Daily Briefs


Photo : Global Times

China Reader Daily Wire | 19 April 2024, Friday | Vol.1 No. 60

China calls for a ceasefire and supports Palestine’s full UN membership

China warns of greater insecurity amid the upcoming US-Philippines drills | US to begin new sanctions enforcement regime on North Korea, says the US ambassador to the UN

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)

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