In Brief
DEFENCE
China develops hypersonic glide vehicles with air-to-air capabilities
On 25 August, The Japan Times reported that the Chinese military has developed hypersonic glide vehicles capable of launching air-to-air weapons. This enables it to threaten high-value US support aircraft, like tankers and command planes, from thousands of kilometres away. Backed by the world's largest arsenal of over 3,150 ballistic missiles, this breakthrough allows China to target distant US bases like Guam and Hawaii, though the long flight times make real-time tracking difficult and risk triggering an accidental nuclear escalation. This rapid expansion in China’s missile production comes at a critical time, as the US faces missile supply strains from recent Middle East conflicts and is actively rushing to develop its own ultra-long-range air-to-air weapons to counter the threat.
(“China develops missile to target planes thousands of kilometres away,” The Japan Times, 25 August 2026)
https://www.japantimes.co.jp/news/2026/08/25/asia-pacific/china-missile-planes-thousands-miles/
SCIENCE AND TECHNOLOGY
Editorial: “Asia is reaching for the open road that Chinese AI offers,” SCMP, 23 August 2026
“On 23 August, in an editorial published by SCMP, Chenjie Song and Minghao Sun reported that at a recent APEC digital technology forum, Asia-Pacific ministers voiced strong support for open-source AI models, challenging the Western view of AI development as a zero-sum contest between Washington and Beijing. Across Asia and developing regions, governments and private start-ups are increasingly building their "sovereign AI" systems on free, open-weight models from China like Alibaba’s Qwen and DeepSeek. This shift is driven by economic reality, as China’s open-source options cost 60 to 90 per cent less to operate than leading American platforms and run securely on local servers without data leaving the country. While the United States continues to stoke global anxiety by threatening to restrict foreign access to its proprietary AI capabilities, China is rapidly gaining strategic influence simply by aligning with other countries' desires for tech autonomy and a multipolar digital landscape."
PLA launches public campaign to investigate corruption in Rocket Force
On 25 August, Reuters reported that the PLA issued a notice launching a public campaign to collect information on alleged procurement violations in the People’s Liberation Army Rocket Force (PLARF). This is part of a broader corruption crackdown initiated by President Xi. The notice calls on suppliers, bidding and tendering agencies, evaluation experts and relevant military personnel to provide information on suspected violations related to the Rocket Force’s procurement. The focus is on PLARF’s purchases of goods and services, construction projects, and food and medical supplies, spanning all stages of the process and different forms of procurement, including requirements drafting, procurement evaluations, contract performance and online purchasing.
("China seeks public tips on procurement violations in elite Rocket Force," Reuters, 25 August 2026)
https://www.reuters.com/business/aerospace-defense/china-seeks-public-tips-procurement-violations-elite-rocket-force-2026-08-25/
CHINA AND TAIWAN
Beijing’s cybersecurity and border control rules pose legal and safety risks, reports Taipei Times
On 26 August, Taipei Times reported that Taiwan’s Mainland Affairs Council (MAC) warns that China’s new cybersecurity and border control rules, launching in October, pose severe legal and safety risks to Taiwan citizens. According to Deputy Minister Shen Yu-chung, these regulatory changes aim to tighten the Chinese Communist Party's grip on civil society ahead of its upcoming 21st National Congress. The regulations grant vague, wide-ranging enforcement powers to low-ranking Chinese police officers, who are incentivised to apply the harshest interpretations of the law. Furthermore, these mechanisms allow Beijing to claim extraterritorial authority, sparking global fears of transnational repression. In response, Taiwan strongly denounces these laws as illegal and illegitimate. The government is actively working to counter Beijing's long-arm enforcement by cooperating with an international coalition of democracies to share intelligence. Domestically, Taiwan is considering a new law to criminalise any local collaboration with China's political repression, an initiative supported by over 76 per cent of Taiwan citizens. The MAC is also coordinating with other ministries to defend targeted individuals and provide assistance to those at risk. Ultimately, Taiwan urges the public to carefully evaluate safety risks before travelling to China, Hong Kong, or Macau, and strongly advises using the official MAC registry to ensure government aid in emergencies.
(“Chinese border control rules likely to affect Taiwanese,” Taipei Times, 26 August 2026)
https://www.taipeitimes.com/News/taiwan/archives/2026/08/26/2003863152
CHINA AND SOUTHEAST ASIA
US-Philippine site survey near closed China-linked steel plant in Mindanao fuels geopolitical tensions
On 26 August, SCMP reported that Philippine military officials confirmed that Filipino and US personnel recently tried to access a closed, China-linked steel plant in Mindanao during a site survey. While the team left after lacking written entry authorisation, the visit highlights Manila’s ongoing military expansion near the site, which sits adjacent to a deepwater bay planned for a new naval facility and future US joint exercises under the Enhanced Defence Agreement (EDCA). The site has already been a flashpoint for bilateral tensions; the plant was ordered closed in June due to radioactive scrap metal contamination, following a May raid where Philippine authorities arrested 69 workers from China for immigration violations. Beijing heavily protested the raid and subsequently sanctioned Philippine Defence Secretary Gilberto Teodoro, accusing him of intentionally sabotaging China-Philippines relations to serve a confrontational political agenda.
(“Why Philippine, US forces tried to ‘scope’ a Chinese-linked steel plant in Mindanao,” SCMP, 26 August 2026)
https://sc.mp/tubz7?utm_source=copy-link&utm_campaign=3365243&utm_medium=share_widget
CHINA AND SOUTH ASIA
India and China reach eight-point consensus on LAC border management and boundary talks
On 26 August, The Statesman reported that India and China had reached an eight-point consensus during the 25th round of Special Representatives talks in Beijing, aimed at maintaining peace and tranquillity along the Line of Actual Control (LAC), strengthening border management mechanisms and advancing boundary negotiations. National Security Advisor Ajit Doval and China's Foreign Minister Wang Yi reaffirmed commitment to a fair, reasonable, and mutually acceptable solution to the boundary dispute in accordance with the 2005 Agreement on Political Parameters. A significant outcome was the decision to advance discussions on an "Early and Substantial Harvest" in boundary delimitation and border management through two newly established expert and working groups, whose first task would be to finalise their respective terms of reference. Both sides agreed to address any ground-level situations through existing diplomatic and military channels and to improve their understanding of the LAC to prevent miscalculations. Two additional meeting points for senior military commander meetings and two additional border military hotlines in the Eastern and Middle Sectors were also agreed upon. On trans-border cooperation, India appreciated China's efforts to increase the number of batches for the Kailash-Mansarovar Yatra, and both sides welcomed the reopening of three designated border trading points. The next round of talks will be held in India in 2027.
("India, China agree on eight-point roadmap to strengthen LAC border management," The Statesman, 26 August 2026)
https://www.thestatesman.com/india/india-china-agree-on-eight-point-roadmap-to-strengthen-lac-border-management-1503631552.html
Bangladesh to purchase Chinese fighter jet and helicopter purchase
On 26 August, The Daily Star reported that Bangladesh is moving ahead with plans to purchase Chinese J-10CE fighter jets, attack helicopters and unmanned aerial vehicle systems to modernise the Bangladesh Air Force. Prime Minister’s Policy and Strategy Adviser Zahed Ur Rahman said a government committee had already negotiated the purchase of the J-10CE jets and attack helicopters and prepared a draft agreement. The proposed package also includes VIP helicopters. He said the purchase could be completed this year if funds are available; otherwise, it may be carried out next year. A document from the Chief Adviser’s Office dated 5 April 2025, seen by The Daily Star, showed that the government had in principle agreed to purchase 20 Chengdu J-10 aircraft for 2.2 billion dollars. Of this, 1.2 billion dollars was for the aircraft, while the remaining amount covered spare parts, freight, training, insurance and other equipment. Zahed said Bangladesh considered the J-10CE’s reported performance against Rafale aircraft during the 2025 India-Pakistan conflict and also noted that Chinese aircraft were cheaper than comparable European fighters.
("Govt set to buy Chinese fighter jets, helicopters," The Daily Star, 26 August 2026)
https://www.thedailystar.net/news/bangladesh/news/govt-set-buy-chinese-fighter-jets-helicopters-4257086
China states interest in deepening educational cooperation with Bangladesh
On 26 August 2026, The Business Standard reported that Chinese Ambassador to Bangladesh Yao Wen said China is willing to further deepen educational cooperation with Bangladesh and help turn Chinese language skills into employment and development opportunities for Bangladeshi youth. Yao made the remarks at the closing ceremony of the Validation Workshop on Competency Standards and Course Accreditation Document for the Chinese Language, organised by Bangladesh’s National Skills Development Authority. He welcomed the release of Bangladesh’s first Chinese language competency standard and course accreditation document. The Chinese ambassador said the workshop was a concrete step towards implementing the important consensus reached by the leaders of Bangladesh and China. Prime Minister’s Adviser Md Ismail Zabihullah positively assessed the launch of the document. He expressed hope that the initiative would deepen practical cooperation between the two countries in different fields and promote the further development of Bangladesh-China relations.
("China willing to deepen educational cooperation with Bangladesh: Yao Wen," The Business Standard, 26 August 2026)
https://www.tbsnews.net/foreign-policy/china-willing-deepen-educational-cooperation-bangladesh-yao-wen-1525566
China pledges support to Nepal following border disaster
On 27 August 2026, Ratopati reported that Chinese Ambassador to Nepal Zhang Maoming expressed deep sorrow over the heavy human casualties and property losses caused by the natural disaster in the Kerung-Rasuwagadhi border area. The ambassador extended condolences to the families of those who lost their lives and wished a speedy recovery to the injured. He said China was deeply concerned about the disaster and stood firmly with Nepal during this difficult time. Zhang said China is ready to provide necessary support for rescue, relief and recovery efforts and will continue to coordinate with Nepal. He added that China and Nepal share close ties and support each other during difficult situations. The Chinese Embassy said China would remain in communication with Nepali authorities and provide assistance according to Nepal’s needs as relief and recovery efforts continue in the affected border region.
("Chinese Ambassador Expresses Deep Condolences for Natural Disaster Victims in Kerung-Rasuwagadhi Border Area," Ratopati, 27 August 2026)
https://english.ratopati.com/story/76620/china-stands-firmly-with-nepal-in-difficult-times-ambassador-maoming
Pakistan's Finance Minister says the country is not seeking fresh Chinese financing
On 26 August 2026, Business Recorder reported that Pakistan is not currently seeking fresh financing from China as it looks to diversify its external sources of funding and return to international capital markets. Finance Minister Muhammad Aurangzeb told the Financial Times that Pakistan wants to focus on trade and investment and has sought a 10 billion dollar swap line from the United States. He said the facility would serve as a confidence signal for private investors. Aurangzeb also said Pakistan sees an important role for the US Export-Import Bank and the US International Development Finance Corporation. He added that the government had received constructive engagement from Washington and hoped for a response on the proposed swap line in the coming months. China remains Pakistan’s largest bilateral creditor, but the minister said Pakistan is not seeking additional Chinese financing for now.
("Pakistan not seeking fresh Chinese financing, Aurangzeb tells FT," Business Recorder, 26 August 2026)
https://www.brecorder.com/news/40436467/pakistan-not-seeking-fresh-chinese-financing-aurangzeb-tells-ft
Punjab and Xinjiang agree to deepen agricultural cooperation
On 26 August, The Daily CPEC reported that Punjab Chief Minister Maryam Nawaz met Chen Xiaojiang, Secretary of the Communist Party of China Xinjiang Uygur Autonomous Regional Committee, and agreed to expand cooperation between Punjab and Xinjiang in agriculture. The cooperation will focus on agriculture, irrigation, livestock, mechanisation and modern farming technologies. Both sides discussed using advanced aerial vehicles, modern water-levelling techniques and digital crop-monitoring systems to improve agricultural productivity. They also agreed to explore the use of tested Chinese seeds. Maryam Nawaz offered cooperation in agricultural mechanisation, water-efficient irrigation and livestock development. She highlighted Punjab’s major role in Pakistan’s agricultural production and said the province wants to benefit from Xinjiang’s experience in corporate farming.
("Maryam, Xinjiang Chief Deepen Farm Cooperation," The Daily CPEC, 26 August 2026)
https://thedailycpec.com/maryam-xinjiang-chief-deepen-farm-cooperation
India and China quietly shelve early harvest formula as boundary talks shift toward broader settlement reports, The Wire
On 26 August, The Wire reported that India and China had dropped the "early harvest" formulation on boundary delimitation from the outcome of their 25th round of Special Representatives talks, instead reaffirming commitment to a broader political settlement. The talks were held in Beijing between National Security Advisor Ajit Doval and China's Foreign Minister Wang Yi, who held a candid and thorough discussion on the boundary question and bilateral ties. While India's readout spoke of working toward a political settlement, China's readout said both sides would advance boundary delimitation negotiations in accordance with the 2005 Agreement on Political Parameters. The "early harvest" idea, first raised by China in 2017, involved settling portions of the boundary where agreement could be reached more easily before a comprehensive settlement, a piecemeal approach India had long resisted. Doval said the improvement in ties flowed directly from calm on the border, describing India and China as partners in cooperation rather than competitors, while Wang Yi called for a stable relationship.
("SR Talks: India, China Drop Mention of 'Early Harvest', Affirm Push for Boundary Settlement," The Wire, 26 August 2026)
https://thewire.in/diplomacy/special-representatives-talks-india-china-drop-early-harvest-route
Chinese ambassador commemorates Maldives ' National Day with visit to historic Utheemu Island
On 26 August, EIN Presswire reported that Chinese Ambassador to the Maldives Kong Xianhua had attended the Maldives' National Day commemoration events on Utheemu Island on 14-15 August at the invitation of President Mohamed Muizzu. Utheemu Island, birthplace of Maldivian national hero Sultan Muhammad Thakurufaanu, who led the island nation's resistance against Portuguese invasion in the 16th century, served as the venue for the events. Ambassador Kong spoke on the importance of national unity, historical education and the spirit of independence, remarks that local Maldivian media described as profound and meaningful.
("Chinese Ambassador to the Maldives Kong Xianhua Attends the Maldives' National Day Commemoration Events Held on Utheemu Island," EIN Presswire, 26 August 2026)
https://www.einpresswire.com/article/937072074/chinese-ambassador-to-the-maldives-kong-xianhua-attends-the-maldives-national-day-commemoration-events-held-on-utheemu-island
China pledges RMB 79 million grant to rebuild Sri Lanka bridges damaged by Cyclone Ditwah
On 26 August, Lanka Newspapers reported that China had pledged a grant of RMB 79 million to Sri Lanka to fund the reconstruction of 14 bridges severely damaged by Cyclone Ditwah. The funding was provided as a direct grant rather than a loan, distinguishing it from previous financing arrangements that had drawn scrutiny over debt sustainability. The bridges' destruction had disrupted road connectivity and posed challenges to communities dependent on them for daily movement and economic activity. Sri Lankan authorities said the funds would accelerate recovery efforts that had stalled due to resource constraints, with project planning and procurement expected to begin in the coming months.
("China Grants RMB 79 Million to Rebuild 14 Bridges Destroyed by Cyclone Ditwah," Lanka Newspapers, 26 August 2026)
https://www.lankanewspapers.com/2026/08/26/china-grants-rmb-79-million-to-rebuild-14-bridges-destroyed-by-cyclone-ditwah
Opinions:
Zeba Zoariah, “India’s new China policy: Engage Beijing, but don’t trust it,” First Post, 27 August 2026
“India is not returning to the China policy it practised before Galwan. It appears to be learning how to maintain a working relationship with Beijing without first believing that the relationship is improving in any fundamental sense. That sounds like a small distinction. It isn’t … But the lesson India appears to have drawn from the last six years is not that dependence on China must disappear. It is that dependence has to be identified, measured and managed … Galwan demonstrated the danger of a China policy whose political expectations ran ahead of realities on the ground. The task now is not to recreate the confidence that existed before 2020, but to construct a relationship that does not collapse simply because that confidence no longer exists. India and China are talking again. This time, trust does not have to be the destination for dialogue to be useful.”
Abhishek De, “Rafales face China's J-16 jets in rare drill: Why India is watching closely,” India Today, 26 August 2026
“The China-Egypt 'Eagles of Civilisation' exercise will offer a valuable glimpse into how the two aircraft perform in a simulated combat environment, as well as the capabilities of the J-16. The J-16, nicknamed the 'Hidden Dragon', is a more advanced version of the J-10, and its performance will be of interest to India amid the growing Chinese air power in the region … For India, the China-Egypt exercise carries significance well beyond a routine military drill. During last year's Operation Sindoor, Indian Rafales and Pakistan's J-10 fighters were involved in hostilities, making the performance of the Chinese J-16 a matter of deep interest for the Indian Air Force (IAF).”
A. Jathindra, “Democracy Under Strain: China’s Subtle Power Play,” Eurasia Review, 25 August 2026
“China today represents not only a strategic challenge to the US-led, rules-based international order but also a profound test for democracy itself. For many smaller nations, Beijing’s rapid transformation from poverty to sustained economic growth has become a source of admiration. The danger, however, lies in this economic respect evolving into an endorsement of China’s governance model. In this sense, China stands as both a “near peer” competitor to the United States and a rival to the Western-led democratic ecosystem. Sri Lanka once openly expressed interest in adopting governance lessons from China during Mahinda Rajapaksa’s tenure — a telling indication of how Beijing’s influence extends beyond economics. Even within Sri Lanka’s business community, debates over governance mirror the political divisions shaping the nation’s future … For nations like Sri Lanka and Nepal, the dilemma is stark: economic partnership with China brings development opportunities, but it also risks eroding democratic values and independent decision-making. As China continues to expand its global footprint, small democracies face a critical test. Will they safeguard their democratic institutions and human rights traditions, or will they drift toward governance models inspired by Beijing’s success? The answer will determine not only their political futures but also the resilience of democracy in the developing world.”
Yuanyin, "Winners of “China Plus One” | Pakistan: Standing on Its Own Feet," Asia Econ-Culture Watch, 26 August 2026
"At the third China–Pakistan B2B Investment Conference on information technology, telecommunications and battery energy storage, held in Hangzhou on May 24, Pakistani Prime Minister Shehbaz Sharif set out an ambitious goal: Pakistan should learn from China’s development experience and become a “mini China” in South Asia … Pakistan’s version of “China Plus One” is fundamentally different from those of Southeast Asia or Central Asia … Pakistan’s advantage is strategic depth … Its role is not limited to absorbing production capacity. It is attempting a system-wide transformation linking infrastructure, manufacturing, agriculture, mining, digital industries and energy … The $25.93 billion in investment, 44 special economic zones and 261,000 jobs are not simply indicators of Chinese capital entering Pakistan. They represent a longer-term attempt by Pakistan to use CPEC and “China Plus One” to reshape its economic structure … As Sharif has emphasised, Pakistan says it is seeking expertise, investment and industrial cooperation — not aid or charity … That distinction captures the deeper logic of Pakistan’s next phase: moving from being supported to building the capacity to stand on its own."
Professor Dr M A Rashid, "Bangladesh–China Relations in a Changing Indo-Pacific: Balancing Development and Strategic Autonomy," The Daily New Nation, 27 August 2026
"Over the past two decades, Bangladesh has pursued an ambitious development agenda aimed at achieving upper-middle-income status while modernizing its infrastructure, enhancing connectivity and strengthening economic competitiveness … A defining milestone in this partnership came in 2016 when Bangladesh formally joined China’s Belt and Road Initiative (BRI) … Since then, bilateral cooperation has expanded considerably, with Chinese financing supporting major projects such as the Karnaphuli Tunnel, Payra Power Plant, the Dasherkandi Sewage Treatment Plant, and numerous road, rail, and energy initiatives … These projects have the potential to reduce infrastructure bottlenecks, facilitate regional connectivity, improve industrial productivity, and support Bangladesh’s long-term economic transformation … China has also become an important export destination for Bangladeshi products, while Chinese investment continues to expand across multiple sectors, including manufacturing, information technology, renewable energy, and special economic zones … Beyond economics, bilateral cooperation has extended into education, cultural exchanges, healthcare, digital technology, and human resource development, creating broader people-to-people connections that reinforce the relationship."
CHINA AND EUROPE
Slovakia urges the EU to perceive competition with Beijing as ‘friendly’
On 26 August, CGTN reported that Slovakia’s Prime Minister Robert Fico urged the EU to view China as a friendly competitor rather than an adversary, advocating against trade barriers and tariffs during talks with European Council President António Costa. Discussing key EU priorities, PM Fico called for robust cohesion and agricultural funding, specifically requesting additional support for eastern member states bordering Ukraine. Regarding EU expansion, he emphasised strict adherence to standards, arguing Ukraine must not receive ‘shortcuts’ or bypass long-standing Balkan candidate nations.
(“'Not an enemy:' Slovakia calls on EU for 'friendly' competition with China,” CGTN, 26 August 2026)
https://news.cgtn.com/news/2026-08-26/-Not-an-enemy-Slovakia-calls-on-EU-for-friendly-China-competition-1PUN18JjFzG/p.html
CHINA AND THE AMERICAS
Beijing intent on securing its own interests as Washington set on expanding sanctions on Tehran
On 25 August, Al Jazeera reported that China has strongly condemned new US measures aimed at the economic strangulation of Iran, pledging to defend its national interests and demanding an end to illegal unilateral sanctions. China’s Foreign Ministry spokesperson Lin Jian emphasised that Sino-Iranian trade complies with international law and must not be disrupted. The dispute escalates as Washington threatens secondary sanctions against global entities, including Chinese banks, to enforce its embargo during the ongoing US-Israel conflict with Iran. However, analysts suggest aggressive US enforcement against Beijing remains unlikely. Reportedly, China has previously stabilised global energy markets during the war by scaling back oil purchases to prevent crude prices from soaring. Furthermore, the retaliatory risks and upcoming diplomatic engagements, such as President Xi Jinping’s planned Washington visit, create significant friction. Meanwhile, Iranian officials have framed the sanctions as an extension of military aggression, warning that US economic targets could face regional pushback.
(“China says will safeguard its own interests as US expands Iran sanctions,” Al Jazeera, 25 August 2026)
https://www.aljazeera.com/economy/2026/8/25/china-says-will-safeguard-its-own-interests-as-us-expands-iran-sanctions