Tag Archives: Taiwan

Global Developments and Analysis: Weekly Monitor, 1st November – 07 November 2021

Economic
US, Britain join countries sounding alarm over China food import rules

Several countries including Japan, Britain, and the United States are urging Chinese customs officials to pause the roll-out of regulations on food imports, arguing the measures risk further disrupting global supply chains. Diplomats from seven economies, which also include Australia, Canada, the European Union and Switzerland, expressed their concerns in an October 27 letter to Customs Minister Ni Yuefeng, according to a copy seen by Bloomberg News. They were objecting to a pair of decrees handed down in April that require food importers to meet sweeping new registration, inspection and labelling requirements by January 1. The letter signals mounting frustrations among China’s foreign suppliers, as ships carrying food to the world’s second-largest economy prepare to leave port without knowing whether they will be able to offload their cargo. The dispute comes at a time when the world is already experiencing massive shipping bottlenecks as a result of the Covid-19 pandemic and related swings in the global economy. While President Xi Jinping’s government expressed its own concern this month about ensuring food supplies through winter, there is so far been no indication that it intends to suspend or soften the import measures. Click here to read…

Xi says open to discussion on state-owned companies in CPTPP talks

President Xi Jinping said Nov 04 that China is open to negotiations on industrial subsidies and state-owned enterprises in order to be accepted into the Comprehensive and Progressive Agreement for Trans-Pacific Partnership. This follows China’s application to join the CPTPP in September, a move seen as undermining the role of the U.S. in championing free trade. Washington was the brainchild of the deal — which includes allies such as Australia, Canada and Japan, as well as eight other countries — but later decided to pull out. Speaking via a video link to the China International Import Expo, a six-day trade fair that opens to the public Nov 05 in Shanghai, Xi also vowed to focus more on imports and promote balanced trade development, even as the future of the “phase one” trade deal with the U.S., which expires next month, remains uncertain. “China will take an active and open attitude in negotiations on issues such as the digital economy, trade and the environment, industrial subsidies and state-owned enterprises,” Xi told a gathering of officials and businesspeople. “[This is to] uphold the position of the multilateral trading regime as the main channel for international rules-setting and safeguard the stability of global industrial and supply chains.” Click here to read…

New China data transfer rules to be costly for foreign companies

Proposed rules to tighten control on the transfer of data from China are likely to raise costs significantly for foreign companies operating in the country, lawyers say. Under the draft of Measures on Security Assessment of Cross-Border Data Transfer published by the country’s top internet watchdog last month, companies will be required to conduct a security review before they transfer any “important” data overseas. But “important” is left undefined. The rules are the latest in a series of new regulations introduced by Beijing this year to control the handling of data, including a Data Security Law that went into effect in September and the Personal Information Protection Law that came into force this month. According to the draft data transfer rules, a company that processes the data of more than 1 million people, seeks to transfer personal information on more than 100,000 people out of China, or is involved with cross-border movements of sensitive personal information on more than 10,000 people will be subject to a security assessment. Companies will have to sign contracts with their overseas partners spelling out how Chinese data will be protected and submit the agreements for regulatory review. In effect, foreign companies will need to invest time and money in creating separate systems for handling Chinese data. Click here to read…

Japan weighs curbs on activist investors for national security: minister

On the same day Toshiba shareholders voted to remove the company’s board chairman, Japan’s industry minister suggested that corporations key to national security need protection from activist investors. “We will consider in the government whether there are ways to enable a certain measure of deterrence in cases where particular companies’ business environment becomes unstable, threatening vital operations or research and development,” Hiroshi Kajiyama, who heads the Ministry of Economy, Trade and Industry, told reporters Nov 05. The comments suggest concern that Japan’s current foreign investment rules may not be enough to shield important businesses — such as Toshiba, which is involved in sensitive fields like nuclear power — from shareholder pressure. “We need to think of measures that can protect our national security, regardless of whether [shareholders] are foreign or domestic,” Kajiyama also said. Japan’s revised Foreign Exchange and Foreign Trade Act, which took effect last year, allows for the government to review deals involving companies in designated sectors and overseas investors. Such transactions include the purchase of a stake of 1% or more in a domestic company or a business divestment. The law is centered on prior notification and screening. Click here to read…

U.S. Congress passes $1tn infrastructure bill, ending standoff

After a daylong standoff, Democrats set aside divisions between progressives and centrists to pass a $1 trillion package of highway, broadband and other infrastructure improvements, sending it on to President Joe Biden to sign into law. The 228-to-206 vote is a substantial triumph for Biden’s Democrats, who have bickered for months over the ambitious spending bills that make up the bulk of his domestic agenda. Biden’s administration will now oversee the biggest upgrade of America’s roads, railways and other transportation infrastructure in a generation, which he has promised will create jobs and boost U.S. competitiveness. Democrats still have much work to do on the second pillar of Biden’s domestic program: a sweeping expansion of the social safety net and programs to fight climate change. At a price tag of $1.75 trillion, that package would be the biggest expansion of the U.S. safety net since the 1960s, but the party has struggled to unite behind it. Democratic leaders had hoped to pass both bills out of the House on Nov 05, but postponed action after centrists demanded a nonpartisan accounting of its costs — a process that could take weeks. Click here to read…

Helium-3: The secret ‘mining war’ in space

“Outer space holds virtually limitless amounts of energy and raw materials, from Helium-3 fuel on the Moon for clean fusion reactors to heavy metals and volatile gases from asteroids, which can be harvested for use on Earth and in space,” says former CIA space analyst Tim Chrisman. “China will almost certainly use any resources it is able to acquire to the detriment of its adversaries, competitors and bystanders alike,” Chrisman told the Jerusalem Post, in an interview. Chrisman also served in army intelligence and is a co-founder of Foundation for the Future, a scientific education and public works advocacy group dedicated to creating infrastructure to be able to live and work in space. Beijing is charging forward toward potential revolutions in extracting energy in space and mining space materials and could leave the US behind, Chrisman said. China has an upfront advantage because its military and economic components are virtually inseparable. America faces a greater challenge rallying and uniting different aspects of national power to pursue a single challenging long-term mission. Scientists say two fully-loaded Space Shuttle cargo bay’s worth of Helium-3 — about 40 tonnes worth of the gas — could power the United States for a year at the current rate of energy consumption. Click here to read…

Israeli spyware giant NSO group added to US trade blacklist along with three others

The US has added NSO Group, the Israeli spyware giant behind the infamous Pegasus software used to spy on journalists and human rights activists, to a trade blacklist, along with three firms charged with similar acts. NSO and fellow Israeli spyware firm Candiru have been added to the US’ “entity list,” a trade blacklist that restricts the shipment of US tech to listed companies. The Department of Commerce declared on Nov 03 that the designation of both firms was “based on evidence that these entities developed and supplied spyware to foreign governments that used these tools to maliciously target government officials, journalists, businesspeople, artists, activists, academics, and embassy workers.” The agency also claimed NSO and Candiru’s products had “enabled foreign governments to conduct transnational repression, which is the practice of authoritarian governments targeting dissidents, journalists and activists outside of their sovereign borders to silence dissent.” NSO’s star product, the military-grade encryption-breaker Pegasus, has been deployed extensively around the world and was recently revealed to have been used to hack into smartphones belonging to 37 persons of interest — journalists, human rights activists, and others — last year alone. Click here to read…

Milestone: Cryptocurrency market value blows past $3 trillion

The cryptocurrency market is now worth more than $3 trillion. The little more than a decade old market for digital assets has already roughly quadrupled from its 2020 year-end value, as investors have gotten more comfortable with established tokens such as Bitcoin and networks like Ethereum and Solana continue to upgrade and attract new functionality. Excitement about the possibilities of decentralized finance and non-fungible tokens is growing, and memecoins like Dogecoin and Shiba Inu continue to attract attention. “Bitcoin appears to be pushing out of a bullish flag pattern, and Ether is likely to confirm a long-term breakout on a close above resistance this Nov 12,” said Katie Stockton, founder and managing partner of Fairlead Strategies, in a note. As of 9:54 a.m. in New York, the overall market cap of cryptocurrencies hit $3.3 trillion, according to CoinGecko pricing. The third- and fourth-biggest tokens, Binance Coin and Solana, have added more than 20% in the past seven days; all of the seven biggest coins are up over the last week. Bitcoin rose as much as 5.6% on Nov 08 to $66,414, nearing its previous record of about $67,000. Ether advanced as much as 3% to a new high of $4,768. Click here to read…

Focus turns to climate finance after flurry of COP26 pledges

Governments will push for agreement on Nov 08 on how to help vulnerable countries deal with global warming and compensate them for damage already done, a test of whether developing and rich nations can end a standoff over cash for climate change. At the start of a crunch week for the U.N. climate talks in Glasgow, government ministers will get down to the nitty gritty of trying to honor earlier promises to pay for climate-linked losses and damages and addressing questions of how best to help nations adapt to the effects of climate change. Britain, which is hosting the COP26 meeting, will again try to set the pace, announcing 290 million pounds ($391 million) in new funding, including support for countries in the Asia Pacific to deal with the impact of global warming. That will come, the British government says, on top of the “billions in additional international funding” already committed by rich countries such as the United States, Japan and Denmark for adaption and resilience in vulnerable nations, many of which have experienced the worst effects of climate change. But while developing countries want more money to help them adapt to higher temperatures that have caused more frequent droughts, floods and wildfires, developed nations have encouraged finance to go towards cutting emissions. Click here to read…

Australia vows to sell coal ‘for decades’

Australia said Nov 08 it will sell coal for “decades into the future” after spurning a pact to phase out the polluting fossil fuel to halt catastrophic climate change. More than 40 countries pledged to eliminate coal use within decades during the COP26 UN climate summit in Glasgow, which aims to cap the warming of Earth since the Industrial Revolution to between 1.5 and 2.0 degrees Celsius. Australia, along with some other major coal users such as China and the United States, did not sign up. “We have said very clearly we are not closing coal mines and we are not closing coal-fired power stations,” Australian Minister for Resources Keith Pitt told national broadcaster ABC. Defending Australia’s decision, Pitt said Australia had some of the world’s highest quality coal. “And that is why we will continue to have markets for decades into the future. And if they’re buying… well, we are selling.” Demand for coal is expected to rise until 2030, the minister claimed. “If we aren’t to win that market, somebody else will,” Pitt added. “I would much rather it be Australia’s high-quality product, delivering Australian jobs and building Australia’s economy than coming from Indonesia or Russia or elsewhere.” Click here to read…

Supply-Chain Crisis Has Companies Asking: Should We Still Advertise?

“It’s not wise to drive demand when shelves are bare,” said Susan Cantor, chief executive officer of branding firm Sterling Brands. Chocolate giant Hershey Co. and household-goods manufacturers Kimberly-Clark Corp. and Church & Dwight Co. in recent days said they cut back on ad and marketing spending in the third quarter because of supply-chain issues. Two of the largest players in online advertising, Facebook Inc. and Snap Inc., said recently that they expected a slowdown in revenue growth in the fourth quarter, due in part to macroeconomic factors such as supply-chain bottlenecks and labour shortages. Both companies said their advertising business’s performance was also hurt by Apple Inc.’s new privacy rules, which make it harder for advertisers to target their ads at audiences. The retreat comes as the ad market has been booming, thanks in part to strong consumer confidence and the end to some restrictions intended to slow down the spread of Covid-19. The fourth quarter of the year is typically the most lucrative for media entities as brands and retailers rely heavily on the critical holiday shopping season. Advertisers however are also reluctant to cut marketing expenditures too deeply. Many believe it is important to remain top of mind with customers. Click here to read…

Strategic
US wants coexistence not cold war with China, Jake Sullivan says

In an interview with CNN on Nov 07, Sullivan said the administration of US President Joe Biden did not intend to repeat “one of the errors” of previous policies by seeking to transform the Chinese system. “The [objective] of the Biden administration is to shape the international environment so that it is more favourable to the interests and values of the US, allies, partners, to like-minded democracies. It is not to bring about a fundamental transformation of China itself,” he said. “The goal of America’s China policy is to create a circumstance in which two major powers are going to have to operate in an international system for the foreseeable future, and we want the terms of that … to be favourable to American interests and values.” During the interview, the national security adviser said the White House had been advancing the ally system to counter what he called China’s “abuse” of US, European and Indo-Pacific markets and to “show that China’s efforts at pushing other partners around will not ultimately be successful”. Lu Xiang, a research fellow in US studies at the Chinese Academy of Social Sciences, said Sullivan took a more “euphemistic” tone in the interview but the underlying attitude towards China had not changed. Click here to read…

Explainer | Communist Party’s ‘sixth plenum’: what is a plenum, and why is it one of China’s most important political events?

The current 19th Central Committee was elected in 2017 and will sit until next year’s National Congress, when a new committee will be appointed. Each committee usually holds seven plenary sessions during its five-year term. The sixth plenary session usually focuses on ideology and party building and can pave the way for the leadership reshuffle at the party congress the following year. The plenums are a key venue for the party to display unity among the party leadership and indicate the direction of key policies. The meeting serves as a precursor for the introduction of important laws, regulations and economic plans, and discussions that continue beyond the plenum will almost certainly lead to the introduction of new policies. Examples include Hong Kong’s national security law, which was announced in vague wording at the fourth plenum in 2019, the constitutional amendments that lifted presidential term limits, endorsed at the third plenum in 2018, and the abolition of the notorious re-education through labour system, announced at the third plenum of the 18th Central Committee in 2013. These announcements took legal effect after they were endorsed by the National People’s Congress, the country’s legislature. Click here to read…

China’s military uses fake US aircraft carrier for missile target practice

The Chinese military is using mock-ups of a US aircraft carrier at a weapons-testing range in a remote western desert, new satellite imagery shows, indicating the People’s Liberation Army is focused on neutralising a key tool of US power. Satellite images show targets in the shape of a carrier and two Arleigh Burke-class guided missile destroyers at a testing facility in the Taklamakan desert in Xinjiang, according to the news website of the US Naval Institute. Both types of vessels are deployed by the US Seventh Fleet, which patrols the Western Pacific including the waters around Taiwan. The images were taken in October by Maxar Technologies, a US firm with more than 80 company-built satellites in orbit. The facility also had two rectangular targets about 75 metres (246 feet) long that were mounted on rails, Maxar said in a statement to Bloomberg News on Nov 08. The site is clear to satellites, a sign that Beijing is trying to show Washington what its missile The DF-21D is central to China’s strategy of deterring military action off its eastern coast by threatening to destroy the major sources of US power projection in the region, its carrier battle groups. Click here to read…

‘You are not alone’: EU Parliament delegation tells Taiwan on 1st official visit

The European Parliament’s first official delegation to Taiwan said on Nov 04 the diplomatically isolated island is not alone and called for bolder actions to strengthen EU-Taiwan ties as Taipei faces rising pressure from Beijing. Taiwan, which does not have formal diplomatic ties with any European nations except tiny Vatican City, is keen to deepen relations with members of the European Union. The visit comes at a time when China has ramped up military pressure, including repeated missions by Chinese warplanes near democratic Taiwan, which Beijing claims as its own and has not ruled out taking by force. “We came here with a very simple, very clear message: You are not alone. Europe is standing with you,” Raphael Glucksmann, a French member of the European Parliament, told Taiwan President Tsai Ing-wen in a meeting broadcast live on Facebook. “Our visit should be considered as an important first step,” said Glucksmann, who is leading the delegation. “But next we need a very concrete agenda of high-level meetings and high-level concrete steps together to build a much stronger EU-Taiwan partnership.” The three-day visit, organised by a committee of the European Parliament on foreign interference in democratic processes, will include exchanges with Taiwanese officials on threats such as disinformation and cyber-attacks. Click here to read…

China has debated attacking Taiwan-controlled islands, Taiwan official says

A top Taiwan security official told lawmakers on Nov 04 that China had internally debated whether to attack Taiwan’s Pratas Islands but will not do so before 2024, the year President Tsai Ing-wen’s term ends. National Security Bureau Director-General Chen Ming-tong did not say how he knew that such a move had been debated or why it would not happen during the next few years. China’s defense ministry did not immediately respond to a request for comment on Nov 04. Taiwan, a self-ruled island claimed by Beijing, has complained for over a year of repeated sorties by China’s air force, often in the southwestern part of its air defense zone near the Taiwan-controlled but lightly defended Pratas Islands. Lying roughly between southern Taiwan and Hong Kong, the Pratas are seen by some security experts as vulnerable to Chinese attack due to their distance – more than 400 km (250 miles) – from mainland Taiwan. China has blamed Taiwan, and its most important international supporter the United States, for the simmering tensions across the Taiwan Strait. “Attacking and capturing the Pratas Islands – this scenario where war is being used to force (Taiwan into) talks – our assessment is that this will not happen during President Tsai’s tenure,” Chen told a parliamentary meeting. Click here to read…

Xi expands wartime mobilization powers as Taiwan tensions rise

China has granted the central leadership under President Xi Jinping greater control over mobilization for national defense without having to go through time-consuming legislative processes. The changes will allow, for instance, the leadership to swiftly amend the National Defense Mobilization Law and broaden the age groups of civilians it would recruit when on a war footing. While the National People’s Congress, China’s parliament, is a rubber-stamp body, amendments to such laws typically involve two or three rounds of discussion by the NPC’s Standing Committee, which meets roughly every one to two months. The move comes as tensions rise in the Taiwan Strait and is seen as an attempt by Beijing to prepare for a contingency. Last month, the NPC Standing Committee adjusted the amendment process for four laws — the National Defense Mobilization Law, the Civil Air Defense Law, the National Defense Transportation Law and the National Defense Education Law — to concentrate powers in the central leadership. The National Defense Mobilization Law stipulates that men aged 18 to 60 and women aged 18 to 55 can be mobilized for national defense purposes if “state sovereignty, unification, territorial integrity or security is threatened.” Click here to read…

Japan’s Kishida to tap ex-defense chief Hayashi as foreign minister

Japanese Prime Minister Fumio Kishida will appoint former Defense Minister Yoshimasa Hayashi as foreign minister, Nikkei has learned. The new cabinet is expected to be formed on Nov 10. Kishida has told party executives in the ruling coalition of his decision. The move comes after Kishida’s Liberal Democratic Party appointed former Foreign Minister Toshimitsu Motegi to the No. 2 post of secretary-general. At the moment, Kishida is doubling as foreign minister. Besides the top defense post, Hayashi also had served as education minister and agriculture minister. Hayashi, a member of the LDP’s Kishida faction, is also known as a pro-Beijing lawmaker. A graduate of Harvard’s Kennedy School of Government, Hayashi entered politics as an upper house member in 1995. He was elected to the lower house for the first time in the general election held Oct. 31. Kishida’s LDP faction is one of the two LDP groups that have traditionally advocated for good relations with China. The faction, formally known as Kochikai, was once led by Masayoshi Ohira, who as a foreign minister under Prime Minister Kakuei Tanaka in the 1970s played an instrumental role in Japan’s normalization of diplomatic relations with Beijing. Click here to read…

Japan, Germany expand military ties as German warship visits

Defense Minister Nobuo Kishi on Nov 05 said Japan will step up military cooperation with Germany in the Indo-Pacific region as he welcomed a port call by the first German warship to visit Japan in about 20 years. The frigate Bayern is visiting Tokyo after two days of joint exercises with the Japanese Maritime Self-Defense Force destroyer Samidare in the Pacific Ocean amid increasingly assertive maritime activities by China in the region. The ship’s visit is “an important turning point” in pursuing a “free and open Indo-Pacific” and secure one of the world’s most important shipping lanes, Kishi said after inspecting the frigate with German officials. “It shows Germany’s strong commitment to actively contribute to peace and stability in the Indo-Pacific,” he said. The frigate left Germany in August for deployment in the Indo-Pacific as part of the country’s recent shift to the region and follows similar moves by other European countries including Britain, France and the Netherlands. Japan and Germany signed an agreement in March on the protection of classified information exchanges and held their first security talks involving defense and foreign ministers in June. Click here to read…

Myanmar’s military plots to change electoral system, tighten grip

Myanmar’s military regime is laying the groundwork for an electoral system based on proportional representation, an apparent bid to ensure it maintains the control it seized nine months ago. The proposed reform is designed primarily to prevent the dominance of the National League for Democracy, led by Aung San Suu Kyi, which won an overwhelming majority in the general election held exactly one year ago. Alleging massive voter fraud, the military overthrew the NLD government on Feb. 1. It continues to detain Suu Kyi and other senior NLD members. The generals’ takeover led to nationwide protests and a general strike, prompting a bloody military crackdown. Former Gen. Thein Soe during a three-day meeting of party representatives that ended on Nov 07 suggested he supports the proposal to replace the current election system with one based on proportional representation. The former general heads the Union Election Commission, an election administration committee reorganized after the military’s power grab. During the meeting in Yangon, the country’s largest city, representatives of political parties discussed the electoral system. Click here to read…

Tension rises in Iraq after failed bid to assassinate PM

The failed assassination attempt against Iraq’s prime minister at his residence on Nov 07 has ratcheted up tensions following last month’s parliamentary elections, in which the Iran-backed militias were the biggest losers. Helicopters circled in the Baghdad skies throughout the day, while troops and patrols deployed around Baghdad and near the capital’s fortified Green Zone, where the overnight attack occurred. Supporters of the Iran-backed militias held their ground in a protest camp outside the Green Zone to demand a vote recount. Leaders of the Iran-backed factions converged for the second day on a funeral tent to mourn a protester killed Nov 05 in clashes with security. Many of the faction leaders blame the prime minister for the violence. “Cowardly rocket and drone attacks don’t build homelands and don’t build a future,” he said in the televised speech. Condemnation of the attack poured in from world leaders, with several calling Al-Khadimi with words of support. They included French President Emmanuel Macron, Jordan’s King Abdullah II and British Prime Minister Boris Johnson. Saudi Arabia called the attack an apparent act of “terrorism.” Egypt’s President Abdel Fattah el-Sissi on Facebook urged all sides in Iraq to “join forces to preserve the country’s stability.” Click here to read…

China is amassing nukes much faster than previously thought – Pentagon report

China is beefing up its nuclear arsenal a lot faster than Washington thought just a year ago, a new Pentagon report says, predicting that Beijing will own at least 1,000 nuclear warheads by the end of the decade. The Department of Defense published its newest assessment of China’s People’s Liberation Army (PLA) wartime potential in an annual report titled Military and Security Developments Involving the People’s Republic of China. “The accelerating pace of the PLA’s nuclear expansion may enable the PRC [People’s Republic of China] to have up to about 700 deliverable nuclear warheads by 2027,” a Pentagon official said, describing the key details of the report. And the report states that the PRC likely intends to have at least 1,000 nuclear warheads by 2030 – exceeding the pace and the size that we projected in the 2020 China Military Power report. The last year’s report claims that China’s existing nuclear warhead stockpile was “in the low 200s,” projecting that the number would at least double during the 2020s. The US views China as a strategic rival on the world stage. The countries have accused each other of stirring up tensions around Taiwan and the wider South China Sea region. Click here to read…

North Korea Can Make More Uranium for Nuclear Bombs Than Previously Thought

North Korea has the capacity to make more base ingredients for nuclear bombs than previously believed, according to new research, suggesting the Kim Jong Un regime possesses the potential to accelerate the earliest stages of production. The nation’s output of uranium—a fissile material for nuclear weapons when enriched—is just a fraction of what could be produced, according to new research from Stanford University’s Center for International Security and Cooperation. The assertion is based on satellite-imagery analysis of the equipment and facility size of the Kim regime’s only confirmed operational uranium mining complex in Pyongsan county, about 30 miles north of the Korean Demilitarized Zone. That milling capacity assessment was contrasted with North Korea’s estimated production, based on the levels of waste deposited near the mill. Furthermore, researchers tracked deforestation levels to study mining activity from 2017 to 2020, using an algorithm to analyze satellite imagery and detect land-use changes. Decades-old estimates of North Korea’s annual uranium ore output were put at roughly 30,000 metric tons, the report said. But the capacity could be as much as 360,000 metric tons, according to the Stanford analysis, which factored in Pyongsan’s milling infrastructure, size and equipment. Click here to read…

Kremlin reveals Putin spoke to head of CIA

As well as meeting the secretary of the Russian Security Council and the head of the Foreign Intelligence Service, the director of America’s CIA has also had a phone call with President Vladimir Putin, the Kremlin has revealed. Speaking to the press on Nov 08, Kremlin spokesman Dmitry Peskov revealed that CIA boss William Burns talked directly with Putin. This is unusual for the Russian leader, who typically delegates discussions with other foreign officials, generally preferring only to speak directly to heads of state. “They discussed bilateral relations and the current crisis in bilateral diplomatic relations. They also exchanged views on regional conflicts,” Peskov told reporters. Burns was in Moscow for a two-day working visit last week, along with a delegation of senior American officials. During his trip, the CIA director met with Nikolay Patrushev, secretary of the Security Council, and Sergey Naryshkin, the director of the Foreign Intelligence Service. Burns’ trip was the latest in a series of recent bilateral talks between American and Russian officials. Last month, US Under Secretary of State for Political Affairs Victoria Nuland traveled to Moscow for a three-day visit, but negotiations broke down without producing any tangible results. Click here to read…

Taliban leader warns against infiltrators in the ranks

The supreme leader of the Taliban warned Nov 04 against the danger of turncoats and infiltrators in the movement that has taken charge of Afghanistan. Reflecting the seriousness of the threat, the reclusive Haibatullah Akhundzada issued a rare written public statement to urge Taliban commanders to purge their ranks. In it he says “all those elders of their groups must look inside their ranks and see if there is any unknown entity working against the will of the government, which must be eradicated as soon as possible”. “Whatever wrong happens, the elder will be responsible for the consequences of the actions in this world and in the afterlife,” he warned in a statement tweeted out by multiple Taliban accounts. The Islamist militant movement seized power in August after overrunning the capital and ousting the collapsing US-backed government, declaring a new Islamic Emirate of Afghanistan. But after 20-years of guerrilla warfare, the Taliban has been forced to expand their ranks rapidly by recruiting former foes, allied Islamist militants and young madrassa students. Now that it is the government, the movement faces attacks in its turn from hardline factions like Islamic State-Khorasan (IS-K). Click here to read…

Ethiopia’s war marked by ‘extreme brutality’ from all sides: UN

A joint investigation into alleged atrocities in Ethiopia found all sides committed grave abuses that may amount to crimes against humanity and war crimes in the yearlong war in the Tigray region. The report, a collaboration by the United Nations human rights office with the government-created Ethiopian Human Rights Commission (EHRC), was released on Nov 03 as the country enters a new state of emergency with rival Tigrayan forces threatening to advance on the capital, Addis Ababa. It came as the United States State Department said it was sending Jeffrey Feltman, special envoy for the Horn of Africa, to Ethiopia for talks on Nov 04 and Nov 05 to urge “all Ethiopians to commit to peace and resolution of grievances through dialogue”. “The United States is increasingly troubled by the expansion of combat operations and intercommunal violence in Ethiopia and is closely monitoring the situation,” a State Department spokesperson said. Michelle Bachelet, the UN high commissioner for human rights, said the Tigray conflict has been marked by “extreme brutality”. “ “The joint investigation team has covered numerous violations and abuses including unlawful killings and extrajudicial executions, torture, sexual and gender-based violence, violations against refugees and forced displacement of civilians.” Click here to read…

Iran wants U.S. assurances it will never abandon nuclear deal if revived

Iran said on Nov 08 that the United States should provide guarantees that it will not abandon Tehran’s 2015 nuclear deal with world powers again, if talks to revive the agreement succeed. Indirect talks between Iran and the United States, which stalled in June after the election of hardline Iranian President Ebrahim Raisi, are set to resume on Nov. 29 in Vienna to find ways to reinstate the 2015 accord. It has eroded since 2018, when then-U.S. President Donald Trump withdrew from it and reimposed sanctions on Iran, prompting Tehran to breach mandated limits on uranium enrichment the following year. “The U.S. should show that it has the capability and will to provide guarantees that it will not abandon the deal again if the talks to revive the deal succeed,” Foreign Ministry spokesman Saeed Khatibzadeh told a virtual news conference. Echoing Iran’s official stance, Khatibzadeh said Washington must lift all sanctions imposed on Tehran in a verifiable process and “recognise its fault in ditching the pact”. That ongoing stance is likely to cause concern in the United States and with its European allies – France, Britain and Germany – who deem it unrealistic and want to resume June’s talks where they left off without new demands. Click here to read…

Abu Dhabi to allow non-Muslim civil marriage under family law shakeup

Non-Muslims will be allowed to marry, divorce and get joint child custody under civil law in Abu Dhabi according to a new decree issued on Nov 07 by its ruler, state news agency WAM said. It is the latest step in the United Arab Emirates — where personal status laws on marriage and divorce had been based on Islamic sharia principles, as in other Gulf states — to maintain its competitive edge as a regional commercial hub. The decree from Abu Dhabi’s Sheikh Khalifa bin Zayed al-Nahayan, who is also president of the UAE federation of seven emirates, said the law covers civil marriage, divorce, alimony, joint child custody and proof of paternity, and inheritance. It aims to “enhance the position and global competitiveness of the emirate as one of the most attractive destinations for talent and skills”, WAM said. The report described the civil law regulating non-Muslim family matters as being the first of its kind in the world “in line with international best practices”. A new court to handle non-Muslim family matters will be set up in Abu Dhabi and will operate in both English and Arabic. Click here to read…

Biden’s democracy summit: Problematic invite list casts shadow on impact

President Joe Biden is getting ready to deliver on a key campaign promise by convening a Summit for Democracy: a first-of-its kind gathering of more than 100 countries to help stop democratic backsliding and erosion of rights and freedoms worldwide. But rights advocates are questioning whether the virtual event can push those world leaders who are invited, some accused of harboring authoritarian tendencies, to take meaningful action. The event – to be held on Dec. 9 and 10 – is a test of Biden’s longstanding claim, announced in his first foreign policy address as president in February, that the United States would return to global leadership under his tenure to face down authoritarian forces led by China and Russia. A tentative invite list first reported by Politico and confirmed by a source familiar with the matter shows that the event will bring together mature democracies such as France and Sweden but also countries including Philippines and Poland, where activists say democracy is under threat. In Asia, some U.S. allies such as Japan and South Korea were invited, while others like Thailand and Vietnam were not. Representation from the Middle East was slim with Israel and Iraq among the few countries invited and notable U.S. allies such as Egypt and NATO partner Turkey absent from the list. Click here to read…

Medical
China’s Army Furnishes Foreign Militaries With Covid-19 Vaccines

In Zimbabwe, where just 18% of the population are fully vaccinated against Covid-19, the armed forces have a surplus of shots thanks to a gift from a powerful benefactor: China’s People’s Liberation Army. In the Philippines, another PLA donation has helped the majority of service members get vaccinated. In Ethiopia, where the Biden administration is levying fresh sanctions over alleged atrocities committed in an offensive against Tigray rebels, the PLA has delivered 300,000 Covid-19 vaccines to government troops. The People’s Liberation Army has rapidly expanded vaccine donations to military forces this year across four continents. Chinese Defense Ministry figures show that as of September, it had made more than 30 deliveries to about two dozen countries. Many of the recipients, like Zimbabwe and Ethiopia, are important players in Chinese leader Xi Jinping’s trillion-dollar Belt and Road infrastructure initiative. The PLA’s shipments have come with additional military aid, including medical training and scholarships for senior officers to study in Chinese military colleges. In many cases, they also supplement shipments with donations of personal protective equipment, ventilators and other medical assistance. Click here to read…

Covid-19 Vaccines and Myocarditis Link Probed by Researchers

As U.S. health authorities expand use of the leading Covid-19 vaccines, researchers investigating heart-related risks linked to the shots are exploring several emerging theories, including one centered on the spike protein made in response to vaccination. Researchers aren’t certain why the messenger RNA vaccines, one from Pfizer Inc. and partner BioNTech and the other from Moderna Inc. are likely causing the inflammatory heart conditions myocarditis and pericarditis in a small number of cases. Some theories center on the type of spike protein that a person makes in response to the mRNA vaccines. The mRNA itself or other components of the vaccines, researchers say, could also be setting off certain inflammatory responses in some people. One new theory under examination: improper injections of the vaccine directly into a vein, which sends the vaccine to heart muscle. To find answers, some doctors and scientists are running tests in lab dishes and examining heart-tissue samples from people who developed myocarditis or pericarditis after getting vaccinated. Myocarditis describes inflammation of the heart muscle, while pericarditis refers to inflammation of the sac surrounding the muscle. Covid-19 itself can cause both conditions. They have also been reported in a smaller number of people who got an mRNA vaccine, most commonly in men under 30 years and adolescent males. Click here to read…

US lifts COVID restrictions for many foreign travellers

The United States is opening its doors to travellers from a long list of countries that had been subject to previous pandemic restrictions. Fully vaccinated travellers from Mexico, Canada, the United Kingdom and most of Europe, as well as China, India, South Africa, Iran and Brazil, will be allowed into the US at airports and land borders as the restrictions are lifted on Nov 08. The pandemic controls, originally put in place at the beginning of 2020, had barred access to the US for non-citizens who had been in those countries 14 days before travelling. The restrictions ravaged the tourism industry, preventing friends and family from easily visiting the US. Under the policy, missed weddings, funerals, and reunions piled up. The countries in question account for 53 percent of all overseas visitors to the US in 2019, according to trade group US Travel. Data from travel and analytics firm Cirium showed airlines are increasing flights between the UK and the US by 21 percent this month over the last month. Air travellers will be required to show not only their vaccination status, but also a negative COVID-19 test. Those travelling by land from Canada and Mexico will need to show only proof of vaccination. Click here to read…

China: Daily Scan, November 08, 2021

China’s power supply back to normal, says State Grid: Xinhuanet
November 7, 2021

The State Grid Corporation of China on Sunday said that the supply and demand of power in areas operated by the company have returned to normal. The thermal coal inventory in the company’s operating area has rebounded to 99.32 million tonnes, while the available days of consumption has risen to 20, said the company. Click here to read…

China firmly opposes U.S. report on Chinese military and security developments: China Military
November 7, 2021

“China is strongly dissatisfied with and firmly opposed to the report on Chinese military and security developments released by the U.S. Department of Defense,” said Senior Colonel Wu Qian, spokesperson for the Chinese Ministry of National Defense (MND) on November 5, 2021. Click here to read…

U.S. vicious slanders on China over COVID-19 origins tracing and the truth: People’s Daily
November 7, 2021

For some time, various lies and rumors concocted by the U.S. side against China on origins tracing have been repeatedly refuted by China and the international community with detailed facts and data. So far, more than 80 countries and over 300 political parties, social organizations and think tanks have opposed the politicization of COVID-19 origins tracing in various ways. The U.S. intelligence department recently released a declassified version of its assessment report on COVID-19 origins. Continuously disregarding science-based origins tracing, the report insinuated that “the Wuhan Institute of Virology of the Chinese Academy of Sciences leaked the virus”, and accused China of lacking transparency and obstructing international investigations. Click here to read…

China loads fuel at nuclear unit equipped with home-grown reactor: People’s Daily
November 8, 2021

Fuel loading has started at China’s second nuclear power unit using Hualong One technology, a domestically developed third-generation reactor design, after the first one entered commercial operations earlier this year. The loading started on Saturday at the No. 6 nuclear power unit in the city of Fuqing, in east China’s Fujian Province, bringing the unit one step closer to operation, according to the China National Nuclear Corporation (CNNC). Click here to read…

Senior Chinese lawmakers hear reports on draft laws: China Daily
November 6, 2021

The Standing Committee of the National People’s Congress (NPC) held a meeting of its Council of Chairpersons on Friday afternoon to hear reports on draft laws and draft law amendments. Li Zhanshu, chairman of the NPC Standing Committee, presided over the meeting. Click here to read…

Stand News editor-in-chief steps down, signaling end of anti-govt media: Global Times
November 7, 2021

Chung Pui-kuen, editor-in-chief of Hong Kong digital news outlet Stand News, announced he stepped down from the position for family reasons, local media reported on Sunday. Experts in Hong Kong said the decision was not surprising and signals the end of an anti-government media whose legacy is its infamous role in the social unrest in Hong Kong. Citing a post on Chung’s social media account, Hong Kong news outlet RTHK said the deputy chief of Stand News, Patrick Lam, had taken over the position from November 1. Click here to read…

19th CPC Central Committee kicks off sixth plenary session, to table landmark resolution: Global Times
November 8, 2021

The sixth plenary session of the 19th Central Committee of the Communist Party of China (CPC) kicked off on Monday. Xi Jinping, general secretary of the CPC Central Committee, delivered a work report on behalf of the Political Bureau of the CPC Central Committee and made explanations on a draft resolution on the major achievements and historical experience of the CPC’s 100 years of endeavors. The sixth plenary session will conclude on Thursday. Click here to read…

Innovation of twin-seat J-20 stealth fighter to lead world, military experts say after reported maiden flight: Global Times
November 7, 2021

China has reportedly conducted the maiden flight of the twin-seat variation of the J-20 recently, as the aircraft became the world’s first stealth fighter jet with two seats to fly. Chinese military analysts said on Sunday that the new warplane uses innovations that could potentially change warfare and lead the world. A two-seat prototype of the J-20 fifth-generation multirole fighter aircraft has conducted what appears to have been its maiden flight, UK-based Jane’s Defence Weekly reported on Friday, citing an image that emerged on the same day on social media platforms. Click here to read…

China to strictly curb coal by 2025 and raise the share of consumption of non-fossil energy to about 20%: Global Times
November 8, 2021

On the premise of ensuring energy security, China will accelerate the pace of coal reduction during the 14th Five-Year Plan period (2021-25) and raise the share of non-fossil energy consumption to about 20 percent, according to a document released on Sunday. The guidelines published on Sunday by the Central Committee of the Communist Party of China (CPC) and the State Council on further promoting the battle against pollution, accelerating green and low-carbon development was among the main drivers. Click here to read…

China-India trade in 2021 exceeds $100 billion for the first time in October: Global Times
November 7, 2021

The General Administration of Customs (GAC) of China revealed on Sunday the country’s international trade data for October with a year-on-year increase of 22.2 percent. GAC’s data also shows that the international trade volume between China and India reached $102.29 billion, exceeding the milestone of $100 billion for the first time in 2021.Qian Feng, Director of the Research Department of the National Strategy Institute of Tsinghua University, told the Global Times on Sunday that the surge in bilateral trade demonstrates the complementarity of two major developing economics. Click here to read…

China: Daily Scan, October 28, 2021

White paper lists China’s achievements in responding to climate change: Xinhuanet
October 27, 2021

Significant changes have taken place in China as the country responds to climate change, according to a white paper released Wednesday by the State Council Information Office.

China has coordinated economic development with pollution and emission reduction, pushed forward revolutions in energy production and consumption, driven low-carbon industrial transition, increased carbon sink capacity of ecosystems, and promoted green and low carbon lifestyles, said the white paper titled “Responding to Climate Change: China’s Policies and Actions.” Click here to read…

Chinese FM elaborates on China’s policy towards Afghanistan: Xinhuanet
October 27, 2021

Chinese State Councilor and Foreign Minister Wang Yi on Tuesday briefed the media on his contact with the delegation of the Afghan Taliban’s interim government before he left the Qatari capital of Doha. Wang noted that during his visit to Qatar, he had contact with Acting Deputy Prime Minister Mullah Abdul Ghani Baradar and Acting Foreign Minister Amir Khan Muttaqi of the Afghan Taliban’s interim government, during which the Afghan side elaborated on the domestic and foreign policies pursued by the Afghan interim government. Click here to read…

China to defer tax payment for manufacturing SMEs: Xinhuanet
October 27, 2021

China will defer tax payment for small and medium-sized enterprises (SMEs) in the manufacturing sector to ease the impact of rising costs, a State Council executive meeting decided on Wednesday. The decision would in effect defer around 200 billion yuan (31.32 billion U.S. dollars) of tax payment for manufacturing SMEs, the meeting said. Click here to read…

China to keep record of off-campus training institutions: Xinhuanet
October 27, 2021

China will soon have a comprehensive record of all off-campus training institutions in the country, the educational authority announced Wednesday. In a circular, the Ministry of Education has tasked all educational authorities in provincial-level regions with confirming the exact number of off-campus training institutions in their respective areas, and ensuring all of them are registered with the ministry’s online platform for after-school training management. Click here to read…

Hong Kong passes bill to vet movies over national security: Xinhuanet
October 27, 2021

The Legislative Council (LegCo) of China’s Hong Kong Special Administrative Region (HKSAR) on Wednesday approved a bill allowing authorities to revoke certificates of films that would be contrary to the interests of national security. The Film Censorship (Amendment) Bill 2021 was adopted in its third reading at the LegCo, giving the Chief Secretary for Administration of the HKSAR government power to direct authority to revoke the certificate of a film whose exhibition is believed to damage the interests of national security. Click here to read…

China to extend tax incentives for overseas investors: People’s Daily
October 28, 2021

China will extend the preferential tax policy for overseas investors investing in the mainland bond market, as part of its efforts to promote opening-up and attract foreign investment, the State Council’s executive meeting chaired by Premier Li Keqiang decided on Wednesday. Click here to read…

Experts seek ways for countries to enhance mutual trust, consensus: China Daily
October 28, 2021

Experts said the international community should enhance mutual trust and consensus to find new ways to jointly address global security challenges and safeguard world peace and stability. Over 50 scholars from more than 20 countries and international organizations participated in the 2021 Beijing Xiangshan Forum Webinar that concluded on Tuesday. The webinar was organized by the Beijing Xiangshan Forum Secretariat, which is sponsored by the China Association for Military Science and the China Institute for International Strategic Studies. Click here to read…

China’s employment situation better than expected in Q3, but challenges remain: Global Times
October 28, 2021

China’s employment situation in the third quarter was generally stable and better than expected, a spokesperson with the Ministry of Human Resources and Social Security (MOHRSS) said on Wednesday, while more still needs to be done given the rising uncertainties of the international environment and the uneven recovery of the domestic economy. Click here to read…

PLA attack, transport helicopters spotted near Taiwan for 1st time, ‘provide more tactical options’: Global Times
October 27, 2021

Joining fighter jets and special mission aircraft, attack and transport helicopters of the Chinese People’s Liberation Army (PLA) were spotted near the island of Taiwan in a drill for the first time on Tuesday, with military experts saying on Wednesday that choppers can provide more tactical options in landing operations, and this displayed the increased combat readiness of the PLA in the region. Click here to read…

2,918 Chinese entrepreneurs have net worth of over 2 billion yuan, says Hurun: Global Times
October 27, 2021

A total of 2,918 Chinese entrepreneurs who have a net worth exceeding 2 billion yuan are listed in the Hurun China Rich List 2021, and 520 of them belong to newcomers. Zhong Shanshan, 67, founder of beverage company Nongfu Spring, topped the list with a net worth of 390 billion yuan. The new-energy sector came under the spotlight in 2021 amid the country’s multiple efforts targeting peak carbon emissions and carbon neutrality, with eight of 10 fastest risers related to the sector. Zeng Yuqun, 53, chairman of CATL, an electric car battery provider, tripled his wealth to move to No.3 with 320 billion yuan. Click here to read…

U.S., Japan square off with China on maritime security amid tensions: Kyodo
October 28, 2021

The United States, China and Japan squared off over maritime security at a regional summit on Wednesday, with U.S. President Joe Biden and Japanese Prime Minister Fumio Kishida taking part in the online meeting for the first time since they took office. The virtual gathering of the East Asia Summit took place as tensions between the United States and China have been intensifying recently over several issues in the Asia-Pacific region, such as the South and East China seas and the Taiwan Strait. Click here to read…

US has troops stationed on Taiwan, island’s leader Tsai Ing-wen confirms for first time: South China Morning Post
October 28, 2021

Taiwanese president Tsai Ing-wen said she believes that the United States would help to defend the island in the event of an attack by China, amid confusion about the US administration’s position on military intervention. Speaking to CNN in an interview aired on Wednesday, Tsai also confirmed for the first time that US troops were stationed on the self-governing island, explaining that Taiwan had a “wide range of cooperation with the US aiming at increasing our defence capability”. Click here to read…

Vegetables pricier than pork worry Chinese consumers as costs swell: Reuters
October 27, 2021

Vegetable prices are surging in China after heavy rain swamped crops this month, fuelling concern over food prices at a time when consumers must brace for a hike in energy costs in the run-up to winter. Unusually heavy rains drenched northern swathes of China in September and early this month, flooding the top vegetable-growing province of Shandong. “All the vegetables are dead in the ground,” said Zhou Rui, a farmer who cultivates about 7 hectares (17 acres) in the Juancheng county of the province. Click here to read…

China: Daily Scan, October 12, 2021

Xinjiang government refutes Western lies about human rights: Xinhuanet
October 12, 2021

The government of Xinjiang Uygur Autonomous Region Monday refuted the lies fabricated by the United States and some other Western countries about human rights in the region with evidence and facts. At the recent 48th session of the United Nations Human Rights Council, some Western countries made groundless accusations against China over Xinjiang-related issues based on disinformation, rumors, and lies, said Xu Guixiang, a spokesperson with the regional government, at a press conference in Beijing. Click here to read…

Probe of virus’ origins needs collaboration: China Daily
October 12, 2021

Open-mindedness in international community essential in tracing work. To advance the probe into the origins of the novel coronavirus, top Chinese scientists have recently called for open-mindedness and international collaboration, as well as persistent efforts in screening wild animal specimens and samples of possible early infections. Click here to read…

Ex-cyberspace official charged with corruption: China Daily
October 11, 2021

Peng Bo, a former senior cyberspace official, has been charged by prosecutors with taking large bribes to control negative information on the internet for others by taking advantage of his positions, the Supreme People’s Procuratorate said on Monday. It said in a statement that the National Supervisory Commission has concluded its investigation into the alleged corruption of Peng, former deputy head of the office of the central leading group on the prevention and handling of cult-related issues. He was put under investigation in March. Click here to read…

Central bank governor vows fintech regulations: China Daily
October 10, 2021

China’s central bank governor vowed to keep strengthening regulation of financial technology companies, focusing on areas including payment services, antitrust issues and data protection. Yi Gang, governor of the People’s Bank of China, made his keynote speech, “China’s Experience with Regulating Big Tech”, at the 11th research network meeting of the Bank for International Settlements on Thursday. Click here to read…

Chinese authorities vow to support patriotic stars who love the country and HK: Global Times
October 12, 2021

The Chinese State Administration of Radio Film and Television recently issued a guideline to reform and rectify the entertainment industry in the next five years. The move includes providing support to stars who love the country and Hong Kong. The document vows to enhance the management of internet shows, livestream programs and short videos, and ban celebrities with notorious records from appearing on camera while calling for support to stars who show love to the country and Hong Kong. Click here to read…

US spy ship conducts extensive activities in S.China Sea, aims to collect data to support submarine warfare against China : Global Times
October 11, 2021

A US Navy oceanographic survey ship has been conducting extensive activities in a large area of the South China Sea since late September, which Chinese military experts said aims to collect underwater geographical and hydrological data to support its submarine warfare in the region against China. This situation also drew attention from some military observers after a US nuclear-powered attack submarine struck an unidentified underwater object in the South China Sea earlier this month, which again highlighted the US Navy’s need to learn more about the region. Click here to read…

Chinese lithium giants seek overseas projects, but face uncertainties: Global Times
October 11, 2021

Chinese upstream lithium firms have been expanding their overseas footprint this year, especially in the Lithium Triangle – the lithium-rich region in South America – to meet surging demand for the key resource for making electric vehicle (EV) batteries. However, Chinese companies’ bids to acquire overseas assets and projects still face great uncertainty given the race among countries for crucial raw materials, industry observers told the Global Times. Click here to read…

Meituan founder Wang Xing locks down social media posts as China’s food delivery giant puts antitrust investigation behind it: South China Morning Post
October 11, 2021

Wang Xing, the 42-year-old billionaire founder and chief executive of Meituan, has apparently locked down nearly 18,000 of his social media posts from public view, weeks before the food delivery and on-demand local services giant was slapped with a 3.44 billion yuan (US$533 million) fine by the government to end the firm’s antitrust investigation. Click here to read…

Chinese scientists dive into South China Sea’s dangerous internal waves: South China Morning Post
October 12, 2021

Chinese scientists say they have tested a monitoring device in the South China Sea that can improve detection of underwater currents believed to be a big danger to submarines.
In a paper in the domestic peer-reviewed journal Earth Science Frontiers on Saturday, the researchers said the 1.4-tonne sensor could operate on the sea floor for weeks and surface in response to a signal from a mother ship. Click here to read…

China’s power crisis prompts warning from rust-belt despite efforts to boost coal supply, manage electricity: Reuters
October 11, 2021

China’s largest provincial economy in its northeast rust belt warned of worsening power shortages on Monday, despite government efforts to boost coal supply and manage electricity use in a post-pandemic energy crisis hitting multiple countries. China’s Liaoning province issued its second-highest level power shortage alert on Monday, the fifth in two weeks, warning the shortfall could reach nearly 5 gigawatts (GW). Click here to read…

China says it carried out beach landing drills in province opposite Taiwan: Reuters
October 11, 2021

China’s military said on Monday it had carried out beach landing and assault drills in the province directly across the sea from Taiwan, though it did not link the exercises to current tensions with Taipei. Democratically ruled Taiwan, claimed by China as its own territory, has complained of stepped-up military and political pressure from Beijing to force it to accept Chinese rule, including massed air force incursions into Taiwan’s air defence identification zone. Click here to read…

Global Developments and Analysis: Weekly Monitor, 04 October- 10 October

Economic

China’s housing bubble fuelled its spectacular growth, but is the country ready for a day of reckoning?

China’s indebted property developers are symptoms, rather than the cause, of its housing problem. The nation’s real estate boom, which started in 1999 when then premier Zhu Rongji privatised home ownership, is one of the most spectacular economic phenomena in recent history. It has profoundly changed China’s urban landscape and improved living standards for hundreds of millions of people. But it has also titled wealth towards the state and capital over labour, and, more importantly, changed the notion among many Chinese that wealth is built by saving, not borrowing. China’s property machine has been sustained by three key ingredients: a land supply system borrowed directly from Hong Kong, where the municipal government has a monopoly; an extraordinary monetary easing cycle where broad money supply has increased 20 times over the past two decades; and a nationwide zeal to invest household wealth into property, rather than other assets. It is no secret that authorities depend on revenue from land sales to property developers to meet operational costs. Chinese cities would be in a terrible state if these funds dried up. The banking system’s exposure to the property sector is another interesting point of debate. Click here to read…

China raises cap on electricity prices to tackle power shortage

China will take further steps to ensure sufficient electricity supplies for the coming winter and spring, including raising the cap on prices, China’s cabinet said in a statement after an executive meeting chaired by Premier Li Keqiang on Oct 09. The State Council also said it will prioritize winter coal and natural gas supplies to ensure people’s livelihoods in northern China, particularly residential heating in north-eastern provinces, according to the statement. The measures come as China grapples with large-scale power shortages that since September have affected 10 provinces, including Heilongjiang and Jiangsu. High coal prices — amid government-mandated cuts to coal production capacity and carbon-reduction measures — combined with a relatively low cap on electricity prices meant that power generators were selling below cost. This meant they cut power output at a time when an economic recovery is driving factories to consume a lot more electricity. In late September, China’s state planner, the National Development and Reform Commission (NDRC), urged miners and power companies to sign additional long-term contracts to guarantee the thermal coal supply. This week, dozens of coal mines in Inner Mongolia were told to boost their production by more than half. Click here to read…

EU Commission should buy gas on behalf of member states, Spanish PM suggests as solution to spiralling energy prices

Spain’s prime minister has proposed that the European Commission (EC) negotiate gas contracts on behalf of all EU member states in order to strengthen cooperation amid soaring gas prices on the global marketplace. Speaking on Oct 06, Prime Minister Pedro Sanchez proposed a novel solution to the spiralling cost of gas in Europe, suggesting the EU’s executive body could buy on its member states’ behalf. “The proposal our government is making is that the EU Commission negotiate on behalf of all 27 member states,” Sanchez told reporters after an EU summit held in Slovenia. “Then what we propose is a strengthened cooperation, in which the countries who want it can join and the Commission would negotiate.” Sanchez added that this proposal involved the EC negotiating in collaboration with private companies. The concept has been backed by Italy. Earlier on Oct 06, the EU said it would review the way the bloc’s power market is organized and consider a revamp of the regulations. On Oct 06, European gas prices reached record highs, rising sharply to above $1,900 per 1,000 cubic meters, equivalent to $186 per megawatt-hour in household terms. Click here to read…

Energy crunch: Qatar says LNG production ‘maxed out’

Qatar, the world’s largest seller of liquefied natural gas (LNG), told consumers it was powerless to cool energy prices as steelmakers in the United Kingdom said they could be forced to halt output in the face of soaring costs. The global rebound in economic activity after the easing of coronavirus lockdowns has laid bare a shortage of natural gas stocks and other fuel supplies, squeezing consumer budgets and causing blackouts in some countries. To keep factories open and homes heated, industry executives and governments are having to pay much more for energy and revert to coal and oil, the most polluting fossil fuels. As some generators switched to burning oil, crude futures jumped to multi-year highs on Oct 11, with analysts predicting that prices will stay strong.LNG prices, which sank to record lows at the height of pandemic lockdowns, have surged this year to record highs, but Qatar said it has no supplies available to calm the market. “We are maxed out, as far as we have given all our customers their due quantities,” said Qatar Minister of Energy Saad al-Kaabi. “I am unhappy about gas prices being high.”Across the globe, the high prices are pressuring governments and industry, which has warned of the risk of job losses and costs being passed on to customers and consumers. Click here to read…

Afghan food prices soar as imports from Pakistan squeezed

Food prices are spiralling in Afghanistan as the local currency plummets under selling pressure and imports from Pakistan decline steeply due to a U.S. dollar shortage that prevents traders making payments. Zia-ul-Haq Sarhadi, vice president of the Pakistan-Afghanistan Joint Chamber of Commerce and Industry (PAJCCI), told Nikkei Asia that food shipments from Pakistan to Afghanistan have reduced to a trickle largely because of the Taliban limiting weekly bank withdrawals to $200 — about 20,000 Afghanis. According to Sarhadi, only cement shipments paid for before the Taliban returned to Kabul are crossing the border at Torkham, Pakistan’s northwest border post with Afghanistan. He told Nikkei that less than 200 trucks were coming across each day compared to more than 1,000 a few weeks ago. The Taliban’s withdrawal caps are meant to prevent a currency flight while the U.S. continues to block access to Afghanistan’s dollar reserves of around $9.5 billion in American banks. The IMF and the World Bank have also stopped dollar-denominated aid, which amounted to around 43% of gross domestic product (GDP) in 2020. Click here to read…

Hong Kong to build 1m homes near China border to speed integration

Hong Kong Chief Executive Carrie Lam has announced plans to create a new “metropolis” of up to 2.5 million people near the border with mainland China, looking to tie the former British colony closer to neighbouring cities to boost regional development and tackle a chronic housing shortage. In the fifth and final annual policy address of her term on Oct 06, Lam defended the national security law and political overhaul imposed by Beijing in the wake of widespread antigovernment protests in 2019, emphasizing the need to strengthen pride in and loyalty to China for Hong Kong’s long-term prosperity. The new “Northern Metropolis” would cover nearly 300 sq. km along the city’s border with Shenzhen. Envisaged as an international information and technology hub, it would include up to 926,000 apartments and a new rail link to Shenzhen’s Qianhai district. Beijing last month announced plans to expand the area of the Qianhai zone, where it has been experimenting with financial and other reforms, by eight times to boost integration with Hong Kong. Click here to read…

Pakistan and China unveil ambitious plan to develop Karachi coast

In an ambitious turn, Pakistan and China have agreed to develop the Karachi coast, possibly shifting away from Gwadar as the center stage of the Belt and Road project in Pakistan, following ongoing problems at the south-western province of Balochistan. A memorandum of understanding was signed for the Karachi Coastal Comprehensive Development Zone project during the recently held 10th Joint Cooperation Committee meeting of the China-Pakistan Economic Corridor, or CPEC, after a gap of almost two years. Based on details shared by Pakistan, China will invest $3.5 billion, separately confirmed by a Chinese foreign ministry spokesperson, in the project which includes adding new berths to Karachi port, developing a new fisheries port and a 640-hectare trade zone on the western backwater marshland of the Karachi Port Trust. The project also envisages building a harbor bridge connecting the port with the nearby Manora islands. Gwadar has proved to be a problematic area for Chinese investment. In August, a suicide bombing targeting a vehicle carrying Chinese nationals in the area killed two children and wounded three. Separatist militants have waged a long-running insurgency in Balochistan. Click here to read…

HSBC boss Noel Quinn: Complex geopolitical landscape a ‘fact of life’ for global banks

Navigating a complex geopolitical landscape that includes financial sanctions is a “fact of life” for international banks and one that can continue to be managed in today’s charged environment, according to Noel Quinn, the CEO of HSBC. There remains a need for financial institutions, such as HSBC that can act as bridge between East and West for commerce and trade, said Quinn in a wide-ranging keynote session at the Sibos 2021 conference. “Our clients still want to be international. They still have needs on a global basis and they’re asking us to help them with those global needs,” Quinn said. “My job is to help this organisation navigate those geopolitics, be very focused on helping our clients navigate their business model needs and remaining focused on the long term, not just the short term.” As Hong Kong’s biggest currency-issuing lender, London-based HSBC has found itself caught in the middle of rising tensions between China and the United States in the past three years, from the arrest of Huawei Technologies chief financial officer Meng Wanzhou to the implementation of a controversial national security law for Hong Kong last year. Click here to read…

China’s Xinjiang faces hidden risk from debt-heavy XPCC, with spending tipped to rise after US withdrawal from Afghanistan

Spending on public security and poverty reduction in China’s Xinjiang Uygur autonomous region is expected to increase after the US withdrawal from Afghanistan, but indebted state-owned enterprises (SOEs), including the sprawling Xinjiang Production and Construction Corps (XPCC), are already putting pressure on local government finances. Washington has targeted Chinese officials and Xinjiang-based companies, including XPCC, for what it alleges are serious human rights abuses in the region – something Beijing has repeatedly denied. XPCC is at the heart of international tensions over Xinjiang because of its influential position in the local economy and its central role in ensuring social stability and security. Established in 1954, XPCC – which is also known as “Bingtuan” – operates as a business and paramilitary entity. Today, it controls at least 20 per cent of Xinjiang’s gross domestic product (GDP), with cotton one of its most important goods, and has about 2.7 million members, accounting for 12 per cent of the region’s total population. But the organisation’s massive spending on projects ranging from poverty alleviation and surveillance to re-education camps to counter “religious extremism” make it a potential contingent risk for the Xinjiang government, some observers say. Click here to read…

Japan’s new PM Fumio Kishida defends pro-nuclear stance in parliamentary debut

Japan’s new Prime Minister Fumio Kishida on Oct 11 defended his pronuclear energy policies, saying that restarting nuclear power plants mothballed since the 2011 Fukushima disaster was vital. Energy became a key issue during the ruling Liberal Democratic Party’s (LDP) recent leadership race, during which Kishida beat Taro Kono, a former vaccine minister who had spoken out against nuclear energy, to become prime minister. “It’s crucial that we restart nuclear power plants,” Kishida said as he faced opposition questions in parliament for the first time since becoming prime minister last week. Kishida was responding to questions from Yukio Edano, leader of the main opposition Constitutional Democratic Party of Japan (CDPJ), on the government’s policy for sustainable energy and if nuclear power would be part of the plan. Nuclear energy has been contentious in Japan, especially since a 2011 earthquake off the coast triggered a tsunami that smashed into a nuclear power plant in the Fukushima region north of Tokyo, causing one of the world’s worst nuclear accidents. All of Japan’s nuclear power plants were shut down after the disaster, which highlighted failings in regulation and oversight. While some reactors have been coming back on stream, most remain shut. Click here to read…

Global tax deal seeks to end havens, criticized for ‘no teeth’

A group of 136 countries on Oct 08 set a minimum global tax rate of 15% for big companies and sought to make it harder for them to avoid taxation in a landmark deal that U.S. President Joe Biden said levelled the playing field. The deal aims to end a four-decade-long “race to the bottom” by setting a floor for countries that have sought to attract investment and jobs by taxing multinational companies lightly, effectively allowing them to shop around for low tax rates. The 15% floor agreed to is, however, well below a corporate tax rate which averages around 23.5% in industrialized countries. Some developing countries that had wanted a higher rate said their interests had been sidelined to accommodate richer nations, while NGOs criticized the deal’s many exemptions, with Oxfam saying it effectively had “no teeth.” The accord also promises to be a tough sell in Washington, where a group of Republican U.S. senators sent a letter to Treasury Secretary Janet Yellen saying they had serious concerns. Negotiations have been going on for four years, with the deal finally agreed when Ireland, Estonia and Hungary dropped their opposition and signed up. Click here to read…

Thanks to sanctions, Iran loses foreign investors

As the Raisi administration continues to refuse to chart a clear path for the resumption of the stalled nuclear talks with world powers in Vienna, and the removal of the daunting sanctions on Iran remain improbable, things are getting worse for the average Iranian. The naked truth about the oil-rich country is the unchecked entrenchment of poverty has been worsened by the government’s soaring budget deficit and the withdrawal of foreign investors who once helped prop up different sectors of the economy. In 2019, and in a bid to incentivize the influx of foreign capital and resources into Iran, the moderate Rouhani administration proposed an initiative whereby international investors lending credit to Iranian banks and financial institutions worth $250,000 or more or investing a similar amount in Iran’s infrastructural and industrial projects, would be granted five-year residency permits as well as other educational, healthcare, employment benefits and public services. Now, in a rare admission of the failure of the ambitious plan, Iran’s deputy minister of interior Babak Dinparast revealed in late September that after more than two years, “not even a single” foreign investor has signed up to benefit from the scheme, and that it hasn’t paid off as first thought. Click here to read…

New plan to bolster China’s standard-setting ability in crucial technologies

China aims to boost standard-setting in many crucial technological sectors, including high-speed rail, new-energy and smart vehicles and robots, as part of efforts to bolster innovation, opening-up and high-quality growth, according to a development plan jointly issued by the Central Committee of the Communist Party of China and the State Council, the cabinet, released on Oct 10. Analysts said the plan is conducive to China’s strategy of high-quality development, and it will make China’s standardization work more internationalized. It will also pave the way for a greater role for Chinese companies in the global markets once the issue of differences among standards is ironed out, they said. By 2035, China’s standardization work will be an open and integrated system driven by market forces and guided by the government, with full participation by companies and the public. The development plan calls for scientific and research fruits in 50 percent of all projects concerned with shared key technologies and applied science and technology, and for the time required for setting national standards to be reduced to under 18 months from currently two years. Click here to read…

Economics Nobel honours ‘natural experiments’, from minimum wage to migration

Economists David Card, Joshua Angrist and Guido Imbens won the 2021 Nobel economics prize on Oct 11 for pioneering “natural experiments” to show real-world economic impacts in areas from minimum wage increases in the U.S. fast-food sector to migration from Castro-era Cuba. Unlike in medicine or other sciences, economists cannot conduct rigidly controlled clinical trials. Instead, natural experiments use real-life situations to study impacts on the world, an approach that has spread to other social sciences. “Their research has substantially improved our ability to answer key causal questions, which has been of great benefit to society,” says Peter Fredriksson, chair of the Economic Sciences Prize Committee. Past Nobel Economics prizes have been dominated by U.S. institutions and this was no exception. Canada-born Card currently works at the University of California, Berkeley; Angrist, a dual U.S. and Israeli citizen, at Massachusetts Institute of Technology; and Dutch-born Imbens at Stanford University. Click here to read…

Strategic

13th round of India-China Corps Commander Level Meeting

The 13th round of India-China Corps Commander Level Meeting was held at Chushul-Moldo border meeting point on 10th October 2021. During the meeting the discussions between the two sides focussed on resolution of the remaining issues along the LAC in Eastern Ladakh. The Indian side pointed out that the situation along the LAC had been caused by unilateral attempts of Chinese side to alter the status quo and in violation of the bilateral agreements. It was therefore necessary that the Chinese side take appropriate steps in the remaining areas so as to restore peace and tranquillity along the LAC in the Western Sector. This would also be in accord with the guidance provided by the two Foreign Ministers in their recent meeting in Dushanbe where they had agreed that the two sides should resolve the remaining issues at the earliest. The Indian side emphasised such resolution of the remaining areas would facilitate progress in the bilateral relations. During the meeting, the Indian side therefore made constructive suggestions for resolving the remaining areas, but the Chinese side was not agreeable and also could not provide any forward-looking proposals. Click here to read…

Tsai says Taiwan will not bow to Chinese pressure

President Tsai Ing-wen said Oct 10 that Taiwan won’t bow to pressure to give up its sovereignty, a day after Chinese President Xi Jinping vowed to bring the democratic island under Beijing’s control. “The more we achieve, the greater the pressure we face from China,” Tsai said during a national holiday speech to an audience of thousands outside the presidential building in Taipei. “We hope for an easing of cross-strait relations and will not act rashly, but there should be absolutely no illusions that the Taiwanese people will bow to pressure.” Taiwan faces a growing threat from China, but the world is waking up to the island’s importance as a democratic partner on the front lines of Beijing’s authoritarian expansion, Tsai said. She pointed to the recent and ongoing dismantling of democracy and civil liberties in Hong Kong as proof of Beijing’s threat to free societies. “I want to remind all my fellow citizens that we do not have the privilege of letting down our guard,” Tsai said. Later in the day, China’s Taiwan Affairs Office denounced Tsai’s speech, saying it incited confrontation and distorted facts, according to Reuters. Click here to read…

French senators meet with Taiwan’s Tsai at tense time

A group of French senators visiting Taiwan as part of a regular parliamentary exchange met with President Tsai Ing-wen on Oct 07 morning during a trip that comes in a particularly tense moment between Taiwan and China.Tsai spoke briefly before their meeting, giving France’s former defense minister, Alain Richard, the Order of Propitious Clouds, a distinction recognizing “his contributions to Taiwan-France relations.” She thanked him for leading an effort in the French Senate to pass a resolution in support of allowing Taiwan to participate in international organizations like the World Health Organization.China tried to discourage the French senators’ visit, with its embassy in France saying ahead of the trip that it would undermine China-France relations.Richard along with the three other senators also plan to meet Taiwanese economic and health officials and the Mainland Affairs Council on their five-day visit. This is the third visit to Taiwan for Richard, a former French defense minister, who previously visited Taiwan in 2015 and 2018. He heads the Taiwan Friendship group in the French Senate.The senators’ trip is a recurrent one that French lawmakers make as part of the Taiwan Friendship group; especially as new senators are elected every three years. Click here to read…

U.S. does not deny involvement in training Taiwan troops

The U.S. has not denied reports that it has sent troops to train military forces in Taiwan for at least a year, working to bolster the island’s ability to defend itself amid growing concerns of an armed conflict with China.Marines and a special operations unit have been training ground and maritime forces there on rotational deployments, the Wall Street Journal reported Oct 07. A Pentagon spokesman did not deny the training of Taiwan’s forces when asked, declining to comment on “specific operations, engagements or training.”China “has stepped up efforts to intimidate and pressure Taiwan, including increasing military activities conducted in the vicinity of Taiwan … which we believe are destabilizing and increase the risk of miscalculation,” the spokesman said. This move toward signalling U.S. involvement in Taiwan’s defense seems intended to curb recent provocations by China that have ratcheted up tensions around the Taiwan Strait. “My understanding is that the United States has been doing training like this for many years. We just don’t publicize it,” a former senior U.S. military official said. The Pentagon had dismissed similar reports last November of planned exercises involving U.S. Marines in southern Taiwan as “inaccurate.” Click here to read…

Malaysia summons Chinese ambassador over South China Sea vessels

The Malaysian government summoned China’s ambassador to formally protest alleged encroachment into its South China Sea waters by Chinese vessels, the Ministry of Foreign Affairs announced on Oct 05. Despite overt displays of warm ties earlier this year, Putrajaya registered its strong objection in a meeting with Ambassador Ouyang Yujing on Oct 04. The ministry said it had detected the presence of Chinese vessels, including a survey ship, in Malaysia’s exclusive economic zone off the coasts of its Bornean states. “Malaysia’s consistent position and actions are based on international law, in defense of our sovereignty and sovereign rights in our waters,” the ministry said in a statement. “In determining Malaysia’s position and course of action with regard to the South China Sea issue, which is complex and involves inter-state relations, Malaysia’s national interests will remain of paramount importance.” The flare-up in the dispute takes the new Malaysian government of Prime Minister Ismail Sabri Yaakob into difficult territory. While standing by its maritime rights, Kuala Lumpur has sought positive relations with China of late, including in the fight against COVID-19. Click here to read…

CIA creates working group on China as threats keep rising

The CIA said Oct 07 it will create a top-level working group on China as part of a broad U.S. government effort focused on countering Beijing’s influence.The group will become one of fewer than a dozen mission centres operated by the CIA, with weekly director-level meetings intended to drive the agency’s strategy toward China. China is an especially difficult challenge for the U.S. intelligence community given the insularity of its Communist Party leadership, its large military and security services and its development in advanced technologies that can counter spying. In a statement Oct 07, CIA Director William Burns called the Chinese government “the most important geopolitical threat we face in the 21st century.” “Throughout our history, CIA has stepped up to meet whatever challenges come our way,” Burns said. “And now facing our toughest geopolitical test in a new era of great power rivalry, CIA will be at the forefront of this effort.”As part of agency reorganization, the CIA will fold mission centres on Iran and North Korea into existing groups covering each country’s respective region. Both country-specific mission centres were created during President Donald Trump’s administration. Click here to read…

Biden and Xi explore ‘recoupling’ as advisers meet in Zurich

U.S. President Joe Biden’s national security adviser Jake Sullivan will travel to Switzerland to meet China’s top diplomat Yang Jiechi, the White House announced Oct 05, a sign that the two sides are seeking to lower the temperature after years of rising tensions. Bloomberg reported Oct 05 that Chinese diplomats have informed their G-20 counterparts that Xi does not currently plan to attend the summit in Italy. But a potential trip to an African forum could provide an opening for a Biden-Xi Rome summit. China is preparing to hold the Forum on China-Africa Cooperation (FOCAC) in Senegal in the first week of November. Eight months into his presidency, and after a bruising exit from Afghanistan, Biden is seeking a new phase of “relentless diplomacy.” His trade representative Katherine Tai told the Washington think tank Center for Strategic and International Studies on Oct 05 that the administration will be looking for a “recoupling” with China rather than decoupling. At the Zurich meeting, the two sides “will follow up on President Biden’s Sept. 9 call with President Xi as we continue to seek to responsibly manage the competition between the United States and the People’s Republic of China,” the White House statement said. Click here to read…

As US returns to the UN Human Rights Council, it confronts an increasingly forceful China

The latest US effort to challenge China’s expanding global footprint will take place on Oct 06 when Washington is expected to return to the United Nations Human Rights Council at a time when Beijing is working overtime to blunt criticism over its crackdown in Xinjiang and revamp the UN in line with its world view. But Washington faces risks, added Limon, a former British diplomat at the council from 2006 to 2012. “China is now the biggest player in town, has exploited the vacuum, upped their game and introduced a lot of initiatives to try and give a Chinese flavour to things.” The US left the council in 2018 under former president Donald Trump, a vocal sceptic of multilateral organisations. The Biden administration has prioritised returning, arguing that democracies must confront authoritarian states at the UN and elsewhere in concert with partners and allies. In theory, nations on the 47-seat Geneva-based council are elected. In reality, seats are often determined in advance within geographical blocs, frequently involving “back room deals, closed slates, and secret ballots”, according to a Brookings Institution report. The 18 seats up for election on Wednesday are uncontested, and Italy has relinquished its seat for the US. Click here to read…

Taliban calls for improved ‘diplomatic relations’ with US after ‘candid talks’ in Doha, welcomes humanitarian aid

The Taliban has said that the US agreed to provide humanitarian assistance to Afghanistan, insisting it should come with no strings attached after talks in Qatar. Washington called the meeting “candid” and “professional. In a statement released in the wake of two-day talks with US officials in Doha, Qatar, the Taliban said that the US promised to “give humanitarian assistance to Afghans” and “provide facilities for other humanitarian organizations to deliver aid.” The US delegation and representatives of the Taliban discussed “all relevant issues” during the meeting that took place over the weekend, the group said, without elaborating further. Despite US President Joe Biden’s administration refusal to recognize the Taliban as Afghanistan’s legitimate government, the group said that it was ready to mend relations with Washington. The US State Department struck a similarly optimistic tone, describing the talks as “candid and professional,” but added that the US was not taking the Taliban at its word. In a statement that was short on detail, State Department spokesman Ned Price said that the “security and terrorism concerns,” the evacuation of stranded American citizens and allies, as well as women’s rights, dominated the agenda of the meeting. Click here to read…

U.S. F-35B jets used in test for MSDF’s future aircraft carrier

U.S. F-35B fighter jets took off from and landed on the Maritime Self-Defense Force’s destroyer Izumo in a test off the Shikoku region on Oct. 3, the Defense Ministry said Oct. 5.The ministry plans to convert the helicopter-carrying destroyer into an aircraft carrier, and the test was designed to check the heat-resistance of the renovated deck. The F-35B is a stealth fighter capable of short takeoffs and vertical landings. The ministry plans to deploy the aircraft to Air Self-Defense Force’s Nyutabaru Air Base in Miyazaki Prefecture. Defense Minister Nobuo Kishi revealed the test at an Oct. 5 news conference after the Cabinet meeting. It was the first time for F-35Bs to use an MSDF naval vessel for takeoffs and landings. The F-35Bs used in the test belong to the U.S. Marine Corps. “This will improve interoperability between Japan and the United States, leading to strengthened deterrence and responding abilities of the Japan-U.S. alliance,” Kishi said. At the end of 2018, the defense program outline and midterm defense program included plans to convert Izumo-type destroyers into virtual aircraft carriers to strengthen air defense on Japan’s Pacific side, where there are fewer airfields. Click here to read…

Muqtada al-Sadr set to win Iraq vote, former PM al-Maliki second

Shia Muslim religious leader Muqtada al-Sadr’s party is set to be the biggest winner in Iraq’s parliamentary election, increasing the number of seats he holds, according to initial results, officials and a spokesperson for the Sadrist Movement. Former Prime Minister Nouri al-Maliki looked set to have the next largest win among Shia parties, the initial results showed on Oct 11. Iraq’s Shia groups have dominated governments and government formation since the US-led invasion of 2003 that toppled Sunni leader Saddam Hussein and catapulted the Shia majority and the Kurds to power. Oct 10’s election was held several months early, in response to mass protests in 2019 that toppled a government and showed widespread anger against political leaders whom many Iraqis said have enriched themselves at the expense of the country. But a record low turnout of 41 percent suggested that an election billed as an opportunity to wrest control from the ruling elite would do little to dislodge sectarian religious parties in power since 2003. Click here to read…

‘Looming disaster’: Oil ship leak threatens millions of Yemenis

A team of researchers from Stanford University, Harvard University, and UC Berkeley released the findings of their models on the impact of an oil spill from the FSO Safer in a paper published on Oct 11 in the Nature Sustainability journal. The researchers stressed urgent action was required to stop a “looming disaster” that would affect an estimated nine million people who would be without drinking water, and shut down Yemen’s main ports, thereby worsening the country’s humanitarian crisis. About 68 percent of humanitarian aid to Yemen enters through the ports of Hodeidah and Salif, which lie near to the stricken Safer, and more than half of Yemen’s population depends on humanitarian aid. “The spill and its potentially disastrous impacts remain entirely preventable through offloading the oil,” the study said. FSO Safer has not been maintained since the start of the conflict in Yemen in 2015, and negotiations between the United Nations and Yemen’s Houthi rebels, who control the ship and the area of Yemen’s coast nearest to it, remain at a standstill.However, it also contains 1.1 million barrels of oil, an amount that is four times the amount spilled in the world’s most environmentally damaging oil spill – the 1989 Exxon Valdez disaster. Click here to read…

ASEAN ministers weigh excluding Myanmar junta leader from summit: Envoy

Southeast Asian countries are discussing not inviting the head of Myanmar’s junta to a summit this month, due to the military’s failure to make progress on an agreed roadmap to restore peace in the strife-torn country, a regional envoy said onOct 06. The junta’s inaction on a five-point plan it agreed in April with the Association of Southeast Asian Nations (ASEAN) was “tantamount to backtracking”, Erywan Yusof, the bloc’s special envoy to Myanmar, told a news conference. Erywan, the second foreign minister of ASEAN chair Brunei, said the junta had not directly responded to his requests to meet detained former leader Aung San Suu Kyi, whose government was overthrown in a Feb 1 coup led by military chief Min Aung Hlaing. Myanmar has been in turmoil since the coup, which ended a decade of tentative democracy and prompted outrage at home and abroad at the return of military rule. Click here to read…

Germany: SPD, Greens and FDP resume coalition talks after tight election

Germany’s election-winning Social Democratic Party (SPD) kicked off a second round of “in-depth exploratory coalition talks” with the third-place Greens and fourth-place Free Democratic Party (FDP) in Berlin on Oct 11 morning. The three parties previously met Oct 07 and scheduled 10 hours of negotiations for Oct 11. Four more hours of talks have been scheduled for Oct 12 morning, before SPD chancellor candidate Olaf Scholz departs for a meeting of G20 finance ministers in Washington, DC. More talks between the leaders of the so-called “traffic light” coalition parties — a reference to their party colours — are set to take place on Oct 15 after Scholz returns to Berlin from the United States. No statements on the progress of the talks were expected on Oct 11, with all parties underscoring the need for discretion. Party representatives said they hope to present initial results toward the end of the week. Thus far, none of the negotiators have given details as to the state of talks, only that there are differences of opinion in a number of areas, the two most fundamental being finance and the environment. Click here to read…

Germany, France and Russia may hold summit on Ukraine conflict

German Chancellor Angela Merkel and French President Emmanuel Macron spoke with Ukrainian President Volodymyr Zelenskyy and Russian President Vladimir Putin by phone on Oct 11 regarding a solution to the ongoing conflict in eastern Ukraine. Zelenskyy’s office said the four countries may soon meet for a summit on the conflict, in what is known as the Normandy format. The German and French governments have previously mediated between Russia and Ukraine as part of this diplomatic arrangement. The Kremlin also called for a summit on the conflict but did not mention whether Ukrainian officials would take part in the meetings. The Russian government said European leaders have asked their respective foreign ministers to “intensify their contacts” and work on the “difficult” situation in Ukraine. A concrete date for the meeting has not yet been determined, though Merkel spokesperson Steffen Seibert did confirm plans for the gathering. Merkel visited Ukraine and Russia in August and expressed hope that peace negotiations between Ukraine and pro-Russia separatists would continue after she left office. Click here to read…

Medical

China PCR test orders soared before first confirmed COVID case

Purchases of PCR tests in China’s Hubei Province surged months before the first official reports of a novel coronavirus case there according to a report by Australia-based Cybersecurity Company Internet 2.0. About 67.4 million yuan ($10.5 million at current rates) was spent on PCR tests in Hubei during 2019, nearly double the 2018 total, with the upswing starting in May, according to the report. Internet 2.0 collected and analyzed data from a website that aggregates information on public procurement bids in China. The analysis team consists of former officials from intelligence agencies in the U.S., the U.K., Australia, and other countries. The report casts further doubt on China’s official line about the origins of the virus, a topic that has fuelled tensions between Beijing and Washington. China’s foreign ministry has disputed the report’s findings. The report alleges the unusual uptick likely signals awareness of a new disease spreading in and around Wuhan, the capital of Hubei Province.Orders doubled from universities, jumped fivefold from the Chinese Center for Disease Control and Prevention and surged tenfold from animal testing bureaus. Purchases from hospitals declined by more than 10%. Click here to read…

Over 50 million people suffered from major depressive disorders in 2020 due to Covid-19 pandemic, new global study estimates

The coronavirus pandemic added to the burden of depressive and anxiety disorders in over 200 countries last year, a new study shows, saying the impact of Covid-19 has increased the number of depressed people by nearly a third. While “mental disorders were leading causes of the global health-related burden” even before the pandemic, the spread of the dreaded virus and subsequent restrictive measures to fight the disease have considerably added to the load, a study published in The Lancet medical journal on Oct 08 suggests. An extra 53.2 million cases — an increase of 27.6% — of major depressive disorders and 76.2 million cases of anxiety disorders have added to the number of people suffering from mental health issues, according to researchers. To measure the pandemic’s impact on any given area, the team analyzed daily SARS-CoV-2 infection rates, restrictions on human mobility, and daily excess mortality rates. It turned out that the locations hit hardest based on the first two criteria corresponded to those with a documented spike in depressive and anxiety disorders, with the study concluding that increasing infections and decreasing mobility are “significantly associated” with worsening mental health. Click here to read…

WHO backs Covid-19 booster jab for people with weak immune systems

The World Health Organization has recommended booster shots for people with weak immune systems as they are less likely to respond adequately to the standard course of vaccinations. On Oct 11, the World Health Organization’s (WHO) vaccine advisory group said that people with compromised immune systems should be given a Covid-19 booster shot. “Moderately and severely immune-compromised persons should be offered an additional dose,” the WHO’s Strategic Advisory Group of Experts on Immunization said. “These individuals are less likely to respond adequately to vaccination following a standard primary vaccine series and are at high risk of severe Covid-19,” they added. The WHO has previously warned developed nations against administering booster shots, claiming that they should be focusing on sharing their vaccines with poorer nations around the world to ensure a larger proportion of the global population is inoculated. Last week, the European Medicines Agency (EMA) recommended that people with a weak immune system receive a third dose of either the Pfizer or Moderna Covid-19 vaccine. Click here to read…

China: Daily Scan, October 4, 2021

Senior Chinese political advisor under probe: Xinhuanet
October 2, 2021

Fu Zhenghua, deputy head of the Committee on Social and Legal Affairs of the National Committee of the Chinese People’s Political Consultative Conference, is being investigated for suspected severe violations of discipline and law. The investigation is being conducted by the Communist Party of China Central Commission for Discipline Inspection and the National Supervisory Commission, according to a statement released on Saturday. Click here to read…

China takes further action to revamp entertainment industry: Xinhuanet
October 1, 2021

Ministry of Culture and Tourism has issued a circular to strengthen regulation on entertainment companies and entertainers, as part of China’s effort to promote the healthy development of the industry. The circular stipulates that performers who have violated social norms or even laws and have seriously disrupted public order should not be enlisted in any performance activities. Click here to read…

All Tibet’s towns under meteorological observation: Xinhuanet
October 3, 2021

A total of 1,009 weather stations of various types have been built in southwest China’s Tibet Autonomous Region, leading to all the region’s 695 towns coming under meteorological observation. Meanwhile, the region has also established a disaster prevention, mitigation and early warning system, providing forecast for all its towns, according to the regional meteorological administration. Click here to read…

Hong Kong’s security bureau stresses criminal liability after anti-China organization decides to disband: Xinhuanet
October 3, 2021

The Security Bureau of the Hong Kong Special Administrative Region (HKSAR) government said on Sunday that an organization and its members shall remain criminally liable for the offenses they have committed, notwithstanding its disbandment or the resignation of its members. A security bureau spokesman made the remarks in response to media enquiries concerning the decision of the Hong Kong Confederation of Trade Unions, an anti-China organization, to disband on Sunday. Click here to read…

New electronic attack jet debuts in Zhuhai Airshow: China Military
October 1, 2021

China is showing off some of its most advanced weapons and fighter jets. The country’s largest air show is underway in Zhuhai. Among the aircraft on display is the J-16D, an electronic warfare fighter that’s designed to jam radars and erode anti-aircraft systems. China is only the second country in the world to develop this type of plane, after the United States. Huang Fei takes a closer look. Click here to read…

China sees booming development in green finance: People’s Daily
October 3, 2021

China has seen a big boom in developing green finance, which plays a vital role in promoting the country’s green economic transformation, data from the central bank showed.The balance of China’s green loans in local and foreign currencies surged 26.5 percent year on year to stand at 14 trillion yuan (about 2.16 trillion U.S. dollars) by the end of the second quarter of 2021, according to the People’s Bank of China. Click here to read…

PLA expands drills near Taiwan island only one day after setting new record: Global Times
October 3, 2021

Only one day after the Chinese People’s Liberation Army (PLA) dispatched 38 warplanes near the island of Taiwan for exercise on National Day, breaking the previous record set in June, it again refreshed this record on Saturday, sending a total of 39 aircraft of different types near the island during both day and night, according to defense authorities on the island. Click here to read…

PLA introduces JH-7A2 fighter bomber at Airshow China; updated version carries extra surface attack weapons: Global Times
October 2, 2021

The Chinese People’s Liberation Army (PLA) Air Force for the first time revealed details on the latest variant of the JH-7 fighter bomber, designated the JH-7A2, at the ongoing Airshow China 2021 in Zhuhai, South China’s Guangdong Province. Displayed at the outdoor exhibition area of the air show, the aircraft that looks nearly identical to the JH-7 is labeled as the JH-7A2, the Global Times found. Click here to read…

Corruption in China: ex-boss of PLA weapons giant to face trial over bribes and favours: South China Morning Post

October 1, 2021

The former head of one of China’s largest weapon manufacturers has been expelled from the Communist Party and will face corruption charges, the country’s top anti-graft body has announced, barely eight months after his predecessor was indicted on similar grounds.

Yin Jiaxu, Communist Party chief and chairman of state-owned China North Industries Group Corporation (Norinco) from 2013 until retiring in 2018, had been placed under an internal party probe in April over undisclosed wrongdoing. Click here to read…

Chinese firms warned to strengthen foreign exchange safeguards: South China Morning Post
October 2, 2021

The Chinese authorities have urged companies to better manage their foreign exchange exposure and adopt hedging tools amid concerns that cross-border capital flows and the yuan’s exchange rate could be tested as Washington prepares for monetary tightening.

In a report released on Thursday, the State Administration of Foreign Exchange (Safe) urged them to carry out a thorough analysis of business operations and evaluate forex risk exposure before making “scientific” and “effective” hedging plans. Click here to read…

China’s coal firms told to exceed quotas: Taipei Times
October 2, 2021

China’s leadership has told the country’s state-owned mining firms to produce coal at full capacity for the rest of the year even if they exceed annual quotas as the country struggles with a deepening power crisis. The directive, along with other measures to secure energy supplies for this winter at all costs, was emphasized during emergency meetings this week in Beijing, people familiar with the matter said. Boosting domestic thermal coal production is critical, the sources said, asking not to be named as the discussion contents are not public. Click here to read…

Former PetroChina executive under probe for suspected graft: Reuters
October 4, 2021

China’s anti-corruption watchdog is investigating a former senior executive of top state energy giant PetroChina for suspected “serious disciplinary violations”, the Central Commission for Discipline Inspection (CCDI) said on Sunday. Ling Xiao, who resigned last month from his position as a vice president of PetroChina, turned himself in and is now under CCDI’s probe, the commission said. Click here to read…

Global Developments and Analysis: Weekly Monitor, 20 September – 26 September 2021

Economic
China electricity shortage: industrial production grinds to halt and traffic lights fail amid rationing

China is in the midst of a power supply crisis that has turned critical in recent days – threatening entire power grids and prompting analysts to slash economic growth forecasts for the year. In the past month, 16 out of 31 provincial jurisdictions – from industrial powerhouses in the south such as Guangdong to the rust belt in the northeast – have rolle d out electricity-rationing measures, triggering widespread alarm among much of the population and plunging the nation’s industrial sector into chaos. On Sept 23, some traffic lights in Shenyang, the capital of the Liaoning province, suddenly stopped working, resulting in severe traffic jams. The local government said during a meeting on Sept 26 that they had to ration power “to avoid the collapse of the entire grid”, according to an article in the state-run People’s Daily. Analysts have pointed to both a shortage of coal and Beijing’s push to meet emission-reduction targets, and they warn that further disruptions risk aggravating inflation while pummeling production. Meanwhile, some analysts are suggesting that the power rationing measures could help reduce demand for upstream raw materials that have been in short supply in China. Click here to read

U.S. grants licenses for more aid flow to Afghanistan despite sanctions

The United States on Sept 24 further paved the way for aid to flow to Afghanistan despite U.S. sanctions on the Taliban, who seized control of the country last month, issuing general licenses amid concern that Washington’s punitive measures could compound an unfolding humanitarian crisis. The U.S. Treasury Department said it issued two general licenses, one allowing the U.S. government, NGOs and certain international organizations, including the United Nations, to engage in transactions with the Taliban or Haqqani Network – both under sanctions – that are necessary to provide humanitarian assistance. The second license authorizes certain transactions related to the export and re-export of food, medicine and other items. “Treasury is committed to facilitating the flow of humanitarian assistance to the people of Afghanistan and other activities that support their basic human needs,” Andrea Gacki, director of the U.S. Treasury’s Office of Foreign Assets Control, said in the statement. She added that Washington will continue to work with financial institutions, NGOs and international organizations to ease the flow of agricultural goods, medicine and other resources while upholding sanctions on the Taliban, Haqqani Network and others. Click here to read

China’s rare-earth giants forming ‘super group’ in merger for high-quality devt, deal with price abnormalities

China’s rare-earth giants are mulling a restructuring, and a super group in the medium-heavy rare-earth sector is expected to be born soon. Analysts said the move will help enhance market concentration to better guide industry development and contribute to improving competitive edge. China Minerals Rare Earth Co Ltd said on Sept 23 that its parent China Minerals Corp, Aluminum Corp of China and the government of Ganzhou, East China’s Jiangxi Province, are planning a strategic restructuring of rare earth assets. “The relevant plan has not yet been finalized, and needs approval from relevant authorities,” said a filing to the Shenzhen Stock Exchange. The two groups are among the “Big Six” state-owned enterprises that dominate the industry in China, while Ganzhou is a major rare-earth resource hub where another Big Six company South China Rare Earth Group Co is based. The three parties own mining output quota for medium and heavy rare earth metals of 9,870 tons in total, accounting for 85.9 percent of the first batch of quotas set for 2021. This means that their restructuring will establish a super group focused on medium-heavy rare-earth products, according to experts. Click here to read

China blasts Taiwan’s bid to join CPTPP trade pact

China on Sept 23 said it “strongly opposes” Taiwan’s bid to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), a day after Taipei applied for membership in the 11-country trade bloc. “There is only one China in this world, and Taiwan cannot be separated from China. We strongly oppose Taiwan’s participation in any official agreement or organization. China’s stance on this is very clear,” Zhao Lijian, spokesperson for China’s Ministry of Foreign Affairs, told reporters. Taiwan submitted its application to join the Japan-led trade bloc on Sept 22, less than a week after China announced its own surprise bid for membership. Earlier on Sept 23, the island’s top trade representative warned that if China were to be admitted to the grouping first, Beijing would attempt to block Taiwan from joining. “China has been obstructing Taiwan’s international presence. If China is admitted into CPTPP ahead of us, it will definitely risk Taiwan’s entry to the trade bloc”, top Taiwan trade negotiator John Deng said. “Taiwan’s application is mainly for our own interests, our companies’ interests and for our own long-term economic planning purposes, and it has nothing to do with other countries’ goals [or with] China’s comments on our application,” Deng said. Click here to read

EU split on Taiwan question as it fears fraying China ties

A China backlash appears to be taking shape in the European Union, where this month the foreign affairs committee of parliament issued a report calling on the 27-nation bloc to begin preparing a bilateral investment agreement (BIA) with Taiwan. The move came after the recent European Parliament session passed an amendment that calls for changing a trade office’s name on the island to the European Union Office in Taiwan, a step that indicates the EU feels the need to “move away from [its] solely economic” relationship with Taiwan, according to the BIA report’s rapporteur. Charlie Weimers, a Swedish politician and member of the European Parliament and the report’s rapporteur, said that by the end of this year preparations have to be made for an impact assessment, public consultations and a scoping exercise so the EU and Taiwan can start negotiations and “deepen our economic ties.” In 2020, the EU was Taiwan’s largest foreign investor, accounting for 38.8% of the island’s total. Yet it accounted for only 2% of Taiwan’s foreign direct investment. The EU is Taiwan’s 5th largest trading partner. The EU first broached the idea of a BIA with Taiwan back in 2015 but later dropped the plan. Click here to read

Sri Lanka’s vital EU trade privileges hang in the balance

When a special five-member European Union delegation arrives in Colombo on Sept 27, its review of a vital trade concession could lead to substantial export losses for Sri Lanka, which has already suffered a steep drop in foreign reserves. The European delegation will confer with stakeholders to learn more about something else many believe to again be in decline in the South Asian island nation: human rights. “They will meet with all stakeholders to obtain information, and verify the commitment made by the government in relation to matters pertaining to human rights, international labor conventions and the environment,” Denis Chaibi, the EU ambassador to Sri Lanka, told Nikkei Asia. The delegation will scrutinize Sri Lanka’s adherence to its commitments on human rights, labor laws and environmental protection, as well as enforcement of the Prevention of Terrorism Act. The PTA legislation to counter terrorism and separatism was enacted in 1979 but remains in force and is regarded by many as a political weapon to stifle dissent and debate. The investigation will determine whether the European trading bloc continues to provide a Generalized System of Preferences Plus (GSP+) concession on imports that has been highly favorable to Sri Lanka. Click here to read

Lebanon’s inflation rate is worse than Zimbabwe’s and Venezuela’s

Lebanon’s annual rate of inflation has risen to the highest of all countries tracked by Bloomberg, surpassing Zimbabwe and Venezuela, as the financial meltdown in the Middle East nation worsens. The consumer price index rose 137.8% from a year earlier in August, compared with 123.4% in July, according to the Lebanon Central Administration of Statistics. Consumer prices rose 10.25% from a month earlier while food prices rose 20.82%. Lebanon’s inflation has skyrocketed in the past two years as the country’s financial and economic crisis spirals out of control, with politicians doing very little to mitigate its impact. The currency has lost nearly 90% of its value and plunged three quarters of residents into poverty. Authorities have in recent months started reducing subsidies, as most items are now priced at the black-market exchange rate. The central bank is running out of cash and has repeatedly warned the government about continuing subsidies. After nearly 13 months of paralysis, billionaire and former premier Najib Mikati formed a new government that seeks to resume stalled bailout talks with the International Monetary Fund and creditors to restructure the debt. Lebanon defaulted on $30 billion of Eurobonds last year. Click here to read

Chinese official calls for ‘high-level’ security reassurance for CPEC

A senior Chinese official called for “high-level” security guarantees for further high-quality development of the China-Pakistan Economic Corridor (CPEC), during a bilateral meeting on the development of the major project under the Belt and Road Initiative (BRI). At the 10th Joint Cooperation Committee (JCC) meeting of the China-Pakistan Economic Corridor (CPEC), which was held via video link on Sept 23, Ning Jizhe, deputy head of the National Development and Reform Commission, China’s top economic planner, said that high-quality operation under high-level security guarantees are needed to turn the corridor into a demonstration project for the high-quality development of the BRI. The meeting, which was delayed partly by the Dasu terror attack, conveyed some very important information about the CPEC’s future development pattern, including the new practical move on joint cooperation in information technology, said Liu Zongyi, secretary-general of the Research Center for China-South Asia Cooperation at the Shanghai Institutes for International Studies. As part of the effort to help Pakistan tackle its domestic security situation, it may include sectors such as database development, Liu told the Global Times on Thursday. “If the CPEC is to advance smoothly, it is necessary to ensure that the domestic security situation in Pakistan is stable,” said Liu. Click here to read

UAE, India look to double trade to at least $100B over five years

The United Arab Emirates and India are seeking to more than double non-oil trade to at least $100 billion over five years as the Gulf Arab state works to deepen ties with fast-growing economies beyond the Middle East. The two governments are set to start talks on an economic pact aimed at boosting business, investment and jobs, UAE Minister of State for Foreign Trade Thani Al Zeyoudi said on a visit to New Delhi for talks with Indian Commerce Minister Piyush Goyal. “Both sides have drawn up a very aggressive and ambitious time-frame and aim to conclude negotiations by December 2021,” Goyal said at a press conference on Sept 22. “We hope to sign formal agreements in early 2022.” The UAE is trying to burnish its credentials as a global hub for business and finance in the face of growing regional competition from Saudi Arabia. Earlier this month, the government said it plans to work on comprehensive economic agreements with countries showing high potential for growth, mainly in Asia and Africa. Last week, it said it plans to invest up to $14 billion in Britain. India is seeking better trade links to revive its economy after a deadly second wave of the pandemic this year. Click here to read

Strategic
Joint Statement from Quad Leaders: September 24, 2021

We, the leaders of Australia, India, Japan, and the United States, convened today in person as “the Quad” for the first time. On this historic occasion we recommit to our partnership, and to a region that is a bedrock of our shared security and prosperity—a free and open Indo-Pacific, which is also inclusive and resilient. Just six months have passed since our last meeting. Since March, the COVID-19 pandemic has caused continued global suffering; the climate crisis has accelerated; and regional security has become ever-more complex, testing all of our countries individually and together. Our cooperation, however, remains unflinching. The occasion of the Quad summit is an opportunity to refocus ourselves and the world on the Indo-Pacific and on our vision for what we hope to achieve. Together, we recommit to promoting the free, open, rules-based order, rooted in international law and undaunted by coercion, to bolster security and prosperity in the Indo-Pacific and beyond. We stand for the rule of law, freedom of navigation and overflight, peaceful resolution of disputes, democratic values, and territorial integrity of states. We commit to work together and with a range of partners. Click here to read

Kissinger’s ‘secret’ China trip recalled as Wall Street veteran meets key Chinese leaders, visits Xinjiang

As official US-China exchanges slowed amid rising tensions, a Wall Street veteran visited Beijing for talks with a top leader – acting as a powerful backchannel for the two nations, the Post has learned. John Thornton, executive chairman of Barrick Gold Corp and a former Goldman Sachs president, met Chinese Vice-Premier Han Zheng in Beijing in late August, according to a person familiar with the details of the meeting. The key issues discussed included climate change, Xinjiang and conditions for resuming bilateral talks. Thornton, also co-chair of the China-US Financial Roundtable, acted as an unofficial channel for US-China exchanges during his six-week trip, which included a three-week stay in Shanghai before his meetings with senior Chinese officials in the capital in late August. This was followed by a week-long trip to Xinjiang, the far-western region where the US accuses China of having committed genocide of the ethnic minority Uygur population. Thornton was given unprecedented access at a time when China is still largely closed to most foreigners since the Covid-19 pandemic first broke out. “Thornton’s trip was similar in nature to [Henry] Kissinger’s secret trip to China [in 1971],” said the person familiar with the matter, requesting anonymity. Click here to read

Russia’s Lavrov says Taliban recognition ‘not on the table’

Russian Foreign Minister Sergei Lavrov said on Sept 25 that international recognition of the Taliban was not currently under consideration. Lavrov was speaking on the sidelines of the annual gathering of world leaders in New York for the U.N. General Assembly. His comments come after the Taliban nominated a U.N. envoy, setting up a showdown over Afghanistan’s seat at the world body. “The question of international recognition of the Taliban at the present juncture is not on the table,” Lavrov told a news conference. Taliban Foreign Minister Amir Khan Muttaqi on Sept 26 nominated the Islamist group’s Doha-based spokesman Suhail Shaheen as Afghanistan’s U.N. ambassador. The Taliban seized power in Afghanistan last month. Ghulam Isaczai, the current U.N. ambassador who represents the Afghan government ousted by the Taliban, has also asked to renew his U.N. accreditation. Russia is a member of a nine-member U.N credentials committee – along with China and the United States – which will deal with the competing claims on Afghanistan’s U.N. seat later this year. U.N. Secretary-General Antonio Guterres has said that the Taliban’s desire for international recognition is the only leverage other countries have to press for inclusive government and respect for rights, particularly for women, in Afghanistan. Click here to read

No crime and no punishment as Meng Wanzhou admits wrongdoing without guilt

US prosecutors depict the deal that allowed Meng Wanzhou to leave Canada and fly home to China as a victory – but if so, it is an odd one after so much thwarted effort to secure her for trial. Ultimately, the Huawei Technologies Co executive has been convicted of no crime, will serve no sentence and pay no penalty. Instead, Meng admits wrongdoing without admitting guilt. “In entering into the deferred prosecution agreement, Meng has taken responsibility for her principal role in perpetrating a scheme to defraud a global financial institution,” said acting US attorney Nicole Boeckmann in a press release. A deferred prosecution agreement typically includes both an admission of wrongdoing, and a requirement for some sort of cooperation from the accused, in return for the dropping of charges at a future date. Meng’s deal includes admissions that she lied to HSBC, but that is as far as her obligations go – there is no cooperation requirement. The deal is a scant five pages long. The main requirement is that Meng agree to a statement of facts (a further four pages long) that describes a meeting she held in Hong Kong in 2013 with an executive for “Financial Institution 1”, identified as HSBC in Meng’s now-dropped Canadian extradition case. Click here to read

‘Finally, I am home’: Huawei’s Meng Wanzhou lands in China to hero’s welcome

Huawei Technologies’ executive Meng Wanzhou landed in China on Sept 25 evening, after nearly three years under house arrest in Canada, to a hero’s welcome cheered by supporters in a homecoming state media portrayed as a sign of a strong country and a diplomatic coup for Beijing. State broadcaster CCTV showed a teary-eyed Meng, wearing a red wraparound dress, receiving a bouquet of roses and being greeted by an assembled crowd waving mini national flags on the tarmac of the international airport of Shenzhen, Huawei’s base, after her flight landed at 9.50pm. Meng waved to the 100-strong crowd and acknowledged the shouts of “Welcome home”. She then gave a brief speech, addressing Zhang Xin, deputy provincial governor of Guangdong, and Shenzhen mayor Qin Weizhong, and beginning by saying: “Finally, I am home.” She mentioned President Xi Jinping twice in her speech on the airport tarmac, referring to him as Chairman Xi. “Chairman Xi cares about the safety of every Chinese citizen, and he also has my situation in his heart, I am deeply touched by this,” she said. The reception for 49-year-old Meng, daughter of Huawei founder Ren Zhengfei, was unusually grand even by Chinese standards. Red carpets were rolled out on the tarmac, and state television, including CCTV, provided live coverage for hours. Click here to read

From relentless war to relentless diplomacy, Biden declares new chapter

After two decades of war in Afghanistan, the U.S. is ready for a new chapter — one that will focus on intensive diplomacy and only turn to force as a last resort, President Joe Biden said at his debut address to the United Nations Sept 21. In line with his Aug. 16 speech after the Taliban takeover of Afghanistan, the president expressed his distaste for military arm-twisting to achieve American foreign policy goals, further narrowing down the conditions of the use of force to missions that are clear, achievable and have the “informed consent of the American people.” In his 33-minute speech, the president did not mention China by name once, as opposed to his predecessor Donald Trump who mentioned “China” or “Chinese” 12 times in 2020 and 14 times in 2019. Instead, the U.S. president made clear he does not want a new cold war with Beijing. “All of the major powers of the world have a duty, in my view, to carefully manage their relationships so we do not tip from responsible competition to conflict,” Biden said. ” We’ll stand up for our allies and our friends and oppose attempts by stronger countries to dominate weaker ones, whether through changes to territory by force, economic coercion, tactical exploitation, or disinformation.” But the U.S. is “not seeking a new cold war or a world divided into rigid blocs,” he emphasized. Click here to read

Taiwan axes symbols of authoritarian past in push to rebrand

Taiwan is undertaking a sweeping drive to remove all symbols of its authoritarian past in a bid to create a new global brand for the island. The latest move is a plan to pull down a towering bronze statue of Chiang Kai-shek — the generalissimo who ruled the Republic of China (Taiwan’s formal name) with an iron fist from 1949 to his death in 1975 — from an iconic central Taipei memorial hall dedicated to the former dictator. The step comes on the recommendation of the Transitional Justice Commission, which addresses crimes committed during the era of martial law, or “White Terror.” Since taking power in 2016, President Tsai Ing-wen and her ruling Democratic Progressive Party have ramped up efforts to distance themselves from the past. With Taiwan being squeezed out of formal diplomatic space by an assertive China, the DPP has set out to rebrand Taiwan’s international identity. Some moves may seem superficial, such as changing the name on its passport and Western consulates to emphasize the colloquial name of Taiwan and minimizing references to the ROC — the baggage-laden name of China before Chiang’s nationalist Kuomintang was forced to flee to the island from Mao Zedong’s Communists in 1949. Click here to read

China’s Xi warns of ‘grim’ Taiwan situation in letter to opposition

The situation in the Taiwan Strait is “complex and grim”, Chinese President Xi Jinping wrote in a congratulatory letter on Sept 26 to the newly elected leader of Taiwan’s main opposition party, who has pledged to renew talks with Beijing. Taiwan’s Kuomintang (KMT) elected as their leader on Sept 25 former New Taipei City mayor Eric Chu, who said he would rekindle stalled high-level contacts with China’s ruling Communist Party. In Xi’s letter, a copy of which was released by the KMT, he said both parties had had “good interactions” based on their joint opposition to Taiwan independence. “At present, the situation in the Taiwan Strait is complex and grim. All the sons and daughters of the Chinese nation must work together with one heart and go forward together,” wrote Xi, who is also head of the Communist Party. He expressed hope that both parties could cooperate on “seeking peace in the Taiwan Strait, seeking national reunification and seeking national revitalisation”. Chu, who badly lost the 2016 presidential election to current President Tsai Ing-wen, responded to Xi that people on both sides of the Taiwan Strait were “all the children of the Yellow Emperor” – in other words, all Han Chinese. Chu blamed Tsai’s Democratic Progressive Party (DPP) for tensions with Beijing after pursuing anti-China policies. Chu had met Xi in China in 2015. Click here to read

Attacks on Myanmar military spike following call for revolt

Clashes between the Myanmar military and a growing resistance movement called the People’s Defense Force have intensified following calls for open uprisings by the parallel government formed by ousted politicians and activists. The PDF consists of militias that have been formed throughout Myanmar since May by citizens opposing military rule. The National Unity Government, launched by Myanmar’s democratically elected leaders pushed out by the military in February, has limited direct control over these groups, which each make their own military decisions. About 120 to 300 militias under the PDF now exist across Myanmar, with a total estimated membership of 20,000 to 30,000 fighters, according to experts who have closely monitored the escalating attacks. The Chinland Defense Force, a leading resistance group within the PDF, and a local ethnic armed organization clashed with the military in Chin state on Sept 25, local news outlet Myanmar Now reported. No major skirmishes have broken out in Yangon. But six explosions occurred in Hlaingthaya township in Yangon where many garment factories locate on Sept. 14. Trained militants are believed to be waiting in the city for the right time to strike. Click here to read

Erdogan: Turkey intends to buy 2nd batch of Russian S-400s

President Tayyip Erdogan said Turkey still intended to buy a second batch of S-400 missile defense systems from Russia, a move that could deepen a rift with NATO ally Washington and trigger fresh U.S. sanctions. Washington says the S-400s pose a threat to its F-35 fighter jets and to NATO’s broader defense systems. Turkey says it was unable to procure air defense systems from any NATO ally on satisfactory terms. “In the future, nobody will be able to interfere in terms of what kind of defense systems we acquire, from which country at what level,” Erdogan said in an interview aired on Face the Nation with Margaret Brennan at CBS News on Sept 26. “Nobody can interfere with that. We are the only ones to make such decisions.” The United States imposed sanctions on Turkey’s Defense Industry Directorate, its chief Ismail Demir and three other employees in December following the country’s acquisition of a first batch of S-400s. Talks continued between Russia and Turkey about the delivery of a second batch, which Washington has repeatedly said would almost certainly trigger new sanctions. Erdogan will visit Russia next week to meet President Vladimir Putin to discuss issues including the violence in northwestern Syria. Click here to read

Iran’s nuclear program has crossed ‘all red lines,’ PM Bennett tells UNGA while hinting at Israel taking action

The Iranian nuclear program has reached a “watershed” moment and Israel’s tolerance on the matter is running out, PM Naftali Bennett has said, calling on the international community to recognize the gravity of the situation. Speaking to the United Nations General Assembly (UNGA) on Sept 26, Bennett said that Iran had made “a major leap forward” in recent years and that its “weapon program is at a critical point.” Bennett argued that Iran is now enriching uranium to 60%, many times greater than permitted under the 2015 Joint Comprehensive Plan of Action (JCPOA), which put restraints on Tehran’s nuclear development. It’s “one step short of weapons-grade material – and they’re getting away with it,” he added. The Israeli leader contended that Iran’s nuclear program had now hit a “watershed moment” and words would not be enough to stop its centrifuges. But Bennett said that while the rest of the world either considered Iran’s pursuit of nuclear weapons inevitable, or they’re just tired of hearing about it, Israel didn’t have that privilege and its tolerance was running out. “Iran is much weaker, much more vulnerable than it seems,” he noted, adding that Israel would not tire on the matter and would not allow Tehran to acquire nuclear weapons. Click here to read

U.S. to Iran: Grant inspectors access to workshop or face action at IAEA

Iran must stop denying the U.N. nuclear watchdog access to a workshop making centrifuge parts as agreed two weeks ago or face diplomatic retaliation at the agency’s Board of Governors within days, the United States said on Sept 27. The workshop at the TESA Karaj complex makes components for centrifuges, machines that enrich uranium, and was hit by apparent sabotage in June in which one of four International Atomic Energy Agency cameras there was destroyed. Iran removed them and the destroyed camera’s footage is missing. TESA Karaj was one of several sites to which Iran agreed to grant IAEA inspectors access to service IAEA monitoring equipment and replace memory cards just as they were due to fill up with data such as camera footage. The Sept. 12 accord helped avoid a diplomatic escalation between Iran and the West. “We are deeply troubled by Iran’s refusal to provide the IAEA with the needed access to service its monitoring equipment, as was agreed in the September 12 Joint Statement between the IAEA and Iran,” a U.S. statement to the IAEA’s 35-nation Board of Governors on Sept 27 said. Click here to read

Meet Olaf Scholz, the German Best Placed to Succeed Angela Merkel

A politician who built his popularity on his response to Covid-19 and styled himself as German Chancellor Angela Merkel’s true heir is now best placed to succeed her as leader of Europe’s largest economy after scoring a narrow win in Sept 26’s election. Olaf Scholz’s Social Democratic Party won a small majority over Ms. Merkel’s conservatives. But with just a quarter of the votes, he is also the first leading politician in the country’s postwar history to need support for three parties to build a stable majority in parliament. Adding to the complexity of the three-way negotiations, Ms. Merkel’s conservatives have said they, too, would court Mr. Scholz’s prospective partners—the pro-market Free Democrats and the Greens—with a view to forming a government. Under unwritten rules of German politics, the election winner has the first shot at trying to form a coalition but has no guarantee of becoming chancellor if the effort fails. Mr. Scholz said a government under his leadership would serve the interests of workers and focus on fighting man-made climate change. Signaling continuity in foreign policy, he said that he would work for a more united European Union and, like Ms. Merkel, refrain from aligning too closely with the U.S. Click here to read

Mali approached Russian military company for help: Lavrov

Mali has asked Russian private companies to boost security in the conflict-torn country, Moscow confirmed as the Malian leader accused France of abandoning Bamako by preparing a large troop drawdown. Russian Foreign Minister Sergey Lavrov said on Sept 25 private Russian military contractors have a “legitimate” right to be in Mali because they were invited by the country’s transitional government – but he insisted that the Russian government was not involved. Meanwhile, in his address to the UN General Assembly, Mali’s Prime Minister Choguel Kokalla Maiga accused France of abandoning his country with its “unilateral” decision to withdraw troops. With France preparing to reduce its military presence in the Sahel region, the Malian government estimated that “its own capacities would be insufficient in the absence of external support” and initiated the discussions, Lavrov told reporters on the sidelines of the UNGA. “This is an activity which has been carried out on a legitimate basis,” he said. “We have nothing to do with that.” Lavrov’s comments came after European Union foreign policy chief Josep Borrell warned that the bloc’s ties with Mali could be seriously affected if it allows Russian private military contractors from the controversial Wagner Group to operate in the country. Click here to read

Sudan transitional government says coup attempt has failed

Sudanese authorities have reported a failed attempt to overthrow the country’s transitional government, blaming “military officers and civilians” from the former government of deposed President Omar al-Bashir. Sudan’s Prime Minister Abdallah Hamdok addressed the attempted coup, which took place early on Sept 21, as “an extension of previous attempts” to overthrow the transitional government created after al-Bashir was removed from power in 2019 by the military follow months of mass protests against his rule. “They tried to take advantage of the situation in different towns by closing the ports and the roads. They took advantage of the national crisis and tried to stop us from moving forward during this transitional period,” Hamdok said. Earlier on Sept 21, Information Minister Hamza Baloul said military officers and civilians linked to al-Bashir had attempted a coup but were swiftly brought under control. “We brought under control a coup attempt by military officers early Sept 21,” Baloul said. Authorities “have arrested leaders of the failed plot, which involved military officers and civilians belonging to the defunct regime”, he added. The military said “most” of those involved in the coup attempt had been arrested, including 11 officers. Click here to read

Medical
Pfizer begins study of oral drug for prevention of COVID-19

Pfizer said on Sep 27 it has started a mid-to-late-stage study testing its investigational oral antiviral drug for the prevention of COVID-19 infection among those who have been exposed to the virus. The company and its rivals, including US-based Merck & Co and Swiss pharmaceutical Roche Holding AG, have been racing to develop the first antiviral pill for COVID-19. Pfizer said it would study the drug, PF-07321332, in up to 2,660 healthy adult participants aged 18 and older who live in the same household as an individual with a confirmed symptomatic COVID-19 infection. The trial would test PF-07321332 with a low dose of ritonavir, an older medication widely used in combination treatments for HIV infection. Merck and partner Ridgeback Biotherapeutics said earlier this month they had begun enrolling patients in a late-stage trial of their experimental drug molnupiravir for prevention of COVID-19 infection. Pfizer had also said earlier this month it started a mid-to-late-stage trial of PF-07321332 for the treatment of COVID-19 in non-hospitalised, symptomatic adult patients. Click here to read

US authorizes Pfizer booster for the elderly and high-risk

The US on Sept 22 authorized the use of boosters of Pfizer’s COVID-19 vaccine for people aged over 65, as well as adults at high risk of severe disease and those in high-exposure jobs. The announcement means a significant part of the population, amounting to tens of millions of Americans, are now eligible for a third shot six months after their second. “Today’s action demonstrates that science and the currently available data continue to guide the FDA’s decision-making for COVID-19 vaccines during this pandemic,” said Janet Woodcock, acting head of the Food and Drug Administration, in a statement. The decision was expected and came after an independent expert panel convened by the regulatory agency last week voted in favor of recommending the move. The panel, however, rejected an initial plan by the White House to fully approve Pfizer boosters to everyone aged 16 and over, in what amounted to a rare rebuke of President Joe Biden’s administration. The group of vaccinologists, infectious disease specialists and epidemiologists concluded that the benefit-risk balance differed for younger people, especially young males who are more susceptible to myocarditis. Click here to read

New York hospitals face staff shortages as COVID-19 vaccine mandate kicks in

New York hospitals were preparing to fire thousands of healthcare workers for not complying with a COVID-19 vaccine mandate taking effect on Sep 27, with some in the upstate region curtailing services to cope with staff shortages. New York City Mayor Bill de Blasio told a news conference that hospitals in the city were not seeing a major impact from the mandate, but that he was worried about other areas of the state where vaccination rates are lower. Catholic Health, one of the largest healthcare providers in Western New York, had said it would postpone some elective surgeries on Sept 27 as it works to boost its vaccination rate, which reached 90 per cent of workers as of Sept 26 afternoon. New York’s state health department issued an order last month mandating that all healthcare workers receive at least their first COVID-19 shot by Sep 27, triggering a rush by hospitals to get their employees inoculated. Of the 43,000 employees at the New York City’s 11 public hospitals, about 5,000 were not vaccinated, Dr. Mitchell Katz, head of NYC Health + Hospitals, said at the news conference. Click here to read

Japan on track to see state of emergency lifted on schedule

The government plans to lift the COVID-19 state of emergency for all 19 prefectures that will end on Sept. 30 as scheduled, sources said. It wants to avoid issuing pre-emergency measures for those prefectures once the emergency ends since the infection situation in Japan has been recently improving. “I think that we can lift the state of emergency at the end of September if the current infection situation continues (to trend downward),” health minister Norihisa Tamura said during a Japan Broadcasting Corp. (NHK) TV debate program on Sept. 26. The government will effectively decide on its plan at a Sept. 27 meeting to be attended by ministers responsible for responding to the health crisis. If the government’s expert panel on countermeasures against COVID-19 discusses and approves the plan on Sept. 28, the government will make its official decision at the task force meeting. It will make the final call after hearing opinions from local governments and experts, with an eye to lifting pre-emergency measures for all eight prefectures and the state of emergency for all 19 prefectures. As of Sept. 23, the hospital bed occupancy rate for COVID-19 patients in those 19 prefectures have dropped below 50 percent, the criteria for lifting the state of emergency. Click here to read

COVID-19 vaccine boosters could mean billions for drugmakers

Billions more in profits are at stake for some vaccine makers as the U.S. moves toward dispensing COVID-19 booster shots to shore up Americans’ protection against the virus. How much the manufacturers stand to gain depends on how big the rollout proves to be. U.S. health officials late on Sept 23 endorsed booster shots of the Pfizer vaccine for all Americans 65 and older — along with tens of millions of younger people who are at higher risk from the coronavirus because of health conditions or their jobs. Officials described the move as a first step. Boosters will likely be offered even more broadly in the coming weeks or months, including boosters of vaccines made by Moderna and Johnson & Johnson. That, plus continued growth in initial vaccinations, could mean a huge gain in sales and profits for Pfizer and Moderna in particular. Wall Street is taking notice. The average forecast among analysts for Moderna’s 2022 revenue has jumped 35% since President Joe Biden laid out his booster plan in mid-August. Most of the vaccinations so far in the U.S. have come from Pfizer, which developed its shot with Germany’s BioNTech, and Moderna. They have inoculated about 99 million and 68 million people, respectively. Johnson & Johnson is third with about 14 million people. Click here to read