSMC to charge customers extra for making chips outside Taiwan
On 19 April, the Financial Times reported that Taiwan Semiconductor Manufacturing Company (TSMC) plans to charge customers extra for manufacturing chips outside of Taiwan. CEO of TSMC, CC Wei, said: “If a customer requests to be in a certain geographical area, the customer needs to share the incremental cost.” TSMC's price increase comes after governments and companies are diversifying their risks by sourcing chip supplies outside of Taiwan. Hille notes that Taiwan produces 90 per cent of the world’s advanced semiconductors. She mentions that the cost of producing chips outside Taiwan is significantly higher. The price rise also comes as TSMC’s profit predictions are expected to slide down due to rising power costs at its main manufacturing base in Taiwan, the impact of Taiwan’s 3 April earthquake, and a slower rise in 3nm manufacturing efficiency. (Kathrin Hille, “TSMC plans to charge customers more for chips made outside Taiwan,” Financial Times, 19 April 2024)

North Korea welcomes Belarus delegation to strengthen bilateral relations
On 18 April, state media KCNA reported of Belarusian delegation visiting Pyongyang to improve bilateral relations with North Korea. Both sides criticized the US for imposing sanctions. The Belarusian delegation was led by Deputy Foreign Minister Evgeny Shestakov and discussed bilateral cooperation with his counterpart Lim Chun Il on sectors of economy and culture and mutual support on the global stage. The diplomatic visits come after North Korea lifts COVID-19 restrictions. (“North Korea, Belarus deputy foreign ministers agree to strengthen ties,” The Straits Times, 19 April 2024)

HIGHLIGHTS
EXTERNAL
Chinese “Red Circle” law firms expanding in the overseas market
On 18 April, an Opinion in the Financial Times looked into the rising Chinese law firms in Asia and the US. Chinese top law firms also known as the “red circles” are stepping up to expand their international presence, by working at a much lower fee. The op-ed reckoned that at least eight of the biggest Chinese law firms in mainland China have now opened overseas. The expansion also known as the “red circle” came as a counter to London’s legal firm “magic circle.” Dozens of Chinese firms have opened offices in the US over the past few years. Jingsh Law Firm one of China’s biggest firms have announced its plans to set up offices in South Korea and Japan. Managing partner at Zhong Lun Alan Xu said: “Chinese law firms are rapidly evolving and increasingly competing in these areas by hiring experienced lawyers from international firms and expanding their international presence.” (Chan Ho-him, “China’s ‘red circle’ law firms rush to tap other markets,” Financial Times, 18 April 2024)

CHINA & EUROPE
“China’s word carries weight in Russia,” says Olaf Scholz to Xi Jinping
On 16 April, German Chancellor Olaf Scholz said: “China’s word carries weight in Russia,” while urging President Xi Jinping to persuade Russia to end its war in Ukraine. He mentioned President Xi’s acceptance for the peace conference in Switzerland. Xi stated: “efforts towards a peaceful resolution should be recognised by both sides and include equal participation by all parties.” Scholz said to Xi that Russia’s aggression and arms buildup in Ukraine has negative implications for Europe’s security. Chinese state media CCTV quoted Xi’s statement: “four principles to prevent the Ukraine crisis from spiralling out of control and to restore peace.” His remarks come after Scholz, accompanied by his delegation, arrived in Beijing on 14 April for the second time since taking office. (“German chancellor urges Xi Jinping to press Russia to end Ukraine war, saying ‘China’s word carries weight’,” The Guardian, 17 April 2024)

CHINA READER DAILY WIRE 
INTERNAL
Authorities collective punishment on Chinese dissenters, reports Chinese Human Rights Defenders
On 15 April, VOA reported on US-based human rights group Chinese Human Rights Defenders finding that China has been “collectively punishing” and persecuting Chinese families. The authorities are probing against the children and family members of detained human rights defenders. They are taking them in custody and keeping them in psychiatric wards, hospitals and orphanages. They forced school-aged kids of detainees to drop out and banned them from leaving China. The director of Chinese Human Rights Defenders groups Renee Xia said: “The most heartbreaking part is [how the Chinese authorities are] inflicting so much pain on the children of human rights defenders and the experience of watching their parents being mistreated growing up leaves long-term psychological trauma on them.” As part of the collective punishment children and families are forced to be evicted from their houses and the schools repeatedly turn them away from admission. Chinese Huma Rights Lawyer Wang Quanzhang who was detained in 2015 stated that he and his family has been evicted multiple times and hotels have refused to take them in. Wang said: “The authorities think our community has been trying to humiliate them, so they want to use all the means at their disposal to punish human rights lawyers.” He also said that his 11-year-old son had been turned away from several schools and when they tried to leave the country the customs office stopped them stating national security issues. The report demands: “immediately cease all harassment and extralegal detention of the family members of human rights defenders.” (William Yang, “Report: Chinese authorities impose collective punishments on families of detained dissidents,” VOA, 15 April 2024)

Former industry workers disagree on the Chinese overproduction issue, says an Opinion in BBC
On 18 April, an Opinion in BBC looked into the dwindling Chinese industries and the issue of overproduction. Ren Wenbing former factory worker in the manufacturing hub Dongguan. Ren lost his job when the owner of the former company he was working at shifted the production house to Southeast Asia to save costs. The op-ed highlighted the growing concern of the Chinese overproduction by the US and the West. The Chinese brand of “Made in China” has shifted from t-shirts, tables and TVs to electric cars and solar panels. The old industrial pillar furniture, clothes and electric goods are no more as China looks for a “new productive force,” that would focus on solar panels, lithium batteries and electric cars. Yan Mu a salesperson for Chinese solar batteries said: “I think Chinese companies are leading the whole energy storage market. With innovation, with new technologies, battery sales, PCS [power conversion systems] ... well, everything. Right now, I think 80% to 90% of the energy storage equipment is designed and manufactured in China.” China in 2024 has installed more solar panels than the US in the last decade. But this new growing industry is not labour-intensive says the op-ed, therefore the booming industry does not alleviate the unemployment crisis. Dongguan is also changing from an industrial hub, it is changing itself to an aspiring high-tech hub. Huawei made a campus to house 25,000 employees, there are a set of new science parks and chains of hotels being built. These new jobs require specialized skills and people like Ren do not have to make use of the new opportunities. (“The West says China makes too much. Its workers disagree,” BBC, 18 April 2024)

China’s debt defaulters barred them from high-speed trains and fancy hotels, says an Opinion in WSJ
On 17 April, an Opinion in the Wall Street Journal looked into the punitive actions taken by the Chinese authorities against people with bad debt. Many of the debt repayment defaulters are blocked from buying tickets for high-speed trains as a penalty. People in China are penalized for not paying their debts the authorities are seizing their salaries and restricting them from getting government jobs due to non-payments. They are forbidden from buying expensive insurance policies and are not allowed to go on vacations or live in nice hotels. Unlike the US the defaulters are not allowed to declare bankruptcy and write off their bad debts. The long-standing property crisis has caused significant personal debts and as the prices are falling many are stuck with mounting debts. Chinese bank issues tens of millions of new credit cards with each year having an outstanding balance jumping over 50 per cent. This has created a new black market to cater for the needs of blacklisted people, where one ring of scammers bought tickets on behalf of these backlisted people. Some analysts believe that the Chinese economy gives more power to creditors and powerful SOEs rather than individuals and that there is an urgent need to create a nationwide bankruptcy system.  (Brian Spegele, “Pacemaker or competitor? Beijing half marathon under probe as Chinese star handed a win,” VOA, 16 April 2024) “ China’s Punishment for People With Bad Debts: No Fast Trains or Nice Hotels,” Wall Street Journal, 17 April 2024)

Controversial Chinese marathon win of He Jie probed into
On 16 April, VOA reported on the controversial win of the Chinese long-distance runner He Jie. The Beijing Half Marathon is facing a probe as a video went viral where three African runners allowed and even deliberately slowed to let, He win the race. The video showed all three African runners Kenya’s Robert Keter and Willy Mnangat, and Ethiopia’s Dejene Hailu Bikila letting He in front as they approached the finish line together, they gestured He to pass in front of them to win the race. Once the video went viral the Mnangat said that he let him win because the Chinese runner is his friend and refused that any monetary reward was given or promised. He then later changed his statement and said it let him win because they were hired as pacemakers and were not there to compete. (“Pacemaker or competitor? Beijing half marathon under probe as Chinese star handed a win,” VOA, 16 April 2024)

ECONOMY
The Chinese economy grew by 5.3 per cent surpassing predictions, reports the National Bureau of Statistics
On 16 April, the Chinese National Bureau of Statistics informed that their economy grew by 5.3 per cent, the official data found that the Gross Domestic Product expanded by 5.3 per cent in the first three months of 2024 than 2023. They not only completed their goal but surpassed the expectation, where many analysts believed that the growth would be slowed down to 4.6 per cent. Last month they set a target for 5 per cent economic growth in 2024. They made a stronger-than-expected comeback even as the real-estate crisis still plagues the Chinese economy. The data also revealed that their retail sales in the first quarter and the consumer confidence fell to 3.1 per cent. Moody’s analyst Harry Murphy said: “You cannot manufacture growth forever so we need to see households come to the party if China wants to hit that around 5% growth target.” Additionally, the property investment fell by 9.5 per cent. Real estate accounts for 20 per cent of the Chinese economy. (“China economy grows faster than expected in first quarter,” BBC, 16 April 2024)

Chinese central bank cautions against the “one-sided pursuit of credit expansion”
On 18 April, the Chinese Central Bank cautioned against the “one-sided pursuit of credit expansion.” The banks have slowed down lending as they prioritize quality credit oversize. People’s Bank of China said: “With the transition of the economy from high-speed growth to high-quality development, ... it is even more necessary to change the traditional mindset of one-sided pursuit of scale and establish the concept of prioritising quality and efficiency.” PBOC has stated that they would channel funding into innovation technology and green manufacturing of smaller firms. PBOC also said: “Credit allocation should ultimately be in line with the needs of high-quality development of the real economy. The key is to grasp the level well, rather than the more, the better.” They aim to revitalize the existing credits to improve their quality and efficiency.  (“China's c.bank warns against 'one-sided' pursuit of credit expansion,” Reuters, 18 April 2024)

ENERGY & ENVIRONMENT
Ampace is the largest Chinese exporter of battery storage systems
On 18 April, the South China Morning Post reported on the growing Chinese industry of batteries under Contemporary Amperex Technology Limited (CATL)  as it looks to dominate internationally. Ampace part of Contemporary Amperex Technology Limited (CATL) is investing heavily in the energy storing system and the “batterfication” of tools. A researcher at Ampace said that there is a huge demand for diverse applications of energy storage and they want to carve out their space. In three years, the company has been able to establish itself in the global home energy storage market. Shenzhen Gaogong Industry Research (GGII) found that China has shipped over 20 gigawatt hours of residential energy storage system and Ampace was the largest manufacturer of it accounting for 30 per cent of it. The company recently launched an Ampace C5 that can be used commercially and for industries at a reduced cost of 46 per cent. (Yujie Xue, “How a little known spin-off of Chinese battery giant CATL has come to dominate the global home energy storage market,” South China Morning Post, 18 April 2024)

CHINA & TAIWAN
PLA sends fighter jets to warn US Navy aircraft from patrolling in the Strait
On 17 April, PLA’s Eastern Theatre Command informed that they sent fighter jets near the Taiwan Strait to warn US Navy patrolling in the region with aircraft.  The US Navy’s 7th fleet also informed that the P-8A Poseidon maritime that is reconnaissance and patrolling aircraft flew over the international air space near the Taiwan strait. They issued that they operated within the Strait and in line with international law asserting that the US “upholds the navigational rights and the freedom of all nations.” Chinese military’s Eastern Theatre Command of the People’s Liberation Army called this a public hype and that “Troops in the theatre are always on high alert and will resolutely defend national sovereignty and security as well as regional peace and stability.” This comes right after the US Defence Secretary Lloyd Austin spoke with Chinese Defence Minister Dong Jun, where Dong said: “The Chinese People’s Liberation Army will never let any Taiwan independence separatist activities and external connivance and support go unchecked,” and that the Taiwan issue is the core of Chinese interest and this core interest mustn’t be harmed. (“China sends fighter jets to shadow US Navy plane over Taiwan Strait,” The Straits Times, 17 April 2024)

CHINA & EAST ASIA
China’s NPC president meets Kim Jong Un to discuss the friendly future of Beijing and Pyongyang
On 13 April, Chinese legislator and the President of the National People’s Congress China Zhao Leji met with the North Korean Leader Kim Jong Un in Pyongyang. Zhao expressed China’s willingness to work with its North Korean counterparts to further deepen their cooperation. Zhao said: “No matter how the international situation changes, the traditional friendship between China and the DPRK, created and nurtured by the older generation of leaders from both parties and countries, remains deep-rooted and strong over time.” Zhao also said that it is China's strategic policy to defend and further friendly relations between China and North Korea. (“China’s top legislator meets North Korea’s Kim Jong Un on goodwill visit,” The Straits Times, 13 April 2024)

“Hong Kong must tightly hold onto the bottom line of national security to safeguard development,” says the director of the Hong Kong and Macau Affairs Office 
On 15 April, the director of Beijing’s Hong Kong and Macau Affairs Office, Xia Baolong, said that “Hong Kong must tightly hold onto the bottom line of national security to safeguard development” in a speech to mark the annual National Security Day. It comes as the Hong Kong authorities imposed Article 23, or the new national security law in March 2023 that updates or introduces new laws to prohibit treason, sabotage, sedition, the theft of state secrets, and espionage, with jail terms of up to life imprisonment. Baolong mentions that the new law does not threaten investors amid criticism of a wider public crackdown. The legislation was introduced as part of the national security law China directly imposed on Hong Kong in 2020 in response to mass pro-democracy protests in Hong Kong. (“China says Hong Kong must ‘tightly hold’ national security line to safeguard development,” The Straits Times, 15 April 2024)

CHINA & SOUTHEAST ASIA
Chinese coast guards block the Philippines research vessel for eight hours
On 13 April, Chinese coast guards blocked two Philippines ships for hours near their country’s coast. The incident took place just 35 nautical miles from the Philippines coast. The satellite imagery by Sea Light found that the Philippines's maritime research vessels and escort ships met the Chinese coastguards. The image showed that they met near the infamous nine-dash line that China marks as part of its claim in the region. The vessel was stopped for eight hours. Sea Light director Ray Powell informed that they intercepted them as they crossed the nine-dash line claim. Powell also believes that China’s actions are a reaction to the US-Philippines and Japan’s trilateral summit where they voiced concerns stating that this is a dangerous behaviour in the South China Sea. Chinese Ministry of Foreign Affairs said: “[T]he Philippines has abandoned the current administration’s understanding with China on the Ren’ai Jiao issue.” (Kathrin Hille and Demetri Sevastop, “China coastguard blocks Philippine vessels as maritime tension grows,” Financial Times, 15 April 2024)

Vietnamese high-level delegation visits China to boost economic ties
On 17 April, Vietnam’s National Assembly Chairman Vuong Dinh Hue led a high-level delegation to China from 7 to 12 April to boost economic ties. The delegation also met Chinese President Xi Jinping. Hue said the two countries “aim to connect Vietnam to China's large development strategies.” Lim notes that Vietnam is China's largest trading partner of China, and Beijing has a greater role in boosting FDI in Vietnam. Korea Chamber of Commerce and Industry (KCCI) representative said that Chinese companies are putting tough competition on South Korea with their increased investments in Vietnam. Kim Hyong-mo notes that South Korea ranked first in FDI since 1988 with USD 85 billion but faces fierce competition from Chinese firms. He also mentions a growing preference for Vietnam due to its proximity to China and its population of 100 million people, making it attractive for shifting industrial chains from Mainland China. (Peh Hong Lim, “China-South Korea competition grows in Vietnam,” VOA, 17 April 2024)

PLA conducts second live-fire drills along China- Myanmar border
On 17 April, the People’s Liberation Army conducted its second live-fire drill along the China-Myanmar border, indicating Beijing’s concerns over the deteriorating security situation. As reported by the theatre command’s WeChat account, the drills were organized by the PLA’s Southern Theatre Command, which involved both ground and air forces. The PLA statement said: that the drill tested the forces’ abilities in “air-defence capacity, reconnaissance, early warning, and repulsion.” The drills come after the first drill two weeks ago due to the continued rebel uprising in Northern Myanmar. China repeatedly calls all the parties to exercise restraint and promotes resolving issues through dialogues and discussions. (Zhao Ziwen, “China holds another live-fire drill along Myanmar border as concerns over rebel uprisings grow,” South China Morning Post, 17 April 2024)

“China and Indonesia pledges to strengthen economic ties and maintain peace and stability in the region,” says Chinese Foreign Ministry Wang Yi
On 18 April, Chinese Foreign Minister Wang Yi said: “China and Indonesia have pledged to strengthen economic ties and maintain peace and stability in the region,” after meeting with his counterpart Retno Marsudi in Jakarta. Wang also called all parties to exercise maximum restraint and urged the US to support the UN ceasefire resolution in Gaza. Indonesian Foreign Minister Retno Marsudi said she hoped China “would use its influence to prevent escalation” in Gaza, “emphasising the need for a two-state solution.” Wang also plans to attend the China-Indonesia High-Level Dialogue Cooperation Mechanism meeting with his Indonesian counterparts in Labuan Bajo on 19 April for further cooperation. Wang also expressed a quick resolution to the ongoing code of conduct on the South China Sea. Retno also mentioned the meeting between Jokowi and Wang for further economic cooperation in the transportation and petrochemical sector. (“China foreign minister says Beijing and Jakarta want regional peace and stability,” Reuters, 18 April 2024)

CHINA & THE MIDDLE EAST
“Energy trade between China and the Middle East is likely to increase,” says an analysis by the UBS Investment Bank
On 15 April, according to an analysis by the UBS Investment Bank, the energy trade between China and the Middle East is likely to increase significantly amid the Saudi-Iran peace deal brokered by China. According to Ken Liu, head of China and Hong Kong renewables, utilities, and energy research at UBS Investment Bank, by 2030, the trade between the two sides will increase by USD 423 billion annually or 11 per cent, with renewables and petrochemicals accounting for USD 77 billion and USD 325 billion, respectively. He further mentions that the Beijing Accord of March 2023 will yield greater monetization potential, thereby sudden impact on share prices. Liu also mentions additional trade in the green energy sector, with China playing a greater role in the Middle East through its control over the renewable equipment supply chain. According to the Chinese customs data, trade between China and the Middle East from 2017 to 2022 has doubled from USD 262.5 billion to USD 507.2 billion. (Yujie Xue, “China’s energy trade with Middle East set to surge since Beijing brokered last year’s Iran-Saudi deal, UBS says,” South China Morning Post, 16 April 2024)

CHINA & EUROPE
German Chancellor Scholz urges China to play fair in EU market
On 15 April, Germany’s Chancellor urged China’s top industrial heads to play fair in EU markets and not violate copyright rules or overproduce cheap goods. In his three-day visit to China, Schulz said he would encourage the EU to pursue a protectionist policy. In the case of the automotive industry, Scholz said that European cars should have equal access to the Chinese market. He also requested that Chinese authorities not impose stringent restrictions on foreign companies trying to set up manufacturing capabilities in China. Connolly mentions that Scholz’s visit aimed to pursue a de-risking strategy to reduce overall dependency on China. (Kate Connolly, “German chancellor urges Chinese industry bosses to play fair in EU market,” The Guardian, 15 April 2024)

Russian and Chinese firms avoid taxes, western sanctions through trading in copper scrap, says an editorial in Reuters
On 15 April, according to an editorial in Reuters, Russian Copper Company (RCC) and Chinese firms avoided taxes and Western sanctions by trading in new copper wire rods disguised as scrap. Reuters reports of copper wire rods being shredded in the remote Xinjiang Uyghur region by an intermediary to allow both exporters and importers to earn profits from scrap and new metals. It further reported that Russia's export duty on copper rods was 7 per cent in December, lower than the 10 per cent levy on scrap. Imports of copper rods into China are taxed at 4 per cent and no duty on Russian scrap imports. Data from Chinese customs showed that China imported more copper scrap from Russia. The Federal Customs of Russia noted that its trade data in April 2022 stopped publishing after the start of the Russia-Ukraine war. Reuters reports that shredding is out of the sanctions regime as the shredded copper metal is harder to identify and trace, thereby making it easier to sell to Chinese manufacturers. The data showed that around 97 per cent, or 6,434 metric tons, came from the Alashankou border of Xinjiang in December 2023. (“Exclusive: Russia and China trade new copper disguised as scrap to skirt taxes, sanctions,” Reuters, 15 April 2024)

CHINA & THE AMERICAS
China opposes US probe into its shipbuilding industry, says an editorial in The Wall Street Journal
On 17 April 2024, according to an editorial in The Wall Street Journal, China opposes the US probe into its shipbuilding industry and calls the investigation politically driven with false accusations. It came after US Trade Representative Katherine Tai said that it would open an investigation into China’s policies and practices in the maritime, logistics, and shipbuilding sectors after receiving petitions from the five national labour unions. China’s Ministry of Commerce rejected it and said that USTR’s statements misinterpreted normal trade and investment practices and called its accusations “baseless and against economic common sense.” In addition to USTR, President Biden calls for increasing tariffs on the imports of Chinese steel and aluminium to boost the domestic steel sector. (“China Denounces U.S. Probe Into Shipbuilding Sector,” The Wall Street Journal, 17 April 2024)

“IPR continues to be the main concern for US businesses in China,” says US Patent and Trademark Office Director 
On 16 April, the US Patent and Trademark Office director Kathi Vidal said that “intellectual property rights (IPR) continue to be a main concern for US businesses in China.” Vidal mentioned that the Office of the US Trade Representative has placed China on its priority watch list, citing insufficient protection and enforcement of IP. She also said that Beijing’s actions harmed US companies and workers and hurt other countries. On 15 April, in her meeting with Chinese Vice-Premier Ding Xuexiang, Vidal mentioned the US’s willingness to cooperate in developing intellectual property cooperation with China. (“US official says intellectual property rights infringement still main concern in China,” The Straits Times, 17 April 2024)

The US and China discuss Middle East developments, the South China Sea and Taiwan 
On 15 April, the US diplomats discussed Middle East developments, the South China Sea, and Taiwan issues with their Chinese counterparts to stabilize bilateral ties. During the US delegation’s visit to Beijing on April 14-16, Assistant Secretary of State for East Asian and Pacific Affairs Daniel Kritenbrink met China’s Executive Vice-Foreign Minister Ma Zhaoxu and Beijing’s Taiwan Affairs Office Deputy Director Qiu Kaiming. The US Department of State said that the delegation officials, including the US National Security Council senior director for China and Taiwan, Sarah Beran, and US Ambassador to China Nicholas Burns, discussed bilateral, regional, and global issues. It stated that the visit was aimed at managing differences and reducing the risk of miscalculation. The US officials warned of the risk to bilateral ties amid China’s support for Russia’s war in Ukraine. (“US, China officials discuss Middle East, Taiwan, South China Sea,” The Straits Times, 16 April 2024)

EXTERNAL
Chinese “Red Circle” law firms expanding in the overseas market
On 18 April, an Opinion in the Financial Times looked into the rising Chinese law firms in Asia and the US. Chinese top law firms also known as the “red circles” are stepping up to expand their international presence, by working at a much lower fee. The op-ed reckoned that at least eight of the biggest Chinese law firms in mainland China have now opened overseas. The expansion also known as the “red circle” came as a counter to London’s legal firm “magic circle.” Dozens of Chinese firms have opened offices in the US over the past few years. Jingsh Law Firm one of China’s biggest firms have announced its plans to set up offices in South Korea and Japan. Managing partner at Zhong Lun Alan Xu said: “Chinese law firms are rapidly evolving and increasingly competing in these areas by hiring experienced lawyers from international firms and expanding their international presence.” (Chan Ho-him, “China’s ‘red circle’ law firms rush to tap other markets,” Financial Times, 18 April 2024)On 17 April, US President Joe Biden announced that he would increase the tariffs on imports of Chinese steel and aluminium by threefold and vows to block the acquisition of US Steel company by Japanese company Nippon during his speech to the steelworkers union in Pennsylvania. His statement comes as the union's support would provide vital support to Biden in the November presidential elections. The President asked the Trade Representative to triple the existing tariffs of 7.5 per cent on Chinese imports to protect US jobs from unfair competition. Biden also said that he will ensure to prevent Chinese shipments to the US via Mexican ports. White House national economic adviser Lael Brainard, mentioned that the Biden administration vowed to boost American manufacturing and to protect the domestic industry from unfair imports due to China’s industrial overcapacity. (Leonie Chao-Fong, “Biden to triple taxes on Chinese steel and block Japanese takeover of US Steel,” The Guardian,” 17 April 2024)

US Congress targets Chinese drugmaker over links to the Chinese government
On 15 April, The New York Times reported a Chinese drugmaker being targeted by the US Congress over links to the Chinese government. The company WuXi AppTec is one of many companies that supply critical drugs for the US market to treat cancers, obesity, and debilitating illnesses like cystic fibrosis. The US lawmakers identified the company as a potential threat to the security of individual Americans’ genetic information and US intellectual property. According to Jewett, the sudden move by Congress has shocked the US pharmaceutical industry, which has already been struggling with widespread drug shortages for the past 20 years. Jewett mentioned the reputation of WuXi AppTec for creating low-cost drugs and reliable work to produce in bulk quantities, with one-fourth of the drugs being developed for the US market. She also reports the Biosecure Act bill, which linked the company to the PLA and accused WuXi AppTec of sponsoring military-civil events and receiving military-civil fusion funding. (Christina Jewett, “Chinese Company Under Congressional Scrutiny Makes Key U.S. Drugs,” The New York Times, 15 April 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Japan to conduct demonstration tests for autonomous underwater drones in June, reported by The Straits Times
On 18 April, according to The Japan News and Asia News Network in The Straits Times, the Japanese government will start the demonstration tests for autonomous underwater vehicles (AUVs) from June to December 2024. The expected costs per unit are reported to rise to JPY one billion. The government mentions using AUVs in dangerous waters and deep seas with high pressure. It will be used in marine resource development and national security. The government also indicated using AUVs to inspect offshore wind power generation facilities and underwater surveillance and vigilance activities. According to the government, Japan aims to strengthen its AUV capability amid China’s maritime expansion. The government will invite AUV manufacturing companies, research institutes, and organisations specializing in oceanographic surveys for the demonstration tests. The government mentions the strategy for domestic production of AUVs in 2023 to industrialise AUVs by 2030. (“Underwater drones to be tested in Japan with aims to promote domestic manufacturing,” The Straits Times, 18 April 2024)

6.4 magnitude earthquake hit Southern Japan
On 17 April, the Japan Meteorological Agency (JMA) said the 6.4 magnitude earthquake hit Southern Japan. It was reported that the Bungo Channel between the Kyushu and Shikoku islands was the epicentre of the earthquake. JMA also reported that six-magnitude earthquakes were recorded in the Ehime and Kochi prefectures. Local media reports minor damages, such as water pipe bursts, with no casualties. Japanese government spokesperson Yoshimasa Hayashi said that one of the operational Ikata nuclear reactors in Ehime prefecture witnessed no damages. Hayashi also warns of multiple earthquakes with lower magnitudes of six seismic scale. (“Earthquake jolts southern Japan’s Ehime, Kochi prefectures,” The Straits Times, 18 April 2024)

Australia boosts defence budget to prepare against potential US-China conflict in the Pacific
On 17 April, Australia to boost defence spending by AUSD 50.3 billion over the next decade to prepare against a potential conflict between the US and China in the Pacific. Australian Defense Minister Richard Marles said that the new defence spending indicates new priorities, such as focusing on missiles, drones, and warships to prepare the country against potential regional conflicts. According to the ministry, the new spending will take place after the next five years and will take the overall defence spending from the current two per cent to 2.4 per cent of the GDP by 2034. Out of the AUSD 330 billion, 40 per cent or AUSD 145 billion, is allocated for the navy, which includes surface fleets, AUKUS nuclear-powered submarines, and Ghost Shark undersea drones. Also, one-fifth, or AUSD 74 billion, will be allocated for missile-related programs as per the suggestions given under the 2023 review. The remaining AUSD18 billion will be allocated to upgrade military bases in northern Australia. (“Australia to prioritise missiles, drones and warships as part of $44 billion defence boost,” The Straits Times, 17 April 2024)

Japanese Foreign Minister expresses concerns over Iran’s retaliatory attack on Israel
On 14 April, Tokyo expressed concerns regarding Iran’s retaliatory attack on Israel and warned of potential escalation of conflict in the region. Japanese Foreign Minister Yoko Kamikawa said: “This attack is one that further worsens the current Middle East situation. We are deeply concerned and strongly condemn this sort of escalation.” This comes after Iran launched drones and missiles at Israel on 13 April in retaliation for an Israeli air strike on its embassy in Syria. The minister’s statement also stressed the need for diplomatic steps to prevent any further deterioration of the situation. The Straits Times reports Japan’s heavy reliance on oil, with 95 per cent of the crude imported from the Middle East region. (“Japan strongly condemns Iranian attack on Israel as ‘escalation’,” The Straits Times, 14 April 2024)

South Korean President Yoon accepts the public sentiment after the general election results 
On 16 April, South Korean President Yoon Suk-yeol said that he and his government accepted the public sentiment on the recent 10 April general election. The elections led to the win of the opposition party and its control over the National Assembly for the next four years. President Yoon also admitted the shortfall in meeting economic recovery for all. He urged the government to refine existing domestic policies to enhance their effectiveness in addressing the people’s livelihoods and warned against populist policies such as cash allowances. He said that he would focus on major reform drives on labour, education, public pensions, and the medical sector. According to The Straits Times, President Yoon did not address the careless nomination of former defence minister Lee Jong-sup as the envoy to Australia. The ruling People Power Party won 108 seats out of 300 in the National Assembly in recent general elections, leaving the party stressed against the opposition’s majority. Yoon said in a cabinet meeting that he would cooperate with the National Assembly to make key policy changes. (“South Korean President Yoon sorry for shortcomings but insists policies were right,” The Straits Times, 16 April 2024)

Outgoing President Tsai announces Lin as Taiwan’s next Foreign Minister
On 16 April, during her remarks to a visiting New Zealand delegation in Taipei, outgoing President Tsai Ing-wen introduced Lin Chia-lung as Taiwan’s new Foreign Minister. She added that the incumbent Foreign Minister, Joseph Wu, will become the secretary-general of the National Security Council. Tsai’s steps marked a shift in the announcements being made by the incoming government. Presidential Office spokesperson said President-elect Lai Ching-te’s team would confirm any new government appointments. Opposition KMT party member Ma Wen-chun said that Tsai’s deep involvement in national security issues will continue to exert her influence behind the scenes. Lin served as an adviser to the National Security Council in the early 2000s under then-President Chen Shui-bian. Lin also served as an ambassador for Tsai’s digital New Southbound Policy initiatives between Taiwan and 18 countries across Southeast Asia, South Asia, and Australasia. (Yip Wai Yee, “Taiwan has a new foreign minister – it’s announced by outgoing President Tsai, not her successor Lai,” The Straits Times, 18 April 2024)

HIGHLIGHTS
EXTERNAL
Japan, the Philippines, and the US concerned over Chinese actions in the South China Sea
On 12 April, Japan, the Philippines, and the US leaders voiced serious concerns over China’s actions in the South China Sea. The three leaders issued their joint statement at the end of their first trilateral summit between the three countries in Washington, DC. In March, the Philippines President Ferdinand Marcos called for increased countermeasures against China after a confrontation near the Second Thomas Shoal, which injured Filipino soldiers and navy vessels. Beijing claims the entire South China Sea as its own through its nine-dash line claims, which were rejected by the ICJ ruling in 2016. The joint statement reiterated the need to respect the sovereignty of other states within their EEZ as part of the 1982 UNCLOS. (“Japan, Philippines, US rebuke China over ‘dangerous’ South China Sea moves,” Al Jazeera, 12 April 2024)

CHINA & THE AMERICAS
The US becomes the largest export destination for Taiwan, reports Taiwanese’s Foreign Ministry
On 10 April, according to data from the Taiwanese Foreign Ministry, the US became Taiwan's largest export destination. The data indicated that Taiwan’s exports to the US grew by 65.7 per cent year on year in March to USD 9.1 billion, whereas its exports to China grew by 6 per cent to USD 7.9 billion. This shift in trade was due to the changing priorities of the successive US administrations, which were to reduce dependence on China. The data also reveals that China remained Taiwan’s number one export destination since 2003, which fell recently to second position. Overall exports to China and Hong Kong still remain the largest export places for Taiwan. (Samson Ellis and Miaojung Lin, “US Buys More Taiwan Exports Than China for First Time Since 2003,” Bloomberg, 11 April 2024)

CHINA READER DAILY WIRE 
ECONOMY
20 countries ambassadors extend support towards China’s policies in Xinjiang
On 11 April, ambassadors from 20 countries extended their support for China’s policies in China’s Xinjiang Uygur autonomous region to develop close economic ties amid allegations of human rights violations. In the event organized by Xinjiang officials, more than 50 diplomats from 49 countries, including 21 ambassadors, attended the reception. The ambassadors from South Africa, Pakistan, Kazakhstan, Iran, Syria, and Turkey told Xinjiang officials that they hoped to strengthen economic ties with the region. Xinjiang is home to 25.85 million people, 14.93 million of whom are members of ethnic minority groups comprising the Muslim Uygurs and Kazakhs. China’s vice-minister of foreign affairs, Chen Xiaodong, said that Beijing would actively promote Xinjiang to the outside world and would resist lies about forced labour. (Yuanyue Dang, “China finds foreign support for Xinjiang policies as the region seeks to boost economic ties,” South China Morning Post, 11 April 2024)

EXTERNAL
The US and Japan had “smeared and attacked” China at the summit, says Chinese Foreign Ministry
On 11 April, China’s spokesperson for the Ministry of Foreign Affairs, Mao Ning, said that the US and Japan had “smeared and attacked” China during the recent Washington summit. On 10 April, both countries agreed to restructure the US command in Japan, marking a significant upgrade in US-Japan defence ties. This plan enables the US and Japanese forces to respond to the potential Chinese invasion of Taiwan quickly. President Biden said the move was purely defensive and not directed against China. The Spokesperson also said that the US-Japan ties must not harm other countries' interests and threaten regional peace and stability. She further added that Taiwan is China’s internal affairs, and Beijing won’t allow any external force. (“Beijing says US, Japan ‘smeared and attacked’ China at summit,” The Straits Times, 11 April 2024)

CHINA & EAST ASIA
China willing to work with North Korea to help relations reach a “higher level,” says NPC Standing Committee head Zhao Leji
On 11 April, the head of the National People's Congress Standing Committee, Zhao Leji, said that China is willing to work closely with the North Korean legislature to help relations reach a “higher level.” Leji also says maintaining close ties with the DPRK is part of China’s overall strategic priority. (“China says it is ready to work closely with North Korea to help relations reach higher level,” Reuters, 11 April 2024)

CHINA & SOUTH ASIA
“India and China must urgently address their border disputes to improve bilateral relations,” says PM Modi
On 10 April, in an interview with Newsweek magazine, PM Modi said, “India and China must urgently address their border disputes to improve bilateral relations.” In the interview, PM Modi did not respond to the opposition party’s allegation but stated the importance of India’s ties with China. He also said that the peaceful relations between the two countries were important for the entire region and the world. On India’s role as a global manufacturing hub, PM Modi said, “India, as a democratic polity and global economic growth engine, is a natural choice for those looking to diversify their supply chains.” India’s opposition Congress party accused the ruling government of giving clean chit to China’s illegal encroachment of Indian territory. According to Newsweek magazine, the interaction with PM Modi was a written interview, followed by a 90-minute conversation. (“India’s Modi urges peace at China border,” BBC, 11 April 2024)

CHINA & EUROPE
China opposes EU’s investigation into Chinese wind turbine makers
On 10 April, the Associated Press reported China’s opposition to the ongoing EU’s investigation into Chinese windmakers and referred to it as protectionism and reckless distortion of the definition of subsidies. EU’s investigation on 09 April is the latest move against Chinese companies under a new EU regulation. The EU Commissioner for Competition, Margrethe Vestager, said that the investigation will find out whether Chinese subsidies are giving wind turbine companies an unfair advantage in the competition for projects in five member countries: Spain, Greece, France, Romania, and Bulgaria. The China Chamber of Commerce to the EU mentions the investigations as an act of economic coercion undermining the EU’s own goals to reduce greenhouse gas emissions. China’s Ministry of Commerce said that the “EU’s investigation undermines the motivation for Chinese companies to invest and trade in Europe and affects global efforts to combat climate change.” (Ken Moritsugu, “China protests EU’s investigation of subsidies in green industries, calling the move protectionist,” Associated Press, 11 April 2024)

2500 Chinese victims asked Beijing to return EUR 3 billion worth bitcoin seized in the UK
On 12 April, the Financial Times reported that 2500 Chinese people who are victims of investment fraud seek China’s help to retrieve the amount worth up to EU3bn bitcoin seized in the UK. The victim’s representation group, Chinese company Tianjin Lantian Gerui Electronic Technology, submitted a letter this week to the foreign ministry in Beijing to retrieve the seized money in the UK. The request comes after the conviction in conviction in Southwark Crown Court in March of British-Chinese woman Jian Wen on one count of helping her employer Zhimin Qian convert some of the bitcoin into cash, jewellery, and property. The Tianjin task force said that 8 per cent and 5 per cent of their investment capital had been repaid using assets confiscated from Lantian Gerui and its former employees that were worth a total of Rmb2.8bn. The victims said that their financial loss had resulted in family breakdown, separation from their children, indebtedness, and no money left for medical treatment. (Eri Sugiura and Wenjie Ding, “Chinese fraud victims seek the return of £3bn in bitcoin seized in UK,” Financial Times, 12 April 2024)

CHINA & THE AMERICAS
China sanctions two US companies over arms sales to Taiwan, says China Foreign Ministry
On 11 April, the Chinese Ministry of Foreign Affairs said that China sanctioned two US companies for arms sales to Taiwan. The sanction includes a ban on the senior executives of two US defence companies, namely General Atomics Aeronautical Systems and General Dynamics Land Systems, from entering the country and freezing their property. It said that Taiwan's arms sales interfere with China’s internal affairs and threaten its sovereignty and territorial integrity. Similar sanctions were imposed against US defence companies named Northrop Grumman and Lockheed Martin for exporting weapons to Taiwan. The ministry also said that the arms sales to Taiwan violated China’s One China principle, the provisions of the three joint communiques of the United States and China. (“China sanctions two US defence firms for selling weapons to Taiwan,” The Straits Times, 11 April 2024)

Bill to establish Open Translation Centre in the US
On 11 April, some bipartisan lawmakers introduced a bill to establish an Open Translation Centre meant to create publicly accessible English translations of open-source materials from China. The initiative would train analysts and linguists to specialize in China and other countries. Democratic congressman Joaquin Castro of Texas said, “The United States can’t afford to be in a position where our competitors know more about us than we know about them.” He further said that Russia and China’s investment in open-source translation programs has put the US at a strategic disadvantage. The initiative would ensure that contextual information is provided to the public, including biographical sketches of key leaders, descriptions of political processes, military weapons systems, important government bodies and companies, and analysis of significant concepts and phrases. Wisconsin Republican Mike Gallagher said, “Our adversaries, namely the Chinese Communist Party, continue to grow increasingly aggressive across the world stage.” The bill comes as the US faces challenges in getting accurate information out of China, as Beijing recently tightened restrictions on access to academic and corporate databases. (Bochen Han, “Bill to set up US research centre translating open-source China materials unveiled by lawmakers,” South China Morning Post, 12 April 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
New Security law silences Hong Kong, says an opinion in The Guardian
On 12 April, according to an opinion in The Guardian, the new security law silenced any dissent by the pro-democratic groups against the government due to the national security law. Some publishing agencies have said that Hong Kongers are adjusting to the lack of freedom of expression. The Hong Kong government claims that the national security law is aimed at restoring stability, while critics argue that the law’s describing crimes of secession, subversion, terrorism, and collusion with foreign forces effectively criminalize dissent. According to Professor Jeffrey Wasserstrom, more than 800 people have been arrested, while 300 people have been targeted. The law comes from the provision in Hong Kong’s 1997 Basic Law. According to The Guardian, the arrest of well-known activists such as Joshua Wong and Benny Tai were arrested in 2020, accused of plotting to bring down the government by holding informal pre-election primaries. Beyond arrests, the government plans to host events to attract locals and tourists to showcase Hong Kong’s normalization. (Amy Hawkins and Helen Davidson, “‘The old days are no more’: Hong Kong goes quiet as security laws tighten their grip,” The Guardian, 12 April 2024)

HIGHLIGHTS
CHINA & TAIWAN
“External interference cannot stop the historic cause of our reunion,” says Xi Jinping
On 10 April, Chinese President Xi Jinping met with the Taiwanese former president and Kuomintang leader Ma Ying-jeou. Xi inferred with Ma that any external interference would not stop China from unifying with Taiwan. Ma was visiting China as part of the “journey of peace” 11-member youth delegation. Xi stated that China was written the invisible history of both Taiwan and China, which has been engraved and that proves that they are compatriots by blood. He also said: “There is no force that can separate us... Differences in systems cannot change the objective fact that we belong to one nation and one people.” In return, Ma also stated that the young people of China and Taiwan represent the future of China hinting at a joint and same future. Ma also stressed that Chinese people on both sides should peacefully handle the dispute and avoid conflicts, while they should oppose Taiwanese independence. (“China’s Xi tells ex-Taiwan leader ‘external interference’ cannot block unification,” The Straits Times, 10 April 2024)

ECONOMY
China’s consumer price rose but slowly, says Wall Street Journal
On 10 April, The Wall Street Journal reported that the Chinese consumer price rose but at a slower pace in the month of March. WSJ looked into the data provided by the National Bureau of Statistics (NBS) which reported that the consumer price index rose to 0.1 per cent in March compared to 0.7 per cent in February. There has been a 0.4 per cent growth. The weak consumer prices can lead to the revival of deflation. The food price in China has dropped to 2.7 per cent while the prices of non-food items have increased by 0.7 per cent. When compared with February there has been a 1.1 per cent growth. In March the producer prices index fell by 2.8 per cent compared to February’s 2.7 per cent. While the consumer price index grew the producer price index is seeing an 18-month high. (Jason Douglas, “China’s Consumer Inflation Softens,” The Wall Street Journal, 10 April 2024)

CHINA READER DAILY WIRE 
INTERNAL
Save Uyghur Org calls for the boycott of Shien over the use of Uyghur forced labour
On 10 April, VOA reported that the Human Rights group Save Uyghur Org called for the boycott of Shein and urged people celebrating Eid to stop buying from there. The post stated that it is disappointing that thousands of Muslim women buying jilbab from Shein despite that there is well-known information regarding the exploitation of Uyghur labour by these companies. The head of the organization Arslan Hidayat said that Shein has used forced labour and furthered the oppression of the Uyghur Muslims. She said: “It is crucial for Muslims to use their consumer power to protest against the use of forced labour and to demonstrate solidarity with the Uyghur community,” and that “It is incumbent upon us to prioritize ethical consumption practices and advocate for justice for the Uyghur people.” The company spokesperson responded to VOA's question via email and stated: “We take visibility across our entire supply chain seriously, and we are committed to respecting human rights. To comply with U.S. law, we require our contract manufacturers to only source cotton from approved regions.” Bloomberg also found that Shein’s clothes contain cotton from the Xinjiang region which is prohibited under US law of Uyghur Forced Labor Prevention Act, 2022. (Kasim Kashgar, “Fashion retailer faces boycott amid allegations of Uyghur forced labour in China,” VOA, 10 April 2024)

Widening “she-cession” in China continues after the pandemic, says an Opinion in SCMP
On 11 April, an opinion in the South China Morning Post looked into the problem of “she-cession,” in China by Many Zuo. Mandy looked into a survey by Peking University where the study found that there has been a major employment disparity in the men and women workforce. The study found that this workplace disparity was widened due to Covid and has continued to increase since then and that is when they coined the term “she-cession.” The pay gap has increased to 30 per cent in 2020 and an article by the China Economic Review stated that while the pandemic has ended the disparity is on the rise. Compared to men, women's unemployment rate was 5.1 per cent higher than that of men and they worked 1.4 hours less a day. The overall gender parity has been low for decades due to a lack of political empowerment and sex ratio at birth. The university report stated: “If policymakers hope to prevent COVID-19 from widening existing gendered gaps in the labour market, they must provide more safe options for childcare.” And that during this period working mothers have been the most affected where they have more familial responsibility and suffered greater unemployment impact. (Mandy Zuo, “China’s gender gap widening post-pandemic, with ‘she-cession’ still a real threat to economy,” South China Morning Post, 11 April 2024)

ECONOMY
China refuted Fitch downgrading credit outlook, say Chinese Finance and Foreign Ministry
On 10 April, Global Times reported on the Chinese Ministry of Finance refuting Fitch downgrading the Chinese credit outlook. Fitch agency moves the Chinese credit rating to negative from stable. The ministry and other critics stated that their growth will remain unchangeable and that the government has the ability to maintain sound sovereign credit. The ministry expressed its regret over the Fitch downgrade and said while they expressed the same concerns as they have, the credit downgrade fails to show the forward-looking Chinese fiscal policy that aims to push growth. The Ministry said: “In the long run, maintaining a moderate deficit and making good use of precious debt funds will help expand domestic demand, support economic growth, and ultimately help maintain good sovereign credit.” Chinese Ministry of Foreign Affairs spokesperson Mao Ning also stressed that the Chinese economy has not changed and that the government’s ability to have a sound credit has not changed either. Some called the report biased where an economist from Peking University Cao Heping said: “Even as a growing number of economic data showed improvements in the first two months, Fitch actually moved to cut China's ratings outlook. That shows that foreign rating agencies specifically selected some unfavourable indicators in their evaluation.” (Wang Cong and Qi Xijia, “China refutes Fitch's credit outlook cut,” Global Times, 10 April 2024)

CHINA & SOUTHEAST ASIA
“To keep the peace in the South China Sea and the freedom of navigation,” Marcos route to the trilateral summit with the US and Japan
On 09 April, Philippine President Ferdinand Marcos Jr left for his meeting with the US and Japanese leaders in Washington. While leaving he made some statements that they followed the discussion to further strengthen economic cooperation and come up with a deal to maintain freedom of navigation in the South China Sea. This will be the first-ever trilateral summit between the US, Japan and the Philippines. Marcos said: “The main intent of this trilateral agreement is for us to be able to continue to flourish, to be able to help one another, and of course to keep the peace in the South China Sea and the freedom of navigation.” The details of the cooperation will be informed later. The freedom of navigation in the South China Sea comes in light of increased tension between Chinese and Philippines guards and civilians. Chinese Ministry of Foreign Affairs said it: “opposed to the cobbling together of exclusive small circles and to confrontation between different groups in the region.” (“Summit with US, Japan aimed at economy, South China Sea cooperation: Marcos,” Al-Jazeera, 09 April 2024)

CHINA & AFRICA
Zambian Drug Enforcement Commission raids Chinese firm led cybercrime group
On 09 April, BBC reported on the Zambian Drug Enforcement Commission (DEC) finding a sophisticated crime syndicate that included 77 people out of which 22 were Chinese. The centre of the raid was the Chinese company called Gloden Top Support Service; they recruited Zambians who thought they were working at the call centre. The breakthrough came after months of investigation and intelligence gathering as there was an alarming rise in internet fraud cases in Zambia. The Chinese firms recruited unsuspecting Zambian youth aged between 20-25 to work for them. They were asked to engage in deceptive conversation following a script. From the raid, they found 11 sim boxes and devices that can route calls and bypass phone networks. 13,000 SIM cards domestic and international were seized. There were people from other countries involved like Singapore, Peru, UAE and others from within Africa.  (Wycliffe Muia, “Zambia uncovers 'sophisticated' Chinese cybercrime syndicate,” BBC, 09 April 2024)

CHINA & THE AMERICAS
US Commerce Department bans four Chinese companies for seeking AI chips for Chinese military
On 10 April, US Commerce Department’s Kevin Kurland informed that the US would likely add four Chinese companies to the export blacklist trying to seek AI chips. The companies are part of the already 11 new additions to the list of Commerce Department Entity List, the supplier's license to ship and export to these companies will be demined. The Chinese entities were acquired in light of attempting to seek US items to support Chinese military modernization. The companies are Beijing Anwise Technology Co, Sitonholy (Tianjin) Co, Linkzol (Beijing) Technology Co, Xi’an, and Like Innovative Information Technology Co. The Commerce Department also halted the export to five companies that helped Russia produce drones one was also a Chinese company called Jiangxi Xintuo. Another Chinese company was added Shenzhen Jiasibo Technology Co for collecting aerospace items for an aircraft company in Iran. (“US blacklists 4 Chinese firms for helping military get AI chips,” South China Morning Post, 10 April 2024)

“Despite attempts by foreign states to interfere, those elections held in their integrity,” says Canadian PM on Chinese interference in elections
On 11 April, The Guardian reported on Canadian Prime Minister Justin Trudeau's statement on Chinese interference in the Canadian elections. Trudeau admitted that China did meddle in the past two elections but the election results were not affected by them. He also said that it was “improbable” that China chose one party over the other. The main opposition leader of the conservation party Erin O’Toole said that the Chinese interference cost them nine seats but it did not change the course of elections. Trudeau said: “While individual [Chinese] officials may well have expressed a preference or another, the impression we got and consistently would get is that … it just would seem very improbable that the Chinese government itself would have a preference in the election.” A spokesperson from the embassy stated that: “China has never had any interest in interfering in Canada’s internal affairs,” and that “China strongly deplores and resolutely opposes this.” (“China meddled in past two Canada elections, says Justin Trudeau,” The Guardian, 11 April 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Democratic Party’s resounding win in the South Korea National Assembly election 2024
On 10 April, South Korea voted for its new National Assembly where the liberal Democratic Party came victorious. The party won a resounding majority and this has severely affected President Yoon-Suk-Yeol and the conservative party. The National Election Commission of South Korea reported that the main opposition and the Democratic Party won 174 seats of the 300 while the People’s Power Party won 109 seats. The election turnout was 67 per cent and was the highest in the last 32 years. DP leader Lee Jae-Myung said that their top priority is to work towards economic recovery and that: “The ruling and opposition parties must join forces to overcome the crisis in consumers’ economic livelihood.” (“Opposition win in South Korea election to deepen policy stalemate for Yoon,” The Straits Times, 11 April 2024)

HIGHLIGHTS
ECONOMY
Chinese property developer Shimao faces winding up petition by China Construction Bank
On 08 April, BBC reported of Chinese real estate developer Shimao Group facing a major winding-up petition filed by the state-owned China Construction Bank (Asia) in Hong Kong over Shimao's failure to repay loans worth HKUSD1.58bn (USD201.8m). Shimao said that it opposes the lawsuit. The lawsuit had wiped out a third of the company’s value since the beginning of 2024 by more than 15 per cent. The Shimao Group defaulted on the offshore bonds in 2022. China’s real estate sector has faced a major financial crunch since 2021, with Evergrande being the face of the crisis, severely impacting China’s economy. (Mariko Oi, “China property giant Shimao faces winding-up case,” BBC, 08 April 2024)

ECONOMY
Fitch revised its outlook on China's sovereign credit rating to negative
On 09 April, rating agency Fitch revised its outlook on China's sovereign credit rating to negative due to risks to public finances as it shifts to new growth models. It forecasted that the general government deficit would rise to 7.1 per cent of GDP in 2024 from 5.8 per cent in 2023 amid Beijing’s strict covid lockdowns. The agency affirmed China’s IDR rating at “A+” despite the downgrade over the medium term. Fitch’s forecasts predict an economic slowdown from 5.2 per cent in 2023 to 4.5 per cent in 2024, similar to the forecasts by the Citi and the International Monetary Fund. Analysts predict Beijing’s 5 per cent GDP growth rate as highly ambitious as its rising factory outputs and sales in January and February 2024 will boost its growth. Fitch said that China’s uncertain economic prospects arise from its shift from a property-reliant model to a sustainable growth model. (“Fitch downgrades outlook on China to negative on economic growth risks,” Reuters, 10 April 2024)

CHINA READER DAILY WIRE 
CHINA & EUROPE
Chinese Commerce Minister visits Europe to defend China’s EV sector
On 09 April, The Straits Times reported that Chinese Commerce Wang Wentao initiated a trip to Europe to defend his country’s EV excess capacity and supply chains against US and EU assertions. On 08 April, Wang reiterated Beijing’s stance that Chinese EV makers did not depend upon subsidies for their competitive advantage and relied upon continuous technological innovation, better production, and a supply chain system. The Straits Times reports on the European Commission investigation which was initiated in 2023 to determine whether to impose tariffs on Chinese exports to protect European carmakers. The investigation is expected to end by November 2024. Renault CEO and acting chairman of the European Automobile Manufacturers’ Association (ACEA) Luca de Meo said to Wang the need for reciprocity and invited greater Chinese supply chain presence to Europe. Chinese officials argue that trade restrictions will deprive consumers of green energy alternatives to address climate change goals. (“China commerce minister launches Europe trip defending Chinese EV sector,” The Straits Times, 09 April 2024)

Workshop radiation leak triggers emergency alert near Russia-China border, reports TASS
On 08 April, according to a report by TASS in the South China Morning Post, radiation leaks in a workshop triggered an emergency alert on 06 April in a Russian city close to the border with China. The radiation was caused by the parts from a mobile repair and chemical workshop in the city of Khabarovsk in Russia’s Far East, which lies 30km from China’s northernmost Heilongjiang province. On 09 April, the local authorities were informed that the issue was under control and resolved. The Novaya Gazeta newspaper reported that the radioactivity level reached 800 microsieverts, which is 1600 times higher than the required level of 0.5, posing a risk to human lives. (Holly Chik and Victoria Bela, “Russian city near China’s border says radiation under control after workshop leak triggered emergency alert,” South China Morning Post, 09 April 2024)

Russia and China to cooperate against terrorism threats, Russian FM Lavrov
On 09 April, Russian Foreign Minister Sergei Lavrov said to his counterpart Wang Yi that Russia and China to cooperate to fight against terrorism. He also extended his gratitude to China for their condolences on the terror attacks in Moscow. Both Russia and China had declared a no-limits partnership in February 2022 before the invasion of Ukraine. He also thanked China for sending observers to Russian presidential elections in March. He mentioned that the comprehensive and strategic interaction has reached greater heights. (“Russia, China to maintain fight against terrorism, Lavrov says,” Reuters, 09 April 2024)

Brussels launches subsidy investigation into Chinese wind turbine companies
On 10 April, the Financial Times reported that Brussels launched a subsidy investigation into Chinese wind turbine companies to protect its domestic industries from cheap and unfair competition from abroad. Margrethe Vestager, the top EU official, said that the European Commission (EC) will conduct its investigation against the suspected market-distorting subsidies from foreign governments, including Beijing. The investigation will be conducted on the ongoing development of wind parks in Spain, Greece, France, Romania, and Bulgaria. The investigation comes after the EC launched a probe into two Chinese consortiums bidding to develop a solar park in Romania. A similar EC investigation led to the withdrawal of China’s CRRC from the Bulgarian railway tender. Vestager said that less than three per cent of the solar panels were installed in the EU due to Chinese imports. (Javier Espinoza and Andy Bounds, “EU launches probe into Chinese wind turbine companies,” Financial Times, 10 April 2024)

CHINA & THE AMERICAS
US remarks on AUKUS to deter China against Taiwan are dangerous, says China's Taiwan Affairs Office
On 10 April, China’s Taiwan Affairs Office referred to US Deputy Secretary of State Kurt Campbell’s comments as dangerous after he spoke on AUKUS’s role in deterring Chinese moves against Taiwan. Spokesperson Zhu Fenglian said that the trilateral security partnership between the US, UK, and Australia is provoking military confrontation in the region through military cooperation. Linking AUKUS and Taiwan, Campbell said new submarine capabilities will ensure peace and stability in the Taiwan Strait. Szhu opposed his comments and said that it is a violation of the One China principle and endangers peace and stability in the Taiwan Strait. The AUKUS was formed with the US, UK, and Australia in 2021 to deter against the growing Chinese power in the Indo-Pacific region. (“China says US comments on Taiwan and Aukus are dangerous,” The Straits Times, 10 April 2024)

US cites red line on China’s ties with Russia, says the US Deputy Secretary
On 09 April, Deputy Secretary of State Kurt Campbell cited the red line violation as sensitive to its interests in China’s closer ties with Russia. He said that the US is trying to convince China about the US core interests to ensure peace and stability in Europe. While discussing with the US, Xi mentions Taiwan as the red line for China. Campbell said that Beijing’s aid to Russia will impact US-China relations. He further cites the rationale for a stronger alliance with Japan and the Philippines amid China’s close ties with Russia. Campbell’s remark comes after no end in sight for the deadlock between the two sides on issues related to trade and technology restrictions to China. (Robert Delaney, “China-US relations: American state department official explains how Beijing risks crossing ‘red line’ with Russia,” South China Morning Post,” 10 April 2024)

US plans to ease advisory for Americans to travel to China, says the Deputy Secretary
On 09 April, the US Deputy Secretary of State Kurt Campbell said that the country intends to ease the advisories for its citizens traveling to China. He acknowledged that the warnings have stopped exchanges between the people of the two sides. Campbell mentions the normalization of communication between the two sides but warned of the risk due to China’s support to Russia in the Ukraine war. China has issued its own warnings to the US and criticized the increasing harassment of Chinese nationals by US agents at the entry point. (“US considers easing warnings for Americans travelling to China,” The Straits Times, 10 April 2024)

Academicians oppose Florida’s new law against Chinese citizens
On 10 April, the South China Morning Post reported two graduate students and one professor filing a legal petition against the Florida state’s new law against Chinese citizens. This comes after Governor Ron DeSantis signed into law a bill requiring state colleges and universities to get government approval before they hire or work with Chinese people who aren’t US citizens or green card holders. Even the Florida International University paused the hiring of Chinese and citizens of six other “countries of concern” also targeted by the law, such as Iran, Cuba, North Korea, Russia, Syria, and Venezuela. Some critics argue that the two bodies overseeing approvals, the state university system’s board of governors and the state board of education, are being appointed by DeSantis, and they see his policies as a wide crackdown on academic freedom. According to Han, in 2021, DeSantis cited national security concerns to justify the SB 846 law and wanted to use the same template for other states. Han notes that Chinese students comprise 40 per cent or 1100 of the international graduate student population at the University of Florida. (Bochen Han, “Professors, students say ‘no’ to Florida as new law targets Chinese,” South China Morning Post, 10 April 2024)

China opposes mistreatment of Chinese visitors at the US border, says Chinese embassy in the US
On 08 April, the Chinese embassy in the US said that it opposes the mistreatment of its citizens at the US border and will continue to protest for every single incident. It said that the US had “unjustifiably” sent back around 300 students despite having valid travel documents. It also warned of the US customs officer interrogating a Chinese scholar for secondary inspection, adding that such acts are driven by ideological bias. In February, Chinese Foreign Minister Wang Yi raised this issue with Anthony Blinken and other senior US officials. The Chinese embassy accused the US of violating the common understanding reached between the two leaders. In light of this issue, the Ministry of Foreign Affairs has raised the travel advisory to its citizens, citing it as “unwarranted interrogation and harassment.” (Orange Wang, “China vows to protest ‘every single incident’ of mistreatment of Chinese arrivals in the US,” South China Morning Post, 09 April 2024)

Cancellation of shipments by Chinese buyers hits global wheat markets
On 10 April, Nikkei Asia reported that cancellations of wheat shipments by Chinese buyers had impacted the global wheat market. In March, the US Department of Agriculture said 504,000 tonnes of wheat sales to China had been cancelled, half of the total US shipments to China in 2022. Reuters also reports cancelling one million tons of Australian wheat exports to China. According to Ruan Wei at Japan's Norinchukin Research Institute, Chinese buyers try to avoid long-term contacts and repurchase at lower prices. Hama mentions that flooding in China’s Henan province in the summer of 2023 led to buyers securing long-term wheat contracts from Australia, Canada, and the US. Hama also notes China’s new food security law, which will prioritize more on domestic procurement to bolster food security. (Misa Hama, “China shakes wheat market with cancelled shipments from US, Australia,” Nikkei Asia, 10 April 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Taiwan appoints former DPP chairman Cho Jung-tai as the new premier
On 10 April, Taiwan President-elect Lai Ching-te announced that the former Democratic Progressive Party (DPP) chairman Cho Jung-tai was the new premier. He will resume his duties after the inauguration of President Lai on 20 May. In the Taiwanese government model, the president appoints the premier, who, in turn, appoints the cabinet members under presidential approval. Under the premier’s leadership, the cabinet will enact the policy and propose legislation. This comes as Lai won the presidential elections in January but lost the majority in the parliament. (“Taiwan’s new premier is ruling party’s former chairman,” The Straits Times, 10 April 2024)

Taiwan’s annual war games 2024 to practice simulation against a potential Chinese offensive, says Taiwan’s Ministry of Defense
On 09 April, Taiwan’s Ministry of Defense said that its annual war games 2024 would practice kill zones at scenes and simulate a scenario of a sudden change in Chinese drills into a real offensive. The ministry also mentioned that the annual Han Kuang exercises will take place for five to eight days and will be followed up with further exercises in July. The head of the ministry’s joint combat planning department, Tung Chih-Hsing, said that the drills would be practiced to quickly respond to a sudden Chinese offensive and coordinate a response to a Chinese blockade. He added that the drills will involve naval, air, and coast guard forces, shore-mounted anti-ship weapons, and drones to establish a maritime “attack-and-kill chain.” He also mentioned the role of the Navy, Coast Guard, and Air Force in carrying out escort operations. Tung mentioned that the exercise would feature the lessons learned from the ongoing war in Ukraine and Gaza. Taiwanese President Tsai Ing-wen has emphasized the focus on asymmetric warfare against Chinese forces. (“Taiwan war games to simulate repelling Chinese drill that turns into attack,” The Straits Times, 09 April 2024)

HIGHLIGHTS
ECONOMY
Small to mid-level banks hit harder by the property crisis, says an opinion in Nikkie Asia
On 09 April, Nikkie Asia published an Opinion on the Chinese property crisis affecting smaller banks harder and more than the big banks. The toll of the re-estate crisis is hitting the low-growth generating provinces more as the banks are saddling debts by lending to smaller developers. Deloitte’s partner Glen Ho stated that the small to medium regional banks would be more affected by the debt problems as they lend to not-so-well-funded firms and enterprises. Jilin Jiutai Rural Commercial Bank had their profits drop by 90 per cent and the property debt grew by 37.3 per cent. 31 banks reported a 9.83 per cent hike in debt estimated to be 291.2 billion yuan. Additionally, the foreign investors in these banks are fleeing, one example being China Bohai Bank which saw a net fall in profit of 16.8 per cent. This made the UK-based firm Standard Chartered leave by paying USD 850 million in impairment charges. (ECHO WONG “China's property crisis hits small regional banks harder than big players,” Nikkie Asia, 09 April 2024)

CHINA & SOUTHEAST ASIA
“Comrades plus-brothers,” Xi Jinping meets Vietnamese top brass
On 08 April, Chinese President Xi Jinping hosted Vietnam’s Chairman of the National Assembly Vuong Dinh Hue. Hue’s trip was on invitation by the Chairman of National Pole’s Congress Standing Committee Zhao Leji. Xi outlines the distinct feature of China-Vietnam relations to be like-minded and that they are a pair bound by destiny and see them as “comrades plus brothers.” Xi asserted the need to promote China-Vietnam community building for a shared future and to benefit the two communities. Xi also said in the face of complex challenges: “It is in the common interest of China and Vietnam to safeguard the socialist system and maintain national stability and development.” He also suggested that they should extend people-to-people exchange through the BRI. (“Xi calls China-Vietnam ties 'comrades-plus-brothers' when meeting visiting Vietnam top legislator,” Global Times, 08 April 2024)

CHINA & EAST ASIA
China's warning on including Japan into AUKUS: "Disregards the risk of nuclear proliferation"
On 08 April, the Chinese Ministry of Foreign Affairs spokesperson Mao Ning expressed concerns regarding the possible inclusion of Japan into the AUKUS pact with the UK, US, and Australia. Ning said they were “gravely concerned,” and that this move ignores the risks to nuclear proliferation. She also stated that this would increase and intensify the arms race in the Indo-Pacific and this would in turn disrupt regional peace and stability. The statements come in as the AUKUS trio is set to discuss and consult the US suggestion to add Japan to the AUKUS security pact. China vehemently opposed the formation of exclusive small circles of blocs and iterated that Japan should learn from the historical lessons and exercise caution. (Meredith Chen, “China ‘gravely concerned’ about reports Japan could join Aukus security pact,” South China Morning Post, 09 April 2024)

CHINA READER DAILY WIRE 
INTERNAL
China probes into CETC defence company’s executive
On 09 April, the Financial Times reported on China’s Central Commission for Discipline Inspection and the National Supervisory Commission statement informing that China Electronics Technology Group Corporation’s (CETC) Deputy General He Wenzhoug is under investigation. The anti-corruption authorities in China are looking into the case, the company is also currently facing sanctions from the US. Before this, there has been a series of removal of top leaders and executives. The statement said: “He Wenzhong . . . is suspected of serious violations of discipline and law and is currently undergoing disciplinary review and supervisory investigation.” CETC was formed after merging 46 electronic research groups and 26 SOE’s. Currently, CETC has 200,000 employees and is touted as one of the world’s largest defence groups. CETC claims to be China’s only domestic source of military equipment and that it severs all branches of the military. The probe is said to have similar results to the disappearance of the defence minister after the Equipment Development Department was under the radar of a probe for corruption. Some people believe that the removal of that leadership was linked to leaked state secrets. ( Joe Leahy, “China investigates senior executive at top defence group,” Financial Times, 09 April 2024)

ECONOMY
PBOC to facilitate refinancing of USD 69 billion loans for tech-based firms
On 09 April, the South China Morning Post reported that the People’s Bank of China (PBOC) would restart the tool to stimulate lending for tech and innovation development. The bank will issue USD 69 billion in loans to commercial banks that would lend to qualifying firms for technological development. The two arenas they would be investing in would be technological innovation and large-scale equipment upgrades. This initiative shows the market player to what extent the government is ready to invest and where. The PBOC will offer re-lending rights to 21 banks at 1.75 per cent for one year. The bank also said that this refinancing will cover 60 per cent of the qualifying loans for small to medium-base tech firms. It said: “[The loans] will guide financial institutions to provide credit support to tech-focused enterprises in their start-up and growth phases, as well as projects focusing on digitalisation, intelligence enhancement, high-end upgrades, eco-friendly technological transformation and equipment renewal in key sectors.” (Sylvia Ma, “China pledges US$69 billion in credit backing for tech after resurrecting dormant financial tools,” South China Morning Post, 09 April 2024 )

CHINA & TAIWAN
“No losers in peace”: Urges KMT leader and former Taiwanese President
On 08 April, Kuomintang leader and former Taiwanese President Ma Ying-jeou visiting China with 11 youth delegates inferred that there are “no losers in peace.” He called on the younger generation to “resolve disputes peacefully.” He said: “People in both the mainland and Taiwan had been bullied by Japanese warlords, and suffered heavy casualties. Although we were lagging in terms of equipment and training in a disadvantaged situation, we were united in our determination.” He urged that there are no losers in peace and that the younger generation must remember that they should learn from history and not repeat it. The visit stands as Taiwan is set to inaugurate the new leader of Taiwan Willian Lai Ching-te who is part of the Democratic Progressive Party. (Vanessa Cai, “‘No losers in peace’: Taiwan’s Ma Ying-jeou sends anti-war message in Beijing,” South China Morning Post, 08 April 2024)

CHINA & EAST ASIA
Japan “deviating from the principle of a pacifist constitution,” says PLA Daily
On 09 April, the South China Moring Post reported on an article published in the Chinese military newspaper People’s Liberation Army Daily questioning the Japanese military’s pivot towards a more offensive tactic. The articles stated that Japan was moving away from its pacifist laws and ideology as they established a new anti-ship missile in Okinawa. The Japanese Self Defence forces installed the 7th Surface to Ship Missile Regiment which would be the first on the Island of the Ryukyu chain. The PLA Daily stated that they would supervise the military unit and would aim to strengthen the defence and attack capabilities of the Islands. It informed that Japan now can block and even attack arriving ships entering the region. It also said: “[Tokyo’s] accelerated arms expansion is increasingly deviating from the principle of a ‘pacifist constitution’, bringing more uncertainty to regional and global security, and deserves higher awareness from neighbouring countries and the international community.” The report also stated that Japan is changing its defensive role and is pushing for “joint-deterrence.” (Hayley Wong, “Japan showing ‘obvious offensive characteristics’ with new Okinawa missile unit, says Chinese military newspaper,” South China Morning Post, 08 April 2024)

CHINA & THE AMERICAS
“China constantly uses coercion and pressures other countries, including Japan and the Philippines,” says US envoy to Japan
On 08 April, the US ambassador to Japan, Rahm Emanuel, said: “China constantly uses coercion and pressures other countries, including Japan and the Philippines.” He made his remarks at the Center for Strategic and International Studies event in Washington before the arrival of Japanese Prime Minister Fumio Kishida and Philippines President Ferdinand Marcos Jr for a summit with President Biden. (“China constantly coerces Japan and Philippines, US envoy to Japan Emanuel says,” Reuters, 08 April 2024) 

China rejects Yellen’s remarks on overproduction concerns
On 08 April, China’s deputy finance minister, Liao Min, said that Beijing dismissed the allegations of the US Treasury Secretary on scaling back industrial production. He countered her claims and said that there are disagreements over the overcapacity issue, and China’s economy is on the right track and warned of any protectionist measures. His remarks came after Secretary Yellen warned of scaling down production as Chinese goods overwhelmed American industries. Liao mentioned that overcapacity is a market mechanism that always remains imbalanced, and so the balance between the demand and supply is relative. He further noted that the current global production capacity is far from addressing emerging demand from developing countries. Liao also said that China’s advantage in the new energy sector is based on the country’s massive market, complete industrial system, and abundant human resources working together with the companies and entrepreneurs. Liao warns Yellen that protectionism measures in the new energy sector will hinder other countries from tackling climate change. (“Beijing Pushes Back on Overproduction Concerns After Yellen Visit,” The Wall Street Journal, 09 April 2024)

US won’t allow Chinese imports threatening new domestic industries, warns US Treasury Secretary
On 08 March, US Treasury Secretary Janet Yellen warned China that Washington would not accept further Chinese imports that would damage the new domestic industries during her four-day trip to Beijing. She reiterated President Biden’s agenda of not repeating the China shock, which had decimated two million American jobs in the early 2000s. She also warned of further new tariffs and trade restrictions if China continues to extend its subsidy for its electric vehicles, batteries, solar panels, and other green energy goods. On her second trip to Beijing within nine months, Yellen complained to China about its excessive manufacturing capacity exceeding domestic demand and threatening other countries. She mentioned the newly created US-China financial working group to discuss the solution to tackle the overcapacity issue. She suggested China boost consumer demand by shifting its growth model away from supply-side investment. In her meeting with Chinese Premier Li Qiang, Finance Minister Lan Foan, People’s Bank of China (PBOC) governor Pan Gongsheng, and former vice-premier Liu He, Yellen said that the US aims to improve economic ties with China through cooperation and mutual understanding. (“Yellen says US will not accept Chinese imports decimating new industries,” The Straits Times, 08 April 2024)

CHINA & EUROPE
China not to take advantage of the Ukraine war, says Chinese Foreign Ministry
On 08 April, the Ministry of Foreign Affairs of the People’s Republic of China spokesperson Mao Ning said that China does not seek to derive any profits from the ongoing war in Ukraine. She reiterated Beijing’s stance to advance peace in its own way and maintain communication with both parties (Russia and Ukraine). She also mentioned China’s control of the export of dual-use goods to Russia. White House National Security Council spokeswoman Adrienne Watson said that President Biden had discussed the need to prevent the bolstering of Russian military capacity with Chinese President Xi Jinping. Mao also notes Russian Foreign Minister Sergei Lavrov’s visit to Beijing on 08 April to discuss bilateral cooperation. (“China says it will not seek to gain from war in Ukraine,” The Straits Times, 08 April 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Australia initiates security cooperation with Taiwan
On 08 April, deputy chair of Australia’s Parliamentary Joint Committee on Intelligence and Security Andrew Wallace raised the subject of security cooperation with Taiwan during a meeting with Taiwanese President Tsai Ing-wen. While both sides have a vested interest in ensuring regional security, Andrew said: “Taiwan and Australia both recognize the importance of maintaining peace and stability in the Indo-Pacific region. Our partnership, our strategic partnership, contributes significantly to regional security.” He also emphasized the need for security cooperation amid the changing geopolitical landscape in the region. He also mentioned the ongoing collaborations on cyber security initiatives safeguarding critical infrastructure and important digital networks. Recently, a senior US State Department official mentioned the importance of AUKUS in safeguarding Taiwan from Chinese aggression. Tsai told Andrew that both countries are defenders of freedom and democracy. (“Senior Australia lawmaker broaches security cooperation on Taiwan trip,” The Straits Times, 08 April 2024)

South Korea launches its second indigenous spy satellite
On 07 April, South Korea launched its indigenous spy satellite on a SpaceX Falcon 9 rocket from the US to keep an eye on the threats from North Korea. The satellite is a synthetic aperture radar (SAR) satellite that can use radar waves to produce ultra-high-resolution images of objects on the ground. The Ministry of Defense of South Korea said that launching the first military SAR satellite has strengthened the country’s intelligence monitoring and surveillance capability. South Korean Defence Minister Shin Won-sik said North Korea plans to launch its spy satellite by mid-April. Through this launch, South Korea aims to reduce its reliance on the US and wants to increase its own reconnaissance capabilities by launching five such satellites by 2025. (“South Korea launches second home-grown spy satellite from the US,” The Straits Times, 08 April 2024)

Washington announces USD 6.6 billion grant to Taiwan’s TSMC plant
On 08 April, the US announced a USD 6.6 billion grant to Taiwan Semiconductor Manufacturing Company (TSMC) to build a third plant to manufacture advanced semiconductors. In addition, the US Department of Commerce will grant a loan to TSMC to build three semiconductor fabrication plants in Arizona worth USD 65 billion. The department added that the chip factory will be ready by the end of 2030 and will produce two-nanometer chips. Ji notes President Biden’s intent to push semiconductor manufacturing in the US through the Chips and Science Act, which came into effect in 2022. The US currently produces less than 10 per cent of chips globally. The Commerce Department said that by 2030, the US will produce 20 per cent of the world’s global supply of chips, thereby providing America with a competitive edge in science and technology innovation. Ji also mentions the delay in the operation of TSMC’s previous two plants due to a shortage of specialist workers and the US government initiatives. (Ji Siqi, “US-China tech war: TSMC strikes US$11.6 billion deal to make ‘most advanced semiconductor chips’ in Arizona,” South China Morning Post, 08 April 2024)

Japan faces delay over the upcoming Expo 2025 in Osaka, says a commentary in Nikkei Asia
On 09 April, according to a commentary in Nikkei Asia, Japan aims to launch the Expo 2025 in Osaka on 13 April 2025, which faces major construction delays that are caused due to labour shortages, overtime restrictions, and political and business infighting. The delays led to cost overruns of more than USD 1.5 billion. According to Akira, the Expo 2025 is organized by the Japan Association for the 2025 World Exposition, which is themed “Designing Future Society for Our Lives.” Akira also mentioned a similar expo launched in 1970 and marked its status as a post-war economic superpower. The event will be held on an artificial island called Yumeshima, meaning “Dream Island,” with an estimated 28 million visitors attending the expo. Akira also noted Japanese officials' concerns over the construction delays as the country faces a chronic shortage of labour and is prioritizing elsewhere the construction of large-scale projects like TSMC’s new plant in Kumamoto, Japan. According to Tomonari Yashiro, president of Tokyo City University, construction companies are disinterested in bidding for the expo project due to the insufficient design completion level and limited capacity of building services suppliers. According to estimates by the Asia Pacific Institute of Research, Expo 2025 will have a positive impact worth Yen2.5 trillion on Japan. (Akira Kitado, “Japan's Expo 2025: Osaka triumph or billion-dollar folly?” Nikkei Asia, 09 April 2024)

HIGHLIGHTS
EXTERNAL
AUKUS countries to discuss the expansion to deter China by including Japan
On 07 April, the Financial Times reported about a discussion to expand the AUKUS by the member countries - the US, UK, and Australia. According to the report, the US aims to push for Japan in the pact to deter China. The defence ministers of Aukus are set to discuss the “Pillar II” of the pact, which would involve collaborating on technologies and sharing hypersonic weapons and undersea capabilities. They do not plan to expand the “Pillar I” that suggests allowing Australia to get nuclear procurement submarines. The discussion comes right before the Biden cabinet is set to host Japanese Prime Minister Fumio Kishida, and parallelly, a trilateral meeting will be held on 11 April between Japan-US-Philippines. The ministry announced that they would begin their consultations to discuss the formal inclusion of Japan and the US pushes for it. Japan has recently announced its expansion in the defence budget and there are speculations that Japan would be party to possible “Pillar II” plans. The UK and Australia have pushed against the Japanese inclusion in the pact stating that it lacks security capabilities to protect highly sensitive information. Australia stresses that they need to approve and expand the submarine program before they expand the pact. Kishida when asked on the same said: “To achieve a free and open Indo-Pacific, we would like to continue various efforts to strengthen our cooperation with the US, Australia, and the UK, who are important partners in security and defence.” (Demetri Sevastopulo and Kana Inagaki “Aukus weighs expanding security pact to deter China in Indo-Pacific,” Financial Times, 07 April 024)

CHINA & THE AMERICAS
US-China have a “duty” to address their complex relationship, says US Treasury Secretary
On 07 April, US Treasury Secretary Jante Yellen while visiting China raised several concerns regarding the Chinese production overcapacity and told the Chinese Premier Li Qiang that they could stabilize their relationship as they have “tough” discussions. Qiang said that both countries would respect each other and that they should be partners and not adversaries. Yellen asserted that they must manage their complex relationship and that: “This has not meant ignoring our differences or avoiding tough conversations. It has meant understanding that we can only make progress if we directly and openly communicate with one another.” Qiang also said that the US should not turn the issue of economy and trade into a political and security issue and view the problem of overcapacity from the lens of market and global perspective, quoting Xinhua. Yellen and her Chinese counterpart Vice Premier He Lifeng agreed to launch a dialogue on “balanced growth” and Yellen stated that she intends to use that platform to push for a level playing field with China. (David Lawder, “US, China need 'tough' conversations, Yellen tells Chinese premier,” Reuters, 07 April 2024)

CHINA & THE AMERICAS
Mexico is the new hot destination for Chinese entrepreneurs, says an opinion in SCMP
On 06 April, an opinion in the South China Morning Post looked into the Chinese rush into Mexico as their new hot destination for small merchants. The op-ed stated that there has been a shift in perception of the Mexico. Chinese, viewed it as an unruly state with several gang wars. Within the last four-year Fujianese businessmen have built a “Chinatown” in Mexico. The op-ed then looks into the owner of four wholesale markets and the designer of the idea Lin Yun who said that the neighbourhood had no trace of Chinese people but now it is littered with them. For many Chinese merchants, Mexico has become the new hot destination and this has led to an influx of Chinese expatriates. This influx has also sparked protests by the Mexican communities with signs saying “Go Back Chinese” and that this is unfair competition. According to Mexico’s Secretariat of Tourism, the government has granted over 5,018 visas to Chinese immigrants in 2023. There has also been an increased exposure to Chinese brands where in 2023, Mexico became China’s second largest car importer and major Chinese companies like Oppo, Honor and BYD have found their place in the Mexican market. (Ji Siqi and Igor Patrick, “Chinese expatriate entrepreneurs find a new gold rush destination in Mexico,” South China Morning Post, 06 April 2024)

CHINA READER DAILY WIRE 
ENERGY & ENVIRONMENT
Australian mineral industrialist asks China to increase green standards for its Nickel production in Indonesia
On 08 April, the Australian mining industrialist Andrew Forrest called out China to increase their environmental standards for its global supply of nickel. He highlighted the companies exporting nickel processed from Indonesia, should know that the Chinese activity in Indonesia is a “complete environmental irresponsibility.” In an interview with the Financial Times, he said that Electric Vehicle manufacturers should be cautious of Nickel produced in Indonesia, highlighting that they are procured at a high cost to the environment. His statements come as the prices of nickel fell which was partly due to Indonesian supply. Indonesia is slowly becoming a vital player in the supply of nickel as the Chinese investment aid is tapping into the vast nickel source. While China has domestically improved environmental policies, in Indonesia the industries are infamous for waste pollution, high carbon emissions and heavy reliance on coal. The abuse by Indonesian supply has led to the imposition of the London Metal Exchange, where nickel contracts need to provide a green premium for sustainable production. Under the LME it will support the trade of low-carbon Nickel and it will ask the countries and companies to report monthly Nickel trade volumes and keep a threshold. The Australian Nickel industries were particularly hit by the Indonesian supply where many firms pulled back their investments or halted their operations, this included Forrest’s firm as well. (Joe Leahy, Nic Fildes and A. Anantha Lakshmi, “Mining billionaire Forrest urges China to demand greener nickel,” Financial Times, 08 April 024)

CHINA & TAIWAN
KMT leader and former Taiwanese President disqualifies Japan's claims to Senkaku Island citing Chinese imperial records
On 07 April, former Taiwanese President and a party member of Kuomintang (KMT) Ma Ying-jeou visited Beijing with a youth delegation on an 11-day trio of “journey of peace.” While visiting a museum he weighed in that the debate over the Senkaku Island/ Diaoyu Island claimed by the Japanese are at odds with the historical records. In the museum, he was shown the “historical” proof showing that the Island did not belong to Ryukyu and that the Island was part of Chinese territory for 500 years until it was annexed by Japan in 1879. The Island has contested claims by both China and Japan. Japan believes the Island belongs to its Okinawa prefecture which includes the area known as Ryukyu. This claim has been disputed by China. Ma said the records on the same should be publicised. Currently, the Island is under Japanese control but China has increased its patrols in the nearby waters. (Sylvie Zhuang, “Taiwan’s former leader Ma Ying-jeou rejects Japan’s claims to Diaoyu Islands during mainland China trip,” South China Morning Post, 07 April 2024)

CHINA & EAST ASIA
China is not a beneficiary but a source of economic revival for South Korea, says South Korean Finance Minister
On 08 April, South Korean Finance Minister Choi Sang-mok stressed the need for South Korea to adapt in competing with China. He warned of the export battles for market share awaiting them in sectors of chips, shipbuilding, and display panels. Choi said that China has gone from beneficiary to South Korea to an economic rival, due to which the country needs to expand its export economy.  Choi said: “Our economic relationship with China has changed — rather than being a beneficiary of China’s export boom, a rivalry has emerged over the past 10 years.” He believes that South Korea will face challenges if it sticks with the old growth model. The South Koreans worry that they will lose their technological edge over the coming decades as China is gaining momentum. (Christian Davies and Song Jung-a, “China now a rival rather than a boon for South Korean exporters, warns minister,” Financial Times, 08 April 2024)

CHINA & AFRICA
Algerian railway network to provide China with alternative Iron Ore supply, says an analysis in SCMP
On 08 April, an analysis in the South China Morning Post looked into the Chinese investment in the Algerian national railway network. The China Railway Construction Corporation (CRCC) has been building a rail line of 575km connecting the Algerian iron ore mines to the national rail network. Algerian Iron ore is one of the biggest reserves in the world. China is currently dependent on Australia and Brazil for their primary supply and China hopes by building the railway network they can get supply from the Gara Djebilet mine. This would help China to diversify its source and for Algeria, it would help them reduce dependency on the oil and gas industry while also boosting the economy. Algerian SOE Cosider Travaux Publics will work with CRCC to develop the railway network. This project is part of China’s “railway diplomacy” and it is also part of one of the deals signed between Algerian President Abdelmadjid Tebboune and Chinese President Xi Jinping in 2023. Algerian MP Mohamed Machkak said: “It will raise standards of living and create economic opportunities for individuals and communities.” The project can produce 2-3 million tonnes annually from the initial production said Lina Benabdallah an associate professor at Wake Forest University. (Jevans Nyabiage, “How North African railway is on track to helping China de-risk its iron ore supply,” South China Morning Post, 08 April 2024)

CHINA & THE AMERICAS
US warns against increased China’s support for Russia
On 06 April, Bloomberg reported on the increased Chinese support to Russia. The US has been warning its allies of the same and China provided geospatial intelligence to aid Russia in its war against Ukraine. The countries are participating in military integration and China has provided Russia with satellite imagery for military use, it also gave them microelectronics, machine tools and tanks. The support by China also includes optics and propellants that are used in missiles while increasing outer space cooperation. While China placed itself at a neutral stance on the war, it also signed a “no limits partnership” and its trade reached USD 240 billion in 2023. For Russia, China and Hong Kong are key gateways for access to technologies that are restricted. US Secretary of State Antony Blinken informed the European allies about the scope of Chinese support and that they need to do more to curtail it. (Alberto Nardelli and Jennifer Jacobs, “China Providing Geospatial Intelligence to Russia, US Warns,” Bloomberg, 06 April 2024)

CHINA & EUROPE
“Asian ‘pivot’ was flawed from the beginning,” on Britain ditching EU, says an Opinion in The Guardian
On 07 April, The Guardian published an Opinion on Britain switching trade from Europe towards China and India as a “poor bet.” The author Will Hutton started with Brexit and how Britain pivoted itself from Europe and made its way to booming Asia. Will called the Asian pivot fanciful for neither is easy picking for Britain nor something that they could use for their economic progression. The op-ed stated that Brexit’s ambitions have turned to ashes. He then outlines the fallacies in both economies, in China, it is an openly run authoritarian government whose economy and demography are both plagued. For India, while it is growing a little faster, its economy is also plagued by the structural problems facing foreign investors. The supporters of China, the Eurosceptics have turned the tables and are now the strongest critics of the Chinese intentions and its espionage activities. To this Will suggests that they need to trade with their eyes open and only when it is mutually beneficial. They should avoid being dependent on either economy and further their security capabilities in their backyards that is the Britain and European Union, because that is where Will believes their interests and values strongly align. (Will Hutton, “Ditching European trade for China and India was ever a poor bet. Now it’s a farce,” The Guardian, 07 April 2024)

Russian Foreign Minister Sergei Lavrov to visit China
On 07 April, Reuters reported that Russian Foreign Minister Sergei Lavrov is set to visit China to discuss the Russia-Ukraine war and to further deepen their partnership. Lavrov is set to meet his Chinese counterpart Wang Yi who initially extended the invitation, the discussion is assumed to include topics like the crisis in the Russia-Ukraine war and the issues in the Asia-Pacific. It is also reported that Russian President Vladimir Putin will travel to China in May to meet Chinese President Xi Jinping. This would be his first foreign trip since his re-election as the President. (“Russia's Lavrov to visit China to discuss Ukraine war,” Reuters, 07 April 2024)

 

HIGHLIGHTS
CHINA & EUROPE
Giorgio Armani bags made by Chinese subcontractors accused of using exploited workers from China, reports Italian Police
On 06 April, the South China Morning Post reported on an ongoing investigation in Italy where Giorgio Armani bags were made by exploited Chinese workers in Italy. The fashion house denied all allegations against the GA Operations that is responsible for producing the handbags and the apparel. The company Armani said: “The company has always had control and prevention measures in place to minimise abuses in the supply chain,” and that “GA Operations will collaborate with the utmost transparency with the competent bodies to clarify its position on the matter.” The Italian police found that the scam was part of the illegal supply chain, most workers were brought in from China’s rural area. While GA Operations are not directly under investigation they are been looked into. The report released by the police found that the Chinese subcontractor was paid USD 100 and the same bag was sold for USD 1,950. The police said: “The system allows for maximising profits [in which] the Chinese factory produces the products, lowering labour costs by resorting to off-the-books and illegal workers.” (“Giorgio Armani bags made by exploited Chinese workers near Milan, Italian police say,” South China Morning Post, 06 April 2024)

CHINA & SOUTHEAST ASIA
China-Cambodia canal project can lead to increased Chinese military presence, says Vietnam
On 06 April, an opinion in The Straits Times looked into the concerns regarding Cambodia’s plan to build the Funan Techo Canal project with the help of China. The navigation canal is estimated to be USD 1.7 billion. Vietnam has expressed concerns that this would welcome a larger Chinese military presence in the region. The 180km canal would end close to the Vietnam border in the province of Kep. The project would be built under the China Road and Bridge Corporation. The arrangement will be based on a build-operate and transfer basis. Where the Chinese company after the completion of the canal would use it for 50 years and then return it to the Cambodian government. The Cambodian government believes that this would help increase imports and exports in the region and help them transit through Vietnam ports. Oriental Research Development Institute under the Vietnam Union of Science and Technology Associations researchers criticized the project stating that it is not just an economic project but has a major military value as they fear Chinese military presence in the region and that it would give them access to Vietnam and the Gulf of Thailand. (Tan Hui Yee, “Vietnamese concerned that canal project in Cambodia could be a potential gateway for Chinese forces,” The Straits Times, 06 April 2024)

CHINA READER DAILY WIRE 
INTERNAL
The declining birth rate led to the closure of several Obstetric Unit, says an Opinion in SCMP
On 06 April, an opinion South China Morning Post reported on the repercussions of a declining birth rate. This has led to several maternity wards being closed and an “obstetrics winter” is observed a term coined by Professor Duan Tao. Since last June at least 11 public hospitals suspended their delivery services, these included small local clinics and bigger hospitals. In light of hospitals closing their services, the government issued a notice that public hospitals need to check with the pregnant women registered with them before closing the ward. The public’s right to medical service must be ensured. The closure of medical wards has also further led to the closure of kindergarten schools. In 2023, only 9 million babies were born, the lowest since 1949. The lack of childbirth is attributed to the general fall in the marriage rate. Where increasing number of young populations are refusing to get married, owing to economic and societal pressure. (Phoebe Zhang, “China’s maternity services put on notice as the country faces an ‘obstetrics winter’,” South China Morning Post, 06 April 2024)

China’s overcapacity is stimulated by the state, says an analyst
On 05 April, VOA reported on issues with the Chinese overcapacity of goods and how it has hurt the market. It quoted a senior fellow at the Peterson Institute for International Economics, Gary Clyde Hufbauer, who said that when the capital utilization of steel and oil refining industries is less than 75 per cent, it is observed that production is in overcapacity. Hufbauer stated that Chinese industries are backed by the government and stimulated and heavily financed by Chinese banks. This has resulted in the industries creating at over capacity. Hufbauer said: “If China does pursue a massive export 'solution,' that will hurt manufacturing firms in Japan, the E.U., Korea and other industrial countries. But low prices will be welcome in many developing countries in Latin America, Africa and Asia.” Rhodium Group found that the Chinese market utilisation rate of silicon wafers fell to 57 per cent in 2022. While some over-capacity is normal, this problem begins when the government pushes for it. Hufbauer said: “Systemic bias toward supporting producers rather than households or consumers allows Chinese firms to ramp up production despite low margins, without the fear of bankruptcy that constrains firms in market economies.” (Li Ya, “China's overcapacity results from state interference in markets, say analysts,” VOA, 05 April 2024)

CHINA & SOUTHEAST ASIA
Live fire drill footage near the Myanmar border showcases the mobility and quick response of the PLA, says Global Times
On 04 April, Global Times reported on the People’s Liberation Army releasing the footage of a live army drill near the Myanmar border. The drills were aimed to test the rapid mobility, precise targeting and joint strike capability. The Global Times reported that: “the Air Force aviation, Army aviation, armoured infantry, artillery, air defence forces and others rapidly mobilized to the designated exercise area to conduct joint live-fire exercises in different zones and at different times.” The PLA’s Southern Theatre Command stated that: “stressing that the command has been prepared at all times to respond to various emergencies and is committed to safeguarding national sovereignty and border stability.” The live drills are in light of the recent conflict in Myanmar and the spillover effects in the bordering regions of China. (“Videos of PLA's live-fire drills along China-Myanmar border released; troop's rapid mobility, precise targeting honed,” Global Times, 04 April 2024)

CHINA & THE AMERICAS
US-China military officials discuss avoiding accidental escalation at Military Maritime Consultative Agreement Working Group
On 04 April, the US and Chinese military officials met in Honolulu for a meeting on the Military Maritime Consultative Agreement Working Group. The military officials met to discuss ways to avoid any unintentional and accidental clashes in the Indo-Pacific region. Indo-Pacific Command’s Colonel Ian Francis said: “The United States will continue to operate safely and professionally in the Indo­-Pacific wherever international law allows, and we take this responsibility seriously.” And that open communication with the PLA and the other military forces in the region is the most important to avoid any escalation or miscommunication. This comes in as Xi Jinping and Joe Biden had a telephone call to discuss and stabilize relations as they escalated increasingly. (Khushboo Razdan, “US-China military talks address potential for accidental conflicts in Indo-Pacific,” South China Morning Post, 06 April 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Naval drills to be conducted between the US, Philippines, Japan and Australia at the EEZ of Manila
On 06 April, the US, Philippines, Japan and Australia released a joint statement regarding the conduction of naval drills in the South China Sea and within the Exclusive Economic Zone of the Philippines to strengthen the interoperability of their forces. The statement said: “Our four nations reaffirm the position regarding the 2016 South China Sea Arbitral Tribunal Award as a final and legally binding decision on the parties to the dispute.” The Embassy of Japan also reported that the exercise will also include anti-submarine warfare training as well. The naval exercise comes right before the trilateral meeting between US President Joe Biden Philippines President Marcos Jr and Japanese Prime Minister Fumio Kishida. U.S. Defense Secretary Lloyd Austin said: “These activities with our allies Australia, Japan, and the Philippines underscore our shared commitment to ensuring that all countries are free to fly, sail and operate wherever international law allows.” CEO of Amador Research Services in the Philippines Julio Amador said: “The presence of ships from the U.S., Australia, and Japan indicate attempts at closer collaboration, and [are] probably made more urgent by Chinese aggression in Ayungin Shoal,” and that the Philippines is comfortable with its allied strategic partners. (Ramon Royandoyan And Yuichi Shiga, “Philippines, Japan, Australia, U.S. to hold drills in the South China Sea,” Nikkie Asia, 06 April 2024)

HIGHLIGHTS
EAST ASIA
“Children in North Korea face egregious human rights violations,” says Seoul envoy to the UN
On 03 April, South Korean Ambassador to the UN Hwang Joon-kook said children in North Korea face grave human rights abuses, including receiving the death penalty for distributing South Korean dramas. During the UNSC Briefing on Children and Armed Conflict, Hwang said children in North Korea face “egregious human rights violations” despite North Korea being a signatory country to the Convention on the Rights of the Child. He also mentioned the collective punishments given to their family members and the widespread use of child labour. He added North Korea faces a severe humanitarian crisis as it spends most of its resources on nuclear and ballistic missile programs and luxury items. He noted, “17 per cent of children in the DPRK are reported to suffer from stunted growth due to malnourishment.” (“North Korean kids face death penalty for distributing K-dramas: Seoul envoy to UN,” The Straits Times, 05 April 2024)

CHINA & THE AMERICAS
Microsoft warns of Chinese disruption in US, South Korean, and India’s elections
On 05 April, Microsoft warned about a potential Chinese attempt to disrupt elections in the US, South Korea, and India in 2024 with artificial intelligence-generated content. The report also predicted North Korea’s role in targeting elections in 2024. The report mentioned China’s similar act to use an AI-generated disinformation campaign in the Taiwan presidential election in January 2024. China has been steadily experimenting with augmenting memes, videos, and audio. Microsoft notes that a Beijing-backed group called Storm 1376, also known as Spamouflage or Dragonbridge, was heavily active during the Taiwanese elections but was quickly removed before its mass broadcast. Microsoft also claims that Chinese groups use social media accounts to influence voters through divisive questions. (Dan Milmo, “China will use AI to disrupt elections in the US, South Korea and India, Microsoft warns,” The Guardian, 05 April 2024)

CHINA READER DAILY WIRE 
INTERNAL
China bans burning of joss paper and other offerings, triggers social media outburst
On 05 April, according to an opinion in South China Morning Post, local governments in China crackdowns on the burning of joss paper and other offerings during the Ching Ming festival triggered an outcry on social media. The government described it as a “feudal superstition” as the city of Nantong in the eastern province of Jiangsu announced a ban in March on the use of spirit money, joss paper, and other supplies for the festival. The announcement was meant to ensure the reforms of funeral and burial practices and promote civilized customs and practices. The local authorities warned of fines, administrative penalties, and criminal prosecution for rule violations. In 2012, the State Council banned the manufacturing and sales of joss paper and similar items 2012 as part of its funeral management regulations. Chen notes that the local governments have been promoting civilized rituals in recent years instead of superstitious activities during traditional Chinese holidays such as the Ching Ming Festival, the Hungry Ghost Festival, and the Lunar New Year. (Meredith Chen, “Chinese cities spark outcry with ban on joss paper sales and ‘feudal superstitions’ for Ching Ming Festival,” South China Morning Post, 05 April 2024)

Deaths due to air pollution will rise in China soon, says an opinion in The Guardian
On 05 April, according to an opinion in The Guardian, a multinational study from Chinese, German, and Canadian universities warned of more deaths in China over inaction over the growing air pollution. Studies have shown that despite improvements in China’s air pollution, around half of Chinese cities failed to meet their domestic standards in 2019. Gary notes the Chinese government’s “blue skies defence war” using huge investments in renewable energy to tackle air pollution. Prof Michael Brauer from the University of British Columbia mentions the severe impact of air pollution on older people. The studies project China’s air pollution-related deaths are projected to increase by between 116,000 and 181,000 a year from 2030 to 2060. (Gary Fuller, “China braced for rise in air pollution deaths,” The Guardian, 05 April 2024)

ECONOMY
Chinese central bank plans for additional monetary easing amid uncertainty over US Federal Reserve, commentary in SCMP
On 05 April, according to a commentary in South China Morning Post, the growing uncertainty over the US Federal Reserve’s interest rate cuts is adding pressure on the yuan amid the ongoing plans by China’s central bank for greater monetary easing. So far, the yuan has declined at an average of 0.53 per cent against the US dollar since 20 March, despite the monetary targets set by the People’s Bank of China (PBOC). Louise Loo, a China economist at Oxford Economics, said that the PBOC can accommodate further weakening yuan as a weak currency can revive the country’s economy. Amidst the management of the property crisis fallout and countering deflationary pressures by the PBOC, China suffered slow money and credit growth. The Institute of International Finance (IIF) said that the PBOC prioritized the yuan’s stability over its easing. It also predicted that the weak yuan would lead to capital outflows and increased trade imbalances. (Amanda Lee, “China’s yuan: central bank sees resolve for stable currency, stimulus tested as Fed holds firm on rates,” South China Morning Post, 05 April 2024)

CHINA & TAIWAN
Taiwan condemns China’s comments on global earthquake sympathies
On 04 April, Taiwan condemned Chinese comments as “shameless” after a Chinese deputy ambassador to the United Nations thanked the world for its concern about the recent earthquake. It comes as Beijing claims the island territory as part of its own and the right to speak for it internationally. On 03 April, China’s Deputy Permanent Representative to the UN, Geng Shuang, expressed condolences to Taiwan and offered aid. Taiwan’s Ministry of Foreign Affairs said that China’s shameless use of the Taiwan earthquake is part of its international cognitive operations, also known as Chinese psychological warfare. (“Taiwan condemns 'shameless' China's thanks for global sympathy on quake,” Reuters, 04 April 2024)

CHINA & SOUTHEAST ASIA
After live drills near Myanmar border, Chinese PLA on high alert
On 04 April, the People’s Liberation Army (PLA) said that it will remain on high alert and will boost additional patrol along the China-Myanmar border after its recent live fire drills. The PLA Daily mentions the growing tensions in Northern Myanmar due to the increased resistance by the rebel groups against the military junta. Myanmar has been facing severe instability since the military coup in 2021. The article mentions the need for an immediate ceasefire in Northern Myanmar and calls for resolution through dialogue and negotiation. The article also noted Beijing’s growing concerns over trade disruptions caused by the ongoing civil war in northern Myanmar. (Hayley Wong, “China military on ‘high alert’ at Myanmar border after live-fire drill ends,” South China Morning Post, 04 April 2024)

CHINA & AFRICA
Kenya to regulate TikTok over fears of data privacy
On 04 April, according to a survey published by the Reuters Institute Digital News Report in South China Morning Post, the growing concerns over data protection and privacy, the Kenyan government plans to impose restrictions on the use of TikTok in the country. The Interior and National Administration Minister, Kithure Kindiki, said the National Security Council is considering banning public officials from using the app to protect sensitive data. He further said that Kenya is not satisfied with TikTok’s compliance with the country’s data protection and privacy laws. In the parliamentary committee, he mentioned the government’s steps to question the company for compliance with domestic laws. Citing the example of the US cryptocurrency Worldcoin and its suspension in the country for collecting biometric iris scans without authority, the government can ban TikTok if it fails to provide information. Kindiki also warned of increased use of social media, especially TikTok, by criminals. Moses Kemibaro notes that countries worldwide are trying to regulate social media platforms for users' privacy and national security while at the same time ensuring innovation and economic growth. (Jevans Nyabiage, “Kenya becomes latest country to consider curbs on TikTok over data security and privacy fears,” South China Morning Post, 04 April 2024)

CHINA & THE AMERICAS
A level playing field for American companies and workers in China, says  US Treasury Secretary
On 05 April, during her five-day visit to China, the US Treasury Secretary Janet Yellen called for a level playing field for American companies and workers. While speaking to Wang Weizhong, the governor of Guangdong province, Yellen mentioned the need for open and direct communication on areas of disagreement, including the issue of China’s industrial overcapacity and its global spillovers. Before meeting senior Chinese officials, Yellen took input from American, European, and Japanese business representatives to hear their concerns. Quoting a survey from the American Chamber of Commerce, Yellen said that a third of American firms in China say they have experienced unfair treatment compared to local competitors by imposing barriers to access domestic markets and coercive actions against the firms. Experts note Yellens’ push for fair competition in new technology sectors such as green energy and EVs with adequate access for American companies. (Fatima Hussein and Ken Moritsugu, “Yellen calls for level playing field for US workers and firms during China visit,” Associated Press, 05 April 2024)"

EAST ASIA & THE PACIFIC READER
EAST ASIA
Japan needs to take an active role in the Middle East, says Armitage-Nye report
On 04 April, according to the Armitage-Nye report in Nikkei Asia, some bipartisan group of Japan analysts said Japan needs to strengthen its presence in the Middle East to uphold free and open international order. This comes after the ongoing attacks on merchant vessels in the Red Sea. The report highlights Japan’s absence in the region despite its heavy reliance on sea lanes in the Middle East. Ken noted that the previous editions were focused on Japan playing an equal role alongside the US in the alliance. However, in this edition of 2024, the report suggests Japan playing a larger role in leading the alliance. Ken also noted that Japan might face greater leadership responsibilities at the regional and global levels in the short term. The report also suggested Japan and South Korea normalize bilateral relations and follow the 2007 Japan-Australia Joint Declaration on Security Cooperation model. The report also called for the US and Japan to explore new models of Free Trade Agreements and called for the US to return to CPTPP. (Ken Moriyashu, “Japan needs 'hulls in the water' to defend Red Sea: Armitage report,” Nikkei Asia, 05 April 2024)

Taiwan is better prepared to face earthquake, says an editorial in The Straits Times
On 05 April, according to an editorial in The Straits Times, Taiwan’s improvement in building codes, greater public awareness, and highly trained search and rescue operations led to small casualties after a 7.4 magnitude earthquake hit Taiwan. It reported that so far, only ten people died and 1000 injured. The editorial also mentioned the resumption of rail services followed by steady repair of roads and quick evacuations of civilians. It also mentions the strict building codes enforced since 1974 based on the experiences from other parts of the world. Even the 2018 earthquake in Hualien led to an immediate revision of building codes. The Director General of the National Centre for Research on Earthquake Engineering said the government had played a major role in reinforcing private apartment buildings for the past six years. The editorial also mentioned the need to protect its vital infrastructure, mainly the TSMC chip manufacturing company. The editorial mentions the critical role played by civil societies in the preparation against disasters. (“Why Taiwan was so prepared for a powerful earthquake,” The Straits Times, 05 April 2024)

HIGHLIGHTS
INTERNAL
China faces massive demographic crisis, says an opinion in BBC
On 03 April, according to an opinion on BBC, Laura Bicker stated that China faces a massive demographic crisis with the economic slowdown, shrinking government benefits, and the adverse effects of the decades-long one-child policy. Laura reports that China will comprise 300 million people aged above 50 to 60 years will be out of the workforce, which is equal to the population of the US. The country faces acute pension shortages for the social care of elderly people. Laura mentions that the rapid economic growth led to youth migrating away from their parents, leaving them alone to take care of government pensions. According to the 2019 estimates by the state-run Chinese Academy of Sciences, China will run out of its pension funds by 2035. According to Laura, the demographic problem and the economic crisis will force China to increase the retirement age, which at present is 60 for men, 55 for white-collar women, and 50 for working-class women, the lowest in the world. Laura notes that Beijing has recently been pressuring private companies to ramp up the setting up of daycare centers and wards for the elderly, which has been facing losses since its operations. (Laura Bicker, “China's ageing population: A demographic crisis is unfolding for Xi,” BBC, 03 April 2024)

ECONOMY
China organizes International Import Expo event to boost investor's confidence
On 04 April, Xinhua reported of China International Import Expo (CIIE) event being held in southwest China's Chongqing Municipality from 01 to 03 April to boost foreign investors' confidence in the country’s domestic market. The event’s theme focused on “To Boost Dual Circulation by Introducing More Foreign Investment” and aimed to attract prominent companies and representatives from multinationals and investment promotion agencies. Senior Vice President of Qualcomm Qian Kun said that the company aims to strengthen its collaboration with Chongqing in the areas of 5G and terminal side AI. Xinhua notes that Qualcomm’s growing interest reflects foreign companies' desire to explore Western China’s markets. According to government statistics, there has been an increase of 30.49 per cent in the creation of new foreign companies in Chongqing in 2023. Similarly, it has been found in Shaanxi Province in northwest China. Experts like Takeo Keizo and Tino Zeiske note China’s huge market potential, especially in western China, offering huge investment opportunities for foreign companies. This is followed by the government’s increased focus on developing new quality productive forces to attract foreign capital in other parts of the country. (“Economic Watch: Foreign investors continue expansion in western China,” Xinhua, 04 April 2024)

CHINA & THE AMERICAS
China targeted Canadian politicians, says a report in The New York Times
On 03 April, a report in The New York Times revealed the ongoing attempts by the Chinese government to target Canadian politicians who are opponents of China. It shows the media campaign of the Chinese government to spread false narratives about the candidates and encourage the Canadian public to vote against them. The intelligence reports mention China’s intervention in Canada’s general elections in 2021 and the vulnerability of the country’s democratic institutions. This comes after Canadian politicians criticized China for its human rights record. The Chinese embassy had denied its interference in Canadian elections. Onishi reports that the Chinese government opposed Conservative party members as they took a hard stance on China. On 03 April, Jenny Kwan, a veteran Parliament member from Vancouver, testified of Chinese government interference through its diaspora communities. (Norimitsu Onishi, “Canadian Politicians Were Targeted by China in 2021,” Report Says,” The New York Times, 03 April 2024)

CHINA READER DAILY WIRE 
INTERNAL
Storm wind hit Southern China, killing seven people
On 03 April, Reuters reported that stormy winds hit China’s southern Jiangxi province on 31 March, killing around seven people. The Jiangxi provincial emergency flood control headquarters reported that extreme weather had affected nine cities, including Nanchang and Jiujiang, with 93,000 people in 54 counties. The local officials reported that 552 had to be evacuated in an emergency, and 2,751 houses suffered damages, leading to total damage losses amounting to 150 million yuan (USD21 million). The local authorities had issued an orange alert for severe weather warning throughout Southern China for 04 April. (“People blown from apartments as typhoon-like winds ravage southern China,” Reuters, 03 April 2024)

CCP controls media to convey positive China story, says an opinion in Al Jazeera
On 04 April, according to an opinion in Al Jazeera, Frederik mentioned how the Chinese government uses censorship to project the positive side of China’s story. Editors are required to check in with censors every few hours, and certain terminology has been changed to align with the preferred narrative of the Chinese Communist Party (CCP), including referring to Tibet as “Xizang.” Frederik mentions how the employees of the Sixth Tone mention how the articles have been removed and phrases censored on a massive scale across the outlet’s archives. Frederik also mentions how the CCP uses the large audience base of Sixth Tone to control them by promoting the positive side of China’s story. However, some experts mention that such an approach hinders the overall reflection of socio-economic issues that the common people face in China. Shaoyu Yuan, a scholar of Chinese studies at Rutger’s University, notes that the CCP intends to focus more on aligning content with party ideology and government policy and less on editorial independence. Frederik mentions that the media environment was restricted with Xi’s ascendence to power in 2013, which is reflected in the Freedom House’s 2023 report, where China was rated as “not free,” scoring nine out of 100. (Frederik Kelter, “Media feel pressure to tell ‘positive’ China story as party tightens grip,” Al Jazeera, 04 April 2024)

China’s Central Financial Commission lays down a plan to regulate the financial industry
On 03 April, according to an article published by Study Times in South China Morning Post, China’s Central Financial Commission (CFC), designated to regulate the sector, laid out its vision for its financial sector. This plan aims to achieve national objectives like sustainable growth and advancement in the global tech race. The article mentioned China’s cyclical and aggregate problems in its economic development and resolved them by promoting financial development through supply-side structural reform. Chen notes that China’s 461 trillion yuan (USD 63.7 trillion) play a leading role in the country’s economic growth, which was mentioned by Xi’s recent remarks on making China a financial superpower. Chen mentions that the presence of foreign players in China’s banking industry is around one per cent. CEIBS’ Zhu said that China’s financial reforms focus on generalities but lack specifics to drive the financial sector’s growth. (Frank Chen, “China’s Communist Party finance organ draws institutional road map for the sector,” South China Morning Post, 04 April 2024)

CHINA & EAST ASIA
South Korean companies face intense competition in Vietnam, says an interview in Nikkei Asia
On 04 April, according to an interview in Nikkei Asia, South Korean companies such as Samsung Electronics, LG, etc., faced stiff competition from Chinese companies in Vietnam, which is becoming a critical manufacturing hub in global supply chains. Representative of the Korea Chamber of Commerce and Industry (KCCI) Kim Hyong-mo said that despite leading in investments in Vietnam since 1988 with USD 85.8 billion, Korea faces intense competition from China. In 2023, South Korea ranked fourth in FDI in Vietnam, behind Hong Kong, China, and Singapore. Kim added that due to the slowdown in the global economy, South Korean companies are reluctant to invest in Vietnam due to increased labour costs. He further said that Vietnam’s open trade and investment environment, geopolitical advantages, and domestic political stability have made it an attractive country for FDI. He mentioned the reasons behind the slowing FDI in Vietnam, including the rising minimum wage, slow policy decision-making by the government, and lack of infrastructure, especially electricity. Besides, Vietnam’s embrace of the global minimum corporate tax rate of 15 per cent hurts its prospects as a major investment destination. (Toyoaki Fujiwara, “South Korean firms in Vietnam face growing competition with China,” Nikkei Asia, 04 April 2024)

CHINA & SOUTHASIA 
India and China ongoing talks to continue, says Defense Minister Rajnath Singh
On 02 April, India’s Defense Minister Rajnath Singh said: “Indian troops are standing “firm,” and the ongoing talks between the two sides will continue” for finding a “peaceful resolution to the India-China military face-off in Eastern Ladakh.” Also, he referred to the growing use of proxy warfare by adversaries and the need for synergy between the CAPF police forces, and the Army to tackle terrorism in Jammu and Kashmir. Addressing the senior Army officers at the Army Commanders’ Conference, Singh said, “Cyber, information, communication, trade, and finance have all become an inseparable part of future conflicts. This necessitates that Armed Forces will have to consider all these facets while planning and formulating strategies.” The conference is an apex-level biannual event that deliberates upon the present security scenarios and challenges for overall security. (“India-China face-off: De-escalation way forward, talks will continue, says Rajnath Singh,” The Indian Express, 04 April 2024)

CHINA & THE AMERICAS
US questions Microsoft for security breach leading to Chinese hacking
On 02 April, The Guardian mentioned the report issued by the US Cyber Safety Review Board, saying that Microsoft corporate security and transparency has conducted multiple errors that facilitated Chinese cyber operators to break into the email accounts of senior US officials, including Commerce Secretary Gina Raimondo. The Board was created in 2021 as per the executive orders of the US President. The report concluded that Microsoft’s security culture was inadequate and needs a complete overhaul as the company’s products provide essential services that are critical to national security. The board said that the cyber intrusion which was detected in June 2023 was preventable. In response, Microsoft said that it would continue to improve its systems against any potential cyber intrusions. The board, headed by Homeland Security Secretary Alejandro Mayorkas, blamed Microsoft for the inaccurate display of public statements, and it had not updated the information until March 2024. The board recommended rapid cultural change to ensure that fundamental security-oriented reforms are implemented across the company and its products. (“US reprimands Microsoft for security failures that allowed Chinese hack,” The Guardian, 03 April 2024)

Chinese Canadian parliamentarian testifies against getting foreign Chinese students to vote
On 02 April, Chinese Canadian Parliamentarian Han Dong testified at a public hearing against allegations of collaborating with the Chinese government and using High School students from China to gain votes. Han Dong stated that he did seek support from the students but had no idea about who chartered the us for the Chinese students. The Canadian intelligence report found that there was a proxy agent in the Chinese Consulate who threatened students and used false documents to get them to vote. According to Canadian law, all students over the age of 14 can register and vote as long as they show proof that they are part of the electoral district. Dong’s testimony is part of the ongoing investigation going on in Canada on foreign interference during the 2019 and 2021 elections. While Dong denied all accusations of Chinese government interference, he also said though there is no evidence, it is “possible.” The lawmakers noted that any foreign students who come to Canada for a one-year program can vote, and any authoritarian governments can coerce these students. (Norimitsu Onishi, “Canadian Lawmaker Testifies Chinese Students Were Bused In to Elect Him,” The News York Times, 02 April 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Pro-Taiwan US envoy to head the American Institute in Taiwan
On 04 April, The Straits Times reported a pro-Taiwan envoy to be appointed as the head of the American Institute in Taiwan (AIT). AIT is responsible for handling relations between Taiwan and the US as there is no official relation established. Like other countries, the US also does not officially recognize Taiwan, due to China's claims. But it has established a steady relationship with the Island nation, by providing arms and being an international supporter. It is reckoned that Raymond Greene is set to become the director of AIT, he is seen as a staunch supporter of Taiwan. Greene previously said about Taiwan: “The United States no longer sees Taiwan as a 'problem' in our relations with China, we see it as an opportunity to advance our shared vision for a free and open Indo-Pacific and also as a beacon to peoples around the world who aspire for a more just, safe, prosperous, and democratic world.” (“‘Staunch friend’ of Taiwan to become top US diplomat in Taipei, sources say,” The Straits Times, 04 April 2024)

Japan is pro-active in supporting its national interest in the South China Sea, says an opinion in VOA
On 03 April, an opinion in VOA, titled “Japan seeks to defend national interests in the South China Sea,” by Chermaine Lee looks into how Japan seeks to bolster its National interest in the South China Sea by inching closer to the Philippines. A trilateral meeting is set to start on 11 April between Japan, Philippines and the US. The countries aim to discuss robust military roles in the Asia-Pacific region. For the Philippines, Japan is the second most important partner in safeguarding its claims in the South China Sea, after the US. As both countries have a mutual stake at play, the Philippines find this meeting beneficial. According to the professor at the Asia-Pacific Center for Security Studies Alexander Vuving, Japan is now taking a more proactive role in defending its national interest and not only depending on the US. (Chermaine Lee, “Japan seeks to defend national interests in the South China Sea,” VOA, 03 April 2024)

Japan struck with 6 magnitude earthquake
On 04 April, the Japan Meteorological Agency informed that a 6-magnitude earthquake struck north-eastern Japan’s Fukushima region. There were no reports of damage or injury after the earthquake. At the epicentre, the depth of the earthquake was 40 km. Japan is one of the world's most earthquake-prone and tectonically active countries. It has witnessed many earthquakes and therefore it has strict building regulations and standards to make it earthquake-resistant. Japan is home to around 125 million people and experiences 1,500 jolts every year, while most go undetected. (“6-magnitude quake shakes north-east Japan; no tsunami alert,” The Straits Times, 04 April 2024 )

South Korean population looks to the Reform Korea Party over the People Power Party (PPP)
On 04 April, The Straits Times reported on the growing popularity of former justice minister Cho Kuk. An increasing number of South Korean population are in support of the once disgraced politician facing jail term. Cho is part of the Reform Korea Party and has been fiercely promoting the anti-government narrative. This comes as South Korean President Yoon-Suk-Yeol’s approval rating is at an all-time low with the scandals, rising inflation and the ongoing doctor's strikes. Cho’s rally has been largely anti-Yoon where he said: “I am going to make President Yoon first a lame duck, then a dead duck.” The political analysts believe that Cho’s arty can garner 30 per cent of the vote and therefore will be able to get 15 seats in the parliament, this would prevent PPP from forming a majority government for the first time since 2016. (“‘Angry’ South Korean voters turn to disgraced ex-ministers fledgling protest party,” The Straits Times, 04 April 2024)

Semiconductor supply chain saw a minor hiccup as Taiwan was hit by an earthquake
On 03 April, The Straits Times reported on the disruption of the semiconductor supply chain after Taiwan was hit by an earthquake. The Chipmakers had to halt the operation of TSMC and UMC to check and inspect the facilities. While most of the firms were not close to the earthquake epicentre, many decided to evacuate their employee and shut down their facilities. TMSC: “To ensure the safety of personnel, some fabs were evacuated according to company procedure,” and “Mitigating the impacts of the earthquake necessitates careful measures and time to restore production and uphold quality standards, presenting additional implications and obstacles.” Barclays analysts believe that this could have a minor short-term hiccup in the manufacturing of the semiconductors as some parts of it need to operate seamlessly 24/7 for several weeks. (“Taiwan quake to hit some chip output, cause Asia supply chain disruptions, analysts say,” The Straits Times, 03 April 2024)

HIGHLIGHTS
CHINA & THE AMERICAS
Xi Jinping and Joe Biden discuss issues and avenues of cooperation on call
On 02 April, Chinese President Xi Jinping and US President Joe Biden engaged in a telephone conversation, aiming to subdue the tension between the two countries. They discussed multiple avenues of cooperation and shared vision to combat Climate Change. On Taiwan, Biden expressed his support for Taiwan while Xi called US involvement as the “Red Line.” Xi called those sanctions imposed by the US an “endless stream of measures to suppress China's economy, trade, science and technology.” He said that if the US aim to deter their right to develop, China will not sit idly. Xi again stated that US support for Taiwan is not “risk reduction” but “risk escalation.” Biden also questioned the Chinese support for Russia, their industrial base, trade policies and national security. (Kayla Epstein, “Biden and Xi discuss US-China cooperation and conflict,” BBC, 03 April 2024)

INTERNAL
Southeast Asia prefers China over the US: ISEAS Report
On 02 April, according to a survey published by the ISEAS – Yusof Ishak Institute’s “The State of Southeast Asia 2024 report,” in The Straits Times, China leads ahead of the US as the preferred superpower by a narrow margin. The survey indicated a sizable shift in the respondents in the region who had relied on the US. Out of the 1,994 respondents polled across the 10 ASEAN countries, 50.5 per cent indicated China as their preferred choice, while 49.5 per cent selected the US on the question of which country the region should choose if it was forced to align itself with. In the 2023 survey, only 38.9 per cent of respondents picked China, with 61.1 per cent opting for the US. The 2024 survey was conducted online from 03 January to 23 February and polled respondents from academia, think tanks, research groups, businesses, civil society, the media & regional or international organizations, and governments. The 2024 survey perceived China as the most influential power in Southeast Asia, followed by ASEAN and the US. The survey also revealed growing concerns about China’s regional political and strategic influence, with 73.5 per cent of the respondents expressing their uneasiness. However, there were exceptions where the respondents in the Philippines, Singapore, and Vietnam perceived US influence more positively. (Michelle Ng, “When push comes to shove, China edges out US as S-E Asia’s preferred superpower: ISEAS survey,” The Straits Times, 03 April 2024)

INTERNAL
China Yunnan province tightens restrictions for Ramadan
On 02 April, according to a commentary in VOA, restrictions were imposed in China on the sidelines of the Ramadan festival from 10 March to 09 April. The Yuxi Municipal government in southwestern Yunnan Province issued an emergency notice for the party committees, governments, and education departments at all levels to comprehensively investigate and strictly prohibit Muslim members of the Communist Party of China (CCP) and minors from participating in religious activities such as fasting. Lin mentions that the CCP desires to maintain political discipline among the party members. According to Lin, the notice emphasized separating education and religion to participate in religious activities with severe punishment threats. He also reports the local government tightening the restrictions with the onset of Ramadan. Ruslan Yusupov, a Society for the Humanities fellow at Cornell University, said that before Xi’s arrival, ethnic customs were allowed even for the CCP members, and with Xi’s tenure, there has been increased government control and suppression of religions using unofficial measures. (Ke Lin, “China tightens restrictions during Ramadan,” VOA, 02 April 2024)

CHINA READER DAILY WIRE 
INTERNAL 
AIUla joins hands with China’s Henan province to preserve cultural heritage
On 02 April, Arab News reported of the Royal Commission for AlUla signing a strategic partnership with the Cultural Heritage Administration of China’s Henan province to preserve heritage. The Saudi Press Agency mentions RCU's goals of expanding its global network through the Saudi-Chinese partnership. At present, the “AlUla, Wonder of Arabia” exhibition is being held at the Palace Museum in Beijing, a UNESCO World Heritage site, until 11 April and has attracted over 250,000 visitors and features several sections, exhibits, archaeological pieces, and heritage items from historical sites in AlUla. The partnership, as reported by the Arab News, includes establishing a technology-driven archaeological laboratory, conducting excavation activities, engaging in research, and fostering connections between heritage sites in AlUla and Henan. (“AlUla, China’s Henan province strengthen cultural ties for heritage conservation,” Arab News, 02 April 2024)

ECONOMY
China Construction Bank's chief financial officer expects more policy support
On 02 April, China Construction Bank (CCB) chief financial officer Sheng Liurong said that the country’s economy is slowly recovering and Beijing needs to ensure more policy support to boost the economy. He also said that big financial institutions could lower financing costs to boost domestic confidence. He predicts a future cut in banks’ reserve requirement ratios (RRR) and loan prime rates (LPR), which are critical for household, corporate, and mortgage loans. This was followed by the People’s Bank of China (PBOC) announcing a 25-basis-point cut to the five-year LPR, a key mortgage benchmark, to boost housing demand since 2019. It was followed by the country’s central bank in January, leading to a cut in the RRR by 50 basis points to inject 1 trillion yuan liquidity into the market. BOC chairman said that the bank would pursue more retail loans as they have high yields, less capital accumulation, and low-risk costs. He added that the CCB will continue monitoring property and local government debt to prevent and contain credit risks. (Aileen Chuang and Yuke Xie, “China Construction Bank sees more policy support from Beijing, despite pressure on state-owned lenders to boost profit,” South China Morning Post, 02 April 2024)

Profits doubled for China’s fast fashion retailer Shein amid its pending IPO approval
On 01 April, Shein, China’s online fast fashion retailer, doubled its profits to more than USD 2 billion as it waits for its IPO approval for stock market listings in New York or London. Quoting a Financial Times report, The Guardian noted the rapid growth of Shein using social media for its goods promotion with sales clocking up to USD 45 billion in 2023. Shein, headquartered in Singapore, is the world's fastest-growing and profitable fashion company, ahead of Swedish fashion group H&M and the UK’s Primark and Next. The company predicts that a potential stock listing in London will value its IPO to USD 90 billion. Sarah notes that Shein directly sells its goods to customers in the US and the UK to avoid taxation, which has led to increased calls for change in tax rules. (Sarah Butler, “Fast fashion retailer Shein doubles profits as it awaits IPO approval,” The Guardian, 01 April 2024)

CHINA & TAIWAN
Taiwan detects 30 Chinese warplanes and nine navy vessels around its territory
On 03 April, the Taiwanese Ministry of Defense said it had detected 30 Chinese warplanes and nine naval warships around Taiwan. The reports come after a 7.7 magnitude earthquake hit Taiwan. The Armed Forces of the Republic of China detected 20 aircraft entering Taiwan’s Northern middle line and SW ADIZ. On the same day, Taiwan also reported a satellite launch close to its territory from the Xichang Satellite Launch Center (XSLC). (“Over 30 Chinese Warplanes, 9 Navy Vessels Around Taiwan,” TimesNow, 03 April 2024)

CHINA & EAST ASIA
Hong Kong Stock exchange suspends trading shares of Country Garden
On 02 April, the Hong Kong exchange suspended the trading of the shares belonging to the Country Garden aid financial crisis from the ongoing housing crisis. This comes after the company postponed the release of the 2023 annual results. The company said the delay in the financial report was due to the requirement to compute appropriate accounting estimates. The suspension comes after the company suffered losses of up to USD 844 million since 2022, facing a liquidation petition in Hong Kong. Apart from Country Garden, the Hong Kong Stock Exchange suspended the trading of other companies such as Modern Land, Central China Management, and Ronshine China. (“Trading of indebted developer Country Garden suspended in Hong Kong,” VOA, 02 April 2024)

CHINA & SOUTHEAST ASIA
China has diplomatic charm over Southeast Asian countries despite tensions, says an opinion in VOA
On 02 April, an opinion in VOA, titled, “China launches Southeast Asia outreach amid tensions with Philippines,” by Willian Yang stated that China tried to extend its diplomacy to Southeast Asian countries this week. President Xi Jinping met Indonesian President-elect Prabowo Subianto on 01 April and foreign ministers from Laos, Vietnam, and East Timor on 02 April. The meeting comes amid the ongoing diplomatic tussle between China and the Philippines in the South China Sea. On 01 April, Xi, in the meeting with Prabowo, promised to deepen ties with Indonesia at all levels, including joint maritime cooperation and focus on economy, trade, and poverty alleviation. The spokesperson of the Ministry of Foreign Affairs of China announced that Beijing will work with the three countries via the guidance of the important common understandings between General Secretary and President Xi Jinping and leaders of the three SEA countries. Ja Ian Chong, an expert on Chinese foreign policy at the National University of Singapore, notes that China aims to cultivate strong ties with Timor Leste and Indonesia and is trying to pursue Prabowo to take positions in Beijing’s interest. Ngeow Chow-Bing, an associate professor in China studies at the University of Malaya, said that ASEAN countries, except for the Philippines, are abiding by not criticizing China on the territorial disputes and seeking opportunities with Beijing for collaboration. (William Yang, “China launches Southeast Asia outreach amid tensions with Philippines,” VOA, 02 April 2024)

CHINA & SOUTH ASIA
Investors paring Indian stocks and going back to China as the economy revives, says an Opinion in Bloomberg
On 01 April, Bloomberg published an opinion titled, “Investors Are Unwinding the ‘Buy India, Sell China’ Stocks Trade,” by John Cheng, Abhishek Vishnoi, and Tania Chen. The op-ed looked into the change in strategy of foreign investors, now tracing back to China from India as they believe the economy is recovering. The strategy according to the op-ed “Buy India and Sell China” is at its “inflection point.” The firms Lazard Asset Management, Candriam Belgium NV and Manulife Investment Management are cutting away from India, while a sizeable number of Wall Street banks are pitching India as a key destination for investments for the upcoming decade. Head of emerging markets in Lazard Asset, James Donald said: “As China has got cheaper and cheaper, some of our Chinese investments have become less valuable but the investment case for them has increased,” and for India “has been a source of negative attribution for our portfolios,” due to its rich valuations.” According to HSBC Holdings, more than 90 per cent of the emerging market funds are going back to China and its shares. (John Cheng, Abhishek Vishnoi, and Tania Chen, “Investors Are Unwinding the ‘Buy India, Sell China’ Stocks Trade,” Bloomberg, 01 April 2024)

CHINA & THE AMERICAS
Chinese Businessmen Guo Wengui pleas to dismiss charges were declined by the US court
On 02 April, U.S. District Judge Analisa Torres rejected the Chinese businessman Guo Wengui's petition to retract his indictment. The court dismissed Guo’s pleas who was detained after being accused of defrauding thousands of investors estimated to be USD 1 million. The judge stated that the prosecutors found that Guo was operating through four fraud schemes. Guo pleads not guilty on all 12 charges that include, security fraud, unlawful transactions, conspiring, money laundering and wire fraud. His indictment stated that Guo used his online platform and his popularity to secure financial investments. In reality, these only helped the investors in funding Guo and his conspirator’s extravagant lifestyle. (“Exiled Chinese businessman Guo Wengui must face US fraud indictment,” VOA, 02 April 2024)
 

EAST ASIA & THE PACIFIC READER
EAST ASIA
Taiwan hit with 7.4 magnitude earthquake
On 01 April, Taiwan was hit by an earthquake of 7.4 magnitude killing at least seven people and injuring more than 700, while 77 are still trapped in tunnels and the rubbles of the collapsed buildings. This is the biggest earthquake Taiwan experienced in the last 25 years. The quake hit a depth of 15.5 km while most people were going to work and schools. This has led to a series of warnings being issued in the southern part of Japan and the Philippines.  The newest President-elect Lai Ching-te informed that the priority of Taiwan is to rescue people. (“Seven dead, over 700 injured after 7.4-magnitude earthquake rocks Taiwan,” The Straits Times, 03 April 2024)

North Korea tests its mid-to-long-range solid fuel-based hypersonic missiles
On 02 April, the Korean Central News Agency (KCNA) reported that North Korea successfully tested its mid-to-long-range solid fuel-based hypersonic missiles. The launch was overseen by North Korean leader Kim Jong Un who applauded the development of strategic weapons and stated that it showcases “absolute superiority” they have in defence technology. Kim said North Korea has: “fully turned all tactical, operational, and strategic-grade missiles of different ranges into solid-fuel, with warhead control, and capable of nuclearization.” The hypersonic capabilities give a strategic boost to North Korea as they are hard to intercept and the use of solid fuel made it easy to store hence expediting the launch timing. (“North Korea says it test-fired a new solid-fuel hypersonic missile,” Nikkie Asia, 02 April 2024 )

South company Hyundai announces biggest Initial public offering
On 03 April, Nikkie Aisa reported that South Korean company HD Hyundai Group has envisioned raising USD 550 billion for an initial public offering (IPO) for the South Korean stock market. They would allocate 8.9 million shares which is 20 per cent to the investors. Hyundai CEO Kidong Lee said: “We are expected to benefit from the transition toward an environmentally friendly market,” and “We have actively prepared for coping with rising demand for ships fuelled, with cleaner alternatives.” The IPO remained subdued for the past two years but after this HD Hyundai will remain the largest shareholder with a 55 per cent stake. The HD Hyundai conglomerate is the company that offers services to container ships and other LNG carriers. They also repair and maintain systems while providing them with a navigation system that gives energy-saving data. (“Hyundai Marine Solution targets South Korea's biggest IPO in 2 years,” Nikkie Asia, 03 April 2024)

US urges South Korea to tighten its chips exports to China
On 02 April, Bloomberg reported that the US is urging South Korea to toughen up its Chip export control to China. They have asked South Korea to adopt a similar sanction as that of the US and implement it to thwart Chinese ambitions. They want South Korea to restrict the flow of equipment and technologies that are vital in making chips. The South Korean side is still discussing as they see China as a key trading partner. The US has been pressing its allies to curb Chinese access to Chip technology, especially pressuring South Korea which plays a leading role in providing technology for the production of semiconductors. China remains the largest trading partner with South Korea and this can affect big conglomerates like Samsung Electronics Co. and SK Hynix Inc. Chinese Foreign Ministry spokesman Wang Wenbin said: “We hope that the ROK will make the right judgments and independent decisions.”( Mackenzie Hawkins and Sam Kim, “ US Asks South Korea to Toughen Export Curbs on China Chips,” Bloomberg, 02 April 2024)

HIGHLIIGHTS
CHINA & SOUTHEAST ASIA
Indonesian President Prabowo Subianto met the Chinese President to discuss future cooperation
On 01 April, Indonesian President Prabowo Subianto met with Chinese President Xi Jinping at the Great Hall of People, discussing the bilateral economic and strategic ties between the two countries. Xi Jinping stated that China sees their relations with Indonesia from a long-term perspective and that they are willing to deepen strategic cooperation with the country. Xi cited the China-built Jakarta-Bandung high-speed railway, stating that it showed the cooperation between the two countries. Prabowo also asserted that he would continue former Indonesian President Joko Widodo’s foreign policy of friendship with China and that they would further push for cooperation. He also stressed that for defence cooperation and regional peace and stability, China is the key player in ensuring the same. (“China willing to deepen strategic cooperation with Indonesia, Xi tells Prabowo in Beijing,” The Straits Times, 01 April 2024)

CHINA & TAIWAN
Former Taiwanese President kickstarts his 11-day visit to China 
On 01 April, former Taiwanese President Ma Ying-jeou left for an 11-day trip to China to meet the Chinese President Xi Jinping and the top politburo of the Communist Party of China. The meeting comes in light of the growing tensions in the regions and the Taiwan Strait. Ma was a president-elect from 2008-2016 and is the first former Taiwanese leader to visit China. Upon his arrival, he met with the Chinese Taiwan Affairs Office head Song Tao. Ma was quoted by Xinhua (flagship Chinese media outlet) stating: “Strengthen exchanges and cooperation in various fields, especially among young people, to push forward the development of cross-Straits relations.” Ma also asserted that this trip comes in peace and friendship and that he wanted to convey the message to the Taiwanese people that they hope to avoid war and want to maintain peace. (“Former Taiwan president Ma leaves for China, likely to meet Xi,” The Straits Times, 02 April 2024)

CHINA & SOUTHEAST ASIA
China to conduct live fire exercises near its border with Border
On 02 April, the South China Morning Post reported that the Chinese military aiming to conduct a series of live-fire exercises near its border with Myanmar amid the ongoing fighting between the rebel groups and the Junta government. On 01 April, the autonomous prefecture of Dehong Dai and Jingpo in Yunnan said the live drills would take place in two counties bordering Myanmar on 02 and 03 April. On 02 April, the Southern Theatre Command of the People’s Liberation Army (PLA) confirmed its participation in the drills which are aimed to test the force capabilities of “rapid manoeuvre, precise destruction, three-dimensional sealing and control and joint strike.” Previously, in November 2023, the PLA conducted live-fire drills after an alliance of three armed groups began a major offensive against the junta in the Kokang region of Shan state bordering China. (Hayley Wong, “China’s military to hold live-fire exercise on Myanmar border as fighting continues,” South China Morning Post, 02 April 2024)

CHINA READER DAILY WIRE 
CHINA & SOUTH ASIA
Pakistan’s counterterrorism police detained 12 suicide bombing suspects that killed five Chinese worker
On 01 April, a Pakistani official informed that the Pakistani counterterrorism police had arrested 12 suspects after they started multiple raids. The raids come in light of the brutal suicide bombing that killed five Chinese workers in Pakistan as they were travelling for work. The suspects are said to not be directly involved with the attack but were part of the orchestration of the attack. Some also had links to Pakistani militia groups as well. The bodies of the Chinese victims were sent back to China. Chinese Ambassador Jiang Zaidong was present to receive them and expressed his deep condolence to the victims’ families and the victims. Pakistani Prime Minister Shehbaz Sharif visited the hydropower project, Dasu Dam, where the victims worked and assured them of security while affirming that the attackers would be punished. (“Pakistani police arrest 12 people over a suicide bombing that killed 5 Chinese workers,” Associated Press, 01 April 2024)

CHINA & THE PACIFIC
Australia needs to strategize its diplomatic messaging to China, says an opinion in Nikkei Asia
On 02 April, according to an opinion in Nikkei Asia, Ben Scott, senior advisor at the National Security College of Australian National University, suggested a strategized messaging to China after debates emerged on whether Canberra is acting soft on China during the recent Chinese Foreign Minister Wang Yi’s visit to the country. Ben mentions China’s blockage of Australian exports in 2020, and its perception as an attempt to besmirch China as part of its discourse power used in orchestrated public messaging. Ben also mentioned China’s private meeting with Australian officials and allowing only Chinese media reflects China’s attempts to shape the information environment. He mentions that potential Australian criticism may risk the Chinese narrative of external powers' intervention and the alienation of ASEAN countries. In the long run, he advises Australia to strengthen its military capabilities and alliances against Chinese aggression by responding transparently and quietly. (Ben Scott, “Australia's China policy more effective with disciplined messaging,” Nikkei Asia,” 02 April 2024)

CHINA & EUROPE
French Foreign Minister presses China to send a “clear” message to Russia on the Ukraine
On 01 April, during a meeting in Beijing, French Foreign Minister Stephane Sejourne said that Paris expects “China to send clear messages to Russia over its war in Ukraine.” This comes as Paris, one of Ukraine's biggest supporters, has recently refused to rule out putting troops on the ground. The Straits Times reported China’s neutral stance in the Ukraine conflict and its refusal to condemn Moscow’s offensive. Chinese Foreign Minister Wang Yi said, “We are convinced that there will be no lasting peace if it is not negotiated with the Ukrainians.” Sejourne also referred to China as playing a key role in ensuring respect for international law. His visit is the second to China by a French foreign minister in less than six months, following a trip by his predecessor, Catherine Colonna, in November 2023. Sejourne 's visit to Beijing is part of the 60th anniversary of diplomatic relations between France and China. (“France wants China to send ‘clear message’ to Russia over Ukraine war,” The Straits Times, 02 April 2024)

CHINA & THE AMERICAS
Eight Chinese nationals found dead on beach in Mexico
On 29 March, the bodies of eight Chinese nationals were found on a beach in the state of Oaxaca in Mexico. The local officials report boat capsizing as the leading cause of death of Chinese nationals. The officials report one survivor and one missing boat driver. The seven women and a man were boarding the boat and travelling from Chipas state in Mexico to the US. The prosecutors' office mentions the growing number of migrants attempting to enter the US from Mexico illegally. According to data mentioned in the BBC, since 2021, more than 6.3 million migrants have entered the US, and this has increased since 2018, primarily from Central America. This is due to the growing gang violence, poverty, political repression, and natural disasters. In 2023, around 37,000 Chinese nationals have been detained at the US-Mexico border, which is 50 times more than in 2021. (“Mexico: Eight Chinese migrants found dead on beach,” BBC, 31 March 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
South Korean President Yoon criticized the medics cartel opposing medical sector reforms 
On 01 April, South Korean President Yoon Suk-yeol criticized the cartels of medics opposing reforms in the medical sector. He said the government will not back down on the quota increase plan that led to the month-long strike. The Straits Times reports that hospitals were cancelling critical treatments and surgeries as thousands of trainee doctors stopped working from 20 February onwards. The government aims to increase medical school admissions by 2000 seats from 2024 onwards to address the shortage of health workers and the growing ageing issue. Yoon said the increased numbers will only partially address the shortage issue, especially outside Seoul. He also urged the protesting doctors to return to work before completing the license suspension process. Yoon added that the cartels of doctors had strengthened, thereby the failure of previous governments to increase medical school admissions. South Korea will conduct its elections next week with the voting process. Also, The Straits Times reports increased public sympathy with the Yoon-led government on the doctors' strike. (“South Korean President Yoon slams doctor ‘cartel’ as the strike drags on,” The Straits Times, 01 April 2024)

North Korea launches intermediate-range ballistic missile, says Joint Chiefs of Staff South Korea
On 02 April, South Korea’s Joint Chiefs of Staff (JCS) reported that North Korea launched an intermediate-range ballistic missile into the East Sea. The JCS said that South Korea detected a ballistic missile launch from the Pyongyang area at 6.53 am, suspected to be intermediate-range class, which flew about 600 km before falling into the sea. JCS suspects North Korea is testing a new intermediate-range hypersonic missile powered by a solid fuel engine. Japan reports that the missile had fallen outside of its Exclusive Economic Zone. The latest missile test has led to immediate condemnation from Japanese PM Kishida. (“North Korea fires suspected intermediate-range ballistic missile,” The Straits Times, 02 April 2024)

Japan lifts its suspension of funding on UNWRA
On 02 April, Japan announced that it would lift its suspension on the funding to the UN Palestinian Refugee Agency (UNRWA) as the body was accused of some of its staff being involved in the 07 October attacks on Israel. The Straits Times mentions Japan as the sixth biggest donor to the agency. The suspension was announced by 15 other countries, which halted USD450 million in funding following the agency’s involvement in the Gaza conflict. At present, countries such as Australia and Canada have restored the funding. In a meeting with UNRWA head Philippe Lazzarini, Japan's Foreign Minister Yoko Kamikawa said, “The agency's role in addressing the Gaza crisis was indispensable even as it works to improve governance and manage risks.” She also said that Japan would immediately continue funding the UNWRA with USD 35 million. (“Japan resumes funding to embattled Palestinian refugee agency UNRWA,” The Straits Times, 02 April 2024)

HIGHLIGHTS
INTERNAL
PDD’s use of Noncompete Agreements stifling former employees, says an opinion in The Wall Street Journal
On 31 March, The Wall Street Journal looked into the Noncompete Agreements used by the rising PDD company which also owns the world's most downloaded app Temu. The Op-ed is titled, “Chinese E-Commerce Giant Squeezes Workers With Noncompete Agreements,” by Shen Lu and Raffaele Huang. Job at PDD Holding is highly sought after as they provide a handsome package and lift the resume of its employees. While working includes gruelling long hours of work, what happens after one leaves the company is worse.  The company has been using the noncompete agreement to file against its former employees. The noncompete agreement aims at thwarting competition that can become a potential rival after leaving the company, it also aims to protect company secrets.  The company imposes hefty penalties through this agreement. One instance the op-ed notes is the one small business selling weight loss supplements was sued with USD 34.9 billion. PDD claims that they use this in a limited and responsible manner. PDD filed 110 employment-related lawsuits in the past five years, out of which 15 per cent were on noncompete agreements. Temu is also accused of outsourcing spying on its previous midlevel managers and their career trajectories. The op-ed also informed that the employees are further discouraged from sharing their names and socializing at work. The blatant use of Noncompete agreements has stifled the growth and prospects of smaller businesses. (Shen Lu and Raffaele Huang, “Chinese E-Commerce Giant Squeezes Workers With Noncompete Agreements,” The Wall Street Journal, 01 April 2024)

CHINA & EAST ASIA
Japanese lawmakers push for US-Japan steel deal to deter Chinese dominance
On 01 April, Bloomberg reported on the statements made by the Japanese lawmaker on the US-Japan deal for the steel industry to deter Chinese dominance. A senior Japanese ruling party lawmaker Akira Amari suggested that the Nippon Steel Corp. of Japan's accession of the United States Steel Corp. would benefit both countries to further economic ties and in turn, also curb Chinese dominance in the field of steel manufacturing. The USD 14.1 billion deal will be useful and a win-win for both companies and the larger motive of the country. Amari said: “This deal would be a symbol of Japan-US cooperation as allies because we would be able to confront China’s rising technological capability.” The United Steelworker Union and Trump have spoken against the deal. Amari believes that without this merger the US and Japan will lose to China as they dominate the supply chain with their cheap excessive dumping and without weeding out competition. He also iterated that Japan has no intention of making this a political issue or even interfering in the US presidential elections. Amari suggested that the best way would be to let the companies sort out the differences and misunderstandings by themselves. (Yoshiaki Nohara and Yuki Hagiwara, “Japanese Lawmaker Says US Steel Deal Would Help Counter China Risks,” Bloomberg, 01 April 2024)
 

CHINA READER DAILY WIRE 
ECONOMY
China’s factory manufacturing rose to 50.8, says a report by NBS
On 31 March, the Chinese National Bureau of Statistics (NBS) revealed that there has been an increase in manufacturing activities. This happened for the first time since September 2023. The manufacturing purchasing index rose by 50.8 from 49.1 in February. They have followed their forecast of 50.1 and beat it. This shows a sign of recovering and stabilizing the economy of China. The Purchasing Managers' Index (PMI) looks into the prevailing economic trends of manufacturing and service sectors. This rise in PMI was largely aided by the production rise of 52.2 from 49.8 last February. While there is a hike the producer's gate price keeps on falling. This rise also comes in light of the Chinese government focusing on recovering its economy as it aims for a 5 per cent GDP rise. (“China Factory Activity Expands for First Time in Six Months,” Bloomberg, 31 March 2024 )

Chinese real-estate prices see a 0.27 per cent hike, says China Index Academy
On 01 April, Reuters looked into a report by the China Index Academy, which found that the new home prices in China saw an exponential hike. The report was by a private firm which highlighted that the average prices of homes across 100 cities rose by 0.27 per cent in March. This has been the biggest hike in two and a half years, that is July 2021. In February, they saw a 0.14 per cent hike, and the prices of the real estate are rising month on month. China is facing a crippling real-estate crisis that has been the pillar of its economy. There has been a regulatory crackdown against the high-profit property giants, which has triggered a liquidity crisis among these Chinese companies. With rise in the property prices, the Chinese government are easing regulations to buy houses, to encourage by removing the restriction on people from buying houses within three years of their divorce. Shanghai saw the biggest price hike with a 1.09 per cent rise. As the prices rose the sale value of these houses also plunged to 49.0 per cent. (“China's new home prices rise at fastest pace in over 2-1/2 years, survey shows,” Reuters, 01 April 2024)

CHINA & TAIWAN
Taiwan’s differential naturalization law discriminatory against Chinese spouses, says an opinion in The Strait Times
On 30 March, an Opinion in The Straits Times, titled, “Proposal to loosen naturalization laws for Chinese spouses in Taiwan sparks debate,” by Yip Wai Yee looked into the issue of discriminatory naturalization law in Taiwan against Chinese spouses. There has been an issue of differing naturalization rules against Chinese spouses in Taiwan from spouses from other countries. Kuomintang (KMT) proposed a bill to shorten the time against Chinese spouses from six to four years, making it equal to other countries. The other opposition party Taiwan People’s Party also expressed its support for the bill stating that the Island is a “society of immigrants,” and that as long as they live in Taiwan and recognize themselves as Taiwanese then they are. DPP the current ruling government responded that we keep seeing China’s encroachment towards Taiwan and why has KMT been pushing to propose a policy that would hurt Taiwanese sentiments. Taiwan Association of University Professors Dr Chen Li-fu said: “They cannot say that they want to live in Taiwan, have their household registration here… vote in presidential elections, while at the same time continue to be Chinese citizens. This is just wrong,” and that they would continue to be a national risk even after they receive citizenship. (Yip Wai Yee, “Proposal to ease naturalisation laws for Chinese spouses in Taiwan sparks debate,” The Straits Times, 30 March 2024 )

CHINA & EAST ASIA
Hong Kong ports diminishing popularity to Chinese ports, says an opinion in The Financial Times
On 01 April, The Financial Times published an opinion titled, “Hong Kong’s port loses ground as exporters pivot to mainland China,” by Chan Ho-him, William Langley and Andy Lin looking into the loss of Hong Kong port popularity as it loses to its rival China and Southeast Asian ports. The containers that went through the Hong Kong port were at 14 per cent, this was the biggest decline in the shipping of one the world’s biggest ports. Hong Kong’s port is the world’s 10th largest port and its deepwater port at the Pearl River Delta has made it a sought-after gateway. Shippers are now preferring Chinese ports due to more attractive options and their improved capacity and capability. Some even get incentive by the government and therefore are able to provide a service offer that is much cheaper than that of Hong Kong. (Chan Ho-him, William Langley and Andy Lin, “Hong Kong’s port loses ground as exporters pivot to mainland China,” The Financial Times, 01 April 2024)

CHINA & SOUTHEAST ASIA
Philippines President ordered to strengthen maritime capabilities to ward off tensions in the South China Sea
On 31 March, Reuters reported on Philippine President Ferdinand Marcos Jr plans to expedite maritime security in the South China Sea. He ordered his government to strengthen maritime coordination and security as they face serious challenges to their peace and territorial integrity with China acting as an aggressor. The order agrees on bilateral maritime confrontation and mutual accusation over the disputed parts of the South China Sea. These actions can be seen in response to the recent Chinese coast guards using water cannons against the Philippines supply boats to the Thomas Shoal. Marcos said: “Despite efforts to promote stability and security in our maritime domain, the Philippines continues to confront a range of serious challenges that threaten territorial integrity, but also the peaceful existence of Filipinos.” His orders contained the need to reorganize and expand their maritime council by adding a security advisor, solicitor general, National Intelligence Coordinating Agency chief and a special task force for the South China Sea. The National Maritime Council will be central to formulating strategies to ensure a “unified, coordinated” framework for maritime security. (“Philippines boosts maritime security as China tension rises,” Reuters, 31 March 2024)

Chinese naval ships spotted at Cambodian Ream naval base, reports Nikkie Asia
On 01 April, Nikkie Asia reported the presence of the Chinese Navy in the Cambodian Ream naval base. Nikkie Aisa believes that at least two vessels were found in the vicinity of the facility. The Cambodian base has been upgraded with the financial assistance of China. Before this the first Chinese presence was noted in December 2023 and the latest was on 20 March 2024. The US has expressed concerns that the Chinese are building a base for its exclusive use. Nikkie Asia obtained images of one Chinese vessel called the Wenshan. The base is strategic as it is located near the Gulf of Thailand and has been frequently used by the Cambodians to access the South China Sea. The U.S. assistant secretary of state Daniel Kritenbrink, in February met with the Cambodian Prime Minister Hun Manet and expressed serious concerns against the Chinese military activities near the Ream base and its involvement in the construction of the base. The ongoing speculation stated that the Cambodian state is granting Chinese presence in the Ream in exchange for renovation of the naval base. (Yuji Nitta, “Chinese warships spotted again at Cambodia naval base,” Nikkie Asia, 01 April 2024)

CHINA & SOUTH ASIA
China renames 30 more places to assert its claims over Arunachal Pradesh
On 30 March, China’s Ministry of Civil Affairs published the latest standardized names for 30 places in Arunachal Pradesh to assert its claims amid the ongoing territorial dispute. China refers to the region as Zangnan and says it is a part of the Tibet Autonomous region. The renaming covered 11 residential areas, 12 mountains, four rivers, one lake, one mountain pass, and a piece of land in Mandarin Chinese. The Ministry also included detailed latitude and longitude and a high-resolution map. Wang notes that the new list includes more parts of the disputed area than the three previous renaming since 2017. Wang also notes China’s recent protest against PM Modi’s visit to Arunachal Pradesh and India's response back, saying that Beijing’s claims are absurd. China officials agreed to reach a solution acceptable to both sides and to promote a peaceful settlement of the border situation into a normalized phased control and management. (Orange Wang, “China asserts claim to Indian-held Arunachal Pradesh in latest list of place names,” South China Morning Post, 31 March 2024)

CHINA & EUROPE
China opposes the visit of UK lawmakers to Taiwan, says Global Times 
On 31 March, Global Times reported China’s opposition to the ongoing visit of some Labour Party members of the House of Lords and MP to Taiwan, saying that it violates the One China principle and intervention in China’s internal affairs. The visit comes after the UK accused China of cyberespionage and criticized China for implementing Article 23 legislation in Hong Kong and the South China Sea issue. Experts note the UK’s intent to create a political manoeuvre to create a bargaining chip against China. The seven-member delegation was led by Lord Sonny Leong, co-chair of the "Labor Friends of Taiwan." On 30 March, the delegation arrived in Taiwan to meet Tsai Ing-wen to discuss trade and business relations and technological innovation between the two sides. The visit also comes after the UK’s Foreign Secretary David Cameron issued a warning on China’s blockade of Taiwan and its crippling impact on the global economy with multiple threats arising from China in the form of cyber-espionage attacking the British democratic institutions. (“China strongly opposes, condemns provocative visit of UK politicians to the island of Taiwan,” Global Times, 31 March 2024)

Dutch software company Datenna is vital in screening Chinese investments, says an Opinion in SCMP 
On 31 March, according to an opinion in the South China Morning Post, Datenna, a software company based in the Netherlands, uses open-source intelligence to provide service to governments for policy decisions. The company does not work with private businesses and only works with state governments. In an interview with chief executive Jaap van Etten of Dattena with the South China Morning Post, he said the company’s software can track “an incredibly vast array of detail, including intricate details of over 45 million corporate entities and research institutes within China.” Etten also said the company’s software provides valuable insights into China’s techno-economic landscape. Finbarr mentions that any government with software access can gain valuable information to detect whether or not any Chinese company investing in Europe has any military connections. This is because the China issue has been frequently discussed in the EU, and EU companies are sharing concerns about vague data transfer rules in China, posing severe operational and compliance challenges. (Finbarr Bermingham, “The Dutch software company that could shape EU-China relations for decades,” South China Morning Post, 31 March 2024)

Conservative party’s immigration policies risk UK universities over-reliance on China, warns former universities minister
On 31 March, according to a commentary in The Guardian, former universities minister Chris Skidmore warned the Conservative party’s immigration policies risking UK universities becoming increasingly over-reliant on China to avoid a financial crisis. Richard notes that around 25 per cent of the tuition fees at top British universities come from China. Chris resigned as the Conservative MP in 2023. He said that the UK government’s policy on restrictions in issuing international student visas and the recent reversal of graduation work visas threatened the government’s own education strategy. In March 2023, Home Secretary James Cleverly said the graduate work visa was considered as evidence of abuse. Skidmore also noted that the government’s policy measures are seen as an election issue and will be counterproductive to the UK. The International Higher Education Commission, led by Skidmore himself, reports that the UK is excessively reliant on China for student recruitment. Russel Group reports that recent changes in the government’s policy on banning postgraduate taught students bringing dependents are having an impact on international student numbers, thereby threatening diversification efforts and sectors’ financial resilience. (Richard Adams, “Tory immigration policies risk over-reliance on Chinese students, ex-universities minister warns,” The Guardian, 31 March 2024)

CHINA & THE AMERICAS
China strongly objects to the US's latest revised chip export rules, says Chinese Ministry of Commerce
On 01 April, China strongly objected to the latest chip export revision by the US, saying it would disrupt the global semiconductor market and cooperation between the companies. China’s Ministry of Commerce said that the recent rules revision comes within six months of the rules being introduced on 17 October 2023. It also blamed the US for overstretching the national security concept and creating obstacles between Chinese and American companies. The Ministry also indicated China’s desire and willingness to work with other countries to promote the security and stability of the global semiconductor industrial supply chain. (“China strongly opposes revised U.S. chip export restrictions,” Xinhua, 01 April 2024)

CHINA & THE PACIFIC
Australia offers permanent residency to 680 Hongkongers 
On 01 April, Australia offered permanent residency to 680 Hongkongers for the second straight year as part of the immigration scheme introduced after Beijing imposed the national security law in 2020. Australia’s Department of Home Affairs said that the visas were granted between March and February 2024, double the 370 visas offered in 2023. The Australian government said Hongkongers applying for this scheme would be exempted from tougher new English language requirements. Under the bespoke scheme introduced in 2022, passport holders from Hong Kong and British nationals (overseas) who have graduated in Australia and worked in the country for three or four years are eligible for permanent residency. Jane Poon, a leader of the community group Australia-Hong Kong Link said that the new age limit introduced by the government for permanent residency had worried many Hong Kongers in Australia over the 30s. (William Yiu, “Australia grants permanent residency to 680 Hongkongers in second year of bespoke migration scheme, nearly double first intake,” South China Morning Post, 01 April 2024)

 

EAST ASIA & THE PACIFIC READER
 

EAST ASIA
South Korean President Yoon to continue with its quota increase plan in medical colleges 
On 01 April, South Korean President Yoon Suk Yeol refused to budge from his plans to increase the number of seats for medical students by 2,000 amidst the standoff with the doctors for more than a month. Yoon said that the additional 2000 seats are minimum and will prevent the shortages and medical challenges due to an ageing society. Steven notes increased escalation as doctors will reduce their working hours due to overwork caused by the absence of trainee doctors. President Yoon said that he intends to conduct more negotiations with the doctors if they come up with an appropriate plan. He blamed the 90 per cent of trainee doctors for abandoning their responsibility to patients by leaving their posts. According to RealMeter, the doctor's walkouts were a rare political boon for President Yoon, who has faced low popularity throughout his term. (Steven Borowiec, “South Korea's Yoon doubles down on contentious doctor quota plan,” Nikkei Asia, 01 April 2024)

Spycams discovered at 40 polling locations across South Korea
On 30 March, according to the officials from the Nonhyeon Police Station in Incheon, illegal spycams were discovered at 40 locations nationwide, including polling stations and vote-counting venues, ahead of the 10 April general election. On 29 March, the police arrested a suspect on 28 March for installing cameras inside the polling stations in Incheon and Yangsan, South Gyeongsang Province. The suspect justified that he was worried about the disparities between early and main voting outcomes. Early voting for the general elections will occur on 5 to 6 April. The Ministry of Interior and Safety initially reported that illegal cameras had been installed in 26 places. However, the later investigation by the police led to the disclosure of 14 more locations. On 29 March, the National Election Commission (NEC) said it was conducting emergency inspections of early voting stations with the Ministry of Interior and Safety and local governments for any spy cameras in the poll stations. (“South Korea’s police uncover spycams at 40 polling, ballot counting locations,” The Straits Times, 01 April 2024)

Japanese Kobayashi factory investigated after five deaths from the supplements
On 30 March, the Ministry of Health, Labour and Welfare and the officials of the city of Osaka jointly searched the Kobayashi Pharmaceutical factory after the reports of five deaths linked to the dietary supplements. The inspection team found the supplements containing Beni-Koji red yeast, which was suspected of having caused health damage. NHK reports that the product has been stopped for manufacturing until December 2023 due to ageing facilities. On 29 March, Kobayashi said that with the reports of kidney disease linked to the products, they have started conducting an investigation into a suspected link between the products and their effects on the kidneys. On 28 March, health officials reported 114 people were hospitalized and five died after the intake of supplements. On 26 March, Japanese Chief Cabinet Secretary Yoshimasa Hayashi criticized the company for a two-month delay in announcing the negative health impact of its products. (“Kobayashi factory searched over deaths possibly linked to supplements,” The Straits Times, 30 March 2024)

HIGHLIGHTS

CHINA & CENTRAL ASIA
Beijing conducts the first China-Kazakhstan FM Strategic Dialogue
On 29 March, Chinese Foreign Minister Wang Yi held the first China-Kazakhstan Foreign Ministers' Strategic Dialogue with Kazakhstan's Deputy Prime Minister and Minister of Foreign Affairs Murat Nurtleu in Beijing. Wang Yi said that the two sides would work together to advance trust, support, and assistance among the neighbouring countries. He also highlighted China’s desire to increase trade under the BRI for a sustainable and resilient trade corridor. Nurtleu said that Kazakhstan supports China’s diplomatic initiatives and will work with China to address Xinjiang-related issues. He also agreed to more significant exchanges among the people. The two sides also agreed to enhance cooperation against interference and infiltration, upgrade law-enforcement and security cooperation, continue to improve and strengthen the China-Central Asia mechanism and support each other in the rotating presidency of the Shanghai Cooperation Organization (SCO) and other multilateral frameworks. (“China, Kazakhstan hold first foreign ministers' strategic dialogue,” CGTN, 30 March 2024)

CHINA & THE AMERICAS
Xi woo American CEOs, assuring that the Chinese economy is on track, says an Opinion in Financial Times
On 30 March, the Financial Times published an Opinion, titled, “China’s Xi Jinping plays salesman-in-chief in meeting with US CEOs,” Joe Leahy and Sun Yu looking into Chinese President Xi Jinping’s meeting with US CEOs discussing the future of investments in China. The op-ed stated that the President welcomed 18 American CEOs from majors like Blackstone’s Stephen Schwarzman and Qualcomm’s Cristiano Amon amongst others. President of the National Committee on US-China Relations Steve Orlins elaborated on the meeting and informed that Xi Jinping received the guest in a friendly manner with a tinge of persuasion in his tone. Orlin stated that and why wouldn’t he, as trillions of dollars were at stake, that is vital for investment and revenue, and therefore he wanted to show that their economy is resilient. The meeting comes in light of a flailing Chinese economy and troubled geopolitical tension. Xi according to Orlin was adamant that their economy was still on track and it was not going back to the old model, quoting Xi. He also stressed that China is now focused on high-quality growth and that they have recognized they have problems. Xi also touched on a range of issues, from over-securitization to fentanyl sales. (“China’s Xi Jinping plays salesman-in-chief in meeting with US CEOs,” Financial Times, 30 March 2024) 

INTERNAL
Xi Jinping promotes PLA’s security chief to General rank
On 28 March, Chinese President Xi Jinping promoted the head of the Central Military Commission’s Political and Legal Affairs Commission, Wang Renhu, to the highest rank of general. His sudden promotion comes amid the recent purge of senior military officers and leaders within the PLA due to the CCP’s corruption campaign. In December 2023, nine officers from the PLA Rocket Force were dismissed from China’s NPC. Also, the former defence minister Li Shangfu was unexpectedly sacked and removed from CMC in February 2023. A former instructor at the Taiwanese naval academy Lu Li-shih said that Xi’s recent move would give more power to Wang and the CMC in the trials of senior generals. The PLA’s National Defence University president, Xiao Tianliang, was also promoted to general. Wang previously served as director of the political unit at the Jiuquan Satellite Launch Centre in the Gobi Desert and as deputy head of the PLA Ground Force political work department. In 2017, he became chief of the graft-buster of the PLA Navy’s East Sea Fleet. (Vanessa Cai, “Chinese military’s security chief Wang Renhua elevated to top rank of general,” South China Morning Post, 29 March 2024)

CHINA READER DAILY WIRE 

INTERNAL 
China claims positive shift in its economy, says a WSJ Opinion
On 29 March, according to an opinion in The Wall Street Journal, Chinese leaders proclaimed the positives about the Chinese economy at the Boao Forum for Asia. They highlighted the shifting global economy paradigm towards China and Asia away from the US-led West. Jason noted little mention of domestic economic crises like the real estate crisis and local debt rise. He stated that the reduced foreign demand is the reason for an economic slowdown. Jason also noted that China’s claims contradicted the negative prospects of an unresolved property crisis by economists in the short term and the declining population and contestation with the West in the long term. The Wall Street Journal quoted the IMF, which predicted a growth rate of 3.4 per cent for the slowing Chinese economy. Foreign economists forecast China’s over-reliance on investments and exports to boost its economy, leading to a glut of Chinese products within the domestic market. Jason mentioned China’s increased focus on development via new productive forces in critical sectors such as EVs and renewable energy has raised concerns among Western countries. (Jason Douglas, “China Gives Business Leaders Sunnier View of Its Economy on Island Getaway,” The Wall Street Journal, 29 March 2024)

SCIENCE & TECHNOLOGY
Huawei and Chery Automobile to mass deliver electric sedan
On 30 March, Chinese tech giant Huawei and Chery Automobile began mass-delivering its co-developed Luxeed S7 electric sedan amid a shortage of semiconductors and production issues. The managing director and chairman of Huawei's smart car solutions, Richard Yu, said that many vehicles are ready for delivery to customers. Reuters reports that Chery lodged a complaint with Huawei over the production issues with a computing unit made by the tech company, resulting in delays in delivering the vehicle. Currently, the S7 sedan has orders up to 20,000 units until November 2023 and is priced at 249,800 yuan (USD34,600). Due to US sanctions, Huawei is diversifying its consumer segment and income to other businesses, such as smart car components, to boost its growth. (“Huawei says Chery's Luxeed S7 premium EV starts mass delivery,” Reuters, 30 March 2024)

CHINA & SOUTHEAST ASIA
Indonesia’s new President to visit China
On 29 March, the Ministry of Foreign Affairs of the People’s Republic of China announced that the newly elected Indonesian President Prabowo Subianto will visit China next week. This will be his first visit to a key trading partner outside of Indonesia. Chinese Foreign Ministry spokesperson Hua Chunying said Prabowo will visit China from 31 March to 2 April. His visit announcement came after President Xi congratulated Prabowo for winning the elections and said that China's ties with Indonesia are of greater importance. China is the largest FDI source in Indonesia and constructed a high-speed line in 2023. (“Indonesian president-elect Prabowo to visit China,” The Straits Times, 30 March 2024)

CHINA & SOUTH ASIA
In Pakistan, China halts activities at the hydropower project in Pakistan
On 29 March, The Economic Times reported that a Chinese company named Power Construction Corporation of China (PCCC) halted its construction activities after a deadly suicide attack that killed five Chinese nationals at the Dasu hydropower project in the Khyber Pakhtunkhwa province. The incident was caused by a vehicle carrying explosives hitting a bus carrying six people. It was the second suicide attack on individuals working on China-backed projects in the region since 2021. PCCC has been supervising the construction of the Tarbela 5th Extension Hydropower Project and has decided to suspend the operations and laid off 2,000 workers due to security concerns. The general secretary of the Awami Labour Union at the project assured that the delay in the project's completion timeline would be minimal. The Tarbela extension project (T5) is scheduled for completion by May 2026. The Dasu Dam project was being developed by the China Gezhouba group with funding from the World Bank. Pakistan’s PM Shehbaz Sharif has ordered a joint investigation and ensured the safety of Chinese citizens working on projects across the country. (“Chinese company halts work on Pakistan Hydropower project after deadly terror attack,” The Economic Times, 29 March 2024)

EAST ASIA & THE PACIFIC READER

EAST ASIA
“UN Security Council can no longer use old templates,” Russia veto’s UN review committee for accessing sanction imposed on North Korea, Foreign Ministry of Russia
On 29 March, Russian Ministry of Foreign Affairs spokesperson Maria Zakharova said that the global powers need to have a new approach towards Pyongyang and accused the US and its allies of exacerbating military tensions in the region. Russia vetoed the renewal of the expert panel to monitor the long-standing sanctions imposed by the United Nations against North Korea, on nuclear weapons and ballistic missile development. This veto underplays all the efforts made by the UN to impose sanctions to curb North Korean nuclear capabilities. North Korea was able to earn this stance by growing increasingly closer to Russia and the West turned its back against Moscow over the Russia-Ukraine war.  Maria said: “It is obvious to us that the UN Security Council can no longer use old templates in relation to the problems of the Korean Peninsula,” and that “The United States and its allies have clearly demonstrated that their interest does not extend beyond the task of ‘strangling’ the DPRK by all available means, and a peaceful settlement is not on the agenda at all.” The US State Department in response said that the Russian veto undermines international peace and security, and accused Russia of biased burying of the report owing to its own collusion with Pyongyang. The US State Department issued: “Russia alone will own the outcome of this veto: a DPRK more emboldened to reckless behaviour and destabilizing provocations, as well as reduced prospects for an enduring peace on the Korean Peninsula.” (“After the veto, Russia says big powers need to stop ‘strangling’ North Korea,” The Straits Times, 30 March 2024)

South Korean Prime Minister discuss doctor's strike with top general hospital heads
On 29 March, South Korean Prime Minister Han Duck-soo held a meeting with heads of the top five general hospitals in South Korea. Han discussed the ways the hospitals can cope with the staff shortage in the hospital, and the doctor's strike goes on. The doctor's strike and walkout entered the second month and 13000 trainee doctors protested. The South Korean government regardless still stands strongly with its plan to incorporate 2000 doctors’ slots in medical schools, to alleviate the doctor shortage. Leader of doctors' strike lobby Dr Lim Hyun-taek said: “The ruling party is clearly to blame for this situation,” the doctors on strike believe that the enrollment would not solve the fundamental problem in the healthcare system. The general public seems to be siding with the government. (“South Korean PM meets heads of country’s top hospitals over doctors walkout,” The Straits Times, 29 March 2024)

US-funded media outlet Radio Free Asia stops all functions in light of the new Article 23 imposition
On 29 March, the US-funded Radio Free Asia (RFA) announced that it would close its Hong Kong office, over the concerns after the imposition of the controversial Article 23. The RFA President Bay Fang expressed that the recent actions by the Hong Kong authorities, which include referring to RFA as a “foreign force,” have raised questions about their operationality and safety in Hong Kong. The Hong Kong authorities when emailed about the same they refused to comment but stated that they “condemn all scaremongering and smearing remarks,” and that “To single out Hong Kong and suggest that journalists would only experience concerns when operating here but not in other countries would be grossly biased, if not outrageous.” The US State Department issued that the RFA’s decision showcases the consequences of such controversial law and the suppression of media. They said: “We remain deeply concerned about the deterioration in protection for human rights and fundamental freedoms and the systematic dismantling of Hong Kong’s autonomy under the national security law and recently passed Article 23 legislation.” The RFA has been working in Hong Kong since 1996, a year before Hong Kong was reverted to British Colony to be under Chinese rule. (“US-funded Radio Free Asia shuts down in Hong Kong over safety concerns,” The Guardian, 30 March 2024)

THE PACIFIC
Australia banked carbon credits with underperforming reforestation projects, reports The Straits Times
On 28 March, The Straits Times reported that Australia’s world-leading reforestation project has been underperforming. The Australian reforestation program planned for forest regeneration in the vast land of the Australian desert. The initiative aimed to offset emissions by growing more trees in the region. It was found that 80 per cent of the plantation plans for forest growth, were either stagnant or the woodlands were shrinking. Despite this Australia has been able to use the initiative to collect major carbon credits. Australia set aside 42 million ha of land under the scheme, the area larger than the landmass of Japan. (“‘Gross failure’: Researchers claim Australia is selling carbon credits that don’t exist,” The Straits Times, 28 March 2024)

HIGHLIGHTS

INTERNAL
“Asia should manage its own security,” says NPC Standing Committee Chairman
On 29 March, Zhao Leji, Chairman of the Standing Committee of the National People’s Congress, said that Asia should manage its own security while delivering his opening remarks at the Boao Forum for Asia. He also calls for closer regional trade ties through a common regional market mechanism to drive the world economy. With the growing US hegemony, Zhao mentioned the implementation of the Global Security Initiative (GSI) for greater security via cooperation and rejected the Cold War mentality and bloc confrontation by the US. According to Joe, Zhao’s words tried to depict China and GSI as a framework for world peace. Zhao further mentions China’s desire to upgrade its FTA with ASEAN countries for greater regional integration. (Joe Leahy, “Xi Jinping lieutenant calls for Asia to ‘jointly’ manage its own security,” Financial Times, 29 March 2024)

5G market to fuel China’s economic growth: Report
On 26 March, according to the Mobile Economy China 2024 report released by the Groupe Speciale Mobile Association (GSMA) in the South China Morning Post, China’s rising 5G market will add around USD260 billion to the country’s GDP in 2030. The report mentioned that the mobile industry added 5.5 per cent of China’s GDP in 2023, and one-fourth of the upcoming contribution is expected to come from 5G. GSMA mentioned that mobile market contribution will add around USD 1.1 trillion to China’s economy by 2030. The report indicates that the sector provides around 8 million direct and indirect jobs and has contributed USD110 billion in tax revenue in 2023. GSMA predicts that China’s mobile and telecom sector will expect further boom and aid China’s economy, which is facing multiple domestic crises and geopolitical uncertainties. (Mandy Zuo, “China’s 5G market set to expand, fuel economic growth as tech solidifies status as pillar industry,” South China Morning Post, 29 March 2024)

CHINA & THE PACIFIC
China to remove tariffs on Australian wine
On 28 March, according to an opinion in BBC, China announced that it will remove tariffs on Australian wine exports. Mao mentions that Beijing’s latest move will improve ties between the two countries. The tariffs were imposed by China of more than 200 per cent in 2020 due to bilateral dispute. Mao indicated that the change in the Australian government in 2022 led to an improvement in China-Australia relations. Prime Minister Anthony Albanese welcomed the decision from China’s Ministry of Commerce and said that his government has been able to reduce other trade barriers with Beijing. Mao reported that the Australian wine industry lost USD1.37 billion in 2020 amid trade disputes with China. Chinese Commerce Ministry said that the tariffs on wines will be removed from 29 March. The tariff removal comes after China’s foreign minister Wang Yi visits Canberra to improve trade and economic relations. (Frances Mao, “China removes tariffs on Australian wine as relations improve,” BBC, 28 March 2024)

CHINA READER DAILY WIRE 
ECONOMY
China's domestic reforms and tech innovation to drive world economic recovery
On 28 March, the Chairperson of the Standing Committee of the National People's Congress (NPC) said that China will strive to drive the recovery of the world economy through its domestic reforms and tech innovation. This comes as the country faces high youth unemployment, mounting local government debt, and a rising property sector crisis. On the sidelines of the Boao Forum for Asia, Zhao welcomes the participation of other countries in China’s development by opening the market for foreign investors to boost green energy production. He announced a growth target for China’s economy by 5 per cent. Zhao also affirmed the goal of achieving climate neutrality through green technologies. He said that carbon dioxide emissions will peak by 2030 and achieve carbon neutrality by 2060. This comes after China filed dispute proceedings within the WTO, creating a rift between Washington and Beijing. (“China to Drive World Economic Recovery, Says a Top Communist Official,” VOA, 28 March 2024)

SCIENCE & TECHNOLOGY
“We have benchmarked our car with [Tesla’s] Model 3,” says Xiaomi chairman
On 28 March, Chinese smartphone company Xiaomi launched its first EV, the SU7 or Speed Ultra, in Beijing. Xiaomi has priced its car with the standard variant at 215,900 yuan to challenge Tesla’s Model 3. Xiaomi’s founder, chairman, and chief executive Lei Jun, “We have benchmarked our car with [Tesla’s] Model 3.” He further said that the SU7 has a battery life of 700 km and is priced lower than the Tesla Model 3. Phate Zhang, founder of CnEVPost, said that Xiaomi’s attractive pricing will help the company attract many buyers and stay competitive in the EV market. Lei mentioned that the launch of the SU7 EV car will help the company diversify its revenue sources beyond smartphones and electronic devices. According to a Bloomberg report, it is estimated that China’s EV market is expected to decline for the second straight year, with sales dropping by 25 per cent in 2024. (Che Pan, “Xiaomi surprises with lower-than-expected pricing on new EVs, in new challenge to Tesla,” South China Morning Post, 28 March 2024)

CHINA & TAIWAN
Any halt in US aid to Ukraine emboldens China against Taiwan, says Taiwan’s FM
On 28 March, Taiwanese Foreign Minister Joseph Wu said that any halt in US arms shipments to Ukraine would embolden China to project aggression against Taiwan. He also said that this will enable China to push propaganda that the US is an unreliable partner. He also mentions that Russia’s victory will be seen as the victory of authoritarian countries as Russia, China, North Korea, and Iran are linked together. His remarks come as the US Congress is unable to pass the supplement funding package that includes funding to Taiwan. Edward mentions that some Republican members, like former US President Donald Trump, are against the idea of giving further aid to Ukraine. Wu states that if the US backs out, then its allies will back out from the US alliance, thereby encouraging China to wage aggression against Taiwan. (Edward Wong, “Taiwan’s Top Diplomat Says US Aid to Ukraine Is Critical for Deterring China,” The New York Times, 28 March 2024)

CHINA & EAST ASIA
China warns against stringent sanctions on North Korea
On 28 March, China's Deputy Permanent Representative to the United Nations, Geng Shuang, warned of any further sanctions against the Democratic People's Republic of Korea (DPRK). His remarks come after the UNSC voted on a draft resolution that extends the mandate of the Panel of Experts assisting the Democratic People's Republic of Korea (DPRK) Sanctions Committee. Geng said that increasing sanctions would be counterproductive, and any military alliances and intentions with confrontations would further exacerbate tensions in the Korean Peninsula. He reiterated China’s stance, calling for all parties to adopt a rational and pragmatic approach to a political settlement. Geng also said that the sanctions should serve to denuclearize the Korean peninsula. He further adds that China supports Russia’s proposal to set a time limit for the DPRK sanctions and conduct periodic reviews. (“China warns against tightening of sanctions against DPRK,” CGTN, 29 March 2024)

CHINA & SOUTHEAST ASIA
Philippines says it won’t remain silent against Chinese aggression
On 29 March, the Ministry of Defense said that the Philippines would not engage in any fight with China in the South China Sea (SCS) but would not bow down and remain silent. The ministry showed China’s isolation from the rest of the world due to its constant illegal aggression. The ministry also said, “It also shows the inability of the Chinese government to conduct open, transparent, and legal negotiations. Their repertoire consists only of patronising and, failing that, intimidating smaller countries.” The remarks come after the Chinese counterpart accused the Philippines of 28 March provocations after Manila accused Beijing of aggressive actions in Manila’s EEZ. On 28 March, Philippines President Ferdinand Marcos Jr said that the Philippines would take proactive measures against “illegal, coercive, aggressive, and dangerous attacks by China’s coast guard.” (“Philippines says it will not yield in submission in row with ‘patronising’ China,” The Straits Times, 29 March 2024)

Chinese top diplomat for a four-day visit to Singapore
On 28 March, China’s top diplomat, Liu Jianchao, visited on a four-day trip to Singapore to meet with Prime Minister Lee Hsien Loong and the country’s incoming leader, Deputy Prime Minister Lawrence Wong. In his remarks on the ongoing global conflicts, Liu said, “The world needs connectivity, not decoupling.” In the US, Liu said that Washington is trying to oppress and contain China. According to Adam, it is believed that Liu is going to be the next Foreign Minister, replacing Wang Yi. Liu currently heads the international department of the CCP and is responsible for maintaining relations with foreign political relations. He had previously met US Secretary of State Anthony Blinken in January 2023. The Ministry of Foreign Affairs of Singapore said that both countries were committed to expanding their cooperation in trade and investments. Both sides discussed ASEAN-China relations and other regional and international developments. (Adam Hancock, “Chinese Diplomat Liu Jianchao Meets With Singapore's Leaders,” VOA, 28 March 2024)

CHINA & THE AMERICAS
Less than three Americans supports TikTok bill, says Savanta poll
On 29 March, according to a poll released by Savanta in the South China Morning Post, three out of ten Americans supported the bill the US House of Representatives passed in February, which would ban TikTok if its owner did not divest it. According to the poll, half of the 2,000 Americans aged 18 or older opposed the bill, while only 28 per cent supported it. Most respondents said they could switch to other social media apps, mainly YouTube and Instagram. According to Ethan Granholm, research analyst at Savanta, the ability to deliver and implement the TikTok ban for lawmakers is different, as young people are critical to the outcome of the upcoming presidential elections. Mark mentions that TikTok has 102 million monthly active American users. The polls also showed that two-thirds of the respondents were concerned about the security risks from the TikTok app and vouched for increased protection of personal data. TikTok has spent a lot of money on US lobbying and advertising and has released a marketing campaign worth USD 2.1 million in key election polling states of Nevada, Montana, Wisconsin, Pennsylvania, and Ohio. (Mark Magnier, “Poll shows fewer than 3 in 10 Americans support TikTok bill that would force Chinese owner to sell the app,” South China Morning Post, 29 March 2024)

CHINA & EUROPE
UK government to impose sanctions on China over hacking
On 29 March, according to an explainer in The Guardian, the UK plans to impose sanctions on two individuals and one entity from China due to hacking. The UK Home Secretary James Cleverly said, “The sanctions were a sign that “targeting our elected representatives and electoral processes will never go unchallenged.” According to Professor Alan Woodward, the sanctions will not make any difference to the UK’s cybersecurity, and they are responding to the US’s request. Amy reveals that a hacking outfit known as APT31 is accused of engaging in large-scale global hacking operations by sending more than 10,000 malicious emails to politicians, officials, journalists, and critics of China across the world. The Chinese embassy in London rejected the UK government’s baseless claims. However, the government has not accused the Chinese entity of breaching the data as the UK tries to balance its relationship with Beijing. Amy also reports the struggle within Western countries to effectively coordinate a response against hacking attempts due to China’s plausible deniability regarding its responsibility. (Amy Hawkins, “Western governments struggle to coordinate response to Chinese hacking,” The Guardian, 29 March 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Taiwanese Navy chief plans to visit US
On 29 March, Reuters reported that Taiwanese Navy chief Tang Hua will visit the US next week to attend a military ceremony and discuss bilateral cooperation. It also revealed that Tang would visit the US Indo-Pacific Command in Hawaii for a Pacific Fleet change-of-command ceremony. He is also expected to attend the Sea-Air-Space conference on 8-10 April and plans to meet the US chief of naval operations, Admiral Lisa Franchetti. Idrees and Ben mention Tang’s visit as part of the US effort, known as the Joint Island Defence Concept, to coordinate with Taiwan, Japan, and others to counter China's armed forces within the first island chain. The visit announcement comes after China ramped up its military pressure on Taiwan for years by sending fighter jets over the median line in the Taiwan Strait. (Idrees Ali and Ben Blanchard, “Taiwan's navy chief to visit US next week, sources say,” Reuters, 29 March 2024)

THE PACIFIC
Australia to ramp up on Rare earth minerals despite China’s dominance
On 29 March, according to a commentary in Nikkei Asia, Australia boosted its role in rare earth minerals despite China’s dominance in this sector. Shaun reports that Australia had recently announced a second large rare-earth project with a loan offer of AUSD840 million to the Australian miner Arafura to build a mine and processing facility in the Northern territory. Iluka constructed a similar project with a rare-earth processing plant of AUSD1.25 billion in Western Australia. Shaun mentions that Australia desires to boost its midstream and downstream industries to become a global supplier of rare earth materials. However, it faces tough competition from low-cost producers in Africa and Asia. Experts mention that Australia currently faces an overproduction issue, and the declining prices will hurt the industry’s long-term growth. According to Wood Mackenzie analyst Ross Embleton, China currently accounts for about 60% of the global mined supply of rare earths and is expected to fall to 50 per cent by 2035. Chief executive Tom O'Leary of the Iluka project mentions that the project's costs have increased to AUSD1.2 billion. He also mentions that the project is not only from a geopolitical and defense perspective but also from the perspective of facilitating global decarbonization. (Shaun Turton, “Australia doubles down on rare earths despite Chinese dominance,” Nikkei Asia, 29 March 2024)

CEAP Team: Femy Francis and Akhil Ajith are Research Assistants at NIAS.

HIGHLIGHTS

CHINA & SOUTH ASIA
Continued “Rubber-Rice-Pact,” Chinese President meets Sri Lankan Prime Minister
On 28 March, Sri Lankan Prime Minister Dinesh Gunawardena visited Chinese President Xi Jinping at the Great Hall of the People in Beijing. Xi called to promote the relations between the two countries as he looked at the long history they share, naturally building their affinity. Xi highlighted that China is willing to work on the “Rubber-Rice-Pact” between the two countries, the pact is characterized by “independence, self-reliance, unity and mutual support,” aiming to consolidate mutual trust and further exchanges and experiences. He said that both sides should promote high-quality Belt and Road cooperation through flagship projects, Colombo Port City and the Hambantota Port. Gunawardena also noted the long history they share and affirmed upholding the “One-China” principle and following policy-friendly cooperation with China. He also expressed his appreciation for China and the role it played in uplifting Sri Lanka’s economy. Sri Lanka also confirmed its participation in the Global Development Initiative, Global Security Initiative and Global Civilization Initiative. (“Xi meets Sri Lankan PM in Beijing,” Xinhua, 27 March 2024)

SCIENCE & TECHNOLOGY
Chinese research claims to have developed a surface-to-air missile with a 2000 km range
On 28 March, the South China Morning Post reported on the Chinese language Journal of Graphics, paper publication, where the researchers claim that they successfully designed a surface-to-air-missile, with a kill range of 2000 km. Such ultra-long-range capabilities are considered infeasible, where the maximum flight range is tens of kilometers. The team is led by an associate professor at Northwestern Polytechnical University Su Han, who said that the weapon will be able to shoot down early-warning aircraft, and missiles. The paper stated that the People’s Liberation Army would first warn the target and it would be only launched if they refused to turn back. The paper stated that this technology is vital to maintain regional and global stability. (Stephen Chen, “Chinese scientists plan surface-to-air missile with 2,000km kill range,” South China Morning Post, 28 March 2024)

CHINA & THE AMERICAS 
“China’s overcapacity distorts global prices and production patterns,” US Treasury Secretary Janet Yellen to warn China
On 28 March, the Financial Times reported on US Treasury Secretary Janet Yellen's plans to warn China on her visit to not flood the world with cheap Chinese clean product exports, stating that they will distort global markets and harm the workers. She said that it is important that the American firms can compete on a level playing field and that they have earlier raised concerns against the overcapacity of China’s exports. Yellen believes that the overproduction and export of metals and other goods have damaged the global market, and therefore warned against the oversupply of clean energy products, these include solar and electric vehicles, lithium batteries and others. She said: “China’s overcapacity distorts global prices and production patterns and hurts American firms and workers,” she will say, adding that she had heard similar warnings “from government counterparts in industrialized countries and emerging markets, as well as from the business community globally.” (“Janet Yellen warns China against clean energy dumping,” Financial Times. 28 March 2024)
 

CHINA READER DAILY WIRE 

INTERNAL
Commercial Aircraft Corporation of China’s C929 at a crucial stage of development, SCMP quotes Comac firm
On 27 March, an analysis in the South China Morning Post looked into the crucial developmental stage of the Commercial Aircraft Corporation of China (Comac) and the Chinese government's push for the aviation company. The marketing director of Comac Zhang Xiaoguang said: “It’s a crucial stage in the development process, which indicates the overall technical scheme of the aircraft has been determined.” Russia and China announced in December of 2023 that they would promote the joint venture of developing long-range widebody passenger aircraft also known as C929. The aircraft would have 280-400 seats and would fly 12,000km. The Chinese aviation company are aggressively developing their capabilities to break the duopoly of American and Boeing and Europe-based Airbus. The C919 is the poster child of Comac as the fifth aircraft came into operation, and now they are pushing for European certification of the jet. Cormac's deputy marketing director Liu Yan said they will: “coordinate the domestic and international markets in an orderly manner and secure a large number of customers and orders, laying a solid foundation for large-scale production, delivery and operation.” (Sylvia Ma, “China’s home-grown C929 widebody passenger jet enters ‘crucial’ development stage amid Beijing’s aviation push,” South China Morning Post, 27 March 2024)

CHINA & EAST ASIA
Trilateral summit between China-Japan-South Korea should resume as they face “Polycrisis,” says South Korea
On 27 March, South China Morning reported on the heads of the trilateral cooperation between China-Japan-South Korea stressing the urgency to kickstart the summit to solve the “Polycrisis” at the Boao Forum. Secretary General of the Trilateral Cooperation Secretariat (TCS) Lee Hee-sup stated that the current “Polycrisis,” showcases the need for closer engagement of trilateral cooperation and deeper exchanges. He said that no country can handle a crisis singularly and therefore the TCS need to push for the resumption of the trilateral cooperation. The summit saw a lull as for four and half years no summit was held, solidarity and cooperation are vital to stabilizing the global crisis and therefore, “we need to cooperate closely,” said Lee.  The current rotating chair is South Korea which anticipated to hold the chair in 2023 but the Japanese side has delayed the summit with China still weighing the option if it wants to join. The first summit was held in 2008 and the TCS was formed in 2011, tasked with promoting peace and stability in the region. (Alyssa Chen, “Long-delayed China-Japan-South Korea leaders’ summit needed ‘as soon as possible’ as countries face ‘polycrisis’,” South China Morning Post, 27 March 2024)

CHINA & SOUTH ASIA
Traditional deployment of troops, a prerequisite to India-China relations, says Indian External Affairs Minister Jaishankar
On 28 March, External Affairs Minister of India S Jaishankar stated that the normalcy of ties with China is based on the deployment of troops, addressing Indian Diaspora in Malaysia. He asked what country does not want good relations with its neighbour. But those relations are also based on some prerequisites. For India, it is the traditional deployment of troops in the contentious region and area. While stating that he also iterated that his first duty is to secure the borders and that he could never compromise on that. Additionally, he said: “We're still negotiating with the Chinese. I talk to my counterpart. We meet from time to time. Our military commanders negotiate with each other. But we are very clear that we had an agreement. There is a Line of Actual Control. We have a tradition of not bringing troops to that line. Both of us have bases some distance away, which is our traditional deployment place. And we want that normalcy.” (“Normalcy in ties with China based on troops deployment: Jaishankar,” Hindustan Times, 27 March 2024)

CHINA & EUROPE
China hopes for continued lithography trade from the Netherlands
On 27 March, Chinese Commerce Minister Wang Wentao met with the Dutch Trade Minister Geoffrey van Leeuwen and expressed his hope that the Netherlands would support the trade of lithography machines, by allowing companies to fulfil their contractual obligation and ensure normal trade. Wang stated that they take the Netherlands as a trusted trade and economic partner. Both heads discussed the future of lithography exchange and cooperation in the semiconductor industry. The Dutch government also denied a Dutch firm ASML license to export advanced “DUV” to line to China. This is in line with the other Western countries, which are curbing China’s access to critical technology and minerals. (“China hopes Netherlands will ensure 'normal' lithography machine trade,” Reuters, 28 March 2024)

“No force can stop the pace of China’s scientific and technological development and progress,” Xin Jinping on restricted technology access to Dutch PM 
On 27 March, Chinese President Xi Jinping met with Dutch Prime Minister Mark Rutte at the Great Hall of People, in Beijing. Xi stated that any attempt to restrict access to technology will not stop Chinese technology advancement. In 2023, the Netherlands imposed export licensing requirements, on the export of machinery used for advanced technology and chip manufacturing. This came after the US halted China’s access to advanced equipment used for chip manufacturing. He said that creating barriers to access scientific and technological machinery would only fragment the industry and would lead to confrontation and division. Xi said: “The Chinese people also have the right to legitimate development, and no force can stop the pace of China’s scientific and technological development and progress.” Rutte replied: “What I can tell you is that ... when we have to take measures, that they are never aimed at one country specifically, that we always try to make sure that the impact is limited, is not impacting the supply chain, and therefore is not impacting the overall economic relationship.” (“Chinese leader Xi tells Dutch PM that restricting technology access won’t stop China’s advance,” Associated Press, 28 March 2024)
 

CHINA READER DAILY WIRE

INTERNAL
“Nationalist Crusades” by the Chinese netizens, an Opinion in The New York Times
On 26 March, an Opinion in The New York Times, titled, “Why Are China’s Nationalists Attacking the Country’s Heroes?” by Joy Dong and Vivian Wang, looked into the plague of unbridled nationalism trends in China. The op-ed stated that while the Chinese government is championing domestic companies, the efforts are being affected by the growing nationalist netzine threat to the business. The online army has taken on themselves to call out and punish those who hurt the nationalist sentiments, these largely include major public figures and business firms. These attacks are usually against the US are now attacking the crown jewels of China like Huawei, for allegedly being a secret admirer of Japan. This behaviour has been encouraged by the government, as they for “nationalist crusades”. A professor from North Carolina Yaoyao Dai said: “The government needs and wants to be the one that shapes the narrative. They cannot just give everyone this power to shape the narrative of who are ‘the people’ and who is ‘the enemy.’” The online crusades are also fuelled by the growing dissent in the population over economic malaise. Recently, there were attacks against the Nongfu Spring, beverage company, stating that they focus more on profit rather than the state, after the death of its rival company’s owner who was said to have economically supported his employees with benefits of houses and child care subsidies. A smear campaign was started against the only Chinese Nobel Prize winner for literature Mo Yan, who was accused of being anti-Mao, by depicting a turbulent 20th-century in China. (Joy Dong and Vivian Wang, “Why Are China’s Nationalists Attacking the Country’s Heroes?,” The New York Times, 26 March 2024)

China hosts Boao Forum for Asia discussing Asian economic outlook for 2024
On 25 March, China held the Boao Forum for Asia (BFA), in the Hainan Province. The forum consisted of participants from around the world discussing the regional challenges and the issue of trade protectionism behaviour with the rising geopolitical tensions. The forum projected substantial economic growth of up to 4.5 per cent in 2024. It stated that Asian integration in the economy remained unchanged. The report highlighted the contribution made by China to the global economic growth. The BFA was attended by 2,000 representatives from 60 countries. The forum released its annual report on the Asian Economic Outlook and Integration Progress and the second one on Sustainable development in Asia. The report outlined that: “In 2024, global economic turbulence and divergence will persist. Faced with a severe external environment, many Asian economies will also encounter significant internal challenges. Nevertheless, the region's economic growth and regional integration continue to show promising momentum.” (“China's economic prospects, opening-up pledges help global growth, stability as Boao Forum kicks off annual meeting,” Global Times, 26 March 2024)

SCIENCE & TECHNOLOGY
Apple iPhone sees a shipment decline of 33 per cent
On 26 March, Bloomberg reported on the declining Apple’s iPhone shipment in China. They reckoned that the shipment to China fell by 33 per cent in February, this showcases an extended slump in the demand for Apple’s most popular product. The figures by the China Academy of Information and Communications Technology show that foreign brands only shipped 2.4 million smartphones in February, a major chunk of it was by Apple. The February decline is the second consecutive decline when only 5.5 million units were shipped in January. The rising Huawei trend has taken a sizeable share of the Apple market in China, which this led to them offering rare discounts. The overall smartphone market has seen a decline showing the dwindling interest in consumers buying discretionary items amid economic woes. (“iPhone Shipments in China Fell 33% in February, State Data Show,” Bloomberg, 26 March 2024)

DEFENCE
Strategic Support Force: Nodal to People’s Liberation Army’s advancement, says an analysis in SCMP
On 27 March, South China Morning Post published an analysis, titled, “Strategic Support Force: China’s mission to win future wars hinges on this shadowy military branch,” by Amber Wang, which looked into the youngest Chinese military wing the “Strategic Support Force,” (SSF) founded in 2015. The SSF is a branch of the People’s Liberation Army that aims to expand its military capabilities by making use of outer space, and cyber and AI technology. The contingent is responsible for offering intelligence to all the forces in China. The PLA aims to build strategic capabilities in all emerging areas and to provide asymmetrical advantages as proposed by Chinese President Xi Jinping. The SSP branch relies heavily on innovation and AI technology and is playing a critical role in the preparation for “intelligence warfare” as the technologies advance, says the op-ed. The SSF oversees two departments, the Space Systems Department which takes care of satellite launches and training bases. The Space Department is tasked with providing intelligence support, space-based reconnaissance, and satellite navigation to help with military operations. The other department is the Network Systems Department, tasked with defending China from cyber-attacks, electromagnetic defence and offence and collecting intelligence by intercepting signals. The heavy reliance on technology can also be a bane for China and the US increasingly has imposed sanctions and curbed China’s access to these technologies. Regardless, the SSF will play a vital role in providing the Chinese military with critical intelligence. (Amber Wang, “Strategic Support Force: China’s mission to win future wars hinges on this shadowy military branch,” South China Morning Post, 27 March 2024)

CHINA & EAST ASIA
South Korean FM expresses concerns against the Chinese use of water cannons at Philippines civilian boats
On 26 March, the South Korean Ministry of Foreign Affairs issued their concerns regarding the conflict in the South China Sea and especially the recent confrontation between the Philippine and the Chinese vessels. The ministry expressed “grave concerns” regarding the Chinese use of the water cannons against the Philippines ships. It stated that it strokes further tensions and that it violated maritime rules and order in the South China Sea. The incident went as such the Philippines accused China of using water cannons against its civilian boats supplying troops at the Spratly Islands. The Island that has been largely inhabited is part of a major contention between the two countries, both claiming ownership of the archipelago. The South Korean Ministry of Foreign Affairs said: “These actions increase tensions in the South China Sea, a major international navigation route used by all countries, including Korea, and undermine efforts to maintain peace, stability, security and a rules-based maritime order.” (“South Korea has ‘grave concerns’ over China using water cannon against Philippine ships,” The Straits Times, 26 March 2024)

CHINA & SOUTHEAST ASIA
Vietnam’s “Bamboo Diplomacy” balancing China and US, says and analysis in SCMP
On 27 March, an analysis in the South China Morning Post looked into Vietnam’s “Bamboo Diplomacy,” which has balanced both US and China relations. Vietnam’s Foreign Minister Bui Thanh Son, attributed Vietnam’s bamboo diplomacy as being paramount in balancing both rival global actors, the US and China. Son said: “In 2023, Vietnam hosted both US President Joe Biden and Chinese President Xi Jinping – which means Vietnam wishes and can have good relations with all major powers, thanks to Vietnam’s bamboo diplomacy.” Son stated that while competition between these major powers is natural, conflict is not inevitable. Recently, Son met with top US office bearers US Secretary of State Antony Blinken and National Security Adviser Jake Sullivan. The visit showcased that Vietnam looks to assure its neighbours, allies and investors. And even more so now President Vo Van Thuong resigned from his post over corruption allegations. Son said: “The resignation of the president, I think, will not affect our foreign policy as well as our own [domestic] policy of economic development. We have collective leadership. We have a collective foreign policy. We have collective-decided economic-path development.” (Khushboo Razdan, “Vietnam minister credits ‘bamboo diplomacy’ for balancing nation’s relations with China and US,” South China Morning Post, 27 March 2024)

CHINA & THE PACIFIC
China and Nauru hold talks in Beijing
On 25 March, Chinese President Xi Jinping, and Nauruan President David Adeang held talks in Beijing. Xi notes Nauru’s decision to uphold the One China Principle and appreciates the restoration of diplomatic ties with China. He welcomes Nauru’s decision to sign the Belt and Road (BRI) document with China and is willing to deepen its cooperation in trade, investment, and infrastructure construction. Xi also said that China is ready to assist Nauru in addressing climate change under the framework of South-South cooperation. Adeang said that Nauru’s decision to restore ties with China was the right step in history and would open a ‘new chapter in the country’s national development and bilateral relations.’ He further said that Nauru is willing to participate in the BRI and to implement the Global Development Initiative, Global Security Initiative and Global Civilization Initiative. (“Chinese, Nauruan presidents hold talks for 1st time since resuming ties,” Xinhua, 25 March 2024)

CHINA & SOUTH ASIA
Suicide bomber ram vehicle carrying Chinese engineers killed in Pakistan
On 26 March, five Chinese engineers and one Pakistani driver were killed after a suicide bomber rammed into their vehicle convoy in northwest Pakistan. The regional police chief Mohammad Ali Gandapur said that the engineers were en route from Islamabad to their camp at the dam construction site in Dasu in the province of Khyber Pakhtunkhwa. So far no one has claimed any responsibility for the attack on 26 March. Chinese engineers have been assisting Pakistan with several projects as part of the China-Pakistan economic corridor (CPEC) under Beijing’s Belt and Road Initiative (BRI). Local police reported that the convoy carrying engineers belonged to the construction firm China Gezhouba Group Company working on the Dasu hydropower project. Pakistan faced a similar issue when they faced attacks in 2021. The Chinese embassy in Pakistan called for an investigation into the attack to ensure safety for the Chinese citizens. This attack comes as the newly elected Pakistani PM Shehbaz Sharif plans to visit Beijing next week. (“Six killed after suicide bomber rams convoy of Chinese engineers in Pakistan,” The Guardian, 26 March 2024)

India firmly supports the Philippines in upholding its national sovereignty, says EAM S Jaishankar
On 26 March, Indian External Affairs Minister (EAM) S Jaishankar, on his visit to Manila said, “I take this opportunity to firmly reiterate India’s support to the Philippines for upholding its national sovereignty.” He also expressed India’s interest in expanding cooperation in the areas of defence and security. He also said that the trust and comfort between the two countries are growing rapidly. Their meeting took place a day after the Chinese ambassador in Manila was summoned to convey the Philippines' concerns about China’s aggressive actions in the South China Sea. In his remarks, the Chinese Ministry of Foreign Affairs spokesperson Lin Jian said that the maritime disputes are bilateral and there is no role of third parties to interfere. Jaishankar also said that India places greater emphasis on Act East policy and Indo-Pacific vision and supports the ASEAN centrality position. (“Jaishankar backs the Philippines in the South China Sea, riles China,” The Times of India, 26 March 2024)

CHINA & AFRICA
China and Honduras extend wishes for 1st anniversary of their bilateral relations
On 26 March, Chinese President Xi Jinping and Honduran President Xiomara Castro exchanged congratulations over the first anniversary of their bilateral relations. Xi highlighted the new opening in their bilateral relations through establishing diplomatic ties in 2023 and the visit of Castro to China in June 2023. Xi appreciated Honduras' firm stance on the One China principle and their bilateral relations are the right step in history serving the fundamental interests of the two countries. He also reiterated China’s support to Honduras in all areas. Castro pointed out China as a civilizational nation and its importance for Honduras as a partner in its development. She also mentioned respecting the One China principle and is in favour of cementing ties with China for greater mutual respect. (“Xi, Honduran president exchange congratulations on 1st anniversary of ties,” Xinhua, 26 March 2024)

CHINA & AMERICAS
US aims to expand domestic lithium supply with reduced reliance on China, a commentary in VOA
On 26 March, according to a commentary in VOA, the US aimed to step up in increasing the domestic supply of lithium with reduced reliance on China for manufacturing batteries. This comes after the US Department of Energy announced a record conditional loan of USD 2.26 billion to American companies. According to DOE’s Loan Programs Office (LPO), the loan, if approved, will help Lithium Americas Corp. construct a lithium carbonate processing plant. This indicates that the locally sourced battery materials, especially the lithium carbonate from Thacker Pass will bring down the carbon footprint, transportation costs, and supply chain risks. It also said that the lithium reserves will support the production of batteries “for up to 800,000 electric vehicles (EVs) per year, saving 317 million gallons of gasoline per year.” A report by the Organization for Economic Co-operation and Development (OECD) in 2023 highlights that China increased restrictions on its exports of critical minerals ninefold between 2009 and 2020. Ellen R. Wald, a nonresident senior fellow with the Atlantic Council Global Energy Center says that the western countries spent lots of resources on developing raw materials but little attention to refining and processing of lithium as China dominates the supply chain. Chatham House reports that Chinese companies accounted for about 72 per cent of global lithium refining capacity in 2022. Wald mentions that China has an advantage and can restrict access to specialized lithium-ion batteries to the US as it wishes as the US defence industry is dependent on China for these batteries. (John Xie, “US Aims to Tap Domestic Lithium Supply Without Chinese Products,” VOA, 26 March 2024)

China initiates dispute settlement proceeding on EV against the US at WTO
On 26 March, the Chinese mission to the UN said that it had initiated a dispute settlement proceeding against the US World Trade Organization (WTO) to safeguard its interests in the electric vehicle industry. It justified its stance as it was contesting "discriminatory subsidies" under the U.S. Inflation Reduction Act (IRA), as the Chinese mission said that it led to the exclusion of goods from China and other WTO countries. It further added that the proceedings are meant “to safeguard the legitimate interests of the Chinese electric vehicle industry and to maintain a fair level playing field of competition for the global market.” U.S. Trade Representative Katherine Tai said that Washington has initiated a review of China's request for WTO consultations for IRA 2022 and its implementing measures. Defending the IRA, she said that the IRA is instrumental in promoting clean energy practices along with its allies and partners and accused China of engaging in unfair market policies. (“China opens WTO dispute against US subsidies to protect its EV industry,” The Straits Times, 27 March 2024)

Chinese President Xi Jinping meets US executives and academics
On 27 March, Chinese President Xi Jinping met US executives and academics in Beijing. The meeting was a follow-up to the November dinner that took place in San Francisco. Reuters reported that the attendees from the US side were the chief executive of US insurer Chubb (CBBN), Evan Greenberg, Stephen Orlins, president of the National Committee on US-China Relations, and Craig Allen, president of the US-China Business Council. The foreign CEOs raised concerns about Premier Li Qiang not meeting the delegation at the China Development Forum in Beijing on 24-25 March raising doubts about transparency. Foreign companies have been trying to address the issue with government officials over China’s excessive and harsh implementation of anti-espionage law, raids on consultancies and due diligence firms, and exit bans. (“China's President Xi meets US executives, academics in Beijing,” Reuters, 27 March 2024)

EAST ASIA & THE PACIFIC READER

EAST ASIA
BOJ rate hike leads to a steep drop in Japanese Yen
On 27 March, according to a commentary in Nikkei Asia, the Japanese yen dropped to a record low in 34 years, trading at 151.96 to the dollar after the Bank of Japan (BOJ) ended its negative interest rate policy. Japanese Finance Minister Shunichi Suzuki said that he would not rule out any measures and would take decisive action to address this steep fall. The report published by Nomura Securities indicates that the sudden rise in inflation of the price of goods will compel BOJ for additional interest rate hikes. Hirofumi Suzuki, the Chief Foreign Exchange strategist at Sumitomo Mitsui Banking Corp., said that according to the BOJ, a weak yen is advantageous for the Japanese economy, however, the increased volatility will impact the business environment. Experts predict that the BOJ could face increased pressure if the yen crosses beyond 155 in the second and third quarters of 2024. (Lisa Kim, “Japanese yen drops to lowest in 34 years despite BOJ rate hike,” Nikkei Asia, 27 March 2024)

Taiwan’s chip maker Advantech boosts investments in Malaysia, an Opinion in Nikkie Asia
On 27 March, according to an opinion in Nikkei Asia, Taiwanese industrial computer maker Advantech plans to boost investment in manufacturing and other operations in Malaysia. The company aims to create a regional hub to serve customers across Southeast Asia. Li reports that Advantech's computers and Internet of Things products are used in many industrial applications, from semiconductor manufacturing to high-speed railway systems. Due to the volatility in supply chain disruptions and increased political tensions, the company plans to diversify its operations in regional hubs to meet the demand. Vincent Chang, Advantech's managing director for Asia said that the company’s sales in Southeast Asia grew by 200 per cent in six to seven years due to the diversification of supply chains. Chang mentions that Malaysia is the best cost-effective option because it has a diverse culture and a high-quality workforce, which will benefit the company’s long-term strategy. He said that the changing market dynamics, such as the US-China trade war and the growing trend of the China+1 supply chain, have presented greater opportunities for growth for the company in emerging markets. (Lauly Li, “Taiwan's Advantech aims to turn Malaysia into Southeast Asia hub,” Nikkei Asia, 27 March 2024)

CHINA READER DAILY WIRE

INTERNAL
Beijing encourages ethnic Chinese to tell positive Chinese story, analysis in Al-Jazeera
On 23 March, according to a commentary in Al Jazeera, Beijing encouraged ethnic Chinese outside the country to unite and work with Chinese officials to spread positive messages about China. The government mentions that approximately 60 million people of Chinese origin live outside of the country except for Hong Kong, Macau, and Taiwan, claiming to be part of their own. President Xi Jinping highlighted the role of Chinese sons and daughters in leading the nation's rejuvenation. According to Professor Ian Chong Ja at the NUS, Xi’s words indicate that the CCP views ethnic Chinese expats as a source to mobilize support and advance Beijing’s interests. Chong also pointed out that the presence of Chinese expats is diverse, and their reactions will be mixed with the CCP’s external goals. Xi refers to both the Chinese citizens living abroad (Huaqiao) and ethnic Chinese with foreign nationalities (Huaren) as “members of the great Chinese family who would never forget their homeland and never deny the blood of the Chinese nation in their bodies.” Chong noted that Beijing’s diasporic nationalism has complicated the integration of ethnic Chinese and also has increased the suspicion and hatred towards Chinese minorities. (Frederik Kelter, “‘Insane’: Xi’s call for ethnic Chinese to tell Beijing’s story stirs anger,” Al Jazeera, 23 March 2024)

Chinese hospitals shutting down delivery wards amid declining birth rates, analysis in Al-Jazeera
On 24 March, according to an explainer in Al Jazeera, Chinese media reported the growing closure of obstetric departments or delivery wards nationwide due to the declining population for two consecutive years. The issue has been labelled in the press as “obstetric winter.” In February 2024, China’s National Bureau of Statistics announced that the country’s population fell by 2.08 million to 1.409 billion in 2023. The data further revealed that new births fell by 5.7 per cent to 9.02 million, and the country’s birth rate also reached a record low of 6.39 births per 1,000 people, down from 2022’s rate of 6.77 births per 1,000. This has been due to the implementation of the strict One Child policy in the 1980s, which was later reversed by the government in 2015. According to data from China’s National Health Commission, as reported by Reuters, the number of maternity hospitals fell from 807 to 793 between 2020 and 2021. Professor Deng Yong and Professor Wang Chongyu of the Beijing University of Chinese Medicine warned of the rapid abolition of the pediatric and gynaecological departments in China, leading to severe social problems in the country. Stuart Gietel-Basten, professor of social science at Hong Kong University of Science and Technology, indicates that the expectations among Chinese women have changed concerning giving birth to a child at a young age and also getting married due to increased living costs. (Kevin Doyle, “‘Obstetric winter’: Why are China’s hospitals shutting delivery wards?” Al Jazeera, 24 March 2024)

Chinese government tighten its grip on rewriting China’s Imperial Past, an Opinion in the WSJ
On 23 March, according to an opinion in The Wall Street Journal, the Chinese Communist Party (CCP), ruled by President Xi Jinping, tightened its grip on the country’s past to advance its goals. CCP derives its historical claims from the Qing era, which saved China from the “century of humiliation” caused by the opium wars. Xi issued the party to align Qing-era history with his vision for the future. According to Wong, Xi aims to strengthen China's Dream of a national renaissance and autocratic rule by revising the country’s past. This ensures the promotion of nationalistic narratives that depict the CCP as the sole guarantor of China’s inexorable rise. According to Pamela Kyle Crossley, a Qing expert at Dartmouth College, Xi rejects the portrayal of the Qing as an “empire of conquest” as they could encourage separatist sentiments in the borderland regions of Tibet and Xinjiang. Instead, he states that there were no conquests in Chinese history and there were only reunifications. (Chun Han Wong, “Xi Jinping’s Historians Can’t Stop Rewriting China’s Imperial Past,” The Wall Street Journal, 23 March 2024)

ECONOMY
China needs to reinvent itself for a new era of high-quality growth, says IMF Managing Director
On 24 March, the International Monetary Fund's Managing Director Kristalina Georgieva said, “China faces a fork in the road to rely on the policies that have worked in the past or reinvent itself for a new era of high-quality growth.” At the opening of the China Development Forum, officials said that China will meet its economic targets of 5 per cent in 2024 and has expressed its desire to support the country’s new productive forces. Regarding consumer-centred policy, Georgieva said that China needs to take decisive steps to complete unfinished housing and reduce the risk of mounting local government debt by boosting consumer spending. China’s FDI declined by 8 per cent in 2023 due to the increased tensions with the US and its allies. Apple CEO Tim Cook said to CGTN that China is opening up its economy to foreign businesses and the country’s suppliers have supported sustainable manufacturing for Apple. (“China must reinvent itself to turn economy around, says IMF's Georgieva,” Business Standard, 24 March 2024)

China’s economic slowdown impacting the sales of luxury brand Gucci among Chinese consumers, an Opinion The Economic Times
On 25 March, according to an opinion in The Economic Times, the fears of a Chinese economic slowdown have affected the sales of luxury brand Gucci among Chinese consumers. Experts note that the rising unemployment and property crisis have affected consumer confidence along with the deflationary concerns, which have fueled concerns about the Chinese economy. There has been a significant drop in the online sales of Gucci products in China due to minimalistic designs, which has reduced the appeal among Chinese consumers. The slowdown in the Chinese economy has affected the sale of other luxury brands than Gucci, like Swiss watches, while other companies such as Rolex, Hermes, Chanel, and Louis Vuitton saw double-digit growth in 2023. According to a report from Bain & Co., foreign luxury brands are trying to reduce their reliance on China as they forecast their growth to be single digits compared to 12 per cent growth in 2023. Angelito Perez Tan, Jr., co-founder and CEO of RTG Group Asia, said that the growing volatility in the Chinese market has forced them to look for alternative markets in India, Southeast Asia, and the Middle East. (Jennifer Creery, Shirley Zhao, and Andy Hoffman, “Gucci’s China shock reverberates across the luxury landscape,” The Economic Times, 25 March 2024)

Chinese Premier Li Qiang pledges to allow more FDI into China
On 24 March, Premier Li Qiang said in his opening remarks at the China Development Forum that he would pledge to bring in more overseas investors to invest in Chinese markets. He said that the country would focus on cultivating new productive forces in emerging industries such as biomanufacturing, artificial intelligence, aerospace technology, and electric vehicles. Data from the State Administration of Foreign Exchange shows that China accumulated FDI worth USD33 billion in 2023, which is 82 per cent less compared to 2022. Li acknowledged the growing concerns in China’s property sector and high local government debts and said that these problems are not serious. He also agreed to boost domestic demand in 2024, which includes reducing barriers to a unified domestic market and urbanizing its rural areas. (Aw Cheng Wei, “China’s Premier Li Qiang promises changes to woo overseas investors,” The Straits Times, 24 March 2024)

China’s Evergrande Group withdraws application for offshore debt restructuring plan
On 24 March, China’s Evergrande Group withdrew its applications for Chapter 15 of the offshore debt restructuring filed in the US. The Hong Kong Stock Exchange noted that the Evergrande Group, along with SJ and Tianji Holdings, had submitted their documents to exit from the debt restructuring plan on 22 March. Tianji and SJ are Evergrande Group's main overseas financing platforms. In August 2023, the Evergrande Group filed for offshore debt restructuring with a US court. However, in January 2024, the Hong Kong court ruled against the group and ordered them to liquidate their assets to repay the outstanding debts. Evergrande Group has defaulted in 2021 with liabilities up to USD 300 billion. (Jiahui Huang, “China Evergrande to Withdraw Offshore Debt-Restructuring Applications,” The Wall Street Journal, 24 March 2024)

SCIENCE & TECHNOLOGY
China’s new guidelines to ban the use of Intel and AMD chips in government computers, an analysis in The Financial Times
On 24 March, according to an analysis in the Financial Times, China introduced new guidelines that will ensure the removal of government PCs and servers in its efforts to replace foreign technology with domestic solutions. The new guideline also seeks to replace Microsoft’s Windows operating system and other foreign-made database software with domestic alternatives. It also aims to localize these efforts for the country’s state-owned enterprises. The latest purchase rules come after the growing tensions between the US and China and the former’s imposition of sanctions on Chinese companies and blocking the export of advanced chips and equipment to China. On 26 December 2023, the guideline was unveiled by the finance ministry and the Ministry of Industry and Information Technology (MIIT) and started implementing from 2024 onwards. According to the Financial Times, Beijing’s increased procurement of domestic products is a part of the national strategy for technological autarky in the military, government, and state sectors which the government refers to as xinchuang or “IT application innovation.” Analysts at Zheshang Securities estimate that China may require a budget of RMB 660bn (USD91bn) from 2023 to 2027 to replace the IT infrastructure in government, party organs, and eight major industries. (Ryan McMorrow, Nian Liu, and Qianer Liu, “China blocks use of Intel and AMD chips in government computers,” The Financial Times, 24 March 2024)

CHINA & TAIWAN
Former Taiwanese President Ma Ying-jeou plans to visit China for the second time
On 25 March, Reuters reported that the former Taiwan president Ma Ying-jeou plans to visit China for the second time in April. He plans to lead a group of students on a trip of 11 days to Beijing. In his presidential tenure from 2008 to 2016, Ma became the first former Taiwanese leader to visit China. He also intends to visit Guangdong's southern province and Shaanxi's northwestern province for greater student exchanges between the two sides. Ma remains one of the senior members of Taiwan's main opposition party, the Kuomintang (KMT), advocating for closer ties with China via dialogue. China considers Taiwan as part of its territory and views the current ruling Democratic Progressive Party as dangerous separatists. (“Former Taiwan president Ma to make second trip to China,” Reuters, 25 March 2024)

CHINA & EAST ASIA
“Hong Kong, as it was, is over. But it does not end there,” an Opinion in The Guardian on Hong Kong Article 23 
On 23 March, an Opinion was published in the Guardian, titled, “Lies, ideology and repression: China seals Hong Kong’s failed-state fate,” by Simon Tisdall who looked into the dire state of the once bustling economy and society of Hong Kong after the recent imposition of Article 23. Tisdall said farewell to the once vibrant and pulsating city of Hong Kong, stating that the once great financial business state has been brought to its heels, as Xi Jinping the President of China sucked out all the joy. Tisdall painted a picture by highlighting how one day randomly the Hong Kongers woke up to the pro-Chinese puppet regime approving the controversial National Security law, where any act could be seen as treason and a seditious act. The current head of the state John Lee of Hong Kong, saw an all-time low in his approval rating, as it hit a record low. This according to the author, triggered paranoia that further led to the current authorities opting for the measure. The op-ed called it a “shocking breach of faith,” as China pledged with the British colonial rule that they would respect Hong Kong’s autonomy and declared “one country two systems.” Tisdal ended by saying: “Hong Kong’s long goodbye is a cautionary tale for the modern age. A flawed but totemic success story crushed by outdated ideology, hyper-nationalism, and the new emperor of Beijing. Britain and its friends failed dismally to protect the former colony. Hong Kong, as it was, is over. But it does not end there.” (Simon Tisdall, “Lies, ideology and repression: China seals Hong Kong’s failed-state fate,” The Guardian, 23 March 2024)

CHINA & SOUTHEAST ASIA
“The Philippines repeatedly challenges China’s bottom line, China will continue to take resolute and decisive measures,” says Chinese Defence Ministry
On 24 March, the Chinese Ministry of National Defence’s spokesperson Wu Qian warned the Philippines against making remarks intensifying the conflict and refrain from all infringement and provocations in the South China Sea. This comes after the latest row between the countries, where the Philippines Coast Guards accused China of blocking their supply boat to the Second Thomas Shoal with water cannons. Wu said: “If the Philippines repeatedly challenges China’s bottom line, China will continue to take resolute and decisive measures to firmly safeguard its territorial sovereignty and maritime rights and interests.” The Chinese defence ministry stated that the Philippines Coast Guard intruded the area, despite multiple warnings, leading to China carrying out control obstruction and eviction according to the law. Wu, also stated that the incident was entirely provoked by the Philippines and that they handled it in a reasonable manner. (Amber Wang, “South China Sea: Beijing warns Philippines against ‘escalating situation’ after latest Second Thomas Shoal face-off,” South China Morning Post, 24 March 2024)

CHINA & AFRICA
“Stadium Diplomacy” China to build two stadiums in Tanzania and Kenya, an Analysis by SCMP
On 24 March, an analysis was published in the South China Morning Post, titled, “China’s latest African building contracts prove ‘stadium diplomacy’ is a winning formula,” by Jevans Nyabiage which looked into the recent China-Africa deal on building more stadiums. There are plans to construct two major stadiums in Tanzania and Kenya as part of their “stadium diplomacy,” informs Jevans. Tanzania signed a deal with the state-owned enterprise China Railway Construction Engineering Group (CRCEG) of USD 112 million, where they plan to build an arena in Arusha with 30,000 seats before the 2027 African Cup of Nations (Afcon). Kenya also signed a deal with China Road and Bridge Cooperation (CRBC) to build Nairobi’s Talanta Stadium and a 60,000-seater football arena. The Talanta Stadium will be built on a public-private partnership agreement and the Chinese company will be tolling the fee for the coming 27 years to recover its investment after which it will be handed to the government. The op-ed states that the two new stadiums are part of China’s strategy to influence the African government and the elite, China is not new to building stadiums and other infrastructure in Africa. According to the Global Times, a flagship Chinese newspaper, they have built more than 100 stadiums in Africa. Many believe that these are not only economic in nature but are part of China’s long-term strategy to boost diplomatic relations with African countries and foster interdependence. (“China’s latest African building contracts prove ‘stadium diplomacy’ is a winning formula,” South China Morning Post, 24 March 2024)

CHINA & EUROPE
UK Deputy Prime Minister Oliver Dowden to link 2021 cyber-attack on the electoral commission on China
On 24 March, British Deputy Prime Minister Oliver Dowden is set to address the Parliamentary gathering addressing the Chinese threat to their personal data. They are set to link the cyber-attacks on the country’s election to China. The claim made is that the attacks on the electoral watchdog, when the Election Commission of Britain saw a breach into their personal data in 2022. During this several MP’s private data were targeted by these cyber-attacks, reports BBC. The report also stated that hostile actors gained access to electoral registers and breached the emails and control system. It is now expected that the MP will link these attacks from China and lay out a plan of action to deal with it. In 2022, three MPs were specifically targeted as informed by BBC: “former Conservative leader Iain Duncan Smith, former minister Tim Laughton and the SNP's Stewart McDonald.” All three were part of the Inter-Parliamentary Alliance on China, a group that critically looked at Beijing’s activities. (James Gregory & Iain Watson, “China linked to UK electoral roll cyber-attacks, Dowden to say,” BBC, 25 March 2024)

China invites Italy’s President and Prime Minister to relaunch strategic ties after it withdrew from BRI
On 24 March, an analysis in the South China Morning Post, titled, “No longer in Belt and Road Initiative, Italy focuses on strategic ties with China, leaders invited to Beijing this year,” by  Ambrose Li, looked into Beijing’s invitation of top Italian diplomats to China. This invitation comes after Italy withdrew from the Chinese Belt and Road Initiative. Italian Ambassador to China, Massimo Ambrosetti stated that this backtracking has had “no impact” on their relationship as China invited the Italian President and Prime Minister to Beijing. China and Italy are set to mark their 20th anniversary and Amb Massimo believes that this is a testament to their positive relationship and their political willingness to keep their relationship at a strategic level. Additionally, the Italian government also invited Chinese EV giants BYD and Chery to invest in Italy. (“No longer in Belt and Road Initiative, Italy focuses on strategic ties with China, leaders invited to Beijing this year,” South China Morning Post, 24 March 2024)

CHINA & THE AMERICAS
“Mutually reinforced fear and animosity is what I call it,” exclusive coverage on the US-China relationship in SCMP
On 25 March, an exclusive edition in the South China Morning Post, titled, “‘Structural’ problem: top China scholar says US tensions will be ‘with us for a long time’,” by Dewey Sim, interviewed the founding director of the University of Hong Kong’s Centre on Contemporary China and the World Li Cheng. The interview looked into the deteriorating relations between China and the US. Cheng answered that this deterioration goes back to 2017 when China was becoming a rising threat to the US. The policy discussion argued that their previous engagements with Beijing did not yield results as the US planned. The US saw Russia and China as a revisionist country, stating that while Russia is a regional power, China has become a global power and therefore is a bigger and formidable challenge. Cheng when questioned about how he felt about this deteriorating relationship, he said that China's challenge was different as it was the only comprehensive challenge after WWII facing the US, where it included issues on economic, political, and science and technological levels. Another reason is the instability in their own country and that if the US’s economy and politics were in good shape the Chinese threat wouldn’t matter. The growing Chinese middle class and the smaller American middle class also stop them from reaping the benefits of economic globalization. When asked about the external tensions facing both countries, Cheng stated that this needs to be looked at from a global perspective with the two ongoing wars between Russia-Ukraine and Israel-Palestine. This raises questions about the possibility of a similar war extending to the South China Sea, Taiwana and Indo-China border, which would have devastating effects. Cheng was asked about how both countries are responsible for rising tensions, to which he said: “Mutually reinforced fear and animosity is what I call it,” China wants to maintain the status quo while the US pushes the envelope by supporting Taiwan, both sided blame each other where the US accused China of military mobilization and pressure on Taiwan. (by Dewey Sim, “Structural’ problem: top China scholar says US tensions will be ‘with us for a long time,” South China Morning Post, 25 March 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Medical professor join the doctor's strike in South Korea
On 25 March, The Guardian reported that in support of the trainee doctors the medical professors joined the protest. Some medical professors have decided to resign while others will be cutting back their hours to showcase their support for the trainee doctors. This comes against the South Korean government’s plans to increase the admission of trainee students in order to address the lack of doctors in rural areas. Medical Professors Association of Korea’s President, Kim Chang-soo informed that they would start scaling back from outpatients and only focus on emergency patients who are severely and need immediate attention. Kim said: “It is clear that increasing medical school admissions will not only ruin medical school education but cause our country’s healthcare system to collapse.” In light of the protest, the government announced that they would suspend the license of doctors who do not return to work while later they urged the doctors to seek a conciliatory approach and use flexible measures to solve the issue. The South Korean President Yoon’s office asked the Prime Minister to form a constructive consultative body. (“South Korea doctors’ strike widens as medical professors join protests,” The Guardian, 25 March 2024) 

Taiwan detects seven Chinese naval ships and five aircraft incursions
On 24 March, the Taiwanese Ministry of National Defence detected seven Chinese naval vessels and five Chinese aircraft near the Taiwan Strait. The Ministry of National Defence announced that the People’s Liberation Army’s aircraft entered the Southwest Air Defense Identification Zone (ADIZ). Seeing the incursion the Taiwanese armed forces deployed and monitored the situation to support an appropriate response. The statement read: “6 PLA aircraft and 8 PLAN vessels operating around Taiwan were detected up until 6 a.m. (UTC+8) today. 1 of the aircraft entered Taiwan's southwestern ADIZ. ROC Armed Forces have monitored the situation and employed CAP aircraft, Navy vessels, and coastal missile systems in response to the detected activities.” According to Taiwan News, in the month of March, Taiwan tracked 301 incursions by Chinese aircraft and 165 by Chinese naval vessels. Since 2020, the news stated that China has increased its “Gray zone tactics,” whereby one uses a series of steady attempts to achieve one’s sovereignty in the region without resorting to direct and sizeable force. (“Taiwan detects 7 Chinese naval ships, 5 military aircraft around nation,” The Economic Times, 25 March 2024

HIGHTLIGHTS 
SCIENCE & TECHNOLOGY
China is critical for Apple’s Business, says Tim Cook
On 20 March, according to an opinion in The Financial Times titled, “Tim Cook praises China’s ‘critical’ role in Apple’s business,” by Ryan McMorrow, CEO of Apple Tim Cook, in his visit to China, said China is critical to its businesses amid the declining sales of its iPhones products in the country. On his sudden trip to Beijing, he praised the country’s market and vowed to invest more in China. Financial Times quoted Global Times report on Tim Cook saying, “There’s no supply chain in the world that’s more critical to us than China,” and appreciated the “high level of modernization in Chinese factories, with very advanced manufacturing capabilities and well-trained workers.” Cook’s visit comes amid the declining sales of its iPhones, which contributed to USD 21 billion in the fourth quarter of 2023, which is 17 per cent of total sales in China. The research group Counterpoint noted that the sales of iPhones declined 13 per cent year on year and had declined by 24 per cent in 2022. According to Ryan, Apple’s sales were affected by the ban on using iPhones among Chinese state employees and the government's increased championing of Huawei and other domestic brands amid the US sanctions. Cook said the company will build more on China's already invested USD 140 million in an applied research lab. (Ryan McMorrow, “Tim Cook praises China’s ‘critical’ role in Apple’s business,” Financial Times, 22 March 2024)

CHINA & SOUTHEAST ASIA
Senior leaders from China and Singapore discuss the future of deeper cooperation
On 21 March, two high-level delegates from China and Singapore, China's Central Party School President Chen Xi and Singapore’s Senior Minister Teo Chee Hean met and discussed ways to understand China, to work better together in a deeper manner. Teo said that they participated in a long list of activities, human resource development between the two countries, and the two parties the Communist Party of China and the People’s Action Party. Teo also reflected that the exchanges between the two parties allow them to learn from each other's experiences and insights. He also said: “We want to understand China more deeply, come to the provinces, understand what you’re doing in the party school, what are the key priorities that you have. And how you’re addressing those priorities.” Chen also agreed that he hoped the two countries and their leaders could continue to work together. (“Singapore-China govt, party exchanges allow for deeper cooperation: Teo Chee Hean,” The Straits Times, 22 March 2024)

CHINA & THE PACIFIC
China plans to hold talks on maritime affairs with Australia
On 21 March, The Ministry of Foreign Affairs of the People’s Republic of China Lin Jian said that China is interested in discussing maritime affairs with Australia amid the increased tensions among several countries bordering the South China Sea (SCS) threatening its regional security. The plan comes after the visit of Foreign Minister Wang Yi to Australia to discuss the issue of trade and regional security. Lin said the discussion will also focus on increasing cooperation in the areas of diplomacy, trade, technology, education, and law enforcement. In the joint statement in March 2024, both sides agreed to refrain from any unilateral action in the SCS. On 21 March, in a meeting with Wang Yi, the Premier of New South Wales, Chris Minns, said that the country is willing to deepen its cooperation with China in various fields. (“China considers launching maritime talks with Australia,” The Straits Times, 21 March 2024)

CHINA READER DAILY WIRE
INTERNAL
China looks into the PwC financial advisor’s role in Evergrande fraud
On 22 March, Bloomberg reported on the Chinese authorities investigating the role of PricewaterhouseCoopers LLP (PwC) in the Evergrande fraud. The PwC group’s accounting practices are questioned as the real-estate giant and its owner Hui Ka Yan were accused of USD 78 billion fraud, by overstating their revenue. Evergrande’s onshore subsidiary Hengda Real Estate Group is also accused of hiking the revenue as well. The auditors of PwC who handled the Evergrande account are contacted and the decision to penalize them is still going on. The PwC is already going through a fallout scandal with many of its international firms observing job cuts as the company was accused of sharing government tax plans with its clients. GMT Research Ltd. in Hong Kong analyst Nigel Stevenson said that these are some serious accusations. The GMT firm had previously questioned the financial report presented by the Evergrande group. The Chinese Securities Regulatory Commission stated that Hengda also overstated USD 12.7 billion in profit between the years 2019-2020. A professor of accounting practice at Sheffield University in the UK, Richard Murphy said that this would affect PwC’s reputation not only in China but also globally. (“China Scrutinizes PwC Role in $78 Billion Evergrande Fraud Case,” Bloomberg, 22 March 2024)

ECONOMY
China’s “ultra-long” bond for the local government, an explainer in SCMP
On 22 March, an Explainer in the South China Morning Post, titled, “What makes China’s ‘ultra-long’ bonds special? Here’s what we know about Beijing’s trillion-yuan offering to stabilise the economy,” by Amanda Lee looked into the new “Ultra Long” bond provision brought by the Chinese government offering 1 trillion yuan. The provision was announced at the annual plenary meeting where they aimed at 5 per cent economic growth. The details of the bonds are yet to be revealed, the Analyst believes that the bonds could of 30-50 years long and that the special nature of bonds means that they would be allocated for specific purposes only. The 1 trillion yuan would be “off-budget,” and the funds would be used to support areas of technological and innovation, urban-rural development, regional development, food-energy security, and population development. There are only special cases when such bonds are sold and the reason for this is the growing debt faced by the local government of China, which is at the forefront of promoting economic gains. (“What makes China’s ‘ultra-long’ bonds special? Here’s what we know about Beijing’s trillion-yuan offering to stabilise the economy,” South China Morning Post, 22 March 2024)

CHINA & TAIWAN
Taiwanese Ministry of National Defence detected 36 Chinese aircraft in Taiwan
On 22 March, the Taiwanese Ministry of National Defence informed that 36 Chinese military aircraft had been detected near the Taiwan Islands within the window of 24 hours. Additionally, the Ministry also detected six naval ships that were operating near Taiwan. The Ministry of National Defence stated that 13 aircraft crossed the median line of the Taiwan Strait, this median line is important as it separates China from Taiwan. The relations between the two countries have become frosty with the election of pro-independence President Tsai in 2016 and the recent election of her party leader William Lai in 2024 of the Democratic Progressive Party. China sees Taiwan as an indispensable part of its own, while Taiwan disagrees. (“Taiwan detects 36 Chinese military aircraft in high single-day activity,” The Strait Times, 22 March 2024)

CHINA & SOUTHEAST ASIA
Chinese Coast Guard accused Philippines civilians of illegally entering the Tiexian reef of Spratly Island
On 21 March, Chinese Coast Guards accused the Philippines nationals of illegally landing on the disputed reef of the South China Sea. The Chinese Coast Guard alleges that 34 people from the Philippines were warned against entering the Tiexian Reef of Spratly Island. The Chinese side stated that they investigated the incident and dealt with the matter in accordance with the law. China claims “indisputable” sovereignty over the reefs and Spratly Island and they believe that their territorial rights were undermined in the South China Sea. The Chinese Coast Guard Gan Yu said: “We urge the Philippine side to immediately stop the infringements. The Chinese coastguard will continue to protect our legal rights and enforce the law in waters under China’s jurisdiction.” (“Beijing says Philippines made ‘illegal landing’ on disputed reef in South China Sea,” South China Morning Post, 21 March 2024)

Internal faultlines in Southeast Asia’s approach to the South China Sea dispute, a commentary in East Asia Forum
On 22 March, according to a commentary in East Asia Forum titled “Southeast Asia stymied in South China Sea dispute,” ASEAN’s efforts to resolve the South China Sea dispute have lacked effective outcomes on the overlapping claims of the countries and have forced the claimant countries to seek outside of the ASEAN process. This is evident in the Philippines' approach to Vietnam by establishing a direct hotline with each other’s coast guard to avoid unwanted incidents. This approach is seen as a way to resolve the pending issue of the Code of Conduct within ASEAN member states. The Philippines’ expedited measures are a result of the fatigue witnessed in the negotiation process and China’s growing aggression. The Philippines has been taking a collective deterrence strategy to counter China’s claim by aligning with like-minded countries like the US, whereas Vietnam is prudent in its actions and wishes to separate maritime issues from its overall relations with China. China’s Three Warfares strategy by using tools such as public opinion, psychological and legal warfare, and economic rewards to keep the ASEAN countries divided on the SCS issue. Thus, China’s wedge strategy and divided Southeast Asia countries continue to weaken the overall ASEAN’s mechanism to resolve the ongoing South China Sea dispute. (Harshit Prajapati & Prisie L Patnayak, “Southeast Asia stymied in South China Sea dispute,” East Asia Forum, 22 March 2024)

CHINA & THE MIDDLE EAST
Houthi rebels affirm safety deal with Russia and China at the Red Sea in turn for diplomatic support, says Bloomberg
On 21 March, Bloomberg reported on a deal struck between the Yemen-based and Iran-backed Houthi Rebel fighters in the Red Sea with Russia and China. Houthi group told China and Russia that their ships could freely sail in the region of Red and the Gulf of Aden, as they wouldn’t be attacked. This understanding was reached between the Chinese, and Russian diplomats and the Houthi top leader and spokesperson Mohammed Abdel Salam. In return, the rebel groups want political support in the Global Arena, like the United Nations Security Council. The discussion did not specify how this support would work, but the larger aim of this deal is to block provisions against the rebel group, says Bloomberg. The misidentification of ships has become a problem in the region and now both Russia and China want stronger assurance from the rebel group, says Bloomberg. In January, missiles exploded near a ship boarding Russian Oil, days after the Houthi spokesperson affirmed that both countries should not fear the attacks. Most Western ships have changed their trajectory for trade routes by going around Southern Africa, while China and Russia’s ship tracking details show that they still follow the shipping route. The senior Houthi political leader Ali Alqhoom said: “sinking America, Britain, and the West in the swamp of the Red Sea.” Russia and China seek more security and affirm the safety of their cargo from the Houthi attacks. (Sam Dagher, Mohammed Hatem, “Yemen’s Houthis Tell China, Russia Their Ships Won’t Be Targeted,” Bloomberg, 21 March 2024)

CHINA & THE AMERICAS
Democrats objected to the bill passed in the Georgia House of Representatives to ban Chinese agents from purchasing land in Georgia
On 21 March, the Democrats objected to the new bill that was passed in the Georgia House of Representatives, which would ban any agent of China, Cuba, Iran, North Korea, and Russia who are not US citizens or legal residents from owning farmland in Georgia or any land in the state within10 miles (16 kilometres) of a military installation unless they have spent at least 10 months of the previous year living in Georgia; stating that it would lead to discriminations against Asian Americans and threatens national security. After lengthy debates and testimonies, the State House voted 97 to 67 in favour of SB420. Rep. Michelle Au, a Democrat of Chinese American origin, said that she has been accused of being an “agent of the Chinese Communist Party (CCP), spy, a plant, un-American and a foreign asset.” She said that the bill aimed to weaponize racism against residents from certain parts of the world. Republicans defending their stance noted that the bill does not pose any discrimination and aims to protect the country’s food supply and military from foreign adversaries. The approved bill will be going to the State Senate for consideration. Other states such as Florida, Alabama, Louisiana, and Arkansas passed similar laws amid fears of growing Chinese espionage. The law became important after the Chinese spy balloon flew over the US in 2023. (Sudhin Thanawala, “Land purchases by Chinese ‘agents’ would be limited under Georgia bill; Democrats say it’s racist,” Associated Press, 22 March 2024)

Chinese chipmaker SMIC potentially violated American control laws, says US Under Secretary of Commerce for Industry and Security
On 21 March, the Under Secretary of Commerce for Industry and Security Alan Estevez said in a testimony that the Chinese chipmaker Semiconductor Manufacturing International Corporation (SMIC) “potentially” broke American law for manufacturing a processor for a company named Huawei Technologies sanctioned by the US. In reply to the question raised by the US Foreign Affairs Committee chairman Michael McCaul, Estevez said that the concerns were serious about SMIC’s potential sale of a 7nm processor to Huawei. He also said that SMIC’s manufacturing process has a low yield for producing advanced chips. SCMP also noted that despite the US sanctions, Huawei incorporated the advanced 7nm chip into its latest Mate 60 device, which coincided with the visit of Commerce Secretary Gina Raimondo in August 2023. Estevez noted that Huawei had access to chip manufacturing tools before the US sanctions took effect. In September 2023, The Bureau of Industry and Security said that it is investigating the sale of a 7nm chip and will take measures to protect US national security. (“Chinese chip maker SMIC ‘potentially’ broke US law to make Huawei’s 7-nm smartphone processor, lawmaker says,” South China Morning Post, 22 March 2024)

Xi Jinping plans to meet US business leaders in Beijing
On 21 March, Chinese President Xi Jinping plans to meet the US business leaders on 27 March amid the government’s efforts to attract foreign businesses in light of the excessive outflow of FDI. Along with Xi Jinping, Chubb’s CEO Evan Greenberg, Stephen Orlins, president of the National Committee on US-China Relations, and Craig Allen, president of the US-China Business Council are expected to attend the meeting. According to the Wall Street Journal, US business leaders will be attending the China Development Forum to meet the Chinese policymakers and the theme for the forum is focused on China’s economic growth, artificial intelligence and climate change. According to Liza, foreign companies are seeking reassurances from China about the inconsistency in regulations and operational risks. Amid the growing US-Sino tensions, only 23 business leaders came to China in March 2023 to attend the forum. At the November dinner meeting with Xi, China did not provide any assurance for executives in China for its counter-espionage law. (Liza Lin, “China’s Xi Jinping to Meet U.S. CEOs in Beijing Next Week,” The Wall Street Journal, 21 March 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
South Korea’s Ambassador to Australia Lee Jong-sup willing to cooperate on the ongoing probe in Seoul
On 21 March, South Korea’s Ambassador to Australia Lee Jong-sup said that he is willing to face questions from the anti-corruption agency over allegations of manipulating the probe on the death of a marine, who was involved in a search and rescue operation during floods in 2023. He had denied any wrongdoings. Lee was recently appointed as the head of the embassy in Canberra. Some South Korean lawmakers had criticized Lee’s appointment as the ambassador to Australia on 10 March amid the ongoing investigation. President Yoon’s office said that Lee’s appointment was under the law and would fully cooperate with the investigation. (“South Korea’s ambassador to Australia says he will cooperate with graft probe,” The Straits Times, 21 March 2024)

North Korea’s ruling Workers’ Party of Korea delegation heads for a three-nation tour to China, Vietnam and Laos
On 22 March, North Korean state media KCNA said that the country had sent its delegation from the ruling Workers’ Party of China led by Kim Song Nam for a three-nation tour to China, Vietnam and Laos. He is the alternate member of the Political Bureau and director of the International Department of the party’s Central Committee. On 21 March, the delegation arrived in Beijing. The Chinese state media reported that Kim met the fourth-ranking senior official in China’s Communist Party, Wang Huning, and the head of CCP’s International Liaison Department, Liu Jianchao. Wang said that China is willing to deepen its friendship, partnership and unity with North Korea for a peaceful and stable external environment. (“North Korea sends delegation to China, Vietnam, Laos, KCNA says,” Financial Express, 22 March 2024)

CHINA READER DAILY WIRE

INTERNAL
Chinese youth employment rate sees a 15.3 per cent hike, says National Bureau Statistics
On 20 March, the Chinese National Bureau of Statistics released the Youth Unemployment data where the rate rose to 15.3 per cent in February while in January 2024, it was at 14.6 per cent. The result shows the persisting unemployment issue in China as they try to recover their economy, the young population's employment condition from the age of 16-24 remains the same. In June 2023, the NBS issued that they won’t declare the document anymore as they saw an all-time high in the youth unemployment rate, reaching 21.3 per cent. In January, the NBS introduced a new measuring technique where they excluded students from the report. This exclusion is considered unusual in most countries like the US and the European countries include students looking for jobs as part of census. (“China’s Youth Jobless Rate Edges Higher After Methodology Change,” Wall Street Journal, 20 March 2024)

CHINA & SOUTH ASIA
CPEC’s ‘Gwadar port’ attacked by the armed wing of Balochistan Liberation Amry, Majeed Brigade
On 20 March, Pakistan security forces curbed an attack at the Gwadar port, Pakistan, where eight armed attackers were killed. Gwadar Port in Balochistan is a multimillion project initiative between the China-Pakistan Economic Corridor. It is one of Pakistan's most ambitious infrastructure projects. Chief Minister of Balochistan Sarfraz Bugti said: “Whosoever chooses to use violence will see no mercy from the state. Kudos to all law enforcement brave hearts who fought bravely today for Pakistan.” The attackers are said to be part of the Majeed Brigade, which is an armed wing group of the Balochistan Liberation Army (BLA). BLA is a separatist group demanding secession of their province from the rest of Pakistan. They even accept the responsibility stating: “BLA accepts responsibility for the attack and further details will be released to the media.” This is not the first time it was attacked, the city of Gwadar consists of many Chinese families and citizens who work there. (“Pakistan’s Gwadar port attacked, eight armed fighters killed,” Al-Jazeera, 20 March 2024)

HIGHLIGHTS
CHINA & SOUTH ASIA
China’s claims over Arunachal Pradesh are absurd, says Indian Foreign Ministry
On 19 March, the Spokesperson of the Ministry of Foreign Affairs of the Republic of India,Randhir Jaiswal, said that China’s claims on Arunachal Pradesh were absurd and added that it would be an integral part of India. He said, "Repeating baseless arguments in this regard does not lend such claims any validity."China claims Arunachal Pradesh as part of Southern Tibet, while India rejectsChinese claims. He responded to the comments made by the spokesman of China'sMinistry of National Defense Senior Colonel on the inauguration of the road tunnel by PM Modi on 09 March. Zhang said, “India should stop taking any moves that complicate the border issue and earnestly maintain peace and stability in the border areas,” adding that the tunnel's inauguration “runs counter to the efforts made by both sides to ease the border situation.” (“India says China's claims overArunachal Pradesh state 'absurd',” Reuters,19 March 2024)

CHINA & TAIWAN
China built big military bases near Taiwan’s Itu Aba in the South China Sea, says Taiwanese Foreign Minister
On 20 March, Taiwanese Foreign Minister Joseph Wu said that China had built big military bases on the three islands close to Taiwan’s Itu Aba in the South China Sea.Amid the growing contestation for claims in the South China Sea, Taiwan controls only one islet in the disputed Spratly Islands called Itu Aba, whichTaiwan refers to as Taiping. Taiwanese lawmakers are forcing President Tsai to visit the island as her predecessors had visited the island. Wu said that the island belonged to Taiwan and that the government would defend its sovereignty.He also said that despite the ongoing tensions between China and thePhilippines in the South China Sea, the tensions are increasing over Itu Aba. He said, "China has already created very enormous South China Sea military bases on the three islands surrounding Taiping - Subi Reef, Fiery Cross Reef, and Mischief Reef - and these are all quite close to our Taiping." Taiwan also controls the Pratas Islands in the northern part of the South China Sea. Vietnam, Malaysia, and Brunei claim the disputed regions of the South China Sea with both China and Taiwan. (“Taiwan warns of 'enormous' Chinese bases near its South China Sea holding Itu Aba,” The Straits Times, 20 March 2024)

CHINA READER DAILY WIRE
SCIENCE & TECHNOLOGY
Chinese company EHang’s flying taxi takes off in the Taobao marketplace, says anEditorial in SCMP
On 19 March, the South China Morning Post reported that the Chinese flying taxi company EHang began selling its EH216-S electric vertically short take-off landing(VTOL) vehicle on Taobao marketplace, an online platform by Alibaba Group. EHang is based in Guangzhou province in China, and its EH216-S is priced at2.39 million yuan (USD332,000). EHang announced that its products will be available for sale at USD410,000 outside China from 01 April. EH216-S became the world’s first company to obtain a Type Certificate and StandardAirworthiness Certificate for pilotless eVTOLs from the Civil Aviation Administration of China (CAAC). The product was first announced in February 2018 and has conducted over 42,000 successful fight tests in more than 14 countries. It is a two-seater aircraft with a top speed of 130 kmph, a cruising speed of 100km/h, and a maximum altitude of 3,000 metres. It has a range of 30km and a flight time of 25 minutes. According to EHang, the EH216-S is ideal for various urban air mobility (UAM) applications, including air taxi services, aerial tourism, airport shuttles, and cross-island transport. (Ben Jiang, “Chinese flying taxi maker EHang sells autonomous passenger drone for US$332,000 on Taobao as nation’s low-altitude economy takes off,” South China Morning Post, 19 March 2024)

CHINA & SOUTHEAST ASIA
China draws a new territory along its southern waters bordering Vietnam, says a commentary in SCMP
On 19 March, according to a commentary in the South China Morning Post titled “China has drawn its territorial line in the Gulf of Tonkin. Is the South China Sea next?,” by Laura Zhou, China’s decision to draw a new territorial line has sparked regional concerns about its intention to replicate the same in the South China Sea. In early March, Beijing declared a new set of seven base points along its southern coast to demarcate its territorial waters and sovereignty over airspace, seabed, and sea soil in the Gulf of Tonkin, also known as the Beibu Gulf in China. Beijing says that its new baseline was in accordance with the UNCLOS, which allows for a straight line in some cases and is in line with China’s Law on the Territorial Sea and the Contiguous Zone in1992. On 15 March, the Spokesperson for the Ministry of Foreign Affairs of thePeople’s Republic of China, Wang Wenbin, said that China “has a legitimate and lawful right” to decide the new baseline. He also said that the new baseline is meant to serve better economic development to the provinces and regions along the Beibu Gulf, such as Guangxi, Guangdong, and Hainan, and to realize China’s strategic goal of becoming a strong maritime power. Kentaro Nishimoto, an international law professor at Tohoku University, said that the new baseline will allow China to convert a major portion of the northern side of the SouthChina Sea into its control, thereby exercising more power in the region. (LauraZhou, “China has drawn its territorial line in the Gulf of Tonkin. Is the South China Sea next?,” South China Morning Post, 19 March 2024)

“We are trying to keep things on an even keel,” says Philippines President Marcos Jr
On 19 March, Philippine President Ferdinand Marcos Jr said that despite China’s growing claims in the South China Sea, the Philippines government’s efforts to protect the sovereignty of the disputed territories are not poking the bear. In an interview with Bloomberg Television’s Haslinda Amin in Manila, he said, “We are trying to keep things on an even keel,” adding that the country needs to do more to defend its territory. With President Marcos holding office in 2022, thePhilippines military has increased its operations to continue the resupply missions and escorting the fishermen in the SCS. Marcos said that his country has not instigated any conflict or seeking any confrontation and is trying to address people’s concerns. China claims the disputed Second Thomas Shoal as its own and has been sending its coast guard ships to threaten the Philippines' resupply mission. On the mutual defense treaty with the US, President Marcos Jr said he does not want to invoke the treaty as the Philippines' has kept the talks open with China. (“Marcos warns on China threat, says he’s ‘not poking the bear’,” The Straits Times, 19 March 2024)

CHINA & THE PACIFIC
Australia intends to manage the differences wisely with China, says FM Penny Wong
On 20 March, Foreign Minister Penny Wong said that Australia desires a stable, productive, and mature relationship with China in her discussion in Canberra. ChineseForeign Minister Wang Yi has been visiting Australia for a bilateral visit in2017. The ties between the two countries deteriorated after Australia’s former PM, Scott Morrison, called for an inquiry into the origins of the COVID-19pandemic, which led to the imposition of trade restrictions on Australian exports to China. Wong welcomed the removal of trade impediments on barley, wine, and other exports to China. Chinese state media welcomed Australia’s decision to suspend anti-dumping duties on Chinese wind towers. Wong also conveyed her concerns about the death sentence given to top Australian writerYang Hengjun and said that the Australian government would advocate for his release. She also raised concerns about maritime security, the South China Sea, and China’s unsafe conduct in the sea. She added, “Dialogue enables us to manage our differences, it doesn't eliminate them, but this government, in the interest of Australia, will always seek to manage those differences wisely.”(Sophie Mak and Shaun Turton, “Australia, China foreign ministers to manage differences 'wisely',” NikkeiAsia,20 March 2024)

CHINA & THE AMERICAS
Canadian Chinese arrested in the US over stealing Tesla’s secret
On 19 March, the South China Morning Post reported that a Chinese Canadian was arrested in the US for stealing Tesla’s trade secrets and conspiring to sell them to the undercover police. Federal Prosecutors in Brooklyn said that Klaus Pflugbeil, an operator of the China-based business, was arrested in New York, and he travelled to meet with undercover agents. They further noted that Pflugbeil and his business partner Yilong Shao built their company using Tesla’s trade secrets and will be charged with a prison tenure of 10 years if convicted. Breon Peace, US attorney for the Eastern District of New York, said to the Justice Department and the FBI that the defendants had set up a company in China and stole trade secrets from Tesla to manufacture electric vehicles costing millions of dollars for R&D. (“China-based Canadian stole Tesla secrets, US prosecutors say,” South China Morning Post, 20 March 2024)

CHINA & EUROPE
Putin to visit Beijing in May, says Reuters
On 19 March, according to reports from Reuters and other sources, Russian President Vladimir Putin will be travelling to Beijing for bilateral talks with President Xi Jinping. It will be his first overseas trip after his new presidential term. Kremlin spokesman Dmitry Peskov said that the details will be informed as the dates get closer. His visit will mark before Xi’s planned visit to Europe. Along withChina, India and North Korea congratulated Putin for his election victory asRussia’s President. Both Russia and China had declared a no-limits partnership in February 2022 before the start of the Russia-Ukraine war. The Western sanctions on both Russia and China had led Beijing to forge greater trade and military ties with Moscow. (“Russia’s Putin to visit China inMay: Sources,” The Straits Times, 19 March 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Bank of Japan hikes interest rates, says an Opinion in NikkeiAsia
On 19 March, according to an opinion in NikkeiAsia titled “What's next for the BOJ after itsexit from negative rates?,” by Wataru Suzuki, the Bank of Japan (BOJ) has hiked the interest rates since 17years ago. After the financial bubble burst in the 1990s, BOJ initiated its quantitative and qualitative easing" policy to stimulate more spending by companies and households. However, it failed to remove the deflationary tendencies in the country. The increasing inflation backed the decision to end this policy due to the declining yen against the dollar and global price following the Ukraine war and COVID-19 recovery. The Japan Business Federation Chairman Masakazu Tokura said that the BOJ’s policy shift will end a favourable environment for domestic businesses. BOJ Governor Kazuo Ueda said that he cannot rule out the possibility of any unforeseen disruption with the increase in interest rates. Prime Minister Fumio Kishida said that the BOJ had tried to ensure an accommodative monetary policy for positive economic growth. In a report, SMBC Nikko Securities in Tokyo said that the interest rate hike will strengthen the yen against the US dollar by mid-2024, thus making investors look for domestic businesses. Experts predict that the continued increase in the interest rates will impact Japanese exports and raise the borrowing costs for small companies. (Wataru Suzuki, “What's next for the BOJ after itsexit from negative rates?,” NikkeiAsia, 19 March 2024)

HIGHLIGHTS
ECONOMY
The Rise of Temu, an e-commerce giant from China
On 19 March, an analysis in the BBC, titled “How Temu is Shaking up the world of online shopping,” by Sam Gruet, looked into the rising e-commerce online shopping giant Temu. It is owned by the Chinese e-commerce giant Pinduoduo, which has taken the top spot of Alibaba and is currently worth USD 117 billion. The company Temu has been criticized by the US and the UK governments for being part of using forced labour (Uyghur Muslims) to produce its goods sold in Temu. In response, Temu stated: “strictly prohibits" the use of forced, penal, or child labour by all its merchants.” The company was launched in 2022 in the US and later the US and then worldwide. Since its founding, it has topped the global app download charts and has 152 million American buyers. Temu attracts customers by selling goods at cheap prices where its focus is not on profit but on increasing its market share. (“How Temu is shaking up the world of online shopping,” BBC, 19 March 2024)

CHINA & THE AMERICAS
“Strengthening AI safety and security, privacy protections, and equity and civil rights,” Antony Blinken at the Summit for Democracy
On 17 March, US State Secretary Antony Blinken made some comments at the third Summit for Democracy, held in South Korea. Blinken outlined the importance of the decisions they make as governments and the impacts they may have in coming years when it comes to the space of Artificial Intelligence and Innovation. He urged the need to make sure that they not only reap benefits from them but also protect themselves from harming people. He then listed how AI helped innovation with Kenya’s AI-enabled bot helping girls with accurate reproductive and health information, to Chile’s “Creamos” where young people can submit their ideas for social change. While AI is set to play a vital role in the advancement of innovation, it can also be critical to democracy, where many can misuse it. Blinken said: “So while we seek to harness the power of AI and other digital technologies for good, some governments are abusing those same technologies to do just the opposite.” He stated that they are using AI tools for surveillance, facial recognition and bots. Some countries use them to spread disinformation and misinformation curbing free and fair elections, said Blinken. He said that the US is determined to shape the terms of the technological future that is inclusive and sustains democratic value while “strengthening AI safety and security, privacy protections, and equity and civil rights.” (“Secretary Antony J. Blinken At the Ministerial Conference of the Third Summit for Democracy,” US Embassy, 17 March 2024)

CHINA READER DAILY WIRE
INTERNAL
Chinese school kid killed by classmate sparks debate on left-behind children and juvenile criminal law in China
On 19 March, The Straits Times reported on the arrest of three juvenile boys who allegedly killed their classmate, which sparked the debate on left-behind Children in China and the Juvenile criminal law in the country. The victim of the incident was a 13-year-old middle schooler who went missing on 10 March and was found the next day buried at a vegetable greenhouse. The current Criminal Law of China after the amendment holds juveniles criminally liable from the age of 12, to prevent children from committing crimes. The amended law states that the accused children would face punitive action against them for intentional homicide. Though the law has been amended their punishment would depend on how the prosecutor probes them as they might hold the principle of “education first and punishment second.” This incident also sparked discussion on the issue of left-behind children of migrant parents, and how social workers and the government need to provide provisions for a better environment for the children. According to the National Bureau of Statistics in 2023, there were 66.93 million left behind children living in the rural areas. (“Arrests of three boys who allegedly killed schoolmate cast light on left-behind children in China,” The Straits Times, 19 March 2024)

ENERGY/ENVIRONMENT
China to host the fifth international “Enhancing the Operational Safety of Nuclear Power Plant,” with IAEA
On 19 March, an analysis in the South China Morning Post, looked into the upcoming  Enhancing the Operational Safety of Nuclear Power Plant, an international conference to be held in China and the possible agendas of the meeting. The conference is scheduled to be held from 15-19 April and this would be the first conference held outside Vienna, which is the headquarters of the International Atomic Energy Agency (IAEA). The agenda of the gathering would focus on how to make nuclear power plants safer and not on the Fukushima nuclear power plant release the IAEA said: “The specific topic of the release of treated water from Fukushima Daiichi nuclear power plant is not within the scope of this conference.” The director general of the IAEA, Rafael Mariano Grossi is set to participate in the event he has been an avid advocate for the water release and the Chinese have heavily criticized Grossi and career diplomats for it. (Victoria Bela, “China to host global nuclear safety conference – but row over Fukushima nuclear waste water will not be on agenda,” South China Morning Post, 19 March 2024)

ECONOMY
Evergrande founder Hui Ka Yan accused of inflated revenue fraud of USD 78 billion
On 19 March, BBC reported that the Chinese real estate giant Hui Ka Yan, the founder of the Chinese property firm Evergrande has been accused of USD 78 billion in fraud. Hui is accused of inflating the revenues of the company, the financial market regulator of China has now fined his mainland business of USD 583.5 million. The founder is now also banned from the Chinese financial market. This comes after the Hong Kong court also asked the Chinese firm to liquidate its assets. The China Securities Regulatory Commission (CSRC) blame much of the defaults owed by the company on the founder who inflated their revenue. The company Evergrande has been China’s biggest real estate project supported by the government. The liquidators have informed us that they would seize and sell off assets to repay the outstanding debts owed by the company. (“Evergrande: China property giant and its founder accused of $78bn fraud,” BBC, 19 March 2024)

CHINA & TAIWAN
China rebukes South Korea over Taiwan’s participation at the Summit for Democracy
On 18 March, Chinese Ministry of Foreign Affairs spokesperson Lin Jian opposed the Taiwanese participation in the third Summit of Democracy, held in Seoul, South Korea. Taiwan’s Digital Minister Audrey Tang attended the meeting and delivered a video message on the discrimination faced by Taiwan and that they face concerted cyber attacks regularly. He also said that they are willing to work with other like-minded countries and stakeholders to ensure the safe use of Artificial Intelligence. Lin urged South Korea to follow the “one-China” principle and that: “Taiwan is an inalienable part of Chinese territory.” (“China protests against Taiwan minister’s role at Seoul summit backed by the US,” The Straits Times, 18 March 2024)

CHINA & THE PACIFIC
China’s ties with New Zealand had been “at the forefront of China’s relations with developed countries,” says FM Wang Yi
On 18 March, in his five-day tour, the Chinese Foreign Minister Wang Yi said that China’s ties with New Zealand are “a force for stability in a turbulent world.” He held talks with Prime Minister Christopher Luxon, Foreign Minister Winston Peters, and Trade Minister Todd McClay in Wellington. Wang said, “China regards New Zealand as a rational and mature partner, and the relationship between China and New Zealand is strategic and long-term.” He also showed the country's willingness to celebrate the 10th anniversary of the Comprehensive Strategic Partnership and upgrade it for stronger bilateral relations between the two countries. He also urged the two countries to increase cooperation and counter the Cold War mentality, unilateralism, and protectionism. Peters acknowledged the differences between the two sides in areas such as human rights violations in Xinjiang, Hong Kong, and Tibet. He also raised regional security issues such as the South China Sea and Taiwan Strait. (Laura Zhou, “China and New Zealand are a ‘force for stability’ in a turbulent world, says Foreign Minister Wang Yi,” South China Morning Post, 18 March 2024)

CHINA & THE MIDDLE EAST
ADIA seeks to capitalize on the Chinese equities left by Western investors, says an Opinion in the Financial Times
On 19 March, according to an opinion in the Financial Times, The Abu Dhabi Investment Authority (ADIA) is willing to capitalize on the Chinese equities managed by Hong Kong-based PAG at a discount. They are being sold by Western investors, particularly the US, to reduce their reliance on China. PAG is one of Asia’s most prominent private equity groups, which manages more than USD 55 billion, including the state pension schemes in the US and investment funds in Canada, Australia, and Europe. It is led by Weijian Shan, who sat on Alibaba’s board. PAG could not raise new funds in 2022 due to Shan’s criticism against Beijing. According to Reuters, PAG aimed to raise funds of USD 9 bn; however, it could raise only 2.2bn by March 2023. In its long-standing interests and ties in China, ADIA intends to buy stakes in PAG funds at a discount. Western investors are increasingly worried about China as the geopolitical tensions have led to US restrictions on China and Beijing’s crackdown on foreign companies and investors. (Kanye Wiggins, Mercedes Ruehl, Chloe Cornish, “Abu Dhabi fund offers to buy out investors fleeing China private equity,” Financial Times, 19 March 2024)

CHINA & THE AMERICAS
Chinese battery maker Gotion more vocal in filing the lawsuit against Michigan township, says an Opinion in SCMP
On 19 March, according to an opinion in the South China Morning Post titled, “Embattled Chinese battery maker Gotion vows ‘more vocal’ US strategy after filing lawsuit in Michigan,” by Khushboo Razdan, Chinese battery maker Gotion sued Michigan’s Green Charter township for the breach of contract of USD 2.3 upcoming billion EV plant. VP of North American manufacturing for Gotion Inc., Chuck Thelen, said that people have been hearing many mistruths for nine months, and the company will be more vocal in conveying the truth. According to Khushboo, Gotion has been trying to address the community’s concerns through events hosted by Township officials. On 18 March, Thelen said their company was forced to file a lawsuit in a US federal court in Michigan on 15 March to protect its investments. So far, the company has invested USD 24 million to purchase 270 acres of land and incurred USD 500,000 in additional costs. Khushboo notes that Gotion faces public anger over its ties to China and the CCP. In November 2023, the Green Charter Township residents ousted five out of seven local government officials over their support to the Gotion project, and two Republican congressmen, John Moolenaar of Michigan and Darin LaHood of Illinois, had introduced the No Gotion Act in the US House. The bill prohibits companies affiliated with the CCP from receiving tax credits under the Inflation Reduction Act. (Khushboo Razdan, “Embattled Chinese battery maker Gotion vows ‘more vocal’ US strategy after filing lawsuit in Michigan,” South China Morning Post, 19 March 2024)

China PLA social media account criticizes US for deploying SpaceX spy satellites
On 17 March, based on a report by Reuters, China accused the US of deploying hundreds of SpaceX’s spy satellites in space, threatening global security. The report notes that the Starshield unit of SpaceX is building the satellite network under the classified USD 1.8 billion contract with the National Reconnaissance Office (NRO). One of the PLA’s social media accounts on Weibo said that the SpaceX programme exposes “US’s shamelessness and double standards” amid Washington’s accusation of Chinese companies threatening US security. Wang Yanan, chief editor of Aerospace Knowledge, said that the deployment of spy satellites poses a challenge to global security and stability. The Starshield entity is separate from SpaceX’s Starlink. China also said that it has studied the deployment of Starlink satellites in the Ukraine war and its risk to China and is willing to build its own satellite network in space. (“China’s military, state media slam US after Reuters report on SpaceX spy satellites,” The Straits Times, 19 March 2024)

CHINA & EUROPE
“Your re-election is a full demonstration of the support of the Russian people for you,” says President Xi Jinping
On 18 March, Chinese President Xi Jinping congratulated Vladimir Putin for winning the Presidential elections and said China is willing to deepen its partnership with Russia. On 17 March, Putin won a landslide victory in the recent presidential polls, cementing his power over the country. According to Xinhua News, President Xi said, “Your re-election is a full demonstration of the support of the Russian people for you.” The two countries strengthened their bilateral relationship amid the ongoing war in Ukraine and declared a “no limit” partnership in February 2022. Chinese Foreign Ministry spokesperson Lin Jian said that 2024 will mark 75 years of establishing diplomatic relations between China and Russia. (“China’s Xi congratulates Putin on election win, set to develop their ties,” The Straits Times, 18 March 2024)

EAST ASIA & THE PACIFIC READER

EAST ASIA
Korean youths say reunification between the North and South is not necessary, says South Korean Ministry of Unification
On 19 March, The Straits Times reported on the government survey, titled “4 out of 10 South Korean youth say ‘reunification not necessary’,” four out of ten students in South Korea responded that reunification between the North and South is not necessary. The survey was conducted in October 2023 by the Ministry of Unification and involved 73,991 students aged between six and 18 from all over the country. The survey highlights that around 38.9 per cent of the respondents believe that reunification is unnecessary, which is higher compared to its previous years at 31.7 per cent in 2022, 25 per cent in 2021, and 24.2 per cent in 2020. Also, 49.8 per cent of the respondents believed that reunification is necessary, which has reduced compared to the 2014 survey. Furthermore, around 28.3 per cent of the respondents are not interested in the reunification issue, which has increased marginally from 27 per cent in 2022. The survey points out that there is a growth in the negative perception of North Korea, with 80.6 per cent of the respondents being concerned about the escalating military conflict between the two countries. The Ministry of Reunification said that the growing provocations by Pyongyang have led to increased negative perceptions about North Korea among the respondents in South Korea and is ready to increase awareness to boost reunification efforts. (“4 out of 10 South Korean youth say ‘reunification not necessary’,” The Straits Times, 19 March 2024)

Taiwanese VP Visits Czech Republic
On 19 March, Taiwan's vice president-elect and former de facto ambassador to Washington, Hsiao Bi-khim, makes a trip to the Czech Republic after her recent trip to the US. China referred to her as a "diehard Taiwan independence separatist" and imposed sanctions on Hsiao. Ministry of Foreign Affairs of the Republic of China spokesperson Jeff Liu said that Hsiao was extended an invitation by Sinopsis think tank to the Czech Republic. Except for the Vatican, Taiwan has no formal relations with any European country. However, many central European countries have expressed their support to Taiwan amid the ongoing Russia-Ukraine war. (“Taiwan's vice president-elect makes Czech visit after US trip,” Reuters, 19 March 2024)

HIGHLIGHTS
CHINA & THE AMERICAS
Brazil launches investigation against Chinese industrial products dumping, says Analysis in the Financial Times
On 17 March, Brazil’s Ministry of Development, Industry, Trade and Services investigates the alleged industrial product dumping by China. They opened the probe to look into the past six months of imports on products ranging from metal sheets, pre-painted steel and tyres, etc. As China faces surplus production capacity there has been a flood of exports to China. In order to curb it, many European countries have imposed tariffs and Brazil joined the bandwagon by imposing temporary tariff hikes, as an “indispensable regulatory tool for combating these predatory operations and preserving the domestic market,” says the President of the Brazilian Chemical Industry Association, André Passos Cordeiro. This has created a dilemma for President Luiz Inácio Lula da Silva, who wants to further their relations with China while protecting the domestic industry. Another investigation found that by 2023 imports of carbon steel increased by 85 per cent and chemical phthalic anhydride rose to 2000 per cent between 2018-2023. Brazil is not the only country concerned, Vietnam also launched a similar investigation against the dumping of wind towers and steel products. The tariffs were also put in place after the US has been pressurizing countries, with Mexico recently imposing tariffs of 5-25 per cent on countries with which it does not have a free trade agreement. (Bryan Harris, Joe Leahy, A. Anantha Lakshmi, “Brazil launches China anti-dumping probes after imports soar,” Financial Times, 17 March 2024)

CHINA & SOUTHEAST ASIA
Filipino women trafficked to China as mail-order brides, warns Philippines Bureau of Immigration
On 18 March, according to a commentary in The South China Morning Post, titled “Filipino mail-order brides trafficked to China: alarm in Philippines over links to Chinese organised crime,” The Bureau of Immigration had recently warned of a complex trafficking scheme targeting Filipino women to China as mail-order brides linking to Chinese organised crime and trafficking syndicates. According to the immigration bureau, four couples have been arrested so far, and other documents looked original, thus prompting the officials to conduct further probes on these documents. Nathalie Africa-Verceles, a professor at the University of the Philippines’ Department of Women and Development Studies, said there is an organized crime group involved in the trafficking scheme and is responsible for the release of the legal marriage certificates. According to Ross Tugade, a human rights lawyer and professor of international law at the University of the Philippines, China’s gender gap is driving the demand for mail-order brides from the Philippines. Enriquez points out that women’s trafficking to China was a “historical phenomenon rooted in China’s patriarchal demand,” along with other Southeast Asian countries "such as Myanmar, Cambodia, Laos, and Vietnam used as source areas for women to be sexually exploited.” She also highlights the implications of China’s One Child Policy, which has resulted in an increased proportion of men to women by 35 million, thereby prompting Chinese men to search for wives. (Sam Beltran, “Filipino mail-order brides trafficked to China: alarm in Philippines over links to Chinese organised crime,” The South China Morning Post, 18 March 2024)

EAST ASIA
South Korea hosts Summit for Democracy in Seoul, warns against AI and digital risk to democracy
On 18 March, South Korea kickstarted the third Summit for Democracy, hosted in Seoul. South Korean President Yoon Suk Yeol addressing the gathering stated that the countries share the duty to exchange information on artificial intelligence and technology, to further promote democracy. He warned that AI and other digital technology without accountability are a threat to democracy. Yoon said: “Fake news and disinformation based on artificial intelligence and digital technology not only violates individual freedom and human rights but also threatens democratic systems.” The main agenda for the meeting was the threat and the use of technology for democracy. US Secretary of State Antony Blinken reached Seoul and stated: “As authoritarian and repressive regimes deploy technologies to undermine democracy and human rights, we need to ensure that technology sustains and supports democratic values and norms.” Several countries accused China and Russia of misusing technology and surveillance, where the Ministry of Foreign Affairs Republic of Poland’s undersecretary called out the “disgusting web of lies spun by Russian propaganda, accelerated by social media, deep fake techniques and omnipresent bots.” (“South Korea hosted summit warns of AI risks to democracy,” Reuters, 18 March 2024)

CHINA READER DAILY WIRE
INTERNAL
Growing recreational activities market for the aging population in China
On 17 March, according to an editorial in Reuters titled “Tutoring the Elderly Is Growing Fast in China,” the growing elderly population is creating an opportunity for Chinese companies to provide recreational classes such as yoga, African drumming, and smartphone photography. Qiu Peilin, the Beijing head of Mama Sunset, said that China’s education industries will rise as the elderly learning businesses have been growing in Beijing since April 2023. Consulting firm Frost & Sullivan predicts China's senior learning market will grow 34 per cent by 2027 to USD16.8 billion, up from USD3.8 billion in 2022. The growing demographic crisis threatens China’s industrial base, finances, and poverty alleviation efforts. However, it is also seen as an opportunity for the ever-increasing elderly population by many investors. In March 2023, Premier Li Qiang vowed to announce tax incentives and financial support for older people. Rachel He, research manager at Euromonitor, said that the Chinese elderly market has great potential but is doubtful compared to the markets in Japan and South Korea due to the deep income inequality mindset and conservative attitudes among them, thus making them spend less on themselves. (“Tutoring the Elderly Is Growing Fast in China,” Reuters, 17 March 2024)

ENERGY & ENVIRONMENT
Beijing may approve ten nuclear reactors every year, Chairman of China National Nuclear Corporation
On 15 March, according to a commentary in Bloomberg, titled “China’s Nuclear Energy Expansion Is Getting Even Faster,” by Dan Murtaugh, the Chairman of China National Nuclear Corporation, Jianfeng Yu, said that Beijing may approve ten nuclear reactors every year, thus increasing the pace of atomic energy expansion. According to BloombergNEF, China has 36 nuclear reactors under development and will overtake France and the US to become the world’s largest nuclear power source by 2030. Dan notes that China has increased its share of renewable energy sources by adopting solar and wind, leading to irregular energy generation. According to the World Nuclear Association, out of 16 countries that are building reactors, China holds half the reactors under construction. According to BloombergNEF, the cost of constructing a nuclear reactor is much less for China than for France and the US due to greater support from state-backed banks. Also, China focuses on keeping the same design for all its reactors, thereby allowing the creation of a skilled workforce with readily available supply chains and less time and cost to build them. (Dan Murtaugh, “China’s Nuclear Energy Expansion Is Getting Even Faster,” Bloomberg, 15 March 2024)

CHINA & SOUTHEAST ASIA
Chinese New Village internment camps nomination for UNESCO angers Malaysians
On 18 March, according to an opinion piece in The Straits Times titled “Why an idea to nominate Chinese new villages as a UNESCO site got Malaysians riled up,” the Chinese new village, with a population of 4,000 people, was one of the 631 internment camps for the Chinese people around Peninsular Malaysia set by the British colonialists during the Malayan Emergency from 1948 to 1960. On 01 February, Local Government Development Minister Nga Kor Ming announced that the work for UNESCO recognition for the village is in process and will promote Malaysian Chinese history and culture through tourism. Selangor's Chinese new village cultural recognition has led to massive internal debates and was rejected by many Malay nationalists. On 05 March, Opposition party Parti Pribumi Bersatu Malaysia’s youth chief Wan Ahmad Fayhsal Wan Ahmad Kamal critiqued the historical value of the site and called them Cold War relics where the country fought against the communists, and instead vouched for Kampung Baru Kuala Lumpur as a UNESCO World Heritage site. Umno noted that the proposal would undermine the rights of the Malays as the country’s indigenous communities. According to Azril, Nga belongs to the Chinese-led Democratic Action Party, which has been in controversy for undermining Malay Muslim rights. On 13 March, Former Petaling Jaya MP Kua Kia Soong said that the proposal was an insult to the Malays as the villages were concentration camps during British rule. (Azril Annuar, “Why an idea to nominate Chinese new villages as a UNESCO site got Malaysians riled up,” The Straits Times, 18 March 2024)

CHINA & THE PACIFIC
“Today is a valuable opportunity to reflect on the challenges and opportunities that are now before us,” says Chinese FM Wang Yi visiting New Zealand
On 18 March, Chinese Foreign Minister Wang Yi met his New Zealand counterpart Foreign Minister Winston Peters, in Wellington as he began his tour of the country and Australia. Peters said in his opening remarks, “There have been some significant developments since we last met, not least a global pandemic that impacted both our countries.” New Zealand was the first developed country to establish a bilateral free trade deal with China in 2008. Chinese foreign ministry spokesman Wang Wenbin said that the country is willing to work more to deepen the bilateral relations between the two sides and is ready to contribute to the China-New Zealand and China-Australia comprehensive strategic partnerships. On 20 March, Wang will meet his Australian counterparts in Canberra to discuss the Australian citizen Yang Hengjun’s detention case. (“China’s foreign minister meets New Zealand counterpart, beginning a trip that also includes Australia,” Associated Press, 18 March 2024)

CHINA & SOUTH ASIA
China gifts a “PNS Rizwan” spy ship to Pakistan
On 17 March, China gifted Pakistan with a research vessel or spy ship, PNS Rizwan is the first in its class for the Pakistan Navy to deter the Indian Navy’s growing power in the region. It measures 87 meters, which makes it smaller compared to India’s INS Dhruv, which was inducted into the Indian Navy in 2021 and had the capabilities to track nuclear missiles and gather intelligence in modern-day warfare. The induction of PNS Rizwan puts Pakistan on the elite list of countries to operate such ships, including India, France, the US, the UK, Russia, and China. According to open-source intelligence expert Damien Symon, Pakistan’s naval modernization aligns with China’s strategic interests in the Indian Ocean region by enhancing the capabilities of its allies. PNS Rizwan can give Pakistan the ability to deploy near India’s coasts to monitor India’s missile launches as well as map oceanographic data. Also, it boosts China’s intelligence-gathering operations in the Indian Ocean Region. (Vikrant Singh, “Pakistan Navy gets its first spy ship, courtesy China,” WION News, 17 March 2024)

Arunachal Pradesh is “Inherent part of China’s territory,” says Chinese Defence Ministry
On 18 March, the Ministry of National Defense People's Republic of China’s spokesperson Colonel Zhang Xiaogang stressed that Arunachal Pradesh is part of Chinese territory. He called it: “inherent part of China’s territory.” He reiterated that the “Xizang” (Chinese name for southern Tibet) is part of Beijing’s territory and that they do not acknowledge the so-called “Arunachal Pradesh” established by the Indian government. This comes after India rejected China’s unhappiness with Prime Minister Modi’s visit to the state. His remarks also come in light of India’s plan to increase military readiness in the region through the Sela Tunnel, Arunachal Pradesh. China considers Arunachal Pradesh to be South Tibet, a claim rejected by India and they even dismiss the “invented” name they have imposed on the region. The Sela tunnel is set to be built to provide connectivity and is strategically stationed in Tawang to ensure easy movement for the Indian troops. Zhang asked India to refrain from complicating the border issue and work towards maintaining peace in the region. (“Arunachal Pradesh ‘inherent part of China’s territory’, claims Chinese military,” The Indian Express, 18 March 2024)

CHINA & EUROPE
“Our national interests coincide,” says Putin on Russia-China relations
On 17 March, Russian President Vladimir Putin reinstated Sino-Russia relations in a victory speech post elections. He reckons that their relations will become stronger in the coming years. And stated that their relationship has a stabilizing factor and the personal equation between the two countries' leaders allows them to further develop their ties. Putin said: “Our relations have been taking shape over the past two decades. They are very strong and we are complementing each other.” Specifically referring to Xi Jinping he said that this good relationship will be maintained thanks to their good relations with the President of China. But even more vital he said is that: “our national interests coincide, and this creates a favourable environment for resolving our common tasks and in the sphere of international relations, where relations between Russia and China serve as a factor of stability.” (“Russia-China relations will become stronger, Vladimir Putin says in post-election victory speech,” South China Morning Post, 18 March 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
North Korea fires ballistic missiles as US State Secretary Antony Blinken visits South Korea
On 18, the South Korean Joint Chief of Staff informed that North Korea fired a ballistic missile test towards the east of the Korean peninsula. The test ballistic missile run is expected to be conducted in light of the US States Secretary Antony Blinken’s visit to Seoul for the Summit for Democracy. Japanese Coast Guards also confirmed the launch and said that the remainder of the launch had already fallen. The US has been an active ally of South Korea and has stationed several of its troops and military technology in the region, with both countries participating in regular exercises. This goes against North Korea’s wishes and they believe South Korea is inviting an external actor in the region and that the US is intervening in internal matters of the Korean Peninsula. (“North Korea fires ballistic missile towards the sea: South Korea military,” The Straits Times, 18 March 2024)

Taiwan’s Dunmu Goodwill Fleet kickstarts friendship tours towards the Pacific
On 16 March, the Taiwanese Navy started its friendship tour across the region and towards the Pacific. The marines of the Taiwanese Navy executed concrete-smashing stunts and somersaults before the ship boarded. The three warships will be participating in the tour are called the Dunmu Goodwill Fleet, they will first circle Taiwan and stop at various ports to showcase their talent. The visit to the Pacific Island stands crucial as the support for them dwindles after the elections, and Naru was poached by China. Taiwanese Naval Academy students expressed that as the tensions rise, they hope that this provides an opportunity for them to put their theoretical understanding to practice. The ships unfurled slogans stating: “Support national defence, protect the homeland.” (“Taiwan’s navy hosts warship tours before Pacific charm offensive,” The Straits Times, 17 March 2024)

HIGHLIGHT
CHINA & THE AMERICAS
The US House of Representatives voted in favour of banning TikTok
On 13 March, the House of Representatives voted with a total of 352 representatives in favour of passing the bill. China has opposed the Bill proposed by the U.S. Congress which aims to ban TikTok and has also accused the US of “unjustly” behaviour comparing it to a “Bandit.” According to the bill, TikTok’s parent companies will have 2 options either to separate themselves from TikTok or to face a ban. The concern over TikTok from the viewpoint of the lawmakers in the US is the user's data being misused. According to Wang Wenbin a Chinese Foreign Ministry Spokesman, the vote on the bill is against the principle of fair competition and justice. The CEO of TikTok Shou Zi Chew stated that this bill will lead to “Billions of dollars out of the pockets of creators and small businesses” and will also cause a job risk to the 300,000 Americans. On 13 March, The TikTok creators interviewed by the BBC said that they are worried about their livelihood and business if this bill becomes Law. On 14 March, the Government of Canada initiated a national security review of TikTok's expansion in the country, which began in September and is still ongoing but the Prime Minister of Canada Justin Trudeau chose not to provide any comment on the ban similar to the one proposed in the United States. (Bernd Debusmann, “TikTok ban: China attacks 'bandit logic' of House vote” BBC, 14 March 2024)

CHINA & THE PACIFIC
Fiji reaffirms policing cooperation deal with China
On 15 March, Reuters quoted the Guardian Australia News where, Fiji confirmed to maintain the Policing cooperation deal with China, despite concerns raised in Australia. Fijian Home Affairs Minister Pio Tikoduadua stated that Fiji would revert to the original police agreement with China after a 12-month review. This confirmation came after the Fijian Prime Minister, Sitiveni Rabuka, put on hold the decade-old police cooperation deal between Fiji and China because of the differences in policing, investigations, and legal systems. On 15 March, according to Guardian Australia Pio Tikoduadua, only Fijian officers would undergo training in China, with no embedding of Chinese officers within the Fiji police force. In February, Australia's Pacific Minister, Pat Conroy, emphasized that there would be no role for China in policing the Pacific Island. Earlier in 2024 China's ambassador to Australia has countered this view by stating that China aims to form ties with Pacific Island countries to maintain the social order. (“Fiji upholds China policing agreement, Guardian Australia reports” Reuters, 15 March 2024)

CHINA & SOUTHEAST ASIA
“China does not want Vietnam to join the United States and its allies,” China warns Vietnam, an Opinion in VOA
On 15 March, VOA published an opinion titled, “China Gives Warnings on Vietnam-Australia Strategic Relationship,” by An Hai who quoted the spokesperson from the Ministry of Foreign Affairs of the People’s Republic of China, Wang Wenbin responding to a question by Shenzen TV on the Comprehensive Strategic Partnership (CSP) agreement between Vietnam and Australia saying, “Promoting bloc confrontation and creating exclusive circles runs counter to current trends and the shared goals of the nations in the region.” An, stated that Vietnam had signed CSP with China, India, Japan, the United States, Russia and South Korea. But China expressed its uneasiness, as the joint statement by the Prime Minister of Vietnam, Pham Minh Chinh and the Prime Minister of Australia, Anthony Albanese plans to settle the disputes in the South China Sea by peaceful means. A believes that China does not want Vietnam to join the United States and its allies. However, since Vietnam’s initial goal is to establish a security balance, China cannot be offended, said Ha Hoang Hop, an Associate Senior Fellow with Singapore’s ISEAS Yusof Ishak Research Institute. (An Hai, “China Gives Warnings on Vietnam-Australia Strategic Relationship,” VOA, 15 March 2024)

CHINA READER DAILY WIRE
INTERNAL
Appointment of a new press official for the Ministry of Foreign Affairs of China
On 15 March, the Ministry of Foreign Affairs of the People’s Republic of China announced on its website that a new senior press official, Lin Jian was appointed as the Deputy Director General of the Ministry’s Press unit to work on the release of information on diplomatic events and foreign policy. Lin graduated from Beijing Foreign Studies University and was sent to Denmark for studies by the Ministry of Foreign Affairs. He worked as a career diplomat in Warsaw and Copenhagen and returned home to work at the Foreign Ministry’s European Affairs Department. Lin served as Communist Party Chief at the Xinjiang Production and Construction Corps. (Sylvie Zhuang, “China’s foreign ministry brings in new press official from Xinjiang,” South China Morning Post, 15 March 2024)

CHINA & TAIWAN
Chinese Coast Guards to increase patrols near the Kinmen islands
On 15 March, Chinese Coast Guards issued that they plan to increase patrols near the Taiwan-administered Kinmen Islands amid rising Chinese fishing boat accidents. This comes after the February incident where a Chinese fishing boat was chased by Taiwanese Coast Guards for entering “prohibited waters” collapsed close to the island after the collision, this killed two crew members of the Chinese fishing boat. This led to a heated diplomatic row between China and Taiwan, both blaming each other. After the incident the Chinese Coast Guards stated, “We will continue to patrol to ensure the safety of the property of Chinese fishermen including Taiwan’s.” (“China steps up patrols around outlying Taiwan islands,” The Straits Times, 15 March 2024)

CHINA & SOUTHEAST ASIA
Philippine's efforts to reinforce its outpost in the South China Sea, “doomed to failure,” says Chinese Defence Ministry
On 15 March, a spokesperson from the Ministry of Defence of the People’s Republic of China, Zhang Xiaogang stated that the Philippines' effort to reinforce its outpost in the contentious water is set to face doom. On 05 March, the vessels of China and the Philippines collided near the Second Thomas Shoal, where the Philippines tried to carry out a resupply mission at the Thomas Shoal. Following the incident, Zhang stated, “It is the Philippines side that resorted to deception. Such illegal actions have violated the sovereignty of China.” After the incident this month, the Philippines stated clearly that Manila would not permit Beijing to remove its military base located on the Second Thomas Shoal. Later, Zhang further warned Manila to stop any further "provocative actions" that could intensify the conflict. (Dewey Sim, “‘Doomed to failure’: Beijing warns Manila against bolstering South China Sea outpost after ships collide,” South China Morning Post, 16 March 2024)

CHINA & THE AMERICAS
“Supremely ironic” the US Ambassador on Beijing’s position on TikTok ban  
On 15 March, the United States Ambassador to China Nicholas Burns said that the position of Beijing is “supremely ironic” on the bill banning TikTok, stating that China itself puts censorship on the various online platforms within its territory. China has opposed the bill passed on 13 March stating that the bill is “unjustly suppressing foreign companies”. During an online seminar held by the East-West Centre, a US-based research organization US Ambassador Nicholas Burns stated that China’s stance is unjustified as China itself has banned TikTok not making it available for its 1.4 billion citizens. The online platform is closely watched by the Chinese government with tight control over it, no information against the government or China can be surfed online. Douyin by TikTok’s parent company has been used as a replacement for TikTok inside China. The next step for the bill is to be passed in the US Senate, on which President Joe Biden stated that if the bill gets passed in the Senate, he will surely sign it. ( “US ambassador says Beijing’s stance on TikTok ban ‘supremely ironic’”  The Straits Times, 15 March 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Senior doctors resign in solidarity with Junior Medical professionals
On 16 March, A group of Senior South Korean Doctors announced that they would step down and resign from their posts on 25 March in solidarity with junior medical professionals. On 20 February, many trainee doctors in South Korea walked out from their work and started protesting against the governmental initiatives aiming to alleviate doctor shortages by expanding medical student intakes. According to the government the nation has however managed to stave off a complete catastrophe. Professor Bang Jae-seung, the head of the group said that Doctors from 20 universities have voluntarily decided to submit their resignation on 25 March but until the resignation has been filed all the doctors continue to do their duties as they were doing it before the strike. The South Korean Health Ministry clearly stated that there will be no negotiation and implementation of the reforms will happen “without wavering”. If the strike continues then the doctors and medical students have to face legal action and their licenses will be suspended too. The government aims to admit 2000 medical students from 25 March. Prof Bang has requested the government to reconsider this and if not it will be impossible to negotiate further. The junior doctors have also submitted a letter to the International Labour Organization requesting “emergency intervention”. (“South Korean senior doctors to resign in support of junior medics’ walkout” The Straits Times, 16 March 2024)

Fukushima nuclear wastewater release suspended after the earthquake
On 15 March, the Japan Meteorological Agency reported that Japan was hit by an earthquake of 5.8 magnitudes on the coast of the northeastern Fukushima region. Amidst the Earthquake the nuclear release of wastewater from Japan’s stricken Fukushima Daiichi nuclear plant was suspended. According to the operator of the nuclear plant, this was a precautionary measure. Tokyo Electric Power Company (TEPCO) also stated that there were no abnormalities in the system but they have suspended the operations by the “predefined operational procedures”. Japan’s nuclear regulatory authority has also supported this and stated that there were no abnormalities in the Fukushima Daiichi plant. From August 2023 Tokyo Electric Power Company has started to release the nuclear wastewater into the Pacific Ocean which is the waste collected at Fukushima Daiichi since the 2011 accident. This release of the wastewater is criticized by China and Russia which has led to the ban on Japanese seafood imports. (“ Japan suspends Fukushima water release after quake as precaution” The Straits Times, 15 March 2024)

Hong Kong court sentenced 12 pro-democracy protesters to 7 years of imprisonment  
On 16 March, The Hong Kong Court of Law passed the verdict and sentenced 12 accused to up to 7 years of imprisonment for the 2019 pro-democracy demonstration where the protestors broke into the legislative council. On 1 July 2019, the 22nd anniversary of Hong Kong’s handover of the territory from British to Chinese sovereignty, a large number of protestors broke into the city’s legislature building and vandalised the infrastructure.  There were 14 people who were accused of participating in the protest and later charged with the offence of riots, criminal damage, and trespassing in the legislative chamber. Out of these 14 accused 12 people were sentenced to up to 7 years in prison and the rest 2 accused were charged with a fine of HKD1,500 (USD190). Deputy judge of the district court of Honk Kong Li Chi-ho stated that “Aside from the actual damage to the building, it had a symbolic meaning which was challenging the Hong Kong government and even weakening its governance,” According to a children’s rights activist and a former student leader, Althea Suen the actual crime which the protestors have committed is the “pursuit of democracy, freedom of thoughts and free will”. The protest is said to be a demonstration against the government bill to amend the fugitive offender’s ordinance regarding extradition. (“Hong Kong court jails 12 for storming parliament in pro-democracy protests” The Guardian, 16 March 2024)

HIGHLIGHTS
CHINA & TAIWAN
China objects to Taiwan Vice President’s visit to US
On 12 March, Chinese officials objected to newly elected Taiwanese Vice President Hsiao Bi-khim’s private visit to the US. Chinese Embassy Spokesman Liu Pengyu said that the country firmly opposes any form of official interaction between the US and "the Taiwan region” and referred to Hsiao as "a diehard 'Taiwan independence' separatist." He added that the US must not facilitate any contact between the US government officials and Hsiao Bi-Khim. Taiwanese officials clarified that Hsiao will be in the US for the next few days and is on a low-profile personal trip. The US State Department reiterated that Hsiao would be travelling in her capacity. Hsiao was Taipei's de facto ambassador to the United States from 2020 until 2023, when she joined the Taiwanese presidential race and decided in an election in January 2024. (“Taiwan's vice-president elect Hsiao on 'personal trip' to the US; China objects,” The Straits Times, 13 March 2024)

CHINA & TAIWAN
Taiwan redefines first strike definition against China
On 12 March, according to an analysis in The Straits Times, the Ministry of National Defense of the Republic of China updated its definition of “first strike” to include any warplane or vessel incursion into its territorial space. This highlights a shift away from the Taiwanese military’s traditional rule of engagement, where the armed forces are authorised to respond only after an enemy has fired a first shot, such as a missile or artillery shell. Taiwan defines its territorial space as 12 nautical miles from its coast, which is in line with international conventions. Taiwanese Defense Minister Chiu Kuo-cheng said, “We should not rashly provoke war, but we must strengthen combat readiness.” While the Defense Ministry’s comments focused on air space, Chiu’s statement also focused on covering territorial waters. Dr Chen Liang-chih, a military expert at Taiwan’s Institute for National Defence and Security Research (INDSR), said that China’s grey zone tactics to intimidate Taiwan are increasing daily by erasing the median line concept and moving close to Taiwan. He further said that Beijing might increase its pressure tactics close to May during the President’s inauguration to weaken Lai’s credibility before taking office. (“‘Cannot be passive forever’: Taiwan updates definition of ‘first strike’ to counter China,” The Straits Times, 12 March 2024

CHINA & THE AMERICAS
China to use TikTok to influence 2024 US elections, says the US Director of National Intelligence
On 13 March, according to an analysis in The Guardian, the Director of National Intelligence, Avril Haines, said during the House of Representatives intelligence committee hearing that China could use the social media app TikTok to influence the 2024 US elections. Lawmakers also raised concerns about the growing influence of the Chinese government over the app and its content, creating US political divisions. Democratic Representative Raja Krishnamoorthi, along with Republican chair Mike Gallagher, introduced the bill last week that would give TikTok’s Chinese owner ByteDance six months to divest its stakes from the company. The House is scheduled to vote on the bill on 13 March. On 11 March, the 2024 annual threat assessment of the US Intelligence Community reported that the Chinese propaganda arm used TikTok accounts to target candidates from both political parties during the US midterm election cycle 2022. FBI Director Christopher Wray voiced the same concerns and said that TikTok will compromise their devices to Chinese interference. (“China could use TikTok to influence US elections, spy chief says,” The Guardian, 13 March 2024)

CHINA READER DAILY WIRE
INTERNAL
Chinese citizens question beverage giant Nongfu Spring national allegiance, calls for boycott
On 13 March, according to an opinion in The Strait Times, Chinese domestic beverage brand Nongfu Spring faced boycott calls from mainland nationalist citizens, questioning their national allegiance, the firm is facing in working in a highly patriotic environment. The boycott calls started after the death of the founder of key rival Hangzhou Wahaha Group on 25 February, leading to a sharp drop in its stock by 06 per cent on the Hang Seng China Enterprises Index. The critics argue that the packaging of Nongfu Spring has some elements linked to Japan. Other criticism includes the old debate on Nongfu’s superior water quality over Wahaha and other brands. Some critics blame the company as its founder, Zhong Shanshans’ son, possesses a US passport, doubting the family’s allegiance to China. The growing nationalistic pressure is backlashing some domestic firms amid the country’s pivot from foreign brands. The nationalistic sentiments also create challenges for the government’s efforts to restore the country’s private sector, which has been subjected to tight regulations in achieving the 5 per cent growth rate. The Supreme Court has vowed to punish online attacks against domestic entrepreneurs to facilitate a conducive environment for the nation’s economy. (“China bottled water giant Nongfu Spring faces boycott calls,” The Straits Times, 13 March 2024)

One killed and many injured in a building explosion near Beijing
On 13 March, one person was killed, and 22 people were hurt in a four-storey building blast near Beijing. The explosion occurred at 7:54 am in Sanhe county of Langfang in northern Hebei province, neighbouring Beijing. The government stated that the explosion happened due to a gas leak at a fried chicken restaurant in Yanjiao, a town in Sanhe. The municipal department had dispatched 36 vehicles and 154 personnel to the blast scene. (Alyssa Chen, “1 dead and more than 20 hurt in China after blast tears down 4-storey building near Beijing,” South China Morning Post, 13 March 2024)

ECONOMY
China’s mounting local government threatens’ its target growth: Opinion in The Financial Times
On 13 March, an opinion in the Financial Times, China has started ending infrastructure projects in debt-ridden provinces to curb infrastructure spending to meet its target economic growth. Many analysts project that China’s ambitious 5 per cent target annual growth rate announced during the Two Sessions meeting will be difficult to achieve. According to Michael Pettis, a finance professor at Peking University, the Chinese government focused on tackling the real estate crisis in 2021 and is now focused on addressing the local debt issue. According to a policy document referred to by the Financial Times, China’s State Council to maintain oversight on the government projects for the ten debt-laden provinces. Many local governments tried to seek debt relief on the sidelines of the NPC’s two-session meeting. As per Goldman Sachs analysis, China is trying to reallocate the fiscal stimulus by scrapping the debt-ridden projects in indebted areas to other provinces for balanced growth. Chris Beddor of Gavekal Dragonomics says that the local government’s attempts to restructure the debts through bank-issued bonds are not ideal in the long term and will create many policy errors for its growth target. (Joe Leahy; Ryan McMorrow; Cheng Leng, “China’s treatment of local debt ‘ulcer’ threatens growth target,” Financial Times, 13 March 2024)

CHINA & EAST ASIA
“Behave cautiously and in a neutral manner,” Chinese Foreign Ministry warns South Korea
On 12 March, the Ministry of Foreign Affairs of the People’s Republic of China warned about South Korea’s behaviour in the disputes between Beijing and Manila in the South China Sea (SCS). The Ministry Spokesperson Wang Wenbin expressed severe concerns about South Korea’s comments about a collision between Chinese and Philippine coast guard vessels near the Second Thomas Shoal last week. Wang pointed out that South Korea is not part of the South China Sea disputes and has repeatedly blamed China over many years. He also said that Seoul has abandoned its neutrality stance. On 07 March, a spokesman for the Ministry of Foreign Affairs of the Republic of Korea said that Seoul was “deeply concerned about the dangerous situation” and “use of water cannons against the Philippine vessels in the South China Sea.” The Second Thomas Shoal, known as Renai Jiao in China and Ayungin Shoal in the Philippines, is an uninhabited reef located within the Philippines' 200-nautical mile exclusive economic zone. Using its Nine Dash Line claims, China is trying to claim sovereignty over the entire Spratly Islands. (Liu Zhen, “‘Watch yourself’: Beijing warns South Korea after remarks on South China Sea clashes,” South China Morning Post, 12 March 2024)

CHINA & SOUTH ASIA
Chinese Foreign Ministry fields diplomatic protests against PM Modi’s Arunachal visit
On 11 March, China issues diplomatic protests against PM Modi’s visit to Arunachal Pradesh on 09 March and said that India’s actions would complicate the border issue. On 09 March, PM Modi inaugurated the Sela Tunnel, which was built at an altitude of 13,000 feet in Arunachal Pradesh. India had rejected Chinese claims and said that Arunachal Pradesh is an integral part of India, and China’s invented names won’t change the reality. Chinese foreign ministry spokesperson Wang Wenbin said, "Zangnan area is Chinese territory," and opposes India’s right to develop the area arbitrarily. (“China lodges protest over PM Modi's visit to Arunachal,” The Times of India, 12 March 2024)

CHINA & EUROPE
China’s new diplomatic initiative to repair ties with EU: VOA Analysis
On 12 March, according to an analysis in the VOA, China launched new diplomatic initiatives to repair its ties with the EU by sending its special envoy on Eurasian affairs on shuttle diplomacy to many European countries. Last week in a press conference, Chinese Foreign Minister Wang Yi countered the EU’s outlook on China as “a partner, competitor and systemic rival” and stressed that “common interests outweigh differences.” He said, “China and Europe do not have clashing fundamental interests between them or geopolitical and strategic conflicts.” Justyna Szczudlik, a China analyst and deputy head of research at the Polish Institute of International Affairs, says that China is attempting to revive ties with the US and EU as Western sanctions are hurting the Chinese economy. Sari Arho Havren, an associate fellow at the Royal United Services Institute, said that despite Beijing’s efforts, the old strains remain, including trade imbalance and China’s stance on the Ukraine war. Beijing had recently extended visa-free travel to six other European countries to amend ties with the EU. Chinese special envoy on Eurasian affairs, Li Hui, conducted a second round of shuttle diplomacy to Russia, Brussels, Poland, Ukraine, Germany, and France in early March to oppose its stance against EU’s sanctions on Chinese companies. He told his European counterparts that Ukraine’s territorial integrity would be ensured only when the EU stopped sending its arms to Kyiv. (William Yang, “China Renews Diplomatic Push to Repair Strained Ties with EU,” VOA, 12 March 2024)

CHINA & THE AMERICAS
China opposes US’s 100 million dollar proposal to strengthen Taiwan’s cross-strait deterrence
On 12 February, China rejected the US administration’s budget proposal to seek USD 100 million to help strengthen Taiwan’s cross-strait deterrence. Chinese Ministry of Foreign Affairs spokesperson Wang Wenbin said, “China strongly opposes US’ efforts to arm Taiwan and will take resolute measures to firmly safeguard its own sovereignty and territorial integrity.” The US Department of State, in its standalone 2025 budget, said that it is a “historic investment in Taiwan’s security … [to] strengthen deterrence and maintain peace and stability across the Taiwan Strait.” The US Department of Defense sought USD 500 million under the US Pacific Deterrence Initiative to replenish weapons that would enable Taiwan to address Chinese aggression in the region. The funding requests are part of a USD 7.27 trillion budget by US President Joe Biden for the 2025 financial year. The Deputy Secretary of State for Management and Resources, Richard Verma, said that the USD 100 million aid would strengthen Taiwan’s capability and assure the US’s commitment to security assistance for the island country to ensure a free and open Indo-Pacific. He added that the funding was part of the International Military Education and Training Programme (IMET), which assists cooperation between the US and foreign militaries. The budget requests come as Taiwan continues to face increased threats from the PLA. (Lawrence Chung, “Beijing hits back after Biden White House seeks US$100 million to boost Taiwan’s cross-strait deterrence,” South China Morning Post, 12 March 2024)

HIGHLIGHTS
INTERNAL
Chinese Communist Party amends law to uphold party leadership over the State Council
On 11 March, South China Morning Post reported on the legislature (NPC) passing a revised law allowing the CCP to gain more control over the State Council, ending the separation of power between the party and the state. It amended the Organic law of the State Council with 2,883 votes in favour, eight against, and nine abstentions. The amended law states that the State Council must uphold the party leadership and follow the political teachings of the party leadership, including President Xi Jinping. Deng Yuwen, former deputy editor of Study Times, said that Xi has revived Chairman Mao’s famous slogan: “Government, the military, society and schools, north, south, east and west – the party leads them all.” According to Zheng, the State Council law was passed in 1982 by Deng Xiaoping, which pushed for the separation of party and the government to prevent the concentration of power seen during the Mao era, especially the Cultural Revolution. The party’s control over the cabinet took place under Xi’s presidency. According to Deng Yuwen, an independent researcher, this amendment will make Xi the sole decision-maker for all policy matters. (William Zheng, “‘Two sessions’ 2024: China ‘all about the party’s leadership’ as it gets more control over cabinet,” South China Morning Post, 12 March 2024)

CHINA & THE AMERICAS
Ukraine to lose war without American aid , and bolster Chinese ambition in Taiwan and SCS, says CIA
On 11 March, according to a report from the Annual Threat Assessment 2024 in The New York Times, Senior US Intelligence officials warned of Ukraine losing the war with Russia without American as Russia continues to get regular and ample  supply of arms and technology  from China. During the public testimony, the officials predicted that any delays in US aid to Ukraine would translate into additional territorial gains by Russia, and its impact would be visible in Europe and the Pacific. CIA director William Burns told the US Congress that the delays in US aid to Ukraine would create doubts amongst its allies and partners in the Indo-Pacific and would drive Chinese ambitions from Taiwan to the South China Sea. Director of National Intelligence Avril D. Haines expressed her concerns about Ukraine’s ability to maintain their advances amid a sustained surge in Russia’s ammunition production and purchase from North Korea and Iran. Burns mentioned that the additional US aid of USD 62 billion will enable Ukraine to pose long-term costs against Russia and can strike deep inside Russian territories of Crimea and the Black Sea fleet. (David E Sanger; Julian E Barnes, “Intelligence Officials Warn of Losses for Ukraine Without More U.S. Aid,” The New York Times, 11 March 2024)

CHINA & SOUTHEATS ASIA
Chinese companies to boost energy investments in Laos
On 12 March, according to an opinion in Nikkei Asia titled “China goes big on Laos power projects, boosting Southeast Asian sway,” Chinese state-owned companies are expanding their investments in hydroelectric power plants and transmissions in Laos, which is aiming to become the “battery of Southeast Asia.” The Nam Ou hydroelectric plant has seven dams and was built by the Power Construction Corp. of China, or PowerChina, at a cost of USD 2.8 billion. The plant began its full operation in 2021 with an annual capacity of 5,000 gigawatt-hours, equivalent to a small nuclear power plant. According to the American Enterprise Institute, Chinese companies invested USD 3.2 billion in Laos’ energy sector in March 2023, which is 30 per cent higher than the previous five years. According to Akama, PowerChina intends to build another new hydroelectric power plant in Pak Lay in the western part of the country in 2032. Furthermore, China General Nuclear Power plans to start generating solar and wind power in northern Laos. According to World Bank data, Laos' public debt has reached 125 per cent of its GDP, and China accounts for 50 per cent of its debt. At present, electricity exports are the main source of Lao’s foreign currency. (Kenya Akama, “China goes big on Laos power projects, boosting Southeast Asian sway,” Nikkei Asia, 12 March 2024)

CHINA READER DAILY WIRE
CHINA & SOUTHEAST ASIA
Manila must not invite other countries to intervene in SCS disputes, says Chinese FM spokesperson
On 11 March, Chinese foreign ministry spokesman Wang Wenbin said that the countries concerned in the territorial disputes, including resource exploitation, must not undermine China’s overall interests in the South China Sea (SCS) and must not invite extraterritorial countries to intervene in this dispute. He also said that the two sides must be careful and properly handle the dispute. Philippine ambassador to the United States Jose Manuel Romuadez said, “When the time comes that we are going to start exploring it, we’ll have the options to be able to see how we can secure the expedition,” and “we’re working closely with our allies, not only the US but also Japan and Australia.” According to Zhou, the SCS basin is expected to have 11 billion barrels of untapped oil and 190 trillion cubic feet (5.4 trillion cubic metres) of natural gas. However, territorial disputes exist among China, Vietnam, the Philippines, Taiwan, Malaysia, and Brunei, thus leading to tensions among the rival claimants. With the detreating ties with Beijing, Manila has recently increased its efforts to extract oil and gas in the Sulu Sea with an Israeli company named Ratio Petroleum Energy LP to conduct a 3D seismic survey in April 2024. (Lara Zhou, “South China Sea: energy exploration should not involve countries outside the region, Beijing says,” South China Morning Post,” 11 March 2024; “Philippine envoy says US key to Manila’s plan to tap oil, gas in South China Sea,” The Strait Times, 11 March 2024)

Countries placing higher priority on supply chain resilience and security: Editorial in The Guardian
On 11 March, according to an editorial in The Guardian titled “The Guardian view on supply chains: not only just in time, but just in case,” the US is increasingly concerned about the stagnant port infrastructure, especially the crane construction, which has not taken place in the US for decades, and the Biden admin has allocated USD 20 bn to the industry. In 2023, the EU foreign affairs chief, Josep Borrell, said, “a paradigm shifts from the primacy of open markets to the primacy of security; from ‘just in time’ to ‘just in case’.” The editorial also mentions the role played by the pandemic and its impact on the countries, forcing them to think about the debate between the efficiency and resilience of supply chains, the increasing climate change events, and the growing cyber-attacks on the world. According to a survey published by the British Chambers of Commerce in February 2024, the cost of containers from Asia to Europe has increased by 300 per cent, and consumers are suffering because of the increased price of supply chain disruptions. The editorial mentions the growing discussions on globalization and its successive terms, such as onshoring, friend-shoring, or nearshoring. The US is concerned about the potential war with China over Taiwan and its impact on the logistics. (“The Guardian view on supply chains: not only just in time, but just in case,” The Guardian, 11 March 2024)

EXTERNAL
Joint naval exercises between China-Russia and Iran near the Gulf of Oman
On 11 March, according to the Ministry of National Defense, the People’s Republic of China, China, Russia, and Iran are conducting joint naval exercises from 11 March to 15 March 2024 near the Gulf of Oman. The exercise aims to strengthen maritime cooperation and jointly safeguard regional maritime security. According to Iran’s state news agency, IRNA, the drills are set to start on 12 March with naval representatives from Pakistan, Kazakhstan, Azerbaijan, Oman, India, and South Africa as observers. Beijing said that it will send its guided missile destroyer Urumqi, guided missile frigate Linyi, and comprehensive supply ship Dongpinghu. Russian news media says that the exercise will enhance greater maritime security. It also reported that Russia sent ships from its Pacific Fleet, led by the Varyag cruiser. The exercise comes amid the ongoing tensions in the Red Sea due to the ongoing war in Gaza and the attacks on vessels by Houthi rebels. In 2023, former Chairman of the Joint Chiefs of Staff Mark Milley said that the alliance between the three countries would pose problems for the US in the long term. (Samuel Weinmann, “China, Iran, Russia Host Naval Drills,” VOA, 11 March 2024)

CHINA & THE PACIFIC
Concerns over delayed US aid delivery to the Pacific Islands
On 12 March, according to an opinion in The Guardian, titled “The US funding deal is good for the Pacific. But the key is what happens next,” after long delays, the US Congress approved a USD 7 billion funding package for the three Pacific Island countries (PICs) namely the Marshall Islands, Federated States of Micronesia and Palau on 08 March. The approval was meant to renew the Compacts of Free Association (Cofa) agreements, which focused on critical services for these countries for the next twenty years and provide special migration facilities to the US. In return, the US will receive exclusive access to the strategically located Pacific Island countries. According to the authors, the risk remains high as the chances of US attention diverting from PICs to Taiwan, Ukraine, and Gaza remain high. The main concern is the money, as the US has yet to deliver on USD 1 billion in aid committed to the previous two US-Pacific summits. Australia’s minister for the Pacific, Pat Conroy, China has increased its policing in the Solomon Islands and Kiribati. Another major risk is the increasing disturbances caused by climate change, natural disasters, and election interference. The US has an advantage in terms of assets like Market access, services to boost education, health, and infrastructure, and building relationships for greater community engagement with the PICs. (Meg Keen; Mihai Sora, “The US funding deal is good for the Pacific. But the key is what happens next,” The Guardian, 12 March 2024)

CHINA & SOUTHEAST ASIA
Cambodian shipments increasingly relying in Chinese-built canals
On 12 March, according to an opinion in Nikkei Asia titled “Cambodia to divert Mekong trade via China-built canal, vexing Vietnam,” Cambodia plans to shift its future trade along the USD 1.7 billion Chinese-funded Funan Techo canal, which connects Phnom Penh with Cambodian ports on the Gulf of Thailand, bypassing Vietnam's controlled waters of the Mekong Delta. Cambodian PM Hun Manet appealed for this canal construction as it creates geopolitical tensions due to the shifting of Cambodia’s dependence away from Vietnam, which not only undermines Hanoi’s regional leverage but strengthens Beijing’s influence in the Southern Mekong. According to Brook, the Chinese canal could pose a fault line between Cambodia and Vietnam amid increasing regional polarity. Cambodian officials note that the new canal would reduce shipping costs by 30 per cent, thus increasing the critical export industries, especially the garment industry. As per Mekong expert Brian Eyler, Camdoaian claims of limited environmental impact are wrong and will be worse than its estimates, and that the new canal will impact the Mekong Mainstream based on the maps submitted to the Mekong River Commission (MRC) Secretariat. (Jack Brook, “Cambodia to divert Mekong trade via China-built canal, vexing Vietnam,” Nikkei Asia, 12 March 2024)

CHINA & THE AMERICAS
Biden pressured to investigate against unfair practices by Chinese shipbuilders
On 12 March, the US Union Steel Makers union requested President Joe Biden to conduct an investigation against the alleged unfair Chinese economic practices in the shipbuilding and maritime logistics sectors. The USW and other unions will lodge a petition with the Trade Representative highlighting discriminatory practices that helped the Chinese shipbuilding industry. Former President Donald Trump used the same statute, Section 301 of the Trade Act, to justify the imposition of tariffs on Chinese imports in 2018. The union highlighted CCP’s strategy to dominate global trade through its shipbuilding industry and engage in predatory trade, and it is happy with Biden's admin policy to revive domestic supply chains. The unions are seeking to build momentum in this policy by reviving the US commercial shipbuilding industry. According to Demetri, it is expected that President Biden will unlikely turn down the investigation request due to the upcoming 2024 US Presidential elections. He highlights that any investigations against Beijing will create tensions between the US-China relations. This comes after the US Congress agreed to USD 52 billion to build a domestic chip-building industry. (Demetri Sevastopulo, “US steel unions urge Joe Biden to open probe into Chinese shipbuilding,” Financial Times, 12 March 2024)

US faces an “increasingly fragile world order,” says Annual Threat Assessment Report 2024
On 11 March, according to a report titled “Annual Threat Assessment 2024” in The Guardian, the US faces an “increasingly fragile world order,” due to great power competition, transnational challenges, and regional conflicts. The report also highlights an ambitious China, a confrontational Russia, some regional players like Iran, and capable non-state actors challenging the US primacy in the international system. The report mainly focused on the growing threats from Russia and Ukraine amid the ongoing Ukraine and Gaza war. The report points out China’s growing security assistance to Russia and its potential interference in US elections due to less intent to criticise China and increased US societal division. As per the US intelligence assessment, CIA director William Burns told the Senate Intelligence Committee that Putin was not serious about ending the conflict despite economic consequences and that Russia is becoming an economic vassal to China. The director of national intelligence, Avril Haines, said that the US Congress must continue its support to Kyiv and also send a tough message to China on its aggression against its neighbours such as Taiwan or in the South China Sea. (“US faces ‘increasingly fragile world order’ amid Russia and China threat,” The Guardian, 11 March 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Bilateral meeting between North Korea and Mongolia
On 11 March, the Ministry of Foreign Affairs of Mongolia said that North Korean Vice-Minister of Foreign Affairs Pak Myong Ho held talks in Mongolia with his counterpart, Amartuvshin Gombosuren. It was an unexpected trip, as North Korea plans to expand its diplomatic ties after its tight isolation during the Covid-19 pandemic. The last visit from North Korea to Mongolia was made by the country’s General Federation of Trade Unions of Korea in 2019. The ministry said that the two sides discussed the steady development of their bilateral relationship and to focus on international and regional cooperation. On 10 March, Pak also met Mongolian Foreign Minister Battsetseg Batmunkh. The ministry sent an invite to North Korea for the 9th International Conference on North-east Asian Security “Ulaanbaatar Dialogue” as well as the World Women’s Forum later in 2024. The two sides agreed to cooperate in areas such as education and culture. (“North Korea’s vice-foreign minister in Mongolia on rare visit,” The Strait Times, 11 March 2024)

HIGHLIGHTS

CHINA & AFRICA
China gets a head start in in Zimbabwe amid global rush for lithium, Opinion
On 10 March, according to an Opinion in the South China Morning Post titled “China strengthens its grip on global lithium trade amid processing plant building boom in Zimbabwe,” by Jevans Nyabiage, China rushed for the lithium reserves as its major companies, such as Zhejiang Huayou Cobalt, Sinomine Resource Group and Chengxin Lithium Group, sets up the processing plants in Zimbabwe in 2023. According to Jevans, Zimbabwe is home to the world’s largest hard rock lithium reserves, which has attracted many Chinese companies to mine them, which are critical in lithium-ion batteries and other items. Beijing currently controls the global lithium-ion battery industry and dominates much of the processing of the minerals. As Jevans points out, China has increased its lithium procurement from Africa due to the ongoing trade dispute with the US and its desire to control the entire critical metal supply chain. According to data from Benchmark Mineral Intelligence, from August to the end of November 2023, Zimbabwean spodumene concentrate exports to China increased nearly five-fold to 177,000 tonnes (195,109 tons), compared to 38,000 tonnes in the same period of 2022. The extracted lithium reserves are then exported to China for further processing into lithium chemicals to make batteries and other electronic goods. According to Adam Megginson, a price and data analyst at Benchmark Mineral Intelligence, current lithium processing is limited, so there is growing political momentum in both countries to expand the processing industry in Zimbabwe. (Jevans Nyabiage, “China strengthens its grip on global lithium trade amid processing plant building boom in Zimbabwe,” South China Morning Post, 10 March 2024)

EAST ASIA
South Korean trainee doctor protestors license suspension
On 10 March, The Straits Times reported that the South Korean government would complete sending license suspension notices to thousands of trainee doctors. This comes after 90 per cent of South Korea’s trainee doctors did not report to work in the month of February. They are protesting against the government's plans to increase the enrollment number of medical students. The doctors who are served notice would be required to submit their view to the government, if not their license would be suspended for several months. The government states the proposal is to ease the burden on the doctors and to provide more doctors in rural areas. The protestors believe that this would not solve the issue and that they want to see changes in the malpractice system and give more protection to Physicians. The public is siding with the government and criticizes the protestors. They believe that the South Koreans are some of the best paid amongst other countries and that this protest is for the betterment of the health care system, but to increase their power. (“South Korea to finish sending licence suspension notices to doctors in walkout,” The Straits Times, 10 March 2024 )

CHINA & TAIWAN
“Chinese forces trying to "normalize" drills near Taiwan,” says Taiwanese National Security Bureau
On 11 March, Director-General of Taiwan’s National Security Bureau Tsai Ming-yen said in the parliament that China runs "joint combat readiness patrols" near its islands every 7-10 days on average, saying that the Chinese forces were trying to "normalize" drills near Taiwan. He added that China dispatches around 10 warplanes and three to four naval ships on joint patrols near Taiwan, referring to them as a “multi-front” effort that includes economic coercions and a misinformation campaign to pressure the island country. He said that the patrols were occasionally timed to coincide with diplomatic events such as visits by foreign lawmakers to Taiwan. Taipei has urged the Chinese side not to change the status quo in the Taiwan Strait by dispatching ships near the restricted waters. Tsai said Beijing is deploying its carrot-and-stick approach toward Taiwan ahead of the upcoming new president's inauguration speech in May 2024. (“China trying to 'normalise' military drills near Taiwan: island's top security official,” Reuters, 11 March 2024)

HIGHLIGHTS
CHINA & EUROPE
Beijing and Bern urge Russia to attend Ukraine peace summit
On 08 March, South China Morning Post reported that China and Switzerland had appealed to Russia to attend a peace summit regarding the war in Ukraine. In January, the Swiss government agreed to host a peace summit at the request of Ukraine. Beijing has expressed interest in attending the summit. The Swiss summit was discussed, as China's envoy for Eurasia, Li Hui, visited Europe and Moscow. Li Hui stated that Russia would attend the summit if the West ceases supplying arms to Ukraine and Ukraine cancels a decree signed in October 2022, declaring negotiations with Russian President Putin as impossible. Additionally, Li Hui highlighted to EU officials that the summit cannot be forced on Russia. The summit's agenda is expected to include nuclear safety, grain exports, and child trafficking. Kyiv and the EU have previously requested that Beijing engage in these matters, while China has advocated its 12-point proposal for peace released in February 2023. ("China and Switzerland in the push for Russia to join Ukraine peace summit," Finbarr Bermingham, South China Morning Post, 08 March 2024)

EAST ASIA
South Korean government plans to increase trainee doctors pay
On 08 March, the Government of South Korea proposed to increase the pay and improve working conditions for young doctors, a key demand from the protesting medical trainees doctors. Prime Minister of South Korea, Han Duck-Soo said that currently young doctors are forced to work for 36 hours, which is to blame for the protest walkout and the government will consider limiting it to 24 hours. The suggestions put out by Han seemed to be an attempt to reach an understanding with the demonstrators, even if they weren't giving up the government's plans to admit additional medical students. (“South Korea to boost young doctors’ pay even as it denies healthcare is in crisis,” The Straits Times, 08 March 2024)

CHINA READER DAILY WIRE
INTERNAL
Chinese government prioritizes National Security
On 08 March, VOA news reported that China is scheduled to adopt security laws in 2024 to eliminate "threats” to the government. Chinese legislator Zhao Leji, highlighted that lawmakers would safeguard China's sovereignty, security, and development interests during the agenda for the National People's Congress. Additionally, Zhao stated that the revision of the National Defense Education Law and Cybersecurity Law is expected. Zhao stated that to modernise China's system and capacity for national security, Beijing would enact an emergency management law, an energy law, an atomic law energy law, and a hazardous chemical safety law. The NPC is scheduled to introduce and amend laws regarding finance, education, and healthcare. However, Zhao did not offer details regarding what the new laws would involve. The "Two Sessions" attempt to provide a strategy for the Chinese government. ("China Vows To 'Safeguard' National Security With New Laws at Conclave," VOA news, 08 March 2024)

Chinese General calls for restrictions on fake combat military capabilities
On 09 March, South China Morning Post reported that Chinese General He Weidong stated that a crackdown is expected on fake combat capabilities in the military. The general remarked during a People's Liberation Army delegation. The discussion was related to the ongoing "two-session" gathering of China's legislature and political advisors.  Analysts state that the crackdown might impact weapon procurement. Nine generals were ousted from the legislature on charges of violating discipline in December. Fake combat capabilities could also refer to drills that have not reached the standards required. The PLA, under pressure from Beijing, has attempted to improve real combat exercises and training. Additionally, on 6 May, senior generals pledged to deepen the anti-corruption drive. PLA delegation member, Chen Guoqiang suggested utilising data and intelligence tools to combat corruption in the military. (Amber Wang, "Chinese general calls for crackdown on ‘fake combat capabilities’ in the military," South China Morning Post, 09 March 2024)

ECONOMY
Rise in consumer prices indicates positive economic growth for China, says WSJ
On 09 March, The Wall Street Journal reported that Chinese consumer prices increased owing to expenditure amidst the Lunar New Year. The Consumer Price Index rose 0.7 per cent year-on-year in February. The year-on-year growth in consumer prices was the highest in 11 months. On 04 March, Premier Li Quang announced a growth target of more than 5 per cent. Additionally, Li set an inflation target of 3 per cent in 2024. In January-February, the CPI remained constant with food prices down 3.4 percent and non-food prices 0.9 down. (Jonathan Cheng, "Chinese Consumer Prices Edge Higher, Breaking a Four-Month Slide," The Wall Street Journal, 08 March 2024)

CHINA & TAIWAN
Taiwan urges Beijing to not alter the status quo
On 08 March, Taiwan's China policy-making body urged China to not alter the situation around waters near Taiwan's frontline islands. In February, Beijing conducted regular coast guard patrols around the Kimmen Islands. The surveillance follows the deaths of two Chinese fishermen fleeing Taiwan's coast guard. The Mainland Affairs Council deputy head, Jyh Horng, stated that the situation should be controllable and does not require measures that violate the status quo. Additionally, he highlighted that Taipei hoped that Beijing would employ peaceful means to engage with Taiwan and urged China to have more confidence. Additionally, Jyh urged Chinese authorities to permit Chinese students and tourists to visit the island following the COVID-19 pandemic travel disruption. China has stated that it would improve its defence expenditure by 7.2 per cent in 2024. ("Taiwan urges China not to alter situation around waters near frontline islands," The Strait Times, 08 March 2024)

CHINA & SOUTH ASIA
Indian deployment of troops would not ease tensions, says Chinese Foreign Ministry
On 08 March, China stated that India's deployment of 10,000 soldiers along the disputed border would not ease tensions. The Chinese foreign ministry spokesperson, Mao Ning, stated that China is committed to engaging with India to safeguard peace and stability in border areas. India has deployed 10,000 soldiers from its western border in Uttarakhand and Himachal Pradesh. Additionally, Mao stated that the increase in India's military deployment would not safeguard peace and safety in the region. The two countries have agreed to engage through military and diplomatic channels to resolve the issues on the western section of the India-China border. ("China says more Indian troops at Himalayan border won't ease tensions," Reuters, 8 March 2024)

CHINA & THE AMERICAS
The US seeks to divest Chinese company ByteDance, says SCMP
On 09 March, the South China Morning Post reported that US President Joe Biden stated that he would sign legislation resulting in Chinese company ByteDance divesting from TikTok. The legislation, known as the Protecting Americans from Foreign Adversary Controlled Applications Act, has been passed by the House Committee on Energy and Commerce. The bill was sponsored by Republican Mike Gallagher and Democrat Raja Krishnamoorthi. The bill aims to restrict the influence of foreign-controlled apps in the US. The bill would provide ByteDance with 165 days to divest from TikTok. Failing to divest could result in the suspension of web-hosting services at ByteDance. Republican presidential nominee Donald Trump highlighted that a ban on TikTok would result in Facebook doubling its business. Analysts speculate that China would unlikely permit any measures by ByteDance to divest from TikTok("Joe Biden vows to sign TikTok bill forcing China’s ByteDance to divest as Donald Trump voices concern," Igor Patrick, South China Morning Post, 9 March 2024)

The US urges allies to tighten the restrictions on chip tech exports to China, says Nikkie Asia
On 09 March, Nikkei Asia published an article with the headline, “U.S. urges Japan and Netherlands to tighten China chip tech curbs,” by Rintaro Tobita saying that the United States is urging Japan and Netherlands to heighten their restrictions on exports of chip tech-related goods to China, including the chemicals used for chip-making and equipment for older-generation chips. The shipment of goods not included in the ban imposed by the US to curb the exports of semiconductor-related goods to China in October 2022 has grown significantly. Japanese companies state that if Japan tightens the export of equipment for older chips, it will lose the market share meaninglessly as they know China can get access from another source. The United States is applying pressure in response to indications that its initial plan to restrict China's advancements in chip manufacturing has not been as successful as anticipated. (Rintaro Tobita, “U.S. urges Japan and Netherlands to tighten China chip tech curbs,” Nikkei Asia, 09 March 2024)

China is surpassed by Mexico as the leading exporter to the US in 2023
On 07 February, the Bureau of Economic Analysis released a data report saying that Mexico became the leading exporter to the United States in 2023 with 475.6 billion USD of exports surpassing China’s exports of 427.2 billion USD. The reason behind the fall in exports from China is the unstable relations between the United States and China, which made American companies diversify their supply chains to favourable places. One of which is the Southeast Asian region, which remains a stable region for building supply chains for semiconductors, especially with the countries Vietnam, Singapore and Malaysia. (Marrian Zhou, “Mexico replaces China as top exporter to U.S. in 2023,” Nikkei Asia, 08 February 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Taiwan expects more tourists from Indonesia
On 09 March, Nikkei Asia published an editorial on the topic, “Taiwan seeks more tourists from Indonesia,” by Randy Mulyanto saying that Taiwan is expecting a significant amount of tourists from Indonesia as the number of visitors from mainland China has reduced due to the political tensions and the COVID pandemic. However, the number of visitors from Indonesia had risen to 201,980 in 2023, which is a great improvement from 78,162 tourists in 2022 due to the pandemic, according to the data from Taiwan Tourism Administration. To even increase the rate of tourists, the Taiwan Tourism Administration in Indonesia under the Ministry of Transportation and Communications, often conduct workshops on Taiwan tourism. Additionally, Taiwan launched a Travel Authorization Certificate program that enables Indonesian nationals to visit Japan, South Korea, or any Western country without a visa as long as they possess one of these documents. (Randy Mulyanto, “Taiwan seeks more tourists from Indonesia,” Nikkei Asia, 09 March 2024)

National Security law in Hong Kong, concerns the financial community
On 08 March, a new national security law draft bill was proposed at the city’s legislature, that included serious offences such as treason, espionage and theft of state secrets, sabotaging national security, and external interference which could buy a life imprisonment. According to the government of Hong Kong, the bill is to fill the legislative gaps left by a national security law imposed on Hong Kong by China in 2020. The Chairman of the Swedish Chamber of Commerce in Hong Kong, Kristian Odebjer criticized the definitions of the law as ‘vague’, particularly for the theft of state secrets, including defence intelligence along with the information on the economy, and social and technological developments of the city. According to him, “This could negatively affect activities like research and due diligence that some of our members engage in.” (“Fears grow for Hong Kong’s finance hub status under proposed security law,” The Straits Times, 08 March 2024)

THE PACIFIC
The ties between Australia and the Philippines are significantly increased
On 09 March, SCMP published an editorial on the topic, “The Philippines’ ties with Australia are ‘stronger than ever’. Is it a sign it has West’s backing in South China Sea?,” by Maria Siow and Su-Lin Tan which outlines the President of the Philippines, Bongbong Marcos’ explanation on why the strategic ties between Australia and Philippines had “grown more important than ever.” He started with the long-known prosperity and the development of their ties which helps in maintaining peace and stability in the Indo-Pacific region. Marcos also stated the importance of strengthening cooperation as the Philippines is severely facing tensions with China in the South China Sea region. He continued to say that we must come together to face the challenge, as it cannot be done by one country itself. He addressed the ten-member Association of Southeast Asian Nations, saying, “This is meant to indicate to ASEAN member states and to the region that the Australia-Philippine strategic partnership is alive and well, and stronger than it has ever been.” (Maria Siow and Su-Lin Tan, “The Philippines’ ties with Australia are ‘stronger than ever’. Is it a sign it has West’s backing in South China Sea?,” South China Morning Post, 09 March 2024)

 HIGHLIGHT 
Ties deepen between China and Russia
On 08 March, according to an editorial in The Straits Times titled “China-Russia ties set to deepen as Ukraine war heads into third year,” by Lim Min Zhang, ties between China and Russia deepened amid the third year of the war in Ukraine as their bilateral trade grew record total of USD 240 billion beyond expectations. On 07 March, on the sidelines of a press conference during the NPC meeting, Chinese Foreign Minister Wang Yi said that the relations between the two major powers led to “a new paradigm of great power relations that is completely different from that of the old Cold War era.” He added that Russia’s energy, especially natural gas, powers thousands of Chinese homes, and the presence of Chinese people in Russia reflects the mutually beneficial cooperation between the two sides. In 2019, Both countries set a target of USD 200 billion in trade by 2024, which has been surpassed in 2023. Russia has overtaken Saudi Arabia as the largest oil supplier to China, and Russia, in return, imported more consumer and manufactured goods from China. According to Dr Liu Minran, China wants to ensure that the West does not undermine its interests and wants to become another pole in the changing world order. It would not let Russia away as China strives for greater international influence. (Lim Min Zhang, “China-Russia ties set to deepen as Ukraine warheads into third year,” The Straits Times, 08 March 2024)

China’s aggressive sea tactics in the South China Sea, says WSJ
On 06 March, according to an editorial in The Wall Street titled “How China’s Aggressive Sea Tactics Look From the Deck of an Opposing Ship,” by Feliz Solomon, a large fleet of Chinese coast guard ships surrounded the Philippines convoy, leading to the two minor collisions between the vessels of two countries. The Philippines ships supplied logistics to the small military outpost in the Second Thomas Shoal. Philippines Coast Guard Ensign Bernadette Soriano Addun said Chinese manoeuvres are unpredictable and scary. The incident happened on 05 March. For the first time, the Philippines invited foreign journalists to the supply mission, which takes place twice a month. According to Feliz, under President Marcos’ leadership, the Philippines has taken an assertive stance by publicizing China’s actions and strengthening security ties with the US, EU, Japan, Australia, and India. The International Tribunal in The Hague ruled in 2016 that China’s claims have no legal basis, but China rejected the ruling. China has accused the Philippines of using these missions to ferry construction materials to the Sierra Madre as they might use it to build permanent military outposts. The Philippines rejected their claims and said it had the right to repair the ageing ship. (Feliz Solomon, “How China’s Aggressive Sea Tactics Look From the Deck of an Opposing Ship,” The Wall Street Journal, 06 March 2024)

“The Philippines should not let itself be at the mercy of the US,” Chinese Foreign Ministry
On 06 March, China accused the US of using the Philippines as its “pawn” in the South China Sea conflict. The comments come as the tensions in the region escalate over the territorial disputes. After the recent incident, the Philippines summoned the Chinese representative over the Chinese vessel colliding with the Philippines Coats Guards and using water cannons at them. This happened as the Philippines Coast Guards were on a resupplying mission for its troops. China refuted the accusations of aggression and stated that they “took control measures” against the illegal intrusion by the Philippines, additionally, they accused the Philippines coast guards of intentionally ramming into the Chinese vessel. Chinese Foreign Ministry spokesperson Mao Ning said: “China urges the US not to use the Philippines as a pawn to stir up trouble in the South China Sea,” and that “The Philippines should not let itself be at the mercy of the US.” (“China says US using Philippines as ‘pawn’ in the South China Sea,” The Straits Times, 06 March 2024)

CHINA READER DAILY WIRE 
INTERNAL
China updates the list of suspected journals of  being “untrustworthy”
On 06 March, according to an interview in Nature by Smriti Mallapaty, China’s Early Warning Journal List updated the list of journals as its latest edition in February 2024 added 24 more due to untrustworthiness, predatory or not serving the Chinese research community’s interests. It flagged journals that violated citation counts for the first time in its publication. In 2024, Nature updated the method for developing the list as the Chinese ministries sent notices about the journals. According to Yang, with feedback from the publishers, the number of journals in the list was reduced from 50 to 24. Yang also said that the journal’s list this year removed the low-risk category to allow the journal to receive a maximum number of manuscripts. Yang also mentions the growing manipulations about the author names used and alerts the researcher immediately about the same. She added that the journals with a paper mill problem are identified using social media and websites such as PubPeer for published articles for better research integrity. (Smriti Mallapaty, “China has a list of suspect journals and it’s just been updated,” Nature, 06 March 2024)

Growing support against government’s push for marriage among Chinese youth, Opinion
On 07 March, according to an opinion in The Straits Times, titled, “More Chinese women choose singlehood amid record youth unemployment, economic downturn,” there is a growing trend against marriage among young women in China, thus creating challenges against the government’s policy. With the declining population and low birth rates for two consecutive years, Chinese President Xi Jinping pushed in 2023 to cultivate a new culture of marriage and childbearing. Also, Premier Li Qiang stressed working towards a birth-friendly society. According to the author, the CCP views the nuclear family as the pillar of social stability in which unmarried mothers are kept out of government benefits. According to the government data, the number of single people over 15 grew to 239 million in 2021. According to a 2021 Communist Youth League survey of some 2,900 unmarried urban young people found that 44 per cent of women do not plan to marry. According to feminist activist Lu Pin, refusing childbirth or marriage is seen as non-violent disobedience towards the patriarchal state. Delayed marriages and falling birth rates will threaten China’s demographics. (“More Chinese women choose singlehood amid record youth unemployment, economic downturn,” The Straits Times,” 07 March 2024)

Chinese ambassadors urged CPPCC to increase international engagement
On 05 March, in an event chaired by Liu Jieyi, vice-chairman of the Chinese People’s Political Consultative Conference (CPPCC) Foreign Affairs Committee, China’s ambassador to the US and ambassador to Japan urged the representatives of the CPPCC to conduct more interviews with the foreign media and visit other countries to tell China’s story properly with the rest of the world. The discussion was part of the ongoing Two Sessions meeting of the top legislative bodies. China’s initiatives indicate the necessity to counter Western narratives in or about China’s side of the world and establish control over the international narrative. China’s ambassador to Japan, Wu Jianghao, said that non-party members' interaction with Western societies is more effective in communicating the message about China. He also urged them to promote China’s Global Development Initiative, the Global Security Initiative, and the Global Civilisation Initiative as part of President Xi’s foreign policy frameworks. According to political scientist Yang Mingjie, foreigners are interested in learning more about China and its domestic stability, growth, and modernization story. (Lim Min Zhang, “China’s ambassadors urge top advisory body to engage more with foreign media,” The Straits Times, 07 March 2024)

Chinese leadership offers assurances while achieving a 5 per cent GDP growth target
On 06 March, China assured that with the ongoing economic slowdown, the country has sufficient financial resources to tackle the crisis and assure foreign investors. National Development and Reform Commission chief Zheng Shanjie told the press that the leadership has a growth target of 5 per cent, which is in line with China’s growth potential. He stated that the 2024 growth target was kept the same as in 2023 as it weighed the current problems, long-term needs, and possibilities, and was part of the country’s 14th five-year plan (2021-2025). He also mentioned that the number of tourists increased by 19 per cent compared to the pre-COVID levels amid the Lunar holiday week. Zheng acknowledged that the target set faces many internal and external challenges while overcoming economic concerns. According to Xu Tianchen from the Economist Intelligence Unit (EIU), the Chinese economy has been in a long-term crisis and said that “the economy right now looks like a hardworking middle-aged man,” and it needs to change its approach. Zheng vowed to give complete rights to the private sector to boost investment in China. He further said that the three new types of exports, electric vehicles, lithium-ion batteries, and solar panels, are driving the Chinese economy and continue to make its presence in the global market. (Luna Sun, Amanda Lee, “China’s 5% GDP growth target demands ‘hard work’, leaders insist while flagging hopes and risks,” South China Morning Post, 06 March 2024)

China must clarify its anti-espionage laws for international students, says Peking University
On 06 March, according to an opinion in the South China Morning Post, titled, “‘Confusion’ over China’s spy laws could be deterring foreign students: academic,” the former dean of the International Relations School of the Peking University, Jia Qingguo wroten to the Chinese People’s Political Consultative Conference (CPPCC) that the government must provide complete detail of the anti-espionage law to reduce the concerns among the international students. He wrote that the implementation regulations of the law have not been issued yet, leading to confusion among the students and misunderstanding outside China. Despite lifting the Covid-19 lockdowns, international students have not returned to China. According to the data released by the US ambassador to China, Nicholas Burns, it is estimated that there are around 350 American students in China, much less than 15,000 students pre-Covid. Furthermore, the number of South Korean students also declined in China from 73,240 students in 2017 to 15,857 in 2023. He stated that geopolitics is the main reason for the reduced number of international students in China. (Laura Zhou, “‘Confusion’ over China’s spy laws could be deterring foreign students: academic,” South China Morning Post, 06 March 2024)

SCIENCE & TECHNOLOGY
Apple sales fall, and Huawei rises in China’s domestic market
On 06 March, according to a report published by the research firm Counterpoint in the BBC, Apple’s iPhone sales fell by 24 per cent in the first six weeks of 2024, whereas China’s Huawei’s sales grew by 64 per cent in the same period. According to Mengmeng Zhang from Counterpoint, beyond Huawei’s competition against Apple in the premium segment, the fierce competition led by Oppo, Vivo, and Xiaomi through aggressive prices dominates the Chinese market. According to the report, the overall smartphone market in China fell by 7 per cent in the same period. Furthermore, Huawei faced challenges in sales due to the sanctions imposed by the US that barred access to advanced chips and technology required to make 5G phones, which later increased in China by August 2023. The report noted that Huawei’s sales rose to 16.5 per cent to become the second largest player, whereas Vivo remained China’s top smartphone seller. Since February 2023, Apple has started offering discounts on its official sites to revive its sales. (Mariko Oi, “Apple: iPhone China sales slide as Huawei soars, report says,” BBC, 06 March 2024

ECONOMY
Chinese officials plan to increase stimulus for exports
On 06 March, according to an editorial in The Wall Street Journal titled “Chinese Officials Say Exports Are Strong but Hint at More Stimulus,” by Brian Spegele, Chinese officials hinted that there would be double-digit growth in the exports in January and February of 2024 by 10 per cent and the government aims to boost monetary stimulus to boost exports. Brain says that the government intends to paint a positive picture of the Chinese economy, and the official statistics will be released on 07 February. China’s central bank governor, Pan Gongsheng, plans to boost liquidity by cutting banks' reserve requirements., thus making the price rise and yuan stable. Commerce Minister Wang Wentao said that both imports and exports fell by 8.2 per cent. He further noted that foreign trade will be complex in 2024 due to the growing protectionism and the uncertainty over overseas political elections in 2024. (Brian Spegele, “Chinese Officials Say Exports Are Strong but Hint at More Stimulus,” The Wall Street Journal, 06 March 2024)

Trusting Chinese data can be challenging, says The Wall Street Journal
On 05 March, according to a commentary in The Wall Street Journal, CCP announced in its Two Sessions meeting that the growth rate targeted will be per cent in 2024. Premier Li Qiang said that the target will be challenging to achieve. According to Western analysts, Chinese GDP data is misrepresented and inconsistent as it serves President Xi’s goal of making China’s economic and political model reliable to the world. As per Rhodium Group’s data, China’s output declined in 2022 to 1.5 per cent growth compared to 3 per cent by the government estimates. Finland's Central Bank reports China's growth to be 1.2 per cent in 2022 and 4.3 per cent in 2023. According to the author, China’s retail data is heavily manipulated as multiple evidence reports of falling sales of Alibaba, rising household deposits, and local government debts. Furthermore, the fixed asset investment reported by China’s NBS as it reported a 3 per cent growth in 2023 instead of a 12 per cent decline. In China, the data published is used to praise the CCP’s success with Xi Jinping as the country’s leader. (Greg Ip, “Why You Shouldn’t Trust China’s Growth Data,” The Wall Street Journal, 06 March 2024)

CHINA & TAIWAN
Taiwan accuses China of using Grey-zone tactics
On 07 March, the Taiwanese Defence Ministry accused China of creating a grey zone near the Taiwan Strait, by making the areas around the region saturated with balloons, drones and boats. The Taiwanese defence agency has complained about the heightened Chinese aggression in the region by using grey-zone-warfare tactics. The tactics aim to exhaust the enemy with irregular pressure rather than resorting to open conflict. A report by the Taiwanese Defence Ministry was sent to the parliament outlining “multi-front saturated grey-zone” tactics stationed by China to harass Taiwan. This is done by increasing the burden on the naval and air forces and by stationing research vessels and militia in the region disguised as military activities. To deter these threats the report stated that the defence ministry is aiming to preserve its troops and wants to further boost its resilience by building defence infrastructure. (“China steps up grey-zone warfare to exhaust Taiwan: Defence report,” The Straits Times, 07 March 2024)

CHINA & EAST ASIA
North Korea ramps up security along the border with China
On 08 March, according to a report published by HRW on BBC News, North Korea adopted severe restrictive measures in the country that have not only led to its isolation and worsening humanitarian crisis but have led to reduced cross-border movement and trade with China. The report titled “A Sense of Terror Stronger than a Bullet: The Closing of North Korea 2018-2023,” mentions that North Korea is constructing 482km (299 miles) of new fencing beyond the existing 260 km of border fence. Along with the fence, additional authoritarian rules have been enforced, like the shoot-on-sight order for border guards. Many survivors say that many North Korean people are suffering from hunger and poor health. The Covid-10 lockdown has stopped the cash flow from South Korea to relatives in North Korea. The UN reported that the sanctions had led to a severe impact on the women. (Michael Sheils McNamee, “Images show North Korea sealing its border with China,” BBC, 08 March 2024)

China needs to maintain an edge against South Korean rivals in shipbuilding, says SCMP
On 08 March, according to an editorial in the South China Morning Post titled “For China to leave S Korean shipbuilding rivals in its wake, leaders told to be stern in shipbuilding efforts and seas the day,” by Luna Sun; according to Fu Guotao, chief engineer of the China Shipbuilding Industry Corporation and a delegate of the National People’s Congress (NPC), China needs to maintain an edge against its rivals South Korea in the world’s shipbuilding market in terms of design and manufacturing and to ensure self-sufficiency in the sector. He also points out that international tensions have affected ship engines' supply chains. He adds, "China lacks core R&D capabilities for key engine components, positioning China at the lower end of the industrial chain in the international market, leading to low competitiveness, a small market share, a lack of pricing power, and limited product development.” According to Sun, China became a dominant player in the shipbuilding industry in 2023 for 50.2 per cent of the total volume, 66.6 per cent of new orders and 55 per cent of backlogged orders. According to Clarkson Research, China overtook South Korea as the top receiver of global shipbuilding orders in 2021 regarding annual volumes but lagged in advanced technologies, designs, and standard-setting. Sun points out that South Korea plans to expand its advantage in the shipbuilding industry as it similarly seeks to contend with growing challenges from China. (Luna Sun, “For China to leave S Korean shipbuilding rivals in its wake, leaders told to be stern in shipbuilding efforts and seas the day,” South China Morning Post, 08 March 2024

CHINA & SOUTHEAST ASIA
China and the Philippines doubles down on their positions in the South China Sea
On 07 March, according to an editorial in the South China Morning Post, titled “South China Sea: Beijing poised for ‘long game’ with Manila over shoal dispute to avoid drawing in US, analysts say,” by Laura Zhou, both countries will not give up their positions in the disputed waters of the South China Sea. China is expected to play a long game with the Philippines as it would like to tire out Manila and avoid a full-scale conflict that could draw in the US and its allies. On 07 March, Chinese Foreign Minister Wang Yi said at the press conference of the NPC that the country will defend its interests in the South China Sea and will take countermeasures against any provocation. On 06 March, the US said that it would protect the Philippines in case of an armed attack in the South China Sea. This comes after Manila accused the Chinese Coast Guard of causing two collision accidents on the Philippine ships on its re-supply mission to the Second Thomas Shoal. President Marcos Jr has warned that the growing armed conflict between the two countries in the South China Sea is higher. (Laura Zhou, “South China Sea: Beijing poised for ‘long game’ with Manila over shoal dispute to avoid drawing in US, analysts say,” South China Morning Post, 07 March 2024)

CHINA & SOUTH ASIA
Colonel Doming supervises border infrastructure near LAC
On 08 March, Colonel Ponung Doming, currently serving in the Indian Army, became the first female officer to lead the Border Roads Task Force (BRTF) and supervise critical road construction along the Line of Actual Control (LAC) with China. She is currently posted at an altitude of 19,400 feet at -20 degrees Celsius in Hanle, Ladakh. She is currently supervising the construction of 300km of roads in the Demchok sector and managing the construction of bridges and a fighter air base in Nyoma, Eastern Ladakh. Before serving in Ladakh, she served in the UN peacekeeping mission in Congo, J&K, and Manipur. She further said that the terrain is challenging for infrastructure construction and requires a tough mind and tenacity. (Sandip Dighe, “Colonel moves mountains, builds road on China border,” The Times of India, 08 March 2024)

India deploys additional 10,000 troops at the border with China
On 07 March, according to an editorial in Bloomberg titled “India Frees Up 10,000 More Soldiers to Guard Border With China,” by Sudhir Ranjan Sen, India has re-assigned 10,000 additional soldiers from its Western border to patrol the LAC with China. They will guard a 532 km (330.57 miles) border stretch separating China’s Tibet region with India’s northern states of Uttarakhand and Himachal Pradesh. According to Sen, the deployment shows the region’s importance and sensitivity among the Indian leadership. In 2021, after the deadly border clash with China, India deployed an additional 50,000 troops, and both sides have rapidly upgraded their military infrastructure for troop deployments. According to India’s Defense Secretary Giridhar Aramane, the possibility of another Chinese offensive has kept India alert and active all the time. (Sudhir Ranjan Sen, “India Frees Up 10,000 More Soldiers to Guard Border With China,” Bloomberg, 07 March 2024)

India’s EAM blames China for bloody border clashes and violation of agreements
On 07 March, while speaking at the inaugural session of the Raisina Roundtable in Tokyo, India’s External Affairs Minister of India Dr S Jaishankar, said that Beijing has violated the agreed written agreements with India and blamed it for the violent border clashes that took place on the borders in 2020. He spoke on the changing world order and mentioned the changing power shift in the Indo-Pacific and changing capabilities and influence with ambitions and strategic consequences. Regarding its relationship with China, he said there have been no border clashes for the last 45 years, and its sudden change raises doubts about the country’s intentions. He also mentioned that the international agreements were not followed in other parts of the world, such as in the Middle East and Europe, and its weaponization. He pointed out that post-sanctions, Russia is looking towards Asia for greater collaborations and would seek multiple collaborations. (“Jaishankar blames China for not observing longstanding written agreements,” The Indian Express, 07 March 2024)

CHINA & THE PACIFIC
Prime Minister Anthony Albanese concerned about the tension in the South China Sea
On 06 March, Australian Prime Minister Anthony Albanese expressed his concerns over the tension in the South China Sea, especially after the collision between Chinese and Philippines vessels. Manila claimed that the Philippines vessels carrying supplies to the Thomas Shoal were harassed by Chinese vessels as they blocked them. Prime Minister Albanese came when he was questioned on the same at the ASEAN summit in Australia, he stated that the behaviour was dangerous and that any miscalculations can lead to escalated conflict. He said: “I am very concerned and Australia is concerned about any unsafe and destabilising behaviour in the South China Sea.” (“Australia concerned about destabilising behaviour in the South China Sea,” The Straits Times, 06 March 2024)

CHINA & EUROPE
China complains against Dutch broadcaster calling Beijing aggressive
On 06 March, China expressed its dissatisfaction with the comments made by a Dutch public broadcaster, where they hinted that Beijing was hardening its position in the Taiwan Strait. To which the Chinese embassy issued that the public broadcaster should adhere to the “one-China” principle, also that they need to remove the negative connotation and not provide a platform for Taiwan’s independent forces for their secessionist movement. The broadcast was based on an interview held with the Taiwanese Deputy Minister of Foreign Affairs Roy Chun Lee, where while talking about the Chip industry, they stated that: “the country sees it as life insurance against an invasion by rival China.” (“China complains about a Dutch news report on Taiwan’s chip industry,” The Straits Times, 06 March 2024)

China a “force for peace,” in the Russia-Ukraine conflict, FM Wang Yi
On 07 March, Chinese Foreign Minister Wang Yi commented on pursuing deeper cooperation with Russia despite its invasion of Ukraine. Wang Yi said that it sees itself as the force of peace in the region. And that in the face of complex turmoil, China would persist as the force of peace and would forge stability and promote progress in the world. Since the Russia-Ukraine war, China has established a ‘no-limits partnership’ with Moscow. Wang said that they would not seek conflict and that the cold war should not be allowed to come back. China has stationed itself as the neutral peacemaker in the region though has time and again expressed its inclinations towards Russia. Wang said: “A conflict, when prolonged, tends to deteriorate and escalate and could lead to an even bigger crisis.” (“FM Wang Yi insists China ‘force for peace’; defends Russian ties,” Al-Jazeera, 07 March 2024)
 
CHINA & THE AMERICAS
US Army intelligence analyst booked for sharing US military data with China
On 08 March, a US Amry intelligence analyst  Korbein Schultz was charged by the US federal prosecutor for conspiring and selling data to China. He was accused of disclosing and sharing defence information, exporting defence-related articles, sharing technical data, and bribing public officials, stated the US Justice Department. Korbein was arrested in Kentucky’s Fort Campbell, where he was found to have been paid USD 42,000 by an individual in Kong Kong to reveal US plans if Taiwan is attacked. Assistant Attorney General Matthew G. Olsen said that he kept his profit above the security of the American citizens and that: “Today’s arrest shows that such a betrayal does not pay – the Department of Justice is committed to identifying and holding accountable those who would break their oath to protect our nation’s secrets.” Korbein said to had access and top security clearance and some of the information he shared where the High Mobility Artillery System, future development of the US military, studies of the US military drills, and information on their hypersonic equipment. The incident stated that he was first asked about what lessons could be learned from the Russia-Ukraine war and what would be the US reactions in the event of a military attack against Taiwan. (“US Army intelligence analyst Korbein Schultz charged with selling military secrets to China for US$42,000,” South China Morning Post, 08 March 2024)

Canadian businessman Micheal Spavor detained in China compensated by the federal government
On 07 March, an article in The Guardian reported on the settlement between the Canadian government and the former Canadian detainee in China Micheal Spavor. The federal government of Canada has agreed to give a million-dollar compensation to Spavor who was held in China for nearly three years owing to a diplomatic feud between Canada and China. Both Micheal Spavor and Micheal Kovirg also known as “two Micheals” were detained in China in 2018. This is said to be a retaliation against the Vancouver arrest of Huawei executive Meng Wanzhou. His settlement is said to be worth USD 5.2 million including legal fees and expenses. A spokesperson for Global Affairs Canada Charlotte MacLeod said: “While the 1019 days in which they were arbitrarily detained by China will never be erased, the Government of Canada is committed to supporting them in their efforts to turn to a new chapter in their lives and on their circumstances and impacts, and in acknowledgement of their ordeal and the suffering caused by their arbitrary detention by China.” (Leyland Cecco, “Canada reaches settlement with Michael Spavor over detention in China,” The Guardian, 07 March 2024)

EAST ASIA & THE PACIFIC READER
EAST ASIA
Hong Kong legislation pushes for new security law
On 08 March, Hong Kong Chief Executive John Lee called for an expedited finalization of the anti-espionage law by the government and the legislative council. The bill has been especially pushed by China and the National People’s Congress, the bills will be deliberated on by the legislative council and will be pushed for at unprecedented speed. The Hong Kong media reckons that the bills can be passed by April, signaling the legislation's push. The new is said to fill loopholes in the Chinese National Security Law that were applied in 2020, additionally, it would strengthen crackdowns on foreign entities' interference and sharing of state secrets. Chinese Vice Premier Ding Xuexiang stated that they fully support the bills and their implementation. (“Hong Kong fast tracks new security law on apparent Beijing prodding,” Nikkie Asia, 08 March 2024)

Kim Jong Un oversees military drills for war preparedness
On 07 March, Korean Central News Agency (KCNA) reported that North Korean leader Kim Jong Un called for military preparedness and said that their army needs to: “usher in a new heyday of intensifying the war preparations in line with the requirements of the prevailing situation.” Kim has been overseeing the military drills in Pyongyang, this comes after North Korea has eliminated reunification plans with South Korea. KCNA quotes Kim saying: “Our army should ... steadily intensify the actual war drills aimed at rapidly improving its combat capabilities for perfect war preparedness.” North Korean Defence Ministry spokesperson stated that the countries engaging in drills would pay a dear price for threatening the existence of Pyongyang. (“North Korean leader Kim Jong Un orders heightened war preparations, KCNA says,” The Straits Times, 07 March 2024)

CHINA READER DAILY WIRE

INTERNAL
"The need to boost employment and incomes and prevent and defuse risks," Premier at the 17th NPC
On 05 March, Chinese Premier Li Qiang at the 17th National People’s Congress (NPC) announced China’s economic plan for 2024. He aimed that the target for economic growth would be 5 per cent and affirmed to change the country’s development model by defusing the bankrupt property developers and indebt cities. Li also called out the higher defence spending while iterating China’s claims on Taiwan. Chief macro analyst at the Soochow Securities, Tao Chuan said: “It’s more difficult to achieve 5% this year than last year because the base number has become higher, indicating that the top leaders are committed to supporting economic growth.” The new growth model called for can be seen in light of uneven growth in the previous year and the structural imbalance, weakening consumption habits and lower returns on investment. Li also highlighted that it won't be able to have a proactive stance and “prudent monetary policy.” The following are the aims that the NPC proposed: budget deficit of 3 per cent of the economic output, 1 trillion yuan in ultra-long-term treasury bonds, creation of 12 million urban jobs and reducing the unemployment rate to 5.5 per cent. Additionally, to tackle the issue of an ageing demographic, the government plans to improve policies encouraging and supporting childbirth and racing benefits for pensioners and the elderly. (“China vows to 'transform' economy, sets ambitious growth target,” Reuters, 05 February 2024)

Selection of new foreign minister not on NPC 2024 agenda, Editorial
On 04 March, according to an editorial in The Straits Times, titled “China unlikely to get new foreign minister at Two Sessions,” by Lim Min Zhang, China would not be able to elect a new foreign minister as it was not part of the agenda for the annual 17th NPC meeting. The NPC meeting has the power to elect and appoint top officials such as president, state councillors, ministers and the chairman of the Central Military Commission (CMC). China hinted that Liu Jianchao, head of the International Department of the CCP, to take over Wang Yi as the country’s next foreign minister after Qin Gang was removed from his post in July 2023. He had previously served as the ambassador to the Philippines and met US Secretary of State Anthony Blinken in January 2024. Similarly, former Defense Minister Li Shangfu was removed from his office in October 2023 on corruption charges and will not be participating in the NPC session. NPC spokesman Lou Qinjian said that General Li cannot join as he is no longer a deputy. However, the successor of General Li, Admiral Dong Jun, has not yet been appointed to the CMC or the State Council. (Lim Min Zhang, “China unlikely to get new foreign minister at Two Sessions,” The Straits Times, 05 March 2024)

China to develop indigenous technology against sanctions and decoupling
On 04 March, a spokesman for the National People’s Congress (NPC), Lou Qinjian, said that no country can prevent China’s access to technology and that China will develop its advanced technology. He replied in response to the growing competition in advanced technology between major countries on AI, 5G, and semiconductor chips. In response to de-risking and decoupling against China’s rise, he said that China is ready to work together or work alone. He gave the example of China’s homegrown navigation system known as Beidou as a breakthrough in advanced technology. His remarks come amid China’s involvement in the trade war with the United States. (Aw Cheng Wei, “‘No one can put a stranglehold on us,’ says Chinese official on global tech race,” The Straits Times, 05 March 2024)

China to further childbirth policies amid falling demography
On 05 March, government reports outlined China’s aim to support childbirth policies, by increasing the benefits and basic pensions and shifting towards a new private pension system. The announcements come amid a falling in Chinese demography for the 2nd time in 2023 in which new birthrates are half in 2023 than in 2016. According to a report released by Premier Li Qiang, China aims to implement new policies by “refining parental leave policies, improving the mechanism for sharing the related labour costs of employers, and increasing the supply of childcare services.” China’s declining population is due to the one-child policy imposed between 1980 and 2015, and the government has allowed them to have three children since 2021. Despite the government’s efforts, many women are unwilling to have more children due to higher living costs. The report mentions the government’s efforts to build a new system to provide elderly care services and a healthcare system for the elderly. (“China to improve childbirth policies and boost support for elderly,” The Strait Times, 05 March 2024)

China cancels Premier Li’s Press Conference, NPC
On 04 March, National People's Congress (NPC) spokesperson Lou Qinjian said that Premier Li Qiang will not hold the annual press conferences for the remaining term of China’s NPC till 2027. In 1993, the Chinese Premier used the annual NPC meeting to answer the questions from Chinese and foreign journalists to attract foreign journalists as part of its economic liberalization and boosting foreign investment and trade. Yaqiu Wang, research director for China, Hong Kong, and Taiwan at Freedom House, said that the cancellation of the press conference shows the CCP’s tightening control over the country and a reversal of the reform policies of the past. Neil Thomas, a fellow for Chinese politics at the Asia Society Policy Institute, says that the cancellation of Premier Li’s press conference is seen as another step by President Xi to consolidate his position in the country and does not want anybody else to attain higher popularity. Chien-wen Kou, director of the Institute of International Relations at National Cheng-Chi University in Taipei, said that the cancellation of press conferences shows the diminishing role of the Premier and the two sessions in Chinese politics. (Adrianna Zhang, Wenhao Ma, Bo Gu, Chuang Chih-wei, “China Watchers: No Premier's Annual Press Conference, No Difference,” VOA, 04 March 2024)

INTERNATIONAL
Human rights violation in Xinjiang and Tibet, says UN Human Rights Chief
On 04 March, United Nations Human Rights Chief Volker Turk said that China is violating the fundamental rights of the people in Xinjiang and Tibet and needs to correct its actions. In his update to the Human Rights Council, Turk has expressed his concerns about Hong Kong’s new national security law. However, China has rejected the allegations and said that its vocational centers have helped combat extremism and enhance development. While praising China’s growth and anti-poverty policy, Turk criticized the government’s imposition of Article 293 of the Criminal Law against the people protesting in Hong Kong. China’s ambassador, Chen Xu, countered the UN and blamed it for politicizing and weaponizing human rights issues. (“China violating ‘fundamental rights’ in Xinjiang, Tibet: UN rights chief,” The Straits Times, 05 March 2024)

ECONOMY
China sets growth target of 5 per cent in 2024
On 05 March, during the opening day of China’s annual legislature meeting of the NPC, Premier Li Qiang delivered the government work report that followed the growth target of 5 per cent in 2024. According to the official government data, China achieved a growth rate of 5.2 per cent in 2023 due to the increased investment in infrastructure and increased liquidity in the market. The report highlighted the government’s aim to create 12 million urban jobs and projected the unemployment rate to be around 5.5 per cent. The inflation is expected to rise by 3 per cent. Also, the defense budget is expected to rise to 1.67 trillion yuan, which is a 7.2 per cent increase from the 2023 budget. Li pointed out that the targets set are difficult to achieve due to the ongoing challenges in the Chinese economy, such as the property market crisis, weak global demand, and high local government debt. The government is focused on science and technological innovation as part of the country’s National Development Reform Commission (NDRC), and its budget of 370.8 billion yuan has been allocated, which is a 10 per cent increase compared to 2023. The government is also committed to developing new development and financing models for China’s real estate sector. On foreign policy, Li said that the country will adopt an independent policy and will oppose all hegemonic and bullying acts. (Aw Cheng Wei, Tan Dawn Wei, “China sets sight on around 5% growth in 2024, defence spending to rise,” The Straits Times, 05 March 2024)

SCIENCE & TECHNOLOGY
China invests more in car carriers to support EV export
On 05 March, an editorial in Nikkie Asia, titled, “BYD to deploy a fleet of 8 car carriers to underpin global EV expansion,” by Shizuka Tanabe informed of the Chinese EV giant’s plan to increase their car carriers to facilitate export capacity. BYD chairman and founder Wang Chuanfu said: “BYD is going to deploy seven car carriers in the coming two years to ease the shortage of shipping capacity for automobile exports.” BYD Explorer No. 1, a roll-on/roll-off (RORO) ship used for export has a capacity of 7,000. They are the first Chinese car carrier exclusively made for the export of domestic products. One of the reasons for the company’s investment is due to the rising cost of transportation which it hopes to be reduced with its vessel. The rapidly growing exports of China surpassed Japan in 2022 and became the world's largest exporter with 4.9 million vehicles in 2023. While the exports expanded the transport capacity remained the same. China’s carriers are now rapidly driven with many ship owners placing orders for 37 car carriers. (Shizuka Tanabe, “BYD to deploy a fleet of 8 car carriers to underpin global EV expansion,” Nikkie Asia, 05 March 2024)

CHINA & SOUTHEAST ASIA
China and Maldives sign ‘free military assistance’ agreement
On 04 February, China and Maldives forged a defence cooperation agreement, where they offered free military assistance to further strengthen bilateral ties. Deputy Director of China’s Office for International Military Cooperation Major General Zhang Baoqun and Maldives Minister of Defense, Mohamed Ghassan Maumoon discussed to need for defence cooperation between the two countries. Before this Chinese ambassador to the Maldives, Wang Lixin donated 12 ambulances to the Maldives Health Ministry. The visit also comes after the Male allowed a Chinese research ship to make a port call. The agreement comes weeks after the Maldivian President Mohamed Muizzu called for a withdrawal of Indian troops stationed there. (“After asking India to withdraw troops, Maldives signs free military assistance deal with China,” Livemint, 05 February 2024)

Philippines ship damaged after colliding with Chinese vessel
On 05 February, the Philippines Coast Guards (PCG) accused Chinese ships of blocking their resupply mission in the South China Sea. PCG spokesperson Jay Tarriela informed that the incident which led to minor structural damage happened near the Second Thomas Shoal. Tarriela said: “The PCG vessels faced dangerous manoeuvres and blocking from Chinese Coast Guard vessels and Chinese Maritime Militia,” He also stated that the reckless and illegal actions by the Chinese led to a collision between the MRRV-4407 and China Coast Guard 21555. The Chinese side continued that they had just taken their “regulatory action” against the Philippines and accused them of entering waters illegally. (“Philippines says ship damaged in South China Sea incident with Chinese boat,” Al-Jazeera, 05 March 2024)
 

CHINA READER DAILY WIRE 

INTERNAL
China kickstarts its Two Sessions meeting of the NPC & CPPCC
On 04 March, according to an article in Al Jazeera titled “What to expect at China’s ‘Two Sessions’ amid sagging economy, party drama,” by Erin Hale, Beijing begins its Two Sessions meeting of the National People Congress (NPC) and the Chinese People’s Political Consultative Conference (CPPCC). These legislative meetings, also known as liangui in Chinese, will run for the next two weeks. The meetings will involve approving new laws and political appointments and presenting government reports from various departments. In the Two Sessions meeting held in 2023, the legislators unanimously voted for Xi Jinping to be the third term as president. The agenda for the 2024 meeting will be based on China’s slowing economy coupled with deflation, debt, and failing exports. Premier Li will present the annual work report and set the goal targets for 2024. NPC is seen as the highest legislative body in China on paper but is less potent than the NPC Standing Committee in practice. NPC is considered a rubber stamp as its primary function involves formal approval of the decisions agreed upon and rarely exhibits any dissent or veto. (Erin Hale, “What to expect at China’s ‘Two Sessions’ amid sagging economy, party drama,” Al Jazeera, 03 March 2024)

Xi sets to groom next-gen party leaders but no successor yet, says The Strait Times
On 03 March, according to a commentary in The Strait Times, in January, China’s State Council promoted three senior government officials and another six on 23 February for the annual Parliament session on 04 March. Four of the nine officials belong to the post-1970s generation (7G). Out of nine, former president Hu Jintao’s son Hu Haifeng is the youngest promoted official to the position of vice-minister for civil affairs. The four officials belonged to the “third echelon” (disan tidui) under Deng Xiaoping in the 1980s to groom successive vice ministers and vice governor cadres. The list of 171 CPC’s Central Committee members will give President Xi options to pick and groom to become the country’s future leader. Out of 171 members, 154 are newcomers, indicating the role of young people in leadership positions. Professor Wu Guoguang, senior research scholar at Stanford Centre on China’s Economy and Institutions at Stanford University, said that the chances of Xi’s potential heir will come from the 7G group. Wu also noted that Xi has established his power base by replacing his rivals with loyalists and aiming to groom them as the next generation of leaders. (Benjamin Kang Lim and Tan Dawn Wei, “China’s Xi grooms next-generation party leaders, but no anointed heir yet,” The Straits Times, 

ECONOMY
Rise in China’s middle-income population, Opinion
On 03 March, according to an opinion published in the state-owned Economic Daily, China’s middle-income population reached 500 million. It highlighted that increased purchasing power and technological innovation will drive the country’s future growth. It was published as part of a series named “How China is Going to Maintain Relatively Fast Long-term Growth.” The article referred to Walt Rostow’s stages of growth theory and said that China’s market has huge development potential and global appeal. The officials expect China’s large population to drive the consumption demand heavily. According to the National Bureau of Statistics, in 2023, Consumption was the primary growth driver, with a rise of 83 per cent in the GDP. China’s disposable income per capita stood at 39,218 yuan, 6.1 per cent from 2022. According to Zhang Wenkui, China’s goal is to maintain a 5 per cent economic growth rate. Also, China’s per capita income is 17 per cent compared to the US, which won’t classify it as a wealthy and developed country. (Mandy Zuo, “China’s middle-income population passes 500 million mark, state-owned newspaper says,” South China Morning Post, 03 March 2024)

Xi to go against market expectations for long-term stimulus, Opinion
On 04 March, according to an opinion in the Financial Times, China will begin its session at the National People’s Congress on 05 March to discuss the country’s future growth targets. The NPC meeting will be crucial for China as it takes place on the 75th anniversary of the PRC in 2024 amid the real estate crisis, deflationary pressures, and eroding investors’ confidence. According to Neil Thomas at Asia Society Policy Institute’s Center for China Analysis, Xi views the country’s current economic challenges as necessary to be dealt with to achieve the long-term goals for greater development. Premier Li is expected to set a growth target of 5 per cent this year. Also, Xi is looking to hire new members, like looking for a new foreign minister to replace Wang Yi, who took charge after Qin Gang was suddenly expelled from his office in 2023. According to Moody’s Analytics, China needs to focus more on domestic consumption rather than investment for higher growth in 2024. However, according to Heron Lim, an economist with Moody’s Analytics, China will focus more on its industrial policy by investing in property markets and advanced manufacturing. (Joe Leahy, “China’s Xi Jinping to resist market pressure to step up stimulus efforts,” Financial Times, 04 March 2024)

Another Chinese economic crisis is making
On 03 March, according to an editorial in The Wall Street Journal titled “The World Is in for Another China Shock” by Jason Douglas, contrary to its past filled with China’s rise, the Chinese economy is slowing with greater deflationary trends. To avoid the dumping of cheap Chinese exports into their economy, which had driven domestic businesses out, the US, Europe, and Japan have started offering financial support to their industries and imposed tariffs on Chinese imports. According to a paper in 2019, China’s accession into the WTO in 2001 led to a fall in the consumer prices in the US for goods by 2 per cent for every extra share gained by Chinese exports. Autor estimated that between 1999 and 2011, the US lost more than 2 million jobs due to Chinese imports. Currently, the West sees China as its main economic rival, with former US President Trump imposing up to 60 per cent or higher tariffs against Chinese imports. With the growing protectionism and shift towards high-end manufacturing by South Korea and Japan, China still commands an edge in low-end manufacturing and is diversifying its markets. (Jason Douglas, “The World Is in for Another China Shock,” The Wall Street Journal, 03 March 2024) 

CHINA AND SOUTHEAST ASIA
The Philippines Coast Guard conducts patrols to deter Chinese research ships
On 04 March, the Philippines delayed its coast guard ship to undertake a two-week patrol to monitor and check the growing presence of Chinese research ships near the Benham Rise, which is located near the Philippines' east coast. In 2017, Manila renamed it “Philippine Rise.” The Philippine Coast Guard (PCG) said that its vessel will undertake maritime domain awareness near northern Luzon Island and monitor the local fishermen and the Chinese research vessels. According to the director of SeaLight at the Gordian Knot Center for National Security Innovation, Ray Powell said that on 01 March, two Chinese research vessels left a port in Longxue Island in Guangzhou on 26 February and were sailing around the northeast of Benham Rise, within the Philippines exclusive economic zone. (“The Philippines conducts marine patrols to check the presence of Chinese research ships,” The Straits Times, 04 March 2024)

Chinese embassy expresses its dissent on Philippines’ South China Sea remarks
On 03 March, the Chinese embassy in Manila strongly protested against the Philippines ambassador’s statement and said that he had disregarded basic facts. On 28 February, the Philippine Ambassador to the US, Jose Manuel Romualdez, said that the West Philippine Sea is the next flashpoint concerning the South China Sea and the Taiwan conflict. The Chinese embassy urged the ambassador to stop spreading lies about China as a regional threat. He indirectly targeted the US, saying that inviting outsiders would not lead to a peaceful resolution of the ongoing problem between the two sides. This happens amid China’s claim over the entire South China Sea and Beijing and Manila exchanging accusations over the sovereign claim in the disputed regions. (“China’s embassy condemns Philippine envoy’s remarks on South China Sea,” The Straits Times, 03 March 2024)

CHINA & SOUTHEAST ASIA
Thailand transfers 900 scam victims to China
On 03 March, Thailand’s Prime Minister Srettha Thavisin announced that 900 Chinese citizens that were trapped in Myanmar border scam centers were transferred to China. Myanmar and other Southeast Asian countries have become hotspots for online fraud and human trafficking, where they were forced to work in scam centers by criminal gangs. The Royal Thai Police spearheaded the operations from 29 February to 02 March, where they transferred the Chinese nationals from the Myanmar border town of Myawaddy to the Thai district of Mae Sot and eventually boarded Chinese planes. PM Srettha said: “This was a joint voluntary operation between three countries, China, Myanmar and Thailand,” and that “The process was done voluntarily, based on humanitarian principles, it was not forced.” The operation used 15 flights and three days of trip to return to China. This comes after in 2023, Myanmar handed over 31,000 telecom fraud suspects to China, in a joint crackdown initiative between Myanmar and China. (“Thailand facilitates the transfer of 900 scam victims from Myanmar to China,” The Straits Times, 03 March 2024)

CHINA & THE MIDDLE EAST
China’s Red Sea peace negotiation to yield no result, SCMP
On 04 March, an editorial in the South China Morning Post, titled, “Why China’s Red Sea diplomatic mission is unlikely to stop Houthi shipping attacks,” by Zhao Ziwen stated that the diplomatic missions by China in the Red Sea would yield no result. Ziwen owes this to China’s reluctance to intervene further as it also refuses to giveaway its neutral international stance. The Chinese have been consistently trying to subdue the conflict in the Red, aiming to restore safety and stability. In February, Ziwen states that the Director General for the West Asian and North African department Wang Yi met with the Omani, Saudi Arabian and Yemeni officials. During his visits, he highlighted China’s call for a peaceful ceasefire of the Israel-Palestine conflict which had the spillover effect in the Red Sea. Drector of the School of Arabic Studies at Beijing Foreign Studies University, Liu Xinlu said: “Although the Yemeni Houthis have not launched attacks on Chinese ships and have given such facilities to [Chinese] personnel and enterprises, the Red Sea corridor is related to world shipping, so the transport of oil and gas resources and commodities still has a relatively large impact [on China].” (Zhao Ziwen, “Why China’s Red Sea diplomatic mission is unlikely to stop Houthi shipping attacks,” South China Morning Post, 04 March 2024)

CHINA & AFRICA
China-based phone giants on the rise in the African market, SCMP
On 03 March 2024, an editorial in the South China Morning Post, titled, “Chinese-made phones are calling the shots in Africa as they beat global giants Samsung and Apple,” by Jevans Nyabiage looked into the rising market in Africa for China manufactured Phones. Some of the major China-based giants selling in Africa are, Transsion which manufactures for companies like Tecno, Infinix and iTel. These companies are unknown to Chinese nationals as they are exclusively sold mostly in Africa and later expanding to Latin America, India Southeast Asia and Eastern Europe. In 2023, the Transsion’s, Tecno brand phone company surpassed Samsung and Apple sales in the Middle East and Africa. This success has encouraged more Chinese firms to establish themselves in Africa and the Middle East. An analyst in Counterpoint stated that Tecno’s growth is attributed to its two major bestsellers Tecno Pop 7 and the Camon 20. They also attributed this success to the healing economic factors, with a better macroeconomic environment, energy prices down with inflation and the local currency stabilized. There has been a boost in consumer confidence in lower-income households and that is where Transsion brand companies have invested in, mid-to-lower-tier smartphones. International Data Corporation (IDC) reported that Transsion shipped 95 million smartphones in 2023, a 30 per cent hike from 2022. (Jevans Nyabiage, “Chinese-made phones are calling the shots in Africa as they beat global giants Samsung and Apple,” South China Morning Post, 03 March 2024)
 

EAST ASIA & THE PACIFIC READER

EAST ASIA
South Korean trainee doctors protest to face legal action
On 04 March, the South Korean Health Ministry announced that authorities would take legal action against the trainee doctors who refused to come back to work and end their walkout protest. The protest came in response to the government’s proposal to increase medical school admission candidates. It is estimated around 9,000 trainee doctors and 70 per cent of the South Korean doctors walked out, which led to the cancellation of several surgical procedures, in turn straining the emergency department. The government warned that the protesting doctors would face administrative actions and even the suspension of their medical licenses, fines and jail terms. Health Minister Cho Kyoo-hong said: “From today, we plan to conduct on-site inspections to confirm trainee doctors who have not returned, and take action according to the law and principle without exception.” Additionally, Cho warned that this would affect their career path. For the doctors who do return, they would consider the circumstances while looking into their actions. Patients have been complaining about the ongoing protest stating that “Doctors should first return and reassure patients and their families, and then have a dialogue with the government.” The World Medical Association condemned the provision introduced by the government, and the stifling of leaders in the Korean Medical Association, who have the right to collective action. (“South Korea to start legal action against doctors over walkout,” The Straits Times, 04 March 2024)

South Korea and the US kickstart “The Freedom Sheild Exercise”
On 04 March, South Korea and the US kickstarted their annual spring drills, where twice the number of soldiers joined. The drills would focus on deterring North Korea and its nuclear threat. The Freedom Sheild Exercise comes in after the incessant North Korean test ballistic missile launches. They also started their annual battalion-level Ssangmae exercises. The Freedom Shield drills will include 48 rounds of combined field training, air assault training and air strikes training, informed the South Korean Joint Chiefs of Staff. The exercise's primary aim is to locate identify and then strike the missiles by North Korea. The US Forces Korea said that the US assets like their aircraft carrier and bomber would be deployed in the region. (“South Korea, US troops kick off annual drills over North threats,” The Straits Times, 04 March 2024)

THE PACIFIC
Australia to fund USD 286.5 million for ASEAN projects
On 04 March, Australian Foreign Minister Penny Wong at the Australia-ASEAN summit announced USD 286.5 million funding for the ASEAN projects. The areas they would be focusing on are maritime security and defence building. They believe that the countries in the Indo-Pacific and Southeast Asia and facing imminent security threats and that’s why they need to set aside funding for maritime security in the region and form a pact with the ASEAN countries. This funding comes in light of the growing tensions in the South China Sea, Wong said: “We face destabilizing, provocative and coercive actions including unsafe conduct at sea and in the air.” Wong also emphasized that whatever happens in the South China Sea, the Taiwan Strait and the Mekong region affects us all. Australia used its 50th anniversary to bolster ties with Southeast Asian countries. Philippine’s Secretary of Foreign Affairs Enrique Manalo stated that the South China Sea is a strategic region and holds a promising future if and only the regions resolve their issues and “uphold cooperation over confrontation and diplomacy over the use or the threat of use of force.” (“Australia warns South-east Asia of ‘coercive actions’,” The Straits Times, 04 March 2024)
 

CHINA READER DAILY BRIEF

INTERNAL
Beijing approves revised state secrets law for the first time
On 27 February, Chinese legislative body approved the revised state secrets law for the first time since 2010, which will take effect from 01 May. The revised law will include “work secrets” with restricted sensitive information.  Xinhua News agency reported that the revision is part of Chinese President Xi Jinping’s efforts to improve  national security of China, this comes after the implementation of an anti-espionage law in April 2023 that created fear among foreign businesses. The existing state secrets comprise areas such as the government, CCP decision-making, military and diplomatic activities, and so on. The new revision will require government agencies to protect information that is not state secret but can have negative implications if leaked. The revised law increases coordination with China’s Data Security Law for managing confidential data. (“China broadens law on state secrets to include ‘work secrets’,” Reuters, 28 February 2024)

Housing authority to regulate rental fees to boost long-term leasing market, SCMP
On 27 February, Beijing’s Municipal Commission of Housing and Urban-Rural Development issued a draft proposal to regulate rental fees that could boost long-term leasing, aiming to reinforce the rights and interests of tenants. The proposal would enable the housing rental companies that collect rent for over three months to deposit a part of it into a third-party escrow account. Tenants can monitor the account using a number linked to the contract. The draft proposal is open to public consultation until 05 March. Deputy director of the China Index Academy, Xu Yuejin, said that the proposal would support China’s housing rental regulations, standardize the procedure involved, and ensure the healthy development of the housing rental market. According to the proposal, the Beijing Real Estate Agency Association will settle disputes between the tenants and the rental companies. It will assist tenants in retrieving their rents and deposits. China’s apartment industry was designed to provide furnished apartments and amenities at affordable prices to young urban professionals. Yan Yueijin said the country’s recent policy proposal will respond well to the crisis-hit property market. (Yuke Xie, “Beijing housing authority’s proposal to regulate rental fees will revive confidence in leasing market, analysts say,” South China Morning Post, 29 February 2024)

SCIENCE & TECHNOLOGY
Chinese shipbuilding industry achieves record growth despite US sanctions, SCMP
On 28 February, according to a report in the South China Morning Post, “China’s shipbuilding industry ‘edge’ helps it thrive under US sanctions: study,” by the Chinese Academy of Engineering, Chinese shipyards continue to withstand the mounting US sanctions imposed by the former Trump Presidency. According to the data from the China Association of the National Shipbuilding Industry, in 2023, Chinese shipbuilding achieved a growth of 12 per cent year on year to 42.32 tonnes, which is more than other countries combined. The peer-reviewed paper published by Marine Development and Management shows that Chinese shipyards continue to have access to all specialized equipment in small quantities. The studies also reveals that some Chinese products are inferior compared to Western products but are catching up in technology and have an attractive price offer. The study also reveals that Trump's presidential sanctions posed significant challenges to China’s marine equipment and supply chains. China’s shipbuilding is 200 times faster than the US's, which poses difficulty for the US Navy to maintain its dominance in the global oceans. (Stephen Chen, “China’s shipbuilding industry ‘edge’ helps it thrive under US sanctions: study,” South China Morning Post, 28 February 2024)

ECONOMY
China’s Country Garden faces liquidation petition over USD 205 million adebt
On 28 February, China’s property giant Country Garden face liquidation petition for the nonpayment of a loan amounting to USD 205 million. The company's shares fell more than 12 per cent in early trading. The company rejected the petition filed by the creditor, Ever Credit Limited of Kingboard Holdings. This comes after the Evergrande Group was ordered to be liquidated by the Hong Kong court on the USD 300 billion debt accumulated by the company. China’s property sector faces a massive crisis due to the intense regulatory crackdown imposed since 2021, leading to a liquidity crisis. The Country Garden plans to actively communicate about the debt restructuring program to the creditors. Investment holding company Kingboard became the first listed company to take legal action against Country Garden when its unit firm issued a debt of USD 204 million. (“Embattled China property giant Country Garden faces liquidation petition,” The Guardian, 28 February 2024)

Chinese leadership places high priority for economic recovery in2024
On 26 February, Chinese leadership headed by Premier Li Qiang called for economic recovery as the highest priority for the 2024 agenda. During the meeting, he said that the efforts are directed towards smoothening domestic trade, establishing a more favourable business environment, and stimulating market vigour. His remarks come after his previous five separate State Council meetings in 2024 focused on issues such as technology, demographics, local debt, and attracting overseas investors. He further said that China needs to remove trade barriers set up by the local governments as they pose issues to foreign companies. According to Peng, China’s local protectionist policies are dragging domestic and foreign investment. He further added that the government’s crackdown on the internet, foreign businesses, real estate, and strict pandemic policies has led to a stagnant recovery of the Chinese economy. (Mia Nulimaimaiti, “China vows to break down barriers to aid economic recovery, but call continues for stronger stimulus,” South China Morning Post, 27 February 2024)

CHINA & TAIWAN
Chinese Coast Guard ships no threat if it's not close to land forces, says Taiwanese Defence Minister
On 27 February, Taiwanese Defense Minister Chiu Kuo-cheng said that the military won’t consider the presence of Chinese Coast Guard ships in the disputed waters as long as they are away from the Taiwanese land forces. Chiu's statements come after the recent dispatch of Chinese ships around the Taiwan-controlled defence outpost of Quemoy, also known as Kinmen. He wanted to ease the growing tensions between the two sides to avoid potential conflict. He highlighted the SOPs to handle such cases and mentioned that the military won’t directly intervene and won’t increase its forces on the islands near mainland China. According to the Taiwanese media, no agreement has been reached so far with the two sides initiating the talks on 20 February to resolve the fishermen's death case. (Lawrence Chung, “Mainland China’s coastguard ships no threat if they stay clear of land forces, Taiwan military says,” South China Morning Post, 27 February 2024)

China clarifies no threat by its coast guard patrol around the Taiwan islands
On 28 February, a spokeswoman for China’s Taiwan Affairs Office, Zhu Fenglian, said that the Chinese Coast Guard did not recognize any limits around Kinmen Islands for its fishermen and did not cause any alarm while boarding the Taiwanese tourist vessel. She further said that the Coast Guard’s actions were to protect the lives of fishermen and travellers. Taiwan noted last week that the boarding of Chinese Coast Guard officials on a Taiwanese tourist boat had triggered panic. China accused Taiwanese coast guards of killing the two Chinese nationals on the fishing boat near the Kinmen islands. Taiwan, while defending its actions, has accused China of failing to control its ships entering its waters around the Kinmen Islands. (“China says its coast guard patrols around Taiwan islands are ‘beyond reproach’,” The Straits Times, 28 February 2024)

Lessons for China from Taiwan’s bubble recovery, Nikkie Asia
On 29 February, according to an editorial in Nikkei Asia titled “Taiwan's post-bubble recovery holds lessons for China,” by Paul Cavey, in the 1980s, Taiwan faced a property crisis similar to China and was in worse condition than Japan. Since 1989, Taiwan’s nominal GDP has risen five times, and its purchasing power parity has been higher than Japan's. According to Cavey, the critical driver for Taiwan’s economic development was the manufacturing sector, especially the tech industry, led by the Taiwan Semiconductor Manufacturing Co. (TSMC), which currently dominates the country’s economy and the global chip industry. At the same time, Japanese electronics faced a decline, especially in its consumer electronics. Apart from TSMC, other factors played a significant role for Taiwan, including a reformed monetary policy. However, in China's case, despite the surge in the country’s share in global manufacturing, it shares similar woes as Japan, such as low consumer confidence, turgid property market activity, and prolonged banking sector weakness. Taiwan enjoyed the benefits of a rising external surplus and a depreciating currency between 1990 and 2010. Cavey suggests that Beijing needs to p[provide direct fiscal benefits to the household sector’s purchasing power and ease some protectionist measures to boost its economy in a new direction. (Paul Cavey, “Taiwan's post-bubble recovery holds lessons for China,” Nikkei Asia, 29 February 2024)

MARITIME
Beijing bolsters its presence in the South China Sea, says AMTI
On 28 February, according to a report released by the Asia Maritime Transparency Initiative (AMTI), the presence of Chinese maritime militia vessels grew by 35 per cent in 2023 in the South China Sea as its actions continued to fuel tensions in the region. According to the satellite images and data in the report, an average of 195 militia ships are present in the disputed region in a day. As per the report, around 180 boats suddenly shifted towards the Mischief Reef in July 2023, which are being claimed by the Philippines and Vietnam. The Mischief Reef is located within the Philippines' EEZ and has been controlled by China for the last three decades. In response, Manila established a military outpost near the Second Thomas Shoal in 1999 using the old rusty BRP Sierra Madre warship. In 2023, the ship became a hotspot for increased contestation between the two sides as Chinese ships attempted to block the Philippines' supply mission to the outpost, leading to a water cannon attack and near collisions. (“China militia presence increases in South China Sea, report says,” The Straits Times, 29 February 2024)

CHINA & EAST ASIA
US raises concerns against the new national security law in Hong Kong
On 29 February, US State Department spokesman Matthew Miller expressed concerns on the Hong Kong authority’s proposal to adopt a broad and vague definition of ‘state secrets’ and ‘external interference’ that could be used to eliminate dissent through the fear of arrest and detention under the pretext of the national security law. According to the new security legislation, two new offences were added to Article 23 of the Basic Law: treason, insurrection, and sabotage, endangering national security. He further said that the new legislation would restrict the free speech of US citizens and local residents, it violates China’s international commitments, and undermines the “one country, two systems” principle. Previously, on British Foreign Secretary David Cameron’s criticism, the Chinese embassy in London said the Sino-British Joint Declaration did not give Britain the right to intervene in Hong Kong’s affairs. The embassy added that Hong Kong’s domestic legislation was completely in line with international law. Cameroon said that the legislation will restrict freedom of speech and expression. (Kahon Chan and Natalie Wong, “US voices concerns over use of ‘broad and vague’ definitions in Hong Kong’s Article 23 national security law to stifle dissent,” South China Morning Post, 29 February 2024)

CHINA & SOUTHEAST ASIA
Vietnam requests tech transfer from China’s energy company
On 27 February, Vietnam’s government delegation, led by Deputy Prime Minister Tran Hong Ha, requested technology transfers from PowerChina, an energy and construction giant in China. He welcomed PowerChina’s delegation to Vietnam to discuss wind and solar projects under China’s BRI. The investment is part of Chinese President Xi Jinping’s visit to Vietnam in December 2023 after US President Joe Biden visited Hanoi. Amid the slowing domestic market and US sanctions on Chinese manufacturing, Vietnam captured most of the FDI, amounting to USD 9 billion. Powerchina has around 50 projects in Vietnam and is building a 600MW project in Laos. (Lien Hoang, “Vietnam seeks tech transfer from Chinese energy giant,” Nikkei Asia, 29 February 2024)

CHINA & SOUTH ASIA
PM Modi and DMK exchange words over controversial ad of a Chinese flag on an Indian rocket
On 28 February, DMK MP K Kanimozhi defended its party after PM Modi criticized the Tamil Nadu government’s newspaper advertisement showcasing the Chinese flag on an Indian rocket. She said the party was unaware of the person involved in the act. She added that PM Modi had invited Chinese President Xi Jinping to Mahabalipuram, so there is no need to divert away from the truth. PM Modi said that the DMK party has crossed limits by placing Chinese stickers and taking credit for the ISRO launch pad in Tamil Nadu. Tamil Nadu BJP President K Annamalai criticized DMK for disregarding India’s sovereignty. Responding to the allegation, DMK spokesperson J Constandine Ravindran said that the BJP accusations are political and not objective. He said the ad's objective was to show India’s success and accomplishments in space technology along with those of the developed countries. (“China flag in Isro ad: PM Modi blasts DMK, party hits back,” Times of India, 28 February 2024)

CHINA & THE PACIFIC
Australia extends formal invite to Wang Yi after frosty bilateral ties
On 29 February, according to an editorial in the South China Morning Post, titled, “, “China’s Wang Yi invited to Australia as Beijing, Canberra ties thaw after prolonged frost,” by Kandy Wong, the Chinese Australian Foreign Minister extended a formal invitation for a two-day visit to Chinese Foreign Minister Wang Yi in the second half of March. The talks come after PM Albanese's visit to Australia in November 2023 to normalize bilateral ties, especially trade. According to Kandy Wong, issues such as the signing of a new science and technology agreement under the AUKUS alliance and the sentencing of Australian writers on espionage charges won’t be quickly resolved. And that Wang Yi's trip will be made after the two sessions of China’s legislature and political advisory body to discuss China’s diplomacy. Australia’s Department of Foreign Affairs and Trade (DFAT) will push China to lift the sanctions imposed on its wine and lobster during Wang Yi’s visit. In contrast, China pushes Australia to sign a new Science and Technology Agreement. As per the DFIT’s data, China is Australia’s largest bilateral trading partner, comprising 26 per cent of goods and services trade during 2022-2023. (Kandy Wong, “China’s Wang Yi invited to Australia as Beijing, Canberra ties thaw after prolonged frost,” South China Morning Post, 29 February 2024)

Chinese Coast Guard ships no threat if it's not close to land forces, says Taiwanese Defence Minister
On 29 February, The Australian director general for security Mike Burgess of the Australian Security Intelligence Organisation (Asio), revealed that a foreign and unnamed spy team had recruited a former Australian politician for spying activities. The politician has said to be recruited “seven years ago”.. Burgess also reported that this former politician also held international conferences where the other spies posed as bureaucrats would participate to recruit new members. They mainly wanted to enlist people to obtain security and defence information, said Burgess. This information has sparked outrage in Australia, where many are demanding the name of the accused politician. The breach is highly sensitive as Australia is part of the Five Eye Intelligence sharing group with the US, Britain, Canada and New Zealand. Burgess said: “We want the A-team to know its cover is blown. We want the A-team’s bosses to know its cover is blown.” (“Spy row erupts in Australia over ‘traitor’ politician,” The Straits Times, 29 February 2024)

US may lose influence over the Pacific Islands to China over delayed aid, says The Telegraph
On 27 February, according to an opinion piece in The Telegraph, the US defence official warns the risk of losing influence over the Pacific Islands to China due to the aid held up in Congress. This comes after the leaders of the three island countries of Palau, the Marshall Islands, and the Federated States of Micronesia (FSM), through a joint letter in February, warned that the delay in the funding is “leading to greater domestic uncertainty within the among their populations and “resulted in undesirable opportunities for economic exploitation by competitive political actors active in the Pacific.” The blocked funding comes as Beijing attempts to shift the balance of power in the region in its favour. Palau President Surangel Whipps said that the delay in the funding is making China a credible partner for the region, and the CCP is making all efforts to erode Palauan confidence with the US. Dr Euan Graham points out that the delay in US congressional funding hurts America’s national interests. (Nicola Smith, “US could lose strategic Pacific islands to China over blocked funding,” The Telegraph, 27 February 2024)

CHINA & THE AMERICAS
Joe Biden proposes an executive order to prevent the transfer of data to countries of concern
On 28 February, US President Joe Biden issued an executive order to prevent large amounts of, personal and sensitive transfer to the “countries of concern.” The data transfer includes genomic, biometric, personal information and financial data. They believe that bad actors and the information in the wrong hands can lead to the misuse of sensitive data. The provision is said to impact manufacturers, online stores and sellers. Even though the order is hinted at China, there is no clarity if it would be applied to Chinese firms in the US and social media platforms like TikTok and fast fashion retail group Shein. (“Eyeing China, Biden limits personal data transfers to U.S. rivals,” Nikkie Asia, 28 February 2024)

Canada: 2020 sacking of Chinese scientists accused of sharing information
On 28 February, The Globe and Mail newspaper reported on the sacking of two Chinese scientists Xiangguo Qiu and her husband, Keding Cheng working at a high-security infectious disease lab. They were accused of sharing confidential information with China. This happened in 2021, were the security agency in Canada stated that they were a “credible threat to Canada’s economic security.” The opposition legislature at that time demanded information behind the sacking, while Health Minister Mark Holland called it an unacceptable security lapse. The couple were working for the National Microbiology Lab in Winnipeg in 2019. The documents now on the case shows that the Canadian Security Intelligence found an intentional transfer of data by the coouple. The breach is worrysome and the laboratory in Winnipeg has  some of the most dangerous human and deadly animal pathogens such as Ebola. (“Canada fired scientists Xiangguo Qiu and Keding Cheng for sharing information with China, report says,” South China Morning Post, 29 February 2024)

The US needs to focus better on Latin America to cope with Chinese influence, say US officials
On 26 February, the report published by the Atlantic Council highlighted that there is a need for the US to update its political, diplomatic, and economic toolkit to catch up against the growing Chinese influence in the Latin American region. Juan Gonzalez of the National Security Council said that the security and prosperity of Latin America and the Caribbean significantly impact the US. Gonzalez said that during defence exports, China offers better terms to Latin American countries in terms of lower prices and extending financing options compared to advanced payment collection by the US, which financially constrains these countries. The report also mentioned that the Inter-American Development Bank, which was a primary source of development financing agency for decades in the region, faces a lag in attracting private companies’ investments. Deputy Assistant Secretary of State for Western Hemisphere Affairs, Mark Wells, said President Biden’s Americas Partnership for Economic Prosperity in 2022 aims to expand cooperation and financing for high-quality critical infrastructures. Argentine Foreign Minister Diana Mondino called for greater US engagement with the region through free trade agreements to counter Chinese influence. (Igor Patrick, “US must update Latin America toolkit to keep pace with China sway in region, Biden officials say,” South China Morning Post, 28 February 2024)

CHINA & RUSSIA
Testing times for Russia-China’s “no-limits partnership,” Opinion  
On 27 February, an opinion in the South China Morning Post, titled, “Why isn’t China letting Russia take out yuan loans in their ‘no-limits’ partnership?,” by Kandy Wong outlined the realities of the “no-limit” partnership between Russia and China. Kandy stated that the discussion over whether Russia will be granted loans in Yuan has been going on to no avail. The backdrop to this is the sanctions imposed on the Chinese companies by the Western firms accused of helping Russia to avoid sanctions repercussions. Since the Russia-Ukraine war, Moscow has resorted to the use of Yuan furthering their financial dependence on China. Senior economist at BBVA Research, Dong Jinyue, stated that regardless of their increased cooperation they have to maintain a neutral international stance. Dong also believes that China needs to consider the safety of its returns, considering that they have a weak financial market and an underdeveloped financial structure. While Russia is ready to use and spend Yuan, China needs to think if Moscow would be able to sustain their consumption power, said Russia and Central Asia specialist Li Lifan. Lialso stated that: “the creditor is always the party that has more concerns than the debtors in any loan business.” (Kandy Wong, “Why isn’t China letting Russia take out yuan loans in their ‘no-limits’ partnership?,” South China Morning Post, 27 February 2024)

Chinese Vice FM affirms their relations with Russia
On 28 February, Chinese Vice-Foreign Minister Sun Weidong visited Moscow on 26 February to discuss the need to further their bilateral tie by strengthening their communication and coordination on Asia-Pacific affairs. Sun said that both countries should play: a “better role as an anchor of stability in the changing circumstances of the century.”  He also met with Russian Foreign Minister Sergei Lavrov and later exchanged views on the Russia-Ukraine war and the issues in the Korean peninsula. Additionally, Sun also expressed China’s readiness to support Russia to assume the presidency for the BRICS 2024 summit. (“China says Beijing and Moscow should strengthen coordination on Asia-Pacific issues,” The Straits Times, 28 February 2024)

CHINA & EUROPE
EU bills demanding audits for human rights and environmental violations rejected
On 28 February, the European Union failed to pass the law holding big companies accountable for human rights abuses and environmental violations. The proposal stated that any EU firm with over 500 staff and EUR 150 million turnover would be required to conduct detailed audits of their suppliers/partners. It also mentioned that after three years of the regulation of the proposal, the non-EU companies with EUR 150 million turnover in Europe will be expected to do the same. The initiative failed to come to action as it fell short of votes, countries like Germany and Italy abstained from voting while Sweden voted against it. The reasons for abstaining the same are the “administrative burden” and fear of an uneven level playing field. More pro-business parties in the EU believe that this burden would keep the companies at a disadvantage with competing against other firms who do not have the same regulations. (“EU fails to pass law requiring human rights and environmental audits on Chinese suppliers,” South China Morning Post, 28 February 2024)
 

EAST ASIA & THE PACIFIC READER

EAST ASIA
Japanese PM Fumio Kishida to face the parliamentary ethics committee
On 29 February, Japanese Prime Minister Fumio Kishida became the first sitting PM of Japan to appear on the parliamentary ethics committee. This comes after there has been a stark decline in his popularity since the funding scandal. The opposition has demanded a full public hearing and that should include five key members of the biggest faction caught in the same scandal, while Kishida’s party argued for a closed session. While Kishida is not directly accused of the scandal he stated that he feels a strong urgency to revive people’s trust and not addressing it would further their distrust. He said: “I'm hoping that lawmakers ... will fulfil their responsibility to explain their actions on various platforms, including this ethics committee, for us to revive trust in politics.” The negotiations on how to conduct the hearing have also delayed the fiscal budget of 2024. (“Embattled Japan PM faces ethics committee to save popularity and budget,” The Straits Times, 29 February 2024)

North Korean leader Kim Jong Un calls for an “industrial revolution”
On 29 February, North Korean leader Kim Jong Un called for an “industrial revolution” where he wanted the rural regions to build factories nationwide as the country faced acute food shortage. Kim Jong Un was attending the ceremony of the plant in Songchon Country, where he pledged to push for regional development policies, under which they aim to open factories in 20 remote areas every year for ten years. Kim said: “Establishing regional industry factories equipped with modern equipment and production lines in every city and county of the country within the next 10 years is truly a great revolution with enormous epochal significance.” (“North Korea’s Kim seeks ‘industry revolution’ in rural areas amid widening inequality,” The Straits Times, 29 February 2024)

South Korea and US to kickstart their annual drill aiming to deter North Korea
On 28 February, Reuters reported that South Korea and the US plan to kickstart their annual spring military drills aiming at deter North Korea’s  nuclear weapons potential. The Freedom Sheild Exercise will be kicksarted from 04-14 March. These drills come in light of North Korea’s repeated testing of missiles and they recently also scrapped their unification plans with South Korea, showing their aggressive stance. The drills would be tough and realistic which would include 48 hours of field training, air assault and air strike training. They are expected to neutralize North Korea’s nuclear threat and aim at identifying and striking the cruise missiles. South Korea’s Joint Chief of Staff, Lee Sung-Jun: “The two countries are jointly developing a counter-operation concept against North Korea's nuclear and missile threats and it will be applied to deter and prevent their further and possible nuclear usage.” (“South Korea, US to stage annual drills focusing on Korea nuclear threats,” Reuters, 28 February 2024)

Taiwan’s 2-28 massacre, The Guardian
On 28 February, an article in The Guardian, titled,  “‘Facing up to history’: relatives of Taiwan’s 2-28 massacre victims demand an official reckoning,” by Helen Davidson and Chi Hui Lin looked into Taiwan’s 2-28 massacres, where the Kuomintang (KMT) Republic of China government killed anti-government protestors. The article looks into the story of Li-cai now 80, wholost her dad when she was just two years old and later came to know that he was murdered. Since Japan was defeated after the WWII, Taiwan was given to KMT to control, Li’s father is among 18,000-28,000 people killed and disappeared in the anti-government protest. The protestors and dissenters were taken from their homes and workplaces where they were tortured, jailed and eventually executed. Taiwan now every year marks the anniversary and has dedicated museums and parks. Even though the KMT have apologized for their White terror regime many call out their paradoxical ideology as they also want to recognize the achievements in uplifting Taiwan. (“‘Facing up to history’: relatives of Taiwan’s 2-28 massacre victims demand official reckoning,” The Guardian, 28 February 2024)

North Korea ships weapons to Russia: South Korean Defence Minister
On 27 February, South Korean Defence Minister Shin Won-Sik informed that North Korea had shipped containers to Russia with millions of artillery shells. Shin estimated that there were about 6,700 containers sent to Russia after their meeting in September. They are set to have sold a million rounds of 152mm shells. The deal is said to reciprocate with Russia helping North Korea with food, raw materials and parts supply. The exchange has stabilized the food prices in North Korea and Russia plans to send more military technology to North Korea. Both countries have denied arms transfer, while a satellite imagery found  four cargo vessels shuttling between North Korea and the Russian border. (“North Korea speeds up the pace of secretive weapons shipments to Putin,” The Straits Times, 27 February 2024)

Protest in Hong Kong against the new national security law
On 27 February, The Straits Times reported on the protest by Hong Kong activists against the government’s plans to establish a new national security law. The law is said to include 2020 China’s imposed security legislation and add new offences like treason, insurrection, theft of state secrets and espionage. The protestors stated that it lacked democratic oversight and human rights safeguards. Since 2019, China has curbed the pro-democracy protests, where this demonstration has been a first in a while. Hong Kong officials believe that they need the home-grown law to plug the loopholes in the security system. The activist Yu Wai Pan from the League of Social Democrats (LSD) was at the protest and expressed the concerns of the Hong Kongers stating: “National security is important to the people, but it must be based on democracy, freedom and rule of law,” (“Rare Hong Kong protest sounds alarm on new security law,” The Straits Times, 27 February 2024)

THE PACIFIC
New Zealand lists Hamas as a terrorist group
On 29 February, New Zealand’s Prime Minister Christopher Luxon announced that they have listed Hamas as a terrorist entity and have imposed travel bans on the “Israeli settlers” accused of committing violent acts against Palestine. Luxon also stated that they want to be clear that this is not a reflection on the innocent people of Palestine in Gaza and around the world, but that they are specifically against Hamas's actions of 07 October.  New Zealand’s Foreign Minister said that the whole of Hamas is responsible for the October act. They also made carrying out financial and other transactions with or for Hamas a criminal offence and froze their asset in New Zealand. They also iterated that they continue to support the future of Palestine and the two-state solution, urging them to end the conflict. (“New Zealand lists Hamas as a terrorist group, sanctions ‘extremist’ Israeli settlers,” The Straits Times, 29 February 2024)

HIGHLIGHT 
COMAC to showcase its C919 and ARJ21 aircraft in five Southeast Asia countries
On 27 February, Chinese Commercial Aircraft Corporation of China announced that they are set to conduct a flying display of their C919 and ARJ21 aircraft in five Southeast Asian countries. This aims to promote their aircraft and lay the groundwork for future sales. In the coming weeks, they are set to be showcased in Laos, Vietnam, Malaysia, Indonesia and Cambodia. Recently, it conducted airshows in Vietnam and Singapore as it touted its narrow-body plane. COMAC said: “The primary purpose of these flights is to ... showcase the aircrafts' good performance and lay the groundwork for future market expansion in Southeast Asia,” the company aims to garner international recognition and gain the European Union Aviation Safety Agency certification. (Sophie Yu, Brenda Goh, “China's COMAC to showcase C919, ARJ21 jets in 5 Southeast Asian countries,” Reuters, 27 February 2024)

Nurses to undertake additional work due to doctor's strike in South Korea
On 27 February, South Korean Health Minister Cho Kyoo-hong said that the government was activating a program to legally protect nurses from conducting medical procedures that were performed by doctors within a medical institution. The Nurses complained about severe workloads and legal risks due to the trainee doctors' walkout from the hospitals to protest against the government’s plan to boost medical school admissions by 2,000 students per year to address the shortage of doctors in the country. The protests had led to the absence of two-thirds of the doctors, leading to the disruption of services at major hospitals and the cancellation and postponement of several emergency and other surgery cases. The doctors have yet to attend the meeting despite the government's request for a dialogue. Cho warned the 9,000 protesting doctors to return to work by 29 February to avoid facing any punishment, which includes license suspension and possible prosecution and arrest. The protesting doctors continue to demand that pay and working conditions be addressed before increasing the admission quotas in medical schools. (“South Korea nurses will take on more medical work due to doctor walkout,” The Straits Times, 27 February 2024)

Billionaire and founder of Wahaha Group, Zong Qinghou dies at 79
On 25 February, one of the richest men in China and the founder of Chinese drink Hangzhou Wahaha Group, Zong Qinghou died at the age of 79. His demise was announced by his company and the memorial service is said to be held on 28 February in Xiasha, Hangzhou. In 2010 and 2012 he was ranked as the wealthiest businessman in China by the Hurun Research Institute’s China Rich List, estimated to be worth USD 13.1 billion, currently, he is ranked 31st in the list. Wahaha was born to a poor family in the Jiangsu provincial city of Suqian in 1945. In 1987 with two retired teachers, he became a drinks and ice cream distributor in a local school. In 1989, he established the Hangzhou Wahaha Nutritional Foods Factory, in two years he formed the Hangzhou Wahaha Group with a canned food factory. 1995, he launched bottled water that became popular in the consumer market and the following year French multinational Danone invested USD 70 million in five joint ventures later extended to 39. The joint venture was one of the major reasons for their success until their relationship changed when the French counterpart sought to buy out Wahaha’s assets. Wahaha believed Danone was trying to initiate a hostile takeover while the French accused Wahaha of secretly operating by mirroring products. The dispute ended when Danone sold its interests to Wahaha. Zong Qinghou is now succeeded by his only child and daughter Zong Fuli who was appointed vice-chairman and general manager and eventually trajected to take full control over the company. Additionally, Zong Qinghou was also a member of the Communist Party of China and was a delegate in the 10th, 11th, and 12th National People Congress. (Sylvia Ma, Salina Li, “Zong Qinghou, billionaire founder of Chinese drinks giant Wahaha Group, dies at 79,” South China Morning Post, 25 February 2024)

CHINA READER DAILY WIRE

INTERNAL
CCP attempts to influence and manipulate Taiwanese youth, Financial Times
On 21 February, according to an editorial in the Financial Times titled “China’s Communist cadres woo Taiwan with youth trips and video apps,” by Kathrin Hille, CCP’s United Front Work Department promoted trips among young Taiwanese at grassroots levels to foster Chinese patriotism and unification ideology. The United Front has ramped up its efforts after the electoral victory of Lai Ching-te, who won the third term for Taiwan’s DPP. Taiwanese government officials warned of the CCP’s manipulation tactics to marginalize the government in the country. Hille noted that with Taiwan’s opening of movement of its citizens to China in the late 1980s, the United Front cadres have been working to influence the Taiwanese people against the DPP. (Kathrin Hille, “China’s Communist cadres woo Taiwan with youth trips and video apps,” Financial Times, 21 February 2024)

Revival of Mao-era reserve military units, Opinion  
On 20 February, according to an opinion in the Financial Times titled “Chinese companies revive Mao Zedong-era militias,” by Edward White, Many Chinese state-owned enterprises (SOEs) started setting up in-house reserve units belonging to the legacy of the Mao Zedong era known as People’s Armed Forces Departments (PAFD). The department recruits at the village and county levels and performs civil defence activities. Timothy Heath, an international defence researcher at the Rand Corporation, said creating these new units indicates the risk of growing social instability as China’s economy faces a prolonged slowdown. James Char, the expert from RSIS, noted that the rise of PAFDs is due to the “CCP party-state stressing ‘security’ over ‘development’,” which relates to Xi’s second term since 2017. Hath further said that the rise of PAFDs was surprising as ordinary Chinese citizens had little interest in the Maoist era reforms. (Edward White, “Chinese companies revive Mao Zedong-era militias,” Financial Times, 20 February 2024)

Chinese LGBTQ community faces government repression, Opinion
On 20 February, according to an opinion in Nikkei Asia titled “China LGBTQ community hangs tough in dissent amid repression,” by Pak Yiu, Jin Xing, the country’s well-known transgender celebrity, was accused of "poisoning children and destroying the traditions of marriage,” after the photos and videos of her event got viral across Chinese social media. Before transitioning, Jin was a former star of the People's Liberation Army's dance corps. According to Yiu, Homosexuality was decriminalized in China in 1997, but discrimination against gay and transgender people is not a criminal offence. According to the China Dissent Monitor, it is estimated that the LGBTQ population comprises around 80 million in China. The data also reports 18 dissents in the second half of 2023 and is showing resilience in raising awareness for safe spaces in the community. Police often cite the importance of protecting the country’s stability and national security as the main reasons while interrogating LGBTQ activists. (Pak Yiu, “China LGBTQ community hangs tough in dissent amid repression,” Nikkei Asia, 20 February 2024)

SCIENCE & TECHNOLOGY
China uses advanced tech to control global opinion, USCC
On 20 February, according to a report published by the bipartisan U.S.-China Economic and Security Review Commission (USCC), titled “Censorship Practices of the People's Republic of China," China is attempting to control global opinion on Taiwan, Hong Kong, and others using advanced technology. The report says that under Xi Jinping, China has massively expanded the censorship apparatus, thus enabling the country to strengthen its control over the internet content, which is deemed to be sensitive by the party, such as human rights issues in Xinjiang and Tibet. The report also mentions the development and deployment of advanced AI and big data analysis technologies for online content monitoring. The report highlights the dangers of China’s manipulation of foreign audiences and its negative impact on the global information commons. It also warns about Chinese censorship of Taiwan, Hong Kong, and Xinjiang, posing concerns amongst the US national security. It recommends that the US government work alongside the private sector to tackle PRC’s disinformation campaigns. (Tomoko Ashizuka, “China building up tech for 'censorship apparatus,' U.S. report says,” Nikkei Asia, 20 February 2024)

China ramps up clean energy production in its deserts
On 20 February, according to an editorial in the South China Morning Post titled “China builds up electric power in Gobi and western deserts equal to half US capacity,” by Stephen Chen, China boosted its clean energy production and transmission network in Gobi and other north-western deserts. The total combined production in Gobi and other north-western deserts is estimated to be 600GW, half of the US’s combined energy production is of 1,100 GW. The energy facilities in the deserts consist of wind and solar energy. Chen outlined that the North-western region powers 60 per cent of China’s solar energy and one-third of its wind power. At present, the installed capacity of renewable energy in the region has reached 230GW, with half of it transmitted to power the densely populated eastern coastal provinces. According to Professor Ma Xiaowei, China’s northwest power grid has overtaken the EU in core energy utilization indicators. Also, Chen stated that China has incorporated AI to predict power generation ten days in advance using many sensor data with greater prediction accuracy. (Stephen Chen, “China builds up electric power in Gobi and western deserts equal to half US capacity,” South China Morning Post, 20 February 2024)

ECONOMY
China’s new financial regulator vows to restore investor confidence
On 21 February, according to an article published by People’s Daily, CCP’s newly created Central Financial Commission (CFC) said that China will benchmark its financial policies with global standards to make them more transparent, stable, and predictable. This is done to revive investor confidence during the stock meltdown. The article focused on the CGC’s commitment to making China a financial superpower. This comes after foreign investors are worried about China’s policy choices. According to the State Administration of Foreign Exchange data, direct investment liabilities increased by USD33 billion in 2023 compared to the previous year, which resulted in an 82 per cent drop year on year since 1993. China looks to manage the financial risk as part of its future development, which is currently facing multiple challenges in the form of inflation, corruption, debt, and so on. (Mandy Zuo, “China’s new financial regulator pledges transparency to bring investors back from the brink,” South China Morning Post, 21 February 2024)

China needs to be more active in debt relief, the World Bank official
On 21 February, a former deputy chief economist of the World Bank, Ayhan Kose, said that Beijing needs to be more proactive in its debt relief efforts towards the distressed countries and end the “silent crisis.” Kose also noted that China needs to take more responsibility for creating a post-pandemic debt relief structure while becoming a major creditor country. The World Bank and IMF are increasingly concerned about the growing debt crisis among low-income countries, with 11 in distress and 28 at high risk of default. Kose added that 40 per cent of the low-income countries would have lower per capita income by the end of 2024, and there is a need for the global community to make the Common Framework work. So far, four countries have applied for the Common Framework, a system launched by G20 in 2020, in which only two countries, Chad and Zambia, have reached an agreement. (Larry Elliott, “China needs to do more on ‘silent crisis’ of debt, says World Bank official,” The Guardian, 21 February 2024)

China risks FDI with its strict policies
On 21 February, according to an editorial in Nikkei Asia titled “China should not underestimate impact of inward FDI plunge,” the government data revealed that total FDI into China amounted to USD33 billion in 2023, which is 80 per cent lower than in 2022. According to the editorial, the decline in FDI has led to a decrease in new and existing factories' construction and operational units. Despite the real estate slump and deflationary trends, the Xi-led government failed to tackle the crisis. Also, foreign investors are hesitant to invest further in China due to the ongoing US restrictions on China, especially on semiconductors. Furthermore, China’s anti-spying law worries foreign investors about detention without any explanation. The editorial highlights Xi’s growing priority to strengthen the CCP’s power rather than strengthening the existing struggling economy. (“China should not underestimate impact of inward FDI plunge,” Nikkei Asia, 21 February 2024)

New reforms to boost nations’ modernization drive, Xi Jinping
On 19 February, Chinese President Xi Jinping mentioned the need to focus more on tackling the problems hindering the nations’ modernization efforts. His remarks are seen as a preparation for the upcoming 20th Central Committee’s third plenum focused on reform. State media Xinhua reported that the CCP’s focus is to promote reforms for modernization in Chinese style and to address the institutional obstacles while facing the challenges. Alex Ma, an associate professor of public administration at Peking University, said “How to restore confidence is one key aspect to watch as Beijing cooks up new reform initiatives and implementation plans,” while promising to resolve the problems. Zhu Tian, an economics professor at the China Europe International Business School in Shanghai, said that China needs to implement real reforms soon to keep government intervention away from the functioning of the private sector and amend impulsive enforcement. (Frank Chen, “China’s Xi Jinping hypes up obstacle-crushing economic reforms as expectations for third plenum reach fever pitch,” South China Morning Post, 20 February 2024)

CHINA & TAIWAN
Chinese Coast Guard intercepts Taiwanese tourist boat
On 19 February, the Chinese Coast Guard (CCG) boarded a Taiwanese tourist ferry amid the surging tensions between the two sides. The Taiwanese ferry King Xia carried 11 crew and 23 passengers on a tour near Kinmen’s main island and was intercepted by two Chinese Coast Guard patrol boats. Taiwan’s Coast Guard Authority (CGA) said that six officers from CCG boarded the ferry and inspected the crew documents before returning to their boats. Later, they were escorted by Taiwan’s CGA. Kinmen Island is a Taiwanese territory very close to the Chinese mainland. Kuan Bi-ling, head of Taiwan’s Ocean Affairs Council, said the actions of the Chinese coast guard had “triggered panic” among Taiwanese people. The incident took place amid tensions from a Chinese fishing boat being chased by Taiwanese CGA capsized, and two out of four fishermen died. (Helen Davidson, “China coast guard boards Taiwan tourist boat in escalation of tensions,” The Guardian, 20 February 2024)

Taiwan denies increased military deployments on its offshore islands
On 21 February, Taiwan’s defence ministry said it had not deployed any military on its frontline islands close to China amid tensions with Beijing. This takes place amid the death of two Chinese nationals while fleeing away from the Taiwanese Coast Guard near Kinmen Island. Taiwan Defense Ministry intelligence officer Huang Ming-chieh said there was “nothing abnormal” in China’s military movement around Taiwan. Lee Chang-fu, deputy head of the ministry’s joint operations planning department, said there has not been any increase in the deployment of troops on its offshore islands. Kinmen is very close to the Chinese cities of Xiamen and Quanzhou and has been under the control of Taipei since the Republic of China fled to Taiwan in 1949 after losing a civil war with Mao Zedong’s communists. (“Taiwan says it has not stepped up military deployments on frontline islands,” The Straits Times, 21 February 2024)

CHINA & EAST ASIA
China reaffirms its stance on Fukushima water release
On 20 February, the Japanese new ambassador to China Kenji Kanasugi met with a few Chinese ministers and was informed that Japan should take responsibility for the Fukushima nuclear plant release situation. From the Chinese Ministry of Ecology and Environment, Huang Runqiu reaffirmed their view on the Fukushima release. Hunag said that Japan should dispose of the water that is contaminated responsibly and should also cooperate with the stakeholders. Both sides also expressed their willingness to promote Sino-Japan relations with green and low carbon emission goals. Since the release, China has staunchly opposed the contaminated water release of Fukushima even after Japan’s assurance of otherwise. (Liu Zhen, “China affirms stance on Fukushima nuclear wastewater release in rare ministerial meeting with Japan’s new envoy,” South China Morning Post, 20 February 2024 )

CHINA & SOUTHEAST ASIA
PLA monitors the US-Philippines joint air patrol
On 19 February, the People’s Liberation Army (PLA)’s Southern Theatre Command dispatched its naval and air forces to monitor the US-Philippines joint air patrol on the disputed waters of the South China Sea. The drills were conducted near the western Philippines as part of their “maritime cooperative activity.” The PLA command said that the Philippines was heightening tensions in the disputed waters by bringing in the non-regional country. The Philippine Air Force dispatched their 3 FA-50 combat aircraft, and the US Pacific Air Force sent a B-52 bomber to patrol the area. Both sides accuse each other of illegal entry into their exclusive economic zone. Recently, the Philippines accused China of cyanide fishing and intentional destruction of the disputed Scarborough Shoal. (Hayley Wong, “South China Sea: PLA sends forces to monitor US-Philippines air patrols over disputed waters,” South China Morning Post, 20 February 2024)

CHINA & THE MIDDLE EAST
Dip in Oil prices due to tensions in the Middle East
On 20 February, Reuters reported the price of oil declined a little due to the rising tensions in the Middle East while China works towards recovering its economy. Companies such as Brent futures fell 0.35 per cent to 88.27 USD a barrel, U.S. West Texas Intermediate fell 0.38 per cent to 78.08 USD a barrel. The conflict in the Red Sea and Bab al-Mandab by the Houthis since 16 February have exacerbated geopolitical tensions in the Middle East and in turn, affected the oil supply. Lately, China revealed the largest fall in the benchmark mortgage rate since the reference rate was instituted in 2019. ANZ banking group analysts said that the signs of demand in China will also be boosted. (Paul Carsten, “Oil hovers near 3-week high on Middle East tensions, China demand,” Reuters, 20 February 2024)

CHINA & AFRICA
African Union ratified a ban on donkey trade, a blow to China’s ‘ejiao’ medicine, says SCMP
On 18 February, the Heads of State of the African Union ratified the ban on the donkey skin trade for 15 years which will affect the production of China’s traditional medicine, ‘ejiao’. The Animal welfare organisations in Africa marked the decision as a ‘historic moment’. In November, a specialised technical committee of the African Union had proposed the ban, which was ratified at the 37th ordinary session of the AU Assembly in Addis Ababa. Ejiao is made from gelatin extracted from the hides of donkeys, which enhances vigour, enriches the blood and carries anti-ageing properties. Over 5 million donkeys are slaughtered each year to meet Chinese demand; only 2 million are provided locally, and the rest are imported from South America and Africa. (Jevans Nyabiage, “African donkey trade ban to slash China’s supply of traditional medicine ejiao,” South China Morning Post, 20 February 2024)

CHINA & THE AMERICAS
China criticises the US veto on the immediate cease-fire resolution of the Israel-Gaza war
On 21 February, BBC News reported on China criticizing the US for vetoing the UN Security Council resolution looking for an immediate ceasefire in the Israel-Gaza war. China stated that the move sent the wrong message and encouraged the continued slaughter of innocent civilians. The resolution was proposed by Algeria where the US called the proposal jeopardises the talks to end the war. On the other hand, the US proposed its solution where they called for a temporary ceasefire and demanded Israel to refrain from invading Rafah. The resolution was backed by 13 UNSC member states, vetoed by the US and abstained by the UK. Chinese UN ambassador Zhang Jun said: “The spill-over of the conflict is destabilising the entire Middle East region leading to rising risk of a wider war.” The Algerian diplomat Amar Bendjama also expressed his disappointment and said that the UN has yet again failed and asked them to examine their conscience as history will judge them. The US ambassador to the UN Linda Thomas-Greenfield said that this is not the most appropriate time for a ceasefire and negotiations between Israel and Hamas are ongoing. The UK ambassador for the UN Barbara Woodward believes that the resolution can be counterproductive as it may make the ceasefire less likely. (“Israel Gaza: China condemns US veto of call for immediate ceasefire at UN,” BBC News, 21 February 2024)

CHINA & EUROPE
Turkey detains six on espionage charges against Uyghurs
On 20 February, Turkey's state-run Anadolu Agency reported that their police detained six individuals in Istanbul on charges of spying on prominent Uyghurs. The accused were detained on espionage charges on Uyghur-related institutions and were allegedly accused of passing on this information to Chinese intelligence. The specifications of the arrest are still not outlined as the nationalities are said to be foreign. Turkey has the largest population of Uyghurs outside of Central Asia with a population of to be of 5,000. The communities share ethnic and religious ties with the Uyghurs in China, this has made the Turkish authorities sympathetic to their cause and the discrimination faced by the community in China. (“Turkey detains 6 for allegedly spying on Uyghurs for China,” Nikkie Asia, 20 February 2024)

Chinese FM urges French President Macron to further encourage China-EU ties
On 20 February, Chinse Foreign Minister Wang Yi told French President Emmanuel Macron that France would continue to a pivotal role in China-EU relations. Wang Yi met with Macron at the Elysee Palace in Paris. This year both countries marked the 60 years relationship between China and France, where Wang Yi called for both countries to chart for the coming 60 years of relations. Wang also stated that China would open its market to all countries and that France will also keep the business environment as just and fair. (“China urges France to help develop China-EU ties as Wang Yi meets Macron,” CGTN, 21 February 2024)

EU plans to blacklist Chinese firms on alleged aid to circumvent Russian sanctions
On 20 February, according to an opinion in the South China Morning Post titled “China firms in EU firing line as Hungary yields to anti-Russia sanctions package,” by Finbarr Bermingham, the European Union could now blacklist Chinese firms and ban them from trading with EU companies for allegedly circumventing the sanctions for Russia. This will be part of the 13th package of sanctions, which the ambassadors of the EU will finalise at a meeting on 21 February. Three mainland China-based companies such as Guangzhou Ausay Technology Co Limited, Shenzhen Biguang Trading Co Limited, Yilufa Electronics Limited and one Hong Kong-based company RG Solutions Limited are planned to be blacklisted. (Finbarr Bermingham, “China firms in EU firing line as Hungary yields to anti-Russia sanctions package,” South China Morning Post, 20 February 2024)
 

EAST ASIA & THE PACIFIC READER

EAST ASIA
The US and EU components found in recovered North Korean missiles, says CAR
On 20 February, Conflict Armament Research (CAR) reported that the remains of North Korean ballistic missiles recovered from Ukraine contained parts of US and European technology. They found that North Korea was able to obtain Western parts for its missiles despite the sanctions imposed by the West. CAR informed that: “ballistic missile produced by the Democratic People’s Republic of Korea (North Korea) and recovered in Ukraine includes more than 290 non-domestic electronic components.” It is estimated that a total of 75 per cent of parts recovered from the missiles belonged to the US and 16 per cent were from the European Union. They said: “Half the components documented bore identifiable date codes, and more than 75 per cent of those codes indicated production between 2021 and 2023. Based on those production dates, CAR concludes that the missile recovered in Kharkiv could not have been assembled before March 2023.” (“US, European parts found in North Korean missile in Ukraine: Report,” The Straits Times, 21 February 2023)

Task force to monitor AI-generated content ahead of South Korean general elections
On 19 February, The South Korean Constitutional Agency overseeing the Election Administration declared that it established a task force for fighting AI-generated false content and had successfully busted a total of 129 deepfakes that violated the laws on elections between 29 January and 16 February. In December, the National Assembly decided to revise the law by adding a law to bar the usage of deep fakes in political campaigns which came into effect on 29 January, which can lead the violators to jail for seven years or a fine of 50 million won (50,000 SGD). (“Election watchdog busts political deepfakes ahead of South Korea’s April general election,” The Straits Times, 20 February 2024)

3,058 South Korean doctor’s trainee doctors resign
On 20 February, hundreds of trainee doctors participated in a protest where they walked off their jobs. This comes as the South Korean Health Ministry announced that 6,415 of the trainee doctors out of 13,000 have applied for resignation. The ministry informed that they would cater for the emergency of shortage of personnel by providing transport facilities to help the transfer to other hospitals. The protest came in light of the government’s plans to increase the medical student’s admission from 3,058 to 5,000 by next year. The measures were intended to cater to the shortage of medical professionals, especially in rural areas. The protestors argue that they should have been consulted by the government and that this initiative would lead to an influx of poorly trained doctors. (“South Korean trainee doctors walk off job over medical student increase,” Nikkie Asia, 20 February 2024)

THE PACIFIC
Australia to boost its defence spendings
On 20 February, the Australian Government Department of Defence announced that they would boost the defence spending to USD 11.1 billion from USD 9.8 billion over the next decade. The boost comes with a vision to procure six warships and eleven frigates aiming to further their combat-ready fleets. The Oceania country was increasingly getting worried about the Chinese presence in the Pacific and the geopolitical conflicts in the regions. Defence Minister Richard Marles informed that the government plans to eventually increase the navy capabilities and said: “What is critically important to understand is that as we look forward, with an uncertain world in terms of great power contest, we’ll have a dramatically different capability in the mid-2030s to what we have now.” The Australian government's defence strategy is based on the concerns over the competition between the US a China affecting the Pacific region leading to potential conflict. (“Australia boosts defence spending, aims to double warships,” The Straits Times, 20 February 2024)