<?xml version="1.0" encoding="UTF-8"?><rss xmlns:dc="http://purl.org/dc/elements/1.1/" xmlns:content="http://purl.org/rss/1.0/modules/content/" xmlns:atom="http://www.w3.org/2005/Atom" version="2.0" xmlns:itunes="http://www.itunes.com/dtds/podcast-1.0.dtd" xmlns:googleplay="http://www.google.com/schemas/play-podcasts/1.0"><channel><title><![CDATA[The Asia Cable]]></title><description><![CDATA[The Asia Cable offers a panoramic view of Asia's political dynamics, economic developments, and cultural fabric.]]></description><link>https://www.theasiacable.com</link><image><url>https://substackcdn.com/image/fetch/$s_!Mjqh!,w_256,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F3c62f2b5-1f64-4698-afb8-3b4438618522_625x625.png</url><title>The Asia Cable</title><link>https://www.theasiacable.com</link></image><generator>Substack</generator><lastBuildDate>Sat, 13 Jun 2026 13:19:29 GMT</lastBuildDate><atom:link href="https://www.theasiacable.com/feed" rel="self" type="application/rss+xml"/><copyright><![CDATA[Nick Ayrton]]></copyright><language><![CDATA[en]]></language><webMaster><![CDATA[theasiacable@substack.com]]></webMaster><itunes:owner><itunes:email><![CDATA[theasiacable@substack.com]]></itunes:email><itunes:name><![CDATA[Nick Ayrton (尼克)]]></itunes:name></itunes:owner><itunes:author><![CDATA[Nick Ayrton (尼克)]]></itunes:author><googleplay:owner><![CDATA[theasiacable@substack.com]]></googleplay:owner><googleplay:email><![CDATA[theasiacable@substack.com]]></googleplay:email><googleplay:author><![CDATA[Nick Ayrton (尼克)]]></googleplay:author><itunes:block><![CDATA[Yes]]></itunes:block><item><title><![CDATA[An Empirical Look at Indo-Russian Energy Trade]]></title><description><![CDATA[Tariffs cut India&#8217;s Russian energy imports, until the Iran war reversed the trend.]]></description><link>https://www.theasiacable.com/p/an-empirical-look-at-indo-russian</link><guid isPermaLink="false">https://www.theasiacable.com/p/an-empirical-look-at-indo-russian</guid><dc:creator><![CDATA[Spandan Gandhi]]></dc:creator><pubDate>Fri, 12 Jun 2026 18:01:10 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/cba4d238-7aa3-41ee-a962-ee19bb899ace_2738x1825.jpeg" length="0" type="image/jpeg"/><content:encoded><![CDATA[<p>In 2020, <a href="https://www.sciencedirect.com/science/article/pii/S0014292120302026?fr=RR-2&amp;ref=pdf_download&amp;rr=9fac5410d957d6f9">Gary Hufbauer and Euijin Jung</a> updated the former&#8217;s prior scholarship on economic sanctions by coining a new term: the &#8220;weaponized tariff&#8221;. This is a &#8220;quasi-sanction&#8221; meant to punish a target nation for adopting &#8212; or failing to adopt &#8212; a policy. Donald Trump&#8217;s first term saw weaponized tariffs on China and Mexico for intellectual property theft and illegal migration, respectively, but the most notable example of this policy has become <a href="https://www.federalregister.gov/documents/2025/08/11/2025-15267/addressing-threats-to-the-united-states-by-the-government-of-the-russian-federation">the tariff placed on India</a> last September for India&#8217;s purchase of Russian energy. This tariff raised the total tariff rate to 50%, and it remained active until India and the U.S. agreed to a framework for future trade negotiations in February.</p><p>There are many speculations regarding the true motive for the elevated tariff rates. On a surface level, the policy echoes Nixon and Kissinger&#8217;s strategy of linkage. Two unrelated issues &#8212; in this case India&#8217;s protectionist regulations alongside the nation being a source of Russian revenue &#8212; are &#8220;linked&#8221; together for progress in diplomatic negotiations. According to Columbia Energy Policy expert <a href="https://www.sciencedirect.com/science/article/pii/S0014292120302026?fr=RR-2&amp;ref=pdf_download&amp;rr=9fac5410d957d6f9">Edward Fishman</a>, national security considerations for the tariff were a political smokescreen, with the true rationale being economic frustrations with India. <a href="https://americanbazaaronline.com/2025/08/04/stephen-miller-links-h-1b-to-trade-battle-with-india-escalating-bilateral-tensions-465852/">Stephen Miller&#8217;s claims</a> of Indian exploitation of U.S. immigration law during a roadblock in trade talks gave credence to this theory. Some American experts have even suggested that the tariff was a result of Modi&#8217;s <a href="https://x.com/ANI/status/1953164757273624625?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1953164757273624625%7Ctwgr%5E0d4191e8c2f5ccdb2a101d5185ab595b0ddec744%7Ctwcon%5Es1_&amp;ref_url=https%3A%2F%2Fwww.ndtv.com%2Findia-news%2Ftrump-tariff-war-india-tariffs-china-has-not-refused-expert-on-why-trump-tariffs-single-out-india-9037307">refusal</a> to give Trump the credit for organizing a ceasefire between India and Pakistan following their conflict in mid-2025.</p><p>Executive policy is rarely monocausal, and the tariff was likely a result of all these factors to varying degrees. An empirical look at whether the tariff was successful in reducing Russian imports is a more important question because of how politicized the issue has become in India. In online discourse, discussions about the tariff became a matter of India&#8217;s strategic autonomy. Modi&#8217;s political opponents were quick to claim that in his pursuit of a trade deal, the leader was succumbing to American pressure once again after his conflict with Pakistan. India&#8217;s relationship with Russia has become politicized to an unprecedented degree, and a quantitative assessment of Trump&#8217;s tariff demonstrates the degree of the U.S.'s ability to influence Indian policy.</p><h1>The Theoretical Basis of Biden&#8217;s Pragmatic Policy</h1><p>To understand the implications of the September tariff, the rationale behind Biden&#8217;s policy towards Indian energy imports must be explained. In their analysis of the impact of Western sanctions on Russia, <a href="https://arxiv.org/abs/2212.00674">Wachtmeister et al. (2022)</a> studied losses to Russian oil revenue based on two distinct policy outcomes. Sanctions could either result in a quantity restriction or a price discount. These are cases where the demand for Russian oil is reduced through restrictive sanctions, or buyers demand a lower price for Russian oil due to increased risk. The authors concluded that in policy terms, a price discount on Russian oil would inflict more losses on state revenue than a quantity restriction in the short and long run. A lower quantity of Russian oil on the market can raise global oil prices, and this in turn offsets Russian revenue losses.</p><p>The potential for a global oil price hike with decreased Russian oil supply was pointed out by many commentators following Trump&#8217;s first weaponized tariff announced in August. Preventing such an outcome, as the world is currently witnessing due to the U.S.-Israel conflict with Iran, was a key motivation behind the Biden administration permitting India to purchase Russian energy despite active Western sanctions. In fact, the Biden administration&#8217;s strategy as outlined by <a href="https://www.reuters.com/business/energy/exclusive-india-can-buy-much-russian-oil-it-wants-outside-price-cap-yellen-says-2022-11-11/">Janet Yellen</a> is entirely in line with the work produced by Wachtmeister et. al. Allowing India to buy oil at a discount not only kept global supply afloat while reducing Russian revenue, but it also allowed Russian energy to reach European markets via India. Trump&#8217;s weaponized tariff represents a fundamental shift in strategy that intends to move Russian oil from a price discount in global markets towards a quantity restriction. Open-source<a href="https://www.russiafossiltracker.com/"> data</a> from the Center for Research on Energy and Clean Air (CREA) reveals whether Trump&#8217;s strategy was successful in reducing Indian imports.</p><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/an-empirical-look-at-indo-russian?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/p/an-empirical-look-at-indo-russian?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><h1>Analyzing the Data: From Trade Talks to the Iran War</h1><p>All the graphs below have all been produced within Stata from CREA&#8217;s data set. The following graph is a complete event study demonstrating how India&#8217;s purchase of Russian energy has changed from Sept. 17 &#8212; the date when the weaponized tariff went active. Natural logs are used in economics to denote change, and a shift from 14.8 to 15.8 in the graph below indicates an approximate 63% change. The three lines in the graph denote the implementation of the tariff, its removal in February, and the Iran War shock in mid-March.</p><div class="captioned-image-container"><figure><a class="image-link image2 is-viewable-img" target="_blank" href="https://substackcdn.com/image/fetch/$s_!BMhD!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F01feb41b-557e-46b0-8ab7-02cffffd6beb_720x432.jpeg" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!BMhD!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F01feb41b-557e-46b0-8ab7-02cffffd6beb_720x432.jpeg 424w, https://substackcdn.com/image/fetch/$s_!BMhD!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F01feb41b-557e-46b0-8ab7-02cffffd6beb_720x432.jpeg 848w, https://substackcdn.com/image/fetch/$s_!BMhD!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F01feb41b-557e-46b0-8ab7-02cffffd6beb_720x432.jpeg 1272w, https://substackcdn.com/image/fetch/$s_!BMhD!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F01feb41b-557e-46b0-8ab7-02cffffd6beb_720x432.jpeg 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!BMhD!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F01feb41b-557e-46b0-8ab7-02cffffd6beb_720x432.jpeg" width="728" height="436.8" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/01feb41b-557e-46b0-8ab7-02cffffd6beb_720x432.jpeg&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:432,&quot;width&quot;:720,&quot;resizeWidth&quot;:728,&quot;bytes&quot;:null,&quot;alt&quot;:&quot;A graph showing the growth of the stock market\n\nDescription automatically generated&quot;,&quot;title&quot;:null,&quot;type&quot;:null,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="A graph showing the growth of the stock market

Description automatically generated" title="A graph showing the growth of the stock market

Description automatically generated" srcset="https://substackcdn.com/image/fetch/$s_!BMhD!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F01feb41b-557e-46b0-8ab7-02cffffd6beb_720x432.jpeg 424w, https://substackcdn.com/image/fetch/$s_!BMhD!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F01feb41b-557e-46b0-8ab7-02cffffd6beb_720x432.jpeg 848w, https://substackcdn.com/image/fetch/$s_!BMhD!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F01feb41b-557e-46b0-8ab7-02cffffd6beb_720x432.jpeg 1272w, https://substackcdn.com/image/fetch/$s_!BMhD!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F01feb41b-557e-46b0-8ab7-02cffffd6beb_720x432.jpeg 1456w" sizes="100vw" loading="lazy"></picture><div class="image-link-expand"><div class="pencraft pc-display-flex pc-gap-8 pc-reset"><button tabindex="0" type="button" class="pencraft pc-reset pencraft icon-container restack-image"><svg role="img" width="20" height="20" viewBox="0 0 20 20" fill="none" stroke-width="1.5" stroke="var(--color-fg-primary)" stroke-linecap="round" stroke-linejoin="round" xmlns="http://www.w3.org/2000/svg"><g><title></title><path d="M2.53001 7.81595C3.49179 4.73911 6.43281 2.5 9.91173 2.5C13.1684 2.5 15.9537 4.46214 17.0852 7.23684L17.6179 8.67647M17.6179 8.67647L18.5002 4.26471M17.6179 8.67647L13.6473 6.91176M17.4995 12.1841C16.5378 15.2609 13.5967 17.5 10.1178 17.5C6.86118 17.5 4.07589 15.5379 2.94432 12.7632L2.41165 11.3235M2.41165 11.3235L1.5293 15.7353M2.41165 11.3235L6.38224 13.0882"></path></g></svg></button><button tabindex="0" type="button" class="pencraft pc-reset pencraft icon-container view-image"><svg xmlns="http://www.w3.org/2000/svg" width="20" height="20" viewBox="0 0 24 24" fill="none" stroke="currentColor" stroke-width="2" stroke-linecap="round" stroke-linejoin="round" class="lucide lucide-maximize2 lucide-maximize-2"><polyline points="15 3 21 3 21 9"></polyline><polyline points="9 21 3 21 3 15"></polyline><line x1="21" x2="14" y1="3" y2="10"></line><line x1="3" x2="10" y1="21" y2="14"></line></svg></button></div></div></div></a></figure></div><p>Around the time the tariff went into effect, Indian imports of Russian energy dropped by around 30% - this is the drop from 15.75 to 15.4. After a rebound a little over two months after the tariff, Indian imports at the cessation of the tariff stabilized at a point that was 39% lower than imports at the eve of the tariff taking effect. When an agreement between India and the U.S. was reached on Feb. 6, energy imports would stabilize at this point until the outbreak of the Iran War.</p><p>The complete event study demonstrates that the perception of progress in trade talks was more important than the tariff itself. If the tariff was the cause of reduced imports, they would not have rebounded while the policy was active. Expectations of a trade deal, contingent on a commitment from India to reduce Russian energy imports, were the driving factor of reductions.<strong> </strong>An analysis of Indian imports from August 2024 to May 2025 also demonstrates that the trade talks were significant and import fluctuations were not cyclical. The following graph shows this &#8212; during the same periods a year prior, imports cycled around a baseline that did not shift as much as it did during the 2025-26 trade talks.</p><div class="captioned-image-container"><figure><a class="image-link image2 is-viewable-img" target="_blank" href="https://substackcdn.com/image/fetch/$s_!nphU!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff745c73f-6d38-4be5-a68e-f60b67e64607_720x432.jpeg" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!nphU!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff745c73f-6d38-4be5-a68e-f60b67e64607_720x432.jpeg 424w, https://substackcdn.com/image/fetch/$s_!nphU!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff745c73f-6d38-4be5-a68e-f60b67e64607_720x432.jpeg 848w, https://substackcdn.com/image/fetch/$s_!nphU!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff745c73f-6d38-4be5-a68e-f60b67e64607_720x432.jpeg 1272w, https://substackcdn.com/image/fetch/$s_!nphU!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff745c73f-6d38-4be5-a68e-f60b67e64607_720x432.jpeg 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!nphU!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff745c73f-6d38-4be5-a68e-f60b67e64607_720x432.jpeg" width="728" height="436.8" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/f745c73f-6d38-4be5-a68e-f60b67e64607_720x432.jpeg&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:432,&quot;width&quot;:720,&quot;resizeWidth&quot;:728,&quot;bytes&quot;:null,&quot;alt&quot;:&quot;A graph showing a number of indian importers\n\nDescription automatically generated with medium confidence&quot;,&quot;title&quot;:null,&quot;type&quot;:null,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="A graph showing a number of indian importers

Description automatically generated with medium confidence" title="A graph showing a number of indian importers

Description automatically generated with medium confidence" srcset="https://substackcdn.com/image/fetch/$s_!nphU!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff745c73f-6d38-4be5-a68e-f60b67e64607_720x432.jpeg 424w, https://substackcdn.com/image/fetch/$s_!nphU!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff745c73f-6d38-4be5-a68e-f60b67e64607_720x432.jpeg 848w, https://substackcdn.com/image/fetch/$s_!nphU!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff745c73f-6d38-4be5-a68e-f60b67e64607_720x432.jpeg 1272w, https://substackcdn.com/image/fetch/$s_!nphU!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff745c73f-6d38-4be5-a68e-f60b67e64607_720x432.jpeg 1456w" sizes="100vw" loading="lazy"></picture><div class="image-link-expand"><div class="pencraft pc-display-flex pc-gap-8 pc-reset"><button tabindex="0" type="button" class="pencraft pc-reset pencraft icon-container restack-image"><svg role="img" width="20" height="20" viewBox="0 0 20 20" fill="none" stroke-width="1.5" stroke="var(--color-fg-primary)" stroke-linecap="round" stroke-linejoin="round" xmlns="http://www.w3.org/2000/svg"><g><title></title><path d="M2.53001 7.81595C3.49179 4.73911 6.43281 2.5 9.91173 2.5C13.1684 2.5 15.9537 4.46214 17.0852 7.23684L17.6179 8.67647M17.6179 8.67647L18.5002 4.26471M17.6179 8.67647L13.6473 6.91176M17.4995 12.1841C16.5378 15.2609 13.5967 17.5 10.1178 17.5C6.86118 17.5 4.07589 15.5379 2.94432 12.7632L2.41165 11.3235M2.41165 11.3235L1.5293 15.7353M2.41165 11.3235L6.38224 13.0882"></path></g></svg></button><button tabindex="0" type="button" class="pencraft pc-reset pencraft icon-container view-image"><svg xmlns="http://www.w3.org/2000/svg" width="20" height="20" viewBox="0 0 24 24" fill="none" stroke="currentColor" stroke-width="2" stroke-linecap="round" stroke-linejoin="round" class="lucide lucide-maximize2 lucide-maximize-2"><polyline points="15 3 21 3 21 9"></polyline><polyline points="9 21 3 21 3 15"></polyline><line x1="21" x2="14" y1="3" y2="10"></line><line x1="3" x2="10" y1="21" y2="14"></line></svg></button></div></div></div></a></figure></div><p>On Oct. 22, the U.S. imposed another <a href="https://home.treasury.gov/news/press-releases/sb0290">sanction</a> that affected India. These were total sanctions on firms that traded with Russian oil companies Rosneft and Lukoil.  Vrinda Sahai, a research analyst at the Carnegie Endowment&#8217;s India branch, claimed that these sanctions <a href="https://carnegieendowment.org/posts/2025/11/the-impact-of-us-sanctions-and-tariffs-on-indias-russian-oil-imports">caused a greater reduction</a> in Indian imports than the tariff. An event study centered around these sanctions shows that this was not the case on a large scale. In fact, these sanctions were followed by the rebounding of Indian imports in November and December. Once again, the possibility of a trade deal continued to be the determining factor in the reduction of Indian energy imports from Russia.</p><div class="captioned-image-container"><figure><a class="image-link image2 is-viewable-img" target="_blank" href="https://substackcdn.com/image/fetch/$s_!BVQU!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fc655c91b-73a7-4928-8dbc-7078923b90cc_720x432.jpeg" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!BVQU!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fc655c91b-73a7-4928-8dbc-7078923b90cc_720x432.jpeg 424w, https://substackcdn.com/image/fetch/$s_!BVQU!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fc655c91b-73a7-4928-8dbc-7078923b90cc_720x432.jpeg 848w, https://substackcdn.com/image/fetch/$s_!BVQU!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fc655c91b-73a7-4928-8dbc-7078923b90cc_720x432.jpeg 1272w, https://substackcdn.com/image/fetch/$s_!BVQU!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fc655c91b-73a7-4928-8dbc-7078923b90cc_720x432.jpeg 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!BVQU!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fc655c91b-73a7-4928-8dbc-7078923b90cc_720x432.jpeg" width="728" height="436.8" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/c655c91b-73a7-4928-8dbc-7078923b90cc_720x432.jpeg&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:432,&quot;width&quot;:720,&quot;resizeWidth&quot;:728,&quot;bytes&quot;:null,&quot;alt&quot;:&quot;A graph showing a graph showing the impact of the us sanctions\n\nDescription automatically generated with medium confidence&quot;,&quot;title&quot;:null,&quot;type&quot;:null,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="A graph showing a graph showing the impact of the us sanctions

Description automatically generated with medium confidence" title="A graph showing a graph showing the impact of the us sanctions

Description automatically generated with medium confidence" srcset="https://substackcdn.com/image/fetch/$s_!BVQU!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fc655c91b-73a7-4928-8dbc-7078923b90cc_720x432.jpeg 424w, https://substackcdn.com/image/fetch/$s_!BVQU!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fc655c91b-73a7-4928-8dbc-7078923b90cc_720x432.jpeg 848w, https://substackcdn.com/image/fetch/$s_!BVQU!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fc655c91b-73a7-4928-8dbc-7078923b90cc_720x432.jpeg 1272w, https://substackcdn.com/image/fetch/$s_!BVQU!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fc655c91b-73a7-4928-8dbc-7078923b90cc_720x432.jpeg 1456w" sizes="100vw" loading="lazy"></picture><div class="image-link-expand"><div class="pencraft pc-display-flex pc-gap-8 pc-reset"><button tabindex="0" type="button" class="pencraft pc-reset pencraft icon-container restack-image"><svg role="img" width="20" height="20" viewBox="0 0 20 20" fill="none" stroke-width="1.5" stroke="var(--color-fg-primary)" stroke-linecap="round" stroke-linejoin="round" xmlns="http://www.w3.org/2000/svg"><g><title></title><path d="M2.53001 7.81595C3.49179 4.73911 6.43281 2.5 9.91173 2.5C13.1684 2.5 15.9537 4.46214 17.0852 7.23684L17.6179 8.67647M17.6179 8.67647L18.5002 4.26471M17.6179 8.67647L13.6473 6.91176M17.4995 12.1841C16.5378 15.2609 13.5967 17.5 10.1178 17.5C6.86118 17.5 4.07589 15.5379 2.94432 12.7632L2.41165 11.3235M2.41165 11.3235L1.5293 15.7353M2.41165 11.3235L6.38224 13.0882"></path></g></svg></button><button tabindex="0" type="button" class="pencraft pc-reset pencraft icon-container view-image"><svg xmlns="http://www.w3.org/2000/svg" width="20" height="20" viewBox="0 0 24 24" fill="none" stroke="currentColor" stroke-width="2" stroke-linecap="round" stroke-linejoin="round" class="lucide lucide-maximize2 lucide-maximize-2"><polyline points="15 3 21 3 21 9"></polyline><polyline points="9 21 3 21 3 15"></polyline><line x1="21" x2="14" y1="3" y2="10"></line><line x1="3" x2="10" y1="21" y2="14"></line></svg></button></div></div></div></a></figure></div><p>The closing of the Strait of Hormuz and its impact on global oil supply has provided another angle for analysis on the India-Russia energy relationship along with the ability of American policy to impact it. Following the outbreak of war, the U.S. issued a temporary sanctions waiver allowing firms to purchase Iranian and Russian energy without triggering secondary sanctions. The graph below is an event study outlining Russian energy exports to India centered around this waiver.</p><div class="captioned-image-container"><figure><a class="image-link image2 is-viewable-img" target="_blank" href="https://substackcdn.com/image/fetch/$s_!pYfA!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F2d819c52-0d96-4882-99b4-e3d17b029ef4_720x432.jpeg" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!pYfA!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F2d819c52-0d96-4882-99b4-e3d17b029ef4_720x432.jpeg 424w, https://substackcdn.com/image/fetch/$s_!pYfA!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F2d819c52-0d96-4882-99b4-e3d17b029ef4_720x432.jpeg 848w, https://substackcdn.com/image/fetch/$s_!pYfA!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F2d819c52-0d96-4882-99b4-e3d17b029ef4_720x432.jpeg 1272w, https://substackcdn.com/image/fetch/$s_!pYfA!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F2d819c52-0d96-4882-99b4-e3d17b029ef4_720x432.jpeg 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!pYfA!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F2d819c52-0d96-4882-99b4-e3d17b029ef4_720x432.jpeg" width="728" height="436.8" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/2d819c52-0d96-4882-99b4-e3d17b029ef4_720x432.jpeg&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:432,&quot;width&quot;:720,&quot;resizeWidth&quot;:728,&quot;bytes&quot;:null,&quot;alt&quot;:&quot;A graph showing the number of countries/regions in the united states\n\nDescription automatically generated with medium confidence&quot;,&quot;title&quot;:null,&quot;type&quot;:null,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="A graph showing the number of countries/regions in the united states

Description automatically generated with medium confidence" title="A graph showing the number of countries/regions in the united states

Description automatically generated with medium confidence" srcset="https://substackcdn.com/image/fetch/$s_!pYfA!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F2d819c52-0d96-4882-99b4-e3d17b029ef4_720x432.jpeg 424w, https://substackcdn.com/image/fetch/$s_!pYfA!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F2d819c52-0d96-4882-99b4-e3d17b029ef4_720x432.jpeg 848w, https://substackcdn.com/image/fetch/$s_!pYfA!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F2d819c52-0d96-4882-99b4-e3d17b029ef4_720x432.jpeg 1272w, https://substackcdn.com/image/fetch/$s_!pYfA!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F2d819c52-0d96-4882-99b4-e3d17b029ef4_720x432.jpeg 1456w" sizes="100vw" loading="lazy"></picture><div class="image-link-expand"><div class="pencraft pc-display-flex pc-gap-8 pc-reset"><button tabindex="0" type="button" class="pencraft pc-reset pencraft icon-container restack-image"><svg role="img" width="20" height="20" viewBox="0 0 20 20" fill="none" stroke-width="1.5" stroke="var(--color-fg-primary)" stroke-linecap="round" stroke-linejoin="round" xmlns="http://www.w3.org/2000/svg"><g><title></title><path d="M2.53001 7.81595C3.49179 4.73911 6.43281 2.5 9.91173 2.5C13.1684 2.5 15.9537 4.46214 17.0852 7.23684L17.6179 8.67647M17.6179 8.67647L18.5002 4.26471M17.6179 8.67647L13.6473 6.91176M17.4995 12.1841C16.5378 15.2609 13.5967 17.5 10.1178 17.5C6.86118 17.5 4.07589 15.5379 2.94432 12.7632L2.41165 11.3235M2.41165 11.3235L1.5293 15.7353M2.41165 11.3235L6.38224 13.0882"></path></g></svg></button><button tabindex="0" type="button" class="pencraft pc-reset pencraft icon-container view-image"><svg xmlns="http://www.w3.org/2000/svg" width="20" height="20" viewBox="0 0 24 24" fill="none" stroke="currentColor" stroke-width="2" stroke-linecap="round" stroke-linejoin="round" class="lucide lucide-maximize2 lucide-maximize-2"><polyline points="15 3 21 3 21 9"></polyline><polyline points="9 21 3 21 3 15"></polyline><line x1="21" x2="14" y1="3" y2="10"></line><line x1="3" x2="10" y1="21" y2="14"></line></svg></button></div></div></div></a></figure></div><p>The graph shows a consistent increase in Russian imports following the waiver. The increase is even more pronounced when seen in the first complete event study graph above. What makes the rise in purchases significant is the fact that Russia is selling oil at a premium following the closure of the Strait as opposed to the discount it had given India following the outbreak of the Ukraine war. The Trump administration has claimed it will <a href="https://www.ndtv.com/world-news/us-iran-war-news-us-to-not-extend-russian-iranian-oil-sanctions-waiver-it-may-affect-india-11363941">not renew</a> the waiver after it is set to expire May 16, but it has already renewed the waiver once in mid-April while claiming the same. Punishing India during a time when the nation is already facing <a href="https://www.wsj.com/livecoverage/iran-trump-war-news/card/modi-asks-india-to-tighten-its-belt-to-weather-gulf-crisis-GTysIDrLDr7oJrCbveWF">energy shortages</a> due to the Hormuz closure will only be seen as a hostile move by the Indian government.</p><p>In the larger scheme, Operation Epic Fury has undone the progress made by Trump in getting India to reduce its purchases of Russian oil. The formal event study above analyzing the sanctions waiver once again demonstrates that U.S. economic pressure itself is not the primary determinant of Russian energy purchases. During the trade negotiations, the political pressure that came with tensions between the two nations was what drove energy imports down. Larger macroeconomic considerations are currently driving Russian energy imports upwards, and the Indian government is likely hedging in the expectation of further supply cuts.</p><p>The failure of American economic policy also warrants a reconsideration of sanctions on Russian energy as a foreign policy tool. The Indo-Russian energy relationship will likely continue due to the sheer size of Russia&#8217;s energy market and India&#8217;s massive energy needs. Policy cannot impact this relationship because of how entrenched it is. If Russia&#8217;s energy network is to be dismantled, it must be a primary policy, not a secondary policy aimed at targeting Russia&#8217;s war efforts. The U.S.  must also provide a viable alternative for its allies, which depend on Russia&#8217;s massive reserves.</p><div><hr></div><p><em>The views and information contained in this article are the author&#8217;s own and do not necessarily represent those of The Asia Cable.</em></p><div class="subscription-widget-wrap-editor" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe&quot;,&quot;language&quot;:&quot;en&quot;}" data-component-name="SubscribeWidgetToDOM"><div class="subscription-widget show-subscribe"><div class="preamble"><p class="cta-caption">The Asia Cable is a reader-supported publication. To receive new posts and support our work, consider becoming a free or paid subscriber.</p></div><form class="subscription-widget-subscribe"><input type="email" class="email-input" name="email" placeholder="Type your email&#8230;" tabindex="-1"><input type="submit" class="button primary" value="Subscribe"><div class="fake-input-wrapper"><div class="fake-input"></div><div class="fake-button"></div></div></form></div></div><p></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: June 12, 2026]]></title><description><![CDATA[China launches new satellite to test high-speed communication tech.]]></description><link>https://www.theasiacable.com/p/asia-daily-june-12-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-june-12-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Fri, 12 Jun 2026 11:02:47 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/98968e40-2999-4a6c-b23d-1fb2ca95d561_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!Gxkt!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1003367,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>China launches new satellite to test high-speed communication tech.</strong> China launched Communication Technology Test Satellite No. 25 from Wenchang using a Long March 5 rocket. The mission will test multi-band, high-rate satellite communication technologies and use technical upgrades intended to improve reliability, shorten launch-pad time, and support heavy-payload operations. <em>Zhang Tong</em>, <strong><a href="https://scmp.com/news/china/science/article/3356794/china-launches-new-satellite-test-high-speed-communication-tech">South China Morning Post</a></strong>, <em>June 11</em></p><p><strong>China sanctions Philippine defence chief Gilberto Teodoro.</strong> Beijing sanctioned Philippine Defence Secretary Gilberto Teodoro, his spouse and child, banning them from mainland China, Hong Kong and Macau and barring Chinese entities from dealings with them. China cited remarks it said harmed bilateral relations, amid worsening tensions over South China Sea disputes and Japan-Philippines maritime talks. <em>Orange Wang</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3356786/china-sanctions-philippine-defence-chief-teodoro">South China Morning Post</a></strong>, <em>June 11</em></p><p><strong>Forum on global human rights governance opens in Beijing.</strong> The 2026 Forum on Global Human Rights Governance opened in Beijing with more than 400 participants from over 100 countries and international organizations. China released its 2026-30 National Human Rights Action Plan, while speakers emphasized development, poverty reduction, Global South cooperation, and criticism of Western politicization of human rights. <strong><a href="https://globaltimes.cn/page/202606/1363347.shtml">Global Times</a></strong>, <em>June 11</em></p><h2>Japan</h2><p><strong>Takaichi to attend NATO summit in Turkey and seek closer ties with alliance.</strong> Prime Minister Sanae Takaichi plans to attend a NATO summit in Ankara from July 6 to 8, seeking closer cooperation and a shared view that Indo-Pacific and European security are inseparable. Japan aims to encourage greater NATO involvement in Asia amid China&#8217;s growing military pressure. <strong><a href="https://japantimes.co.jp/news/2026/06/12/japan/politics/takaichi-nato-ankara">The Japan Times</a></strong>, <em>June 12</em></p><p><strong>Japanese government starts work to draft Imperial House Law amendment.</strong> Japan&#8217;s government began drafting legislation to revise the Imperial House Law after Diet leaders reached consensus on measures to maintain imperial family numbers. The plan would let female royals retain status after marriage and allow adoption of paternal-line male descendants from former imperial branches, excluding adoptees from succession rights. <strong><a href="https://japantimes.co.jp/news/2026/06/12/japan/politics/government-imperial-house-law-draft">The Japan Times</a></strong>, <em>June 12</em></p><p><strong>Japan crude oil imports in July to regain year-earlier level despite war.</strong> Japan expects July crude imports to return to year-earlier levels after expanding purchases from non-Middle Eastern suppliers, including the U.S., Mexico, Azerbaijan, South Sudan and Sakhalin. Sanae Takaichi said stable oil supplies are projected through March 2028 despite the near halt of shipments through the Strait of Hormuz. <strong><a href="https://english.kyodonews.net/articles/-/77700">Kyodo News</a></strong>, <em>June 11</em></p><p><strong>Japan emperor makes rare remark amid debate on dwindling family members.</strong> Emperor Naruhito expressed hope that discussions on securing enough imperial family members would gain public understanding. His comment followed Diet consensus on revisions allowing female royals to keep imperial status after marriage and permitting adoption of men from former branch families into the imperial family. <strong><a href="https://english.kyodonews.net/articles/-/77739">Kyodo News</a></strong>, <em>June 12</em></p><h2>South Korea</h2><p><strong>U.S., South Korea hold nuclear deterrence talks as North Korea expands arms push.</strong> U.S. and South Korean officials met in Seoul under the Nuclear Consultative Group to strengthen deterrence against North Korea's expanding weapons programme. The talks reviewed information sharing, crisis procedures, joint drills, messaging, nuclear planning, and allied readiness amid concerns over Pyongyang's fissile-material production. <em>Joyce Lee and Heekyong Yang</em>, <strong><a href="https://reuters.com/world/asia-pacific/us-south-korea-hold-nuclear-deterrence-talks-north-korea-expands-arms-push-2026-06-11">Reuters</a></strong>, <em>June 11</em></p><p><strong>Lee says depending on U.S. for defense no longer valid, will boost economic ties.</strong> President Lee Jae Myung said South Korea&#8217;s old approach of relying on Washington for defense while maintaining close economic ties with Beijing no longer fits current geopolitics. He called for self-reliant defense, wartime operational control transfer, stronger high-tech cooperation with the U.S., and deeper strategic ties with Italy. <em>Park Boram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260611008300315">Yonhap News Agency</a></strong>, <em>June 11</em></p><p><strong>Lee, Mattarella agree to elevate South Korea-Italy ties into special strategic partnership.</strong> Lee Jae Myung and Sergio Mattarella agreed to upgrade relations and expand cooperation in semiconductors, AI, defense manufacturing, aerospace, energy, biotechnology, trade and culture. Both sides also planned MOUs, joint action plans through 2030, supply-chain cooperation, and coordination on the Korean Peninsula and international issues. <em>Park Boram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260611010652315">Yonhap News Agency</a></strong>, <em>June 11</em></p><p><strong>Lee&#8217;s approval rating falls below 60% amid ballot shortage controversy.</strong> A Gallup Korea poll showed Lee Jae Myung&#8217;s approval rating fell 7 percentage points to 57%, while negative views rose to 35%. Election irregularity allegations were the top criticism, followed by the economy and real estate. Democratic Party support dropped to 41%, while the People Power Party rose to 29%. <em>Yi Wonju</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260612005300315">Yonhap News Agency</a></strong>, <em>June 12</em></p><h2>North Korea</h2><p><strong>North Korea's Kim voices full support for Russia, sends National Day message to Putin, KCNA says.</strong> Kim Jong-un sent Vladimir Putin a Russia National Day message pledging full support for Moscow's domestic and foreign policies. KCNA said Kim framed bilateral ties as an alliance under a strategic partnership treaty, while officials marked the holiday at Soviet memorial sites in North Korea. <em>Kyu-seok Shim</em>, <strong><a href="https://reuters.com/world/asia-pacific/north-koreas-kim-voices-full-support-russia-sends-national-day-message-putin-2026-06-11">Reuters</a></strong>, <em>June 11</em></p><p><strong>North Korea&#8217;s parliament elects new judges of highest court.</strong> North Korea&#8217;s Supreme People&#8217;s Assembly Standing Committee held its first plenary meeting of the new 15th term and elected new Supreme Court judges and people&#8217;s assessors. State media did not identify those chosen, while the committee also unanimously passed a law on academic degrees and titles without details. <em>Woo Jae-yeon</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260612003000315">Yonhap News Agency</a></strong>, <em>June 12</em></p><p><strong>North Korea&#8217;s Kim reaffirms alliance with Russia in letter to Putin.</strong> Kim Jong-un sent Vladimir Putin a Russia Day letter pledging unwavering support for Moscow&#8217;s internal and external policies. KCNA said Kim described bilateral ties as an alliance grounded in the 2024 strategic partnership treaty, while Russian Embassy officials in Pyongyang marked the holiday with a wreath-laying and reception. <em>Woo Jae-yeon</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260612001051315">Yonhap News Agency</a></strong>, <em>June 11</em></p><h2>Myanmar</h2><p><strong>U.S. official found dead in Myanmar, U.S. State Department says.</strong> The U.S. State Department confirmed the death of a U.S. government employee assigned to the embassy in Yangon. Sources said the official was found last month at Sakura Residence &amp; Hotel, while Thailand's Foreign Ministry described the case as consular assistance and an ongoing police investigation. <em>Simon Lewis, Reuters staff, and Devjyot Ghoshal</em>, <strong><a href="https://reuters.com/world/asia-pacific/us-official-found-dead-myanmar-us-state-department-says-2026-06-11">Reuters</a></strong>, <em>June 11</em></p><p><strong>U.S. diplomat's death in Yangon probed as homicide; Thai woman detained.</strong> The death of a U.S. diplomat in Yangon is being investigated as a suspected homicide, with regime police detaining a Thai woman. The diplomat was found at Sakura Residence &amp; Hotel near the U.S. Embassy, while the State Department confirmed the death but withheld further details. <strong><a href="https://irrawaddy.com/news/burma/us-diplomats-death-in-yangon-probed-as-homicide-thai-woman-detained.html">The Irrawaddy</a></strong>, <em>June 11</em></p><h2>Laos</h2><p><strong>Lao, Japanese PMs meet in Tokyo for talks on energy, security.</strong> Sanae Takaichi and Sonexay Siphandone agreed to deepen Japan-Laos cooperation on human resource development, energy security, supply chain resilience and economic stability. Sonexay backed Japan's POWERR Asia initiative, while Takaichi reaffirmed support for Laos' autonomy, resilience and sustainable development under their comprehensive strategic partnership. <strong><a href="https://laotiantimes.com/2026/06/11/lao-japanese-pms-meet-in-tokyo-for-talks-on-energy-security">The Laotian Times</a></strong>, <em>June 11</em></p><p><strong>Laos, China sign seven documents to bolster development financing for key sectors.</strong> Laos and China signed seven agreements during President Thongloun Sisoulith's June 2-6 state visit to China, forming part of 32 cooperation documents. The deals cover green industry, poverty alleviation, education infrastructure, human resources, medical capacity-building and development financing to support Laos' socioeconomic priorities. <strong><a href="https://vientianetimes.org.la/freefreenews/freecontent_110_Laoschian_y26.php">Vientiane Times</a></strong>, <em>June 12</em></p><h2>Philippines</h2><p><strong>Philippine defence chief vows to press on against China's wickedness after sanctions.</strong> Gilberto Teodoro said he would continue defending the Philippines after China sanctioned him and close relatives over remarks Beijing called erroneous. Manila described the move as unfriendly and said it complicated ties, while Teodoro framed the sanctions as punishment for speaking against Chinese deception. <em>Karen Lema</em>, <strong><a href="https://reuters.com/world/china/philippine-defence-chief-vows-press-after-china-sanctions-2026-06-11">Reuters</a></strong>, <em>June 11</em></p><p><strong>Philippines, Germany boost defense, maritime ties.</strong> Ferdinand Marcos Jr. will meet German President Frank-Walter Steinmeier during his June 15-17 state visit to the Philippines. Talks are expected to cover defense, maritime cooperation, peace-building, trade, investment, climate change, renewable energy, people-to-people exchanges, ASEAN issues and regional developments. <em>Catherine S. Valente</em>, <strong><a href="https://manilatimes.net/2026/06/12/news/national/ph-germany-boost-defense-maritime-ties/2363870">The Manila Times</a></strong>, <em>June 11</em></p><p><strong>Palace tells Sara: Marcos has nothing to do with Senate conflict.</strong> Malacanang rejected Sara Duterte&#8217;s claim that the Senate leadership dispute reflected weak presidential leadership. Palace Press Officer Claire Castro said Ferdinand Marcos Jr. had no role in the Senate conflict or May 13 gunfire incident and accused Duterte of changing the narrative while the government addressed oil and earthquake concerns. <em>Catherine S. Valente</em>, <strong><a href="https://manilatimes.net/2026/06/11/news/palace-tells-sara-marcos-has-nothing-to-do-with-senate-conflict/2363738">The Manila Times</a></strong>, <em>June 11</em></p><h2>Indonesia</h2><p><strong>World Bank says Indonesia's GDP to slow to 5% in 2026 as fiscal pressures rise.</strong> The World Bank projected Indonesia's growth will slow to 5% as fuel subsidies, capital outflows, rupiah weakness, and public spending pressures strain fiscal space. It urged gradual fuel subsidy reform and more targeted aid for poorer households. <em>Stanley Widianto</em>, <strong><a href="https://reuters.com/world/asia-pacific/world-bank-says-indonesias-gdp-slow-5-2026-fiscal-pressures-rise-2026-06-11">Reuters</a></strong>, <em>June 11</em></p><p><strong>RI, China strengthen local currency, cross-border payment cooperation.</strong> Bank Indonesia and the People's Bank of China expanded cooperation on local currency transactions, cross-border QR payments, currency swaps and renminbi clearing. The deal includes an RMB Clearing Bank in Indonesia, Mandiri's direct CIPS participation, and wider payment provider access for Indonesia-China retail transactions. <strong><a href="https://en.antaranews.com/news/418915/ri-china-strengthen-local-currency-cross-border-payment-cooperation">ANTARA News</a></strong>, <em>June 11</em></p><h2>Taiwan</h2><p><strong>Taiwan says it won't tolerate Chinese patrols, vows expulsions.</strong> Taiwan's coast guard said it would expel any vessel asserting jurisdiction in waters east of Taiwan after China ended a patrol there. Taipei said Beijing had no sovereignty or authority over the area and reported a separate brief intrusion by Chinese government ships near Taiwan-controlled Itu Aba. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/taiwan-says-its-sovereignty-cannot-be-violated-china-ends-coast-guard-patrol-2026-06-11">Reuters</a></strong>, <em>June 11</em></p><p><strong>Taipei envoy sees $14 billion arms package moving ahead under Trump.</strong> Taiwan&#8217;s U.S. envoy Alexander Tah-ray Yui said he expected Washington to approve a pending arms sale after review, though Donald Trump had not decided. KMT leader Cheng Li-wun said her party did not oppose U.S. arms sales but questioned procurement procedures under Taiwan&#8217;s ruling party. <em>Yuanyue Dang</em>, <strong><a href="https://scmp.com/news/us/article/3356818/taipei-envoy-sees-us14-billion-arms-package-moving-ahead-under-trump">South China Morning Post</a></strong>, <em>June 11</em></p><p><strong>KMT chief Cheng Li-wun meets Trump ally Steve Daines in Washington.</strong> Cheng Li-wun met Steve Daines and other U.S. lawmakers during her Washington visit, outlining KMT positions on defence, energy and arms procurement. She said the party values military cooperation with Washington but believes purchases must be financially sound and follow legislative procedures. <em>Xinlu Liang</em>, <strong><a href="https://scmp.com/news/china/politics/article/3356785/kmt-chief-cheng-li-wun-meets-trump-ally-steve-daines-washington">South China Morning Post</a></strong>, <em>June 11</em></p><p><strong>U.S. House panel unveils defense bill with $2 billion for Taiwan.</strong> The U.S. House Appropriations Committee released a fiscal 2027 defense bill allocating $1 billion to the Taiwan Security Cooperation Initiative and another $1 billion for replacement and reimbursement of defense articles and services provided to Taiwan. The bill still requires approval by Congress and the president. <em>Elaine Hou and Evelyn Kao</em>, <strong><a href="https://focustaiwan.tw/politics/202606110012">Focus Taiwan</a></strong>, <em>June 11</em></p><p><strong>Coast guard expels Chinese vessels from Taiping Island restricted waters.</strong> Taiwan&#8217;s Coast Guard Administration said two Chinese official vessels entered restricted waters near Taiping Island twice and made abrupt turns that endangered Taiwanese personnel. The vessels were expelled after warnings, while Taipei condemned the incident as a sovereignty violation and linked it to recent Chinese maritime operations. <em>Joseph Yeh</em>, <strong><a href="https://focustaiwan.tw/politics/202606110018">Focus Taiwan</a></strong>, <em>June 11</em></p><h2>Kazakhstan</h2><p><strong>Kazakhstan and Saudi Arabia sign mining cooperation MOU at AMM Congress.</strong> Kazakhstan and Saudi Arabia signed an agreement on rare earths, critical minerals and mining cooperation during the Astana Mining &amp; Metallurgy Congress. The deal covers expertise exchange, exploration technology, raw materials evaluation, extraction, processing and higher value-added production as both countries seek broader industrial and critical minerals ties. <em>Javier M. Piedra</em>, <strong><a href="https://timesca.com/kazakhstan-and-saudi-arabia-sign-mining-cooperation-mou-at-amm-congress">The Times of Central Asia</a></strong>, <em>June 11</em></p><p><strong>Ambassador Kazykhan calls for U.S.-Kazakhstan critical minerals projects at AMM Congress.</strong> Yerzhan Kazykhan urged U.S. and Kazakh officials and businesses to turn critical minerals cooperation into investment, offtake agreements, processing capacity and resilient supply chains. He presented Kazakhstan as a strategic supplier with major mineral reserves, uranium production, industrial capacity, transport links and legal infrastructure for Western investors. <strong><a href="https://timesca.com/ambassador-kazykhan-calls-for-u-s-kazakhstan-critical-minerals-projects-at-amm-congress">The Times of Central Asia</a></strong>, <em>June 11</em></p><h2>Bangladesh</h2><p><strong>Bangladesh unveils $77 billion budget, eyes 6.5% growth.</strong> Bangladesh introduced a 9.38 trillion taka budget targeting 6.5% growth and 7.5% inflation. The plan raises spending and development expenditure, projects a 3.6% deficit, seeks more foreign borrowing, and emphasizes reforms in taxation, banking, public finance, investment, exports and employment. <em>Ruma Paul</em>, <strong><a href="https://reuters.com/world/asia-pacific/bangladesh-unveils-77-billion-budget-eyes-65-growth-2026-06-11">Reuters</a></strong>, <em>June 11</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-june-12-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/p/asia-daily-june-12-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><p><strong>Washington&#8217;s Asian Allies Need a Backup Plan.</strong> Asian allies face a sharper risk from U.S. unreliability after Trump questioned Taiwan arms sales and troop commitments abroad. Australia, Japan, the Philippines, South Korea, and partners lack a NATO-style fallback and remain exposed to China&#8217;s scale. They should expand domestic defense, co-develop weapons, share intelligence, deepen exercises, and build links with Europe to reduce dependence on Washington. <em>Mira Rapp-Hooper, Zack Cooper</em>, <strong><a href="https://foreignpolicy.com/2026/06/11/trump-asia-strategy-rethink/">Foreign Policy</a></strong>, <em>June 11</em></p><h2>East Asia</h2><p><strong>From Pledges to Plants? Rightsizing China&#8217;s Global Clean Tech Investment.</strong> China&#8217;s outbound clean tech FDI is expanding, but completed projects total $85 billion, half of the $173 billion in announced commitments and below loose $400 billion tallies. Exports dominate overseas market access, while tariffs and local content rules push factory investment in EVs, solar PV, and wind turbines. Political reviews, Beijing controls, cancellations, and mixed local impacts point to piecemeal expansion, not a green-energy tsunami across host markets and sectors. <em>Armand Meyer, Thilo Hanemann, Walter Lam</em>, <strong><a href="https://www.rhg.com">Rhodium Group</a></strong>, <em>June 11</em></p><p><strong>China&#8217;s Techno-Industrial Strategy in the Xi Era: Producing Under Pressure.</strong> China&#8217;s techno-industrial policy under Xi Jinping has become a centralized, security-linked, finance-driven system. The Party-state sets priorities through fiscal, financial, real economy, Party-firm, and overseas channels. Self-reliance, frontier leadership, and supply chain resilience now outrank catch-up growth. Fiscal strain moves support from subsidies toward mandates, guidance funds, credit, and corporate control, creating gains in scale while deepening inefficiency and global trade friction across firms, governments, and markets in strategic sectors. <em>Gerard DiPippo, Jonathon Sine, Benjamin Lenain</em>, <strong><a href="https://www.rand.org/t/RRA4012-1">RAND</a></strong>, <em>June 12</em></p><p><strong>Services Move to the Factory Floor.</strong> Beijing&#8217;s service-sector plan expands services while keeping manufacturing as the economic anchor. The State Council&#8217;s April program and MIIT&#8217;s service-oriented manufacturing agenda push producer services into factories through R&amp;D, logistics, software, supply-chain finance, testing, certification, AI tools, and design. Guangdong will test the model through clusters, smart factories, and cross-regional coordination. Success depends on capability gaps, procurement demand, and controlled openings for foreign service firms that support industrial upgrading goals. <strong><a href="https://chinapolicy.substack.com/p/services-move-to-the-factory-floor">CHINA POLICY</a></strong>, <em>June 11</em></p><p><strong>An Overview of U.S.-China Life Sciences Competition and Cooperation.</strong> Life sciences have become a test of U.S.-China competition and cooperation as security concerns, supply chain dependence, market access barriers, data limits, and Chinese industrial policy reshape biotechnology and pharmaceuticals. U.S. firms rely on China for ingredients, contract research, manufacturing, innovation, talent, and market access. Washington should derisk with allies, strengthen research, preserve useful collaboration, and press Beijing for reciprocal treatment in healthcare markets without sacrificing patient outcomes or competitiveness. <em>Brendan Kelly</em>, <strong><a href="https://asiasociety.org/policy-institute/overview-us-china-life-sciences-competition-and-cooperation">Asia Society</a></strong>, <em>June 11</em></p><p><strong>The Real Problem With Global Trade: How China&#8217;s Currency Manipulation Is Warping the World Economy.</strong> China&#8217;s weak renminbi and broader Asian currency undervaluation are central drivers of global trade imbalances. China&#8217;s property slump, export pivot, subsidies, capital controls, and state bank activity have expanded its surplus and pressured neighbors to hold currencies down. Tariffs have moved assembly through third countries without curbing exports. G7 leaders should revive currency diplomacy and force Beijing to choose between appreciation and coordinated trade restrictions to protect industrial economies and jobs. <em>Brad Setser, Shahin Vall&#233;e</em>, <strong><a href="https://www.foreignaffairs.com/china/real-problem-global-trade">Foreign Affairs</a></strong>, <em>June 11</em></p><p><strong>For Its Own Sake, China Should Change Its Growth Model.</strong> China&#8217;s high-tech export success has not revived household confidence, jobs, or broad growth. Advanced manufacturing is less labor-intensive, clustered in leading coastal cities, and supported by subsidies that strain local finances and crowd sectors such as electric vehicles. Weak domestic demand, falling prices, low rates, and a cheap currency reinforce export reliance. Beijing should diversify demand through stronger consumption and social support. <strong><a href="https://www.economist.com/leaders/2026/06/11/for-its-own-sake-china-should-change-its-growth-model">The Economist</a></strong>, <em>June 11</em></p><p><strong>Sino-US Action Against Drugs Keeps Functional Cooperation High.</strong> Fentanyl cooperation remains a practical channel in U.S.-China relations under &#8220;constructive strategic stability.&#8221; China&#8217;s 2025 precursor controls, export licensing for North America, and expanded substance catalogue target illicit supply chains. Recent extradition and joint arrests show agency-level action. Southeast Asia can benefit through intelligence sharing, joint operations against Golden Triangle synthetic drugs and scam networks, and regulatory alignment with ASEAN partners to improve public health protection beyond bilateral politics efforts. <em>Zha Daojiong</em>, <strong><a href="https://fulcrum.sg/sino-us-action-against-drugs-keeps-functional-cooperation-high/">FULCRUM</a></strong>, <em>June 11</em></p><p><strong>The Chinese Chasing Gold Across Africa.</strong> Chinese miners from Guangxi&#8217;s Shanglin county are returning to Africa&#8217;s goldfields as prices surge, drawn by incomes unavailable at home. Many work in legal gray zones across Mali, Ghana, and other states through local partners, bribes, and front companies. The rush brings robbery, kidnapping, forced labor, arrests, environmental damage, and local anger. Tighter African regulation and weaker equipment sales suggest the small-scale boom may fade within coming years for prospectors. <em>Lim Zhan Ting</em>, <strong><a href="https://www.thinkchina.sg/economy/big-read-chinese-chasing-gold-across-africa">ThinkChina</a></strong>, <em>June 11</em></p><p><strong>In Pyongyang, Ceremonies of Friendship.</strong> Xi Jinping&#8217;s Pyongyang visit showed how China&#8217;s Party press performs power through ritual language, pageantry, and repetition. People&#8217;s Daily framed the trip around friendship, Xi&#8217;s authority, and the Three Unchangings, using slogans to signal hierarchy and strategic intent. Provincial papers echoed the center, showing official media as instruments of consensus, discipline, and upward political signaling within the Chinese Communist Party system of power rather than news providers for public audiences. <em>David Bandurski</em>, <strong><a href="https://chinamediaproject.org/2026/06/11/in-pyongyang-ceremonies-of-friendship">China Media Project</a></strong>, <em>June 11</em></p><p><strong>Drones Hover at Center of Taiwan's Defense Debate.</strong> Taiwan&#8217;s drone industry has become central to disputes over deterrence, identity, and China policy. Lai Ching-te&#8217;s special defense budget would fund U.S. purchases and domestic production, but the KMT-backed legislature blocked local procurement. Drone exports are rising, private firms are active, and Anduril sees Taiwan as a defense exporter. Voters face a choice between self-reliance as deterrence or provocation. <em>Chris Horton</em>, <strong><a href="https://asia.nikkei.com/opinion/drones-hover-at-center-of-taiwan-s-defense-debate">Nikkei Asia</a></strong>, <em>June 11</em></p><h2>Southeast Asia</h2><p><strong>Singapore&#8217;s Middle Power Muscle.</strong> Singapore shows how a small state can exercise middle-power influence through connectivity, credibility, and defense of multilateral rules. Its wealth, ports, airport, refineries, educated workforce, and governance reputation support an outsized role in trade and diplomacy. Initiatives such as the Global Governance Group, Digital Economic Partnership Agreement, Forum of Small States, P4, COVAX cooperation, cyber diplomacy, and climate work advance national interests while great-power rivalry narrows diplomatic room for maneuver. <em>Joseph Chinyong Liow</em>, <strong><a href="https://eastasiaforum.org/2026/06/11/singapores-middle-power-muscle/">East Asia Forum</a></strong>, <em>June 11</em></p><p><strong>Prabowo in Paris: libert&#233;, &#233;galit&#233;, and the autonomy that isn&#8217;t.</strong> Prabowo&#8217;s repeated Paris visits project autonomy while revealing dependence. The $3.5 billion business package adds commercial commitments, not new defense capability, since Rafale jets and Scorp&#232;ne submarines came from earlier deals. Buying aircraft from France, Turkey, South Korea, China, and the United States creates training, logistics, spares, and political burdens. Leader-centered diplomacy masks fuel subsidy costs, limited technology transfer, and public accountability risks for Indonesian industry at home and citizens. <em>Aniello Iannone</em>, <strong><a href="https://www.lowyinstitute.org/the-interpreter/prabowo-in-paris-liberte-egalite-and-the-autonomy-that-isn-t">Lowy Institute</a></strong>, <em>June 11</em></p><p><strong>Indonesia&#8217;s Resource Nationalism Is Testing Its Relationship with China.</strong> Chinese investors in Indonesia&#8217;s nickel sector are challenging Prabowo&#8217;s resource nationalism after royalty hikes, foreign exchange rules, mining quota cuts, and enforcement raised costs. Chinese firms have placed more than $65 billion in smelters, industrial parks, and battery materials, making them central to downstreaming. Jakarta needs that capital but seeks more rent and control, leaving investment plans, policy trust, and China-Indonesia economic ties under strain in a fragile balance. <em>Siwage Dharma Negara, Leo Suryadinata</em>, <strong><a href="https://fulcrum.sg/indonesias-resource-nationalism-is-testing-its-relationship-with-china/">FULCRUM</a></strong>, <em>June 10</em></p><h2>South Asia</h2><p><strong>Accelerating the EV Transition in the Global South Through India-Africa Partnership.</strong> India and African partners can use shared electric mobility challenges to build affordable local EV ecosystems across the Global South. South Africa, Kenya, Nigeria, and Egypt show varied progress in adoption, manufacturing policy, minerals, finance, and transport planning. India offers useful lessons on two-wheelers, three-wheelers, fiscal incentives, charging, battery swapping, and policy sequencing. EMBRACE can anchor cooperation on standards, capital, minerals, skills, and local value creation through structured regional exchanges. <em>Akanksha Golchha, Gaurav Sansanwal, Abhinav Subramaniam</em>, <strong><a href="https://www.csis.org/analysis/accelerating-ev-transition-global-south-through-india-africa-partnership">CSIS</a></strong>, <em>June 11</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: June 11, 2026]]></title><description><![CDATA[Chinese FM urges calm, restraint over Middle East escalation as U.S., Iran exchange fire.]]></description><link>https://www.theasiacable.com/p/asia-daily-june-11-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-june-11-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Thu, 11 Jun 2026 11:31:11 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/6ad9aaca-5ab1-4c76-8704-31ab0aa76ce8_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!pZbj!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:982691,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>Chinese FM urges calm, restraint over Middle East escalation as U.S., Iran exchange fire.</strong> Chinese Foreign Ministry spokesperson Lin Jian said Beijing is deeply concerned about the situation in Iran and urged all parties to remain calm, stop escalating tensions, and take concrete steps to de-escalate. He called for political and diplomatic efforts toward an early, comprehensive and sustained ceasefire. <strong><a href="https://globaltimes.cn/page/202606/1363225.shtml">Global Times</a></strong>, <em>June 10</em></p><p><strong>Trump urged to press Xi on Chinese money laundering tied to Mexican fentanyl cartels.</strong> U.S. lawmakers and witnesses accused Chinese money laundering networks of financing Mexican cartels and urged Donald Trump to raise the issue with Xi Jinping. The hearing cited $312 billion in suspicious activity from 2020 to 2024, while China said the U.S. drug problem was not caused by Beijing. <em>Lucy Quaggin</em>, <strong><a href="https://scmp.com/news/us/diplomacy/article/3356556/us-lawmakers-urge-trump-press-xi-chinese-money-laundering-tied-mexican-cartels">South China Morning Post</a></strong>, <em>June 9</em></p><p><strong>U.S. hits China- and Hong Kong-based entities with sanctions over Iran weapons.</strong> Washington imposed sanctions on 11 people and entities accused of supporting weapons procurement for Iran's Revolutionary Guard and military. Nine were based in China or Hong Kong, including individuals and companies linked to procurement and a Hong Kong firm tied to Iran's clandestine banking network. <em>Andrea &#8203;Shalal and Daphne Psaledakis</em>, <strong><a href="https://reuters.com/business/finance/us-hits-china-hong-kong-based-entities-with-sanctions-over-iran-weapons-2026-06-10">Reuters</a></strong>, <em>June 10</em></p><p><strong>China, Taiwan spar over legality of coast guard patrols east of island.</strong> Beijing defended coast guard patrols east of Taiwan as lawful protection of sovereignty, after Taipei accused Chinese vessels of harassing merchant ships. Taiwanese officials said China was using law enforcement claims to expand control and undermine the maritime status quo. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/world/asia-pacific/china-taiwan-spar-over-legality-coast-guard-patrols-east-island-2026-06-10">Reuters</a></strong>, <em>June 10</em></p><h2>Japan</h2><p><strong>LDP adopts plan to transform defenses, invest in drones and AI.</strong> Japan&#8217;s ruling LDP approved a proposal to revise three security documents and shift defense planning toward drones, AI and unmanned systems. The plan avoids a specific spending target but calls for stronger sustainment capabilities, broader defense industrial support, and rapid adaptation to new warfare lessons from Ukraine. <em>Suzuka Tominaga and Mizuki Sato</em>, <strong><a href="https://www.asahi.com/ajw/articles/16631892">The Asahi Shimbun</a></strong>, <em>June 10</em></p><p><strong>Aide&#8217;s alleged role in smear videos turns up heat on Takaichi.</strong> Prime Minister Sanae Takaichi faced mounting pressure over claims that an aide was involved in AI-generated smear videos targeting LDP leadership rivals. Opposition parties demanded the aide appear before the Diet, while Takaichi denied involvement and said the reported audio evidence was difficult to verify. <strong><a href="https://www.asahi.com/ajw/articles/16632965">The Asahi Shimbun</a></strong>, <em>June 10</em></p><p><strong>Japan, Malaysia agree to boost energy, maritime security cooperation.</strong> Sanae Takaichi and Anwar Ibrahim agreed to deepen cooperation on energy security, maritime safety, defense, critical minerals and supply chains. Malaysia pledged stable LNG and naphtha supplies to Japan, while both sides signed a coast guard cooperation document and discussed AI collaboration ahead of 70 years of diplomatic ties. <strong><a href="https://english.kyodonews.net/articles/-/77603">Kyodo News</a></strong>, <em>June 10</em></p><h2>South Korea</h2><p><strong>EU and South Korea deepen ties with digital pact to bolster trade.</strong> The European Union and South Korea signed a digital trade agreement at their first summit in three years. The pact aims to ease cross-border data flows, recognize electronic contracts and signatures, protect consumers, reduce business costs, and expand digital services trade. <em>Philip Blenkinsop</em>, <strong><a href="https://reuters.com/world/asia-pacific/eu-south-korea-deepen-ties-with-digital-pact-bolster-trade-2026-06-10">Reuters</a></strong>, <em>June 10</em></p><p><strong>Lee arrives in Italy for talks with Italian president, PM.</strong> President Lee Jae Myung arrived in Italy for meetings with President Sergio Mattarella and Prime Minister Giorgia Meloni as part of his 10-day Europe trip. His schedule includes a summit, a joint press announcement, Mass at St. Peter&#8217;s Basilica, a meeting with Pope Leo XIV, and attendance at the G7 summit in France. <em>Park Boram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260610011151315">Yonhap News Agency</a></strong>, <em>June 10</em></p><p><strong>Election watchdog launches fact-finding team to look into ballot shortages.</strong> South Korea&#8217;s National Election Commission began an investigation into ballot shortages reported at more than a dozen Seoul polling stations during local elections. The committee said the NEC lacked a manual for such shortages and will examine internal reporting, response procedures, reduced ballot-printing guidelines, and accountability measures. <em>Kim Hyun-soo</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260610010351315">Yonhap News Agency</a></strong>, <em>June 10</em></p><h2>North Korea</h2><p><strong>China's Xi says he reached important consensus with Kim in North Korea visit, KCNA reports.</strong> Xi Jinping said he and Kim Jong-un reached important consensus during his Pyongyang visit and agreed to safeguard regional and global peace. The leaders pledged to deepen ties, expand cooperation in politics, economy, trade and culture, reopen transport links, and strengthen strategic communication. <em>Kyu-seok Shim and Liz Lee</em>, <strong><a href="https://reuters.com/world/china/chinas-xi-says-he-reached-important-consensus-with-kim-north-korea-visit-kcna-2026-06-09">Reuters</a></strong>, <em>June 9</em></p><h2>Thailand</h2><p><strong>Groups seek new charter draft body.</strong> Civil society groups launched a campaign to collect 50,000 signatures for a constitutional amendment bill creating a fully elected Constitution Drafting Assembly. The proposal would include provincial and social-group representatives, a 35-member drafting committee, public participation, assembly approval, and a referendum on the final charter. <em>Aekarach Sattaburuth</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3268414/groups-seek-new-charter-draft-body">Bangkok Post</a></strong>, <em>June 10</em></p><p><strong>Senate poll misconduct claims find new evidence.</strong> Reserve Senate candidates and an election inspector submitted fresh evidence to the opposition alleging misconduct by election authorities in the 2024 Senate vote. Claims include coordinated voting lists, failure to intervene, CCTV footage involving an election commissioner, and a dismissed inquiry into 229 people, including sitting senators. <em>Chairith Yonpiam</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3268454/senate-poll-misconduct-claims-find-new-evidence">Bangkok Post</a></strong>, <em>June 10</em></p><h2>Myanmar</h2><p><strong>Global union urges sanctions on Myanmar regime over labor abuses.</strong> IndustriALL urged the ILO and its members to sanction Myanmar&#8217;s regime, cut diplomatic ties, and end preferential trade agreements over forced labor and attacks on unions. Labor activists warned that severing ties with Western brands could leave garment workers jobless and further shift the industry toward Chinese companies. <em>Phoe Tar</em>, <strong><a href="https://irrawaddy.com/news/myanmars-crisis-the-world/global-union-urges-sanctions-on-myanmar-regime-over-labor-abuses.html">The Irrawaddy</a></strong>, <em>June 10</em></p><p><strong>Cash-strapped Myanmar regime in money-printing frenzy.</strong> Myanmar&#8217;s regime is printing money to finance widening deficits as tax revenues collapse and military spending rises. Economists estimate more than 70% of the deficit is financed through Central Bank borrowing, while inflation, kyat depreciation and fuel costs have worsened economic pressure. <strong><a href="https://irrawaddy.com/news/burma/cash-strapped-myanmar-regime-in-money-printing-frenzy.html">The Irrawaddy</a></strong>, <em>June 10</em></p><h2>Cambodia</h2><p><strong>Cambodia, UK agree to diversify ties; trade envoy in Cambodia.</strong> Cambodia and the United Kingdom agreed to diversify cooperation in trade, investment, education, defense, security, public financial management and cybercrime response. Matt Western returned as trade envoy to promote investment links, while Cambodia continues to receive duty-free access for most exports under the UK&#8217;s Developing Countries Trading Scheme. <em>Teng Yalirozy</em>, <strong><a href="https://cambodianess.com/article/cambodia-uk-agree-to-diversify-ties-trade-envoy-in-cambodia">Cambodianess</a></strong>, <em>June 10</em></p><p><strong>Hun Sen rejects Thai media report on border force, reaffirms peaceful approach to border dispute.</strong> Hun Sen rejected Thai media claims that he supported using force in the border dispute and said Cambodia would rely on peaceful mechanisms and diplomacy. He urged Thai media and politicians to verify information, warning that military action would prolong conflict and endanger a fragile ceasefire. <em>Khorn Champa</em>, <strong>Cambodianess</strong>, <em>June 10</em></p><h2>Philippines</h2><p><strong>Philippines urges China to remove shoal structure, warns against island-building.</strong> Manila urged Beijing to remove a floating platform at Scarborough Shoal and warned it would not allow the atoll to become a man-made island. Philippine officials said the platform had an antenna and personnel, while China called its activities legitimate scientific research. <em>Nestor Corrales and Karen Lema</em>, <strong><a href="https://reuters.com/world/china/philippines-urges-china-remove-new-structure-disputed-shoal-south-china-sea-2026-06-10">Reuters</a></strong>, <em>June 10</em></p><p><strong>Philippines foreign minister says she plans to meet Myanmar ethnic groups soon.</strong> Philippine Foreign Affairs Secretary Ma. Theresa Lazaro said she intends to meet Myanmar ethnic armed groups to understand conditions and explore ways to help. As ASEAN chair and special envoy to Myanmar, Manila is seeking engagement after hosting a January stakeholders' meeting with ethnic rebel groups. <em>Mikhail Flores</em>, <strong><a href="https://reuters.com/world/china/philippines-foreign-minister-says-she-plans-meet-myanmar-ethnic-groups-soon-2026-06-10">Reuters</a></strong>, <em>June 10</em></p><p><strong>Duterte: Senate row reflection of Marcos leadership.</strong> Vice President Sara Duterte said the Senate leadership dispute between the Cayetano and Gatchalian blocs reflects unclear national direction under President Ferdinand Marcos Jr. She urged senators to focus on constitutional duties, said the Supreme Court should address legality questions, and renewed criticism of efforts to silence opposition. <em>Red Mendoza</em>, <strong><a href="https://manilatimes.net/2026/06/11/news/national/duterte-senate-row-reflection-of-marcos-leadership/2362941">The Manila Times</a></strong>, <em>June 10</em></p><p><strong>Philippines convenes ASEAN meeting.</strong> The Philippines convened ASEAN senior officials in Pasay City to sustain momentum under its 2026 chairship. Discussions covered Treaty of Amity and Cooperation accession, the treaty&#8217;s 50th anniversary, nuclear weapon-free zone cooperation, external partner engagement, and preparations for the July ASEAN Foreign Ministers&#8217; Meeting. <em>Philippine News Agency</em>, <strong><a href="https://manilatimes.net/2026/06/11/news/national/ph-convenes-asean-meeting/2362957">The Manila Times</a></strong>, <em>June 10</em></p><h2>Indonesia</h2><p><strong>Indonesian military court jails four officers involved in acid attack on rights activist.</strong> An Indonesian military court sentenced four officers to prison terms of up to three years for an acid attack on KontraS activist Andrie Yunus. Judges said the assault was not ordered through the military chain of command, while rights groups criticized the sentences as too lenient. <em>Ananda Teresia</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesian-military-court-sentences-four-officers-involved-acid-attack-rights-2026-06-10">Reuters</a></strong>, <em>June 10</em></p><p><strong>Indonesia swallows bitter pill to stem market rout as policy tide turns.</strong> Indonesia raised interest rates, paused liquidity injections, increased gasoline prices by 32%, and halted expansion of Prabowo Subianto's free meals programme to stabilize markets. The rupiah and stocks rebounded, while economists said policy had shifted from growth toward stability. <em>Stefanno Sulaiman and Gibran Peshimam</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesia-swallows-bitter-pill-stem-market-rout-policy-tide-turns-2026-06-10">Reuters</a></strong>, <em>June 10</em></p><h2>Taiwan</h2><p><strong>Taiwan fires battle-tested rockets in shoot-and-scoot anti-invasion drill.</strong> Taiwan fired HIMARS rockets on its west coast for the first time, simulating strikes against an invading Chinese force. The drill tested mobile launch, withdrawal, and survivability tactics, supporting Taiwan's push for asymmetric defenses alongside domestically developed Thunderbolt-2000 systems. <em>Angie Teo and David Lague</em>, <strong><a href="https://reuters.com/world/china/taiwan-fires-battle-tested-rockets-shoot-and-scoot-anti-invasion-drill-2026-06-10">Reuters</a></strong>, <em>June 10</em></p><h2>Kazakhstan</h2><p><strong>Kazakhstan, Netherlands reach deals on $185 million in joint projects.</strong> Kazakhstan and the Netherlands agreed to advance joint projects after a business forum during GreenTech Amsterdam 2026. Discussions covered agri-food exports, inspection and certification, Rotterdam logistics links, the Trans-Caspian route, shipbuilding and ship repair in Mangystau, and agricultural technology projects with Dutch companies. <em>Assel Satubaldina</em>, <strong><a href="https://astanatimes.com/2026/06/kazakhstan-netherlands-reach-deals-on-185-million-in-joint-projects">The Astana Times</a></strong>, <em>June 10</em></p><p><strong>Trump envoy tells Tokayev he has friend in White House.</strong> President Kassym-Jomart Tokayev and U.S. Special Envoy Sergio Gor discussed expanding Kazakhstan-U.S. cooperation in trade, investment, critical minerals, transport, logistics and digitalization. Gor said more than $20 billion in deals had been concluded over the past year, while Tokayev confirmed plans to attend the G20 summit in Miami. <em>Assel Satubaldina</em>, <strong><a href="https://astanatimes.com/2026/06/trump-envoy-tells-tokayev-he-has-friend-in-white-house/">The Astana Times</a></strong>, <em>June 10</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-june-11-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:&quot;button-wrapper&quot;}" data-component-name="ButtonCreateButton"><a class="button primary button-wrapper" href="https://www.theasiacable.com/p/asia-daily-june-11-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:&quot;&quot;,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" title="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>The Fault Lines in China&#8217;s Power.</strong> Washington lacks leverage against Beijing despite China&#8217;s economic strains, supply dependencies, export reliance, and hidden influence operations. China used rare-earth controls to pressure the United States during the 2025 trade war. Stronger technology controls, coordinated trade defenses, financial deterrence, energy pressure, and exposure of covert activity would raise costs for aggression while protecting US interests through calibrated pressure. <em>Ely Ratner, Nick Danby</em>, <strong><a href="https://www.foreignaffairs.com/china/fault-lines-chinas-power-ratner-danby">Foreign Affairs</a></strong>, <em>June 10</em></p><p><strong>China&#8217;s space rise is real &#8212; yet key gaps still keep the US ahead.</strong> China is narrowing the space innovation gap with the United States, with advantages in navigation, Earth observation, anti-satellite capabilities, and fast space station development. The United States retains leads in low-Earth orbit broadband, reusable rockets, satellite scale, and launch capacity. China&#8217;s commercial firms show maturity, but limited payload capacity, launchpad constraints, and isolation from overseas launch options slow its bid for leadership. <em>Li Kang</em>, <strong><a href="https://www.thinkchina.sg/technology/chinas-space-rise-real-yet-key-gaps-still-keep-us-ahead">ThinkChina</a></strong>, <em>June 10</em></p><p><strong>Xi in Pyongyang: Opening Asia&#8217;s frozen northeast frontier.</strong> Xi Jinping&#8217;s Pyongyang visit signaled a bid to keep North Korea tied to China while avoiding a rigid bloc with Russia. Economic cooperation, border links, trade, infrastructure, health care, and transport could revive a northern corridor connecting China&#8217;s northeast, the Tumen River, Rason, Russia&#8217;s Far East, and the Sea of Japan. Sanctions, banking risk, and political controls will keep progress limited and managed. <em>Hao Nan</em>, <strong><a href="https://www.thinkchina.sg/politics/xi-pyongyang-opening-asias-frozen-northeast-frontier">ThinkChina</a></strong>, <em>June 10</em></p><p><strong>South Korea&#8217;s labour protection gains leave more part-time workers behind.</strong> South Korea&#8217;s marginal part-time workforce grew as stronger compliance with protections above the 15-hour threshold made the cutoff costly for employers. Workers below that limit remain excluded from paid leave, social insurance, pensions, and severance pay. Public awareness helped strengthen compliance, but policy design created incentives to keep employees outside protections, leaving precarious workers exposed. <em>Su Hwan Chung</em>, <strong><a href="https://eastasiaforum.org/2026/06/10/south-koreas-labour-protection-gains-leave-more-part-time-workers-behind">East Asia Forum</a></strong>, <em>June 10</em></p><h2>Southeast Asia</h2><p><strong>How Small States Can Survive Big Changes: Laos, Mekong and ASEAN in the Age of Might Makes Right.</strong> Laos can survive a harsher order through geopolitical skill, stronger institutions, strategic partnerships, and capable leaders. Its landlocked position can become regional leverage through Mekong energy, water storage, transport, and ASEAN connectivity. A New Mekong Deal would coordinate dams, protect flows, expand green power, and make Laos useful to neighbors. Stronger ASEAN and Mekong bodies would help small states resist pressure. <em>Anoulak Kittikhoun</em>, <strong><a href="https://fulcrum.sg/how-small-states-can-survive-big-changes-laos-mekong-and-asean-in-the-age-of-might-makes-right">FULCRUM</a></strong>, <em>June 10</em></p><p><strong>China and the US: Who Will Better Understand Southeast Asia?</strong> Washington is cutting area studies while Beijing expands state-backed regional research, creating rival weaknesses in understanding Southeast Asia. The US model protects academic autonomy but faces funding collapse and fewer language-trained specialists. China can scale expertise, language study, and policy research, yet state priorities may narrow inquiry. Southeast Asia&#8217;s complexity demands local languages, fieldwork, open debate, and respect for regional agency beyond great-power rivalry. <em>Zenobia Chan</em>, <strong><a href="https://fulcrum.sg/china-and-the-us-who-will-better-understand-southeast-asia">FULCRUM</a></strong>, <em>June 10</em></p><h2>South Asia</h2><p><strong>Breaking Pakistan&#8217;s LNG dependence cycle.</strong> Pakistan&#8217;s LNG supply crisis exposed dependence on Qatar and long-term fuel contracts after the conflict disrupted the Strait of Hormuz. Power shortages have eased through solar growth, hydropower, and diverse generation, but summer demand and high spot prices threaten costs. New LNG contracts carry price and oversupply risks. Faster renewable deployment and battery storage integration offer a route toward energy security. <em>Haneea Isaad, Sam Reynolds</em>, <strong><a href="https://eastasiaforum.org/2026/06/10/breaking-pakistans-lng-dependence-cycle">East Asia Forum</a></strong>, <em>June 10</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p><p></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: June 10, 2026]]></title><description><![CDATA[U.S. says BYD, Baidu, Alibaba and other tech giants are aiding China's military.]]></description><link>https://www.theasiacable.com/p/asia-daily-june-10-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-june-10-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Wed, 10 Jun 2026 11:03:50 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/b6c70cf7-b5d1-4911-8fe9-52e45c313b7d_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!Gxkt!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1003367,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>U.S. says BYD, Baidu, Alibaba and other tech giants are aiding China's military.</strong> The Pentagon added major Chinese technology firms to a military-linked company list, including Alibaba, Baidu, BYD, NIO, CXMT, YMTC, WuXi AppTec, RoboSense and Unitree. The designation restricts future U.S. government contracting, while several companies rejected the listing and said they would challenge it. <em>Michael Martina, David Shepardson, and Eduardo Baptista</em>, <strong><a href="https://www.reuters.com/world/asia-pacific/pentagon-lists-entities-designated-chinese-military-company-2026-06-08/">Reuters</a></strong>, <em>June 8</em></p><p><strong>U.S. lawmakers urge tighter rules on contract chipmakers supplying Chinese firms' overseas units.</strong> Senators Jim Banks and Andy Kim urged tighter rules on foundries such as TSMC to prevent advanced AI chips from reaching overseas subsidiaries of Chinese companies. The request followed U.S. export-control guidance requiring licenses for sales to Chinese company units in third countries. <em>Stephen Nellis</em>, <strong><a href="https://reuters.com/legal/litigation/us-lawmakers-urge-tighter-rules-contract-chipmakers-supplying-chinese-firms-2026-06-09">Reuters</a></strong>, <em>June 9</em></p><p><strong>China debate reaches fever pitch in Brussels as EU&#8217;s crunch fortnight kicks off.</strong> EU officials began a decisive period of China policymaking as Beijing warned against moves restricting Chinese firms&#8217; market access. Brussels is weighing tougher trade tools, sanctions and supplier-diversification measures, while Germany&#8217;s position remains central to any major policy shift. <em>Finbarr Bermingham</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3356515/china-debate-reaches-fever-pitch-brussels-eus-crunch-fortnight-kicks">South China Morning Post</a></strong>, <em>June 9</em></p><p><strong>Taiwanese lawmakers spar over 12-fold budget rise for U.S. joint defence programme.</strong> Taiwan&#8217;s legislature debated a sharp funding increase for a joint defence planning programme with the United States. Critics questioned the cost and transparency, while defence officials said the expanded project would assess joint capabilities, emerging technologies, resilience and future military cooperation. <em>Lawrence Chung</em>, <strong><a href="https://www.scmp.com/news/china/politics/article/3356516/taiwanese-lawmakers-spar-over-12-fold-budget-rise-us-joint-defence-programme">South China Morning Post</a></strong>, <em>June 9</em></p><p><strong>Xi Jinping&#8217;s visit to North Korean war monument evokes eternal historical memory.</strong> Xi Jinping and Kim Jong-un visited the Sino-Korean Friendship Tower in Pyongyang to honour Chinese soldiers who fought in the Korean war. Both sides pledged to maintain memorial sites and promote revolutionary education as symbols of shared sacrifice and enduring China-North Korea ties. <em>Cao Jiaxuan</em>, <strong><a href="https://www.scmp.com/news/china/diplomacy/article/3356485/xi-jinpings-visit-north-korean-war-monument-evokes-eternal-historical-memory">South China Morning Post</a></strong>, <em>June 9</em></p><p><strong>Driven by AI demand, China on track to pass U.S. as top nuclear energy producer.</strong> China is expected to overtake the United States in nuclear power as AI demand and energy security concerns drive reactor construction. Gavekal Technologies said China holds nearly half of global reactors under construction and benefits from standardized designs, localized supply chains and faster build times. <em>Xinyi Wu</em>, <strong><a href="https://www.scmp.com/economy/global-economy/article/3356510/driven-ai-demand-china-track-pass-us-top-nuclear-energy-producer">South China Morning Post</a></strong>, <em>June 9</em></p><h2>Japan</h2><p><strong>Speaker shakes fragile Diet consensus on imperial family.</strong> Lower House Speaker Eisuke Mori said sons born to adopted male-line descendants from former imperial branches could inherit the throne, raising a dispute beyond the draft consensus. The draft supports allowing female royals to retain status after marriage and adopting male-line males, but parties warned succession rights and female-line options remain unresolved. <strong><a href="https://asahi.com/ajw/articles/16629398">The Asahi Shimbun</a></strong>, <em>June 9</em></p><p><strong>LDP mulls proposal to automatically cut 45 Lower House seats.</strong> The ruling LDP considered a proposal to cut 45 proportional representation seats if a ruling-opposition panel fails to agree within a year. Sanae Takaichi and Nippon Ishin leader Hirofumi Yoshimura seek a bill by July 17, but opposition parties rejected reducing only proportional seats, warning smaller parties would be hit harder. <strong><a href="https://japantimes.co.jp/news/2026/06/09/japan/politics/ldp-lower-house-seat-cut-proposal">The Japan Times</a></strong>, <em>June 9</em></p><h2>South Korea</h2><p><strong>South Korea's cabinet approves decree on $350 billion U.S. investment plan.</strong> South Korea's cabinet approved a decree setting terms for $350 billion in U.S. investments under a trade deal with Washington. The plan includes $200 billion for strategic industries, $150 billion for shipbuilding cooperation, and a 20-year state-backed investment corporation. <em>Heejin Kim and Joyce Lee</em>, <strong><a href="https://reuters.com/world/asia-pacific/south-koreas-cabinet-approves-decree-350-bln-us-investment-plan-2026-06-09">Reuters</a></strong>, <em>June 9</em></p><p><strong>Court issues order to preserve evidence over ballot shortage.</strong> A Seoul court ordered preservation of ballot boxes, surveillance footage, and NEC employee messages linked to ballot shortages at a polling station in Songpa Ward. Other evidence requests were rejected, while protesters continued demanding a rerun after voting was temporarily suspended in parts of Seoul. <em>Kang Jae-eun</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260609011551320">Yonhap News Agency</a></strong>, <em>June 9</em></p><p><strong>Lee arrives in Brussels for summits with Belgian, EU leaders.</strong> President Lee Jae Myung arrived in Brussels for meetings with Belgian Prime Minister Bart De Wever, King Philippe, and European Commission President Ursula Gertrud von der Leyen. Lee also met South Korean community members and pledged support as Seoul and Brussels mark 125 years of diplomatic relations. <em>Park Boram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260609001451315">Yonhap News Agency</a></strong>, <em>June 9</em></p><h2>North Korea</h2><p><strong>U.S. lawmakers urge tighter rules on contract chipmakers supplying Chinese firms' overseas units.</strong> Senators Jim Banks and Andy Kim urged tighter rules on foundries such as TSMC to prevent advanced AI chips from reaching overseas subsidiaries of Chinese companies. The request followed U.S. export-control guidance requiring licenses for sales to Chinese company units in third countries. <em>Stephen Nellis</em>, <strong><a href="https://reuters.com/legal/litigation/us-lawmakers-urge-tighter-rules-contract-chipmakers-supplying-chinese-firms-2026-06-09">Reuters</a></strong>, <em>June 9</em></p><p><strong>North Korea, China vow new era of ties in Kim-Xi summit: KCNA.</strong> Kim Jong-un and Xi Jinping agreed in Pyongyang to expand cooperation in politics, the economy, culture, diplomacy, law enforcement and military affairs. Both sides pledged stronger high-level communication and mutual support for sovereignty and security, while reports omitted nuclear issues and the Korean Peninsula situation. <em>Woo Jae-yeon</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260609000653315">Yonhap News Agency</a></strong>, <em>June 9</em></p><h2>Vietnam</h2><p><strong>Vietnam orders airlines to accelerate U.S. deals as Washington trade probes mount.</strong> Vietnam ordered major airlines to review Boeing and Pratt &amp; Whitney agreements and propose new U.S. import deals as trade probes from Washington intensify. Vietnam Airlines, Vietjet Air and Sun Phu Quoc Airways were asked to report progress on aircraft and engine purchases. <strong><a href="https://reuters.com/business/aerospace-defense/vietnam-orders-airlines-accelerate-us-deals-washington-trade-probes-mount-2026-06-09">Reuters</a></strong>, <em>June 9</em></p><h2>Thailand</h2><p><strong>EC chief silent on performance evaluation.</strong> Election Commission secretary-general Sawaeng Boonmee declined to comment on reports that commissioners failed his 2025 performance evaluation, including claims he scored below 60%. He said the EC may seek a legal interpretation while separately urging public participation in monitoring Bangkok's June 28 local elections. <strong><a href="https://bangkokpost.com/thailand/politics/3267988/ec-chief-silent-on-performance-evaluation">Bangkok Post</a></strong>, <em>June 8</em></p><p><strong>Thai jobs for Myanmar refugees could show way forward for Asian nations, U.N. says.</strong> More than 5,500 Myanmar refugees in Thai border camps have found jobs since Thailand eased employment restrictions. The U.N. said the policy could guide other Asian countries hosting long-term refugee populations, while legal work permits provide wages, healthcare coverage, identity cards and access to formal financial services. <em>Panu Wongcha-Um</em>, <strong><a href="https://reuters.com/world/asia-pacific/thai-jobs-myanmar-refugees-could-show-way-forward-asian-nations-un-says-2026-06-09">Reuters</a></strong>, <em>June 9</em></p><h2>Myanmar</h2><p><strong>Indonesia warns Myanmar regime that ASEAN peace plan remains crucial.</strong> Indonesian Foreign Minister Sugiono told Min Aung Hlaing that ASEAN&#8217;s Five-Point Consensus remains central to Myanmar&#8217;s ties with the bloc. Jakarta reaffirmed support for dialogue with all stakeholders, while regime media portrayed the visit as recognition despite continued ASEAN restrictions on the junta leadership. <em>Maung Kavi</em>, <strong><a href="https://irrawaddy.com/news/burma/indonesia-warns-myanmar-regime-that-asean-peace-plan-remains-crucial.html">The Irrawaddy</a></strong>, <em>June 9</em></p><p><strong>Exposed regime military suppliers still operating in Singapore: JFM.</strong> Justice For Myanmar said 13 of 33 Singapore-registered firms previously linked to arms, dual-use goods, technology, and aviation fuel supplies for Myanmar&#8217;s military remain active. The group urged Singapore to act against companies and banks enabling the junta&#8217;s supply chain before it assumes ASEAN&#8217;s rotating chair in 2027. <strong><a href="https://irrawaddy.com/news/myanmars-crisis-the-world/exposed-regime-military-suppliers-still-operating-in-singapore-jfm.html">The Irrawaddy</a></strong>, <em>June 9</em></p><h2>Laos</h2><p><strong>Laos, Vietnam deepen strategic partnership, target $10 billion trade record.</strong> Lao Prime Minister Sonexay Siphandone visited Vietnam for talks with Prime Minister Le Minh Hung and the 3rd ASEAN Future Forum. Both sides reviewed rising trade, Vietnamese investment in Laos, defence and education cooperation, and signed four documents covering finance, ethnic and religious affairs, education, and transport communications. <strong><a href="https://vientianetimes.org.la/freefreenews/freecontent_107_Laos_Vietnam_y26.php">Vientiane Times</a></strong>, <em>June 9</em></p><h2>Cambodia</h2><p><strong>Cambodia&#8217;s defence chief rejects border war build-up claim.</strong> Defence Minister Tea Seiha rejected Thai media claims that Cambodia was increasing frontline troops and weapons to prepare for war. He said Cambodia remains committed to peaceful mechanisms, including border agreements and the Joint Boundary Commission, while seeking a UNCLOS-based resolution to maritime disputes. <em>Meng Seavmey</em>, <strong><a href="https://cambodianess.com/article/cambodias-defence-chief-rejects-border-war-build-up-claim">Cambodianess</a></strong>, <em>June 9</em></p><p><strong>Hun Sen says Cambodia will not choose war, warns against becoming lifetime enemies.</strong> Hun Sen apologized for Cambodia&#8217;s past lack of military preparedness but said the country must not choose war in its border dispute with Thailand. He urged peaceful resolution, respect for ceasefire commitments, continued demands for disputed land, and restraint to prevent generational hostility. <em>Sao Phal Niseiy</em>, <strong><a href="https://cambodianess.com/article/hun-sen-says-cambodia-will-not-choose-war-warns-against-becoming-lifetime-enemies">Cambodianess</a></strong>, <em>June 9</em></p><h2>Philippines</h2><p><strong>Philippines takes diplomatic action against China over floating structure in South China Sea.</strong> The Philippines took diplomatic action over a floating structure at Scarborough Shoal, calling its presence illegal. The structure appeared to have an antenna and may have been manned. Manila said it was monitoring the installation, while Beijing claimed sovereignty and said its activities were legitimate. <em>Mikhail Flores and Nestor Corrales</em>, <strong><a href="https://reuters.com/world/china/philippines-takes-diplomatic-action-against-china-over-floating-structure-south-2026-06-09">Reuters</a></strong>, <em>June 9</em></p><p><strong>Gatchalian orders Senate lockdown.</strong> Acting Senate President Sherwin Gatchalian ordered an indefinite Senate lockdown and heightened security after an NBI report warned of plans to disrupt proceedings and target facilities or records. Visitors were barred, employees shifted to two days of remote work, and officials said security reviews would proceed while legislative functions continue. <em>Javier Joe Ismael and Bernadette E. Tamayo</em>, <strong><a href="https://manilatimes.net/2026/06/10/news/national/gatchalian-orders-senate-lockdown/2361914">The Manila Times</a></strong>, <em>June 9</em></p><h2>Indonesia</h2><p><strong>Indonesia parliament amends law to allow police to serve in civilian government.</strong> Indonesia's parliament amended the national police law to let serving officers take civilian government posts without resigning when roles relate to police functions. Supporters said the change improves flexibility, while critics said it undermines professionalism, conflicts with a Constitutional Court ruling and signals growing security-force influence under Prabowo Subianto. <em>Ananda Teresia</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesia-parliament-amends-law-allow-police-serve-civilian-government-2026-06-09">Reuters</a></strong>, <em>June 9</em></p><p><strong>President Prabowo receives credentials from nine foreign ambassadors.</strong> President Prabowo Subianto received credentials from ambassadors of Guatemala, Qatar, Kenya, Fiji, Morocco, Portugal, Panama, North Korea, and Mozambique. He reaffirmed Indonesia&#8217;s free and active foreign policy and called for broader international cooperation, completing the credentials from all 17 newly appointed ambassadors. <strong><a href="https://en.antaranews.com/news/418651/president-prabowo-receives-credentials-from-nine-foreign-ambassadors">ANTARA News</a></strong>, <em>June 9</em></p><p><strong>Indonesia, Singapore deepen investment and green energy ties.</strong> Indonesia and Singapore advanced cooperation in investment, the digital economy, green energy, manufacturing, and agricultural technology. Projects include Batam-Bintan-Karimun digital hub development, Nongsa and Kendal expansions, data center investments, and a 200-megawatt solar project with an 80-megawatt-hour battery system. <strong><a href="https://en.antaranews.com/news/418589/indonesia-singapore-deepen-investment-and-green-energy-ties">ANTARA News</a></strong>, <em>June 9</em></p><h2>Singapore</h2><p><strong>Singapore to negotiate FTA with East African bloc.</strong> Singapore will pursue its first free trade agreement with an African partner through talks with the eight-member East African Community. Tharman Shanmugaratnam said the pact would diversify trade networks, improve market access, support digital economy growth, and make Singapore a gateway to ASEAN for East African exporters. <em>Chin Soo Fang</em>, <strong><a href="https://straitstimes.com/singapore/politics/singapore-to-negotiate-fta-with-regional-bloc-of-8-east-african-countries">The Straits Times</a></strong>, <em>June 9</em></p><h2>Taiwan</h2><p><strong>Taiwan simulates destroying an invading Chinese force in coastal drill.</strong> Taiwan's military held a coastal exercise near Taichung, firing rockets, artillery, anti-tank missiles and mortars to simulate stopping a Chinese amphibious assault. Commanders said the drill used tighter preparation timelines and more realistic combat conditions, including live-fire use of Thunderbolt-2000 rocket systems. <em>Angie Teo and David Lague</em>, <strong><a href="https://reuters.com/business/aerospace-defense/taiwan-simulates-destroying-an-invading-chinese-force-coastal-drill-2026-06-09">Reuters</a></strong>, <em>June 9</em></p><p><strong>Taiwan says China coast guard harassed commercial shipping off its coast.</strong> Taiwan said Chinese coast guard vessels questioned commercial ships near its coast about their origins and destinations while claiming jurisdiction. Taiwan's coast guard told merchant ships to ignore the inquiries and said there were no boardings or inspections, while the U.S. urged Beijing to stop pressure against Taiwan. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/taiwan-says-china-coast-guard-harassed-commercial-shipping-off-its-coast-2026-06-09">Reuters</a></strong>, <em>June 9</em></p><h2>Kazakhstan</h2><p><strong>Kazakhstan, U.S. discuss expanded strategic cooperation in key economic sectors.</strong> Foreign Minister Yermek Kosherbayev and U.S. Special Envoy Sergio Gor discussed expanding cooperation in investment, innovation, AI, education, science, transport, logistics, and critical minerals. They also reviewed agreements reached by Presidents Kassym-Jomart Tokayev and Donald Trump and preparations for the C5+1 Critical Minerals Dialogue. <em>Dana Omirgazy</em>, <strong><a href="https://astanatimes.com/2026/06/kazakhstan-us-discuss-expanded-strategic-cooperation-in-key-economic-sectors">The Astana Times</a></strong>, <em>June 9</em></p><p><strong>Kazakhstan, South Korea deepen economic cooperation ahead of Tokayev&#8217;s Seoul visit.</strong> Kazakhstan and South Korea reviewed cooperation in trade, investment, energy, critical minerals, technology, and nuclear development ahead of President Kassym-Jomart Tokayev&#8217;s visit to Seoul. Officials discussed expanding exports, removing business barriers, developing Alatau City, and creating working groups on green energy, AI, critical minerals, and infrastructure. <em>Dana Omirgazy</em>, <strong><a href="https://astanatimes.com/2026/06/kazakhstan-south-korea-deepen-economic-cooperation-ahead-of-tokayevs-seoul-visit">The Astana Times</a></strong>, <em>June 9</em></p><h2>Kyrgyzstan</h2><p><strong>Kyrgyzstan airlines see EU flight ban lifted after two decades.</strong> The European Commission removed all Kyrgyzstan-certified airlines from the EU Air Safety List, ending restrictions imposed in 2006. Airlines still need suitable aircraft and EU operating approval before flights can resume, while Brussels will continue monitoring Kyrgyzstan's aviation safety system and prioritize inspections. <em>K Krombie</em>, <strong><a href="https://timesca.com/kyrgyzstan-airlines-see-eu-flight-ban-lifted-after-two-decades">The Times of Central Asia</a></strong>, <em>June 9</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-june-10-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/p/asia-daily-june-10-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>Is China giving up on denuclearising North Korea?</strong> Xi Jinping&#8217;s Pyongyang visit highlighted strategic cooperation with North Korea while omitting denuclearization, a change that raised South Korean concern over Beijing&#8217;s stance. Analysts saw tacit acceptance of Pyongyang&#8217;s nuclear status, though Wang Dong said China&#8217;s principles remain unchanged. North Korea&#8217;s legal and constitutional steps have entrenched nuclear command, while Russia ties and weakened arms control narrow prospects for dialogue. <em>Kang Gwiyoung</em>, <strong><a href="https://www.thinkchina.sg/politics/china-giving-denuclearising-north-korea">ThinkChina</a></strong>, <em>June 9</em></p><p><strong>Japan&#8217;s structural constraints reinforce the yen&#8217;s new normal.</strong> Japan&#8217;s yen weakness reflects imported energy dependence, cost-push inflation, weak real incomes and cautious investment. Bank of Japan rate caution protects fragile demand but leaves the currency exposed to wide US yield gaps and capital outflows. Overseas reinvestment by firms and household foreign asset purchases deepen pressure. Around 160 yen per dollar now reflects structural limits, though global changes could permit partial recoveries. <em>Sayuri Shirai</em>, <strong><a href="https://eastasiaforum.org/2026/06/09/japans-structural-constraints-reinforce-the-yens-new-normal/">East Asia Forum</a></strong>, <em>June 9</em></p><p><strong>South Korea election: Yoon's legacy partially survives progressive victory.</strong> South Korea&#8217;s local elections gave Lee Jae Myung&#8217;s Democrats wide control while revealing demand for conservative checks after Yoon Suk Yeol&#8217;s martial law crisis. Yoon&#8217;s Japan rapprochement survived through Lee&#8217;s two-track approach, which separates history disputes from strategic cooperation. His martial law move damaged conservative credibility. Oh Se-hoon and Han Dong-hoon gained support by rejecting that rupture and stressing restraint, competence and democratic balance. <em>Joseph Yi</em>, <strong><a href="https://asia.nikkei.com/opinion/south-korea-election-yoon-s-legacy-partially-survives-progressive-victory">Nikkei Asia</a></strong>, <em>June 9</em></p><h2>Southeast Asia</h2><p><strong>Southeast Asia's aviation industry capitalizes on Middle East tensions.</strong> Southeast Asian airlines are using Middle East conflict, fuel shocks and Gulf transit disruptions to expand routes and capture passenger demand. Thai Airways, Singapore Airlines and Malaysia Airlines are planning alternatives that avoid high-risk hubs. Budget carriers are buying aircraft and pursuing Europe and North America links. Thailand, Singapore and Malaysia benefit from distance from conflict zones, intra-ASEAN partnerships and flexible route planning. <em>Hannan Hussain</em>, <strong><a href="https://asia.nikkei.com/opinion/southeast-asia-s-aviation-industry-capitalizes-on-middle-east-tensions">Nikkei Asia</a></strong>, <em>June 9</em>.</p><p><strong>Energy crisis gives Philippine oil deregulation a reality check.</strong> The Philippines&#8217; energy emergency after US-Israel attacks on Iran exposed the limits of oil deregulation and import dependence. Ferdinand Marcos Jr sought powers to suspend petroleum excise taxes, cap price increases and cushion public anger after transport protests. Measures restored partial state control without repealing deregulation. Debate now spans taxes, centralized procurement, fossil fuel dependence, renewable investment, corruption risks and public hardship. <em>Mong Palatino</em>, <strong><a href="https://eastasiaforum.org/2026/06/09/energy-crisis-gives-philippine-oil-deregulation-a-reality-check/">East Asia Forum</a></strong>, <em>June 9</em></p><p><strong>Unleashing Officials, Unlocking Funds: PM Le Minh Hung Confronts Vietnam&#8217;s Economic Challenges.</strong> Le Minh Hung faces high inflation, stalled public investment and pressure to deliver double-digit growth while preserving macro-stability. His early reforms target sub-licenses, rent extraction and approval bottlenecks that restrain entrepreneurship and infrastructure spending. Public funds remain idle because officials fear corruption probes and rigid rules. Hung&#8217;s party personnel experience gives him leverage, yet inflation, local governance gaps and To Lam&#8217;s authority limit maneuver. <em>Tuan Ho</em>, <strong><a href="https://fulcrum.sg/unleashing-officials-unlocking-funds-pm-le-minh-hung-confronts-vietnams-economic-challenges">FULCRUM</a></strong>, <em>June 9</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: June 9, 2026]]></title><description><![CDATA[U.S. adds Alibaba, BYD and other Chinese tech champions to military company blacklist.]]></description><link>https://www.theasiacable.com/p/asia-daily-june-9-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-june-9-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Tue, 09 Jun 2026 11:31:44 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/975bda77-fe67-4332-bb24-ada1a7d29f7b_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!pZbj!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:982691,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>U.S. adds Alibaba, BYD and other Chinese tech champions to military company blacklist.</strong> Chinese electric vehicle developments include Xpeng's mass production of autonomous cabs, stronger battery electric vehicle sales, Chery's overseas expansion plans, potential gains for European suppliers, insurance and charging barriers, Tesla's FSD launch in China, and Nio's warning that price wars should not override profitability. <em>Teresa Elena Frontado</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3356419/us-adds-alibaba-byd-and-other-chinese-tech-champions-military-company-list">South China Morning Post</a></strong>, <em>June 8</em></p><p><strong>China begins large-scale delivery of gallium chips for space-ground 6G network.</strong> China delivered 5 million gallium nitride semiconductors for commercial smart terminals supporting a space-air-ground 6G network. Developed by CETC's No. 55 Research Institute and Nanjing Guobo Electronics, the silicon-based chips aim to combine high performance with lower production costs for communications use. <em>Zhang Tong</em>, <strong><a href="https://scmp.com/news/china/science/article/3356321/china-begins-large-scale-delivery-gallium-chips-space-ground-6g-network">South China Morning Post</a></strong>, <em>June 8</em></p><p><strong>China's Xi vows unwavering support for North Korea's Kim in rare Pyongyang visit.</strong> Xi Jinping pledged continued support for Kim Jong Un and called for stronger China-North Korea strategic ties during a rare Pyongyang summit. The visit comes as North Korea deepens links with Russia, expands trade and military cooperation, and signals nuclear and naval ambitions. <em>Jack Kim and Liz Lee</em>, <strong><a href="https://reuters.com/world/china/chinas-xi-says-he-will-work-with-north-korea-fight-hegemony-north-korean-media-2026-06-07">Reuters</a></strong>, <em>June 7</em></p><p><strong>Tencent seeks $4 billion via U.S. dollar bond and offshore yuan bond sale, sources say.</strong> Tencent is seeking $4 billion through U.S. dollar and offshore yuan bonds, returning to global debt markets after a 2025 offshore yuan sale. Proceeds will support general corporate purposes, while S&amp;P cited the company's low debt ratios and expected net cash position over the next two years. <em>Scott Murdoch and Yantoultra Ngui</em>, <strong><a href="https://reuters.com/world/asia-pacific/tencent-hires-banks-dollar-offshore-yuan-bond-sale-term-sheets-show-2026-06-08">Reuters</a></strong>, <em>June 8</em></p><h2>Japan</h2><p><strong>Takaichi turns to wine-and-dine politics to woo LDP bigwigs.</strong> Prime Minister Sanae Takaichi has increased dinner and lunch meetings with senior Liberal Democratic Party figures after previously avoiding traditional political dining. The meetings appear aimed at easing concerns over weak communication with the party, though some attendees said policy coordination remained limited. <em>Hayato Jinno</em>, <strong><a href="https://asahi.com/ajw/articles/16596573">The Asahi Shimbun</a></strong>, <em>June 8</em></p><p><strong>Major parties back draft proposal on Japan&#8217;s imperial family law revision.</strong> Most major ruling and opposition parties backed a draft proposal to maintain the number of imperial family members. The plan would let female members keep imperial status after marrying commoners and allow the family to adopt men from former branch families, while leaving female succession unresolved. <strong><a href="https://english.kyodonews.net/articles/-/77525">Kyodo News</a></strong>, <em>June 8</em></p><h2>South Korea</h2><p><strong>Supreme Court chief justice accepts election watchdog head&#8217;s resignation amid ballot shortage controversy.</strong> Supreme Court Chief Justice Cho Hee-dae accepted National Election Commission Chairperson Roh Tae-ak&#8217;s resignation after ballot shortages disrupted local elections in Seoul. The NEC sent additional ballots to 140 polling stations nationwide, voting was temporarily suspended at 26 stations, and a fact-finding committee will investigate the incident through June 19. <em>Kang Yoon-seung</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260608012952320">Yonhap News Agency</a></strong>, <em>June 8</em></p><p><strong>Special counsel seeks two-year prison term for ex-President Yoon in election law case.</strong> Special counsel Min Joong-ki&#8217;s team sought a two-year prison term for former President Yoon Suk Yeol over alleged false statements before the 2022 presidential election. Prosecutors said the claims affected the race, and a conviction could require the People Power Party to return 39.7 billion won in reimbursed campaign expenses. <em>Chae Yun-hwan</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260608011400315">Yonhap News Agency</a></strong>, <em>June 8</em></p><p><strong>Ruling party to pick new leader at national convention in August.</strong> South Korea&#8217;s ruling Democratic Party plans to choose a new leader at an August 17 national convention after its local election victory. Rep. Jung Chung-rae faces pressure despite the party winning 12 of 16 mayoral and gubernatorial seats, while potential contenders include Prime Minister Kim Min-seok and Rep. Song Young-gil. <em>Yi Wonju</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260608011200315">Yonhap News Agency</a></strong>, <em>June 8</em></p><p><strong>South Korea to overhaul election process after ballot shortage shocks country.</strong> President Lee Jae Myung called ballot shortages in local elections shocking and said South Korea will overhaul its election process. The incident kept some voters waiting for hours, prompted protests demanding a new election, led the election commission chief to resign, and triggered plans for a national inquiry. <em>Jack Kim</em>, <strong><a href="https://reuters.com/world/asia-pacific/south-koreas-lee-ballot-paper-shortage-hurts-reputation-model-democracy-2026-06-08">Reuters</a></strong>, <em>June 8</em></p><p><strong>South Korea to seek priority supply of Nvidia Vera Rubin GPUs, science minister says.</strong> Science and ICT Minister Bae Kyung-hoon said South Korea will request priority supply of Nvidia Vera Rubin GPUs because deliveries appear likely to be delayed. The government issued a notice for its GPU project, while Nvidia B300 chips are still expected to arrive on time. <em>Hyunjoo Jin and Joyce Lee</em>, <strong><a href="https://reuters.com/world/asia-pacific/south-korea-seek-priority-supply-nvidia-vera-rubin-gpus-science-minister-says-2026-06-08">Reuters</a></strong>, <em>June 8</em></p><p><strong>Chip rout puts Korea's &#8216;ant&#8217; investors to the test as margin debt soars.</strong> South Korean retail investors face growing losses after leveraged bets on chip stocks were hit by a sharp market reversal. Margin-based stock investment has reached record levels, driven by fear of missing out, single-stock leveraged ETFs tied to Samsung and SK Hynix, and a KOSPI rally that raised policymaker concerns over volatility. <em>Cynthia Kim and Yena Park</em>, <strong><a href="https://reuters.com/business/finance/chip-rout-puts-koreas-ant-investors-test-margin-debt-soars-2026-06-08">Reuters</a></strong>, <em>June 8</em></p><h2>North Korea</h2><p><strong>North Korea's Kim calls enhancing ties with China top priority.</strong> Kim Jong-un told Xi Jinping in Pyongyang that developing ties with China is North Korea's most important strategic priority. Xi pledged support for North Korea's interests and called for broader cooperation in the economy, trade, military affairs, science and healthcare, without publicly mentioning denuclearization. <em>Kim Eun-jung</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260608013052315">Yonhap News Agency</a></strong>, <em>June 8</em></p><h2>Myanmar</h2><p><strong>Myanmar regime vows pre-monsoon push to reopen India&#8217;s ASEAN highway.</strong> Min Aung Hlaing said his regime will intensify operations before the monsoon to regain the Kale-Tamu section of the India-Myanmar-Thailand highway and restore border stability. Analysts said reopening the route remains unlikely because resistance forces control key areas and the military is overstretched across multiple fronts. <em>Maung Kavi</em>, <strong><a href="https://irrawaddy.com/news/burma/myanmar-regime-vows-pre-monsoon-push-to-reopen-indias-asean-highway.html">The Irrawaddy</a></strong>, <em>June 8</em></p><p><strong>Moscow agrees to build power plant for Myanmar&#8217;s stalled Dawei SEZ.</strong> Myanmar&#8217;s regime signed an agreement with Russia&#8217;s Inter RAO to build a power plant at the delayed Dawei deep-sea port and special economic zone. The deal followed renewed attempts to revive the project, though analysts questioned whether Moscow would commit major funding amid resistance attacks and security risks. <em>Maung Kavi</em>, <strong><a href="https://irrawaddy.com/business/moscow-agrees-to-build-power-plant-for-myanmars-stalled-dawei-sez.html">The Irrawaddy</a></strong>, <em>June 8</em></p><h2>Cambodia</h2><p><strong>Amnesty says Cambodia scam centres still operating despite crackdowns.</strong> Amnesty International said many suspected scam compounds in Cambodia remain active despite official enforcement efforts. Cambodia rejected the findings, citing arrests, asset seizures, casino license revocations and deportations. The report alleged police collusion, abuse of trafficking victims and official treatment of survivors as irregular migrants. <em>Josh Smith</em>, <strong><a href="https://reuters.com/legal/government/amnesty-says-cambodia-scam-centres-still-operating-despite-crackdowns-2026-06-08">Reuters</a></strong>, <em>June 8</em></p><h2>Philippines</h2><p><strong>Prosecutors: No reply to Duterte&#8217;s response.</strong> House prosecutors said no reply is needed to Vice President Sara Duterte&#8217;s impeachment answer because the allegations are deemed disputed under the rules and her filing raises no material factual issue. Prosecutors said pre-trial preparations will proceed, with the first hearing set for July 6. <em>Reina C. Tolentino</em>, <strong><a href="https://manilatimes.net/2026/06/09/news/national/prosecutors-no-reply-to-dutertes-response/2360429">The Manila Times</a></strong>, <em>June 8</em></p><p><strong>Curlee Discaya taken into PNP custody after Senate turnover.</strong> The Philippine National Police served an arrest warrant on contractor Curlee Discaya after the Senate turned him over from custody. Discaya faces non-bailable charges tied to an allegedly anomalous Bulacan flood control project, while police said there would be no special treatment and warrants against other accused would be implemented. <em>Author</em>, <strong><a href="https://manilatimes.net/2026/06/09/news/curlee-discaya-taken-into-pnp-custody-after-senate-turnover/2361095">The Manila Times</a></strong>, <em>June 8</em></p><h2>Indonesia</h2><p><strong>Indonesia's Prabowo appoints new head of free meals agency.</strong> President Prabowo Subianto appointed Nanik Sudaryati Deyang to lead the National Nutrition Agency after her predecessor was arrested on corruption charges. Nanik said the free meals program will emphasize budget efficiency, pause new kitchens, refocus recipients and expand remote-area kitchens through grants or CSR funding. <em>Ananda Teresia</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesias-prabowo-appoints-new-head-free-meals-agency-2026-06-08">Reuters</a></strong>, <em>June 8</em></p><p><strong>Prabowo welcomes eight new ambassadors, reasserts non-alignment.</strong> President Prabowo Subianto received credentials from ambassadors of Sri Lanka, the Philippines, South Korea, the Czech Republic, Palestine, Greece, Lebanon, and Saint Lucia. Prabowo reaffirmed Indonesia's free and active foreign policy, emphasizing non-alignment while envoys praised his diplomacy and discussed bilateral ties. <strong><a href="https://en.antaranews.com/news/418503/prabowo-welcomes-eight-new-ambassadors-reasserts-non-alignment">ANTARA News</a></strong>, <em>June 8</em></p><h2>Singapore</h2><p><strong>U.S., China in mutually assured disruption dynamic, both sides worse off if they continue imposing restrictions on one another: PM Wong.</strong> Prime Minister Lawrence Wong said the U.S. and China must manage deep differences because their economies remain highly intertwined. Singapore wants both powers engaged in Southeast Asia while strengthening ties with Europe, India, the Gulf states and North Korea, reflecting a foreign policy based on broad engagement and stable partnerships. <em>Fabian Koh</em>, <strong><a href="https://channelnewsasia.com/singapore/lawrence-wong-us-china-singapore-press-club-6169231">Channel News Asia</a></strong>, <em>June 8</em></p><h2>Taiwan</h2><p><strong>Palau president affirms Taiwan sovereignty during Hsiao's visit.</strong> Palau President Surangel Whipps Jr. backed Taiwan's sovereignty during Vice President Hsiao Bi-khim's visit, saying failure to recognize Taiwan would undermine small-country sovereignty. He supported Taiwan's participation in the U.N., WHO, and ICAO, while Hsiao promoted tourism, friendship, and bilateral projects. <em>Wen Kuei-hsiang and Sunny Lai</em>, <strong><a href="https://focustaiwan.tw/politics/202606080006">Focus Taiwan</a></strong>, <em>June 8</em></p><p><strong>Taiwan says China coast guard patrols to its east are provocative act.</strong> Defense Minister Wellington Koo called Chinese coast guard patrols east of Taiwan provocative and said the military will coordinate with Taiwan's coast guard. Beijing launched the patrol after Japan and the Philippines began maritime boundary talks, while Taipei said Chinese ships entered restricted waters and were expelled. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/taiwan-says-china-coast-guard-patrols-its-east-are-provocative-act-2026-06-08">Reuters</a></strong>, <em>June 8</em></p><h2>Kazakhstan</h2><p><strong>Kazakhstan central bank chief sees no pressure on tenge after rate cut.</strong> Kazakhstan's National Bank cut its base rate from 18% to 17% after inflation slowed, while Governor Timur Suleimenov said tenge assets should remain attractive despite lower returns. He cited strong oil and metal prices, stable local-currency demand, and no major external shocks as reasons to expect limited pressure on the tenge. <em>Dmitry Pokidaev</em>, <strong><a href="https://timesca.com/kazakhstan-central-bank-chief-sees-no-pressure-on-tenge-after-rate-cut">The Times of Central Asia</a></strong>, <em>June 8</em></p><h2>Tajikistan</h2><p><strong>Iran and Tajikistan seek closer economic, security ties.</strong> Tajikistan and Iran discussed deeper industrial, security, and environmental cooperation, including textile clusters, metallurgy, agricultural machinery, pharmaceuticals, construction materials, coal processing, and a joint industrial park. Officials also addressed law enforcement cooperation, endangered species protection, pollutant monitoring, and Iran's role in Tajik hydropower projects. <strong><a href="https://timesca.com/iran-and-tajikistan-seek-closer-economic-security-ties">The Times of Central Asia</a></strong>, <em>June 8</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-june-9-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:&quot;button-wrapper&quot;}" data-component-name="ButtonCreateButton"><a class="button primary button-wrapper" href="https://www.theasiacable.com/p/asia-daily-june-9-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:&quot;&quot;,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" title="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><p><strong>Iran war reverberations: A nadir for Asia&#8217;s economic security.</strong> The Strait of Hormuz closure has exposed Asia&#8217;s dependence on imported energy and maritime chokepoints. The shock threatens growth, inflation, food production, manufacturing, and medical supplies across the region. Neither the United States nor China is acting as a stabilizer. Asian governments are pursuing collective resilience through oil reserves, energy sharing, power grids, and trade rules that restrict export controls during crises. <em>Mireya Sol&#237;s</em>, <strong><a href="https://www.brookings.edu/articles/iran-war-reverberations-a-nadir-for-asias-economic-security/">Brookings</a></strong>, <em>June 8</em></p><h2>East Asia</h2><p><strong>China is innovative. Its economy is a mess. Which will win out?</strong> China&#8217;s growth model pairs frontier technology investment with property collapse, weak consumption, and local government debt. High-end manufacturing may add one point to annual growth, but construction losses persist. State funds and city projects back AI, chips, robotics, and clean technology, yet many inland bets fail, profits fall, and low-skilled workers risk exclusion as innovation clusters concentrate in richer coastal centers, leaving Xi&#8217;s wager exposed to trade, energy, and demand shocks. <strong><a href="https://www.economist.com/finance-and-economics/2026/06/08/china-is-innovative-its-economy-is-a-mess-which-will-win-out">The Economist</a></strong>, <em>June 8</em></p><p><strong>Xi&#8217;s missing smile: What AI reveals about his meetings with Trump and Putin.</strong> AI-based facial coding of CCTV footage finds Xi Jinping showed less happiness with Donald Trump in 2026 than in 2017 and moderate warmth toward Vladimir Putin. Taiwan arms sales, chip restrictions, and trade tensions weighed on the Trump meeting. Putin&#8217;s Ukraine burden and Russia-China frictions shaped a guarded exchange, pointing to Beijing&#8217;s pragmatic search for balance across US, Russian, and Chinese interests as competition continues through summits and strategy channels. <em>Wen-Hsuan Tsai</em>, <strong><a href="https://www.thinkchina.sg/politics/xis-missing-smile-what-ai-reveals-about-his-meetings-trump-and-putin">ThinkChina</a></strong>, <em>June 8</em></p><p><strong>How the Iran war benefits China&#8217;s global ambitions.</strong> The Iran war has expanded China&#8217;s strategic opening as the United States absorbs costs and strains alliances. Beijing is helping Asian states manage energy shortages, strengthening its clean technology position, and contrasting itself with Washington&#8217;s disorder. China can pressure Taiwan with claims that America lacks resolve. Lasting gains depend on whether the United States restores discipline, alliance investment, and technological focus. <em>Ryan Hass</em>, <strong><a href="https://www.brookings.edu/articles/how-the-iran-war-benefits-chinas-global-ambitions/">Brookings</a></strong>, <em>June 8</em></p><p><strong>Russian propaganda abounds in Chinese social media debate on Ukraine.</strong> Chinese Weibo influencers portray Ukraine as a Western proxy, demonize President Volodymyr Zelenskyy, label Ukrainian forces as Nazis, and justify Russian strikes as responses to terrorism. Analysis of 1,800 verified Weibo posts finds four narratives that mirror Russian disinformation, weaken trust between Kyiv and Western partners, and indicate Beijing may tolerate or encourage hostile discourse within China&#8217;s controlled information space. <em>Yurii Poita</em>, <strong><a href="https://merics.org/en/comment/russian-propaganda-abounds-chinese-social-media-debate-ukraine">MERICS</a></strong>, <em>June 8</em></p><p><strong>The U.S. Can&#8217;t Exclude China From Latin America.</strong> China&#8217;s presence in Latin America rests on trade, infrastructure, finance, technology, energy, minerals, and digital systems, not conquest. Washington cannot force regional governments to choose between Beijing and the United States. A viable strategy would displace Chinese influence in ports, telecoms, data, minerals, energy, and space infrastructure through competitive financing, private investment, and sustained engagement that offers governments better options without reviving exclusion or paternalism as policy defaults for Washington. <em>Brian Fonseca</em>, <strong><a href="https://foreignpolicy.com/2026/06/08/latin-america-us-china-national-security-strategic-displacement">Foreign Policy</a></strong>, <em>June 8</em></p><p><strong>China Is Making MAHA&#8217;s Favorite Drug.</strong> FDA review of seven peptides has placed Robert F. Kennedy Jr.&#8217;s MAHA allies against China hawks. Wellness advocates want wider access to compounds such as BPC-157 and KPV, while lawmakers warn that Chinese pharmaceutical supply chains pose health and security risks. China dominates peptide inputs, gray market sales, and emerging weight loss drug innovation, making deregulation a test of coalition priorities, safety oversight, and industrial policy under the Trump administration. <em>Kimberly Lim</em>, <strong><a href="https://foreignpolicy.com/2026/06/08/peptides-fda-maha-rfk-trump-pharma-us-china-competition">Foreign Policy</a></strong>, <em>June 8</em></p><p><strong>China Is Providing AI That&#8217;s Literate in Africa&#8217;s Languages.</strong> African developers favor Chinese AI models such as Qwen, DeepSeek, and Kimi because they are open source, cheaper to train, and suited to small language models for local needs. Limited data for African languages raises costs on Western platforms. Chinese tools support projects in education, health, and agriculture but risk lock-in. Western firms can compete if they offer low-cost models for speech, text, and African languages through local developer partnerships. <em>Sam Peters</em>, <strong><a href="https://foreignpolicy.com/2026/06/08/china-africa-ai-languages/">Foreign Policy</a></strong>, <em>June 8</em></p><p><strong>Russia-North Korea Military Cooperation in Response to China&#8217;s Tactical Ambiguity.</strong> Russia and North Korea deepened military cooperation because both distrust China&#8217;s tactical ambiguity. Pyongyang saw Chinese economic enforcement as weak support, while Moscow viewed Beijing&#8217;s refusal to provide direct military aid as a wartime liability. Their bilateral alignment pressures China by raising fears of exclusion and US-allied coordination. Washington should engage North Korea, raise the issue with China, calibrate pressure, and avoid blunt wedge tactics toward Beijing, Pyongyang, and Moscow. <em>Sungmin Cho</em>, <strong><a href="https://asiasociety.org/policy-institute/russia-north-korea-military-cooperation-response-chinas-tactical-ambiguity">Asia Society</a></strong>, <em>June 8</em></p><h2>Southeast Asia</h2><p><strong>Sarawak bets on its sovereign wealth fund to regain greater autonomy.</strong> Sarawak&#8217;s sovereign wealth fund converts finite oil and gas revenue into a vehicle for fiscal resilience and political autonomy. The fund reflects resource decline, volatile prices, and a history of eroded state rights within Malaysia. Its bond-first strategy favors capital preservation, governance norms, and gradual expansion. Success depends on resisting political demands for local projects while funding future returns from revenues tied to the exposure it seeks to hedge against. <em>Guanie Lim</em>, <strong><a href="https://asia.nikkei.com/opinion/sarawak-bets-on-its-sovereign-wealth-fund-to-regain-greater-autonomy">Nikkei Asia</a></strong>, <em>June 8</em></p><p><strong>The Myanmar Military&#8217;s &#8220;New&#8221; Narrative: Caveat Emptor.</strong> Myanmar&#8217;s military presents a new administration as legitimate and stabilizing, but most cabinet posts remain held by former generals under Min Aung Hlaing. Engagement from Washington would give Naypyidaw legitimacy while leaving its dependence on China and Russia intact. Military ceasefires, Four Cuts tactics, and illicit economies fuel displacement, scams, trafficking, and narcotics. US policy should strengthen resistance governance and avoid deals that consolidate junta power and harm US interests. <em>Billy Ford</em>, <strong><a href="https://fulcrum.sg/the-myanmar-militarys-new-narrative-caveat-emptor">FULCRUM</a></strong>, <em>June 8</em></p><p><strong>No Longer Poor: Can Laos be Clean, Green and Great?</strong> Laos will leave the UN Least Developed Country category with rapid growth, lower poverty, and plans to reach upper-middle income status by 2055. Resource-led expansion from hydropower, mining, and plantations has damaged forests, cities, and the Mekong while exposing debt and currency risks. Cleaner growth requires integrated planning, waste laws, stronger enforcement, civic campaigns, incentives, and monitoring tools that link development with climate, water, energy, food, and tourism goals standards. <em>Anoulak Kittikhoun</em>, <strong><a href="https://fulcrum.sg/aseanfocus/no-longer-poor-can-laos-be-clean-green-and-great">FULCRUM</a></strong>, <em>June 8</em></p><h2>South Asia</h2><p><strong>India&#8217;s limits as a middle power.</strong> The Hormuz crisis has renewed interest in middle power cooperation, but India&#8217;s strategic autonomy limits deep collaboration. New Delhi favors multipolarity and issue-based minilateral groups while avoiding alliances and military blocs. Its silence after a US strike near Sri Lanka showed caution toward Washington. Middle power coalitions remain constrained by weak trust, unequal pressure tolerance, and limited common security interests. <em>Deepa M Ollapally</em>, <strong><a href="https://eastasiaforum.org/2026/06/08/indias-limits-as-a-middle-power/">East Asia Forum</a></strong>, <em>June 8</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p><p></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: June 8, 2026]]></title><description><![CDATA[China's Xi to visit North Korea in push for deeper ties.]]></description><link>https://www.theasiacable.com/p/asia-daily-298</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-298</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Mon, 08 Jun 2026 11:31:29 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/dddeb3a0-8c85-4042-9b79-2e23877ac05e_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!pZbj!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:982691,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>China's Xi to visit North Korea in push for deeper ties.</strong> Chinese President Xi Jinping will visit North Korea for two days from June 8, his first trip there in nearly seven years. Beijing aims to reinforce ties with Pyongyang, its only formal treaty ally, as Kim Jong Un deepens relations with Moscow and continues expanding North Korea's nuclear arsenal. <em>Liz Lee, Xiuhao Chen, and Jack Kim</em>, <strong><a href="https://reuters.com/world/china/chinas-xi-visit-north-korea-beijing-seeks-cosier-ties-with-pyongyang-2026-06-05">Reuters</a></strong>, <em>June 5</em></p><p><strong>Fewer Chinese teenagers register for tough university entry exam.</strong> Chinese registrations for the gaokao fell by 450,000 to 12.9 million, marking a second annual decline as youth unemployment and demographic pressures reshape education choices. More students are turning to vocational programs that offer clearer job prospects, while authorities tightened exam security against high-tech cheating. <em>Farah Master</em>, <strong><a href="https://reuters.com/world/china/fewer-chinese-teenagers-register-tough-university-entry-exam-2026-06-05">Reuters</a></strong>, <em>June 5</em></p><p><strong>Chinese medical team arrives in DR Congo to help fight Ebola, filling US void.</strong> A five-member Chinese medical team arrived in Kinshasa for a three-month Ebola response mission in DR Congo. The specialists will support local authorities, medical institutions, Chinese-funded enterprises, and Chinese communities with prevention, treatment, training, and epidemic-control guidance as the outbreak spreads across mining regions with major Chinese investments. <em>Jevans Nyabiage</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3356206/chinese-medical-team-arrives-dr-congo-help-fight-ebola-filling-us-void">South China Morning Post</a></strong>, <em>June 7</em></p><p><strong>Beijing sends largest patrol ship east of Taiwan after Japan-Philippine boundary talks.</strong> China sent maritime patrol ships, including the 10,000-tonne Haixun 09, east of Taiwan after Japan and the Philippines began maritime boundary talks. Beijing called the talks illegal and said the patrol would strengthen enforcement jurisdiction, while People&#8217;s Daily accused Tokyo and Manila of fueling regional confrontation. <em>Orange Wang</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3356242/beijing-sends-largest-patrol-ship-east-taiwan-after-japan-philippine-boundary-talks">South China Morning Post</a></strong>, <em>June 7</em></p><p><strong>China urged to fast-track carrier fleet upgrades as Japan boosts strike power.</strong> Chinese military experts called for faster aircraft carrier upgrades as Japan expands long-range anti-ship missile capabilities and deployments near Taiwan. Analysts warned that Japanese saturation attacks, F-35A operations, and upgraded Type-12 missiles could pressure Chinese carrier defenses, while China is expected to expand J-35 deployment and improve cross-carrier coordination. <em>Alcott Wei</em>, <strong><a href="https://scmp.com/news/china/military/article/3356267/china-urged-fast-track-carrier-fleet-upgrades-japan-boosts-strike-power">South China Morning Post</a></strong>, <em>June 7</em></p><h2>Japan</h2><p><strong>Parliament leaders adopt draft proposal for imperial succession.</strong> Japanese parliamentary leaders adopted a draft proposal aimed at securing stable imperial succession amid long-standing concerns over the limited number of potential heirs. The proposal was shown to political parties and is expected to be officially presented at a general meeting of 13 parties and parliamentary groups. <strong><a href="https://japantimes.co.jp/news/2026/06/07/japan/politics/imperial-succession-ok-draft-proposal">The Japan Times</a></strong>, <em>June 5</em></p><p><strong>Japan to begin talks on exporting destroyers to Indonesia.</strong> Japan and Indonesia agreed to begin working-level talks on a possible export of Asagiri-class destroyers to Jakarta. Defense ministers Shinjiro Koizumi and Sjafrie Sjamsoeddin agreed to discuss transfer issues, training, maintenance, and operational needs as Tokyo expands defense equipment cooperation with Indo-Pacific partners. <strong><a href="https://english.kyodonews.net/articles/-/77392">Kyodo News</a></strong>, <em>June 5</em></p><h2>South Korea</h2><p><strong>Lee expresses deep regret over ballot shortage, orders thorough investigation.</strong> President Lee Jae Myung expressed deep regret over ballot shortages during local elections and ordered a joint prosecutors-police investigation. He called the issue a serious infringement on voting rights and requested a parliamentary inquiry, while protesters continued demanding a new election and election officials offered to resign. <em>Kim Boram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260607005453320">Yonhap News Agency</a></strong>, <em>June 7</em></p><p><strong>South Korean protesters keep calling for re-run of election after ballot shortage.</strong> Thousands of South Korean protesters demanded a rerun after ballot shortages disrupted local elections. The National Election Commission said 50 of 14,300 polling stations ran out of ballots and 22 temporarily suspended voting. Seoul Mayor Oh Se-hoon called the shortage a violation of voting rights and urged a special prosecutor investigation. <em>Heejin Kim</em>, <strong><a href="https://reuters.com/world/asia-pacific/south-korean-protesters-keep-calling-re-run-election-after-ballot-shortage-2026-06-06">Reuters</a></strong>, <em>June 6</em></p><p><strong>South Korea nominates Han as country&#8217;s first female prime minister in two decades.</strong> President Lee Jae Myung nominated Small and Medium-sized Enterprises Minister Han Seongsook as prime minister. If approved by parliament, she would become South Korea&#8217;s first female prime minister in 20 years. Han, a former Naver chief executive, is expected to help lead AI transformation and inclusive economic growth. <em>Hyunjoo Jin and Joyce Lee</em>, <strong><a href="https://reuters.com/world/asia-pacific/south-korea-nominates-han-countrys-first-female-prime-minister-two-decades-2026-06-07">Reuters</a></strong>, <em>June 7</em></p><h2>North Korea</h2><p><strong>North Korea exports 1.5 million tons of coal in 2025 despite sanctions.</strong> North Korea illegally exported 1.5 million tons of coal in 2025 despite UN sanctions, according to South Korea's intelligence agency. Refined oil imports from China and Russia reportedly exceeded the UN cap by more than seven times, while Pyongyang used foreign vessels and false labeling to continue mineral exports. <em>Yi Wonju</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260607001000315">Yonhap News Agency</a></strong>, <em>June 7</em></p><p><strong>North Korea to build 10,000-ton destroyer, state media says before Xi visit.</strong> North Korea plans to build a 10,000-ton destroyer and develop secret underwater weapons as Kim Jong Un pushes stronger naval capabilities before Chinese President Xi Jinping&#8217;s visit. State media said Kim ordered two warships deployed quickly and called for military strength across land, sea, and air. <em>Heejin Kim</em>, <strong>Reuters</strong>, <em>June 5</em></p><p><strong>With China&#8217;s Xi in North Korea, Kim to project confidence, defiance.</strong> Kim Jong Un is expected to welcome Xi Jinping from a position of strength, backed by closer ties with Russia, a growing nuclear arsenal, and limited interest in talks with Washington. Xi&#8217;s visit signals Beijing&#8217;s effort to re-engage Pyongyang economically and diplomatically as North Korea seeks more trade, investment, and tourism. <em>Brenda Goh and Kyu-Seok Shim</em>, <strong><a href="https://reuters.com/world/china/with-chinas-xi-north-korea-kim-project-confidence-defiance-2026-06-07">Reuters</a></strong>, <em>June 7</em></p><p><strong>North Korea reaffirms nuclear status a day before Chinese president's visit.</strong> Kim Yo Jong said North Korea will not retreat from its nuclear-armed status and called nuclear deterrence an irreversible policy. The statement came before Xi Jinping's visit to Pyongyang and after Kim Jong Un called for exponential nuclear expansion and a 2.5-fold increase in missile production capacity over five years. <em>Hyunjoo Jin and Sebin Choi</em>, <strong><a href="https://reuters.com/world/china/north-korea-will-not-retreat-nuclear-status-kim-jong-uns-sister-says-2026-06-06">Reuters</a></strong>, <em>June 6</em></p><h2>Thailand</h2><p><strong>Thailand to join UN maritime arbitration with Cambodia, halts other two-way talks.</strong> Thailand will join Cambodia's UNCLOS conciliation process over disputed Gulf of Thailand waters but suspend other bilateral border talks. The contested area covers about 26,000 square kilometers and is believed to hold major oil and gas resources, while land border tensions remain unresolved. <em>Panu Wongcha-um</em>, <strong><a href="https://reuters.com/world/asia-pacific/thailand-appoint-conciliators-un-backed-mediation-with-cambodia-foreign-minister-2026-06-05">Reuters</a></strong>, <em>June 5</em></p><p><strong>Pheu Thai stands by its charter bill.</strong> Pheu Thai leaders defended their charter amendment bill after Bhumjaithai withdrew support over legal concerns. The proposal would let the public participate in selecting constitution drafters while giving parliament final approval. Party figures said the bill respects court rulings, preserves campaign commitments, and should proceed to first reading. <em>Aekarach Sattaburuth</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3266544/pheu-thai-stands-by-its-charter-bill">Bangkok Post</a></strong>, <em>June 5</em></p><p><strong>Thaksin tax case tests coalition unity.</strong> Renewed calls to collect 17.6 billion baht in taxes from Thaksin Shinawatra over the Shin Corp sale are testing Thailand&#8217;s coalition. The issue pressures Bhumjaithai to balance conservative demands for accountability with reliance on Pheu Thai support, while the People&#8217;s Party&#8217;s &#8220;blue regime&#8221; phrase has intensified political tensions. <strong><a href="https://bangkokpost.com/thailand/politics/3266799/thaksin-tax-case-tests-coalition-unity">Bangkok Post</a></strong>, <em>June 6</em></p><h2>Laos</h2><p><strong>President Thongloun explores China&#8217;s innovation hub during state visit.</strong> Lao President Thongloun Sisoulith visited Zhejiang during his China state visit, touring Hangzhou technology firms and observing robotics, digital innovation, and rural development. The visit highlighted Laos&#8217; interest in AI, green technology, digital transformation, and sustainable development as new areas of cooperation alongside the Laos-China Railway and Belt and Road projects. <strong><a href="https://vientianetimes.org.la/freefreenews/freecontent_106_President_y26.php">Vientiane Times</a></strong>, <em>June 6</em></p><p><strong>Lao President meets Xi Jinping in Beijing.</strong> Lao President Thongloun Sisoulith met Chinese President Xi Jinping in Beijing, where the two leaders reaffirmed strategic ties and witnessed 32 cooperation agreements. The deals covered trade, investment, agriculture, energy, and human resource development, while both sides issued a joint declaration on a stronger Laos-China partnership of shared future. <strong><a href="https://laotiantimes.com/2026/06/05/lao-president-meets-xi-jinping-in-beijing">The Laotian Times</a></strong>, <em>June 5</em></p><h2>Cambodia</h2><p><strong>Cambodia and the U.S. conclude a key aviation agreement after 12-year negotiations.</strong> Cambodia and the United States concluded an Open Skies Agreement that could enable direct flights, boost tourism and trade, and support U.S. investment at Techo International Airport. Officials also discussed regional security, economic transparency, infrastructure modernization, and implementation of Cambodia-Thailand peace accords. <em>Torn Chanritheara</em>, <strong><a href="https://cambodianess.com/article/cambodia-and-the-us-conclude-a-key-aviation-agreement-after-12-year-negotiations">Cambodianess</a></strong>, <em>June 6</em></p><p><strong>Prime Minister Hun Manet to visit Vietnam and attend a forum in Hanoi.</strong> Prime Minister Hun Manet will visit Vietnam from June 8 to 9 for talks with Prime Minister Le Minh Hung and other senior leaders. Discussions will focus on bilateral ties, the 60th anniversary of diplomatic relations in 2027, regional issues, and ASEAN cooperation on trade, investment, AI, and energy security. <em>Torn Chanritheara</em>, <strong><a href="https://cambodianess.com/article/prime-minister-hun-manet-to-visit-vietnam-and-attend-a-forum-in-hanoi">Cambodianess</a></strong>, <em>June 7</em></p><h2>Philippines</h2><p><strong>Senate to turn over Curlee Discaya to PNP.</strong> The Senate will turn contractor Curlee Discaya over to the Philippine National Police after months in Senate custody over the flood control fund scandal. Police are expected to implement a Bulacan court arrest warrant after the Ombudsman filed graft and malversation charges involving alleged irregularities in a Calumpit project. <em>Bernadette E. Tamayo</em>, <strong><a href="https://manilatimes.net/2026/06/08/news/national/senate-to-turn-over-curlee-discaya-to-pnp/2360271">The Manila Times</a></strong>, <em>June 7</em></p><p><strong>Police told to probe plot to storm Palace.</strong> Malacanang urged law enforcement agencies to act on reports of an alleged plan by Vice President Sara Duterte&#8217;s supporters to attack the Palace on Independence Day. Palace Press Officer Claire Castro said authorities had not verified the claim but should respond if credible threats emerge. <em>Catherine S. Valente and Red Mendoza</em>, <strong><a href="https://manilatimes.net/2026/06/07/news/police-told-to-probe-plot-to-storm-palace/2360038">The Manila Times</a></strong>, <em>June 6</em></p><h2>Indonesia</h2><p><strong>Japan to possibly transfer Asagiri destroyers to Indonesia.</strong> Indonesia and Japan will hold working-level talks on a possible transfer of Asagiri-class destroyers after Defense Minister Sjafrie Sjamsoeddin met Japanese counterpart Shinjiro Koizumi in Tokyo. Discussions will cover training, maintenance, sustainment, and operations as Indonesia modernizes its military and Japan loosens arms export restrictions. <em>Jayanty Nada Shofa</em>, <strong><a href="https://jakartaglobe.id/news/japan-to-possibly-transfer-asagiri-destroyers-to-indonesia">Jakarta Globe</a></strong>, <em>June 5</em></p><p><strong>Indonesia, India discuss Modi&#8217;s planned visit to Jakarta.</strong> Foreign Minister Sugiono met Indian External Affairs Minister Subrahmanyam Jaishankar in New Delhi to discuss preparations for Prime Minister Narendra Modi&#8217;s planned visit to Jakarta. Talks also covered pharmaceuticals, trade, medical training, education, tourism, cultural exchanges, defense, security, and ways to expand bilateral investment. <em>Candra Kurnia</em>, <strong><a href="https://jakartaglobe.id/news/indonesia-india-discuss-modis-planned-visit-to-jakarta">Jakarta Globe</a></strong>, <em>June 7</em></p><p><strong>Indonesia central bank, finance minister agree to boost asset yields to aid rupiah.</strong> Bank Indonesia and the finance ministry agreed to raise the attractiveness of Indonesian asset yields to draw portfolio inflows after the rupiah hit record lows. Heavy capital outflows, a stock market plunge of more than 30%, fuel subsidy pressures, and investor concerns over policy credibility have weighed on markets. <em>Gayatri Suroyo, Stanley Widianto, and Stefanno Sulaiman</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesia-central-bank-finance-minister-agree-boost-asset-yields-aid-rupiah-2026-06-06">Reuters</a></strong>, <em>June 6</em></p><h2>Singapore</h2><p><strong>Singapore blocks online posts targeting Indian community; content likely from China-based platform.</strong> Singapore ordered social media platforms to block 14 posts targeting the Indian community, saying the content undermined multiculturalism and racial harmony. Officials said the posts likely came from a China-based platform, used selective footage, and may violate laws against promoting racial ill will. <em>Samuel Devaraj</em>, <strong><a href="https://straitstimes.com/singapore/politics/spore-blocks-online-posts-targeting-indian-community-content-likely-from-china-based-platform">The Straits Times</a></strong>, <em>June 6</em></p><h2>Taiwan</h2><p><strong>Taiwan coast guard expels Chinese ships from restricted waters.</strong> Taiwan's coast guard said it expelled four Chinese government ships from restricted waters southwest of Taiwan after both sides exchanged warnings. Taipei sent seven coast guard vessels in response and said China has no sovereign rights in waters east of Taiwan, amid rising Chinese coast guard activity near Taiwan-controlled areas. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/taiwan-coast-guard-expels-chinese-ships-restricted-waters-2026-06-07">Reuters</a></strong>, <em>June 7</em></p><p><strong>Taiwan says Chinese coast guard, research ships near key South China Sea islands.</strong> Taiwan said a Chinese coast guard ship and survey vessel carried out the first coordinated operation to provoke Taiwan near the Pratas Islands. Taipei said its coast guard responded after the Chinese vessel claimed law enforcement authority, accusing Beijing of trying to create a false impression of jurisdiction. <em>Ben Blanchard and Ryan Woo</em>, <strong><a href="https://reuters.com/world/china/taiwan-says-chinese-coast-guard-research-ships-near-key-s-china-sea-islands-2026-06-06">Reuters</a></strong>, <em>June 6</em></p><p><strong>Taiwan, China coast guards in renewed standoff at top of South China Sea.</strong> Taiwanese and Chinese coast guard vessels entered another standoff near the Pratas Islands, which Taipei says Beijing is using to create a false impression of jurisdiction. Taiwan said the Chinese vessel forced its way into restricted waters and ignored warnings. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/taiwan-china-coast-guards-renewed-standoff-top-south-china-sea-2026-06-05">Reuters</a></strong>, <em>June 5</em></p><p><strong>Taiwan needs to spend smarter on its defence, senior U.S. diplomat says.</strong> American Institute in Taiwan Director Raymond Greene urged Taiwan to invest more effectively in defense, especially unmanned systems, to strengthen deterrence against China. He said conflicts in Ukraine and the Middle East show drones are changing warfare, while Washington continues to support Taiwan's defense modernization and oppose coercive changes to its status. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/business/aerospace-defense/taiwan-needs-spend-smarter-its-defence-senior-us-diplomat-says-2026-06-06">Reuters</a></strong>, <em>June 6</em></p><h2>Kazakhstan</h2><p><strong>Kazakhstan, Board of Peace reaffirm cooperation, discuss Gaza aid and connectivity projects.</strong> President Kassym-Jomart Tokayev met Board of Peace senior adviser Aryeh Lightstone to discuss cooperation, Gaza stabilization, humanitarian food aid, educational grants for Palestinian students, and connectivity projects including TRIPP and the Middle Corridor. <em>Dana Omirgazy</em>, <strong><a href="https://astanatimes.com/2026/06/kazakhstan-board-of-peace-reaffirm-cooperation-discuss-gaza-aid-and-connectivity-projects">The Astana Times</a></strong>, <em>June 5</em></p><p><strong>Kazakhstan enacts key constitutional laws to advance political reforms.</strong> President Kassym-Jomart Tokayev signed constitutional laws establishing the vice presidency, defining the Kurultai as the supreme legislative body, creating the Kazakhstan People&#8217;s Council, and updating rules on the capital and administrative-territorial governance. <em>Dana Omirgazy</em>, <strong><a href="https://astanatimes.com/2026/06/kazakhstan-enacts-key-constitutional-laws-to-advance-political-reforms/">The Astana Times</a></strong>, <em>June 5</em></p><h2>Tajikistan</h2><p><strong>China-Tajikistan financial cooperation talks focus on banking links.</strong> Tajikistan and China discussed expanding banking cooperation during talks between the National Bank of Tajikistan and the Agricultural Bank of China. Priorities included trade payments, Chinese-backed investment projects, digital finance, possible Chinese bank branches in Tajikistan, green finance, cybersecurity, compliance systems, and professional training. <em>Vagit Ismailov</em>, <strong><a href="https://timesca.com/china-tajikistan-financial-cooperation-banking-links">The Times of Central Asia</a></strong>, <em>June 5</em></p><h2>Turkmenistan</h2><p><strong>U.S. business delegation discusses investment opportunities in Turkmenistan.</strong> U.S. business executives and Turkmen officials met in Ashgabat to discuss energy, transport, communications, agriculture, and high-tech cooperation. The forum followed a Turkmen business visit to the U.S. and reflected growing commercial interest, though U.S. trade with Turkmenistan remains modest despite sharp year-on-year growth in 2025. <strong><a href="https://timesca.com/u-s-business-delegation-discusses-investment-opportunities-in-turkmenistan">The Times of Central Asia</a></strong>, <em>June 5</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-298?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:&quot;button-wrapper&quot;}" data-component-name="ButtonCreateButton"><a class="button primary button-wrapper" href="https://www.theasiacable.com/p/asia-daily-298?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:&quot;&quot;,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" title="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>U.S.-Asia &#8220;Reciprocal&#8221; Trade Deals May Have a Short Shelf-Life.</strong> Trump&#8217;s reciprocal trade deals in Asia rely on tariff threats, one-sided concessions, market access pledges, investment commitments, and economic security measures aimed at China. Several partners view the terms as onerous, while US trade deficits with some countries keep growing. Because the agreements bypass congressional ratification, future presidents could revise, sideline, or discard them, prioritizing security cooperation over tariffs, purchases, and investment pledges. <em>Seamus O&#8217;Neill</em>, <strong><a href="https://asiasociety.org/policy-institute/us-asia-reciprocal-trade-deals-may-have-short-shelf-life">Asia Society</a></strong>, <em>June 5</em></p><p><strong>China&#8217;s AI ambitions face a capital constraint.</strong> China&#8217;s AI strategy is constrained by controlled financial markets, selective renminbi internationalization, and limits on global capital mobility. State-backed funding supports domestic firms, but political scrutiny of offshore deals reduces investor confidence. The Manus AI case shows acquisition and restructuring risks. US chip controls push lower-cost deployment. China can sustain innovation, but restricted exits, cross-border scaling, and capital integration may narrow its path to AI leadership. <em>Hadley Spadaccini</em>, <strong><a href="https://eastasiaforum.org/2026/06/06/chinas-ai-ambitions-face-a-capital-constraint">East Asia Forum</a></strong>, <em>June 6</em></p><p><strong>China&#8217;s youth turn to Mao Zedong Thought.</strong> Chinese youth facing job scarcity, elite degree inflation, and global economic strain are returning to Mao Zedong&#8217;s Selected Works for resilience and tactical guidance. The revival contrasts with tang ping, offering a language of struggle, boundaries, and endurance. Interest reflects demands for fair workplaces, rights protection, and social support as graduates navigate chronic insecurity, fierce competition, and a search for recognition within China&#8217;s changing economy and renewed political wisdom. <em>Yu Yue</em>, <strong><a href="https://eastasiaforum.org/2026/06/05/chinas-youth-turn-to-mao-zedong-thought">East Asia Forum</a></strong>, <em>June 5</em></p><p><strong>Nanfang Doubles Down on Digital and AI.</strong> Nanfang Media Group has launched a joint laboratory with Guangdong University of Technology focused on AI-driven media, digital creativity, and content safety. Once known for forceful journalism, the group now aligns its modernization with CCP priorities on public opinion guidance and mainstream media control. The partnership links provincial media, academia, propaganda authorities, and firms including Tencent, Huawei, and Alibaba under China&#8217;s Centralization+ model. <strong><a href="https://chinamediaproject.org/2026/06/07/nanfang-doubles-down-on-digital-and-ai">China Media Project</a></strong>, <em>June 7</em></p><p><strong>China&#8217;s housing market flashes signs of life in core cities.</strong> China&#8217;s property market is showing a narrow rebound in tier-one cities, with luxury projects and discounted homes driving sales in Shenzhen, Shanghai, Beijing, and Guangzhou. Prices have stabilized in core areas, while mid-tier projects and smaller cities remain weak. Bargain hunters, better affordability, and inventory absorption support activity. Developers remain cautious, focusing on smaller urban parcels as recovery depends on growth and demographics. <em>Chen Bo</em>, <strong><a href="https://www.thinkchina.sg/economy/chinas-housing-market-flashes-signs-life-core-cities">ThinkChina</a></strong>, <em>June 7</em></p><p><strong>Confucian new tianxia order: Humaneness to restrain nationalism and save globalisation.</strong> Globalization is strained by nation-state self-interest, US retreat, rising Chinese power, and Western failures of intervention and cosmopolitan integration. Confucian thought offers a middle path based on compassion, family-based moral cultivation, and universal but unequal love. States remain legitimate, but sovereignty depends on humane duties toward citizens and others. Humane powers should protect shared heritage, restrain nationalism, and provide public goods. <em>Tongdong Bai</em>, <strong><a href="https://www.thinkchina.sg/politics/confucian-new-tianxia-order-humaneness-restrain-nationalism-and-save-globalisation">ThinkChina</a></strong>, <em>June 7</em></p><p><strong>How China Misperceives Itself.</strong> Beijing recognizes slowing growth, demographic strain, property weakness, local debt, financial risk, and technology dependence, but frames these problems as technical, developmental, or foreign-caused. This diagnosis avoids structural causes, including political centralization, state dominance, weak feedback, and rigid ideology. Policy responses manage symptoms through targeted controls and support programs while preserving the existing model. Western policymakers must assess both China&#8217;s weaknesses and Beijing&#8217;s perception of them. <em>Francesca Ghiretti</em>, <strong><a href="https://www.foreignaffairs.com/china/how-china-misperceives-itself">Foreign Affairs</a></strong>, <em>June 5</em></p><p><strong>China deepens its foothold in post-coup Myanmar.</strong> China is using Myanmar&#8217;s post-coup disorder to expand influence through infrastructure, minerals, ceasefire diplomacy, border pressure, and security mechanisms. Beijing supports the junta while keeping channels with ethnic armed groups that control key resources and territory. The China-Myanmar Economic Corridor, Kyaukphyu port, rare earths, and tin remain central. Myanmar&#8217;s dependence may grow, but anti-China sentiment and armed actors limit control. <em>Aung Thura Ko Ko</em>, <strong><a href="https://eastasiaforum.org/2026/06/07/china-deepens-its-foothold-in-post-coup-myanmar">East Asia Forum</a></strong>, <em>June 7</em></p><p><strong>CEE Reception of the PRC&#8217;s 15th Five-Year Plan.</strong> Central and Eastern European responses to China&#8217;s 15th Five-Year Plan reflected existing divisions over Beijing. Skeptical states framed the plan through security, de-risking, and dependence concerns, while pragmatic governments highlighted trade, investment, green energy, logistics, and technology openings. Serbia, Slovakia, and Hungary treated the plan as a strategic opportunity. EU-China tensions over trade imbalances and economic security are likely to deepen regional divergence within CEE policy debates and diplomacy. <em>Paul&#237;na Ove&#269;kov&#225;</em>, <strong><a href="https://chinaobservers.eu/cee-reception-of-the-prcs-15th-five-year-plan">China Observers</a></strong>, <em>June 7</em></p><p><strong>Japan and Philippines harden stance against China amid US-China detente.</strong> Japan and the Philippines are tightening security cooperation as Washington softens its tone toward Beijing. Marcos&#8217;s state visit upgraded ties, advanced maritime and intelligence talks, and brought investment pledges. Joint concern over coercion in the East and South China Seas reflects a middle-power alignment against China. Maritime boundary negotiations may pressure Taiwan, while Philippine-Vietnam cooperation adds complexity to regional security dynamics. <em>Han Yong Hong</em>, <strong><a href="https://www.thinkchina.sg/politics/japan-and-philippines-harden-stance-against-china-amid-us-china-detente">ThinkChina</a></strong>, <em>June 7</em></p><p><strong>Japan takes a different road to a cleaner car industry.</strong> Japan is pursuing a technology-neutral automotive decarbonization strategy that weighs emissions across vehicle lifecycles rather than during driving alone. The approach supports hybrids, plug-in hybrids, battery electrics, fuel cells, and hydrogen combustion while protecting supply chains and jobs. Limited renewable energy, post-Fukushima energy constraints, and stakeholder capitalism shape this gradual transition, offering lessons for Asian car producers facing fossil fuel reliance and diverse consumer needs. <em>Kaoru Natsuda</em>, <strong><a href="https://eastasiaforum.org/2026/06/05/japan-takes-a-different-road-to-a-cleaner-car-industry">East Asia Forum</a></strong>, <em>June 5</em></p><p><strong>Frontier AI shock: Japan's analog layer offers a resilience lesson.</strong> Frontier AI creates hidden vulnerabilities across operating systems, browsers, and third-party networks, forcing companies to define a minimum viable company for worst-day survival. Japan&#8217;s analog practices, derided as inefficiency, offer resilience lessons. Asahi&#8217;s ransomware response used phones, faxes, spreadsheets, and veteran knowledge to restart deliveries. Boards should protect core commitments, preserve offline options, and balance digital efficiency with redundancy against evolving AI-enabled cyber shocks and third-party disruptions across enterprise systems. <em>Kyle Lawless and Nobuko Kobayashi</em>, <strong><a href="https://asia.nikkei.com/opinion/frontier-ai-shock-japan-s-analog-layer-offers-a-resilience-lesson">Nikkei Asia</a></strong>, <em>June 6</em></p><p><strong>North Korea's Kim turns Cold-War relic into more formidable power.</strong> Kim Jong Un has transformed North Korea&#8217;s military from a large Cold War force into a testing-driven arsenal built for saturation, battlefield learning, and nuclear coercion. Missile launches, cluster warheads, electronic attacks, and drone-linked artillery show rapid adaptation under sanctions. Russian support and Ukraine combat feedback have supplied technology, field lessons, and confidence, while expanding fissile production makes allied defenses face rising pressure across Northeast Asia and the wider region. <em>Thomas O. Falk</em>, <strong><a href="https://asia.nikkei.com/opinion/north-korea-s-kim-turns-cold-war-relic-into-more-formidable-power">Nikkei Asia</a></strong>, <em>June 5</em></p><p><strong>North Korea&#8217;s Posturing Toward China Ahead of Xi&#8217;s Visit.</strong> North Korea is signaling support for China on Taiwan, Japan, and regional security before Xi Jinping&#8217;s visit, while insisting its nuclear status cannot be negotiated. Pyongyang&#8217;s messaging frames US alliances, QUAD activity, and Japanese rearmament as threats that justify closer cooperation with Beijing. Nuclear factory and destroyer reports press China to accept North Korea&#8217;s position, making denuclearization progress or new US engagement improbable. <em>Rachel Minyoung Lee</em>, <strong><a href="https://www.38north.org/2026/06/north-koreas-posturing-toward-china-ahead-of-xis-visit/">38 North</a></strong>, <em>June 6</em></p><p><strong>China and Russia are competing for influence over North Korea.</strong> Xi Jinping&#8217;s visit to Pyongyang is focused on countering Russia&#8217;s influence and restoring China&#8217;s leverage over North Korea, not denuclearization. Kim Jong Un&#8217;s military support for Russia has strengthened his bargaining position, while Moscow has accepted North Korea&#8217;s nuclear status. China appears to tolerate that reality to preserve stability, manage South Korea, and complicate US strategy in the region. <strong><a href="https://www.economist.com/china/2026/06/07/china-and-russia-are-competing-for-influence-over-north-korea">The Economist</a></strong>, <em>June 7</em></p><h2>Southeast Asia</h2><p><strong>Southeast Asia&#8217;s High-Income Aspirants Should Focus on Quality of Growth.</strong> Southeast Asian economies seeking high-income status should move from GDP-focused growth toward quality growth that includes physical, human, and natural capital. Inclusion can extend growth spurts, while climate damage, energy shocks, and ecological loss threaten development. Decarbonization, renewable power, forest protection, and social equity can help countries escape the middle-income trap. Policies should move from capital investment toward innovation, skills, environmental resilience, and broad participation across national development planning agendas. <em>Vinod Thomas</em>, <strong><a href="https://fulcrum.sg/southeast-asias-high-income-aspirants-should-focus-on-quality-of-growth/">FULCRUM</a></strong>, <em>June 5</em></p><p><strong>Washington Is Testing Singapore&#8217;s Patience.</strong> Trump administration tariffs, forced labor investigations, Iran-driven energy shocks, and pressure for closer alignment are straining Singapore&#8217;s trust in Washington. Singapore values rules-based trade, Strait of Malacca openness, and strategic autonomy, yet US actions have raised costs and narrowed room to balance China. The danger is not a sudden pivot to Beijing, but a slow diversification of Singapore&#8217;s diplomatic, economic, and security ties that reduces US regional influence over time. <em>Derek Grossman</em>, <strong><a href="https://foreignpolicy.com/2026/06/05/singapore-trump-tariffs-trade-forced-labor-china-geopolitics/">Foreign Policy</a></strong>, <em>June 5</em></p><p><strong>Myanmar&#8217;s generals seek a path back.</strong> Myanmar&#8217;s junta is pursuing rehabilitation through prisoner releases, controlled elections, regional diplomacy, and signals of conciliation while preserving military rule. Min Aung Hlaing has consolidated power through loyal commanders and a military-aligned legislature, though armed groups retain wide control outside the capital. China&#8217;s investments, strategic access, and support strengthen the generals&#8217; position. ASEAN acceptance may grow as global distractions and regional pragmatism aid military normalization. <em>Nicholas Farrelly</em>, <strong><a href="https://eastasiaforum.org/2026/06/07/myanmars-generals-seek-a-path-back">East Asia Forum</a></strong>, <em>June 7</em></p><p><strong>Thailand's private sector must lead the post-Hormuz recovery.</strong> Thailand&#8217;s oil shock response has strained fiscal space as subsidies and a 400 billion baht loan decree push public debt near the voluntary ceiling. With future spending cuts looming, private investment must become the next growth engine. Faster trade agreements, investment approvals, risk-based lending, public-private partnerships, and accommodative monetary policy can boost productivity, market access, and resilience as energy costs expose structural weaknesses after the Strait of Hormuz disruption ends. <em>Aris Dacanay</em>, <strong><a href="https://asia.nikkei.com/opinion/thailand-s-private-sector-must-lead-the-post-hormuz-recovery">Nikkei Asia</a></strong>, <em>June 7</em></p><h2>South Asia</h2><p><strong>Bangladesh&#8217;s rightward shift leaves pluralism stranded.</strong> Bangladesh&#8217;s post-election politics are moving toward conservative religious expectations, shown by the renaming dispute over the Bengali New Year procession. The BNP&#8217;s outreach to Islamic scholars, Jamaat-e-Islami&#8217;s rise, and the Awami League&#8217;s decline have narrowed pluralist competition. Cross-border tensions with India, caste grievances, and majoritarian mobilization threaten minorities. Democratic recovery depends on concrete protections for civic nationalism, religious diversity, and minority security against polarization. <em>Ragib Anjum</em>, <strong><a href="https://eastasiaforum.org/2026/06/06/bangladeshs-rightward-shift-leaves-pluralism-stranded">East Asia Forum</a></strong>, <em>June 6</em></p><h2>Oceania</h2><p><strong>The Fraying Anchor: Australia&#8217;s Alliance Dilemma in a Shifting Asia.</strong> Australia faces growing strain as US strategy moves from regional primacy toward burden sharing and balance. AUKUS submarine changes reveal production limits and dependence on American industrial capacity. US munitions shortages, critical mineral exposure, and Chinese rare earth dominance weaken deterrence assumptions. Southeast Asian hedging and domestic unease deepen pressure. Australia must reassess reliance on US-led structures as Asia moves toward multipolarity. <em>Warwick Powell</em>, <strong><a href="https://www.chinausfocus.com/peace-security/the-fraying-anchor-australias-alliance-dilemma-in-a-shifting-asia">CHINA US Focus</a></strong>, <em>June 4</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: June 5, 2026]]></title><description><![CDATA[China, US clash over Tiananmen anniversary; Taiwan says face up to history]]></description><link>https://www.theasiacable.com/p/asia-daily-june-5-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-june-5-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Fri, 05 Jun 2026 11:30:34 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/95043ca4-a800-4fcf-90ba-aba8cf1fb92f_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!pZbj!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:982691,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>China, US clash over Tiananmen anniversary; Taiwan says face up to history.</strong> China criticized U.S. Secretary of State Marco Rubio's Tiananmen anniversary statement as an attack on its political system, while Taiwan President Lai Ching-te urged Beijing to confront the past. Overseas vigils marked the crackdown, including events in Taipei and symbolic gestures by Western diplomatic missions. <em>Ju-Min Park and Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/taiwan-presses-china-confront-tiananmen-past-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><p><strong>China urges EU to view China-EU trade ties in objective and rational way.</strong> China urged the EU to avoid protectionist trade tools and treat bilateral economic ties objectively. Beijing said European companies continue expanding in China despite de-risking rhetoric, while warning that new digital and industrial restrictions could fragment markets, raise compliance barriers, and prompt countermeasures. <em>Ma Tong</em>, <strong><a href="https://globaltimes.cn/page/202606/1362792.shtml">Global Times</a></strong>, <em>June 4</em></p><p><strong>Beijing slaps travel ban on New Zealand MPs for crossing red line with Taiwan visit.</strong> China imposed one-year travel bans on four New Zealand lawmakers after their Taiwan visit, barring entry to mainland China, Hong Kong, and Macau. Beijing said the MPs violated the one-China principle, while New Zealand and Australia criticized the move as inappropriate pressure on parliamentarians. <em>Orange Wang</em>, <strong><a href="https://www.scmp.com/news/china/diplomacy/article/3355971/beijing-slaps-travel-ban-new-zealand-mps-crossing-red-line-taiwan-visit">South China Morning Post</a></strong>, <em>June 4</em></p><h2>Japan</h2><p><strong>Lower House passes 3.11 trillion yen extra budget to ease Mideast war impacts.</strong> Japan&#8217;s Lower House approved a 3.11 trillion yen supplementary budget to offset higher energy costs from the Middle East conflict. The package includes a 2.5 trillion yen reserve fund, 100 billion yen in local grants for LPG users and high-voltage electricity users, and 513.5 billion yen to replenish summer utility subsidies. <em>Kenji Yoshida</em>, <strong><a href="https://japantimes.co.jp/news/2026/06/04/japan/politics/extra-budget">The Japan Times</a></strong>, <em>June 4</em></p><p><strong>LDP considering cutting 45 proportional representation seats in Lower House.</strong> Japan&#8217;s ruling Liberal Democratic Party is considering cutting 45 proportional representation seats in the Lower House after Prime Minister Sanae Takaichi instructed party officials to build consensus. Supporters said reducing regional single-seat constituencies could weaken local representation, while critics questioned whether the proposal would deliver major electoral reform. <strong><a href="https://japantimes.co.jp/news/2026/06/04/japan/politics/japan-ldp-lower-house-seat-cut-discussion">The Japan Times</a></strong>, <em>June 4</em></p><h2>South Korea</h2><p><strong>South Korea Lee's ruling party sweeps local elections, but loses Seoul mayor race.</strong> President Lee Jae Myung's Democratic Party won 12 of 16 major local contests, giving it broad local control, but opposition incumbent Oh Se-hoon retained Seoul. The election also faced controversy over ballot paper shortages at several polling stations, prompting calls for investigation and accountability. <em>Kyu-seok Shim and Joyce Lee</em>, <strong><a href="https://reuters.com/world/asia-pacific/south-korea-ruling-party-sweeps-most-seats-local-elections-faces-losing-seoul-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><p><strong>Shortage of ballot papers sparks protests in South Korea's local elections.</strong> South Korea's election commission will investigate ballot paper shortages at more than a dozen polling stations during local elections. Some voters waited hours or left without voting, while protesters in Seoul blocked ballot boxes and demanded a district revote. President Lee Jae Myung called for accountability. <em>Brenda Goh, Daewoung Kim, Yena Park, and Kyu-seok Shim</em>, <strong><a href="https://reuters.com/world/asia-pacific/shortage-ballot-papers-sparks-protests-south-koreas-local-elections-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><p><strong>South Korea, China agree first expansion in flight rights in seven years.</strong> South Korea and China agreed to expand weekly flight rights for the first time in seven years. Passenger rights will rise by 56 flights to 664 per week, while cargo rights will increase by 14 to 68, supporting routes from Incheon, Busan, and Cheongju to major Chinese cities. <em>Joyce Lee</em>, <strong><a href="https://reuters.com/world/china/south-korea-china-agree-first-expansion-flight-rights-seven-years-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><h2>North Korea</h2><p><strong>North Korea's Kim calls for exponential nuclear expansion after inspecting new plant, KCNA says.</strong> Kim Jong Un visited a newly operational nuclear material production facility and ordered higher weapons-grade material output. KCNA said production capacity has more than doubled in five years, while analysts linked the visit to North Korea's negotiating posture and Seoul's nuclear-powered submarine talks with Washington. <em>Kyu-seok Shim</em>, <strong><a href="https://reuters.com/world/asia-pacific/north-koreas-kim-inspects-new-nuclear-material-plant-urges-expansion-arsenal-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><p><strong>Unification minister floats four-way peace talks involving two Koreas, U.S., China.</strong> Unification Minister Chung Dong-young proposed dialogue among South Korea, North Korea, the United States, and China to establish a Korean Peninsula peace regime. He said talks could later include Mongolia, Japan, and Russia, while calling for rebuilt inter-Korean trust and wider Northeast Asian cooperation. <em>Woo Jae-yeon</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260604007100315">Yonhap News Agency</a></strong>, <em>June 4</em></p><h2>Vietnam</h2><p><strong>Vietnam says USTR forced labour conclusion does not reflect its efforts.</strong> Vietnam rejected USTR findings that it failed to curb trade in goods made with forced labor, saying the conclusions do not accurately reflect its efforts. Foreign ministry spokesperson Pham Thu Hang said Vietnam bans forced labor, follows International Labour Organization rules, and will work with Washington. <em>Phuong Nguyen and Khanh Vu</em>, <strong><a href="https://reuters.com/world/asia-pacific/vietnam-says-ustr-forced-labour-conclusion-does-not-reflect-its-efforts-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><h2>Thailand</h2><p><strong>People&#8217;s Party split over controversial appointee.</strong> Thailand&#8217;s People&#8217;s Party faces internal criticism after appointing Surapon Nitikraipot to advise Bangkok governor candidate Chaiwat Sathawornwichit. Supporters objected to Surapon&#8217;s past role in a post-2006 coup legislature, while party leaders defended the move as an effort to broaden democratic alliances and reduce political divisions. <strong><a href="https://bangkokpost.com/thailand/politics/3265503/peoples-party-split-over-controversial-appointee">Bangkok Post</a></strong>, <em>June 4</em></p><p><strong>Pheu Thai charter bill hits snag.</strong> Pheu Thai is revising its constitutional amendment bill after Bhumjaithai withdrew support over legal concerns. The dispute centers on whether a directly elected constitutional drafting assembly would conflict with a Constitutional Court ruling. Pheu Thai said broad support remains necessary because it cannot pass amendments alone. <em>Aekarach Sattaburuth</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3265859/pheu-thai-charter-bill-hits-snag">Bangkok Post</a></strong>, <em>June 4</em></p><h2>Myanmar</h2><p><strong>Min Aung Hlaing appoints female mouthpiece as Myanmar regime bids for legitimacy.</strong> Myanmar's regime appointed Deputy Immigration Minister Khaing Khaing Soe as presidential spokesperson after Min Aung Hlaing returned from India. Analysts described the move as a cosmetic effort to project female empowerment while maintaining military control, noting her army connections, immigration career, and loyalty to the regime. <em>Maung Kavi</em>, <strong><a href="https://irrawaddy.com/news/burma/min-aung-hlaing-appoints-female-mouthpiece-as-myanmar-regime-bids-for-legitimacy.html">The Irrawaddy</a></strong>, <em>June 4</em></p><h2>Laos</h2><p><strong>Laos, China set four strategies to hit $20 billion trade target by 2030.</strong> Laos and China agreed to expand trade and investment through four pillars: upgrading their 1998 trade agreement, increasing fuel and new energy cooperation, developing fertilizer production using Laos&#8217; potash reserves, and expanding mineral extraction and processing. Bilateral trade doubled from $4.34 billion in 2021 to $8.80 billion in 2025. <em>Thongsavanh Souvannasane</em>, <strong><a href="https://laotiantimes.com/2026/06/04/laos-china-set-four-strategies-to-hit-usd-20-billion-trade-target-by-2030">The Laotian Times</a></strong>, <em>June 4</em></p><p><strong>Thongloun arrives in Beijing to continue state visit after Zhejiang.</strong> Lao President Thongloun Sisoulith arrived in Beijing after visiting Zhejiang during a five-day state visit to China. His itinerary included the Party School of the CPC Central Committee and the China Academy of Space Technology, reflecting efforts to study governance, green development, aerospace cooperation, industrial upgrading, and China-Laos Railway-linked connectivity. <em>Shen Sheng</em>, <strong><a href="https://globaltimes.cn/page/202606/1362784.shtml">Global Times</a></strong>, <em>June 4</em></p><h2>Philippines</h2><p><strong>Navy sends contingent to Rim of the Pacific exercise in Hawaii.</strong> The Philippine Navy sent BRP Miguel Malvar and Naval Task Group 84 to RIMPAC in Hawaii, marking its return to participating in the exercise after 2022. Officials said the deployment will strengthen interoperability, operational readiness, maritime cooperation, and support for a free and open Indo-Pacific. <em>Joanna Rose Aglibot</em>, <strong><a href="https://globalnation.inquirer.net/326226/navy-sends-contingent-to-rim-of-the-pacific-exercise-in-hawaii">Philippine Daily Inquirer</a></strong>, <em>June 4</em></p><p><strong>Palace on alleged cash delivery to Marcos - Present evidence.</strong> Malacanang dismissed allegations that suitcases of cash from anomalous flood control projects were delivered to President Ferdinand Marcos Jr. in Paoay. Palace Press Officer Claire Castro challenged critics to present clear evidence, saying accusations without proof were intended to destroy, obstruct, or destabilize. <em>Catherine S. Valente</em>, <strong><a href="https://manilatimes.net/2026/06/05/news/palace-on-alleged-cash-delivery-to-marcos-present-evidence/2359110">The Manila Times</a></strong>, <em>June 4</em></p><h2>Indonesia</h2><p><strong>Indonesia arrests deputy immigration minister on graft charges.</strong> Indonesia's anti-graft agency arrested Deputy Minister for Immigration and Correctional Affairs Silmy Karim over an alleged extortion scheme involving stay permits for foreign applicants. He was named a suspect with seven others, making him the second high-profile official in two days to face corruption charges. <em>Ananda Teresia</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesia-arrests-deputy-immigration-minister-graft-charges-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><p><strong>Indonesia to refocus free meal measures on more remote areas, official says.</strong> Indonesia's National Nutrition Agency will cut back on new kitchens and prioritize remote recipients after its budget was reduced and its former chief was arrested on corruption charges. New chief Nanik Sudaryati Deyang said existing kitchens must meet health standards, while private grants and CSR funding may help ease pressure on the state budget. <em>Stanley Widianto</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesia-refocus-free-meal-budget-more-remote-areas-official-says-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><h2>Singapore</h2><p><strong>Singapore Airlines in talks for major new jet order, sources say.</strong> Singapore Airlines is in early talks with Airbus and Boeing to buy at least 50 large long-haul jets for growth from the next decade. The carrier is seeking offers for Boeing 777X aircraft or Airbus A350-1000s, with possible options for dozens more planes. <em>Tim Hepher and Julie Zhu</em>, <strong><a href="https://reuters.com/business/aerospace-defense/singapore-airlines-talks-order-least-50-big-jets-sources-say-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><h2>Taiwan</h2><p><strong>Taiwan beefs up anti-ship missile arsenal to counter threat of Chinese invasion.</strong> Taiwan plans to expand its anti-ship missile arsenal to more than 1,800 by early 2029 under an asymmetric defense strategy. Harpoon and Hsiung Feng missiles would support a Taiwan Strait kill zone intended to stop Chinese landing forces and strengthen resistance to blockade or invasion. <em>David Lague and Yimou Lee</em>, <strong><a href="https://reuters.com/business/aerospace-defense/taiwan-beefs-up-anti-ship-missile-arsenal-counter-threat-chinese-invasion-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><p><strong>China should acknowledge the truth about Tiananmen, Taiwan president says.</strong> President Lai Ching-te urged China to face the June 4 crackdown, acknowledge the truth, ease pain, and open reconciliation and dialogue. Beijing treats the anniversary as taboo, while Lai used the occasion to call for a fuller public reckoning with events 37 years ago. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/china-should-acknowledge-truth-about-tiananmen-taiwan-president-says-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><p><strong>TSMC working hard to meet chip demand, would &#8216;like&#8217; to hike prices.</strong> TSMC CEO C.C. Wei said AI demand remains strong and the company is working to avoid becoming a supply chain bottleneck. He said TSMC would like higher prices but would avoid abrupt increases, while U.S. production will take a very long time to meet American customer needs. <em>Wen-Yee Lee</em>, <strong><a href="https://reuters.com/world/china/tsmc-boss-upbeat-outlook-ai-boom-shows-no-sign-easing-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><h2>India</h2><p><strong>Foreign investors pivot to short India debt ahead of policy turn.</strong> Foreign investors are buying more short-term Indian government bonds as inflation concerns and expectations of a policy shift push yields higher. Bonds under five years made up over two-thirds of top foreign purchases from March to May, while analysts said shorter debt offers stronger risk-adjusted carry with less duration risk. <em>Dharamraj Dhutia</em>, <strong><a href="https://reuters.com/world/asia-pacific/foreign-investors-pivot-short-india-debt-ahead-policy-turn-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><h2>Bangladesh</h2><p><strong>Bangladesh says it foiled multiple attempts by India to force people into the country.</strong> Bangladesh said border guards stopped 10 attempts by Indian authorities to push people across the border, reviving tensions over alleged undocumented migration. Dhaka said suspected Bangladeshi nationals must be returned through formal legal and diplomatic channels, and the issue is expected at upcoming border-force talks in New Delhi. <em>Ruma Paul and Saurabh Sharma</em>, <strong><a href="https://reuters.com/world/asia-pacific/bangladesh-says-it-foiled-multiple-attempts-by-india-force-people-into-country-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><h2>Brunei</h2><p><strong>Brunei's sultan announces cabinet shake-up, appoints sons as ministers.</strong> Sultan Hassanal Bolkiah reshuffled Brunei's cabinet, appointed two younger sons to ministerial roles, and created new portfolios to improve policy coordination. Prince Abdul Malik joined the Prime Minister's Office, Prince Abdul Mateen became foreign minister, and officials emphasized diversification, sustainable growth, and employment. <em>Ain Bandial and Rozanna Latiff</em>, <strong><a href="https://reuters.com/world/asia-pacific/bruneis-sultan-announces-cabinet-shake-up-appoints-sons-ministers-2026-06-04">Reuters</a></strong>, <em>June 4</em></p><h2>Kazakhstan</h2><p><strong>Kazakhstan working with American firm to fix troubled entrance exam system.</strong> Kazakhstan plans to replace its criticized Unified National Testing exam with a new Admissions Insight Test developed with Educational Testing Service. The phased rollout will begin with small-scale testing in 2027, pilots in 2028, and possible nationwide implementation in 2029, while officials seek to measure critical thinking, communication, project reasoning, and digital literacy. <em>Aidana Maitekova</em>, <strong><a href="https://eurasianet.org/kazakhstan-working-with-american-firm-to-fix-troubled-entrance-exam-system">Eurasianet</a></strong>, <em>June 4</em></p><h2>Tajikistan</h2><p><strong>Tajikistan and Pakistan agree to expand trade and economic cooperation.</strong> Tajikistan and Pakistan signed a protocol to expand cooperation after their eighth joint commission meeting in Dushanbe. The agreement covers trade, investment, energy, agriculture, transport, banking, education, tourism, and communications, with particular attention to the CASA-1000 project and efforts to increase bilateral trade beyond $43 million in 2025. <em>Vagit Ismailov</em>, <strong><a href="https://timesca.com/tajikistan-and-pakistan-agree-to-expand-trade-and-economic-cooperation">The Times of Central Asia</a></strong>, <em>June 4</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-june-5-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:&quot;button-wrapper&quot;}" data-component-name="ButtonCreateButton"><a class="button primary button-wrapper" href="https://www.theasiacable.com/p/asia-daily-june-5-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:&quot;&quot;,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" title="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>After Xi-Trump summit, a jittery Taiwan takes stock.</strong> After the Xi-Trump summit, Taiwan confronted fears that Washington could treat arms sales and political space as bargaining tools with Beijing. Lai Ching-te defended the status quo, rejected unification framed as peace, and pressed for defense self-reliance. Legislative obstruction, impeachment drama, budget cuts, local elections, economic strain, and social welfare demands deepened pressure on his second half in office. <em>Miao Zong-Han</em>, <strong><a href="https://thinkchina.sg/politics/big-read-after-xi-trump-summit-jittery-taiwan-takes-stock">ThinkChina</a></strong>, <em>June 4</em></p><p><strong>Combating Chinese Fentanyl Trafficking: Policy Considerations for Supply Reduction and International Coordination.</strong> The United States faces a synthetic opioid crisis linked to fentanyl deaths, Chinese precursor supply, Mexican production, and transnational criminal organizations. Effective response requires supply chain controls, border and parcel screening, sanctions, investigations, chemical scheduling, export reporting, and stronger U.S.-China engagement. Public health measures, including naloxone, test strips, treatment access, prevention, warning systems, and better data collection, remain central to reducing overdose deaths and tracking drug markets. <em>David Luckey</em>, <strong><a href="https://www.rand.org/t/CTA5040-1">RAND</a></strong>, <em>June 4</em></p><p><strong>why is Beijing making its digital yuan pay?</strong> Beijing turned the e-CNY into an interest-bearing digital deposit to boost adoption, give banks incentives, and counter dollar-linked stablecoins. The shift enables the state to control money, data, cross-border flows, and internationalization of the RMB. Hong Kong serves as a test bed for wallets, merchants, e-commerce, and bank links. Beijing seeks controlled globalization, lower reliance on Western infrastructure, and greater monetary autonomy without severing dollar ties. <strong><a href="https://chinapolicy.substack.com/p/why-is-beijing-making-its-digital">CHINA POLICY</a></strong>, <em>June 4</em></p><p><strong>Xi Jinping gives China&#8217;s crack scientists new jobs inside government.</strong> China is placing career scientists inside party and state roles as technology rivalry with the United States shapes elite politics. Academicians now hold more Central Committee seats, while experts in microelectronics, computing, and navigation help direct education, planning, semiconductors, and innovation policy. The change serves self-reliance, channels capital and talent, limits corrupt networks, and creates a path for trusted specialists before the 2027 party congress. <strong><a href="https://www.economist.com/china/2026/06/04/xi-jinping-gives-chinas-crack-scientists-new-jobs-inside-government">The Economist</a></strong>, <em>June 4</em></p><p><strong>China Is Too Big for Shangri-La.</strong> China&#8217;s decision to send a lower-level delegation to the Shangri-La Dialogue reflected confidence, caution, and preference for bilateral security channels with Washington. Beijing saw little gain in having Dong Jun repeat fixed positions on Taiwan, Japan, the South China Sea, and U.S. alliances under Western agenda control. Avoiding ministerial attendance reduced confrontation, deflected scrutiny of military purges, and supported China&#8217;s effort to elevate the Xiangshan Forum. <em>Deng Yuwen</em>, <strong><a href="https://foreignpolicy.com/2026/06/04/china-shangri-la-dong-jun-defense-minister">Foreign Policy</a></strong>, <em>June 4</em></p><p><strong>Trump should push back on Xi's narrative on Japan.</strong> Xi Jinping&#8217;s reported criticism of Japan&#8217;s remilitarization after meeting Donald Trump reflects Beijing&#8217;s effort to cast Tokyo as a defeated power with limited authority in regional security. Japan&#8217;s defense buildup responds to Chinese military expansion and pressure near the Senkaku Islands. The United States should reject language that validates Chinese historical claims, weakens the alliance, or treats China as a coequal guardian of Asia&#8217;s postwar order. <em>Ken Moriyasu</em>, <strong><a href="https://asia.nikkei.com/opinion/trump-should-push-back-on-xi-s-narrative-on-japan">Nikkei Asia</a></strong>, <em>June 4</em></p><p><strong>Japan won't become another Silicon Valley. It doesn't need to.</strong> Japan&#8217;s startup ecosystem should adapt foreign models without copying Silicon Valley. Its gaps include limited long-duration venture capital and a few bridge operators who can scale science into global businesses. Its strengths include patient corporations, industrial depth, manufacturing skill, and scientific rigor. Corporate carveouts, university partnerships, and spinouts can unlock dormant intellectual property, while global hard tech trends now align with Japan&#8217;s strengths in robotics, climate, materials, and healthcare. <em>Nagisa Sakurai</em>, <strong><a href="https://asia.nikkei.com/opinion/japan-won-t-become-another-silicon-valley.-it-doesn-t-need-to">Nikkei Asia</a></strong>, <em>June 4</em></p><p><strong>New DPRK-Russia Friendship Hospital is Repurposing Existing Project.</strong> Russia&#8217;s funded Friendship Hospital in Wonsan appears to reuse a stalled North Korean hospital site, likely Kangwon General Hospital. Satellite imagery shows residential clearance in 2024, partial construction, a halt through 2025, then renewed activity before the April 2026 groundbreaking. The project reframes an existing state goal as Russian support tied to wartime cooperation, with the central unfinished building retained. <em>Martyn Williams</em>, <strong><a href="https://www.38north.org/2026/06/new-dprk-russia-friendship-hospital-is-repurposing-existing-project/">38 North</a></strong>, <em>June 4</em></p><p><strong>National Security Without Consensus: Taiwan&#8217;s Domestic Politics Through 2028.</strong> Taiwan&#8217;s security challenge has moved from recognizing threats to coordinating policy under divided government. Lai Ching-te&#8217;s defense agenda, including the T-Dome and special budget, faced KMT and TPP obstruction before a reduced bill passed. The analysis links polarization, constitutional standoffs, youth voters, KMT leadership choices, and China&#8217;s pressure to risks for deterrence, governance, and the 2028 elections. It calls for cross-party consultation, oversight benchmarks, and legislative reforms. <em>Simona Grano</em>, <strong><a href="https://asiasociety.org/policy-institute/national-security-without-consensus-taiwans-domestic-politics-through-2028">Asia Society</a></strong>, <em>June 3</em></p><h2>Southeast Asia</h2><p><strong>ASEAN&#8217;s path to middle power status.</strong> ASEAN faces calls to act as a collective middle power amid great power rivalry, regional tensions, and domestic pressures. Its diversity limits common action, making global activism unrealistic. A regional middle power role could focus on peace, resilience, energy security, food security, climate risks, and conflict prevention. Progress requires cooperation through ASEAN+3 and RCEP, a shared regional order, institutional reform, and a shift toward rule-making. <em>Rizal Sukma</em>, <strong><a href="https://eastasiaforum.org/2026/06/04/aseans-path-to-middle-power-status">East Asia Forum</a></strong>, <em>June 4</em></p><p><strong>Vietnam&#8217;s Reconfigured Leadership: Personnel and Power in the &#8220;New Era&#8221;.</strong> Vietnam&#8217;s 2026 transition preserved party architecture while concentrating power around To Lam. The Central Committee and Politburo retained familiar sizes, yet northern representation, Hung Yen networks, and security-linked appointments grew in strategic posts. To Lam&#8217;s merger of general secretary and president weakened collective checks. Le Minh Hung&#8217;s premiership, cabinet expansion, military presence, and a young implementation cohort will test reform execution, accountability, and policy coordination. <em>Nguyen Khac Giang</em>, <strong><a href="https://fulcrum.sg/vietnams-reconfigured-leadership-personnel-and-power-in-the-new-era">FULCRUM</a></strong>, <em>June 4</em></p><p><strong>Vietnam and India reshape middle power diplomacy.</strong> Vietnam and India are building a partnership centered on development, trade, technology, and defense rather than China-focused balancing. To Lam&#8217;s 2026 New Delhi visit produced an Enhanced Comprehensive Strategic Partnership, new dialogue mechanisms, and cooperation agreements. Trade targets, VinFast investment, digital growth, BrahMos talks, and Indo-Pacific coordination show rising strategic density. Trade imbalances, limited investment, weak regulatory alignment, and implementation gaps remain constraints. <em>Do Khuong Manh Linh</em>, <strong><a href="https://eastasiaforum.org/2026/06/04/vietnam-and-india-reshape-middle-power-diplomacy">East Asia Forum</a></strong>, <em>June 4</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p><p></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: June 4, 2026]]></title><description><![CDATA[China&#8217;s anti-corruption watchdog targets its former senior official Li Xiaohong.]]></description><link>https://www.theasiacable.com/p/asia-daily-june-4-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-june-4-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Thu, 04 Jun 2026 11:31:52 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/a4f80a0b-bde9-4009-bde1-406afcca856a_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!pZbj!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:982691,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>China&#8217;s anti-corruption watchdog targets its former senior official Li Xiaohong.</strong> China&#8217;s top anti-corruption authorities placed former senior disciplinary official Li Xiaohong under investigation for suspected serious violations of discipline and law. Li held major financial and inspection roles, including at China&#8217;s securities regulator and the central inspection system, making the case significant for both sectors. <em>William Zheng</em>, <strong><a href="https://scmp.com/news/china/politics/article/3355776/chinas-anti-corruption-watchdog-targets-its-former-senior-official-li-xiaohong">South China Morning Post</a></strong>, <em>June 3</em></p><p><strong>China, EU slam proposed US tariffs, reject forced labour allegations.</strong> China and the European Union rejected proposed U.S. tariffs tied to forced-labor allegations under a Section 301 investigation. Beijing called the findings political manipulation, while European Parliament trade officials said the claims ignored existing EU rules. Analysts said the move reflects Washington&#8217;s search for durable tariff tools after court setbacks. <em>Teresa Elena Frontado</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3355882/china-eu-slam-proposed-us-tariffs-reject-forced-labour-allegations">South China Morning Post</a></strong>, <em>June 3</em></p><p><strong>China to the Philippines: don&#8217;t let a few clowns sabotage ties with political theatrics.</strong> China condemned Philippine Defense Secretary Gilberto Teodoro Jr.&#8217;s remarks describing China as a severe threat. Foreign Ministry spokesperson Mao Ning accused him of damaging bilateral trust and politicizing Chinese aid, warning Manila to restrain officials&#8217; statements as tensions rise over the South China Sea and maritime boundary talks. <em>Orange Wang</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3355760/china-philippines-dont-let-few-clowns-sabotage-ties-political-theatre">South China Morning Post</a></strong>, <em>June 3</em></p><p><strong>Five Eyes security alliance warns of Chinese espionage threat.</strong> Five Eyes security agencies warned that Chinese military intelligence services are using online job platforms to recruit people with access to sensitive information. The bulletin said targets include government, military, defense, foreign affairs, intelligence, journalism, and think tank personnel, who may be paid for confidential reports. <em>Michael Holden</em>, <strong><a href="https://reuters.com/business/media-telecom/five-eyes-security-alliance-warns-chinese-espionage-threat-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><h2>Japan</h2><p><strong>Takaichi Cabinet sends 3.1 trillion yen extra budget for Diet approval.</strong> Prime Minister Sanae Takaichi&#8217;s Cabinet approved a 3.113 trillion yen supplementary budget to address rising energy prices from the Middle East conflict. The package includes a new reserve fund, utility subsidies, local grants, and deficit-covering bonds, shifting the fiscal 2026 primary balance back into deficit. <em>Yasuyuki Onaya</em>, <strong><a href="https://asahi.com/ajw/articles/16616071">The Asahi Shimbun</a></strong>, <em>June 3</em></p><p><strong>Over 30 island nations join inaugural ocean forum in Tokyo.</strong> More than 300 representatives from 35 island nations joined the inaugural Island States Ocean Summit in Tokyo to discuss maritime conservation, climate change, marine debris, biodiversity loss, and sustainable ocean economies. Prime Minister Sanae Takaichi pledged support for countries facing extreme weather and rising seas. <strong><a href="https://english.kyodonews.net/articles/-/77247">Kyodo News</a></strong>, <em>June 3</em></p><h2>South Korea</h2><p><strong>South Korea ruling party set for local election gains, exit poll shows.</strong> South Korea's ruling Democratic Party was projected to lead in 11 of 16 major local races, including Seoul, according to an exit poll. Busan remained too close to call, leaving uncertainty over whether President Lee Jae Myung's party could claim a landslide in the first nationwide vote since his election. <em>Joyce Lee, Brenda Goh, and Kyu-seok Shim</em>, <strong><a href="https://reuters.com/world/asia-pacific/south-koreans-vote-local-elections-seen-gauge-president-lees-first-year-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><p><strong>U.S., South Korea discuss nuclear cooperation in security talks.</strong> South Korea and the United States held inaugural talks on nuclear cooperation tied to Seoul's plans for nuclear-powered submarines. Discussions covered uranium enrichment, spent-fuel reprocessing, and a separate legal track for military nuclear use, with both sides seeking faster consultations and substantive results. <em>Joyce Lee</em>, <strong><a href="https://reuters.com/world/asia-pacific/us-south-korea-discuss-nuclear-cooperation-security-talks-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><p><strong>USTR points to South Korea&#8217;s steel industry as he defends Trump&#8217;s tariff policy.</strong> U.S. Trade Representative Jamieson Greer cited South Korea&#8217;s rise as a steelmaking powerhouse while defending President Donald Trump&#8217;s tariff policy and criticizing foreign government intervention. Greer said structural trade imbalances require new rules based on balance, reciprocity, fairness, and resilience as USTR investigations could lead to new tariffs. <em>Song Sang-ho</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260603000300315">Yonhap News Agency</a></strong>, <em>June 2</em></p><p><strong>Turnout in local elections surpasses 60%: NEC.</strong> South Korea&#8217;s local election turnout reached 60.7%, the highest rate since the first nationwide local elections in 1995. More than 27.1 million of 44.64 million eligible voters cast ballots, exceeding the 60.2% turnout in 2018 and the 50.9% recorded in the previous local elections in 2022. <em>Lee Haye-ah</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260603001754315">Yonhap News Agency</a></strong>, <em>June 3</em></p><h2>North Korea</h2><p><strong>North Korea's Kim calls for exponential nuclear expansion after inspecting new plant, KCNA says.</strong> Kim Jong Un visited a newly operational nuclear material production facility and called for further expansion of North Korea's nuclear arsenal. KCNA said weapons-grade material capacity has more than doubled over five years, and Kim ordered higher output to meet long-term strategic goals amid worsening security threats. <em>Kyu-seok Shim</em>, <strong><a href="https://reuters.com/world/asia-pacific/north-koreas-kim-inspects-new-nuclear-material-plant-urges-expansion-arsenal-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><h2>Thailand</h2><p><strong>Senators seek backing for rewrite.</strong> A group of Thai senators is seeking support from Pheu Thai, the People's Party, and the Democrat Party for a charter amendment bill. The proposal would create a 200-member public consultation assembly and a 35-member Constitution Drafting Committee, with public input, 60-day progress reports, parliamentary debate, and a referendum. <em>Aekarach Sattaburuth</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3265025/senators-seek-backing-for-rewrite">Bangkok Post</a></strong>, <em>June 3</em></p><p><strong>Former Thai prime minister Thaksin to be freed after royal pardon.</strong> Former Thai Prime Minister Thaksin Shinawatra is set to be released from the rest of his prison sentence under a royal pardon marking Queen Suthida's birthday. Justice officials said administrative steps remain before his formal release and removal of his electronic ankle bracelet. <em>Panu Wongcha-um</em>, <strong><a href="https://reuters.com/world/asia-pacific/former-thai-prime-minister-thaksin-be-freed-after-royal-pardon-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><h2>Cambodia</h2><p><strong>Cambodia briefs envoys on UNCLOS notice.</strong> Foreign Minister Prak Sokhonn briefed diplomats on Cambodia's notice to Thailand and the UN Secretary-General initiating compulsory conciliation under UNCLOS. Cambodia said Thailand's withdrawal from the 2001 maritime memorandum left few lawful alternatives, while the process aims to protect sovereignty, unlock resources, and support peaceful settlement. <em>Meng Seavmey</em>, <strong><a href="https://cambodianess.com/article/cambodia-briefs-envoys-on-unclos-notice">Cambodianess</a></strong>, <em>June 3</em></p><h2>Philippines</h2><p><strong>PH loses bid for UN Security Council non-permanent seat.</strong> The Philippines lost to Kyrgyzstan for the Asia-Pacific non-permanent seat on the UN Security Council for 2027-2028. Kyrgyzstan secured the seat in the fourth round of UN General Assembly voting with 142 votes to the Philippines' 49 and will begin its term on January 1, 2027. <em>Kristina Maralit</em>, <strong><a href="https://manilatimes.net/2026/06/04/news/ph-loses-bid-for-un-security-council-non-permanent-seat/2358213">The Manila Times</a></strong>, <em>June 3</em></p><p><strong>Philippines probes possible new structure at disputed Scarborough Shoal.</strong> A Philippine task force is investigating reports of a possible new structure at Scarborough Shoal and said any development affecting sovereign rights will be taken seriously. Defense Secretary Gilberto Teodoro said the information remains unverified, while agencies are using surveillance tools to assess the situation. <em>Nestor Corrales</em>, <strong><a href="https://reuters.com/world/china/philippines-probes-possible-new-structure-disputed-scarborough-shoal-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><p><strong>Philippine Senate ends impasse after President says "get back to work."</strong> Philippine senators ended a legislative standoff after a majority member joined the floor, allowing a rival bloc to form a quorum and elect Sherwin Gatchalian acting Senate president. President Ferdinand Marcos Jr.'s office recognized the move, while Alan Peter Cayetano called it illegal. <em>Karen Lema, Nestor Corrales, and Mikhail Flores</em>, <strong><a href="https://reuters.com/world/asia-pacific/philippines-marcos-urges-senate-return-work-gridlock-deepens-ahead-break-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><h2>Indonesia</h2><p><strong>Indonesia eyes Madagascar as gateway to Africa&#8217;s mineral riches.</strong> Indonesia and Madagascar agreed to deepen economic ties as Jakarta looks to Madagascar as a gateway to African minerals needed for industry and advanced technology. Cooperation priorities include mineral resources, energy, finance, the creative economy, renewable energy, agriculture, fisheries, tourism, investment, technology transfer, and visa facilitation. <em>Author</em>, <strong><a href="https://en.antaranews.com/news/417881/indonesia-eyes-madagascar-as-gateway-to-africas-mineral-riches">ANTARA News</a></strong>, <em>June 3</em></p><p><strong>Indonesia to receive Garibaldi carrier this year, braces for Hormuz delays.</strong> Indonesia expects to receive Italy&#8217;s retired Garibaldi aircraft carrier this year, though delivery could face delays linked to the Strait of Hormuz closure and regional conflict. The transfer is a donation, with Jakarta budgeting only for retrofitting while the navy prepares crews to operate the vessel. <em>Jayanty Nada Shofa</em>, <strong><a href="https://jakartaglobe.id/news/indonesia-to-receive-garibaldi-carrier-this-year-braces-for-hormuz-delays">Jakarta Globe</a></strong>, <em>June 3</em></p><p><strong>Indonesian parliamentary panel backs bill to expand role of central bank.</strong> Indonesia's parliamentary financial commission and the government backed a bill expanding Bank Indonesia's mandate to include promoting economic growth. The proposal also strengthens financial regulators, gives parliament binding review powers, and covers rules on the stock exchange, sovereign wealth fund debt, and strategic commodities markets. <em>Gayatri Suroyo</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesian-parliamentary-panel-backs-bill-expand-role-central-bank-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><p><strong>Indonesia arrests officials over alleged corruption in free meals programme.</strong> Indonesian authorities arrested former National Nutrition Agency chief Dadan Hindayana and two other former officials over alleged corruption in President Prabowo Subianto's free meals programme. Prosecutors cited suspected procurement markups, improper kitchen foundation selection, and state losses, while the programme faces scrutiny over spending, governance, and food safety. <em>Ananda Teresia, Stanley Widianto, and Gibran Peshimam</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesias-prabowo-removes-head-free-meals-agency-over-governance-concerns-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><h2>Taiwan</h2><p><strong>Taiwan says Japan, Philippines must respect its rights in maritime border talks.</strong> Taiwan asked Japan and the Philippines to ensure their maritime boundary talks do not affect Taiwan's rights under international law. Taipei said the planned talks overlap with its exclusive economic zone east of Taiwan and rejected China's attempt to speak for it on the issue. <em>Ben Blanchard, Karen Lema, and Kiyoshi Takenaka</em>, <strong><a href="https://reuters.com/world/china/taiwan-says-japan-philippines-must-respect-its-rights-maritime-border-talks-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><h2>Bangladesh</h2><p><strong>Bangladesh seeks new IMF lending deal, officials say.</strong> Bangladesh requested a new IMF loan arrangement and is exiting its current $5.5 billion programme. Officials said Dhaka wants a realistic, phased reform agenda reflecting current economic conditions, political changes, inflation, slower growth, and external shocks, while the IMF said talks are underway on reform priorities and programme design. <em>Ruma Paul</em>, <strong><a href="https://reuters.com/world/asia-pacific/bangladesh-seeks-new-imf-lending-deal-officials-say-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><h2>Uzbekistan</h2><p><strong>Mirziyoyev, Putin to mark launch of Uzbekistan nuclear plant project.</strong> Uzbek President Shavkat Mirziyoyev will visit St. Petersburg for talks with Russian President Vladimir Putin and a ceremony launching Uzbekistan's first integrated nuclear power plant project. The Jizzakh facility will include two large-capacity units and two smaller 55-megawatt units, with IAEA, Rosatom, and Uzatom officials participating. <em>Sadokat Jalolova</em>, <strong><a href="https://timesca.com/mirziyoyev-putin-to-mark-launch-of-uzbekistan-nuclear-plant-project">The Times of Central Asia</a></strong>, <em>June 3</em></p><h2>Kyrgyzstan</h2><p><strong>Kyrgyzstan's armed forces double in size amid rising defense spending.</strong> Kyrgyzstan's armed forces have grown from about 11,000 personnel in 2018 to around 23,000 as defense funding rose 300% over five years. Officials said contract staffing now exceeds 95%, social benefits have improved, and drone capabilities are being expanded through foreign purchases and domestic production. <strong><a href="https://timesca.com/kyrgyzstans-armed-forces-double-in-size-amid-rising-defense-spending">The Times of Central Asia</a></strong>, <em>June 3</em></p><h2>Solomon Islands</h2><p><strong>New Solomon Islands leader reviews security pact with China, seeks treaty with Australia.</strong> Solomon Islands Prime Minister Matthew Wale said his government will review its security pact with China and negotiate a comprehensive strategic treaty with Australia. Wale cited transparency concerns over the China deal, while Australia pledged support on energy costs, cyclone recovery, and policing cooperation. <em>Peter Hobson</em>, <strong><a href="https://reuters.com/world/china/australia-solomon-islands-agree-negotiate-comprehensive-treaty-2026-06-03">Reuters</a></strong>, <em>June 3</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-june-4-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:&quot;button-wrapper&quot;}" data-component-name="ButtonCreateButton"><a class="button primary button-wrapper" href="https://www.theasiacable.com/p/asia-daily-june-4-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:&quot;&quot;,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" title="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>Trump&#8217;s AI Order Won&#8217;t Stymie U.S. Competition with China.</strong> Trump&#8217;s executive order creates voluntary pre-release testing for advanced AI models and directs agencies to use AI for cyber resilience. Claims that regulation will undermine competition with China ignore Beijing&#8217;s experience, where strict rules on algorithms, deepfakes, generative AI, labeling, and harms coincided with rapid progress. China&#8217;s small, fast, flexible governance and technical strengths show targeted regulation can reduce risks while preserving innovation and U.S. competitive capacity and public trust. <em>Matt Sheehan</em>, <strong><a href="https://carnegieendowment.org/emissary/2026/06/trump-ai-order-china-competition">Carnegie Endowment for International Peace</a></strong>, <em>June 3</em></p><p><strong>What Summit Achieved and What Comes Next.</strong> Beijing&#8217;s China-U.S. summit produced no trade deal, joint communique, Taiwan progress, or Iran cease-fire action, but it created limited stability after years of confrontation. Agreements covered strategic stability, trade purchases, investment councils, exchanges, global issue talks, and future leader meetings. Structural rivalry, export controls, mistrust, U.S. domestic politics, and allied tensions leave the relationship fragile despite openings for managed cooperation. <em>Jia Qingguo</em>, <strong><a href="https://www.chinausfocus.com/foreign-policy/what-summit-achieved-and-what-comes-next">CHINA US Focus</a></strong>, <em>June 3</em></p><p><strong>Coordination Reflects Shifts in Relations.</strong> China and Russia marked 30 years of strategic partnership by renewing their treaty and pledging back-to-back coordination amid geopolitical crises, U.S. strategic pressure, and weakening arms control. Their model avoids a formal alliance while preserving policy independence, expanding energy and security cooperation, and responding to systemic turbulence. The partnership strengthens bilateral predictability but signals that major-power competition will grow more complex as trust and arms control erode in global security affairs. <em>Xiao Bin</em>, <strong><a href="https://www.chinausfocus.com/foreign-policy/coordination-reflects-shifts-in-relations">CHINA US Focus</a></strong>, <em>June 3</em></p><p><strong>The Double China Shock: How Beijing Is Disrupting Both Developing and Advanced Economies.</strong> China&#8217;s 15th Five-Year Plan keeps traditional industries central while pushing into advanced technology, creating pressure at both ends of global manufacturing. Low-tech exports continue to squeeze Southeast Asian producers, while medium- and high-tech competition threatens European cars, solar, wind, and supply chains. China&#8217;s outbound investment can reinforce dependence on Chinese inputs. Europe and ASEAN could respond through trade talks, investment in local manufacturing, mutual diversification strategies, and shared supply planning. <em>Paul&#237;na Ove&#269;kov&#225;</em>, <strong><a href="https://chinaobservers.eu/the-double-china-shock-how-beijing-is-disrupting-both-developing-and-advanced-economies">chinaobservers</a></strong>, <em>June 3</em></p><p><strong>China&#8217;s AI competition strategy: Wide dispersion, cheap tokens.</strong> Chinese AI firms are using low token prices, compute efficiency, and open-weight distribution to win global market share while avoiding premium competition with US leaders. DeepSeek&#8217;s V4 pricing reflects a sector strategy built around diffusion rather than frontier performance. Downloads of Chinese models on Hugging Face surpassed US models, raising European concerns about dependency and talent flows into Chinese systems. <em>Wendy Chang</em>, <strong><a href="https://merics.org/en/comment/chinas-ai-competition-strategy-wide-dispersion-cheap-tokens">Merics</a></strong>, <em>June 3</em></p><p><strong>China&#8217;s swift moves on brain-computer interfaces challenge Europe and the US.</strong> China approved an invasive brain-computer interface for commercial use in March, placing it ahead of Europe and the United States in clinical rollout. Neuracle&#8217;s device has helped 32 spinal cord injury patients regain hand movement through brain signals linked to a robotic glove. State plans, funds, investment, hospitals, factories, and standards work show Beijing treats BCI as a strategic industry. <em>Altynay Junusova</em>, <strong><a href="https://merics.org/en/comment/chinas-swift-moves-brain-computer-interfaces-challenge-europe-and-us">Merics</a></strong>, <em>June 3</em></p><p><strong>China is poised to gain as global memory makers pivot to AI chips.</strong> China is expanding mature DRAM and NAND memory production while U.S. and South Korean firms move toward higher-margin AI chips, creating risks for Europe&#8217;s automotive, industrial automation, and medical sectors. Europe lacks domestic memory output and new capacity plans. YMTC and CXMT are gaining share through low prices and supply availability, making stockpiling, supplier rotation, and a stronger EU legacy chip policy necessary. <em>Antonia Hmaidi</em>, <strong><a href="https://merics.org/en/comment/china-poised-gain-global-memory-makers-pivot-ai-chips">Merics</a></strong>, <em>June 3</em></p><p><strong>Japan can&#8217;t hedge against Trump without stabilising relations with China.</strong> Japan&#8217;s attempt to secure its U.S. alliance while countering China through a Plan A+ hedge is inadequate because Trump weakens the rules-based order, trade cooperation, and allied trust. Middle-power ties and defense buildup cannot offset reduced U.S. reliability and may intensify Beijing&#8217;s hostility. Tokyo should reaffirm its Taiwan position, revise FOIP toward inclusion, deepen regional trade, pursue maritime confidence-building, and cooperate with China on climate and energy security projects. <em>Mike Mochizuki</em>, <strong><a href="https://eastasiaforum.org/2026/06/03/japan-cant-hedge-against-trump-without-stabilising-relations-with-china">East Asia Forum</a></strong>, <em>June 3</em></p><p><strong>Japan&#8217;s AI transition faces stumbling blocks.</strong> Japan needs AI to sustain productivity as population aging tightens labor supply, but automation cannot replace work that depends on trust, empathy, and social judgment. Adoption is slowed by weak firm competition, subsidy-supported loss-making companies, small-business limits, and higher education problems. Poor research capacity, non-tenure staffing, and opaque learning outcomes restrict AI talent, investment, and absorption of frontier technologies across firms, universities, government, and politics, with lasting productivity costs. <em>Akira Kohsaka</em>, <strong><a href="https://eastasiaforum.org/2026/06/03/japans-ai-transition-faces-stumbling-blocks">East Asia Forum</a></strong>, <em>June 3</em></p><p><strong>From industrial giant to specialised supplier: The reshaping of Japan.</strong> Japan faces a postwar transition as China contests its strengths in cars, batteries, robotics, AI manufacturing, and supply chains while aging, debt, energy exposure, and defense costs strain the state. Its mass consumer role may give way to niches in robotics, materials, precision equipment, sensors, and specialty chemicals. Policy turns toward semiconductors, AI, rearmament, energy security, de-risking, and labor reform as Japan balances welfare, growth, and security in Asia competition. <em>Tan Kong Yam</em>, <strong><a href="https://www.thinkchina.sg/economy/industrial-giant-specialised-supplier-reshaping-japan">ThinkChina</a></strong>, <em>June 3</em></p><p><strong>North Korea Sees a New Solar Power Push.</strong> North Korea&#8217;s new Haeju solar farm marks a change from small facility-level solar use toward grid-linked production. The 10-megawatt plant has more than 16,000 panels and is presented as a model, with other projects in Ryanggang, North Phyongan, South Phyongan, and Hamhung. Chronic electricity shortages remain a constraint on economic modernization, making renewable expansion and grid upgrades central to Kim Jong Un&#8217;s development goals, wider industrial plans, and state priorities. <em>Martyn Williams</em>, <strong><a href="https://www.38north.org/2026/06/north-korea-sees-a-new-solar-power-push">38 North</a></strong>, <em>June 3</em></p><p><strong>US-China detente: Taiwan is the pivot.</strong> Xi Jinping placed Taiwan at the center of Beijing talks with Donald Trump, linking Taiwan&#8217;s Lai Ching-te and Japan&#8217;s Sanae Takaichi as threats to peace. The summit delivered agricultural purchases, Boeing orders, and trade mechanisms, yet technology controls and economic distrust remain. Taiwan arms-sale choices and Trump&#8217;s consultation with Lai will test whether d&#233;tente becomes durable or collapses under strategic pressure for Washington, Beijing, Tokyo, and regional markets in Asia. <em>Diana Choyleva</em>, <strong><a href="https://asia.nikkei.com/opinion/us-china-detente-taiwan-is-the-pivot">Nikkei Asia</a></strong>, <em>June 3</em></p><p><strong>The U.S. and Taiwanese Militaries Can&#8217;t Really Fight Together.</strong> U.S. debate over Taiwan centers on defense spending, arms sales, and strategic ambiguity, but interoperability is the urgent weakness. Since 1979, the forces have lacked joint exercises, staff planning, shared doctrine, and command integration. Technology links, fused targeting, combined planning, senior contact, and officer education would help connect Taiwan&#8217;s weapons to U.S. combat power and strengthen deterrence against China. <em>Mark Montgomery</em>, <strong><a href="https://foreignpolicy.com/2026/06/03/taiwan-china-us-invasion-war-military-arms-weapons">Foreign Policy</a></strong>, <em>June 3</em></p><h2>Southeast Asia</h2><p><strong>Why ASEAN States Need a Defence Plan B.</strong> ASEAN has balanced Chinese infrastructure and trade with U.S. security, but Washington&#8217;s reduced attention under Trump, vacant ambassadorships, Hormuz risks, and doubts about American protection expose regional vulnerabilities. Members need defense multi-alignment with partners such as India, China, Russia, and the United States, stronger military technology bases, procurement reform, deterrence, and a calibrated China policy that uses economic leverage to manage South China Sea disputes. <em>Brian Wong</em>, <strong><a href="https://www.chinausfocus.com/peace-security/why-asean-states-need-a-defence-plan-b">CHINA US Focus</a></strong>, <em>June 3</em></p><p><strong>Why Malaysian youths are choosing mainland China over Taiwan for degrees.</strong> Malaysian students are choosing mainland China over Taiwan as China&#8217;s universities rise in rank, offer scholarships, lower tuition, career links, and recruitment through alumni and social media. Taiwan&#8217;s advantage from UEC recognition, Chinese-medium pathways, and alumni support has weakened amid broader study options, local branch campuses, and private universities. The shift mirrors regional education competition, China&#8217;s economic influence, and evolving youth information habits throughout Malaysia and Greater China education networks. <em>Tan Jet Min</em>, <strong><a href="https://www.thinkchina.sg/society/big-read-why-malaysian-youths-are-choosing-mainland-china-over-taiwan-degrees">ThinkChina</a></strong>, <em>June 3</em></p><p><strong>Indonesia&#8217;s 5.61 Per Cent: Growth for the State, Not for the People.</strong> Indonesia&#8217;s 5.61 percent Q1 growth was driven by front-loaded state spending, holiday consumption, and flagship programmes rather than secure household gains. Currency weakness, oil shocks, informal work, vulnerable households, and questionable data weaken the headline. MBG and village cooperatives face governance risks. Better indicators include debt service, local services, informal employment, poor household consumption, and democratic feedback. <em>Yanuar Nugroho</em>, <strong><a href="https://fulcrum.sg/indonesias-5-61-per-cent-growth-for-the-state-not-for-the-people">FULCRUM</a></strong>, <em>June 3</em></p><h2>South Asia</h2><p><strong>India&#8217;s Cockroach Movement Gains Momentum.</strong> A Supreme Court remark comparing unemployed youth to cockroaches sparked Abhijeet Dipke&#8217;s satirical Cockroach Janta Party, which drew mass online support before a planned New Delhi rally. The movement reflects anger over youth joblessness, underemployment, weak graduate skills, and gaps between GDP growth and employment quality. India&#8217;s demographic dividend depends on education, health, and decent work, not youth numbers alone. <em>Sumit Ganguly</em>, <strong><a href="https://foreignpolicy.com/2026/06/03/india-cockroach-janta-party-youth-unemployment-protest">Foreign Policy</a></strong>, <em>June 3</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p><p></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: June 3, 2026]]></title><description><![CDATA[Rubio says U.S. and China must keep talking despite deep differences.]]></description><link>https://www.theasiacable.com/p/asia-daily-june-3-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-june-3-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Wed, 03 Jun 2026 11:30:21 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/d5682712-35cf-4533-9dfc-5fa4d39c6400_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!pZbj!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:982691,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>Rubio says U.S. and China must keep talking despite deep differences.</strong> U.S. Secretary of State Marco Rubio said Washington and Beijing must maintain communication despite major disputes over trade, Taiwan, supply chains, and strategic competition. Speaking at a Senate hearing, Rubio said dialogue is necessary to manage stability, avoid escalation, and preserve the Taiwan status quo while addressing long-term challenges. <em>Dewey Sim</em>, <strong><a href="https://scmp.com/news/china/article/3355750/rubio-says-us-and-china-must-keep-talking-despite-deep-differences">South China Morning Post</a></strong>, <em>June 2</em></p><p><strong>Top Chinese map-making scientist Zhou Chenghu under investigation in anti-corruption sweep.</strong> Chinese cartographic scientist Zhou Chenghu is under investigation for suspected serious violations of duty, according to China&#8217;s top disciplinary watchdog. His personal details were removed from the Chinese Academy of Sciences website. Public records show links to more than 20 companies, including firms in spatial data, remote sensing, and uncrewed aerial vehicles. <em>Dannie Peng</em>, <strong><a href="https://scmp.com/news/china/science/article/3355712/top-chinese-map-making-scientist-detained-anti-corruption-sweep">South China Morning Post</a></strong>, <em>June 2</em></p><p><strong>Chinese, U.S. militaries had constructive meeting in Hawaii last week, Chinese Navy says.</strong> Chinese and U.S. military representatives held candid and constructive talks in Hawaii on air and maritime safety. Both sides said better communication could reduce miscalculation, improve professionalism, and lower the risk of unsafe encounters. The meeting followed the Xi-Trump summit and came after China&#8217;s absence from top-level defense talks in Singapore. <em>Shi Bu, Xiuhao Chen, and Liz Lee</em>, <strong><a href="https://reuters.com/world/china/chinese-us-militaries-met-hawaii-stressed-communication-chinese-navy-says-2026-06-01">Reuters</a></strong>, <em>June 1</em></p><p><strong>China lambasts Philippine defence chief over remarks about Chinese threat.</strong> China criticized Philippine Defense Secretary Gilberto Teodoro after he said China remains a severe threat despite Beijing&#8217;s offers of fertilizer and fuel during war-related shortages. Foreign ministry spokesperson Mao Ning accused Teodoro of political showmanship and disregarding public welfare, questioning whether China could continue providing aid and supplies to the Philippines. <em>Xiuhao Chen and Liz Lee</em>, <strong><a href="https://reuters.com/world/china/china-lambasts-philippine-defence-chief-over-remarks-about-chinese-threat-2026-06-02">Reuters</a></strong>, <em>June 2</em></p><h2>South Korea</h2><p><strong>Lee meets African FMs, expresses hope for regular summit with African leaders.</strong> President Lee Jae Myung met foreign ministers and senior officials from 19 African countries after Seoul hosted a broader Korea-Africa foreign ministers&#8217; meeting. Lee pledged stronger cooperation on economic and strategic issues, including supply chains and critical minerals, and called for regular summits and ministerial meetings with African partners. <em>Park Boram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260602008700315">Yonhap News Agency</a></strong>, <em>June 2</em></p><p><strong>S. Koreans head to polls in local elections.</strong> South Koreans began voting in local elections seen as a major test for President Lee Jae Myung&#8217;s administration. Voters are choosing mayors, governors, education chiefs, local councils, and 14 National Assembly seats. High early turnout and tightening races have focused attention on Seoul, Busan, Ulsan, and other key battlegrounds. <em>Yi Wonju</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260602008300315">Yonhap News Agency</a></strong>, <em>June 2</em></p><h2>Vietnam</h2><p><strong>Vietnam, China, Laos, and Myanmar launch joint anti-drug crime crackdown.</strong> The four countries launched a three-month campaign against cross-border drug crime from June 15 to September 15. The plan calls for tighter border controls, joint investigations, suspect repatriation, liaison officers, and stronger oversight of chemical precursors. Vietnam cited rising synthetic drug seizures and Golden Triangle trafficking risks. <strong><a href="https://vietnamnews.vn/politics-laws/1782625/viet-nam-china-laos-myanmar-launch-joint-anti-drug-crime-crackdown.html">Vietnam News</a></strong>, <em>June 2</em></p><h2>Laos</h2><p><strong>Bank of Laos responds to EU sanctions against Lao bank.</strong> The Bank of Laos said EU sanctions on Joint Development Bank apply only within the EU and do not affect domestic services or non-EU transactions. The central bank created a team to coordinate with the EU, guide corrective action, review compliance, and reassure customers that Laos' banking system remains stable. <em>Phoudasack Vongsay</em>, <strong><a href="https://laotiantimes.com/2026/06/02/bank-of-laos-responds-to-eu-sanctions-against-lao-bank">The Laotian Times</a></strong>, <em>June 2</em></p><h2>Cambodia</h2><p><strong>Cambodia launches UN-backed process to settle maritime dispute with Thailand.</strong> Cambodia launched compulsory conciliation under international law to resolve a Gulf of Thailand maritime boundary dispute after Thailand ended a 2001 negotiation pact. The overlapping claims area is estimated to hold $300 billion in oil and gas resources. Thailand has 21 days to appoint conciliators. <em>Panu Wongcha-um and Chayut Setboonsarng</em>, <strong><a href="https://reuters.com/world/asia-pacific/cambodia-launches-un-backed-process-settle-maritime-dispute-with-thailand-2026-06-02">Reuters</a></strong>, <em>June 2</em></p><p><strong>Cambodia launches UNCLOS conciliation after Thailand ends 25-year maritime framework.</strong> Cambodia began compulsory conciliation under UNCLOS after Thailand withdrew from the 2001 maritime framework for overlapping Gulf of Thailand claims. Prime Minister Hun Manet said the process is not an escalation but internationally guided negotiation after bilateral talks stalled. The Senate and National Assembly backed the move as lawful and peaceful. <em>Meng Seavmey</em>, <strong><a href="https://cambodianess.com/article/cambodia-launches-unclos-conciliation-after-thailand-ends-25-year-maritime-framework">Cambodianess</a></strong>, <em>June 2</em></p><h2>Philippines</h2><p><strong>Sara accuses Marcos government of removing opposition and protecting power.</strong> Vice President Sara Duterte accused President Ferdinand Marcos Jr.&#8217;s administration of using institutions and public funds to silence opposition. She cited concerns over the flood-control controversy, impeachment proceedings, and charter change, while calling for independent institutions, dissent, and governance focused on solving public problems rather than preserving political power. <em>Red Mendoza</em>, <strong><a href="https://manilatimes.net/2026/06/02/news/sara-accuses-marcos-govt-of-removing-opposition-protecting-power/2356881">The Manila Times</a></strong>, <em>June 2</em></p><p><strong>House okays right to information bill.</strong> The House of Representatives approved House Bill 9397, the Right to Information Act, with more than 280 affirmative votes. The bill would create a framework for citizens to request records across government branches, state firms, universities, commissions, and local governments, plus an online portal and commission to handle appeals and enforcement. <em>Reina C. Tolentino</em>, <strong><a href="https://manilatimes.net/2026/06/02/news/national/house-okays-right-to-information-bill/2356781">The Manila Times</a></strong>, <em>June 2</em></p><h2>Indonesia</h2><p><strong>Qatar and Indonesia want to be defense industry partners, no contract yet.</strong> Indonesia and Qatar discussed defense industry cooperation during ministerial talks in Jakarta, but officials said no binding contract has been reached. The two sides signed a memorandum of understanding and may focus on land and maritime defense technologies, while a broader defense cooperation agreement remains under discussion. <em>Jayanty Nada Shofa</em>, <strong><a href="https://jakartaglobe.id/news/qatar-and-indonesia-want-to-be-defense-industry-partners-no-contract-yet">Jakarta Globe</a></strong>, <em>June 2</em></p><h2>Taiwan</h2><p><strong>Government urges Japan, Philippines to respect Taiwan's rights in EEZ talks.</strong> Taiwan urged Japan and the Philippines not to infringe on its maritime rights as they begin talks on overlapping exclusive economic zones east of Taiwan. The Foreign Ministry said it will protect Taiwanese fishermen and seek dialogue with Tokyo and Manila, while noting Japan's statement that any agreement would not bind third parties. <em>Joseph Yeh</em>, <strong><a href="https://focustaiwan.tw/politics/202606020013">Focus Taiwan</a></strong>, <em>June 2</em></p><p><strong>Rubio: no change in U.S. policy on Taiwan.</strong> U.S. Secretary of State Marco Rubio said Washington&#8217;s Taiwan policy has not changed and that the United States wants the status quo preserved. His comments followed concern in Taipei after President Donald Trump&#8217;s summit with Chinese President Xi Jinping in Beijing. <em>Patricia Zengerle, Simon Lewis, and Doina Chiacu</em>, <strong><a href="https://reuters.com/world/china/rubio-no-change-us-policy-taiwan-2026-06-02">Reuters</a></strong>, <em>June 2</em></p><p><strong>Taiwan president says keeping political status quo is key to securing supply chains.</strong> President Lai Ching-te said maintaining Taiwan&#8217;s political status quo is essential to securing global supply chains as Computex opened in Taipei. He pledged to safeguard peace across the Taiwan Strait, while technology leaders from Nvidia and Intel emphasized Taiwan&#8217;s central role in chipmaking and artificial intelligence supply chains. <em>Wen-Yee Lee, Max Cherney, Yimou Lee, and Miyoung Kim</em>, <strong><a href="https://reuters.com/world/asia-pacific/taiwan-leader-says-keeping-political-status-quo-is-best-secure-supply-chains-2026-06-02">Reuters</a></strong>, <em>June 2</em></p><h2>Bangladesh</h2><p><strong>UN warns funding cuts could worsen Rohingya crisis in Bangladesh.</strong> UNHCR warned that falling humanitarian funding could worsen conditions for 1.2 million Rohingya refugees in Bangladesh. A $710.5 million appeal for food, shelter, healthcare, education, and protection remains about 60% funded, while 150,000 more Rohingya have arrived since early 2024 amid renewed violence in Myanmar. <em>Ruma Paul</em>, <strong><a href="https://reuters.com/world/asia-pacific/un-warns-funding-cuts-could-worsen-rohingya-crisis-bangladesh-2026-06-02">Reuters</a></strong>, <em>June 2</em></p><h2>Kazakhstan</h2><p><strong>Kazakhstan and Hong Kong open new chapter in bilateral relations.</strong> President Kassym-Jomart Tokayev met Hong Kong chief executive John KC Lee during the first visit by a Hong Kong leader to Kazakhstan. Talks focused on investment, finance, digitalization, artificial intelligence, transport, logistics, direct flights, and a possible Kazakhstan-Hong Kong investment fund, with both sides citing complementary economic strengths. <em>Aiman Nakispekova</em>, <strong><a href="https://astanatimes.com/2026/06/kazakhstan-and-hong-kong-open-new-chapter-in-bilateral-relations">The Astana Times</a></strong>, <em>June 2</em></p><p><strong>Kazakhstan seeking U.S. assistance to improve agricultural sector's efficiency.</strong> Kazakhstan is seeking help from the U.S. Bureau of Reclamation to reduce agricultural water use. Kazvodhoz and U.S. officials discussed digital water metering, telemetry, canal-loss reduction, and training programs as Kazakhstan faces projections of major water shortages by 2040. <strong><a href="https://eurasianet.org/kazakhstan-seeking-us-assistance-to-improve-agricultural-sectors-efficiency">Eurasianet</a></strong>, <em>June 2</em></p><p><strong>Kazakhstan's agricultural exports to Iran nearly double in 2025.</strong> Kazakhstan's agricultural exports to Iran rose 97% to $238.5 million in 2025, driven by grain shipments that more than doubled to 1.1 million tons. Officials discussed expanding trade in grain, beef, lamb, vegetable oils, food products, logistics, processing, and investment as both countries target higher bilateral trade. <em>Dmitry Pokidaev</em>, <strong><a href="https://timesca.com/kazakhstans-agricultural-exports-to-iran-nearly-double-in-2025">The Times of Central Asia</a></strong>, <em>June 2</em></p><h2>Uzbekistan</h2><p><strong>Mirziyoyev to visit Russia on 4-5 June for SPIEF and bilateral talks.</strong> President Shavkat Mirziyoyev will make a working visit to Russia for the 29th St. Petersburg International Economic Forum. He will address global economic conditions, Uzbekistan-Russia cooperation, and development priorities, meet President Vladimir Putin, and attend the launch ceremony for Uzbekistan's first integrated nuclear power plant. <strong><a href="https://uzdaily.uz/en/mirziyoyev-to-visit-russia-on-4-5-june-for-spief-and-bilateral-talks">Uzbekistan Daily</a></strong>, <em>June 2</em></p><h2>Turkmenistan</h2><p><strong>Turkmenistan eases restrictions for foreign tourists.</strong> Turkmenistan has begun easing restrictions for foreign visitors through faster visas, an electronic visa system, and looser limits on movement and photography. Tourism operators report fewer barriers, but residents and rights advocates say the changes mainly benefit foreigners and do not significantly alter domestic controls on travel, information, and daily freedoms. <em>Vagit Ismailov</em>, <strong><a href="https://timesca.com/turkmenistan-eases-restrictions-for-foreign-tourists">The Times of Central Asia</a></strong>, <em>June 2</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-june-3-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:&quot;button-wrapper&quot;}" data-component-name="ButtonCreateButton"><a class="button primary button-wrapper" href="https://www.theasiacable.com/p/asia-daily-june-3-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:&quot;&quot;,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" title="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>Washington pays the price for losing Asia&#8217;s trust.</strong> The 2026 State of Southeast Asia survey shows regional elites naming Donald Trump&#8217;s leadership as their main geopolitical concern, ahead of the South China Sea. US treaties and exercises remain, but confidence behind them is eroding. Trump&#8217;s reciprocal tariffs, memories of Nixon&#8217;s 1971 surcharge, pressure on Ukraine, and ambiguity on Taiwan push South Korea, Australia, and other partners toward autonomy and lower expectations of Washington in future crises across Asia. <em>Alexandre Qu&#233;ru</em>, <strong><a href="https://eastasiaforum.org/2026/06/02/washington-pays-the-price-for-losing-asias-trust">East Asia Forum</a></strong>, <em>June 2</em></p><p><strong>Asia is now buying America and nobody is talking about it.</strong> Asian capital flows into the United States mark a structural reversal of decades in which American firms funded, bought, and shaped Asian growth. Large deals by Mitsubishi, SoftBank, Sun Pharma, and others show Asian companies buying production capacity, technology, brands, regulatory access, and resilience. Tariffs, capability gaps, governance reform, and geopolitical hedging are pushing Asian governments and boards to support outbound acquisitions as a core growth strategy for regional capitalism. <em>Chris Chen</em>, <strong><a href="https://asia.nikkei.com/opinion/asia-is-now-buying-america-and-nobody-is-talking-about-it">Nikkei Asia</a></strong>, <em>June 2</em></p><p><strong>Chinese experts urge Beijing to push past obstacles to a unified national market.</strong> Chinese scholars see a unified national market as essential to Xi Jinping&#8217;s goals of shielding China from external shocks, upgrading industry, and reducing export reliance. Beijing has issued rules to remove local protectionism, but progress remains slow. Fragmented standards, pricing, factor access, credentials, and procurement favor local firms. Experts call for cadre incentives based on integration, innovation, fiscal health, ecological protection, and national efficiency over old narrow local growth targets. <em>Alexander Davey</em>, <strong><a href="https://merics.org/en/comment/chinese-experts-urge-beijing-push-past-obstacles-unified-national-market">MERICS</a></strong>, <em>June 2</em></p><p><strong>After Beijing, the Real Deal is Restraint.</strong> Trump&#8217;s Beijing visit produced no reset, but established a working formula called a Constructive Relationship of Strategic Stability. The summit paired commercial deals, including Boeing aircraft, beef, soybeans, and a trade truce extension, with mutual recognition that escalation carries economic costs. The framework treats technology controls and Taiwan as dangers requiring caution, leader-level management, and ambiguity, making restraint the main achievement in a fragile U.S.-China coexistence after years of escalation. <em>Taiyi Sun</em>, <strong><a href="https://uscnpm.org/analysis/after-beijing-the-real-deal-is-restraint">U.S.-China Perception Monitor</a></strong>, <em>June 2</em></p><p><strong>China&#8217;s high-tech rise is leaving much of the country behind.</strong> China&#8217;s push into advanced manufacturing is enriching coastal technology centers while smaller inland cities such as Tianshui struggle with weak job creation, shrinking populations, and falling property values. Automated factories have brought sensors, machine tools, and official showcases, but few secure positions for local workers. Education gaps, low municipal budgets, and weak fiscal revenues leave poorer regions unable to train residents for higher-paid work in China&#8217;s technology economy at scale. <strong><a href="https://www.economist.com/china/2026/06/02/chinas-high-tech-rise-is-leaving-much-of-the-country-behind">The Economist</a></strong>, <em>June 2</em></p><p><strong>can the Yangtze heal?</strong> Five years into China&#8217;s ten-year Yangtze fishing ban, fish stocks show strong recovery, but river health remains fragile. Surveys recorded 351 species from 2021 to 2025, with mainstream stocks doubling and biomass gains confirmed by a Science study. The finless porpoise population rose, yet Chinese sturgeon recovery, habitat damage, former fisher livelihoods, poaching, lake-river reconnection, and spawning-ground restoration remain unresolved tests of conservation policy durability for the next five years. <strong><a href="https://chinapolicy.substack.com/p/can-the-yangtze-heal">CHINA POLICY</a></strong>, <em>June 2</em></p><p><strong>The consequences of KMT Chairwoman Cheng Li-wun&#8217;s alternative approach.</strong> Cheng Li-wun&#8217;s April 2026 Beijing visit and summit with Xi Jinping strengthened her KMT standing, restored high-level party channels, and presented an alternative cross-Strait framework based on the 1992 Consensus, opposition to Taiwan independence, shared Chinese identity, and institutional cooperation. The approach may reduce tensions, but it risks alienating Taiwan&#8217;s center, depends on Beijing&#8217;s restraint, and has raised concern in Washington before Cheng&#8217;s June United States visit to reassure policymakers. <em>Hungdah Su</em>, <strong><a href="https://www.brookings.edu/articles/the-consequences-of-kmt-chairwoman-cheng-li-wuns-alternative-approach/">Brookings</a></strong>, <em>June 2</em></p><p><strong>Japan and Philippines Trump-proof efforts to check China's ambitions.</strong> Marcos&#8217;s visit to Japan produced investment pledges, defense cooperation, and intelligence-sharing plans that have deepened ties with Tokyo over the past decade. Japan&#8217;s Balikatan role, security assistance, defense export easing, and talks on military information sharing support Philippine maritime capacity amid concern over China and Taiwan. Trump&#8217;s tariffs and the war in Iran have increased uncertainty, prompting Manila and Tokyo to strengthen coordination among middle powers and preserve a rules-based regional order with greater strategic autonomy. <em>Richard Heydarian</em>, <strong><a href="https://asia.nikkei.com/opinion/japan-and-philippines-trump-proof-efforts-to-check-china-s-ambitions">Nikkei Asia</a></strong>, <em>June 2</em></p><h2>Southeast Asia</h2><p><strong>Chan Chun Sing: Not pro- or anti-China or the US, &#8216;We are pro-ASEAN&#8217;.</strong> Singapore Defence Minister Chan Chun Sing framed trust as the product of action paired with communication, warning that capability without explanation breeds suspicion. At the Shangri-La Dialogue, he urged ASEAN to avoid complacency, strengthen flexible partnerships, protect underwater infrastructure, and build defense capability through stable funding. Amid China-US rivalry, he rejected binary alignment and said ASEAN&#8217;s task is unity, coordination, and staying out of trouble as a bloc in security. <em>Tan Ke-Yang and Daryl Lim</em>, <strong><a href="https://www.thinkchina.sg/politics/chan-chun-sing-not-pro-or-anti-china-or-us-we-are-pro-asean">ThinkChina</a></strong>, <em>June 2</em></p><p><strong>Barisan Nasional and Pakatan Harapan: Best Frenemies Forever.</strong> Negeri Sembilan&#8217;s brief coalition crisis exposed strains in Malaysia&#8217;s Unity Government, but an immediate breakup appears remote. The real test is Melaka and Johor, where BN controls most seats and may favor separate state polls to build momentum before the general election. PH benefits from concurrent national contests, stronger turnout, and reform delivery time. Both coalitions may compete at state level while preserving federal cooperation and future national seat deals. <em>Francis E. Hutchinson</em>, <strong><a href="https://fulcrum.sg/barisan-nasional-and-pakatan-harapan-best-frenemies-forever/">FULCRUM</a></strong>, <em>June 2</em></p><h2>South Asia</h2><p><strong>India&#8217;s Heatwave Is a Warning for the Future.</strong> India&#8217;s 2026 heatwave has made temperatures of 45 to 48 degrees Celsius routine across northern and eastern areas, with deaths among workers, voters, and travelers. Informal laborers, outdoor sectors, elderly people, infants, and households without air conditioning face the highest exposure. Record electricity demand has forced more coal use, while humidity, weak Heat Action Plans, crop losses, and labor losses threaten national growth and food security in India this summer. <em>Kayly Ober</em>, <strong><a href="https://carnegieendowment.org/emissary/2026/06/india-heatwave-electricty-climate">Carnegie Endowment for International Peace</a></strong>, <em>June 2</em></p><p><strong>Pakistan&#8217;s Diplomatic Pivot Makes It a Trump-Era Power Player.</strong> Pakistan has turned past distrust with Washington into leverage by tailoring diplomacy to Trump&#8217;s preference for personal credit, visible deals, and direct channels. Army chief Asim Munir used lobbying, counterterror cooperation, praise over the India ceasefire, minerals, farm access, crypto ties, and Iran mediation to regain influence. The approach gives Islamabad a pivotal role between the United States, Iran, China, the Gulf, Afghanistan, and India, but its gains remain fragile. <em>Azeem Ibrahim</em>, <strong><a href="https://foreignpolicy.com/2026/06/01/trump-pakistan-iran-peace-munir-crypto-power/">Foreign Policy</a></strong>, <em>June 1</em></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: June 2, 2026]]></title><description><![CDATA[U.S. and China hold &#8216;candid&#8217; maritime military safety talks in Hawaii.]]></description><link>https://www.theasiacable.com/p/asia-daily-june-2-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-june-2-2026</guid><dc:creator><![CDATA[Nick Ayrton (尼克)]]></dc:creator><pubDate>Tue, 02 Jun 2026 11:02:46 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/4b7f3bc2-0a61-4061-9c02-56bf4f7aeff6_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!Gxkt!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1003367,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>U.S. and China hold &#8216;candid&#8217; maritime military safety talks in Hawaii.</strong> Chinese and U.S. military officials held maritime safety talks in Hawaii to reduce the risk of unsafe encounters and keep communication channels open. The meeting followed the Xi-Trump summit and covered maritime and air security, freedom of navigation disputes, close-in reconnaissance, and ways to avoid misunderstandings between front-line forces. <em>Yuanyue Dang</em>, <strong><a href="https://scmp.com/news/china/article/3355609/us-and-china-hold-candid-maritime-military-safety-talks-hawaii">South China Morning Post</a></strong>, <em>June 1</em></p><p><strong>China patrols waters east of Taiwan in response to Japan, Philippine maritime border talks.</strong> China's Coast Guard conducted patrols east of Taiwan after Japan and the Philippines said they would begin maritime boundary talks. Taiwan condemned the move, said two Chinese vessels stayed outside restricted waters, and reaffirmed its sovereignty. Japan said any boundary agreement with Manila would not bind third parties. <em>Joe Cash, Ben Blanchard, and Kantaro Komiya</em>, <strong><a href="https://reuters.com/world/china/china-patrols-waters-east-taiwan-response-japan-philippine-maritime-border-talks-2026-06-01">Reuters</a></strong>, <em>June 1</em></p><p><strong>&#8216;Seasoned China hand&#8217; set to lead National Committee on U.S.-China Relations: sources.</strong> Sarah Beran, a former senior U.S. diplomat in Beijing and National Security Council China adviser, is expected to succeed Stephen Orlins as president of the National Committee on United States-China Relations. Sources said Orlins will retire after leading the track-two nonprofit since 2005 and remain in an advisory role. <em>William Zheng</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3355543/seasoned-china-hand-set-lead-national-committee-us-china-relations-sources">South China Morning Post</a></strong>, <em>June 1</em></p><p><strong>China opposes 'political suppression' of Xinhua reporter in U.S.</strong> China accused the United States of politically suppressing a Xinhua reporter working legally in the country, citing Washington's use of reciprocity over media access. Beijing linked the dispute to wider media tensions after The New York Times said one of its reporters was expelled from China following an interview with Taiwan President Lai Ching-te. <em>Ryan Woo</em>, <strong><a href="https://reuters.com/world/china/china-opposes-political-suppression-xinhua-reporter-us-2026-06-01">Reuters</a></strong>, <em>June 1</em></p><h2>Japan</h2><p><strong>Japan rejects 'new militarism', accuses China of rapidly arming.</strong> Japanese Defense Minister Shinjiro Koizumi rejected Chinese accusations of new militarism at the Shangri-La Dialogue and criticized China's opaque military expansion. He said Japan lacks nuclear weapons and strategic bombers, remains open to dialogue, and seeks stronger regional deterrence and defense equipment cooperation. <em>Rae Wee, Jun Yong, Jun Yuan Yong, and Claire Fu</em>, <strong><a href="https://reuters.com/world/china/japan-pushes-back-against-accusations-new-militarism-2026-05-31">Reuters</a></strong>, <em>May 31</em></p><p><strong>Japan PM urges free passage through Hormuz in Iran president phone talks.</strong> Prime Minister Sanae Takaichi urged Iranian President Masoud Pezeshkian to allow free and safe passage through the Strait of Hormuz, including for Japanese and Asian vessels. She also called for flexibility in peace talks, while Pezeshkian sought Japanese help securing essential goods through Iran's assets in Japan. <strong><a href="https://english.kyodonews.net/articles/-/77103">Kyodo News</a></strong>, <em>June 2</em></p><p><strong>Chinese aircraft carrier held drills in east of Philippines, Japan says.</strong> Japan's defense ministry said China's Liaoning aircraft carrier and accompanying vessels conducted drills in the Pacific east of Luzon from May 26 to 28. Carrier-based aircraft and helicopters made about 170 takeoffs and landings as the fleet sailed near the western Pacific Rim amid deeper Japan-Philippines security ties. <em>Kantaro Komiya</em>, <strong><a href="https://reuters.com/world/china/chinese-aircraft-carrier-held-drills-east-philippines-japan-says-2026-06-01">Reuters</a></strong>, <em>June 1</em></p><h2>South Korea</h2><p><strong>South Korea inflation hits two-year high, imminent rate hike in play.</strong> South Korea's consumer inflation rose 3.1% in May, the fastest pace since March 2024, as petroleum prices and airfares increased. The Bank of Korea said inflation may remain near 3% and pledged close monitoring. Economists said a July rate hike is likely if price pressure persists. <em>Jihoon Lee</em>, <strong><a href="https://reuters.com/world/asia-pacific/south-korea-may-inflation-31-yy-higher-than-expected-2026-06-01">Reuters</a></strong>, <em>June 1</em></p><p><strong>National security adviser to meet U.S. under secretary of state.</strong> National Security Adviser Wi Sung-lac was set to meet U.S. Under Secretary of State Allison Hooker to discuss pending alliance issues. The talks were expected to cover South Korea&#8217;s nuclear-powered submarine plan, uranium enrichment, spent fuel reprocessing, and wartime operational control transfer. <em>Park Boram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260602003300315">Yonhap News Agency</a></strong>, <em>June 2</em></p><p><strong>PM reportedly preparing to offer resignation after local elections.</strong> Prime Minister Kim Min-seok is reportedly preparing to offer his resignation after local elections to run for Democratic Party leader at the August convention. Reports said he would remain until a successor is ready, while officials cautioned that local elections are not over and resignation talk remains premature. <em>Chang Jae Sun</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260601007000315">Yonhap News Agency</a></strong>, <em>June 1</em></p><h2>Thailand</h2><p><strong>Pheu Thai set to submit charter reform bill.</strong> Pheu Thai will submit a constitutional amendment bill proposing a 100-member elected Constitution Drafting Assembly. The bill has support from 189 MPs and would create drafting and public participation committees. The proposal preserves Thailand's unitary state, monarchy, rule of law, equality, checks and balances, and decentralization. <strong><a href="https://bangkokpost.com/thailand/politics/3264375/pheu-thai-set-to-submit-charter-reform-bill">Bangkok Post</a></strong>, <em>June 1</em></p><h2>Philippines</h2><p><strong>Philippine senator Estrada detained in graft case.</strong> Philippine Senator Jose "Jinggoy" Estrada was detained after surrendering to police under an anti-graft court order in a plunder case. The Ombudsman accused him of taking illicit payouts worth 573 million pesos tied to a corruption scandal over flawed flood-control facilities. Estrada said he would defend himself in court. <em>Mikhail Flores and Nestor Corrales</em>, <strong><a href="https://reuters.com/world/asia-pacific/philippine-senator-estrada-surrenders-over-graft-case-2026-06-01">Reuters</a></strong>, <em>June 1</em></p><p><strong>Philippines, Vietnam upgrade ties, say South China Sea peace 'non-negotiable'.</strong> The Philippines and Vietnam elevated relations to an enhanced strategic partnership during To Lam's state visit to Manila. President Ferdinand Marcos Jr. said peace, stability, freedom of navigation, and freedom of overflight in the South China Sea are non-negotiable. The two sides signed agreements on defense, information technology, tourism, and education. <em>Mikhail Flores, Nestor Corrales, and Khanh Vu</em>, <strong><a href="https://reuters.com/world/asia-pacific/philippines-vietnam-elevate-ties-enhanced-strategic-partnership-2026-06-01">Reuters</a></strong>, <em>June 1</em></p><p><strong>VP Sara's lawyers seek impeachment case dismissal.</strong> Vice President Sara Duterte asked the Senate impeachment court to dismiss the case against her, calling the impeachment articles constitutionally infirm, procedurally defective, and substantially deficient. Her lawyers said the allegations failed to meet constitutional standards. House prosecutors said the trial should proceed to help voters judge her fitness for future office. <em>Bernadette E. Tamayo and Reina C. Tolentino</em>, <strong><a href="https://manilatimes.net/2026/06/02/news/national/vp-saras-lawyers-seek-impeachment-case-dismissal/2356081">The Manila Times</a></strong>, <em>June 1</em></p><p><strong>Marcos, Rubio discuss stronger PH-US alliance.</strong> President Ferdinand Marcos Jr. and U.S. Secretary of State Marco Rubio discussed regional and economic priorities, bilateral trade, South China Sea developments, and stronger alliance cooperation. Rubio reaffirmed U.S. support for the Luzon Economic Corridor, including infrastructure, supply chains, clean energy, agribusiness, and digital connectivity. <em>Kristina Maralit</em>, <strong><a href="https://manilatimes.net/2026/06/02/news/national/marcos-rubio-discuss-stronger-ph-us-alliance/2355312">The Manila Times</a></strong>, <em>June 1</em></p><h2>Malaysia</h2><p><strong>Malaysia bars under-16s from signing up for social media.</strong> Malaysia began barring children under 16 from registering social media accounts, requiring platforms including Facebook, Instagram, TikTok, and YouTube to verify ages against government records. Noncompliant platforms face fines of up to 10 million ringgit, while existing user verification will be phased in over six months. <em>Danial Azhar</em>, <strong><a href="https://reuters.com/business/media-telecom/malaysia-bars-under-16s-signing-up-social-media-2026-06-01">Reuters</a></strong>, <em>June 1</em></p><h2>Taiwan</h2><p><strong>Taiwan opposition leader would be 'very willing' to meet Trump on US trip.</strong> KMT Chairwoman Cheng Li-wun said she would be very willing to meet President Donald Trump during her two-week US visit. Cheng said she would meet anyone helpful to peace, defended dialogue with China, and said Taiwan's resilience depends on both military hardware and reducing the risk of conflict. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/taiwan-opposition-leader-would-be-very-willing-meet-trump-us-trip-2026-06-01">Reuters</a></strong>, <em>June 1</em></p><p><strong>Czech Senate president visits Taiwan to boost bilateral ties.</strong> Czech Senate President Milos Vystrcil arrived in Taiwan with a 40-member delegation for a four-day visit focused on politics, business, education, and culture. He is scheduled to meet President Lai Ching-te, Vice President Hsiao Bi-khim, senior officials, party representatives, and business, academic, and cultural leaders. <em>Wu Jui-chi and Wu Kuan-hsien</em>, <strong><a href="https://focustaiwan.tw/politics/202606010005">Focus Taiwan</a></strong>, <em>June 1</em></p><p><strong>Taiwan targets Beijing's grey-zone tactics near remote South China Sea islands.</strong> Taiwan's navy will support coastguard patrols around the Dongsha Islands after repeated Chinese coastguard activity near the atoll. Taipei said Chinese vessels appeared 39 times since February last year, including a recent 34-hour standoff, raising concerns that Beijing is testing Taiwan's responses and expanding grey-zone pressure. <em>Lawrence Chung</em>, <strong><a href="https://scmp.com/news/china/politics/article/3355602/taiwan-targets-beijings-grey-zone-tactics-near-remote-south-china-sea-islands">South China Morning Post</a></strong>, <em>June 2</em></p><h2>India</h2><p><strong>India, US near trade pact as tariff terms hinge on Section 301 relief, source says.</strong> India and the United States are nearing a trade agreement as New Delhi seeks relief from Section 301-related tariffs. A U.S. delegation will hold three days of talks in New Delhi, with India seeking fair tariff terms and preferential treatment over competing manufacturing hubs in South and Southeast Asia. <em>Shivangi Acharya, Manoj Kumar, and Sakshi Dayal</em>, <strong><a href="https://reuters.com/world/india/india-us-near-trade-pact-tariff-terms-hinge-section-301-relief-source-says-2026-06-01">Reuters</a></strong>, <em>June 1</em></p><h2>Kazakhstan</h2><p><strong>Kazakhstan-Iran agricultural trade surges 56%.</strong> Kazakhstan-Iran agricultural trade rose 55.8% to $342 million, making up 79% of total bilateral trade. Kazakhstan's agricultural exports to Iran nearly doubled to $238.5 million, while grain exports exceeded 1.1 million tons worth $225.3 million. Officials discussed expanding grain, beef, lamb, vegetable oil, logistics, processing, and agro-industrial cooperation. <em>Dana Omirgazy</em>, <strong><a href="https://astanatimes.com/2026/06/kazakhstan-iran-agricultural-trade-surges-56">The Astana Times</a></strong>, <em>June 1</em></p><p><strong>Kazakhstan taking on lots of debt to China.</strong> Kazakhstan's debt to China rose sharply after more than $3.5 billion in new credit in 2025, bringing obligations to $12.87 billion. Astana launched yuan-denominated panda bonds in mainland China, opening a new borrowing channel as it seeks funding for digital transformation and broader economic projects. <em>Sean Kearin</em>, <strong><a href="https://eurasianet.org/kazakhstan-taking-on-lots-of-debt-to-china">Eurasianet</a></strong>, <em>June 1</em></p><h2>Turkmenistan</h2><p><strong>Turkmenistan seeks bigger counterterrorism role in Central Asia.</strong> Turkmenistan wants to host a United Nations counterterrorism program office in Ashgabat as a regional analytical and expert platform. Foreign Minister Rashid Meredov discussed the plan with UN official Alexandre Zouev during a U.S. visit. The office would support cooperation on online radicalization, Afghanistan-linked instability, repatriation, and regional information sharing. <strong><a href="https://timesca.com/turkmenistan-seeks-bigger-counter-terrorism-role-in-central-asia">The Times of Central Asia</a></strong>, <em>June 1</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-june-2-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/p/asia-daily-june-2-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>Red Genes for June Fourth.</strong> Xi Jinping&#8217;s Children&#8217;s Day message in People&#8217;s Daily urges children to inherit &#8220;red genes&#8221; and follow the Party as China enters the Tiananmen crackdown anniversary week. Official media links childhood innocence to revolutionary inheritance while domestic coverage suppresses June Fourth remembrance. The language masks state violence against students and protesters in 1989, extends censorship across public memory, and frames resistance to enforced amnesia during a week of Party propaganda campaigns. <em>David Bandurski</em>, <strong><a href="https://chinamediaproject.org/2026/06/01/red-genes-for-june-fourth">China Media Project</a></strong>, <em>June 1</em></p><p><strong>China&#8217;s bounded ambition as a multilateral architect.</strong> China seeks greater authority in multilateral bodies through new institutions, leadership campaigns, and rights discourse that prioritizes development, sovereignty, and noninterference. Its agenda reweights norms toward state primacy, infrastructure-led growth, and Global South representation. Institutional design, credit ratings, sovereign equality, and member interests constrain Beijing&#8217;s reach. The outcome is cumulative reform, with no rupture, as China aligns global governance with its values through bounded influence across established and new venues. <em>Rosemary Foot</em>, <strong><a href="https://eastasiaforum.org/2026/06/01/chinas-bounded-ambition-as-a-multilateral-architect">East Asia Forum</a></strong>, <em>June 1</em></p><p><strong>Time to Stop Forecasting China&#8217;s Surplus Away.</strong> The IMF has underestimated China&#8217;s surplus by forecasting declines despite a burst property bubble, a weaker real exchange rate, and a savings rate above 40 percent of GDP. China&#8217;s export growth has outpaced imports, global trade, and domestic demand, creating spillovers for manufacturing economies. Trading partners need a policy mix that supports Chinese consumption, reduces external imbalance, and limits supply chain dependence on Beijing across Europe and the United States. <strong><a href="https://www.cfr.org/articles/time-to-stop-forecasting-chinas-surplus-away">Council on Foreign Relations</a></strong>, <em>June 1</em></p><p><strong>China&#8217;s delivery drivers are its most obvious underclass.</strong> China&#8217;s delivery drivers face falling pay, long shifts, accidents, and weak protections as millions turn to gig work in a sluggish economy. Algorithms, customer bias, contractor arrangements, and local residency barriers leave couriers with little insurance or social support. New labor rules promise minimum wages and better dispatch systems, but weak enforcement, limited bargaining rights, and surplus labor keep drivers trapped in insecurity and exhaustion with no clear exit route. <strong><a href="https://www.economist.com/china/2026/06/01/chinas-delivery-drivers-are-its-most-obvious-underclass">The Economist</a></strong>, <em>June 1</em></p><p><strong>Trump is turning Taiwan into a bargaining chip.</strong> Trump preserved strategic ambiguity and resisted Beijing&#8217;s demand that Washington oppose Taiwanese independence, but his comments cast Taiwan as leverage in U.S.-China talks. He described arms sales as a negotiating chip, blamed Taiwan for tensions, and linked U.S. attention to semiconductor value. Taipei seeks reassurance through trade, investment, and defense spending, yet Washington&#8217;s commitment appears tied to U.S.-China bargaining, not Taiwan&#8217;s democracy or security as a core principle for Taipei leaders. <em>Derek Grossman</em>, <strong><a href="https://asia.nikkei.com/opinion/trump-is-turning-taiwan-into-a-bargaining-chip">Nikkei Asia</a></strong>, <em>June 1</em></p><h2>Southeast Asia</h2><p><strong>Washington Wants Myanmar&#8217;s Minerals.</strong> Washington has moved from supporting democracy in Myanmar toward cooperation with the military regime for rare earth minerals. Trump-era cuts ended aid, refugee programs, media support, and legal protections, while business figures and lobbyists seek access to junta-linked mineral deals. Former officials warn that conflict zones, Chinese influence, checkpoints, and logistics make extraction for the United States impractical, yet opposition groups continue to seek Washington&#8217;s help and support through crisis. <em>Michael Haack</em>, <strong><a href="https://foreignpolicy.com/2026/06/01/trump-myanmar-minerals-democracy-rare-earth-junta">Foreign Policy</a></strong>, <em>June 1</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: June 1, 2026]]></title><description><![CDATA[China patrols Scarborough Shoal after Philippines warns of threat.]]></description><link>https://www.theasiacable.com/p/asia-daily-june-1-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-june-1-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Mon, 01 Jun 2026 11:03:41 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/2612e960-17c3-440e-855e-2e28850b80ae_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!Gxkt!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1003367,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>China patrols Scarborough Shoal after Philippines warns of threat.</strong> China&#8217;s military and coast guard conducted patrols near Scarborough Shoal after Philippine and U.S. forces held a five-day maritime exercise nearby. Beijing called the patrols a response to rights violations and provocations, while Philippine Defence Secretary Gilberto Teodoro said Manila remains under severe territorial and political threat from China. <em>Phuong Nguyen</em>, <strong><a href="https://reuters.com/world/china/china-patrols-scarborough-shoal-after-philippines-warns-threat-2026-05-31">Reuters</a></strong>, <em>May 31</em></p><p><strong>China criticizes Czech Senate President&#8217;s trip to Taiwan.</strong> China condemned Czech Senate President Milos Vystrcil&#8217;s visit to Taiwan, saying it violated the one-China principle and interfered in Beijing&#8217;s internal affairs. Vystrcil is leading a business delegation and is set to meet President Lai Ching-te, while Czech Prime Minister Andrej Babis criticized the trip. <em>Michael Kahn</em>, <strong><a href="https://reuters.com/world/china/china-criticizes-czech-senate-presidents-trip-taiwan-2026-05-31">Reuters</a></strong>, <em>May 31</em></p><p><strong>From lottery draws to fiscal spending, China broadens digital yuan footprint.</strong> China&#8217;s central bank is pushing wider digital yuan use through bank incentives, domestic pilots, and cross-border trade applications. Programs cover fiscal spending, salary payments, healthcare disbursements, lottery draws, green electricity charges, and supply chain financing, though overseas adoption remains limited. <strong><a href="https://reuters.com/business/finance/lottery-draws-fiscal-spending-china-broadens-digital-yuan-footprint-2026-05-30">Reuters</a></strong>, <em>May 30</em></p><h2>Japan</h2><p><strong>Japanese defence minister rejects &#8216;new militarism&#8217; label from China in Shangri-La speech.</strong> Defence Minister Shinjiro Koizumi rejected claims that Japan is reviving militarism, defended a more active defense role, and criticized China&#8217;s opaque military expansion. He said Japan remains open to direct dialogue while seeking stronger regional cooperation and defense equipment transfers. <em>Alcott Wei and Amber Wang</em>, <strong>South China Morning Post</strong>, <em>May 31</em></p><p><strong>Takaichi asks North Korea for summit to solve abduction issue.</strong> Prime Minister Sanae Takaichi called on North Korean leader Kim Jong Un to hold summit talks aimed at resolving the abduction of Japanese nationals. Speaking at a Tokyo rally, she said she was prepared to take concrete action and pursue a breakthrough without excluding any options. <strong><a href="https://japantimes.co.jp/news/2026/05/31/japan/politics/takaichi-north-korea-summit-abduction-issue">The Japan Times</a></strong>, <em>May 31</em></p><p><strong>Three Japanese opposition parties explore new alliance.</strong> The Constitutional Democratic Party of Japan, Komeito, and the Centrist Reform Alliance are discussing possible integration or creation of a new opposition party. CRA and Komeito officials are more supportive, while some CDP lawmakers and affiliated groups remain cautious because of policy gaps on security legislation and nuclear restarts. <strong><a href="https://japantimes.co.jp/news/2026/05/31/japan/politics/oppositions-looking-new-party">The Japan Times</a></strong>, <em>May 31</em></p><p><strong>Japan pitches frigate export to New Zealand in defense ministerial talks.</strong> Japanese Defense Minister Shinjiro Koizumi promoted possible Mogami-class frigate exports to New Zealand during trilateral talks with New Zealand and Australia. Tokyo said common vessels could improve interoperability, while the ministers agreed to deepen defense cooperation, expand training, and support a free and open Indo-Pacific. <strong><a href="https://english.kyodonews.net/articles/-/77017">Kyodo News</a></strong>, <em>May 30</em></p><p><strong>Japan, S. Korea to resume search-and-rescue drill after about 9 years.</strong> Japan and South Korea will resume a joint search-and-rescue exercise on June 7 for the first time since 2017. The drill reflects improving defense ties after years of strain, while Japan also discussed missile cooperation with the U.S. and fighter development with Britain. <strong><a href="https://english.kyodonews.net/articles/-/77027">Kyodo News</a></strong>, <em>May 30</em></p><h2>South Korea</h2><p><strong>South Korea, Japan discuss military-logistics support deal, Seoul says.</strong> South Korea and Japan discussed a possible acquisition and cross-servicing agreement allowing mutual military logistics support, including fuel, food, and ammunition. Seoul remains cautious because of public sensitivities over Japan&#8217;s colonial rule and concerns about Japanese troops operating on the Korean Peninsula. The two sides also discussed a joint humanitarian search and rescue exercise. <em>Rae Wee, Hyunjoo Jin, and Kevin Buckland</em>, <strong><a href="https://reuters.com/world/asia-pacific/south-korea-japan-discuss-military-logistics-support-deal-seoul-says-2026-05-31">Reuters</a></strong>, <em>May 31</em></p><p><strong>Main opposition files complaint against Lee over alleged election law violation.</strong> The People Power Party filed a police complaint against President Lee Jae Myung, alleging he violated election law by briefly exposing his ballot during early voting. The ruling Democratic Party rejected the claim, saying election officials found no legal violation. <em>Kang Yoon-seung</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260530003900320">Yonhap News Agency</a></strong>, <em>May 30</em></p><p><strong>Presidential envoy visits Canada to expand ties, back submarine bid.</strong> Presidential chief of staff Kang Hoon-sik visited Canada as a special envoy to expand strategic economic cooperation in energy, resources, supply chains, and high-tech industries. The trip is also linked to support for South Korean shipbuilders competing for Canada&#8217;s submarine procurement project. <em>Woo Jae-yeon</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260531003800315">Yonhap News Agency</a></strong>, <em>May 31</em></p><h2>North Korea</h2><p><strong>N. Korean FM says Pyongyang shares common position with Russia on all strategic issues: report.</strong> North Korean Foreign Minister Choe Son-hui said Pyongyang and Moscow share a common position on all strategic issues during a ceremony honoring late Russian Ambassador Alexander Matsegora. Choe said both countries are expanding relations based on allied ties, mutual interests, comradeship, and trust. <em>Park Boram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260531001000315">Yonhap News Agency</a></strong>, <em>May 31</em></p><p><strong>N. Korea&#8217;s spy chief meets chief Russian security official in Moscow.</strong> North Korea&#8217;s intelligence chief Ri Chang-dae attended an international security forum in Russia and met Security Council Secretary Sergei Shoigu. The talks focused on strengthening bilateral security and intelligence cooperation to defend core interests and address global and regional security challenges. <em>Park Boram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260531002100315">Yonhap News Agency</a></strong>, <em>May 31</em></p><h2>Vietnam</h2><p><strong>General Secretary and President To Lam arrives in Manila for state visit to Philippines.</strong> General Secretary and President To Lam arrived in Manila with his spouse and a high-ranking delegation for a state visit through June 1. The visit, invited by President Ferdinand Marcos Jr., marks the first Philippines trip by a Vietnamese Communist Party chief and aims to deepen the Vietnam-Philippines Strategic Partnership ahead of 50 years of diplomatic ties. <strong><a href="https://vietnamnews.vn/politics-laws/1782449/general-secretary-and-president-to-lam-arrives-in-manila-for-state-visit-to-philippines.html">Vietnam News</a></strong>, <em>May 31</em></p><p><strong>Better China ties can help regional peace, security, Vietnam's top leader says.</strong> Vietnamese leader T&#244; L&#226;m said stronger ties with China can support regional peace while Vietnam also values relations with the U.S. He rejected choosing sides, said maritime disputes should be resolved through international law, and reaffirmed Vietnam&#8217;s commitment to ambitious growth targets despite global headwinds. <em>Greg Torode and Francesco Guarascio</em>, <strong><a href="https://reuters.com/world/china/better-china-ties-can-help-regional-peace-security-vietnams-top-leader-says-2026-05-30">Reuters</a></strong>, <em>May 30</em></p><h2>Thailand</h2><p><strong>Thailand&#8217;s power shifts from policy to military structure to &#8220;Blue Regime&#8221; networks.</strong> Thailand may be entering a new phase of centralized political power as critics say Bhumjaithai, senators, local political families, coalition allies, and state institutions form a network-based &#8220;Blue Regime.&#8221; The debate compares this model with Thaksin Shinawatra&#8217;s electoral machine and the NCPO&#8217;s military-backed state structure. <strong><a href="https://www.nationthailand.com/news/politics/40066872">The Nation</a></strong>, <em>May 31</em></p><p><strong>House to talk parties&#8217; charter bills on July 7-8.</strong> Thailand&#8217;s constitutional amendment bills are expected to be debated in a joint parliamentary sitting on July 7 and 8. House Speaker Sophon Zaram said the bills are on the agenda after talks among government, opposition, and Senate whips, while Democrat leader Abhisit Vejjajiva said his party submitted two charter amendment proposals. <strong><a href="https://www.bangkokpost.com/thailand/politics/3263478/house-to-talk-parties-charter-bills-on-july-78">Bangkok Post</a></strong>, <em>May 30</em></p><h2>Myanmar</h2><p><strong>Myanmar regime chief arrives in India to strengthen ties.</strong> Myanmar regime chief Min Aung Hlaing arrived in India for his first foreign trip since becoming president. He will meet Prime Minister Narendra Modi, President Droupadi Murmu, and business representatives during a five-day visit focused on political, spiritual, and economic ties. <strong><a href="https://irrawaddy.com/news/burma/myanmar-regime-chief-arrives-in-india-to-strengthen-ties.html">The Irrawaddy</a></strong>, <em>May 30</em></p><h2>Cambodia</h2><p><strong>Cambodia, Kazakhstan sign visa-free deal for diplomatic, official passport holders.</strong> Cambodia and Kazakhstan signed an agreement exempting diplomatic, official, and service passport holders from visa requirements. The pact was signed in Phnom Penh by acting Foreign Minister Eat Sophea and Kazakhstan Ambassador Kanat Tumysh, with both sides pledging to expand bilateral cooperation. <strong><a href="https://cambodianess.com/article/cambodia-kazakhstan-sign-visa-free-deal-for-diplomatic-official-passport-holders">Cambodianess</a></strong>, <em>May 31</em></p><p><strong>Cambodia protests Thai statues, flagpoles set up in border areas.</strong> Cambodia protested Thailand&#8217;s construction of Buddhist statues and installation of flagpoles in disputed border areas, calling the actions violations of sovereignty and the ceasefire agreement. The Foreign Ministry said 36 statues and two flagpoles had been placed in border provinces and urged Thailand to restore trust. <em>Sao Phal Niseiy</em>, <strong><a href="https://cambodianess.com/article/cambodia-protests-thai-statues-flagpoles-set-up-in-border-areas">Cambodianess</a></strong>, <em>May 31</em></p><h2>Philippines</h2><p><strong>PH, U.S. reaffirm 75-year alliance.</strong> The Philippines and the United States reaffirmed their defense alliance at the Shangri-La Dialogue. Defense chiefs Gilberto Teodoro Jr. and Pete Hegseth discussed support for monitoring the Philippines&#8217; exclusive economic zone, renewed a communications and cybersecurity agreement, and reviewed broader defense cooperation. <strong><a href="https://globalnation.inquirer.net/325486/ph-us-reaffirm-75-year-alliance">Philippine Daily Inquirer</a></strong>, <em>June 1</em></p><p><strong>Marcos, Vietnam&#8217;s president to hold bilateral meeting.</strong> President Ferdinand Marcos Jr. will meet Vietnam President and Communist Party leader To Lam during Lam&#8217;s two-day state visit. The talks will cover trade, investment, food security, defense, maritime cooperation, education, tourism, and people-to-people exchanges as Manila and Hanoi mark 50 years of diplomatic relations. <em>Kristina Maralit</em>, <strong><a href="https://manilatimes.net/2026/06/01/news/national/marcos-vietnams-president-to-hold-bilateral-meeting/2355233">The Manila Times</a></strong>, <em>May 31</em></p><p><strong>Senate waits for VP&#8217;s answer.</strong> Vice President Sara Duterte has until June 1 to answer impeachment articles alleging misuse of public funds, unexplained wealth, bribery and corruption, and public threats. The Senate convened as an impeachment court on May 11, and the trial is expected to begin on June 6 after pre-trial procedures. <em>Bernadette E. Tamayo</em>, <strong><a href="https://manilatimes.net/2026/06/01/news/senate-waits-for-vps-answer/2355241">The Manila Times</a></strong>, <em>May 31</em></p><h2>Indonesia</h2><p><strong>Indonesia expands fishery export access to China.</strong> Indonesia said 638 fish processing units are now approved to export to China after eight additional facilities received clearance. The country exported 1,080 fishery commodity types to China in 2025, totaling 491,528 tons worth US$1.04 billion. Officials urged exporters to maintain sanitation, hygiene, and food safety standards. <strong><a href="https://en.antaranews.com/news/417455/indonesia-expands-fishery-export-access-to-china">ANTARA News</a></strong>, <em>May 31</em></p><p><strong>Prabowo Returns to Jakarta with $3.5 Billion French Deals.</strong> President Prabowo Subianto returned to Jakarta after meetings with French President Emmanuel Macron that produced four commercial agreements worth $3.5 billion. The deals cover energy security, trade, and defense, while a new Indonesia-France high-level business council aims to triple bilateral trade by 2035. <em>Jayanty Nada Shofa</em>, <strong><a href="https://jakartaglobe.id/news/prabowo-returns-to-jakarta-with-35-billion-french-deals">Jakarta Globe</a></strong>, <em>May 30</em></p><h2>Taiwan</h2><p><strong>Taiwan condemns China after New York Times reporter expelled after presidential interview.</strong> Taiwan condemned China after The New York Times said reporter Vivian Wang was expelled following the paper&#8217;s video interview with President Lai Ching-te. Taipei said Beijing used groundless pretexts to threaten media freedom and would not silence Taiwan&#8217;s international outreach. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/business/media-telecom/taiwan-condemns-china-after-new-york-times-reporter-expelled-after-presidential-2026-05-31">Reuters</a></strong>, <em>May 31</em></p><p><strong>KMT head to discuss cross-strait stability in Washington.</strong> KMT Chairwoman Cheng Li-wun will make a two-week U.S. visit to discuss Taiwan-related issues with lawmakers, officials, and policy experts. Her Washington meetings will focus on cross-strait peace, regional security, and Taiwan-U.S. relations. The visit comes as U.S. officials seek clarity on the KMT's cross-strait policy and political orientation. <em>Elaine Hou and Evelyn Kao</em>, <strong><a href="https://focustaiwan.tw/politics/202605310007">Focus Taiwan</a></strong>, <em>May 31</em></p><h2>India</h2><p><strong>India says signed BrahMos missile deal with Vietnam.</strong> India signed a deal to supply Vietnam with BrahMos missiles jointly developed with Russia, while a similar agreement with Indonesia is in the final stages. Defence Secretary Rajesh Kumar Singh said India remains committed to ASEAN nations, and the Vietnam package could include training and logistical support. <em>Aftab Ahmed</em>, <strong><a href="https://reuters.com/world/asia-pacific/india-says-signed-brahmos-missile-deal-with-vietnam-2026-05-30">Reuters</a></strong>, <em>May 30</em></p><h2>Kyrgyzstan</h2><p><strong>Kyrgyzstan Opens New Border Post Near Uzbekistan in Batken Region.</strong> Kyrgyzstan opened the Sogment border post in Batken region to strengthen security infrastructure near Uzbekistan. The facility includes modern barracks and supports guards monitoring more than 12 kilometers of the border. The opening follows regional efforts to settle border issues, improve cooperation, and develop trade links among Kyrgyzstan, Tajikistan, and Uzbekistan. <em>Sadokat Jalolova</em>, <strong><a href="https://timesca.com/kyrgyzstan-opens-new-border-post-near-uzbekistan-in-batken-region">The Times of Central Asia</a></strong>, <em>May 29</em></p><p><strong>Kyrgyzstan Logistics Center Aims to Link China and Central Asia.</strong> Kyrgyzstan opened the Altyn Logistic trade and logistics center in Balykchy to strengthen freight links with China, Central Asia, and CIS markets. The 5.5-hectare facility can handle 200 trucks per day, includes rail loading infrastructure, and could become a key node if planned road and rail projects are completed. <em>Sergey Kwan</em>, <strong><a href="https://timesca.com/kyrgyzstan-logistics-center-link-china-central-asia">The Times of Central Asia</a></strong>, <em>May 29</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-june-1-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/p/asia-daily-june-1-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><p><strong>Don&#8217;t Count the Quad Out.</strong> The Quad&#8217;s narrower agenda makes it more credible after years of broad promises and weak results. Australia, India, Japan and the United States now focus on maritime security, economic security, critical technology and emergency assistance. US-India ties have a lower ceiling after rupture and divergent priorities, but durable institutions remain. The Indo-Pacific Maritime Surveillance Collaboration could turn episodic cooperation into routine regional monitoring that counters coercion and illegal activity. <em>Arzan Tarapore</em>, <strong><a href="https://foreignpolicy.com/2026/05/29/quad-australia-india-japan-us-security-pacific-strategy-china">Foreign Policy</a></strong>, <em>May 29</em></p><h2>East Asia</h2><p><strong>The Xi&#8211;Trump summit lived up to modest expectations.</strong> The May 2026 Beijing summit produced a strategic consensus around constructive stability, tariff suspension extensions, procurement deals, and new trade and investment boards. Critics faulted the lack of a trade pact, joint communique, Taiwan progress and deeper concessions. Against years of distrust, tariff conflict and domestic resistance, the meeting marked progress toward managed competition, though technology controls, US political pressure and weak trust leave cooperation fragile. <em>Jia Qingguo</em>, <strong><a href="https://eastasiaforum.org/2026/05/30/the-xi-trump-summit-lived-up-to-modest-expectations">East Asia Forum</a></strong>, <em>May 30</em></p><p><strong>China turns Trump&#8217;s ill-prepared summit towards Taiwan.</strong> The May 2026 Xi-Trump summit produced limited deals on Boeing aircraft and agricultural purchases, while weak US preparation let Beijing steer attention to Taiwan. Trump discussed arms sales with Xi, dismissed the Six Assurances and framed Taiwan weapons as leverage, shaking allied confidence. China gained bargaining power, while Washington faces pressure to link future arms decisions to restraint in Chinese military activity near Taiwan. <em>Susan Shirk</em>, <strong><a href="https://eastasiaforum.org/2026/05/31/china-turns-trumps-ill-prepared-summit-towards-taiwan">East Asia Forum</a></strong>, <em>May 31</em></p><p><strong>Sino-US relations after Xi-Trump summit: Towards a new stability?</strong> After the May Beijing summit, China and the United States adopt &#8220;constructive strategic stability&#8221; as a new frame for ties after tariff conflict and short tactical calm. The phrase signals movement from rivalry toward managed competition, expanded cooperation, reciprocal trade, investment boards, wider dialogue and caution on Taiwan. China&#8217;s strength, Trump&#8217;s learning curve, US hawks and midterm politics shape the path ahead for stability in both capitals through this year. <em>Wu Xinbo</em>, <strong><a href="https://thinkchina.sg/politics/sino-us-relations-after-xi-trump-summit-towards-new-stability">ThinkChina</a></strong>, <em>May 31</em></p><p><strong>Rewriting the rules: Huawei&#8217;s new gamble to break the US&#8217;s chip blockade.</strong> Huawei&#8217;s He Tingbo presents the Tau Scaling Law as a path around US chip limits, moving emphasis from shrinking transistors to reducing signal travel time through LogicFolding. Huawei has mass-produced 381 chips under this approach and projects density equal to 1.4-nanometre processes by 2031. Debate persists over whether the model is a true law, yet sanctions have pushed Chinese chip self-reliance and engineering optimization toward a narrower manufacturing gap with time. <em>Han Yong Hong</em>, <strong><a href="https://thinkchina.sg/technology/rewriting-rules-huaweis-new-gamble-break-uss-chip-blockade">ThinkChina</a></strong>, <em>May 31</em></p><p><strong>China&#8217;s AI Heist.</strong> Open-weight AI models have moved from data centers to local devices, creating a distribution contest between the United States and China. Chinese firms are accused of distilling frontier American systems into cheaper models, gaining market reach while bypassing US legal constraints. The spread raises safety, security and dependency risks. Washington should tighten export controls, target unauthorized distillation, support US open-weight alternatives and coordinate rules with allies for global adoption standards. <em>Jared Dunnmon, Avanika Narayan and Jon Saad-Falcon</em>, <strong><a href="https://www.foreignaffairs.com/china/chinas-ai-heist">Foreign Affairs</a></strong>, <em>May 29</em></p><p><strong>Japan's advantage in the AI era: Credibility that travels.</strong> Artificial intelligence anxiety creates an opening for Japan&#8217;s trust-based model, distinct from American speed and Chinese scale. Japan&#8217;s Hiroshima AI Process, Sakana AI and reputation for dependable systems position it to shape adoption standards in hospitals, banks and public agencies. The country lacks frontier model leadership and global talent depth, but credibility, transparency and accountability can make its governance framework useful across borders and institutions under scrutiny from major users. <em>Douglas Montgomery</em>, <strong><a href="https://asia.nikkei.com/opinion/japan-s-advantage-in-the-ai-era-credibility-that-travels">Nikkei Asia</a></strong>, <em>May 30</em></p><h2>Southeast Asia</h2><p><strong>Between Talks and Tensions: Why the South China Sea Won&#8217;t Stabilise in 2026.</strong> Philippine signals of dialogue with China coexist with maritime friction, alliance building and domestic fragmentation. Reed Bank talks, coast guard consultations, and Code of Conduct pressure face legal, constitutional, and ASEAN obstacles. Manila&#8217;s branches and agencies send mixed messages while China challenges the Philippine presence at sea. Expanded exercises with the United States, Japan and Australia deepen Beijing&#8217;s concern. The stalemate will persist through 2026, with higher daily risk. <em>Sophie Wushuang Yi</em>, <strong><a href="https://fulcrum.sg/between-talks-and-tensions-why-the-south-china-sea-wont-stabilise-in-2026">FULCRUM</a></strong>, <em>May 29</em></p><p><strong>The oil shock tests Vietnam&#8217;s overstretched economy.</strong> Vietnam faces an oil shock as Middle East conflict raises import costs and domestic crude output declines. Short-term price controls, Fuel Price Stabilization Fund drawdowns and E10 biofuel rollout have contained petrol prices, but stocks cover 32 days of demand. A joint Strategic Petroleum Reserve with Middle Eastern exporters could strengthen resilience, while fiscal deficits, bank lending, dong depreciation and thin reserves expose an overstretched growth model across the economy. <em>Cuong Nguyen</em>, <strong><a href="https://eastasiaforum.org/2026/05/29/the-oil-shock-tests-vietnams-overstretched-economy">East Asia Forum</a></strong>, <em>May 29</em></p><p><strong>Section 301 Investigations on Thailand: Misguided Search for Excess Capacity.</strong> The US Section 301 case against Thailand misreads weak factory use as subsidized overcapacity aimed at exports. Low utilization reflects soft domestic demand, post-pandemic technology shifts, and some redundant older capacity. Chinese investment creates risks in limited sectors, above all tires, but transshipment is not widespread. Broad tariffs would be unfair, while case-by-case trade defense tools would address firm-specific risks. Thailand should diversify markets and attract investment. <em>Juthathip Jongwanich</em>, <strong><a href="https://fulcrum.sg/section-301-investigations-on-thailand-misguided-search-for-excess-capacity">FULCRUM</a></strong>, <em>May 29</em></p><h2>South Asia</h2><p><strong>Nepal&#8217;s government takes on old challenges.</strong> After Gen Z protests and systemic corruption weakened Nepal&#8217;s old parties, the RSP won a historic mandate under Balendra Shah. Arrests of former leaders, a 100-point reform roadmap, bureaucracy depoliticization, and tax changes signal a break with gerontocratic rule. Employment, party cohesion, constitutional restructuring, civil service inertia and scrutiny of Rabi Lamichhane&#8217;s corruption charges will test whether public hope becomes durable governance accountability. <em>Anil Sigdel</em>, <strong><a href="https://eastasiaforum.org/2026/05/29/nepals-government-takes-on-old-challenges">East Asia Forum</a></strong>, <em>May 29</em></p><p><strong>India&#8217;s republic of uncles.</strong> India&#8217;s gerontocratic politics and culture treat young adults as children through intrusive rules, judicial scolding and moral lectures. A chief justice&#8217;s cockroach remark sparked the Cockroach Janta Party meme, drawing mass online support and state pressure. Youth frustration reflects poor job creation, error-laden exams and parental pressure. Half the population is under 30, yet older leaders blame young people, not failed systems that limit opportunity and voice for young India. <strong><a href="https://www.economist.com/asia/2026/05/31/indias-republic-of-uncles">The Economist</a></strong>, <em>May 31</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: May 29, 2026]]></title><description><![CDATA[China accuses the Philippines of &#8216;selective and discriminatory&#8217; Chinese arrests.]]></description><link>https://www.theasiacable.com/p/asia-daily-may-29-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-may-29-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Fri, 29 May 2026 14:02:24 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/87672633-41cf-4c22-acdd-a3f72aa0483e_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!Aq9N!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7edb3613-c28f-4bb4-8ca4-ca858efa350a_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!Aq9N!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7edb3613-c28f-4bb4-8ca4-ca858efa350a_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Aq9N!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7edb3613-c28f-4bb4-8ca4-ca858efa350a_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Aq9N!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7edb3613-c28f-4bb4-8ca4-ca858efa350a_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Aq9N!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7edb3613-c28f-4bb4-8ca4-ca858efa350a_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!Aq9N!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7edb3613-c28f-4bb4-8ca4-ca858efa350a_1920x325.png" width="1920" height="325" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/7edb3613-c28f-4bb4-8ca4-ca858efa350a_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:325,&quot;width&quot;:1920,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1138860,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!Aq9N!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7edb3613-c28f-4bb4-8ca4-ca858efa350a_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Aq9N!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7edb3613-c28f-4bb4-8ca4-ca858efa350a_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Aq9N!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7edb3613-c28f-4bb4-8ca4-ca858efa350a_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Aq9N!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7edb3613-c28f-4bb4-8ca4-ca858efa350a_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>China accuses the Philippines of &#8216;selective and discriminatory&#8217; Chinese arrests.</strong> Beijing accused Manila of selective and discriminatory enforcement against Chinese nationals after several arrests and detentions by Philippine cities. China&#8217;s embassy demanded case-by-case updates within four days, fair handling, protection of detainees&#8217; rights, and release of those found not to have violated Philippine law. The disputes come amid heightened South China Sea tensions and deepening Philippine-U.S. security ties. <em>Cao Jiaxuan</em>, <strong>South China Morning Post</strong>, <em>May 28</em></p><p><strong>China slams US commander&#8217;s &#8216;dagger&#8217; label for South Korea.</strong> China criticized U.S. Forces Korea Commander Xavier Brunson after he described South Korea as a &#8220;dagger&#8221; and Japan as a &#8220;shield&#8221; in relation to China&#8217;s regional ambitions. Beijing&#8217;s embassy in Seoul said the remarks crossed a line and questioned whether Washington authorized them. The comments come as the U.S. seeks a broader Indo-Pacific role for its South Korea-based command. <em>Victoria Bela</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3355196/china-slams-us-commanders-dagger-label-south-korea">South China Morning Post</a></strong>, <em>May 28</em></p><p><strong>China&#8217;s top military officials face &#8216;ironclad&#8217; rules in anti-corruption fight.</strong> China&#8217;s Central Military Commission issued new measures tightening education, management, and supervision of senior PLA cadres. The 26-article rules follow sweeping anti-corruption purges that left President Xi Jinping and disciplinary chief Zhang Shengmin as the only remaining members of the once seven-member commission. The measures emphasize ideological rectification, party discipline, personnel control, collective leadership, and closer oversight of senior officers. <em>William Zheng</em>, <strong><a href="https://scmp.com/news/china/politics/article/3355134/chinas-top-military-officials-face-ironclad-rules-anti-corruption-fight">South China Morning Post</a></strong>, <em>May 28</em></p><p><strong>China says Taiwan should not 'interfere' in its air force missions around island.</strong> China&#8217;s defense ministry said Taiwan should not interfere with Chinese air force missions around the island, describing the flights as operations in Chinese airspace. Beijing said its military will continue training, combat readiness, and actions to safeguard sovereignty. Taipei has reported recent Chinese combat patrols, more than 100 ships along the first island chain, and coast guard tensions near the Taiwan-controlled Pratas Islands. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/china-says-taiwan-should-not-interfere-its-air-force-missions-around-island-2026-05-28">Reuters</a></strong>, <em>May 28</em></p><h2>Japan</h2><p><strong>Japan, Philippines to negotiate on intel-sharing pact amid China concerns.</strong> Japan and the Philippines will begin formal talks on a military intelligence-sharing agreement as they upgrade ties to a comprehensive strategic partnership. Prime Minister Sanae Takaichi and President Ferdinand Marcos Jr. also confirmed cooperation on Japanese destroyers and other defense equipment, joint opposition to unilateral changes in the East and South China seas, oil stockpiling support, a new tax treaty, and possible revisions to economic partnership agreements. <strong><a href="https://english.kyodonews.net/articles/-/76864">Kyodo News</a></strong>, <em>May 28</em></p><p><strong>Japan&#8217;s population marks sharpest drop to 123 mil. in 2025: census.</strong> Japan&#8217;s population, including foreign residents, fell by a record 3.1 million from 2020 to 123,049,524 in 2025, marking a 2.5% decline and the third straight census drop. The Tokyo metropolitan area held 30.1% of the population, exceeding 30% for the first time. Officials attributed the decline to aging and deaths outnumbering births, intensifying pressure on regional communities and the economy. <strong><a href="https://english.kyodonews.net/articles/-/76919">Kyodo News</a></strong>, <em>May 29</em></p><h2>South Korea</h2><p><strong>S. Korea says U.S. made no proposal to change combined command structure after OPCON transfer.</strong> South Korea&#8217;s defense ministry said U.S. Forces Korea has not proposed changing the allies&#8217; agreement to retain the Combined Forces Command structure after Seoul retakes wartime operational control. The ministry rejected a report that USFK warned a rushed transition could lead to the command&#8217;s dissolution. The allies remain committed to a conditions-based transfer, though timing concerns persist between Seoul&#8217;s preferred schedule and USFK&#8217;s 2029 target. <em>Kim Seung-yeon</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260528000952315">Yonhap News Agency</a></strong>, <em>May 28</em></p><p><strong>S. Korea, U.S. to launch talks on security initiatives from summit agreements next week.</strong> South Korea and the United States will begin formal talks in Seoul to implement security agreements from the Lee-Trump summit fact sheet. Discussions will cover South Korea&#8217;s nuclear-powered submarine plan, uranium enrichment and spent fuel reprocessing for peaceful use, and expanded shipbuilding cooperation. Seoul&#8217;s delegation will be led by First Vice Foreign Minister Park Yoon-joo, while U.S. Under Secretary of State Allison Hooker will lead the American side. <em>Song Sang-ho</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260529001351315">Yonhap News Agency</a></strong>, <em>May 28</em></p><p><strong>S. Korea kicks off 2-day early voting for June 3 local elections.</strong> South Korea opened two days of early voting for local elections and parliamentary by-elections seen as a referendum on President Lee Jae Myung&#8217;s first year. Voters can cast ballots at 3,571 polling stations nationwide. Contests include 16 mayoral and gubernatorial posts, 227 local government heads, about 4,000 local council seats, and 14 vacant National Assembly seats, with Seoul and the capital region viewed as key battlegrounds. <em>Yi Wonju</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260528006100315">Yonhap News Agency</a></strong>, <em>May 28</em></p><p><strong>Unification minister to be probed over alleged leak of N. Korean nuclear info.</strong> Unification Minister Chung Dong-young will face a prosecution review over allegations that he disclosed classified information about North Korea&#8217;s nuclear facilities. Chung said during a parliamentary session that North Korea operates a uranium enrichment facility in Kusong, in addition to Yongbyon and Kangson. The unification ministry said his comments were based on public remarks, research analyses, and media reports. <em>Kim Han-joo</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260528010500320">Yonhap News Agency</a></strong>, <em>May 28</em></p><h2>North Korea</h2><p><strong>North Korea not keen to engage with the U.S. or South Korea, Singapore FM says.</strong> Singapore Foreign Minister Vivian Balakrishnan said North Korea is focused on self-reliance and military deterrence rather than engagement with the U.S., South Korea, or Japan. After visits to both Koreas, he noted Pyongyang&#8217;s closer ties with Russia, continued dependence on China, rejection of reunification, and possible eventual return to talks if conditions are favorable. <em>Brenda Goh, Jack Kim, and Yong Jun Yuan</em>, <strong><a href="https://reuters.com/world/asia-pacific/north-korea-not-keen-engage-with-us-or-south-korea-singapore-fm-says-2026-05-28">Reuters</a></strong>, <em>May 28</em></p><h2>Vietnam</h2><p><strong>Vietnam, Singapore to promote sci-tech, innovation as pillar of Comprehensive Strategic Partnership.</strong> General Secretary and President To Lam and Singaporean President Tharman Shanmugaratnam agreed to make science, technology, and innovation a pillar of the Comprehensive Strategic Partnership. The two sides also discussed digital transformation, clean energy, carbon credits, cybersecurity, emerging technologies, financial centers, defense-security cooperation, and other matters. <strong><a href="https://vietnamnews.vn/politics-laws/1782371/viet-nam-singapore-to-promote-sci-tech-innovation-as-pillar-of-comprehensive-strategic-partnership.html">Vietnam News</a></strong>, <em>May 29</em></p><h2>Thailand</h2><p><strong>Thai court acquits opposition politician accused of royal insult.</strong> A Thai criminal court acquitted Thanathorn Juangroongruangkit of lese majeste and cybercrime charges tied to a 2021 Facebook livestream criticizing the government&#8217;s COVID-19 vaccine campaign and its reliance on royal-owned Siam Bioscience. Thanathorn was formally indicted in 2022, and prosecutors have 30 days to appeal the ruling. <em>Panu Wongcha-um</em>, <strong><a href="https://reuters.com/world/asia-pacific/thai-court-acquits-opposition-politician-accused-royal-insult-2026-05-28">Reuters</a></strong>, <em>May 28</em></p><h2>Myanmar</h2><p><strong>Beijing launches soft power blitz as anti-China sentiment soars in Myanmar.</strong> China is expanding media cooperation with Myanmar&#8217;s regime through state broadcasters, private outlets, documentaries, dramas, language programming, and cultural content as public hostility toward Beijing grows. Senior Chinese media official Cao Shumin met regime and broadcaster representatives, while Ambassador Ma Jia urged regime-aligned outlets to promote stories of mutually beneficial cooperation. <em>Maung Kavi</em>, <strong><a href="https://irrawaddy.com/news/myanmar-china-watch/beijing-launches-soft-power-blitz-as-anti-china-sentiment-soars-in-myanmar.html">The Irrawaddy</a></strong>, <em>May 29</em></p><p><strong>Myanmar president to embark on first India visit since taking over.</strong> Myanmar President Min Aung Hlaing will visit India from May 30 to June 3 and meet Prime Minister Narendra Modi in New Delhi on June 1. The trip could be his first official India visit since becoming president in April through a parliamentary vote. His planned attendance at the International Big Cat Alliance summit was converted into an official visit after the summit was postponed. <em>Kanjyik Ghosh</em>, <strong><a href="https://reuters.com/world/asia-pacific/myanmar-president-embark-first-india-visit-since-taking-over-2026-05-28">Reuters</a></strong>, <em>May 28</em></p><h2>Cambodia</h2><p><strong>Cambodian and Thai foreign ministers break ice on border conflict.</strong> Cambodian and Thai foreign ministers held their first talks on the border dispute in New York, with Cambodia reaffirming compulsory conciliation and commitment to continued border settlement discussions. Both sides described the meeting as candid, called for implementation of the Dec. 27 Joint Statement, and agreed to maintain regular consultations. <em>Meng Seavmey</em>, <strong><a href="https://cambodianess.com/article/cambodian-and-thai-foreign-ministers-break-ice-on-border-conflict">Cambodianess</a></strong>, <em>May 28</em></p><h2>Philippines</h2><p><strong>Court orders arrest of Jinggoy Estrada, Bonoan but sets bail.</strong> The Sandiganbayan Second Division issued arrest warrants and hold departure orders against Sen. Jinggoy Estrada and former Public Works secretary Manuel Bonoan in a graft case. Bail was set at P90,000. <em>Reina C. Tolentino</em>, <strong><a href="https://manilatimes.net/2026/05/29/news/court-orders-arrest-of-jinggoy-estrada-bonoan-but-sets-bail/2354342">The Manila Times</a></strong>, <em>May 29</em></p><p><strong>PH, Japan sign double tax convention, other deals during Marcos visit.</strong> The Philippines and Japan signed a double taxation convention and cooperation deals on agriculture, health, and human resource development during President Ferdinand Marcos Jr.&#8217;s state visit. The two governments also agreed to expand cooperation in artificial intelligence, space, energy security, supply chains, military information sharing, and maritime boundary discussions. <em>Catherine S. Valente</em>, <strong><a href="https://manilatimes.net/2026/05/29/news/ph-japan-sign-double-tax-convention-other-deals-during-marcos-visit/2354288">The Manila Times</a></strong>, <em>May 29</em></p><h2>Taiwan</h2><p><strong>Taiwan says U.S. has no timetable for chip tariffs, preferential terms already agreed.</strong> Taiwan Vice Premier Cheng Li-chiun said the U.S. has no timetable for Section 232 semiconductor tariffs and that Taiwan has already secured preferential treatment under a January trade deal. The agreement cuts or removes some tariffs on Taiwanese imports and grants Taiwan corresponding benefits if future chip tariffs are imposed, particularly for businesses investing in the U.S. <em>Ben Blanchard</em>, <strong>Reuters</strong>, <em>May 28</em></p><p><strong>Legislature approves NT$8.8 billion 2026 defense procurement budget.</strong> Taiwan&#8217;s Legislature approved a 2026 special defense procurement budget of NT$8.811 billion to fund five U.S. weapons systems, including M109A7 howitzers, HIMARS, anti-armor drones, Javelin missiles, and TOW 2B missiles. The borrowing-funded allocation is the first annual installment under a broader NT$780 billion arms procurement framework running through 2033. <em>Chao Yen-hsiang and Sean Lin</em>, <strong><a href="https://focustaiwan.tw/politics/202605290009">Focus Taiwan</a></strong>, <em>May 29</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-may-29-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/p/asia-daily-may-29-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>Trump Shouldn&#8217;t Give China a Veto on Taiwan Arms Sales.</strong> Trump&#8217;s pause on a pending Taiwan arms package would weaken deterrence, signal that Taiwan&#8217;s security is negotiable, and invite Chinese pressure. U.S. law and precedent support defensive arms sales through the Taiwan Relations Act and Six Assurances. Delays could harm allied confidence, discourage Taiwan&#8217;s defense spending, slow delivery of air defense and anti-armor systems, and erode public trust in Washington while aiding Beijing&#8217;s coercive aims over Taiwan and regional stability. <em>Rush Doshi and David Sacks</em>, <strong><a href="https://www.cfr.org/articles/trump-shouldnt-give-china-a-veto-on-taiwan-arms-sales">Council on Foreign Relations</a></strong>, <em>May 28</em></p><p><strong>A Tale of Two Presidents in Beijing.</strong> Trump&#8217;s May 2026 Beijing visit with Xi Jinping sought a change toward constructive strategic stability after years of trade and technology conflict. The leaders announced trade and investment boards, purchase commitments, rare earth discussions, and a September Washington visit. Sustaining progress requires tariff carve-outs, renewed restraint on export controls, AI safeguards, arms control dialogue with Russia, and a Taiwan approach that lowers cross-strait tension while preserving bilateral gains and stability. <em>Sourabh Gupta</em>, <strong><a href="https://eastasiaforum.org/2026/05/28/a-tale-of-two-presidents-in-beijing">East Asia Forum</a></strong>, <em>May 28</em></p><p><strong>Trump and Xi Are Angling for Three Years of Stability.</strong> Trump and Xi used their Beijing summit to establish a principal-to-principal model for managing U.S.-China tensions through the rest of Trump&#8217;s term. Xi gave Trump rare personal access and agreed to a September Washington visit. Both sides accepted a constructive strategic stability framework, leaving trade, technology, and Taiwan for leader-level management, while U.S. midterms, China&#8217;s transition, and the Iran war threaten the detente and future diplomatic gains for both capitals. <em>Damien Ma</em>, <strong><a href="https://carnegieendowment.org/emissary/2026/05/trump-xi-summit-united-states-china-relationship-stability">Carnegie Endowment for International Peace</a></strong>, <em>May 28</em></p><p><strong>China&#8217;s Police and Security Cooperation Agreements.</strong> China&#8217;s Ministry of Public Security has built a global network of police and security cooperation agreements under Xi Jinping. Since 2006, it has signed at least 205 agreements with seventy-four countries plus Taiwan. Partners include Vietnam, Cambodia, Myanmar, Russia, and the United States. The agreements cover transnational crime, counterdrugs, counterterrorism, border enforcement, police training, overseas Chinese interests, cybercrime, scams, and financial crime. <em>Sophie Zhuang, Sheena Chestnut Greitens, and Cameron Waltz</em>, <strong><a href="https://CarnegieEndowment.org">Carnegie Endowment for International Peace</a></strong>, <em>May 28</em></p><p><strong>How Partisan Is Taiwan&#8217;s Security Debate?</strong> Taiwan&#8217;s debate over defense spending and U.S. reliability is shaped by party identity. Survey data show 54 percent support Lai Ching-te&#8217;s proposed defense budget, with DPP voters backing it and KMT voters rejecting it. Support tracks belief that spending deters China. Views of America remain split, trust is weak, and concerns about U.S. Middle East commitments cut across partisan lines as voters separate Trump from United States institutions and alliances. <em>Lev Nachman and Wei-Ting Yen</em>, <strong><a href="https://www.brookings.edu/articles/how-partisan-is-taiwans-security-debate/">Brookings</a></strong>, <em>May 28</em></p><p><strong>The Hardest Part of &#8220;Reunifying Taiwan by Force&#8221; May Not Be the Invasion.</strong> Chinese claims that force could secure Taiwan overlook six strategic paradoxes. An invasion may lose surprise, trigger U.S. war, and bring sanctions. A blockade would damage global supply chains and China&#8217;s trade. Japan and U.S. allies could respond because Taiwan affects sea lanes, credibility, and chips. Time may favor Taiwan&#8217;s defenses, while postwar rule over a hostile society could create decades of resistance and isolation after a victory in name. <em>Erik Rostad</em>, <strong><a href="https://uscnpm.org/analysis/the-hardest-part-of-reunifying-taiwan-by-force-may-not-be-the-invasion/">U.S.-China Perception Monitor</a></strong>, <em>May 28</em></p><p><strong>Building a State-Controlled Knowledge Infrastructure: The Evolution of Distance Education in North Korea.</strong> North Korea&#8217;s distance education has evolved from correspondence programs into a digital, state-managed network for technical training, workforce development, and science dissemination. Under Kim Jong Un, learning platforms, S&amp;T rooms, libraries, and the Sci-Tech Complex became tools for adult education, teacher retraining, public health instruction, and regional factory staffing. The system expands skills under sanctions while strengthening monitoring, ideological control, and centralized governance across uneven infrastructure inside the country&#8217;s institutions. <em>Yonho Kim</em>, <strong><a href="https://www.38north.org/2026/05/building-a-state-controlled-knowledge-infrastructure-the-evolution-of-distance-education-in-north-korea/">38 North</a></strong>, <em>May 28</em></p><h2>Southeast Asia</h2><p><strong>The 2016 South China Sea Arbitration Award Did Not Fail.</strong> China rejected the 2016 ruling, yet the Award reshaped the South China Sea dispute by grounding maritime claims in UNCLOS and limiting historic-rights narratives. It became a legal baseline for Philippine diplomacy, regional claims, and wider support from partners defending navigation rights. ASEAN remains divided, while militarization and U.S.-China rivalry raise risks. Its value lies in preserving law as a standard against future coercion and acquiescence across contested regional waters. <em>Lowell Bautista and Aries A. Arugay</em>, <strong><a href="https://fulcrum.sg/the-2016-south-china-sea-arbitration-award-did-not-fail/">FULCRUM</a></strong>, <em>May 28</em></p><p><strong>Beijing seeks to shape ASEAN health market rules.</strong> Beijing is building cross-border volume-based procurement platforms to carry Chinese drug pricing, procurement rules, and quality standards into ASEAN and other markets. Guangxi&#8217;s Fangchenggang platform has gained firms, orders, and investment pledges, using China&#8217;s low-cost base to challenge Western multinationals. Growth opportunities are strong, but limited mutual recognition, fragmented procurement systems, weak market intelligence, and rival Chinese price wars could impede durable rule-setting across regional health markets over time. <strong><a href="https://chinapolicy.substack.com/p/beijing-seeks-to-shape-asean-health">China Policy</a></strong>, <em>May 28</em></p><h2>South Asia</h2><p><strong>Canada and India Could Shape a New AI Order.</strong> Canada and India&#8217;s March 2026 AI agreements could give middle powers a role in setting rules beyond U.S.-China rivalry. Canada offers AI research, minerals, and energy, while India brings talent, digital infrastructure, and AI ambitions. The partnership needs Canadian legislation, shared governance standards, critical mineral supply planning, and talent pipelines to create a durable Indo-Pacific AI architecture before other powers define the terms for regional supply chains and data rules. <em>Warawita Yaemsuda</em>, <strong><a href="https://eastasiaforum.org/2026/05/28/canada-and-india-could-shape-a-new-ai-order">East Asia Forum</a></strong>, <em>May 28</em></p><p><strong>Bangladesh&#8217;s Unfinished Revolution.</strong> Bangladesh held a credible election in 2026 after the 2024 uprising ended Sheikh Hasina&#8217;s rule and brought the BNP back to power. The Yunus interim government stabilized reserves, inflation, banks, and exports, but barred the Awami League. Tarique Rahman faces pressure over the July Charter, energy and fertilizer shocks from the U.S.-Iran war, and a reset with India, while reforms risk party control under familiar patronage structures and political limits. <em>Avinash Paliwal</em>, <strong><a href="https://carnegieendowment.org/research/2026/05/bangladeshs-unfinished-revolution">Carnegie Endowment for International Peace</a></strong>, <em>May 28</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: May 28, 2026]]></title><description><![CDATA[China's military says it drove away Dutch frigate in South China Sea.]]></description><link>https://www.theasiacable.com/p/asia-daily-may-28-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-may-28-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Thu, 28 May 2026 11:31:54 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/b0a428ed-f1bc-4a91-a2c0-0eb2b742bf63_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!pZbj!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:982691,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>China's military says it drove away Dutch frigate in South China Sea.</strong> China&#8217;s military said it deployed naval and air forces to drive away the Dutch frigate De Ruyter near the Paracel Islands, accusing it of illegal intrusion. The Netherlands said the ship operated in accordance with international law while sailing for diplomatic, security, and economic reasons. The confrontation adds to disputes over China&#8217;s South China Sea claims. <em>Yukun Zhang, Shi Bu, Ryan Woo, and Charlotte Van Campenhout</em>, <strong><a href="https://reuters.com/world/china/chinas-military-says-it-drove-away-dutch-frigate-south-china-sea-2026-05-27">Reuters</a></strong>, <em>May 27</em></p><p><strong>China warns against &#8216;third party&#8217; influence as Panama Canal port dispute simmers.</strong> Chinese Foreign Minister Wang Yi told Panamanian Foreign Minister Javier Martinez-Acha that China-Panama relations should not be interfered with by third countries. The meeting came amid disputes over Panama Canal port operations, U.S. pressure, and Panama&#8217;s annulment of concessions held by CK Hutchison&#8217;s local subsidiary. Wang called for deeper cooperation and protection of Chinese enterprise interests. <em>Victoria Bela</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3355065/china-warns-against-third-party-influence-panama-canal-port-dispute-simmers">South China Morning Post</a></strong>, <em>May 27</em></p><h2>Japan</h2><p><strong>Diet approves creation of intelligence command hub.</strong> Japan will create a National Intelligence Council and National Intelligence Bureau as early as July after the Upper House approved legislation to strengthen intelligence gathering, analysis, and coordination. The prime minister-chaired council will oversee key national security, counterterrorism, and foreign intelligence activities, while the bureau will coordinate information across ministries. Critics warned that Diet reporting and independent oversight remain insufficient. <strong><a href="https://asahi.com/ajw/articles/16596245">The Asahi Shimbun</a></strong>, <em>May 27</em></p><p><strong>Japan emperor hails ties with Philippines in state banquet for Marcos.</strong> Emperor Naruhito praised Japan-Philippines relations during a state banquet for President Ferdinand Marcos Jr. and Louise Araneta-Marcos, marking the 70th anniversary year of normalized ties. He acknowledged the complicated wartime history, thanked the Philippines for disaster aid after the 2011 and 2024 earthquakes, and expressed hope for stronger trust. Marcos toasted the countries&#8217; enduring friendship. <strong><a href="https://english.kyodonews.net/articles/-/76808">Kyodo News</a></strong>, <em>May 27</em></p><h2>South Korea</h2><p><strong>Gov&#8217;t launches 2045 Strategy Committee to draw up future blueprint.</strong> South Korea launched the 2045 Strategy Committee to develop long-term national strategies for challenges including polarization, demographic change, regional decline, climate change, technological competition, low birth rates, and aging. Prime Minister Kim Min-seok said the panel should gather broad public input, especially from younger generations, and produce concrete implementation plans for the next 20 years. <em>Chang Jae Sun</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260527005000315">Yonhap News Agency</a></strong>, <em>May 27</em></p><p><strong>USFK says S. Korea-U.S. alliance remains committed to &#8216;conditions-based&#8217; OPCON transfer.</strong> U.S. Forces Korea said the South Korea-U.S. alliance remains committed to a conditions-based transfer of wartime operational control to Seoul. The statement followed a report that USFK had concerns about a rushed transition. President Lee Jae Myung seeks completion by 2030, while USFK Commander Gen. Xavier Brunson has cited a target no later than early 2029. <em>Song Sang-ho</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260528000900315">Yonhap News Agency</a></strong>, <em>May 27</em></p><h2>Vietnam</h2><p><strong>Top Vietnamese leader arrives in Bangkok, continuing official visit to Thailand.</strong> General Secretary and President To Lam arrived in Bangkok with his spouse and a high-ranking Vietnamese delegation after activities in Udon Thani. Thai officials welcomed the delegation with an honor guard and 21-gun salute. Lam is expected to meet Thai royal and government leaders, attend a business forum, and witness cooperation document signings during the visit. <strong><a href="https://vietnamnews.vn/politics-laws/1782211/top-vietnamese-leader-arrives-in-bangkok-continuing-official-visit-to-thailand.html">Vietnam News</a></strong>, <em>May 27</em></p><p><strong>Vietnam leader to visit Philippines next week for trade, security talks.</strong> Vietnam&#8217;s leader To Lam will visit the Philippines from May 31 to June 1 for talks with President Ferdinand Marcos Jr. on trade, security, and maritime cooperation. Manila is seeking stronger regional alliances and security partnerships, while the Philippines and Vietnam have managed overlapping South China Sea claims with relatively warm ties, including coast guard exercises and naval exchanges. <em>Nestor Corrales</em>, <strong><a href="https://reuters.com/world/china/vietnam-leader-visit-philippines-next-week-trade-security-talks-2026-05-27">Reuters</a></strong>, <em>May 27</em></p><h2>Thailand</h2><p><strong>Court asked to suspend PP leader.</strong> Activist Nopparuj Worachitwutikul petitioned the Supreme Court to suspend People&#8217;s Party leader Natthaphong Ruengpanyawut from serving as an MP, alleging he violated court instructions tied to the case involving 44 former Move Forward Party lawmakers. The petition cites Natthaphong&#8217;s May 21 remarks about a &#8220;blue regime,&#8221; which Nopparuj said breached conditions set by the court. <em>Wassayos Ngamkham</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3261893/court-asked-to-suspend-pp-leader">Bangkok Post</a></strong>, <em>May 27</em></p><p><strong>PP tables new charter rewrite bill.</strong> The People&#8217;s Party submitted two constitutional amendment bills proposing mechanisms for drafting a new constitution while emphasizing public participation, safeguards against political monopolization, and opposition to expanded Senate powers. Both drafts call for a 150-member Constitution Drafting Assembly, but differ on selection methods, with one relying on direct elections and the other combining public election with parliamentary selection. <strong><a href="https://bangkokpost.com/thailand/politics/3261873/pp-tables-new-charter-rewrite-bill">Bangkok Post</a></strong>, <em>May 27</em></p><h2>Cambodia</h2><p><strong>Cambodia recruits 2% of youth soldiers after conscription law enacted.</strong> Cambodia plans to recruit 1.5% to 2% of eligible young people by 2026 under its newly enacted conscription law. Military service is mandatory for men aged 18 to 25 and voluntary for women. Recruits will serve two years, receive financial support, uniforms, and medical coverage, while high school graduates may defer service for up to four years. <em>Teng Yalirozy</em>, <strong><a href="https://cambodianess.com/article/cambodia-recruits-2-of-youth-soldiers-after-conscription-law-enacted">Cambodianess</a></strong>, <em>May 27</em></p><p><strong>UN Charter must protect small states: Cambodia tells Security Council.</strong> Foreign Minister Prak Sokhonn told the U.N. Security Council that Cambodia rejects the use of force to settle border disputes and sees the UN Charter as essential to protecting small states. He cited Cambodia&#8217;s postwar recovery, the Cambodia-Thailand ceasefire, and the need to fully implement peace agreements while strengthening multilateral cooperation, international law, and peaceful coexistence. <em>Meng Seavmey</em>, <strong><a href="https://cambodianess.com/article/un-charter-must-protect-small-states-cambodia-tells-security-council">Cambodianess</a></strong>, <em>May 27</em></p><h2>Philippines</h2><p><strong>Philippines launches independent truth panel to probe 'drugs war' killings.</strong> A civilian-led Philippine Truth and Reconciliation Commission will investigate alleged extrajudicial killings during Rodrigo Duterte&#8217;s drug war, create a credible public record, and prepare case files for law enforcement agencies. The panel, led by former ICC judge Raul Pangalangan, will hold public hearings with victims, families, witnesses, and former perpetrators under protection measures. <em>Nestor Corrales</em>, <strong><a href="https://reuters.com/world/asia-pacific/philippines-launches-independent-truth-panel-probe-drugs-war-killings-2026-05-27">Reuters</a></strong>, <em>May 27</em></p><p><strong>ICC sets trial date for Philippines' Duterte over alleged crimes against humanity.</strong> International Criminal Court judges set Nov. 30 as the trial start date for former Philippine President Rodrigo Duterte, who faces three counts of crimes against humanity tied to killings during his drug war. Duterte has denied wrongdoing and said police were instructed to kill only in self-defense. The court has ruled he can participate in hearings with adjustments despite defense claims of cognitive decline. <em>Stephanie van den Berg</em>, <strong><a href="https://reuters.com/world/asia-pacific/icc-sets-trial-date-philippines-duterte-over-alleged-crimes-against-humanity-2026-05-27">Reuters</a></strong>, <em>May 27</em></p><p><strong>DOT welcomes new direct flights from China.</strong> The Philippines&#8217; Department of Tourism welcomed new Hangzhou-Manila, Changsha-Manila, and Chongqing-Manila flights as part of efforts to restore air connectivity with China and support tourism recovery. Officials said the routes should increase visitor arrivals, tourism exchanges, and business opportunities. The Chongqing service is the 33rd direct international route launched in the Philippines since early 2025. <em>Moises Cruz</em>, <strong><a href="https://manilatimes.net/2026/05/28/news/national/dot-welcomes-new-direct-flights-from-china/2352825">The Manila Times</a></strong>, <em>May 27</em></p><h2>Sri Lanka</h2><p><strong>Sri Lanka's surprise rate hike risks choking off IMF-backed recovery.</strong> Sri Lanka&#8217;s 100-basis-point rate hike to 8.75% signals a return to crisis-prevention policy as energy costs, reserve pressure, inflation, and rupee weakness strain the IMF-backed recovery. Analysts warned the move may curb credit, investment, and growth, though it could stabilize the currency and protect IMF targets. The IMF is expected to consider a $700 million reserve-support tranche. <em>Uditha Jayasinghe</em>, <strong><a href="https://reuters.com/world/asia-pacific/sri-lankas-surprise-rate-hike-risks-choking-off-imf-backed-recovery-2026-05-27">Reuters</a></strong>, <em>May 27</em></p><h2>Kazakhstan</h2><p><strong>Tokayev meets China&#8217;s top legislator as Kazakhstan-China ties gain momentum.</strong> President Kassym-Jomart Tokayev met China&#8217;s top legislator Zhao Leji in Astana as bilateral trade reached a record $49 billion and Chinese investment in Kazakhstan surpassed $29 billion. Tokayev highlighted the investment protection agreement and strong cooperation through international organizations, while Zhao said relations had reached an eternal comprehensive strategic partnership. <em>Ayana Birbayeva</em>, <strong><a href="https://astanatimes.com/2026/05/tokayev-meets-chinas-top-legislator-as-kazakhstan-china-ties-gain-momentum">The Astana Times</a></strong>, <em>May 27</em></p><p><strong>Kazakhstan overrides special court&#8217;s ruling, sides with Russia over foreign investors.</strong> Kazakhstan&#8217;s justice minister said the government will not enforce an Astana International Financial Center Court ruling that upheld a $1.4 billion arbitration award against Gazprom in favor of Naftogaz. The decision raises questions about the AIFC court&#8217;s independence and Kazakhstan&#8217;s ability to offer foreign investors protection from political risk, while signaling Astana&#8217;s effort to avoid confrontation with Russia. <strong><a href="https://eurasianet.org/kazakhstan-overrides-special-courts-ruling-sides-with-russia-over-foreign-investors">Eurasianet</a></strong>, <em>May 27</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-may-28-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:&quot;button-wrapper&quot;}" data-component-name="ButtonCreateButton"><a class="button primary button-wrapper" href="https://www.theasiacable.com/p/asia-daily-may-28-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:&quot;&quot;,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" title="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>China Needs North Korea on Its Side.</strong> Xi&#8217;s expected trip to Pyongyang would reset relations strained by North Korea&#8217;s nuclear status, China&#8217;s denuclearization policy, and Kim&#8217;s turn toward Moscow. Beijing wants to keep Pyongyang inside its strategic buffer, counter U.S.-Japan-South Korea security coordination, protect influence on the peninsula, and revive northeast China through Tumen River and Rajin-Sonbong access. Kim wants Xi&#8217;s endorsement, Chinese aid, leverage for future U.S. talks, and a path to sanctions relief through Beijing. <em>Deng Yuwen</em>, <strong><a href="https://foreignpolicy.com/2026/05/27/xi-jinping-kim-jong-un-china-north-korea-visit">Foreign Policy</a></strong>, <em>May 27</em>.</p><p><strong>Chinese Party Diplomacy in Visegrad Countries Shows the Range of Beijing&#8217;s Foreign Policy Toolkit.</strong> Chinese diplomacy in the Visegrad Four uses both the foreign ministry and the Communist Party&#8217;s International Department. Data from 2023 to 2026 show divergent patterns across Czechia, Hungary, Poland, and Slovakia. Czech ties center on communist party contacts, Hungary received ruling-party outreach, Poland used IDCPC channels for officials, and Slovakia engaged the CCP when senior state visits were absent. Beijing benefits from a broader diplomatic toolkit than MFA channels alone. <em>Paul&#237;na Ove&#269;kov&#225;</em>, <strong><a href="https://chinaobservers.eu/chinese-party-diplomacy-in-visegrad-countries-shows-the-range-of-beijings-foreign-policy-toolkit/">China Observers</a></strong>, <em>May 27</em>.</p><p><strong>Post U.S.-China Summit: Managed Instability.</strong> Washington and Beijing agreed to manage economic tensions after the summit, but the truce faces pressure from tariff replacement plans, Section 301 investigations, USMCA review, reciprocal trade talks, and investment screening disputes. The new boards of trade and investment may define tariff relief and limited Chinese investment access. Mistrust, domestic politics, inflation, China-related supply chain rules, and security flashpoints could slow negotiations or halt progress across trade files and diplomacy. <em>Barbara Weisel</em>, <strong><a href="https://carnegieendowment.org/posts/2026/05/post-us-china-summit-and-managed-instability">Carnegie Endowment for International Peace</a></strong>, <em>May 27</em></p><p><strong>Japan, South Korea and Taiwan are suffering industrial rot.</strong> AI demand has lifted exports in Taiwan, South Korea, and Japan, but the gains mask stress in non-chip sectors. China has become a rival to industries it supplied in the past, pressuring cars, chemicals, machinery, and batteries. Manufacturing has narrowed around semiconductors and servers, while weak consumption, favored exporters, insecure work, and limited welfare leave households with little buffer. Deeper dependence on AI exports raises recession risk when cycles turn. <strong><a href="https://www.economist.com/finance-and-economics/2026/05/27/japan-south-korea-and-taiwan-are-suffering-industrial-rot">The Economist</a></strong>, <em>May 27</em></p><h2>Southeast Asia</h2><p><strong>The world&#8217;s top condom-maker is getting squeezed.</strong> Karex, Malaysia&#8217;s condom giant, makes more than 5bn units a year and supplies brands including Durex and Trojan. Its shares have fallen by a third since January after aid cuts, tariffs, a weak dollar, and higher input costs hurt sales and produced another operating loss. Management plans price increases of 20 to 30 percent, while synthetic nitrile condoms offer lower-cost production and fewer allergy risks for potential growth and recovery. <strong><a href="https://www.economist.com/business/2026/05/27/the-worlds-top-condom-maker-is-getting-squeezed">The Economist</a></strong>, <em>May 27</em>.</p><h2>South Asia</h2><p><strong>Bangladesh&#8217;s measles outbreak lays bare governance failures.</strong> Bangladesh faces its worst measles outbreak since 2005, with suspected cases reaching 55,000 and deaths exceeding 400 by early May. Falling first-dose and second-dose coverage, vaccine shortages, suspended procurement, health worker strikes, urban outreach gaps, and misinformation left millions of children vulnerable. Emergency vaccination reached some 18 million children, but lasting control depends on digital tracking, zero-dose mapping, trust-building, and restored routine immunisation governance across high-risk urban communities and clinics. <em>Syed Masud Ahmed, Lamisa Rahman</em>, <strong><a href="https://eastasiaforum.org/2026/05/27/bangladeshs-measles-outbreak-lays-bare-governance-failures">East Asia Forum</a></strong>, <em>May 27</em>.</p><h2>Oceania</h2><p><strong>Australia&#8217;s agency to craft its own choice.</strong> Australia&#8217;s old claim that it need not choose between China and the United States has lost force. China remains its top export market, while AUKUS deepens security reliance on Washington. Both powers now create coercive risks. Canberra needs resilience, autonomy, and coalitions with trade-dependent partners. Priorities include defending liberal trade rules, expanding CPTPP membership, coordinating with Europe, and building regional security capacity over decades with shared values and aligned interests. <em>Nick Bisley</em>, <strong><a href="https://eastasiaforum.org/2026/05/27/australias-agency-to-craft-its-own-choice">East Asia Forum</a></strong>, <em>May 27</em></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: May 27, 2026]]></title><description><![CDATA[China says it hopes Iran war parties can meet each other halfway.]]></description><link>https://www.theasiacable.com/p/asia-daily-may-27-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-may-27-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Wed, 27 May 2026 11:30:41 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/dce485a3-5837-4441-9bbf-7edf48d8ec7a_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!pZbj!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:982691,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!pZbj!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!pZbj!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7a268292-fb78-4dfd-98ee-07c8a97df828_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>China says it hopes Iran war parties can meet each other halfway.</strong> Chinese Foreign Minister Wang Yi urged parties in the Iran conflict to remain committed to a ceasefire and continue negotiations, saying each step forward brings more hope for peace. His remarks followed Iranian accusations that the U.S. violated the ceasefire through defensive strikes in southern Iran, while U.S. Secretary of State Marco Rubio said a deal could take several days. <em>David Brunnstrom and Simon Lewis</em>, <strong><a href="https://reuters.com/world/china/china-says-it-hopes-iran-war-parties-can-meet-each-other-halfway-2026-05-26">Reuters</a></strong>, <em>May 26</em></p><p><strong>China says Quad cooperation should not target third party.</strong> China said cooperation among Australia, India, Japan, and the U.S. should support regional peace, stability, and prosperity rather than target any third party. Foreign Ministry spokesperson Mao Ning rejected exclusive cliques and bloc confrontation after Quad ministers met in India, agreed to jointly build a port in Fiji, and signed pacts on critical minerals and energy security. <em>Liz Lee and Xiuhao Chen</em>, <strong><a href="https://reuters.com/world/china/china-says-quad-cooperation-should-not-target-third-party-2026-05-26">Reuters</a></strong>, <em>May 26</em></p><p><strong>China defence chief Dong Jun tipped to skip this year&#8217;s Shangri-La Dialogue.</strong> Chinese Defence Minister Dong Jun is expected to skip the Shangri-La Dialogue in Singapore for a second straight year, with China likely to send a lower-level PLA delegation. The forum is expected to focus on Taiwan, the South China Sea, U.S. Indo-Pacific strategy, and the Iran conflict. Dong&#8217;s absence could prevent a meeting with U.S. Defence Secretary Pete Hegseth. <em>Amber Wang</em>, <strong><a href="https://scmp.com/news/china/military/article/3354871/china-defence-chief-dong-jun-tipped-skip-years-shangri-la-dialogue">South China Morning Post</a></strong>, <em>May 26</em></p><p><strong>China, Singapore top diplomats reaffirm commitment to Malacca Strait transit rights.</strong> Singaporean Foreign Minister Vivian Balakrishnan and Chinese Foreign Minister Wang Yi reaffirmed support for keeping the Strait of Malacca and other international waterways open. Balakrishnan cited transit passage rights under UNCLOS, while Wang said secure supply chains and smooth maritime traffic serve the international community. The talks also covered restoring Strait of Hormuz traffic and seeking an immediate Middle East ceasefire. <em>Orange Wang</em>, <strong><a href="https://www.scmp.com/news/china/diplomacy/article/3354881/top-chinese-singaporean-diplomats-reaffirm-commitment-malacca-strait-transit-rights">South China Morning Post</a></strong>, <em>May 26</em></p><h2>Japan</h2><p><strong>Japan eyes Mogami frigate export to NZ, 3-way defense talks with Australia.</strong> Japan is preparing talks on exporting its advanced Mogami-class frigate to New Zealand, with the issue expected at trilateral defense talks with Australia during the Shangri-La Dialogue. The potential export would support interoperability as Japan and Australia jointly develop a next-generation Australian frigate based on the Mogami design. Tokyo is also considering a defense equipment transfer agreement with Wellington. <strong><a href="https://english.kyodonews.net/articles/-/76694">Kyodo News</a></strong>, <em>May 26</em></p><p><strong>Japan gov&#8217;t OKs 500 bil. yen use from reserve fund for energy bill subsidy.</strong> Japan approved 513.5 billion yen from fiscal 2026 reserve funds to resume electricity and gas subsidies from July to September as Middle East tensions raise energy costs. The program is expected to reduce an average household&#8217;s bills by about 5,000 yen and help small and medium-sized companies. A supplementary budget will replenish reserves and support gasoline price measures. <strong><a href="https://english.kyodonews.net/articles/-/76705">Kyodo News</a></strong>, <em>May 26</em></p><h2>South Korea</h2><p><strong>South Korea aims to launch first nuclear-powered submarine by the mid-2030s.</strong> South Korea plans to launch its first nuclear-powered submarine by the mid-2030s to counter North Korean underwater nuclear and missile threats. The submarine will be developed and built domestically, use low-enriched uranium fuel, and rely on cooperation with the U.S. and International Atomic Energy Agency to ensure non-proliferation compliance. Seoul said the program does not involve acquiring nuclear weapons. <em>Joyce Lee</em>, <strong><a href="https://reuters.com/world/asia-pacific/south-korea-aims-launch-first-nuclear-powered-submarine-by-mid-2030s-2026-05-26">Reuters</a></strong>, <em>May 26</em></p><p><strong>Lee calls for stepped-up efforts to acquire nuclear-powered submarines.</strong> President Lee Jae Myung instructed officials to accelerate South Korea&#8217;s acquisition of nuclear-powered submarines, calling them core assets for future defense amid North Korea&#8217;s growing nuclear and missile threats. Defense Minister Ahn Gyu-back said Seoul aims to launch the first batch in the mid-2030s and deploy them in the late 2030s or later. Lee also urged a swift transfer of wartime operational control from Washington to Seoul. <em>Park Bo-ram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260526003053315">Yonhap News Agency</a></strong>, <em>May 26</em></p><p><strong>USFK commander says S. Korea is &#8216;dagger&#8217; in heart of Asia from China&#8217;s perspective.</strong> U.S. Forces Korea Commander Gen. Xavier Brunson described South Korea as a &#8220;dagger in the heart of Asia&#8221; from China&#8217;s perspective, underscoring its strategic location amid U.S.-China rivalry. His remarks came as Seoul and Washington work to modernize the alliance and consider a broader regional role for USFK. Brunson also said USFK is working with Samsung Electronics on cloud infrastructure to support communications with allies. <em>Song Sang-ho</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260527000200315">Yonhap News Agency</a></strong>, <em>May 26</em></p><h2>North Korea</h2><p><strong>North Korea fired projectiles, including short-range ballistic missile, Seoul says.</strong> North Korea fired several projectiles toward waters off its west coast, including at least one short-range ballistic missile that flew about 80 kilometers. South Korea said it was Pyongyang&#8217;s first known missile launch since April and urged the North to respond to peace overtures. Seoul said it will pursue denuclearization through a phased, pragmatic approach with international coordination. <em>Joyce Lee and Heejin Kim</em>, <strong><a href="https://reuters.com/world/china/north-korea-fires-unidentified-projectile-south-korea-military-says-2026-05-26">Reuters</a></strong>, <em>May 26</em></p><h2>Thailand</h2><p><strong>People&#8217;s Party faces another dissolution bid.</strong> Thailand&#8217;s Election Commission is reviewing a petition seeking the dissolution of the People&#8217;s Party over leader Natthaphong Ruengpanyawut&#8217;s comments about Privy Council members attending a drought management meeting with a state agency. Petitioner Srisuwan Janya argued the remarks could undermine the constitutional monarchy. The commission is already handling more than 10 party dissolution cases. <strong><a href="https://bangkokpost.com/thailand/politics/3261215/peoples-party-faces-another-dissolution-bid">Bangkok Post</a></strong>, <em>May 26</em></p><h2>Philippines</h2><p><strong>ICC sets wide-ranging agenda for Duterte status conference; to discuss trial date.</strong> The International Criminal Court&#8217;s Trial Chamber III set a broad agenda for the first status conference in the case against former President Rodrigo Duterte. Judges will discuss the trial start date, evidence disclosure, witness protection, victims&#8217; participation, expert witnesses, recorded testimony, agreed facts, language needs, and courtroom protocols. Private sessions may be held for sensitive witness protection issues. <em>Franco Jose C. Baro&#241;a</em>, <strong><a href="https://manilatimes.net/2026/05/26/news/icc-sets-wide-ranging-agenda-for-duterte-status-conference-to-discuss-trial-date/2351635">The Manila Times</a></strong>, <em>May 26</em></p><p><strong>Marcos&#8217; Japan visit to boost ties in defense, energy, trade.</strong> President Ferdinand Marcos Jr. began a four-day state visit to Japan focused on defense, maritime security, energy resilience, trade, investment, infrastructure, agriculture, space technology, and Mindanao development. Marcos said he would raise the West Philippine Sea, Middle East conflict, Asean, U.S. cooperation, and the Philippines&#8217; U.N. Security Council candidacy during talks with Prime Minister Sanae Takaichi. <em>Kristina Maralit</em>, <strong><a href="https://manilatimes.net/2026/05/27/news/national/marcos-japan-visit-to-boost-ties-in-defense-energy-trade/2351945">The Manila Times</a></strong>, <em>May 26</em></p><h2>Indonesia</h2><p><strong>Indonesia's Prabowo arrives in France for state visit.</strong> Indonesian President Prabowo Subianto arrived in Paris for a state visit aimed at strengthening strategic ties with France. He was welcomed by French Minister of Labor and Solidarity Jean-Pierre Farandou and a guard of honor, while Indonesians greeted him at his hotel. Officials said the visit is expected to reinforce Indonesia&#8217;s position in Europe and deepen bilateral cooperation. <strong><a href="https://en.antaranews.com/news/417023/indonesias-prabowo-arrives-in-france-for-state-visit">ANTARA News</a></strong>, <em>May 26</em></p><h2>Taiwan</h2><p><strong>Taiwan tracks second Chinese 'combat' patrol in a week, sends ships and jets to monitor.</strong> Taiwan sent ships and fighter jets to monitor China&#8217;s second &#8220;joint combat readiness patrol&#8221; near the island in a week. Taiwan detected 21 Chinese aircraft, including J-16 fighters and drones, operating with warships around the island, while officials also tracked the Liaoning carrier group and more than 100 Chinese ships in the first island chain. <em>Ben Blanchard, Yimou Lee, Yi-Chin Lee, Fabian Hamacher, and Roger Tung</em>, <strong><a href="https://reuters.com/business/aerospace-defense/taiwan-tracks-second-chinese-combat-patrol-week-sends-ships-jets-monitor-2026-05-25">Reuters</a></strong>, <em>May 25</em></p><h2>Sri Lanka</h2><p><strong>Sri Lanka stuns with 100-bp rate hike as Iran war rattles currency, fuels inflation.</strong> Sri Lanka&#8217;s central bank raised its policy rate by 100 basis points to 8.75%, its largest hike in three years, as the Iran war drives up energy costs, weakens the rupee, and lifts inflation. Governor P. Nandalal Weerasinghe said the move should stabilize exchange rates and inflation, while analysts warned the crisis could further damage growth. <em>Uditha Jayasinghe</em>, <strong><a href="https://reuters.com/world/asia-pacific/sri-lanka-raises-key-policy-rate-by-100-bps-offset-gulf-crisis-pain-2026-05-26">Reuters</a></strong>, <em>May 26</em></p><h2>Quad</h2><p><strong>Australia-India-Japan-U.S. Quad to build a port, unveil pact on critical minerals.</strong> Quad foreign ministers agreed in New Delhi to jointly build a port in Fiji and launch initiatives on critical minerals and Indo-Pacific energy security. The group said the minerals framework will coordinate investment and supply-chain work, including mining, processing, and recycling. A joint statement also raised concerns over the East and South China seas, Middle East shipping attacks, and uninterrupted commerce through Hormuz and the Red Sea. <em>Michael Martina, Aftab Ahmed, Saurabh Sharma, Sakshi Dayal, Hritam Mukherjee, Tim Kelly, John Geddie, Liz Lee, and Xiuhao Chen</em>, <strong><a href="https://reuters.com/world/china/australia-india-japan-us-quad-seeks-relevance-foreign-ministers-meet-new-delhi-2026-05-26">Reuters</a></strong>, <em>May 26</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-may-27-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:&quot;button-wrapper&quot;}" data-component-name="ButtonCreateButton"><a class="button primary button-wrapper" href="https://www.theasiacable.com/p/asia-daily-may-27-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:&quot;&quot;,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" title="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>The returnees: Inside China&#8217;s AI talent reversal.</strong> Chinese AI researchers are returning from US firms and universities to China, drawn by career opportunities, state investment, strong industrial demand, and a national purpose. Their return strengthens Chinese companies and universities, while tighter US restrictions and Chinese scrutiny are reshaping cross-border mobility. China still faces talent shortages, institutional pressures, and gaps in commercialization that may limit long-term retention. <em>Liu Sha</em>, <strong><a href="https://thinkchina.sg/technology/big-read-returnees-inside-chinas-ai-talent-reversal">ThinkChina</a></strong>, <em>May 26</em></p><p><strong>China&#8217;s growth transition has global consequences.</strong> China&#8217;s lower 2026 growth target reflects a change from construction-led expansion to productivity, technology, and high-quality development. Weak property investment and soft demand will reduce imports tied to construction, while advanced manufacturing, clean energy, and digital sectors expand abroad. Commodity exporters face lower structural demand, manufacturers face stronger competition from China, and service economies may gain from China&#8217;s aging population and expanding middle class. <em>Yixiao Zhou</em>, <strong><a href="https://eastasiaforum.org/2026/05/26/chinas-growth-transition-has-global-consequences/">East Asia Forum</a></strong>, <em>May 26</em></p><p><strong>China&#8217;s world-beating solar industry is in turmoil.</strong> China&#8217;s solar manufacturers face falling domestic demand, excess capacity, price wars, and rising trade barriers despite their global lead in panel production. Grid congestion has forced the waste of solar output, while factories can produce far more panels than global markets can absorb. State support is retreating, bankruptcies and layoffs are increasing, and recovery may depend on consolidation, better grids, storage, and higher-efficiency technology. <strong><a href="https://www.economist.com/china/2026/05/26/chinas-world-beating-solar-industry-is-in-turmoil">The Economist</a></strong>, <em>May 26</em></p><p><strong>Xi Ascendant.</strong> Trump&#8217;s Beijing visit produced dialogue and stability but limited gains for Washington. Xi secured a frame that favored China after rare earth leverage blunted US tariffs and export controls. The proposed trade and investment boards cover narrow ground, while aircraft, farm, and chip outcomes fell short. China avoided renewed pressure, showed stronger bargaining skill, and retained momentum despite debt, deflation, and unemployment concerns. <em>Scott Kennedy</em>, <strong><a href="https://foreignpolicy.com/2026/05/26/xi-trump-china-united-states-summit-power/">Foreign Policy</a></strong>, <em>May 26</em></p><p><strong>America and China Cannot Dominate or Exclude Each Other.</strong> The United States and China have entered a G-2 reality built on competitive coexistence rather than dominance. Each can disrupt the other through military pressure, tariffs, export controls, rare earth restrictions, and technology barriers, but neither can force submission or exclusion. Taiwan remains the main danger point, requiring restraint, reassurance, and conflict management to prevent rivalry from becoming a war. <em>Zheng Wang</em>, <strong><a href="https://www.foreignaffairs.com/united-states/g-2-reality">Foreign Affairs</a></strong>, <em>May 26</em></p><p><strong>Trump and Putin&#8217;s visits confirm Beijing as the new global pivot.</strong> Trump and Putin&#8217;s visits to Beijing showed China shaping great-power diplomacy on its own terms. Washington received little accommodation, while Moscow secured a warmer reception but no major pipeline deal. China&#8217;s role as host, dealmaker, and strategic center reflects a shift from the US-led triangle of the 1970s toward a system where Beijing is a central diplomatic venue. <em>Alexander Korolev</em>, <strong><a href="https://thinkchina.sg/politics/trump-and-putins-visits-confirm-beijing-new-global-pivot">ThinkChina</a></strong>, <em>May 26</em></p><p><strong>The absence of disaster was a form of progress in Trump's Beijing visit.</strong> Trump&#8217;s Beijing visit produced no major deals, but avoided crisis and set a floor under US-China ties. Beijing framed the outcome as managed stability, with new trade and investment committees and leader contacts. Chips, Taiwan, and market access remain points of tension. China signaled commitment to domestic substitution, while Trump treated Taiwan with a personal and transactional stance that unsettles allies and gives Beijing room. <em>Vivian Toh</em>, <strong><a href="https://asia.nikkei.com/opinion/the-absence-of-disaster-was-a-form-of-progress-in-trump-s-beijing-visit">Nikkei Asia</a></strong>, <em>May 26</em></p><p><strong>Japan&#8217;s Point of No Return.</strong> Japan has moved beyond its postwar pacifist posture by expanding defense spending, loosening arms export rules, and preparing for a Taiwan or East China Sea crisis. Chinese coercion and doubts about US reliability have pushed Tokyo to build munitions, logistics, air defenses, and partner networks. Washington can gain from this transformation by treating Japan as a capable ally rather than a client. <em>Daisuke Kawai</em>, <strong><a href="https://www.foreignaffairs.com/japan/japans-point-no-return">Foreign Affairs</a></strong>, <em>May 25</em></p><h2>Southeast Asia</h2><p><strong>Southeast Asia's middle-class energy conundrum.</strong> Southeast Asia&#8217;s expanding middle class is driving electricity demand through air conditioning, appliances, electric vehicles, data centers, aviation, and consumer services. Governments face pressure to deliver affordable and reliable power while meeting climate goals. Coal remains central, liquefied natural gas is costly and carbon-intensive, and renewable growth is uneven. The region&#8217;s energy transition depends on confronting consumption growth, grid strain, and public expectations for comfort and mobility. <em>Tim Daiss</em>, <strong><a href="https://asia.nikkei.com/opinion/southeast-asia-s-middle-class-energy-conundrum">Nikkei Asia</a></strong>, <em>May 26</em></p><p><strong>Thai-Cambodian Spat: Private Pathways to State Conflict.</strong> Thailand and Cambodia&#8217;s 2025 border clash may have stemmed from private business channels linking Thaksin Shinawatra and Hun Sen. Their rupture followed leaked mediation efforts, claims of betrayal, and nationalist anger before the Thai military assumed control. The analysis connects patronage, cross border crime, scam profits, energy interests, and failed maritime resource plans to a wider pattern in which private networks can push patronal states toward conflict. <em>Gregory Raymond</em>, <strong><a href="https://fulcrum.sg/thai-cambodian-spat/">Fulcrum</a></strong>, <em>May 22</em></p><h2>South Asia</h2><p><strong>How the West Misreads Modi&#8217;s Success.</strong> India remains democratic but less liberal under Modi, making Western views of collapse or democratic leadership inaccurate. Recent state elections showed high turnout, BJP gains, opposition weakness, and voter support despite economic stress. Hindutva politics and minority marginalization raise concerns, yet institutions and electoral competition persist. Western policy needs realism about India&#8217;s democracy, built on democratic solidarity, China strategy, and economic partnership. <em>Chietigj Bajpaee</em>, <strong><a href="https://foreignpolicy.com/2026/05/22/modi-india-europe-democracy-elections-bjp-economy-western-policy/">Foreign Policy</a></strong>, <em>May 22</em></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: May 26, 2026]]></title><description><![CDATA[China lifts peacekeeping budget share amid warnings bodies like UN may be sidelined.]]></description><link>https://www.theasiacable.com/p/asia-daily-may-26-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-may-26-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Tue, 26 May 2026 11:03:10 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/b37a6e13-459c-4d95-932f-04f758368869_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!Gxkt!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1003367,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>China lifts peacekeeping budget share amid warnings bodies like UN may be sidelined.</strong> China became the second-largest financial contributor to UN peacekeeping after the U.S., with its share rising to nearly 24% as multilateral peace operations face funding shortages and geopolitical paralysis. SIPRI reported that active peace operations fell in 2025, personnel numbers hit their lowest level since at least 2000, and no new UN peacekeeping operations have been created since 2014. <em>Seong Hyeon Choi</em>, <strong><a href="https://scmp.com/news/china/military/article/3354743/china-lifts-peacekeeping-budget-share-amid-warnings-bodies-un-may-be-sidelined">South China Morning Post</a></strong>, <em>May 25</em></p><p><strong>Major EU countries push for tougher China policy ahead of Brussels debate.</strong> Spain, Italy, the Netherlands, France, and Lithuania backed a paper urging stronger EU responses to structural industrial overcapacity and Chinese competition. The proposal calls for broader safeguard measures, a resilience tool for concentrated supply chains, tougher anti-circumvention action, and company-level duties. The European Commission&#8217;s China debate is expected to shape upcoming European Council discussions. <em>Finbarr Bermingham</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3354714/major-eu-countries-push-tougher-china-policy-ahead-brussels-debate">South China Morning Post</a></strong>, <em>May 25</em></p><p><strong>Xi hails 'unbreakable' Pakistan ties, praises Iran peace efforts.</strong> Chinese President Xi Jinping welcomed Pakistani Prime Minister Shehbaz Sharif in Beijing and praised the countries&#8217; &#8220;unbreakable&#8221; partnership. Xi called for deeper cooperation in agriculture, industry, artificial intelligence, talent cultivation, and security. He also acknowledged Pakistan&#8217;s mediation efforts over Iran and said China appreciates Islamabad&#8217;s constructive role in pursuing peace. <em>Liz Lee and Ethan Wang</em>, <strong><a href="https://reuters.com/world/asia-pacific/chinas-xi-meets-pakistan-pm-sharif-beijing-state-media-reports-2026-05-25">Reuters</a></strong>, <em>May 25</em></p><p><strong>China's Huawei reveals chip design breakthrough amid U.S. sanctions.</strong> Huawei said it will use advanced chip design and packaging methods to reach transistor density equivalent to 1.4-nanometre processes by 2031, despite U.S. restrictions on China&#8217;s access to cutting-edge tools. Its Tau Scaling Law focuses on faster data movement inside chips rather than smaller transistors, with applications planned for Kirin, Ascend, and AI cluster systems. <em>Che Pan, Eduardo Baptista, and Casey Hall</em>, <strong><a href="https://reuters.com/world/asia-pacific/huawei-proposes-new-path-chip-development-amid-us-sanctions-2026-05-25">Reuters</a></strong>, <em>May 25</em></p><h2>Japan</h2><p><strong>LDP, JIP and DPP seek emergency clause in Constitution.</strong> Japan&#8217;s ruling Liberal Democratic Party, coalition partner Japan Innovation Party, and opposition Democratic Party for the People supported creating a constitutional emergency clause to extend lawmakers&#8217; terms during major disasters. Other parties, including the Centrist Reform Alliance, Constitutional Democratic Party of Japan, and Komeito, urged caution, saying unresolved issues remain before any amendment. <strong><a href="https://japantimes.co.jp/news/2026/05/24/japan/politics/ldp-jip-dpp-emergency-clause-constitution">The Japan Times</a></strong>, <em>May 24</em></p><p><strong>Japan gov't to compile over 3 tril. yen extra budget: PM Takaichi.</strong> Japan will prepare a fiscal 2026 supplementary budget of more than 3 trillion yen to address rising energy prices linked to prolonged Middle East tensions. Prime Minister Sanae Takaichi said 500 billion yen in reserve funds will support household utility bills from July to September, while new reserve funds will respond to crude oil price shocks. <strong><a href="https://english.kyodonews.net/articles/-/76680">Kyodo News</a></strong>, <em>May 25</em></p><h2>South Korea</h2><p><strong>Foreign ministers of S. Korea, Croatia discuss arms, energy cooperation.</strong> Foreign Minister Cho Hyun and Croatian Foreign Minister Gordan Grlic Radman met in Seoul to expand cooperation in weapons, energy, batteries, science, and technology. The ministers also agreed to pursue a public safety memorandum of understanding, accelerate discussions on a working holiday program, and continue educational and research exchanges between their foreign ministries. <em>Lee Minji</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260525003400315">Yonhap News Agency</a></strong>, <em>May 25</em></p><p><strong>Lee calls for stepped-up efforts to acquire nuclear-powered submarines.</strong> President Lee Jae Myung instructed officials to accelerate South Korea&#8217;s plan to acquire nuclear-powered submarines, citing the need to strengthen self-defense capabilities against North Korea&#8217;s growing nuclear and missile threats. Lee also called for the swift transfer of wartime operational control of South Korean troops from Washington to Seoul. <em>Park Boram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260526003000315">Yonhap News Agency</a></strong>, <em>May 26</em></p><h2>Thailand</h2><p><strong>Ruling party gives timeline on charter amendment.</strong> Bhumjaithai Party list-MP Nikorn Chamnong said Thailand could promulgate a new constitution by mid-2029 if the charter amendment bill passes parliament on schedule. The process would include a second referendum early next year, creation of a Constitution Drafting Assembly, public consultations, completion of a draft by September 2028, and a third referendum in February 2029. <em>Aekarach Sattaburuth</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3260283/ruling-party-gives-timeline-on-charter-amendment">Bangkok Post</a></strong>, <em>May 24</em></p><p><strong>PP leader blasted over &#8216;blue regime&#8217; remark.</strong> Eighty-nine senators threatened legal action unless opposition leader Natthaphong Ruengpanyawut apologizes within three days for describing the Senate as part of a &#8220;blue regime&#8221; rooted in the 2017 Constitution. Senators rejected the accusation, defended their selection process, and said the dispute would not affect voting on constitutional amendments. Natthaphong said his remarks targeted a broader political structure. <strong><a href="https://bangkokpost.com/thailand/politics/3260879/pp-leader-blasted-over-blue-regime-remark">Bangkok Post</a></strong>, <em>May 25</em></p><h2>Myanmar</h2><p><strong>Myanmar military steps up fight for rare earth area and border routes.</strong> Myanmar&#8217;s military has launched offensives in border regions, including Kachin, Chin, and Karen states, targeting rare earth mining areas, communications routes, and trade corridors. New military chief Ye Win Oo is pushing to retake strategic areas held by ethnic armed groups. Resistance representatives said the military is using heavy aerial bombings and faces deep mistrust over peace overtures. <strong><a href="https://reuters.com/world/china/myanmar-military-steps-up-fight-rare-earth-area-border-routes-2026-05-25">Reuters</a></strong>, <em>May 25</em></p><p><strong>Myanmar regime moves to stifle reporting on border encroachment by China.</strong> Myanmar&#8217;s regime is pressuring domestic media over coverage that China has built border fences inside Myanmar territory in northern Shan State. The Foreign Ministry urged tighter scrutiny of reporting that could affect ties with Beijing, while local reports described fences advancing into MNDAA- and UWSA-controlled areas, absorbing homes, waterways, and border markers. <strong><a href="https://irrawaddy.com/news/myanmar-china-watch/myanmar-regime-moves-to-stifle-reporting-on-border-encroachment-by-china.html">The Irrawaddy</a></strong>, <em>May 25</em></p><p><strong>Conscription fueling &#8216;rampant&#8217; human trafficking in Myanmar.</strong> Myanmar&#8217;s forced conscription system has created a human trafficking market in which young people are abducted, sold to the military, or used as paid substitutes. Families are seeking help from military-linked monks, while ward administrators, Pyu Saw Htee militias, and pro-regime gangs are accused of detaining poor residents, extorting households, and selling conscripts to meet quotas. <strong><a href="https://irrawaddy.com/news/burma/conscription-fueling-rampant-human-trafficking-in-myanmar.html">The Irrawaddy</a></strong>, <em>May 25</em></p><h2>Cambodia</h2><p><strong>Cambodian king pardons former opposition leader.</strong> Cambodia&#8217;s king pardoned former opposition leader Kem Sokha weeks after a court upheld his treason conviction and 27-year sentence. The royal decree applied only to the original sentence, while restrictions on political activity and travel remained. A democracy group said the pardon shifted his detention into political confinement, while the government denied targeting opponents. <em>Josh Smith</em>, <strong><a href="https://reuters.com/world/asia-pacific/cambodian-king-pardons-former-opposition-leader-2026-05-25">Reuters</a></strong>, <em>May 25</em></p><h2>Philippines</h2><p><strong>DOJ probes dela Rosa escape from Senate.</strong> The Justice Department is investigating Sen. Ronald &#8220;Bato&#8221; dela Rosa&#8217;s disappearance from the Senate, with Sen. Robinhood Padilla among possible persons of interest. Padilla admitted to driving dela Rosa out of the Senate and dropping him on Ayala Avenue, where another vehicle waited. The NBI cited security footage showing a van registered to Padilla leaving the Senate complex after a shooting incident. <em>Franco Jose C. Baro&#241;a</em>, <strong><a href="https://manilatimes.net/2026/05/26/news/national/doj-probes-dela-rosa-escape-from-senate/2351143">The Manila Times</a></strong>, <em>May 25</em></p><p><strong>Defense, energy top priorities in Marcos state visit to Japan.</strong> President Ferdinand Marcos Jr. is expected to seek stronger security and energy resilience cooperation during his May 26-29 state visit to Japan. Talks with Prime Minister Sanae Takaichi will cover maritime and defense cooperation, economic ties, emerging sectors, Asean, Indo-Pacific challenges, and Middle East developments. New agreements on defense, trade and investment, and human resources are expected. <em>Kristina Maralit</em>, <strong><a href="https://manilatimes.net/2026/05/26/news/national/defense-energy-top-priorities-in-marcos-state-visit-to-japan/2351152">The Manila Times</a></strong>, <em>May 25</em></p><h2>Indonesia</h2><p><strong>Indonesia to revise state budget law but deficit ceiling not the focus, lawmaker says.</strong> Indonesia&#8217;s parliament will begin revising state finance laws, but a senior lawmaker said changes to fiscal deficit rules are not the focus. The omnibus bill would align financial laws with sovereign wealth fund Danantara, shifting the stakeholder role for state investments from the finance minister and directing state company dividends to the fund instead of the state budget. <em>Gayatri Suroyo</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesia-revise-state-budget-law-deficit-ceiling-not-focus-lawmaker-says-2026-05-25">Reuters</a></strong>, <em>May 25</em></p><h2>Taiwan</h2><p><strong>Trump call would be positive, no planning talks have taken place, Taiwan says.</strong> Taiwan&#8217;s foreign minister said a call between President Donald Trump and President Lai Ching-te would be positive, but no planning talks have taken place and the initiative rests with Trump. A call would be unprecedented since 1979 and could strain ties with Beijing. Taiwan said Lai is prepared, while Trump has not decided on a new arms package. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/trump-call-would-be-positive-no-planning-talks-have-taken-place-taiwan-says-2026-05-25">Reuters</a></strong>, <em>May 25</em></p><p><strong>Taiwan tracks second Chinese 'combat' patrol in a week, sends ships and jets to monitor.</strong> Taiwan sent ships and fighter jets to monitor China&#8217;s second &#8220;joint combat readiness patrol&#8221; near the island in a week. Taiwan&#8217;s defence ministry detected 21 Chinese aircraft, including J-16 fighters and drones, operating with warships around the island. Taipei also reported recent coast guard tensions near the Pratas Islands and increased Chinese ship activity in the first island chain. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/business/aerospace-defense/taiwan-tracks-second-chinese-combat-patrol-week-sends-ships-jets-monitor-2026-05-25">Reuters</a></strong>, <em>May 25</em></p><p><strong>Taipei &#8216;optimistic&#8217; about arms deal even after U.S. Navy chief says it&#8217;s on ice.</strong> Taiwan Defence Minister Wellington Koo said Taipei remains cautiously optimistic about a proposed US$14 billion U.S. arms package despite comments from acting U.S. Navy chief Hung Cao that the sale was paused over ammunition needs for the Iran war. Taiwanese officials said Washington has not notified Taipei of any policy change, while opposition lawmakers and analysts suggested political factors may be driving uncertainty. <em>Lawrence Chung</em>, <strong><a href="https://scmp.com/news/china/military/article/3354780/taipei-optimistic-about-arms-deal-even-after-us-navy-chief-says-its-ice">South China Morning Post</a></strong>, <em>May 25</em></p><p><strong>Lawmakers set to visit Taiwan-controlled island in S. China Sea this summer.</strong> Taiwanese lawmakers are scheduled to visit Dongsha Island on July 9, which would be their first trip there in eight years. The delegation plans to inspect Coast Guard personnel, Dongsha National Park facilities, a water treatment plant, the post office, the wharf, a temple, and a research station. Dongsha, also known as Pratas Island, is administered by Taiwan and claimed by China. <em>Chen Chun-hua and Joseph Yeh</em>, <strong><a href="https://focustaiwan.tw/politics/202605250024">Focus Taiwan</a></strong>, <em>May 25</em></p><p><strong>Foreign minister calls for non-partisan diplomacy ahead of KMT chair&#8217;s U.S. trip.</strong> Foreign Minister Lin Chia-lung said diplomacy should transcend party lines and serve Taiwan&#8217;s national interests before KMT Chairwoman Cheng Li-wun&#8217;s planned U.S. visit. Lin said Cheng should convey the government&#8217;s position that peace requires strength, Taiwan must stay united against Chinese pressure, and U.S.-Taiwan communication channels remain institutionalized after the Trump-Xi meeting. <em>Yang Yao-ju and Ko Lin</em>, <strong><a href="https://focustaiwan.tw/politics/202605250009">Focus Taiwan</a></strong>, <em>May 25</em></p><h2>India</h2><p><strong>Australia-India-Japan-US Quad seeks relevance as foreign ministers meet in New Delhi.</strong> Foreign ministers from Australia, India, Japan, and the U.S. are meeting in New Delhi to regain momentum for the Quad. The talks are expected to focus on maritime security, critical minerals, China&#8217;s growing power, and disruptions from the Iran conflict and Strait of Hormuz closure. U.S. Secretary of State Marco Rubio said the group should pursue concrete actions and work toward a leaders&#8217; meeting. <em>Michael Martina, Aftab Ahmed, Saurabh Sharma, and Tim Kelly</em>, <strong><a href="https://reuters.com/world/china/australia-india-japan-us-quad-seeks-relevance-foreign-ministers-meet-new-delhi-2026-05-26">Reuters</a></strong>, <em>May 26</em></p><h2>Sri Lanka</h2><p><strong>Sri Lanka in talks to buy fuel from China and Russia, minister says.</strong> Sri Lanka is negotiating purchases of Russian crude and refined fuels from Russia and China to ease shortages caused by global energy disruptions. Officials raised fuel prices by 40%, rationed sales, and declared Wednesdays public holidays to counter the squeeze. Payment methods with Moscow and pricing with Beijing remain unresolved, while Colombo hopes to use a temporary U.S. sanctions waiver before June 17. <em>Uditha Jayasinghe</em>, <strong><a href="https://reuters.com/business/energy/sri-lanka-talks-buy-fuel-china-russia-minister-says-2026-05-25">Reuters</a></strong>, <em>May 25</em></p><h2>Bangladesh</h2><p><strong>ADB to provide $5 billion to Bangladesh as economic pressures mount.</strong> The Asian Development Bank will provide Bangladesh with $5 billion over five years to improve connectivity, boost investment, and support balanced regional development as global conflicts and domestic financial strains pressure the economy. The package includes about $1 billion annually, $1.4 billion in 2026 loan agreements, and additional support for commodity-related financing gaps. <em>Ruma Paul</em>, <strong><a href="https://reuters.com/world/asia-pacific/adb-provide-5-billion-bangladesh-economic-pressures-mount-2026-05-25">Reuters</a></strong>, <em>May 25</em></p><h2>Kazakhstan</h2><p><strong>Russian President Putin to pay state visit to Kazakhstan this week.</strong> Russian President Vladimir Putin will visit Kazakhstan from May 27 to 29 at President Kassym-Jomart Tokayev&#8217;s invitation. The leaders are expected to discuss Kazakhstan-Russia relations, the comprehensive strategic partnership, and allied cooperation. The visit will coincide with the Eurasian Economic Forum and Supreme Eurasian Economic Council meetings in Astana focused on integration, trade, transport connectivity, and industrial cooperation. <em>Ayana Birbayeva</em>, <strong><a href="https://astanatimes.com/2026/05/russian-president-putin-to-pay-state-visit-to-kazakhstan-this-week/">The Astana Times</a></strong>, <em>May 25</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-may-26-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/p/asia-daily-may-26-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>Hormuz Is a Warning for the Indo-Pacific.</strong> The Hormuz crisis shows how states can weaponize chokepoints with mines, drones, missiles, tolls, and blockade threats, disrupting energy flows and testing maritime law. Asia faces higher stakes because Malacca, Taiwan, Luzon, Sunda, and Lombok carry trade, energy, semiconductor, and military traffic. Washington and partners need stronger maritime awareness, secondary ports, semiconductor diversification, sanctions planning, and legal credibility to defend transit rights. <em>Lynn Kuok</em>, <strong><a href="https://www.foreignaffairs.com/china/hormuz-warning-indo-pacific">Foreign Affairs</a></strong>, <em>May 22</em></p><p><strong>Why frontier firms in developing East Asia are falling behind.</strong> East Asia&#8217;s productivity slowdown stems from frontier firms lagging global leaders in digital manufacturing, services, and advanced technology adoption. Limited competition, non-tariff barriers, service restrictions, state ownership, weak management, skill shortages, and uneven fiber broadband access hold firms back. Coordinated reform across services liberalization, human capital, infrastructure, and openness can raise productivity, attract investment, and help the region benefit from artificial intelligence. <em>Francesca de Nicola, Aaditya Mattoo, Jonathan Timmis</em>, <strong><a href="https://eastasiaforum.org/2026/05/23/why-frontier-firms-in-developing-east-asia-are-falling-behind">East Asia Forum</a></strong>, <em>May 23</em></p><p><strong>how is the SOE scorecard shifting?</strong> China is revising central SOE assessment to align each firm&#8217;s mission with its scorecard. Draft rules would clarify functional roles, expand value-added accounting, and evaluate strategic contribution alongside financial returns. The shift addresses conflicts faced by firms that carry out public-service, security, infrastructure, and technology self-reliance tasks while meeting standard commercial asset-growth standards. The challenge is pricing strategic value without giving weak performers cover for poor results under new oversight frameworks. <strong><a href="https://chinapolicy.substack.com/p/how-is-the-soe-scorecard-shifting">CHINA POLICY</a></strong>, <em>May 25</em></p><p><strong>Purged Chinese Generals Get Harsher Sentences.</strong> Xi Jinping is setting harsher punishment norms for purged military leaders after former defense ministers Wei Fenghe and Li Shangfu received suspended death sentences without parole or commutation. The verdicts elevate political disloyalty above corruption and may shape cases against other senior officers. The campaign strengthens Xi&#8217;s personal authority over the military while testing elite protections, legal limits, and deterrence inside China&#8217;s top ranks. <em>Christopher Nye</em>, <strong><a href="https://foreignpolicy.com/2026/05/22/china-xi-jinping-purge-generals-punishment-death-sentence">Foreign Policy</a></strong>, <em>May 22</em></p><p><strong>Hooked on tobacco: Why China can&#8217;t quit despite decades of control.</strong> China&#8217;s tobacco control remains constrained by a state monopoly that makes China Tobacco both regulator and operator while also supplying fiscal revenue. Smoking disputes in Shenzhen and Shanghai reveal weak enforcement even in cities with strict rules. Around 300 million smokers, 740 million secondhand smoke exposures, provincial dependence on tobacco taxes, limited tax reform, the absence of national legislation, and cigarette-based social customs keep public health goals at odds with state and local interests. <em>Liu Liu</em>, <strong><a href="https://www.thinkchina.sg/economy/hooked-tobacco-why-china-cant-quit-despite-decades-control">ThinkChina</a></strong>, <em>May 25</em></p><p><strong>Xi&#8217;s Flurry of Post-Trump Diplomacy.</strong> Xi Jinping&#8217;s meetings with Trump and Putin may be followed by a rare trip to North Korea, signaling China&#8217;s effort to reassert influence over Pyongyang as Russia gains leverage. North Korea&#8217;s military ties with Moscow, sanctions resilience, and stronger confidence complicate Beijing&#8217;s position. A visit would support bilateral control, manage Russia&#8217;s role, and present China as a central power in global diplomacy. <em>Rishi Iyengar</em>, <strong><a href="https://foreignpolicy.com/2026/05/22/xi-north-korea-putin-trump-beijing-visit">Foreign Policy</a></strong>, <em>May 22</em></p><p><strong>Trump&#8217;s China trip opens doors for US business.</strong> Trump&#8217;s Beijing visit brought leading US executives from finance, semiconductors, artificial intelligence, consumer technology, biotechnology, payments, and aerospace to seek market access, regulatory relief, and stronger commercial ties. Citigroup gained approval for its own securities firm, Nvidia pursued renewed chip sales, Illumina sought easing after export restrictions, Qualcomm stressed supply chain cooperation, while Boeing secured an initial Chinese commitment to buy 200 aircraft after a long nine-year order drought. <em>Du Zhihang, Yue Yue, Zou Xiaotong and Ding Yi</em>, <strong><a href="https://www.thinkchina.sg/economy/trumps-china-trip-opens-doors-us-business">ThinkChina</a></strong>, <em>May 25</em></p><p><strong>China&#8217;s diplomatic successes are broad but shallow.</strong> China is expanding its influence through a wide network of partnerships that demand little beyond silence on internal affairs, support for core interests, and openness to trade and investment. This thin diplomacy lets Beijing engage rivals across divides, from Russia and Ukraine to Iran and Saudi Arabia. Partners gain access, status, and commerce, but receive limited security backing and few alliance commitments. <strong><a href="https://www.economist.com/china/2026/05/25/chinas-diplomatic-successes-are-broad-but-shallow">The Economist</a></strong>, <em>May 25</em></p><p><strong>China&#8211;India rapprochement is tactical, not strategic.</strong> China&#8211;India relations have improved since the October 2024 border agreement, with resumed leadership exchanges, restored connectivity and incremental steps on trade and border management. But these developments reflect pragmatic stabilization rather than a strategic reset, since key sources of tension, such as border disputes and China&#8217;s relations with Pakistan, remain unresolved. <em>Chietigj Bajpaee</em>, <strong><a href="https://eastasiaforum.org/2026/05/25/china-india-rapprochement-is-tactical-not-strategic">East Asia Forum</a></strong>, <em>May 25</em></p><p><strong>No Limits, No Good Options.</strong> Putin&#8217;s Beijing visit exposed Russia&#8217;s dependence on China despite shared opposition to US primacy. China buys discounted Russian oil, supplies machinery, vehicles, electronics, and dual-use goods, and keeps Moscow&#8217;s defense industry afloat, but it has not accepted Russia&#8217;s preferred Power of Siberia 2 terms. Beijing holds greater leverage through energy alternatives and market access, leaving Russia tied to an unequal partnership shaped by Putin&#8217;s anti-Western strategy and shrinking diplomatic options. <em>Dimitar Bechev</em>, <strong><a href="https://foreignpolicy.com/2026/05/22/russia-china-meeting-xi-putin-gas-oil-asymmetry">Foreign Policy</a></strong>, <em>May 22</em></p><p><strong>Closer Than Ever: China as the Main Partner in Spain&#8217;s New Asia-Pacific Strategy.</strong> Spain&#8217;s 2026-2029 Asia-Pacific Strategy places China at the center of Madrid&#8217;s regional agenda, building on frequent visits, a Joint Action Plan, and expanding commercial ties. The approach emphasizes investment, industrial cooperation, pharmaceuticals, e-commerce, and strategic dialogue while giving little attention to human rights, Taiwan, Xinjiang, Hong Kong, or maritime disputes. EU leniency and US friction under Trump support Madrid&#8217;s China-focused diplomacy and a softer framing of Spain&#8217;s foreign policy toward Asia. <em>Paul&#237;na Ove&#269;kov&#225;</em>, <strong><a href="https://chinaobservers.eu/closer-than-ever-china-as-the-main-partner-in-spains-new-asia-pacific-strategy">China Observers</a></strong>, <em>May 25</em></p><p><strong>Japan should not abandon its peace brand.</strong> Japan faces pressure to revise its constitution and expand military power as China, North Korea, and Russia sharpen regional threats. Its postwar restraint, embodied by Sadako Ogata&#8217;s humanitarian legacy, has built rare global trust and diplomatic credibility. Security adaptation may be needed, but abandoning Article 9&#8217;s peace identity would weaken a national brand rooted in restraint, development aid, stability, and moral influence. <em>Nancy Snow</em>, <strong><a href="https://asia.nikkei.com/opinion/japan-should-not-abandon-its-peace-brand">Nikkei Asia</a></strong>, <em>May 25</em></p><p><strong>Analyzing North Korean Patents and Academic Journals for Evidence of Chemical Weapons Potential.</strong> Project Anthracite uses open-source tools, patents, satellite imagery, and translated North Korean scientific journals to assess chemical weapons potential based on industrial plausibility. The evidence does not prove production or intent, but it shows domestic work on dual-use intermediates, organophosphorus chemistry, pharmaceuticals, pesticides, and corrosion-resistant handling. North Korea&#8217;s raw materials, technical workforce, and lack of Chemical Weapons Convention oversight justify sustained monitoring and deeper analysis of risk indicators in its chemical industry. <em>Gareth Williams</em>, <strong><a href="https://www.38north.org/2026/05/project-anthracite-analyzing-north-korean-patents-and-academic-journals-for-evidence-of-chemical-weapons-potential">38 North</a></strong>, <em>May 22</em></p><h2>Southeast Asia</h2><p><strong>Using Large Language Models to Disrupt Scammers in Southeast Asia.</strong> LLM-driven scambaiting could help Southeast Asian governments disrupt scam syndicates that rely on high-volume calls, scripted workflows, and social engineering from compounds in Cambodia and Myanmar. Systems modeled on Western Amber can occupy scammers with AI-generated victims while complementing ScamShield, public education, financial safeguards, and law enforcement cooperation. Success requires local languages, dialects, volunteer voice data, consent protections, demographic realism, and planning for adaptation and diplomatic risks across the region. <em>Brandon Tan Jun Wen</em>, <strong><a href="https://fulcrum.sg/using-large-language-models-to-disrupt-scammers-in-southeast-asia">FULCRUM</a></strong>, <em>May 22</em></p><p><strong>Who Will Build ASEAN&#8217;s Digital Future? The Education and Talent Gap Behind the Region&#8217;s Digital Economy.</strong> ASEAN&#8217;s digital economy is expanding through e-commerce, AI, data centers, and regional frameworks, but its talent base cannot support projected growth. Weak digital literacy, uneven AI training, thin STEM pipelines, limited teacher capacity, and poor recognition of qualifications constrain implementation. Stronger schools, TVET pathways, industry-linked learning, cross-border mobility, and skills standards are needed to turn digital ambition into workforce capability and durable regional growth across the broader ASEAN economy by 2030. <em>Pravin Periasamy</em>, <strong><a href="https://sinosoutheastinitiative.com/2026/05/22/who-will-build-aseans-digital-future-the-education-and-talent-gap-behind-the-regions-digital-economy">Sino-Southeast Initiative</a></strong>, <em>May 22</em></p><p><strong>Indonesia&#8217;s non-alignment in an age of rivalry.</strong> Indonesia&#8217;s US defense partnership provides military modernization, spare parts, joint exercises, and capacity building amid Chinese pressure in the North Natuna Sea. Public concern centers on leaked claims of blanket US overflight access, sovereignty risks, and entrapment in the US-China rivalry. The bebas aktif doctrine requires transparency, parliamentary review, legal limits, and equal partnerships that protect autonomy while supporting national defense. <em>Alfin Basundoro</em>, <strong><a href="https://eastasiaforum.org/2026/05/22/indonesias-non-alignment-in-an-age-of-rivalry">East Asia Forum</a></strong>, <em>May 22</em></p><p><strong>The limits of Indonesian hospitality.</strong> Chinese investor confidence in Indonesia is weakening as abrupt rule changes, royalty hikes, tax inspections, foreign exchange retention rules, quota cuts, and alleged extortion strain long-term nickel and infrastructure partnerships. The China Chamber of Commerce warned that policy uncertainty threatens jobs and investment. Indonesia&#8217;s friendly social image contrasts with weak regulatory predictability, fiscal pressure, and community conflicts around Chinese-funded projects. <em>Irvan Maulana</em>, <strong><a href="https://asia.nikkei.com/opinion/the-limits-of-indonesian-hospitality">Nikkei Asia</a></strong>, <em>May 24</em></p><p><strong>Malaysia&#8217;s palm oil paradox.</strong> Malaysia has increased palm oil output through intensification, technology, mechanization, replanting, and by working within land constraints rather than through large domestic forest expansion. The model reduces pressure at home but shifts harms to Indonesia, where Malaysian-linked investment supports plantation growth, rainforest clearing, peatland operations, land burning, and agrarian conflict. Stronger overseas due diligence, traceability, and accountability rules, along with cooperation with Indonesia, are needed to prevent sustainability from becoming displacement. <em>Wahyu Wulandari, Eko Bagus Sholihin</em>, <strong><a href="https://eastasiaforum.org/2026/05/23/malaysias-palm-oil-paradox">East Asia Forum</a></strong>, <em>May 23</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: May 22, 2026]]></title><description><![CDATA[Pentagon official's Beijing visit in doubt over $14 billion US arms package for Taiwan, FT reports. Beijing is withholding approval for Elbridge Colby&#8217;s proposed summer visit as it pressures Trump over a US$14 billion Taiwan weapons package.]]></description><link>https://www.theasiacable.com/p/asia-daily-may-22-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-may-22-2026</guid><dc:creator><![CDATA[Nick Ayrton (尼克)]]></dc:creator><pubDate>Fri, 22 May 2026 11:30:47 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/55b4eb08-cf1b-4cbf-b873-a4e833fcd87f_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!Gxkt!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1003367,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>Pentagon official's Beijing visit in doubt over $14 billion US arms package for Taiwan, FT reports.</strong> Beijing is withholding approval for Elbridge Colby&#8217;s proposed summer visit as it pressures Trump over a US$14 billion Taiwan weapons package. Trump has not decided whether to proceed after talks with Xi Jinping. He also said he would speak with Lai Ching-te, although no call had been scheduled. Reuters could not verify the report, and officials did not comment. <em>Rishabh Jaiswal</em>, <strong><a href="https://www.reuters.com/world/china/pentagon-officials-beijing-visit-doubt-over-14-billion-us-arms-package-taiwan-ft-2026-05-20/">Reuters</a></strong>, <em>May 21</em></p><h2>Japan</h2><p><strong>OpenAI to provide Japan gov't with advanced cybersecurity AI model.</strong> OpenAI said it will supply Japan&#8217;s government and select companies with GPT-5.5-Cyber, an AI model built for cybersecurity work. The limited-preview model aims to protect critical infrastructure and support specialized defensive workflows. Board member Paul Nakasone said Japanese officials showed strong interest in AI-driven cyberattacks, as concerns grow after Anthropic released Claude Mythos, which experts say could help find software flaws for attacks. <strong><a href="https://english.kyodonews.net/articles/-/76467">Kyodo News</a></strong>, <em>May 21</em></p><p><strong>Japan mulls tapping 500 bil. yen for summer electricity, gas subsidies.</strong> Japan is considering using about 500 billion yen in reserve funds to subsidize household electricity and gas bills during summer demand. The plan would exceed last year&#8217;s household support as the Strait of Hormuz closure and Middle East crisis raise utility cost concerns. Prime Minister Sanae Takaichi ordered coalition parties to design measures keeping bills below last summer&#8217;s levels, when subsidies cut average costs by around 1,000 yen. <strong><a href="https://english.kyodonews.net/articles/-/76457">Kyodo News</a></strong>, <em>May 21</em></p><h2>South Korea</h2><p><strong>Producer price shock adds pressure on BOK for rate hike.</strong> Korea&#8217;s producer prices rose 2.5 percent in April from March, the fastest monthly increase since February 1998, and gained 6.9 percent from a year earlier. Fuel and raw material costs tied to the Middle East conflict drove the surge. Analysts expect the BOK to hold rates at 2.5 percent on May 28 while signaling a possible third-quarter hike as inflation pressure builds. <em>Lee Hyo-jin</em>, <strong><a href="https://www.koreatimes.co.kr/economy/20260522/producer-price-shock-adds-pressure-on-bok-for-rate-hike">The Korea Times</a></strong>, <em>May 21</em></p><h2>Taiwan</h2><p><strong>Presidential Office remains optimistic on arms package.</strong> Taiwan&#8217;s Presidential Office said it remains optimistic about a US$14 billion weapons package as Beijing delays a proposed visit by US defense official Elbridge Colby. Pan Men-an said Taiwan has not received notice of a Trump-Lai call, while stressing that Taiwan-US communication remains smooth. Washington said its Taiwan policy remains unchanged and arms sale discussions would continue with Taipei, not Beijing. <em>Author</em>, <strong><a href="https://www.taipeitimes.com/News/taiwan/archives/2026/05/22/2003857769">Taipei Times</a></strong>, <em>May 22</em></p><h2>Thailand</h2><p><strong>Southeast Asia's second largest economy launches $5B package to ease living costs.</strong> Thailand approved the Thai Help Thai Plus program worth THB176 billion, or US$5.39 billion, to reduce living costs during an energy crisis. Officials said the plan will protect purchasing power as April inflation reached 2.9 percent and could rise to 5 percent. More than 43 million people will receive support, including added payments for state welfare card holders and digital upgrades for small shops through the Pao Tang application system. <strong><a href="https://e.vnexpress.net/news/news/southeast-asia-s-second-largest-economy-launches-5b-package-to-ease-living-costs-5076523.html">VnExpress International</a></strong>, <em>May 21</em></p><h2>Laos</h2><p><strong>Vietnam Breaks Ground on Expressway to Connect Vientiane.</strong> Vietnam began work on a 60-kilometer expressway section in Nghe An Province linking Vinh with the Laos border. The USD 910 million road is due in 2029 and forms part of the Vientiane-Hanoi corridor agreed in 2016. Laos has made over 30 percent progress on its Paksan-border segment. The full 700-kilometer route aims to expand trade, tourism, logistics, and seaport access across the Mekong region through cross-border transport development plans. <em>Thongsavanh Souvannasane</em>, <strong><a href="https://laotiantimes.com/2026/05/21/vietnam-breaks-ground-on-expressway-to-connect-vientiane">Laotian Times</a></strong>, <em>May 21</em></p><h2>Indonesia</h2><p><strong>Eight Gold Prospectors Killed in Papua Amid Separatist Violence.</strong> Indonesia&#8217;s military said OPM killed eight civilians working as gold prospectors in Yahukimo Regency&#8217;s Korowai area. The military rejected OPM claims that the victims were security informants and sent troops with helicopter support to pursue the attackers and evacuate bodies. Kopitua Heluka claimed responsibility in a video, calling the shooting retaliation for two OPM members killed by Indonesian security forces last week. Patrols and monitoring would increase to protect communities. <strong><a href="https://jakartaglobe.id/news/eight-gold-prospectors-killed-in-papua-amid-separatist-violence">Jakarta Globe</a></strong>, <em>May 21</em></p><h2>India</h2><p><strong>India, Africa Union postpone New Delhi summit amid Ebola outbreak.</strong> India and the African Union postponed the fourth India-Africa Forum Summit, scheduled for May 28 to May 31 in New Delhi, because of an emerging public health situation in parts of Africa. The meeting was meant to deepen cooperation on trade, investment, innovation, development, digital technology, sustainability, and global governance. Congo is facing a rare Ebola strain outbreak, with 600 suspected cases and 139 suspected deaths recorded there so far. <em>Tanvi Mehta</em>, <strong><a href="https://www.reuters.com/world/india/india-africa-union-postpone-new-delhi-summit-amid-ebola-outbreak-2026-05-21/">Reuters</a></strong>, <em>May 21</em></p><h2><strong>Kyrgyzstan</strong></h2><p><strong>EU Targets Kyrgyz Financial Sector Over Russia Sanctions Evasion.</strong> The EU is considering measures against Kyrgyz banks, oil companies, and cryptocurrency services as part of its 20th Russia sanctions package. Brussels says sharp growth in imports of machine tools and radio equipment points to transit of dual-use goods to Russia. Two Kyrgyz banks were added to EU sanctions lists in October 2025. Bishkek and EU representatives outlined technical cooperation and information exchange to address restrictions on targeted financial institutions. <em>Vagit Ismailov</em>, <strong><a href="https://timesca.com/eu-targets-kyrgyz-financial-sector-over-russia-sanctions-evasion/">The Times Of Central Asia</a></strong>, <em>February 27</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-may-22-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/p/asia-daily-may-22-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>What&#8217;s the purpose of the Quad?</strong> The Quad faces drift as Trump moves from confrontation with China toward selective accommodation, weakening the grouping&#8217;s role in U.S. Indo-Pacific strategy. No leaders summit has occurred since 2024, and Washington&#8217;s new strategy gives the Quad little attention. Cooperation on vaccines, technology, supply chains, and maritime awareness continues, but without shared purpose, the coalition risks becoming symbolic rather than a strategic bulwark against China. <em>Brahma Chellaney</em>, <strong><a href="https://asia.nikkei.com/opinion/what-s-the-purpose-of-the-quad">Nikkei Asia</a></strong>, <em>May 21</em></p><p><strong>Parsing the Results of the Xi-Trump Summit.</strong> The Beijing summit between Xi Jinping and Donald Trump stabilized U.S.-China relations through formal optics, senior delegations, and new trade and investment mechanisms. Concrete agreements remained limited, with discussion spanning students, agriculture, aviation, Iran, North Korea, artificial intelligence, fentanyl, military ties, and Taiwan. Trump&#8217;s Taiwan comments departed from U.S. practice, while planned meetings in Washington, Shenzhen, and Miami may sustain fragile strategic stability. <em>David Shambaugh</em>, <strong><a href="https://www.chinausfocus.com/foreign-policy/parsing-the-results-of-the-xi-trump-summit">CHINA US Focus</a></strong>, <em>May 21</em></p><p><strong>Can US-China economic ties regain stability despite rivalry?</strong> The U.S.-China summit advanced managed economic coexistence rather than reconciliation. New trade and investment councils could reduce uncertainty over tariffs, customs, entity listings, and reviews. Agriculture, aviation, critical minerals, and market access offer early anchors, while technology controls, investment distrust, and AI governance remain contested. Both sides seek stability because trade remains large, rivalry persists, and institutions can prevent commercial disputes from becoming shocks. <em>Bo Chen</em>, <strong><a href="https://www.thinkchina.sg/politics/can-us-china-economic-ties-regain-stability-despite-rivalry">ThinkChina</a></strong>, <em>May 21</em></p><p><strong>Why Japan and China will struggle to end their feud.</strong> Japan&#8217;s feud with China centers on Taiwan, Takaichi Sanae&#8217;s security stance, tighter maritime activity, and Japan&#8217;s defense buildup. Diplomatic backchannels have weakened as pro-China intermediaries retire, Komeito leaves government, and Japanese public opinion hardens. China&#8217;s rare earth curbs, hostile media, and military pressure add strain. Warmer U.S.-China ties reduce Beijing&#8217;s incentive to repair relations with Tokyo, leaving reconciliation difficult. <strong><a href="https://www.economist.com/asia/2026/05/21/why-japan-and-china-will-struggle-to-end-their-feud">The Economist</a></strong>, <em>May 21</em></p><p><strong>Reserves alone will not guarantee Japan&#8217;s energy security.</strong> Japan&#8217;s oil reserves provide more than 200 days of supply, but dependence on crude shipments through the Strait of Hormuz leaves the country exposed to Persian Gulf disruption. Stockpiles can calm markets and buy time, yet they cannot fix route risk or alliance pressure. Energy security requires supply diversification, maritime cooperation, renewable power, grid storage, transport electrification, demand reduction, and regional fuel partnerships rather than further reserve expansion alone. <em>Yasuo Takao</em>, <strong><a href="https://eastasiaforum.org/2026/05/21/reserves-alone-will-not-guarantee-japans-energy-security/">East Asia Forum</a></strong>, <em>May 21</em></p><p><strong>Paving the Way for Hostile Coexistence? What North Korea&#8217;s Constitutional Revisions Mean for Inter-Korean Ties.</strong> North Korea&#8217;s revised constitution removes unification language, adds a territorial clause, and frames South Korea as a separate state, while avoiding terms such as primary foe or hostile state. Its defense provisions, border fortification plans, weapons tests, and Kim Jong Un&#8217;s rhetoric point toward hostile coexistence rather than peace. The revisions reduce prospects for reconciliation, raise risks near the southern border, and require analysis grounded in behavior over hopeful readings today. <em>Rachel Minyoung Lee</em>, <strong><a href="https://www.38north.org/2026/05/paving-the-way-for-hostile-coexistence-what-north-koreas-constitutional-revisions-mean-for-inter-korean-ties/">38 North</a></strong>, <em>May 21</em></p><h2>Southeast Asia</h2><p><strong>China may power Southeast Asia&#8217;s nuclear future.</strong> Southeast Asian states are weighing nuclear power as electricity demand, climate targets, and energy security concerns rise. China offers proven Hualong One reactors, state financing, supply chain depth, training, and fuel support, making it a strong contender beside France, Russia, South Korea, and the United States. Vendor choice creates decades of technical, fuel, and governance dependence, so governments must preserve flexibility while building domestic nuclear capacity. <em>Zha Daojiong</em>, <strong><a href="https://www.thinkchina.sg/politics/china-may-power-southeast-asias-nuclear-future">ThinkChina</a></strong>, <em>May 21</em></p><p><strong>Johor&#8217;s Unelected State Representatives: Rhymes and Reasons.</strong> Johor&#8217;s BN government amended the state constitution to add five appointed assembly members, citing technical expertise and wider representation. Critics say the measure passed with limited debate, lacks safeguards for opposition or social groups, and may strengthen BN before a three-way election with PH and PN. The new seats require assembly approval and royal assent, which could expand palace influence and produce effects beyond election strategy. <em>Francis E. Hutchinson</em>, <strong><a href="https://fulcrum.sg/johors-unelected-state-representatives-rhymes-and-reasons/">FULCRUM</a></strong>, <em>May 21</em></p><h2>South Asia</h2><p><strong>Marco Rubio Goes to India in Repair Mode.</strong> When Marco Rubio visits India on May 23&#8211;26, he will find an Indian foreign policy establishment and commentariat more wary of the United States than at any other time this century.  Some of the reasons owing to India&#8217;s weariness include Donald Trump taking credit for the India-Pakistan ceasefire, hosting Pakistani general Asim Munir in the White House, imposing 50% tariffs on India, the perception within New Delhi that Trump is no longer interested in countering China or groupings such as the QUAD, and the impact the Iran war has had on India&#8217;s economy. <em>Sadanand Dhume</em>, <strong><a href="https://www.cfr.org/articles/marco-rubio-goes-to-india-in-repair-mode">Council on Foreign Relations</a></strong>, <em>May 21</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: May 21, 2026]]></title><description><![CDATA[Beijing slams Taiwan&#8217;s Lai as &#8216;destroyer&#8217; of peace after anniversary speech.]]></description><link>https://www.theasiacable.com/p/asia-daily-may-21-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-may-21-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Thu, 21 May 2026 11:03:25 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/8b2ceb12-b610-4ce2-9b7f-d1d88f9ac597_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!Gxkt!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1003367,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>Beijing slams Taiwan&#8217;s Lai as &#8216;destroyer&#8217; of peace after anniversary speech.</strong> Beijing accused Taiwan President Lai Ching-te of promoting independence and undermining cross-strait peace after his second-anniversary speech. Lai said Taiwan is a sovereign and independent country, rejected annexation, and defended higher defence spending. Beijing&#8217;s Taiwan Affairs Office and defence ministry condemned his remarks, while Taiwan&#8217;s opposition parties accused Lai of heightening confrontation and ignoring geopolitical risks. <em>Lawrence Chung</em>, <strong><a href="https://scmp.com/news/china/politics/article/3354261/beijing-slams-lai-destroyer-peace-after-leaders-anniversary-speech">South China Morning Post</a></strong>, <em>May 20</em></p><p><strong>Substance for Putin, &#8216;face&#8217; for Trump: China, Russia deepen alliance to counter U.S.</strong> China and Russia used Vladimir Putin&#8217;s Beijing visit to deepen strategic coordination and sign more than 20 agreements covering energy, trade, technology, and infrastructure. The sides advanced talks on the Power of Siberia 2 gas pipeline and issued statements criticizing U.S. security policy. Analysts contrasted Putin&#8217;s substantive outcomes with Donald Trump&#8217;s more symbolic visit to China. <em>Josephine Ma and Fan Chen</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3354282/substance-putin-face-trump-china-russia-deepen-alliance-counter-us">South China Morning Post</a></strong>, <em>May 20</em></p><p><strong>Morgan Stanley asks bankers to carry a separate phone for China trips, source says.</strong> Morgan Stanley has instructed Hong Kong-based bankers to use separate bank-issued iPhones and iPads when working in mainland China, as global firms tighten data security for cross-border staff. The policy applies only to China travel and comes as international banks operating in Greater China maintain ring-fenced onshore data systems after Beijing increased scrutiny of cross-border data flows. <em>Selena Li</em>, <strong><a href="https://reuters.com/business/finance/morgan-stanley-asks-bankers-carry-separate-phone-china-trips-source-says-2026-05-20">Reuters</a></strong>, <em>May 20</em></p><h2>Japan</h2><p><strong>Japan April exports rise 14.8% year/year despite Middle East conflict.</strong> Japan&#8217;s exports rose 14.8% year on year in April, beating forecasts and marking an eighth consecutive monthly increase despite Middle East-related supply disruptions. Exports to the U.S. and China increased, imports rose 9.7%, and crude oil imports plunged 64%, the steepest drop since 1980. Japan posted a 301.9 billion yen trade surplus, though prolonged disruptions could pressure production costs. <em>Takaya Yamaguchi, Makiko Yamazaki, and Kaori Kaneko</em>, <strong><a href="https://reuters.com/world/asia-pacific/japan-april-exports-rise-148-yearyear-despite-middle-east-conflict-2026-05-21">Reuters</a></strong>, <em>May 21</em></p><p><strong>Japan urges China to punish suspect, ensure nationals&#8217; safety after attack.</strong> Japan urged China to ensure the safety of Japanese nationals and severely punish the suspect in a Shanghai knife attack that injured two Japanese citizens and one Chinese citizen. Chief Cabinet Secretary Minoru Kihara said Tokyo asked Beijing to clarify the facts and provide an explanation. China called the incident an individual public security case and urged against speculation. <strong><a href="https://english.kyodonews.net/articles/-/76363">Kyodo News</a></strong>, <em>May 20</em></p><h2>South Korea</h2><p><strong>Trump nominee vows to press Seoul on its $350 billion pledge.</strong> Michelle Steel, President Donald Trump&#8217;s nominee for U.S. ambassador to South Korea, said she would press Seoul for details on its $350 billion investment pledge under a trade and investment deal. Steel also said U.S. firms should receive fair market access in South Korea. Senators sought clarity on funding, spending, and remaining barriers for American companies. <em>David Brunnstrom and Andrea Shalal</em>, <strong><a href="https://reuters.com/world/asia-pacific/trump-nominee-vows-press-seoul-its-350-billion-pledge-2026-05-20">Reuters</a></strong>, <em>May 20</em></p><p><strong>South Korea&#8217;s Lee criticises Israel detentions, says actions &#8216;way out of line&#8217;.</strong> President Lee Jae Myung said Israel arrested South Korean nationals in international waters for reasons not valid under international law. Speaking at a cabinet meeting, Lee questioned whether such actions could pass without protest and said Seoul must make its own judgment on the matter, including amid International Criminal Court warrants involving Israeli Prime Minister Benjamin Netanyahu. <em>Kyu-seok Shim</em>, <strong><a href="https://reuters.com/world/asia-pacific/south-koreas-lee-criticises-israel-detentions-says-actions-way-out-line-2026-05-20">Reuters</a></strong>, <em>May 20</em></p><p><strong>Presidential office says expects constructive role over Xi&#8217;s reported plan to visit N. Korea.</strong> Cheong Wa Dae said it is monitoring reports that Chinese President Xi Jinping may visit North Korea later this month or in early June. Seoul said North Korea-China exchanges should contribute to peace and stability on the Korean Peninsula, and it expects Beijing to play a constructive role after Xi and President Donald Trump reaffirmed denuclearization goals. <em>Park Boram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260521001800315">Yonhap News Agency</a></strong>, <em>May 21</em></p><h2>North Korea</h2><p><strong>Seoul official says no special U.S.-N. Korea contact appears to be under way.</strong> A senior South Korean official said no special U.S.-North Korea contact appears to be underway, despite President Donald Trump&#8217;s claim that he had communicated with Kim Jong-un. Seoul said coordination with Washington remains close and confirmed that the U.S. and China share a goal of Korean Peninsula denuclearization. U.S.-South Korea working groups will also address security fact sheet implementation. <em>Song Sang-ho</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260521001500315">Yonhap News Agency</a></strong>, <em>May 20</em></p><h2>Vietnam</h2><p><strong>Vietnamese tourists vexed by China flight cancelations during peak summer season.</strong> Vietnamese travelers and tour operators are facing widespread disruptions from canceled and reduced China flights during the summer travel peak. Airlines have cut routes to Qingdao, Chengdu, Shanghai, Lijiang, and other destinations, forcing rerouting, refunds, and itinerary changes. Tour companies cited fuel costs, unstable schedules, and the vulnerability of charter packages reliant on Chinese subsidies. <em>Tu Nguyen</em>, <strong><a href="https://e.vnexpress.net/news/travel/vietnamese-tourists-vexed-by-china-flight-cancelations-during-peak-summer-season-5076034.html">VnExpress</a></strong>, <em>May 20</em></p><h2>Thailand</h2><p><strong>Govt to purge state secrets.</strong> Prime Minister Anutin Charnvirakul ordered state agencies to disclose public information and eliminate unnecessary secrecy as part of an anti-corruption campaign with the private sector. Agencies were told to review operations for transparency, legal compliance, and auditability, and to use technology to reduce corruption risks. Anutin said legal barriers to disclosure should be amended where necessary. <em>Mongkol Bangprapa</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3258249/govt-to-purge-state-secrets">Bangkok Post</a></strong>, <em>May 20</em></p><p><strong>BJT files charter-change bill.</strong> The Bhumjaithai Party submitted its proposed constitutional amendment bill to parliament, with Prime Minister Anutin Charnvirakul saying the party was responding to public demands expressed through the referendum process. House Speaker Sophon Zarum said the draft will be placed on the parliamentary agenda and proceed to the next stage, while other parties may also submit proposals. <em>Aekarach Sattaburuth</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3258304/bjt-files-charterchange-bill">Bangkok Post</a></strong>, <em>May 20</em></p><p><strong>Charter change efforts falter.</strong> Thailand&#8217;s constitutional reform process remains stalled nearly three months after voters backed drafting a new charter. Disputes over Senate powers, procedural delays, and the government&#8217;s decision not to revive a previous amendment bill have pushed the process back toward a restart. Bhumjaithai favors a compromise drafting model, while scholars warned that delays could undermine the referendum mandate. <em>Aekarach Sattaburuth</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3258559/charter-change-efforts-falter">Bangkok Post</a></strong>, <em>May 20</em></p><h2>Myanmar</h2><p><strong>New military chief boasts of battlefield victories.</strong> Myanmar commander-in-chief General Ye Win Oo boasted of recent military gains in Chin, Karen, and Kachin-linked transport routes, portraying them as signs that the army is regaining control. Since taking command in late March, the military has intensified airstrikes and ground offensives in resistance areas. Ye Win Oo also blamed defectors for weakening the army and vowed to annihilate resistance forces. <em>Maung Kavi</em>, <strong><a href="https://irrawaddy.com/news/burma/new-military-chief-boasts-of-battlefield-victories.html">The Irrawaddy</a></strong>, <em>May 20</em></p><p><strong>Myanmar military recaptures key Thai border trade hub as 4,000 flee.</strong> Regime forces recaptured Mawdaung, a Thai border trade hub in Tanintharyi Region, after a 15-day counteroffensive backed by artillery and airstrikes. KNU officials confirmed the loss of the town, which resistance forces seized in November. Fighting displaced at least 4,000 residents from Mawdaung and nine nearby villages, while the military has retaken several towns under General Ye Win Oo. <em>Myo Pyae</em>, <strong><a href="https://irrawaddy.com/news/burma/myanmar-military-recaptures-key-thai-border-trade-hub-as-4000-flee.html">The Irrawaddy</a></strong>, <em>May 20</em></p><h2>Philippines</h2><p><strong>VP Sara has until June 1 to submit impeachment reply.</strong> The Senate Impeachment Court gave Vice President Sara Duterte until June 1 to answer the summons tied to impeachment complaints against her. Senate President Alan Peter Cayetano said the summons had been served and that Duterte had 10 calendar days to respond. The prosecution panel may submit a reply within five calendar days after receiving her answer. <em>Javier Joe Ismael</em>, <strong><a href="https://manilatimes.net/2026/05/21/news/national/vp-sara-has-until-june-1-to-submit-impeachment-reply/2348456">The Manila Times</a></strong>, <em>May 20</em></p><p><strong>Philippine senator dela Rosa to seek Supreme Court review of restraining order rejection.</strong> Lawyers for Senator Ronald dela Rosa said they will ask the Supreme Court to reconsider its rejection of his request for a temporary restraining order blocking his arrest and transfer to the International Criminal Court. The legal team said it would exhaust all remedies available under law after the court denied the request. <em>Mikhail Flores</em>, <strong><a href="https://reuters.com/world/philippine-senator-dela-rosa-seek-supreme-court-review-restraining-order-2026-05-20">Reuters</a></strong>, <em>May 20</em></p><p><strong>Philippine Supreme Court rejects bid to block arrest of senator wanted by ICC.</strong> The Philippine Supreme Court denied Senator Ronald dela Rosa&#8217;s request for a temporary restraining order to prevent his arrest and transfer to the International Criminal Court. Dela Rosa, wanted over alleged crimes against humanity tied to Rodrigo Duterte&#8217;s drug war, denied involvement in illegal killings. His lawyers said they will pursue further remedies, while authorities said they will seek to execute the ICC warrant. <em>Nestor Corrales, Mikhail Flores, Karen Lema, and Martin Petty</em>, <strong><a href="https://reuters.com/world/philippine-supreme-court-denies-senators-bid-prevent-arrest-icc-case-2026-05-20">Reuters</a></strong>, <em>May 20</em></p><h2>Indonesia</h2><p><strong>Indonesia unveils plan to centralise control of commodity exports.</strong> Indonesia plans to centralise exports of key commodities, including palm oil, coal, and ferroalloys, under the sovereign wealth fund Danantara after a transition period. President Prabowo Subianto said the policy aims to strengthen state control over pricing, curb under-invoicing, and boost revenue. Exporters must also keep natural-resource export proceeds in state-owned banks from June 1. <em>Ananda Teresia, Gayatri Suroyo, Stanley Widianto, Fransiska Nangoy, Bernadette Christina Munthe, Sudarshan Varadhan, Gregor Stuart Hunter, David Stanway, Gibran Peshimam, and Tony Munroe</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesia-plans-centralise-commodity-exports-through-state-agency-sources-say-2026-05-20">Reuters</a></strong>, <em>May 20</em></p><p><strong>Indonesia central bank delivers hefty interest rate rise as it looks to stem battered rupiah's fall.</strong> Bank Indonesia raised its benchmark rate by a larger-than-expected 50 basis points to 5.25% to support the rupiah after repeated record lows. Governor Perry Warjiyo said the move addresses global volatility tied to the Middle East war and aims to keep inflation within target through 2027. The central bank maintained its 2026 growth outlook. <em>Gayatri Suroyo, Ananda Teresia, and John Mair</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesia-central-bank-raises-interest-rates-by-more-than-expected-2026-05-20">Reuters</a></strong>, <em>May 20</em></p><h2>Singapore</h2><p><strong>Singapore in talks with tech firms about adding 'nutrition labels' to AI products, minister says.</strong> Singapore is discussing voluntary &#8220;nutrition labels&#8221; for AI products with technology companies, indicating intended uses and limitations for consumer applications. Digital Development and Information Minister Josephine Teo said the country is also developing testing frameworks and accreditation for AI products. Singapore aims to support 10,000 firms with AI adoption while expanding use in manufacturing, healthcare, and finance. <em>Jun Yuan Yong and Fanny Potkin</em>, <strong><a href="https://reuters.com/world/asia-pacific/singapore-talks-with-tech-firms-about-adding-nutrition-labels-ai-products-2026-05-20">Reuters</a></strong>, <em>May 20</em></p><p><strong>Singapore urges financial firms to use AI to create better jobs.</strong> Deputy Prime Minister Gan Kim Yong said Singapore&#8217;s banks and financial firms should use AI to create better jobs and train workers for higher-value roles, not only cut costs. He said slowing adoption would weaken competitiveness, while the next phase for Singapore&#8217;s financial hub depends on enterprise-wide AI use, worker training, trust, safety, and security. <em>Yantoultra Ngui</em>, <strong><a href="https://reuters.com/business/world-at-work/singapore-urges-financial-firms-use-ai-create-better-jobs-2026-05-20">Reuters</a></strong>, <em>May 20</em></p><h2>Taiwan</h2><p><strong>Lai, KMT trade barbs over cross-strait policy differences.</strong> President Lai Ching-te accused the KMT of weakening Taiwan&#8217;s sovereignty and defense by supporting the 1992 Consensus and blocking budget measures for U.S. arms purchases and domestic weapons production. The KMT rejected Lai&#8217;s criticism as a distortion, saying dialogue reduces hostility and avoids war. The TPP also criticized Lai for blaming opposition checks and balances for policy deadlock. <em>Wang Cheng-chung and Joseph Yeh</em>, <strong><a href="https://focustaiwan.tw/politics/202605200018">Focus Taiwan</a></strong>, <em>May 20</em></p><p><strong>Trump to speak with Taiwan's president in a new challenge for U.S.-China relations.</strong> President Donald Trump said he would speak with Taiwan President Lai Ching-te, a move that would be unprecedented since Washington shifted diplomatic recognition from Taipei to Beijing in 1979. No call has been scheduled. Lai welcomed dialogue and said Taiwan seeks to maintain the cross-strait status quo, while Trump&#8217;s remarks added uncertainty after he deferred a decision on a major Taiwan arms sale. <em>Bo Erickson, Michael Martina, and Trevor Hunnicutt</em>, <strong><a href="https://reuters.com/world/china/trump-says-he-will-speak-with-taiwans-president-2026-05-20">Reuters</a></strong>, <em>May 20</em></p><h2>Kazakhstan</h2><p><strong>Kazakhstan parliament adopts constitutional law package to advance reform agenda.</strong> Kazakhstan adopted constitutional laws to strengthen its updated legal framework after a joint session of the Mazhilis and Senate. The package defines presidential powers, establishes the Kurultai&#8217;s legal framework, institutionalizes the Kazakhstan Khalyk Kenesi, regulates the capital&#8217;s governance, refines administrative-territorial rules, and updates electoral legislation as part of broader constitutional reform. <em>Dana Omirgazy</em>, <strong><a href="https://astanatimes.com/2026/05/kazakhstan-parliament-adopts-constitutional-law-package-to-advance-reform-agenda">The Astana Times</a></strong>, <em>May 20</em></p><p><strong>Kazakhstan and Kenya chart new path for interregional cooperation.</strong> President Kassym-Jomart Tokayev and President William Ruto agreed to expand Kazakh-Kenyan cooperation across political, economic, and humanitarian fields. Kazakhstan will open an embassy in Nairobi, while both sides discussed a Business Council, trade, agriculture, transport, mining, renewable energy, digital technologies, finance, tourism, and academic exchanges. Delegations also signed agreements on investment, technology, trade facilitation, and institutional cooperation. <em>Dana Omirgazy</em>, <strong><a href="https://astanatimes.com/2026/05/kazakhstan-and-kenya-chart-new-path-for-interregional-cooperation">The Astana Times</a></strong>, <em>May 20</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-may-21-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/p/asia-daily-may-21-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>Where&#8217;s the Beef? Trump&#8217;s Underwhelming Meeting with Xi.</strong> Trump&#8217;s Beijing meeting with Xi avoided major concessions on Taiwan, but produced few concrete gains for Washington. China pressed against pending US arms sales to Taiwan, while Trump made no clear commitment. Claimed deals on beef, soybeans, and aircraft lacked confirmation from Beijing. The outcome exposed weak leverage, with allies sidelined, and pointed to critical minerals cooperation as a stronger path before Xi&#8217;s planned US visit. <em>Melanie Hart</em>, <strong><a href="https://chinaobservers.eu/wheres-the-beef-trumps-underwhelming-meeting-with-xi">China Observers</a></strong>, <em>May 20</em></p><p><strong>Why China must reject Trump&#8217;s &#8216;G2&#8217; narrative.</strong> China should reject Trump&#8217;s G2 framing because it privileges US-China bargaining over multilateral cooperation and risks validating American pressure. Beijing&#8217;s response combines contestation with institution building, including trade and investment councils, while presenting multilateralism as a counterweight to US dominance. <em>Gu Bin</em>, <strong><a href="https://www.thinkchina.sg/politics/why-china-must-reject-trumps-g2-narrative">ThinkChina</a></strong>, <em>May 20</em></p><p><strong>Has the case for PRC capital opening changed?</strong> Beijing is pursuing selective capital account opening to support RMB internationalization, corporate overseas expansion, and financial resilience against dollar shocks. Policymakers favor monitored channels, negative-list oversight, and traceable flows rather than full liberalization. Corporate outbound funding is receiving more room, while household outflows remain controlled. The result is an opening without surrendering control, built around firewalls, macroprudential rules, and managed convertibility. <strong><a href="https://chinapolicy.substack.com/p/has-the-case-for-prc-capital-opening">CHINA POLICY</a></strong>, <em>May 20</em></p><p><strong>Trump&#8211;Xi summit spells uneasy news for Japan.</strong> The Trump-Xi summit produced a fragile US-China pause shaped by domestic pressure, the Iran war, and Taiwan tensions, not a settlement of strategic rivalry. Managed detente may reduce direct confrontation between Washington and Beijing while weakening Japan&#8217;s confidence in US backing. China has pressed Tokyo over Taiwan comments and used economic coercion, while Japan&#8217;s harder security agenda risks deeper isolation unless it recalibrates ties with Beijing. <em>Hitoshi Tanaka</em>, <strong><a href="https://eastasiaforum.org/2026/05/20/trump-xi-summit-spells-uneasy-news-for-japan">East Asia Forum</a></strong>, <em>May 20</em></p><p><strong>Japan&#8217;s immigration politics starves restaurants of workers.</strong> Japan&#8217;s restaurant sector has exhausted its 50,000-worker quota under the Type 1 Specified Skilled Worker visa, halting new recruitment despite severe labor shortages. The cap reflects outdated projections set after the pandemic&#8217;s downturn, while demand has returned as chains seek foreign staff for service, kitchens, and management. Political resistance to immigration, strengthened by conservative pressure, now blocks quota changes that employers say are needed to keep businesses operating. <em>Naoto Higuchi, Sachi Takaya, Nanako Inaba</em>, <strong><a href="https://eastasiaforum.org/2026/05/21/japans-immigration-politics-starves-restaurants-of-workers">East Asia Forum</a></strong>, <em>May 21</em></p><h2>Southeast Asia</h2><p><strong>Undersea Cable Risks: Lessons for Southeast Asia.</strong> Threats to cables in the Hormuz and Red Sea corridors expose Southeast Asia&#8217;s reliance on fragile digital routes that connect the region to Europe. Damage could slow internet service, disrupt finance, and weaken e-commerce. The Strait of Malacca presents similar risks because of narrow waters and heavy traffic. Southeast Asia needs route diversification, stronger repair rules, satellite options, and regional cooperation on protection for digital resilience and crisis readiness planning. <em>Mae Chow</em>, <strong><a href="https://fulcrum.sg/undersea-cable-risks-in-hormuz-lessons-for-southeast-asia">FULCRUM</a></strong>, <em>May 20</em></p><p><strong>Agentic AI on Social Media Platforms in Southeast Asia: The Need for Governance.</strong> Agentic AI can plan and execute social media influence operations with little human control, raising risks for Southeast Asia&#8217;s information space. Existing disinformation networks could gain speed, scale, and opacity, while moderation systems remain weak in low-resource languages such as Burmese, Khmer, and Tagalog. Governments, platforms, and civil society need baseline rules, incident reporting, detection tools, risk taxonomies, and user disclosure rights before autonomous manipulation outpaces regional safeguards and oversight. <em>Nuurrianti Jalli and Maria Monica Wihardja,</em> <strong><a href="https://fulcrum.sg/agentic-ai-on-social-media-platforms-in-southeast-asia-the-need-for-governance">FULCRUM</a></strong>, <em>May 20</em></p><p><strong>Ageing and housing affordability collide in Thailand.</strong> Thailand&#8217;s aging population is weakening housing demand, shrinking the buyer base, and making homeownership a burden for lower-income households. Smaller households face mortgage costs with less family support, while wage growth falls short of the income gains needed to sustain past ownership patterns. Policy should expand secure long-term rentals, repurpose surplus stock, and regulate foreign demand to prevent market stability from deepening inequality. <em>Ratree Prasomsup</em>, <strong><a href="https://eastasiaforum.org/2026/05/20/ageing-and-housing-affordability-collide-in-thailand">East Asia Forum</a></strong>, <em>May 20</em></p><p><strong>The Ringgit Myth: Why Malaysia&#8217;s Export Machine Doesn&#8217;t Need a Weak Currency to Win.</strong> Malaysia&#8217;s stronger ringgit pressures exporters by reducing local-currency revenue, but exports have stayed strong because competitiveness rests on technology, supply chains, and global demand. Electronics and semiconductor demand shield key sectors from exchange-rate swings, while cheaper imported inputs offset some losses. Small firms remain exposed to currency shocks, making industrial upgrading, productivity, innovation, and non-price advantages more important than reliance on weakness. <em>Tee Jia Yang</em>, <strong><a href="https://sinosoutheastinitiative.com/2026/05/20/the-ringgit-myth-why-malaysias-export-machine-doesnt-need-a-weak-currency-to-win">Sino-Southeast Initiative</a></strong>, <em>May 20</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p>]]></content:encoded></item><item><title><![CDATA[What Can Indian Policymakers Learn From China’s Growth Boom? ]]></title><description><![CDATA[India can spur broader growth by empowering cities to compete for investment and rewarding local officials for economic results.]]></description><link>https://www.theasiacable.com/p/what-can-indian-policymakers-learn</link><guid isPermaLink="false">https://www.theasiacable.com/p/what-can-indian-policymakers-learn</guid><dc:creator><![CDATA[Seamus O'Neill]]></dc:creator><pubDate>Wed, 20 May 2026 14:31:17 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/c41c1397-2fa9-42cf-83ff-fb61566ae45c_3840x2160.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<p>China and India began their economic liberalization around the same time, in 1978 and the early 1980s, respectively. Yet very quickly thereafter, China broke out of its Mao-era economic doldrums and grew at an <a href="https://www.rieti.go.jp/en/china/16070701.html#:~:text=The%20Chinese%20economy%20has%20entered,of%20a%20middle%2Dincome%20country.">average</a> of 9% every year for over 30 years. By contrast, despite a healthy growth rate for most of the past 35 years &#8211; especially after the post-1991 reforms &#8211; India&#8217;s economy has fallen far short of China&#8217;s. In the 1970s, China and India were <a href="https://www.amazon.com/Sixth-Humanity-Independent-Development-Financial-ebook/dp/B0FLF6J65L">almost equally poor</a>, but today the average Chinese person is <a href="https://data.worldbank.org/indicator/NY.GDP.PCAP.CD?locations=IN-CN">five times</a> wealthier than the average Indian, based on nominal GDP per head.</p><p>What allowed China to outperform India? Is there anything Indian policymakers can learn from the China model, given that most analysts still see the peak of India&#8217;s demographic dividend ahead of us, rather than behind?</p><h2>China&#8217;s Cadres</h2><p>Though China is often conceived of as a highly centralized, top-down system, this is only half true. Even during the Mao era &#8212; and especially since &#8212; China&#8217;s system has combined the attributes of centralized, authoritarian decision-making at the highest levels with an extremely <a href="https://www.jstor.org/stable/jj.15306388?if_data=e30%3D">fragmented</a> and unwieldy Party-bureaucratic apparatus tasked with actually implementing central directives. Beijing&#8217;s policies are often <a href="https://gvpt.umd.edu/sites/gvpt.umd.edu/files/pubs/Zhi-Pearson.Governance.China%27s%20Bureaucracy.pdf">vague</a> enough to allow flexibility in how local cadres <a href="https://www.xiaobolu.com/_files/ugd/265480_8db43c8065104a1ca27044b51d60e430.pdf?index=true">produce</a> results, even when there are specific numbers attached to them (such as the top-line GDP growth figure decided in Beijing <em>at the outset</em> of a given year and then mirrored at lower levels).</p><p>Given that China&#8217;s army of provincial, municipal, and county Party officials and bureaucrats is hard to direct from distant Beijing, one of the most crucial tools the Party uses to ensure compliance with the center&#8217;s directives is the cadre promotion system. The promotion of local and mid-level officials &#8212; both Party and State &#8212; depends on meeting core political and economic key <a href="https://www.xiaobolu.com/_files/ugd/265480_8db43c8065104a1ca27044b51d60e430.pdf?index=true">performance</a> indicators (KPIs), much like the employees of a large private sector firm must ace their performance evaluations every year to get a promotion and a raise. Hitting economic growth targets (disaggregated from the headline target GDP figure and set for their own jurisdiction by <a href="https://sccei.fsi.stanford.edu/china-briefs/how-chinas-gdp-targets-shape-its-economy">each level down</a> the administrative hierarchy) has for decades been a KPI for cadre promotion, meaning that they are highly incentivized to encourage growth.</p><p>Counties and the prefectural municipalities that oversee them have healthy and less-than-healthy ways to boost economic growth. The less healthy ways include <a href="https://www.sciencedirect.com/science/article/abs/pii/S1043951X22001262">selling</a> land use rights to real estate developers, (over)<a href="https://www.wsj.com/articles/is-chinas-building-a-road-to-ruin-1474351866">building</a> infrastructure, and <a href="https://www.bloomberg.com/news/features/2025-06-12/xi-keeps-china-s-unprofitable-businesses-alive-to-save-jobs-and-avoid-unrest">subsidizing</a> unprofitable local firms. But localities have also long competed for FDI and other private sector investment, offering tax incentives or other favorable deals to draw investment and facilitate business growth in much the same ways that U.S. states and cities do.</p><p>Even as China&#8217;s growth has slowed recently as the country evolves into a mature economy, competing for investment is still a crucial way localities help facilitate economic growth &#8212; all the more so now that other engines of on-paper growth, such as real estate development and infrastructure construction, are no longer as viable.</p><h2>India&#8217;s Inertia</h2><p>India has attracted <a href="https://www.dpiit.gov.in/static/uploads/2026/02/6dc3e8a9fe52d5a412d8e5f41d7b921f.pdf">substantial</a> foreign investment, though most of it has gone to a few high-growth, globally interconnected hub areas such as Mumbai, Bangalore, Chennai, and the Delhi metro area. These areas have <a href="https://www.dpiit.gov.in/static/uploads/2026/02/6dc3e8a9fe52d5a412d8e5f41d7b921f.pdf">posted</a> double-digit growth on and off since the 1990s, but two-thirds of India has lagged behind. Moreover, the post-Global Financial Crisis hangover <a href="https://www.amazon.com/Sixth-Humanity-Independent-Development-Financial-ebook/dp/B0FLF6J65L">depressed</a> growth in the 2010s, prematurely slowing India&#8217;s economic rise.</p><p>China and India have very different political systems. Most obviously, China&#8217;s localities are run by Party-State officials accountable to their bosses, while India&#8217;s localities are represented by elected officials accountable to their voters. The reasons for India&#8217;s laggard growth compared to China are numerous and wide-ranging, such as <a href="https://www.amazon.com/Sixth-Humanity-Independent-Development-Financial-ebook/dp/B0FLF6J65L">inadequate</a> rural land redistribution, a bureaucratic culture that <a href="https://www.penguin.co.in/book/accelerating-indias-development/">punishes</a> risk-taking, a political culture that rewards <a href="https://www.amazon.com/India-After-Gandhi-History-Democracy/dp/0060958588">pandering</a> to narrow interests rather than pushing for public goods, and an economic system &#8212; ironically &#8212; far more <a href="https://www.piie.com/publications/working-papers/2025/dismantling-license-raj-long-road-indias-1991-trade-reforms">encumbered</a> by red tape and regulation than China&#8217;s &#8220;market socialism.&#8221;</p><p>Prime Ministers of different parties have consistently pursued economic growth since the post-1991 liberalization, and the Modi government has vocally <a href="https://www.nytimes.com/2026/02/27/business/india-economy-gdp.html?searchResultPosition=10">courted</a> foreign investment since 2014. Further growth-enabling reforms that improve India&#8217;s ease of doing business are a crucial step towards a high-growth economy, but India&#8217;s past experience shows how hard overcoming vested interests can be. The country&#8217;s recent <a href="https://www.politico.eu/article/eu-india-trade-agreement-deal-telecoms-finance/">spate</a> of free trade agreements is a positive step. However, if there is one thing India can learn from China&#8217;s experience, it is that getting the incentives right for local officials &#8212; both politicians and bureaucrats &#8212; is essential.</p><h2>Decentralize and Incentivize</h2><p>I asked political scientist and economist Devesh Kapur, an expert on India&#8217;s political economy, what India could do differently. He put it this way: &#8220;India&#8217;s localities &#8212; especially its cities &#8212; need to be able to compete with each other.&#8221; Today, economic policy is <a href="https://www.penguin.co.in/book/accelerating-indias-development/">decided</a> by both the central government and the states. State governments do engage in competition to attract foreign investment and spur domestic enterprise. However, Indian states are geographically large and highly populated, while cities are the engines of economic growth in an industrial economy. Further devolving decision-making around taxation (and tax incentives), permitting, and infrastructure development to the municipal level would encourage local politicians to compete for the often very visible and concrete gains brought by economic growth: more jobs and rising incomes. Local politicians may also have an easier time twisting the arms of local bureaucrats to accelerate permitting processes, as India&#8217;s notorious &#8220;<a href="https://www.piie.com/publications/working-papers/2025/dismantling-license-raj-long-road-indias-1991-trade-reforms">license raj</a>&#8221; has yet to be fully dismantled even 35 years after liberalization began.</p><p>Though India&#8217;s political system differs dramatically from China&#8217;s, one way for Indian policymakers to encourage economic growth and raise living standards is to examine how China motivates its local cadres. The Chinese formula is essentially this: devolve policy implementation power to the lowest levels, and tie performance to promotion. In the Indian context, devolution would allow politicians to reap the electoral benefits of more economic growth and job creation, ideally creating a virtuous cycle. It would also spur greater economic dynamism in cities across the country, helping India grow in a way that spreads gains across a broader base.</p><div><hr></div><p><em>The views and information contained in this article are the author&#8217;s own and do not necessarily represent those of The Asia Cable.</em></p><div class="subscription-widget-wrap-editor" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe&quot;,&quot;language&quot;:&quot;en&quot;}" data-component-name="SubscribeWidgetToDOM"><div class="subscription-widget show-subscribe"><div class="preamble"><p class="cta-caption">The Asia Cable is a reader-supported publication. To receive new posts and support our work, consider becoming a free or paid subscriber.</p></div><form class="subscription-widget-subscribe"><input type="email" class="email-input" name="email" placeholder="Type your email&#8230;" tabindex="-1"><input type="submit" class="button primary" value="Subscribe"><div class="fake-input-wrapper"><div class="fake-input"></div><div class="fake-button"></div></div></form></div></div><p></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: May 20, 2026]]></title><description><![CDATA[U.S. House foreign affairs chair warns AI sales to China could make America a &#8216;loser&#8217;.]]></description><link>https://www.theasiacable.com/p/asia-daily-may-20-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-may-20-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Wed, 20 May 2026 11:03:49 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/df3ccd93-3107-4829-a5bf-85ac2fe8feac_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!Gxkt!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1003367,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>U.S. House foreign affairs chair warns AI sales to China could make America a &#8216;loser&#8217;.</strong> House Foreign Affairs Committee Chairman Brian Mast warned that selling advanced AI chips to China could undermine U.S. security and help Chinese firms with military-civil fusion links. His comments followed U.S.-China agreement to discuss AI governance after President Donald Trump&#8217;s Beijing visit, and came amid debate over Nvidia H200 export approvals and tighter allied semiconductor controls. <em>Dewey Sim</em>, <strong><a href="https://scmp.com/news/us/economy-trade-business/article/3354153/us-house-foreign-affairs-chair-warns-ai-sales-china-could-make-america-loser">South China Morning Post</a></strong>, <em>May 19</em></p><p><strong>China's top flash-memory chipmaker YMTC begins pre-IPO coaching with investment bank.</strong> Yangtze Memory Technologies has begun formal pre-IPO tutoring with CITIC Securities ahead of a possible stock market listing. YMTC remains central to China&#8217;s effort to build a foothold in memory chips despite U.S. trade restrictions. The company has expanded domestic equipment use, runs two factories producing 200,000 wafers monthly, and plans a third Wuhan facility. <em>Pan Che, Eduardo Baptista, Shi Bu, and Ryan Woo</em>, <strong><a href="https://reuters.com/world/asia-pacific/chinas-top-flash-memory-chipmaker-ymtc-begins-pre-ipo-coaching-talks-with-2026-05-19">Reuters</a></strong>, <em>May 19</em></p><p><strong>Chinese aircraft carrier kicks off drills in western Pacific amid tense Japan ties.</strong> China&#8217;s Liaoning-led carrier task group began western Pacific drills involving far-sea tactical flight, live-fire exercises, and support and cover operations. Beijing called the training routine, while Japan complained about limited notice and accused Chinese J-15 fighters of locking fire-control radar on Japanese F-15s near Okinawa. The drills come amid worsening China-Japan tensions over Taiwan and expanding Chinese military activity near Japan. <em>Albee Zhang</em>, <strong><a href="https://scmp.com/news/china/military/article/3354115/chinese-aircraft-carrier-kicks-drills-western-pacific-amid-tense-japan-ties">South China Morning Post</a></strong>, <em>May 19</em></p><p><strong>China and U.S. to hold dialogue on AI governance, Beijing confirms.</strong> China confirmed that Beijing and Washington will hold formal dialogue on AI governance after President Donald Trump and President Xi Jinping had constructive exchanges during Trump&#8217;s state visit. Both sides discussed guardrails, best practices, and preventing non-state actors from accessing powerful AI models, though earlier talks produced no major agreements or detailed cooperation plans. <em>Meredith Chen</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3354123/china-and-us-hold-dialogue-ai-governance-beijing-confirms">South China Morning Post</a></strong>, <em>May 19</em></p><p><strong>Russian leader Vladimir Putin arrives in China just days after Donald Trump&#8217;s visit.</strong> Russian President Vladimir Putin arrived in Beijing for his 25th visit to China, four days after President Donald Trump&#8217;s trip, with talks aimed at deepening the China-Russia comprehensive partnership. Putin received a formal welcome from Foreign Minister Wang Yi and is scheduled to meet President Xi Jinping as the countries mark the 25th anniversary of their friendship treaty. <em>Alyssa Chen</em>, <strong><a href="https://scmp.com/news/china/diplomacy/article/3354142/russian-leader-vladimir-putin-arrives-china-just-days-after-donald-trumps-visit">South China Morning Post</a></strong>, <em>May 19</em></p><h2>Japan</h2><p><strong>Japan economy grows for 2nd straight qtr in Jan.-March, before Iran impact.</strong> Japan&#8217;s economy grew an annualized real 2.1% in January-March, marking a second straight quarterly expansion before the Middle East conflict&#8217;s full impact was felt. Growth was supported by exports, private consumption, and business investment, while economists warned that higher crude oil prices could weigh on corporate profits, consumer spending, and future growth. <strong><a href="https://english.kyodonews.net/articles/-/76258">Kyodo News</a></strong>, <em>May 19</em></p><p><strong>Takaichi, Lee forge energy pact amid uncertainty in Middle East.</strong> Prime Minister Sanae Takaichi and President Lee Jae-myung agreed in Andong to strengthen energy cooperation as Middle East instability threatens supply chains. The pact covers Indo-Pacific energy resilience, enhanced stockpiles, and a system for sharing crude oil and petroleum-related products. The leaders also affirmed cooperation on artificial intelligence, economic security, and mutually beneficial bilateral ties. <em>Ryo Aibara</em>, <strong><a href="https://asahi.com/ajw/articles/16575818">The Asahi Shimbun</a></strong>, <em>May 19</em></p><h2>South Korea</h2><p><strong>Unification ministry defends white paper against criticism over 'two-state' language.</strong> South Korea&#8217;s unification ministry defended its white paper&#8217;s &#8220;two-state&#8221; language as an implementation strategy for peaceful coexistence with North Korea, not legal recognition of Pyongyang as a state. The ministry said the approach respects North Korea&#8217;s system and de facto statehood while preserving the goal of eventual unification under existing policy. <em>Chae Yun-hwan</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260519008051315">Yonhap News Agency</a></strong>, <em>May 19</em></p><p><strong>PPP slams unification ministry&#8217;s reference to Koreas as &#8216;two-state relationship&#8217;.</strong> South Korea&#8217;s opposition People Power Party criticized the unification ministry&#8217;s white paper for describing inter-Korean ties as a &#8220;two-state relationship.&#8221; PPP lawmakers said the language could be interpreted as recognizing North Korea as a separate state and violating constitutional provisions on national territory and peaceful unification. They also objected to the term &#8220;North Korean-born citizens&#8221; for defectors. <em>Yi Wonju</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260519003700315">Yonhap News Agency</a></strong>, <em>May 19</em></p><p><strong>Lee, Takaichi agree to boost cooperation in supply chains, procurement of crude oil, LNG.</strong> President Lee Jae Myung and Prime Minister Sanae Takaichi agreed in Andong to expand cooperation on supply chains, crude oil, and LNG amid Middle East instability. The leaders discussed LNG cooperation, crude oil information sharing, stockpiling, possible energy swaps, artificial intelligence, economic security, bilateral security cooperation, and trilateral coordination with Washington. <em>Park Boram</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260519006756315">Yonhap News Agency</a></strong>, <em>May</em></p><h2>Thailand</h2><p><strong>Thai cabinet approves more than $6 billion in new borrowing to finance subsidy scheme, officials say.</strong> Thailand&#8217;s cabinet approved 200 billion baht in new borrowing to fund a consumer subsidy scheme aimed at easing cost-of-living pressures from the Middle East war. The program will cover about 43 million people from June to September, offering 1,000 baht per person monthly and subsidizing 60% of selected goods, capped at 200 baht per day. <em>Kitiphong Thaichareon, Orathai Sriring, and Chayut Setboonsarng</em>, <strong><a href="https://reuters.com/world/asia-pacific/thai-cabinet-approves-consumer-subsidy-scheme-tackle-rising-cost-living-2026-05-19">Reuters</a></strong>, <em>May 19</em></p><p><strong>Court delays election case.</strong> The Central Criminal Court for Corruption and Misconduct Cases postponed a hearing on alleged election misconduct involving barcodes and QR codes on ballot papers from the Feb. 8 general election. The case accuses Election Commission officials of enabling ballots to be traced and verified. The plaintiff must review the EC&#8217;s clarification and submit objections within 15 days before the Aug. 11 hearing. <strong><a href="https://bangkokpost.com/thailand/politics/3257698/court-delays-election-case">Bangkok Post</a></strong>, <em>May 19</em></p><p><strong>Thaksin faces tax pressure.</strong> The People&#8217;s Network for the Reform of Thailand and allied groups petitioned Prime Minister Anutin Charnvirakul and the finance minister to urgently enforce a tax collection case against former Prime Minister Thaksin Shinawatra tied to the 17.6 billion baht Shin Corp share sale. Protesters warned the state could lose revenue if enforcement drags on until the mid-2027 deadline. <em>Mongkol Bangprapa</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3257798/thaksin-faces-tax-pressure">Bangkok Post</a></strong>, <em>May 19</em></p><p><strong>Bhumjaithai to submit charter draft on Wednesday.</strong> Bhumjaithai will submit a constitutional draft to parliament as a new attempt to produce a charter by 2030. The party says Chapters 1 and 2, covering Thailand&#8217;s state structure and royal prerogatives, are nonnegotiable. Its plan would create a drafting committee, give senators a key role in selecting 100 drafters, and require upper-house support for any charter to advance. <em>Apinya Wipatayotin</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3257613/bhumjaithai-to-submit-charter-draft-on-wednesday">Bangkok Post</a></strong>, <em>May 19</em></p><h2>Myanmar</h2><p><strong>Myanmar military builds new pipeline to recruit high school students.</strong> Myanmar&#8217;s military plans to open Youth Education Training Schools in Naypyitaw and Yemon for Grade 10-12 civilian students aged 16 to 19. Defectors and education experts said the program is designed to indoctrinate teenagers and create a new recruitment pipeline as the regime struggles to replenish its ranks. The schools offer food, lodging, allowances, and routes to officer or senior NCO training. <strong><a href="https://irrawaddy.com/news/burma/myanmar-military-builds-new-pipeline-to-recruit-high-school-students.html">The Irrawaddy</a></strong>, <em>May 19</em></p><h2>Philippines</h2><p><strong>Marcos to tackle security in meeting with Japanese prime minister.</strong> President Ferdinand Marcos Jr. plans to discuss stronger security cooperation with Prime Minister Sanae Takaichi during his state visit to Japan, focusing on maritime order, gray-zone tactics in the South China Sea, and broader support for Asean. Marcos cited the new cross-servicing agreement, Japan&#8217;s Balikatan 2026 participation, and further exercises, exchanges, and interoperability. <em>Kristina Maralit</em>, <strong><a href="https://manilatimes.net/2026/05/19/news/marcos-to-tackle-security-in-meeting-with-japanese-prime-minister/2346708">The Manila Times</a></strong>, <em>May 19</em></p><p><strong>House impeachment prosecutors unafraid of next elections.</strong> House prosecutors in Vice President Sara Duterte&#8217;s impeachment trial said they are not worried about political consequences in the next elections. San Juan City Rep. Ysabel Zamora said the panel is fulfilling its constitutional duty as prosecutors, congressmen, and constituency representatives, and expressed confidence that the public and senators will assess the evidence. <em>Reina C. Tolentino</em>, <strong><a href="https://manilatimes.net/2026/05/19/news/national/house-impeachment-prosecutors-unafraid-of-next-elections/2347493">The Manila Times</a></strong>, <em>May 19</em></p><h2>Indonesia</h2><p><strong>Indonesian authorities using online disinformation campaigns to target critics, Amnesty says.</strong> Amnesty International said Indonesian authorities, including the military, used coordinated online disinformation to label activists and journalists as &#8220;foreign agents&#8221; and suppress dissent. The campaigns, allegedly amplified by accounts linked to military units and Prabowo Subianto&#8217;s Gerindra party, contributed to threats, violence, and intimidation against critics. Amnesty also faulted social media platforms for weak moderation. <em>Ananda Teresia</em>, <strong>Reuters</strong>, <em>May 19</em></p><p><strong>Indonesia signed letter but made no commitment to U.S. on airspace access, defence minister says.</strong> Indonesia&#8217;s Defence Minister Sjafrie Sjamsoeddin said he signed a letter of intent with U.S. Defense Secretary Pete Hegseth on possible U.S. military aircraft access to Indonesian airspace but made no commitment. Sjafrie said the document emphasized territorial integrity, local law, and any future mechanism if Jakarta agreed, while broader defence cooperation includes military modernization and training. <em>Stanley Widianto</em>, <strong><a href="https://reuters.com/world/asia-pacific/indonesia-made-no-commitment-us-airspace-access-defence-minister-says-2026-05-19">Reuters</a></strong>, <em>May 19</em></p><p><strong>Indonesia secures US$60.3 million trade deals at China food expo.</strong> Indonesia secured seven trade agreements worth a potential US$60.3 million at the SIAL food and beverage trade fair in Shanghai, exceeding its US$30 million target. Products on display included CPO derivatives, bird&#8217;s nests, frozen durian, seaweed, chips, dried tempeh, and coffee. Officials said China remains a strong market for Indonesian agricultural, food, and value-added exports. <strong><a href="https://en.antaranews.com/news/416295/indonesia-secures-us603-million-trade-deals-at-china-food-expo">ANTARA News</a></strong>, <em>May 19</em></p><p><strong>Ex-deputy minister regrets &#8216;only taking a small amount&#8217; after 5-year sentence demand.</strong> Former Deputy Manpower Minister Immanuel Ebenezer Gerungan criticized prosecutors&#8217; five-year prison demand in his corruption and extortion trial over occupational health and safety certifications. He questioned sentencing disparities with other defendants, noted that he had returned Rp 3 billion, and said he would prepare a personal defense. Prosecutors are also seeking Rp 1.4 billion in restitution. <strong><a href="https://jakartaglobe.id/news/exdeputy-minister-regrets-only-taking-a-small-amount-after-5year-sentence-demand">Jakarta Globe</a></strong>, <em>May 19</em></p><h2>Malaysia</h2><p><strong>Malaysia seeks more than $250 million from Norway over axed defence deal.</strong> Malaysia is seeking more than 1 billion ringgit from Norway after Oslo revoked export approvals for a naval strike missile system intended for Malaysian combat ships. Defence Minister Mohamed Khaled Nordin said Malaysia had already paid 95% of the contract value and would seek compensation for direct costs, replacement work, dismantling, and retraining. <em>Rozanna Latiff and Gwladys Fouche</em>, <strong><a href="https://reuters.com/business/aerospace-defense/malaysia-seeks-more-than-250-million-norway-over-axed-defence-deal-2026-05-19">Reuters</a></strong>, <em>May 19</em></p><h2>Taiwan</h2><p><strong>Taiwan's delegation felt pressure from China during WHA events: Minister.</strong> Health Minister Shih Chung-liang said Taiwan&#8217;s delegation in Geneva appeared to face monitoring and pressure from China during World Health Assembly side events. Shih said like-minded countries still supported Taiwan&#8217;s participation, but attendance at a Taiwan Night event was lower. Taiwan held forums on healthcare resilience, smart healthcare, cancer prevention, and hepatitis C treatment. <em>Chen Chieh-ling, Shen Pei-yao, and Lee Hsin-Yin</em>, <strong><a href="https://focustaiwan.tw/politics/202605190024">Focus Taiwan</a></strong>, <em>May 19</em></p><p><strong>Taiwan 'cautiously optimistic' about U.S. arms sales, defence minister says.</strong> Taiwan Defence Minister Wellington Koo said Taipei remains cautiously optimistic about U.S. arms sales after President Donald Trump said he had not decided on new weapons packages. Koo said U.S. policy toward Taiwan remains unchanged, arms sales are vital to stability in the Taiwan Strait, and China is the side undermining the status quo through military pressure. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/taiwan-cautiously-optimistic-about-us-arms-sales-defence-minister-says-2026-05-19">Reuters</a></strong>, <em>May 19</em></p><p><strong>Taiwan says China's military actions are greatest source of regional instability.</strong> Taiwan Premier Cho Jung-tai said China&#8217;s military activity in the Taiwan Strait, the Indo-Pacific, the South China Sea, and around Japan is the region&#8217;s main source of instability. Taiwan reported another Chinese combat readiness patrol near the island, while China said its Liaoning carrier group entered the Western Pacific for live-fire and other drills. <em>Yimou Lee, Ben Blanchard and Faith Hung</em>, <strong><a href="https://reuters.com/world/asia-pacific/taiwan-president-hold-news-conference-mark-his-second-year-office-2026-05-19">Reuters</a></strong>, <em>May 19</em></p><h2>India</h2><p><strong>Italy and India set to upgrade ties during Modi&#8217;s visit to Rome.</strong> Italy and India plan to elevate ties to a special strategic partnership during Prime Minister Narendra Modi&#8217;s visit to Rome. Modi and Prime Minister Giorgia Meloni are expected to adopt a joint declaration, pursue annual summits, target &#8364;20 billion in bilateral trade by 2029, and sign agreements on maritime transport, agriculture, higher education, critical minerals, museums, and financial crime. <em>Angelo Amante</em>, <strong><a href="https://reuters.com/world/india/italy-india-set-upgrade-ties-during-modis-visit-rome-2026-05-19">Reuters</a></strong>, <em>May 19</em></p><p><strong>India, Nordic nations upgrade ties with green tech, def focus.</strong> India and the Nordic countries upgraded relations to a green technology and innovation strategic partnership at the third India-Nordic summit in Oslo. The sides agreed to leverage India-EU and India-EFTA trade frameworks, expand climate action, Arctic cooperation, talent mobility, and defence industrial collaboration, and deepen university, laboratory, and start-up links. Nordic leaders also backed India&#8217;s permanent membership in a reformed U.N. Security Council. <strong><a href="https://timesofindia.indiatimes.com/india/india-nordic-nations-upgrade-ties-with-green-tech-def-focus/articleshow/131213302.cms">The Times of India</a></strong>, <em>May 19</em></p><h2>Kazakhstan</h2><p><strong>Kazakhstan signals nuclear diplomacy role as Iran uranium dispute intensifies.</strong> Kazakhstan is positioning itself as a possible technical partner if Iran nuclear talks shift to handling enriched uranium. President Kassym-Jomart Tokayev said Astana is ready to assist if international agreements are reached, drawing on Kazakhstan&#8217;s disarmament record, past role in Iran nuclear diplomacy, IAEA uranium bank, and experience managing sensitive nuclear material. <em>Aliya Haidar</em>, <strong><a href="https://timesca.com/kazakhstan-signals-nuclear-diplomacy-role-as-iran-uranium-dispute-intensifies">The Times of Central Asia</a></strong>, <em>May 19</em></p><p><strong>Kazakhstan reshapes education system to meet industrial and labor market needs.</strong> Kazakhstan is restructuring education to address labor shortages, crowded schools, and mismatches between graduates&#8217; skills and economic needs. Reforms include tighter enrollment management, expanded technical and vocational training, AI pilots in schools, more state grants for engineering fields, university funding tied to rankings and employment, and a planned entrance exam focused on analytical skills. <strong><a href="https://timesca.com/kazakhstan-reshapes-education-system-to-meet-industrial-and-labor-market-needs">The Times of Central Asia</a></strong>, <em>May 19</em></p><h2>Uzbekistan</h2><p><strong>Uzbek-Afghan-Pakistan transit corridor making progress.</strong> Afghanistan, Pakistan, and Uzbekistan have reached a conceptual agreement on a transit corridor linking Uzbekistan to Arabian Sea ports, with a feasibility study and survey work underway. Uzbek officials said the route through Afghanistan to Karachi and Gwadar is preferable to an Iran route amid regional uncertainty. Financing, mountainous terrain, Taliban reliability, and Afghan-Pakistani tensions remain major obstacles. <strong><a href="https://eurasianet.org/uzbek-afghan-pakistan-transit-corridor-making-progress">Eurasianet</a></strong>, <em>May 19</em></p><h2>Kyrgyzstan</h2><p><strong>Japarov calls for support of Kyrgyzstan&#8217;s bid for UN Security Council seat.</strong> President Sadyr Japarov urged support for Kyrgyzstan&#8217;s candidacy for a 2027-2028 non-permanent U.N. Security Council seat, arguing that small, developing, and landlocked states remain underrepresented. He said Kyrgyzstan would promote preventive diplomacy, mediation, nuclear disarmament, climate-security work, and attention to Afghanistan while maintaining a balanced, non-bloc foreign policy. <strong><a href="https://timesca.com/japarov-calls-for-support-of-kyrgyzstans-bid-for-un-security-council-seat">The Times of Central Asia</a></strong>, <em>May 19</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-may-20-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/p/asia-daily-may-20-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><p><strong>In Asia, geopolitics has moved onto the deal sheet.</strong> Asian investment deals now face national security scrutiny once centered in Washington. China blocked US-linked capital from Manus, while Japan opposed MBK Partners&#8217; Makino Milling acquisition over defense technology concerns. These cases show that governments can restrict transactions even when no law is broken. Private equity and venture capital firms must assess geopolitical risk, exit limits, supply chain exposure, and state priorities before closing deals. <em>Steven Okun and Derek Grossman</em>, <strong><a href="https://asia.nikkei.com/opinion/in-asia-geopolitics-has-moved-onto-the-deal-sheet">Nikkei Asia</a></strong>, <em>May 19</em></p><h2>East Asia</h2><p><strong>Signals to China from U.S. and Russia.</strong> Trump&#8217;s visit to China and Putin&#8217;s overlapping trip show major powers seeking a limited buffer against miscalculation without changing competitive structures. Washington aims to stabilize economic ties, manage technology disputes, and buy time for adjustment, while Moscow seeks deeper ties with Beijing against external pressure. China serves as a stabilizing anchor, but Taiwan, alliances, Ukraine, Iran, arms control, and zero-sum thinking constrain any lasting accommodation. <em>Xiao Bin</em>, <strong><a href="https://www.chinausfocus.com/foreign-policy/signals-to-china-from-us-and-russia">CHINA US Focus</a></strong>, <em>May 19</em></p><p><strong>Trump-Xi summit: Why China scored the bigger strategic win.</strong> Xi&#8217;s &#8220;constructive strategic stability&#8221; framework shaped the summit and gained White House acceptance, giving Beijing a strategic edge despite modest results. Trump secured Boeing, agriculture, beef, and poultry commitments suited to his domestic agenda, while Xi used pageantry and leader-level diplomacy to frame China as a steady peer power. The summit set a floor for ties, guided bureaucracies, and let Beijing hedge through ties with Russia and the Global South. <em>Dylan Loh</em>, <strong><a href="https://www.thinkchina.sg/politics/trump-xi-summit-why-china-scored-bigger-strategic-win">ThinkChina</a></strong>, <em>May 19</em></p><p><strong>Washington Might Be Ready to Bargain With Beijing.</strong> The Trump-Xi summit may mark a change from anger toward bargaining in US-China relations. Trump gained limited trade and investment processes, while Xi pushed &#8220;constructive strategic stability&#8221; to buy time and shape managed competition. Both powers are reducing dependence, rewiring supply chains, and testing rules for trade, AI, technology, Taiwan, and security. The outcome may become a fragile &#8220;cold peace&#8221; rather than renewed integration. <em>Robert A. Manning</em>, <strong><a href="https://foreignpolicy.com/2026/05/19/trump-xi-summit-china-relationship-trade-strategy/">Foreign Policy</a></strong>, <em>May 19</em></p><p><strong>China and America: Advancing Through Stability.</strong> Trump&#8217;s state visit to China marks a reset toward &#8220;constructive strategic stability&#8221; after years of rivalry over tariffs, Taiwan, export controls, and security. Both governments seek to avoid military conflict, expand trade, and manage economic frictions through councils, procurement, and reciprocal tariff reductions. Taiwan remains the central risk, while military dialogue and business engagement are framed as conditions for durable stability and future cooperation. <em>Zhao Minghao</em>, <strong><a href="https://www.chinausfocus.com/foreign-policy/china-and-america-advancing-through-stability">CHINA US Focus</a></strong>, <em>May 19</em></p><p><strong>Will Taiwanese accept Xi Jinping&#8217;s version of &#8216;One China&#8217;?</strong> Polling after Cheng Li-wun&#8217;s meeting with Xi Jinping shows Taiwanese voters separate the 1992 Consensus from Beijing&#8217;s &#8220;one country, two systems&#8221; framework. Forty-seven percent are unclear about the consensus, while support for Cheng&#8217;s &#8220;oppose Taiwanese independence&#8221; framing clusters among KMT and TPP voters. Most respondents, including many who support engagement with China, reject Beijing&#8217;s preferred formula and see dialogue as a status quo tool. <em>Lev Nachman and Wei-Ting Yen</em>, <strong><a href="https://www.brookings.edu/articles/will-taiwanese-accept-xi-jinpings-version-of-one-china/">Brookings</a></strong>, <em>May 19</em></p><p><strong>Trump-Xi summit leaves Taiwan independence camp on edge.</strong> Trump&#8217;s post-summit warning against Taiwan independence unsettled the DPP and raised doubts about US support in a cross-strait crisis. His silence on Taiwan in Beijing, praise for Xi, and suggestion that arms sales could serve as bargaining chips exposed Taipei&#8217;s dependence on US-China dynamics. Lai Ching-te sought to define his position as defending the Republic of China and preserving the status quo. <em>Chuang Hui Liang</em>, <strong><a href="https://www.thinkchina.sg/politics/trump-xi-summit-leaves-taiwan-independence-camp-edge">ThinkChina</a></strong>, <em>May 19</em></p><p><strong>The northbound drift: Hong Kong&#8217;s quiet exodus to the Greater Bay Area.</strong> High living costs and better transport links are driving more Hong Kong residents to Shenzhen, Zhongshan, Guangzhou, and other Greater Bay Area cities for retirement, work, and long-term living. Retirees gain larger homes, lower expenses, familiar services, and expanded healthcare access, while younger workers use mainland cities for lifestyle and business opportunities. The change pressures Hong Kong retail, housing demand, and policy planning. <em>Tai Hing Shing</em>, <strong><a href="https://www.thinkchina.sg/society/big-read-northbound-drift-hong-kongs-quiet-exodus-greater-bay-area">ThinkChina</a></strong>, <em>May 19</em></p><p><strong>South Korea needs partnerships to secure its economic lifelines.</strong> Ongoing Middle East instability exposes South Korea&#8217;s dependence on Gulf hydrocarbons and secure transit through the Strait of Hormuz. With US guarantees narrowing and the Namu-ho attack showing direct risk to Korean assets, Seoul must expand maritime security cooperation with Japan and the European Union. Escort operations, deterrence, information sharing, demining, and joint response protocols would protect energy flows while meeting alliance burden-sharing expectations. <em>Donggak Heo</em>, <strong><a href="https://eastasiaforum.org/2026/05/19/south-korea-needs-partnerships-to-secure-its-economic-lifelines/">East Asia Forum</a></strong>, <em>May 19</em></p><h2>Southeast Asia</h2><p><strong>The Trump-Xi Summit: What It Means for Southeast Asia and South Asia.</strong> The Beijing meeting delivered limited stability without major agreements. Southeast Asian and South Asian governments avoided a trade deal that excluded them, but remained alarmed over Iran, energy shortages, rare earth controls, artificial intelligence rivalry, and China&#8217;s regional power. Leaders feared Trump&#8217;s warmer posture toward Xi could weaken U.S. pressure in the South China Sea, sideline regional views, and leave economies exposed to recession, inflation, supply shocks, and tariff risks. <em>Joshua Kurlantzick</em>, <strong><a href="https://www.cfr.org/articles/the-trump-xi-summit-what-it-means-for-southeast-asia-and-south-asia">Council on Foreign Relations</a></strong>, <em>May 19</em></p><p><strong>Southeast Asia&#8217;s Grok bans were too little, too late.</strong> Indonesia, Malaysia, and the Philippines blocked Grok after regulators linked the chatbot to sexualized deepfakes, including child images, but the bans targeted access after harm had spread. The episode shows that AI regulation must reach production and amplification, not just networks. Vietnam&#8217;s binding AI law and Singapore&#8217;s agentic AI framework point toward stronger controls, including labeling, local accountability, risk taxonomies, evaluations, and cross-border incident reporting. <em>Nuurrianti Jalli</em>, <strong><a href="https://eastasiaforum.org/2026/05/19/southeast-asias-grok-bans-were-too-little-too-late/">East Asia Forum</a></strong>, <em>May 19</em></p><p><strong>Indonesia&#8217;s downstreaming risks a green dependency trap.</strong> Indonesia&#8217;s nickel downstreaming strategy seeks to capture more value from mineral processing, but current projects risk locking the country into dependence on Chinese technology, imported inputs, coal-powered smelters, and weakening nickel demand. Lithium iron phosphate batteries are gaining ground without nickel, while pollution, tax incentives, profit repatriation, and ratings concerns limit gains. Stronger technology transfer, partner diversification, research investment, and environmental standards are needed to build lasting capability. <em>Althof Endawansa</em>, <strong><a href="https://eastasiaforum.org/2026/05/18/indonesias-downstreaming-risks-a-green-dependency-trap/">East Asia Forum</a></strong>, <em>May 18</em></p><p><strong>France-Philippines New Defence Agreement: A Pivotal Step?</strong> France and the Philippines signed a Status of Visiting Forces Agreement that deepens defense cooperation, expands French troop access, and supports Manila&#8217;s maritime deterrence. The pact reflects shared Indo-Pacific interests, backing for UNCLOS, and Philippine plans to modernize external defense. Despite Manila&#8217;s energy-driven outreach to Beijing, the agreement strengthens interoperability, naval engagement, and negotiating leverage against maritime coercion in the West Philippine Sea. <em>Matteo Piasentini</em>, <strong><a href="https://fulcrum.sg/france-philippines-new-defence-agreement-a-pivotal-step">FULCRUM</a></strong>, <em>May 19</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p>]]></content:encoded></item><item><title><![CDATA[Asia Daily: May 19, 2026]]></title><description><![CDATA[Trump&#8217;s China trip highlights bipartisan shift in Washington&#8217;s approach to Beijing.]]></description><link>https://www.theasiacable.com/p/asia-daily-may-19-2026</link><guid isPermaLink="false">https://www.theasiacable.com/p/asia-daily-may-19-2026</guid><dc:creator><![CDATA[Alex Gintz (林大可）]]></dc:creator><pubDate>Tue, 19 May 2026 13:47:19 GMT</pubDate><enclosure url="https://substack-post-media.s3.amazonaws.com/public/images/8df81ab2-d0e0-43e5-8f9a-062dfa8f2ee3_1080x1080.png" length="0" type="image/jpeg"/><content:encoded><![CDATA[<div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!Gxkt!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1003367,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:true,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!Gxkt!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!Gxkt!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F51207d10-b8d4-4df3-a7f1-5752ebf9dfba_1920x325.png 1456w" sizes="100vw" fetchpriority="high"></picture><div></div></div></a></figure></div><h2>China</h2><p><strong>Trump&#8217;s China trip highlights bipartisan shift in Washington&#8217;s approach to Beijing.</strong> Congressional reaction to President Donald Trump&#8217;s visit to China showed broad bipartisan concern over any weakening of U.S. support for Taiwan. Democrats criticized Trump for appearing too accommodating toward Beijing, while Republicans stressed that economic engagement must not undercut deterrence in the Taiwan Strait. Lawmakers largely accepted the need for communication with China, but framed the relationship through security, technology and military competition. <em>Teresa Elena Frontado</em>, <strong><a href="https://scmp.com/news/us/politics/article/3354019/trumps-china-trip-highlights-bipartisan-shift-washingtons-approach-beijing">South China Morning Post</a></strong>, <em>May 18</em></p><p><strong>China denounces Taiwan foreign minister's Geneva visit amid WHO assembly.</strong> China denounced Taiwan Foreign Minister Lin Chia-lung&#8217;s visit to Switzerland during the World Health Assembly, saying countries should not provide platforms for Taiwan independence activities. Taiwan sent Lin and Health Minister Shih Chung-liang to Geneva for sideline meetings after Beijing again blocked its WHA participation. President Lai Ching-te said Taiwan&#8217;s inclusion would strengthen global health rights and support. <em>Liz Lee and Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/china-denounces-taiwan-foreign-ministers-switzerland-visit-amid-who-meeting-2026-05-18">Reuters</a></strong>, <em>May 18</em></p><h2>Japan</h2><p><strong>Takaichi mulls extra budget for electricity and gas subsidies.</strong> Prime Minister Sanae Takaichi said she is considering a supplementary budget to resume subsidies for household electricity and gas bills as the Middle East war pushes up petroleum and liquefied natural gas prices. She said support from July through September would keep fees below summer 2025 levels, while gasoline subsidies will continue through the summer. <em>Kohei Morioka</em>, <strong><a href="https://asahi.com/ajw/articles/16572246">The Asahi Shimbun</a></strong>, <em>May 18</em></p><p><strong>Japan, South Korea leaders to affirm cooperation on stable energy supply.</strong> Prime Minister Sanae Takaichi and President Lee Jae Myung are expected to agree in Andong to strengthen cooperation on stable energy supplies as the Middle East conflict disrupts crude oil shipments. The leaders are also likely to discuss resilient critical mineral supply chains, Indo-Pacific affairs and security cooperation involving North Korea, China and the United States. <strong><a href="https://english.kyodonews.net/articles/-/76254">Kyodo News</a></strong>, <em>May 19</em></p><p><strong>Japan LDP draft calls for interceptor drones, long-term combat capability.</strong> Japan&#8217;s ruling Liberal Democratic Party drafted security proposals calling for early deployment of interceptor drones, high-energy weapons and long-range drones for counterstrike missions. The draft also urges Japan to sustain combat operations for at least a year, strengthen sea-lane defenses, expand domestic weapons production and study next-generation submarines able to carry long-range missiles. <strong><a href="https://english.kyodonews.net/articles/-/76243">Kyodo News</a></strong>, <em>May 18</em></p><h2>South Korea</h2><p><strong>Unification white paper pivots to peaceful 'two-state' coexistence with N. Korea.</strong> The Lee government&#8217;s unification white paper shifts toward peaceful two-state coexistence with North Korea, emphasizing mutual trust, respect for Pyongyang&#8217;s system, no absorption unification, and no hostile acts. It cites halted anti-Pyongyang leaflets, suspended border loudspeaker broadcasts, and plans to revive the 2018 inter-Korean military agreement, while scaling back language on human rights and defectors. <em>Chang Dong-woo</em>, <strong><a href="https://en.yna.co.kr/view/AEN20260518004051315">Yonhap News Agency</a></strong>, <em>May 18</em></p><h2>North Korea</h2><p><strong>North Korea's Kim calls to make border with South Korea an 'impregnable fortress'.</strong> North Korean leader Kim Jong Un called for strengthening frontline units along the border with South Korea to more thoroughly deter war. Kim urged expanded practical drills, adjusted training systems and updated operational concepts reflecting modern warfare. South Korea said North Korean troops have increased fortification work near the land border since March, including the construction of walls. <em>Joyce Lee and Heejin Kim</em>, <strong><a href="https://reuters.com/world/asia-pacific/north-koreas-kim-calls-stronger-frontline-units-deter-war-kcna-says-2026-05-17">Reuters</a></strong>, <em>May 17</em></p><h2>Thailand</h2><p><strong>Govt pressed on charter reform progress.</strong> Deputy Prime Minister's Office Minister Paradorn Prissananantakul said the government would continue pursuing constitutional reform but could not give a timeline because parliament controls the process. Senators pressed for details after more than 21 million voters backed reform in the Feb. 8 referendum. The People&#8217;s Party and civil society groups called for broad public participation, limits on Senate influence, and a clear reform roadmap. <em>Aekarach Sattaburuth</em>, <strong><a href="https://bangkokpost.com/thailand/politics/3257154/govt-pressed-on-charter-reform-progress">Bangkok Post</a></strong>, <em>May 18</em></p><p><strong>Thai Q1 GDP growth beats forecasts, but 2026 outlook unchanged amid Middle East war.</strong> Thailand&#8217;s economy grew 2.8% year on year in the first quarter, beating forecasts, with support from exports, consumption, investment, manufacturing and government spending. The planning agency kept its 2026 growth outlook at 1.5% to 2.5% as the Middle East war weighs on exports and purchasing power. Unemployment rose to 0.91%. <em>Orathai Sriring, Kitiphong Thaichareon and Chayut Setboonsarng</em>, <strong><a href="https://reuters.com/world/asia-pacific/thai-q1-gdp-grows-28-yy-above-forecast-2026-05-18">Reuters</a></strong>, <em>May 18</em></p><h2>Myanmar</h2><p><strong>New Myanmar regime tightens forcible conscription covering 13 million citizens.</strong> Defense Minister General Tun Aung ordered regional administrations and immigration officials to compile conscription lists, expanding enforcement of a draft covering roughly 13 million eligible citizens. Authorities have abducted men from homes, streets, and buses, while defectors say conscripts are being sent into active combat despite regime assurances. Nearly 120,000 people have reportedly been recruited in 24 batches. <em>Myo Pyae</em>, <strong><a href="https://irrawaddy.com/news/burma/new-myanmar-regime-tightens-forcible-conscription-covering-13-million-citizens.html">The Irrawaddy</a></strong>, <em>May 18</em></p><h2>Cambodia</h2><p><strong>Cambodia, India complete joint CINBAX II war games, strengthen military ties.</strong> Cambodia and India completed the second CINBAX II joint military exercise after 14 days of combat simulations, live-fire drills, command post exercises, and technology exchanges. The training focused on interoperability, UN-mandated operations, drones, counter-drone systems, and tactical missions. Officials said the exercise strengthened military cooperation, mutual trust, and professional ties between the two armed forces. <em>Meng Seavmey</em>, <strong><a href="https://cambodianess.com/article/cambodia-india-complete-joint-cinbax-ii-war-games-strengthen-military-ties">Cambodianess</a></strong>, <em>May 18</em></p><h2>Philippines</h2><p><strong>Philippines opens impeachment trial of VP Duterte amid political turmoil.</strong> The Philippine Senate opened Vice President Sara Duterte&#8217;s impeachment trial, with hearings yet to be scheduled. Duterte was given 10 days to answer accusations of misusing public funds, amassing unexplained wealth and threatening President Ferdinand Marcos Jr., the first lady and a former House speaker. A recent Senate leadership shift tied to fugitive Sen. Ronald dela Rosa could complicate conviction prospects. <em>Nestor Corrales, Karen Lema, Mikhail Flores, Eloisa Lopez and Lorenzo Lesaba</em>, <strong><a href="https://reuters.com/world/asia-pacific/philippines-convene-court-vp-impeachment-amid-political-turmoil-2026-05-18">Reuters</a></strong>, <em>May 18</em></p><p><strong>Marcos to tackle security in meeting with Japanese prime minister.</strong> President Ferdinand Marcos Jr. plans to discuss stronger security cooperation with Prime Minister Sanae Takaichi during his state visit to Japan, focusing on maritime order, gray-zone tactics in the South China Sea, and broader support for Asean. Marcos cited a new cross-servicing agreement, Japan&#8217;s Balikatan 2026 participation, and further exercises, exchanges, and interoperability. <em>Kristina Maralit</em>, <strong><a href="https://manilatimes.net/2026/05/19/news/marcos-to-tackle-security-in-meeting-with-japanese-prime-minister/2346708">The Manila Times</a></strong>, <em>May 19</em></p><h2>Indonesia</h2><p><strong>Indonesia continues Russian oil imports despite U.S. sanctions.</strong> Indonesia will continue importing Russian oil after U.S. sanctions relief expired on May 16, with officials citing an independent foreign policy, BRICS membership, and national energy security. The government expects Russian crude to enter Indonesia soon as part of a phased commitment to import 150 million barrels by the end of 2026. <strong><a href="https://en.antaranews.com/news/416145/indonesia-continues-russian-oil-imports-despite-us-sanctions">ANTARA News</a></strong>, <em>May 18</em></p><p><strong>Prabowo says Indonesia will build defense capability further as Air Force receives Rafale jets.</strong> President Prabowo Subianto said Indonesia will keep strengthening defense capabilities as a deterrent while handing six Rafale fighter jets and other hardware to the Air Force. The jets are part of a 42-aircraft Dassault order worth $8.1 billion. The handover also included Falcon 8X aircraft, an Airbus A400M, radar, Meteor missiles and smart weapons. <em>Ananda Teresia</em>, <strong><a href="https://reuters.com/world/asia-pacific/prabowo-says-indonesia-will-build-defence-capability-further-air-force-receives-2026-05-18">Reuters</a></strong>, <em>May 18</em></p><h2>Malaysia</h2><p><strong>Malaysia PM meets with king amid talk of early elections.</strong> Malaysia&#8217;s King Sultan Ibrahim met Prime Minister Anwar Ibrahim after Anwar floated the possibility of an early election if divisions in the ruling alliance widen. Polls are not due until early 2028, but tensions have grown between Anwar&#8217;s Pakatan Harapan bloc and Barisan Nasional, while former cabinet ministers Rafizi Ramli and Nik Nazmi Nik Ahmad have left Anwar&#8217;s party. <em>Rozanna Latiff and Ashley Tang</em>, <strong><a href="https://reuters.com/world/asia-pacific/malaysia-pm-meets-with-king-amid-talk-early-elections-2026-05-18">Reuters</a></strong>, <em>May 18</em></p><h2>Taiwan</h2><p><strong>Taiwan open to direct talks between Trump and Lai amid concerns after Beijing summit.</strong> Taiwan said it would welcome a direct call between President Donald Trump and President Lai Ching-te after Trump suggested he might speak with Lai following his Beijing summit with Xi Jinping. Deputy Foreign Minister Chen Ming-chi said Trump&#8217;s remarks caused unnecessary concern but that Taiwan believes U.S. policy remains unchanged. Taipei also emphasized urgent defence needs amid China&#8217;s military threat. <em>Ben Blanchard</em>, <strong><a href="https://reuters.com/world/china/taiwan-open-direct-talks-between-trump-lai-amid-concerns-after-beijing-summit-2026-05-18">Reuters</a></strong>, <em>May 18</em></p><p><strong>WHO members reject proposal to invite Taiwan to participate in annual assembly.</strong> World Health Organization members rejected a proposal to invite Taiwan to the annual World Health Assembly after China opposed its participation. Palau and other supporters said excluding Taiwan risked weakening global disease surveillance and information sharing. Taiwan previously attended as an observer from 2009 to 2016, but Beijing has blocked its participation since 2017. <em>Olivia Le Poidevin</em>, <strong><a href="https://reuters.com/world/china/who-members-reject-proposal-invite-taiwan-participate-annual-assembly-2026-05-18">Reuters</a></strong>, <em>May 18</em></p><h2>India</h2><p><strong>Modi allies push for bigger families despite India&#8217;s 1.4-billion population.</strong> Allies of Prime Minister Narendra Modi are encouraging larger families as India&#8217;s fertility rate falls below replacement level despite a population of 1.42 billion. Andhra Pradesh announced cash incentives for third and fourth children, while Sikkim has offered maternity, paternity and IVF support. The RSS also prioritized bigger families, warning that demographic imbalances could create tensions. <em>Krishna N. Das and Rishika Sadam</em>, <strong><a href="https://reuters.com/world/india/modi-allies-push-bigger-families-despite-indias-14-billion-population-2026-05-18">Reuters</a></strong>, <em>May 18</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/p/asia-daily-may-19-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share&quot;,&quot;text&quot;:&quot;Share&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/p/asia-daily-may-19-2026?utm_source=substack&utm_medium=email&utm_content=share&action=share"><span>Share</span></a></p><div><hr></div><div class="captioned-image-container"><figure><a class="image-link image2" target="_blank" href="https://substackcdn.com/image/fetch/$s_!og6W!,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" data-component-name="Image2ToDOM"><div class="image2-inset"><picture><source type="image/webp" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw"><img src="https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png" width="1456" height="246" data-attrs="{&quot;src&quot;:&quot;https://substack-post-media.s3.amazonaws.com/public/images/affd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:246,&quot;width&quot;:1456,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:1168580,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https://www.theasiacable.com/i/183968842?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}" class="sizing-normal" alt="" srcset="https://substackcdn.com/image/fetch/$s_!og6W!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 424w, https://substackcdn.com/image/fetch/$s_!og6W!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 848w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1272w, https://substackcdn.com/image/fetch/$s_!og6W!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Faffd15d2-bf3d-4807-b32c-9e9ca6caade3_1920x325.png 1456w" sizes="100vw" loading="lazy"></picture><div></div></div></a></figure></div><h2>East Asia</h2><p><strong>Improving U.S.-China Relations.</strong> The 1972 Nixon visit offers a model for managing U.S.-China rivalry through strategic discipline, careful language, and durable mechanisms. Taiwan remains the central test, while trade, technology, AI, and regional security require rules that limit escalation. Trump could use presidential authority to pursue stability, but only if transactions become sustained frameworks. Competition will persist, yet peace depends on restraint, patience, and power-based compromise. <em>Xudong Zhu</em>, <strong><a href="https://uscnpm.org/analysis/improving-u-s-china-relations/">U.S.-China Perception Monitor</a></strong>, <em>May 18</em></p><p><strong>China and the U.S. Agreed to &#8216;Strategic Stability&#8217; in Beijing. They Don&#8217;t Define It the Same Way.</strong> The Beijing summit created shared language but not shared meaning. Washington framed strategic stability as practical trade management, while Beijing tied it to hierarchy, core interests, and limits on competition. New trade and investment boards may reduce disputes, yet Taiwan, technology controls, industrial policy, and security remain unsettled. The outcome is managed rivalry, not a grand bargain, with allies facing reduced tension and greater uncertainty. <em>Zongyuan Zoe Liu</em>, <strong><a href="https://www.cfr.org/articles/china-and-the-u-s-agreed-to-strategic-stability-in-beijing-they-dont-define-it-the-same-way">Council on Foreign Relations</a></strong>, <em>May 18</em></p><p><strong>Trump&#8211;Xi summit delivers a triple win.</strong> The Beijing summit signals a change from confrontation toward managed competition and practical cooperation. China secured recognition of a stable framework, while the United States gained economic deliverables through agricultural and aircraft purchases. Global markets also benefit from lower uncertainty in supply chains, technology, and trade. Structural rivalry remains, but stronger mechanisms, mutual interests, and governance needs could support a calmer relationship. <em>Gu Qingyang</em>, <strong><a href="https://www.thinkchina.sg/politics/trump-xi-summit-delivers-triple-win">ThinkChina</a></strong>, <em>May 18</em></p><p><strong>Trump-Xi Meeting in Beijing: A Perspective from Poland.</strong> The Beijing meeting reduced U.S.-China escalation, but Poland views the summit through NATO&#8217;s eastern flank and Russia&#8217;s war in Ukraine. U.S. troop cuts in Europe raise doubts about American predictability, while China&#8217;s support for Russia limits trust in Beijing. Poland needs trade with China yet treats it with caution. Europe&#8217;s absence from summit priorities underscores the need for Warsaw and the EU to adapt. <em>Konrad Szatters</em>, <strong><a href="https://chinaobservers.eu/trump-xi-meeting-in-beijing-a-perspective-from-poland">chinaobservers</a></strong>, <em>May 18</em></p><p><strong>Trump&#8217;s China Pragmatism Is Welcome.</strong> Rivalry with China remains unavoidable, but full economic rupture would damage the global economy, raise prices, hurt U.S. firms, and divide technology systems into hostile blocs. Trump&#8217;s respect for Chinese power may support a pragmatic mix of competition and cooperation. Washington should preserve trade, dialogue, and joint work on nuclear stability, AI safety, pandemics, and financial crises while avoiding Cold War thinking. <em>Fareed Zakaria</em>, <strong><a href="https://foreignpolicy.com/2026/05/18/trump-xi-meeting-china-united-states-economics-trade-great-power-competition">Foreign Policy</a></strong>, <em>May 18</em></p><p><strong>Deflation: Beijing&#8217;s blind spot or its strategy?</strong> China&#8217;s deflation reflects weak demand and deliberate industrial expansion in clean energy, electric vehicles, batteries, AI, and advanced manufacturing. Falling prices expose property stress, low consumption, local debt, and corporate losses, yet they also support scale gains in strategic sectors. Beijing tolerates some price pressure while curbing destructive competition. Sustainability depends on household consumption, hukou reform, and social protections, with major spillovers for Southeast Asia. <em>Genevieve Donnellon-May</em>, <strong><a href="https://www.thinkchina.sg/economy/deflation-beijings-blind-spot-or-its-strategy">ThinkChina</a></strong>, <em>May 18</em></p><p><strong>The Invisible Initiative: How China is Using Fishing as a Cover for Gray Zone Warfare.</strong> China&#8217;s fishing fleets support gray zone operations by blending civilian activity with state-backed maritime coercion. Domestic laws, Coast Guard powers, AIS disablement, and militia structures help Beijing assert claims, evade scrutiny, and pressure rivals without open war. These practices endanger crews, blur civilian and military roles, and expose weak international enforcement. Silence from global institutions allows this maritime strategy to remain hidden. <em>Erica Ruoxin Zhang</em>, <strong><a href="https://sinosoutheastinitiative.com/2026/05/18/the-invisible-initiative-how-china-is-using-fishing-as-a-cover-for-gray-zone-warfare">Sino-Southeast Initiative</a></strong>, <em>May 18</em></p><h2>Central Asia</h2><p><strong>Uzbekistan fund&#8217;s IPO taps growing interest from global investors.</strong> Uzbekistan&#8217;s National Investment Fund IPO marks the country&#8217;s first move into global equity markets and advances President Shavkat Mirziyoyev&#8217;s reform agenda. Strong growth, investor demand, and Franklin Templeton&#8217;s role drew major backing from BlackRock and other buyers. The fund offers exposure to state firms, but weak governance, limited rule of law, and elite resistance create risks. Future privatizations depend on sustained political commitment. <em>Dakota Irvin</em>, <strong><a href="https://asia.nikkei.com/opinion/uzbekistan-fund-s-ipo-taps-growing-interest-from-global-investors">Nikkei Asia</a></strong>, <em>May 18</em></p><div><hr></div><p class="button-wrapper" data-attrs="{&quot;url&quot;:&quot;https://www.theasiacable.com/subscribe?&quot;,&quot;text&quot;:&quot;Subscribe now&quot;,&quot;action&quot;:null,&quot;class&quot;:null}" data-component-name="ButtonCreateButton"><a class="button primary" href="https://www.theasiacable.com/subscribe?"><span>Subscribe now</span></a></p>]]></content:encoded></item></channel></rss>