China
China’s consumer prices rise at fastest pace in nearly 2 years in November. Headline inflation rose 0.7 % in November year on year, the strongest CPI gain since early 2024, as food prices returned to growth and consumer goods and services climbed 0.6 % and 0.7 %. Producer prices fell 2.2 %, extending a 38-month factory-gate downturn. Xinyi Wu, South China Morning Post, December 10
China and Russia must be on guard to stop Japan causing trouble, Chinese ex-diplomat warns. Former vice foreign minister Wu Hailong told a Beijing forum that Japan is becoming the most serious and direct threat to both countries, citing its Taiwan stance, military buildup and lack of wartime remorse, and urged tighter China Russia coordination and vigilance. Jane Cai, South China Morning Post, December 10
Full text: China’s policy paper on Latin America and the Caribbean. China’s new policy paper outlines a blueprint for closer ties with Latin America and the Caribbean, framing the region as a key part of the Global South. It pledges support for multipolarity, trade, investment, Belt and Road projects, security cooperation, and people-to-people links, under five themed cooperation programs. Global Times, December 10
Japan
U.S. backs Japan in dispute with China over radar incident. Washington criticized Chinese pilots for aiming radars at Japanese aircraft near Okinawa, calling the actions destabilizing and reaffirming an unwavering U.S.-Japan alliance. Tokyo welcomed the support as Beijing accused Japan of disrupting carrier training and tensions rose after Prime Minister Sanae Takaichi’s Taiwan remarks amid regional strains. Daphne Psaledakis and John Geddie, Reuters, December 10
Russian bombers join Chinese air patrol near Japan as Tokyo-Beijing tie strains. Japan scrambled fighter jets after two Russian Tu-95 bombers and two Chinese H-6 bombers conducted a long-distance patrol between Okinawa and Miyako with J-16 escorts, as additional Russian aircraft operated in the Sea of Japan and Defence Minister Shinjiro Koizumi condemned the show of force. Maxim Rodionov and Kantaro Komiya, Reuters, December 10
Japan to create ministerial post for envisioned national intelligence bureau. Japan will appoint a minister for intelligence to oversee a new national intelligence bureau that centralises information from ministries and police, upgrading the Cabinet Intelligence and Research Office. The bureau will be empowered to request data across government as Tokyo considers espionage legislation and a foreign intelligence agency framework. The Japan Times, December 9
South Korea
South Korea signs deal to supply tanks, armored vehicles to Peru. South Korea agreed to provide Peru with 54 K2 tanks and 141 wheeled armored vehicles under a new government-to-government framework, in cooperation with a Korean defence firm and Peru’s state-owned company. Seoul said the package is its largest ground-equipment export deal yet to Latin America by value so far. Heekyong Yang, Reuters, December 9
South Korea scrambles fighter jets as Chinese, Russian warplanes enter air defence zone. South Korea said it scrambled jets after seven Russian and two Chinese military aircraft entered its air defence identification zone off the east and south coasts for about an hour, with no airspace breach reported, in another joint patrol that regularly tests regional vigilance and air readiness. Joyce Lee, Reuters, December 9
PPP lawmaker Ihn Yohan steps down, urging nation to overcome ‘unfortunate events’ over botched martial law bid. He said he will give up his seat and return to medicine, presenting the move as surrendering vested interests and promoting unity after former President Yoon Suk Yeol’s failed martial law bid. Rep. Lee So-hee is set to take his place. Yi Wonju, Yonhap News Agency, December 10
North Korea
N. Korea begins ruling party meeting to prepare for key party congress. State media KCNA said Wednesday the Workers’ Party of Korea convened an enlarged 13th plenary meeting of its Eighth Central Committee on Dec. 9 to review this year’s party policy implementation and approve five agenda items tied to preparations for a ninth congress expected in February. Park Boram, Yonhap News Agency, December 10
Vietnam
Numerous important laws, resolutions to be adopted on Wednesday. The 15th National Assembly plans to approve a wide package of revised and new laws on tax administration, personal income, cybersecurity, defence industry, artificial intelligence and judicial oversight, along with resolutions on environmental protection, education reform, integration mechanisms and international agreements. The session is part of its ongoing 10th-term legislative agenda. Vietnam News, December 10
Thailand
People’s Party confident charter debate will take two days. The opposition People’s Party expects the second reading of charter amendments to finish within a two-day special session, allowing a referendum alongside the general election. MP Pakornwut Udompipatsakul urges flexible debate time and says even a spillover to Friday will not derail plans or timetable for the planned national referendum. Aekarach Sattaburuth, Bangkok Post, December 10
Border battle expands as Thailand and Cambodia clash for second day. Fighting along the disputed border intensified on Dec. 9 as Thai air and ground forces struck Cambodian positions, while both sides accused each other of shelling civilians and displaced hundreds of thousands. Bangkok rejected calls for talks, as Phnom Penh signaled readiness for dialogue on Tuesday. Panarat Thepgumpanat and Orathai Sriring, Reuters, December 9
Thailand says tariffs must not be used to force peace with Cambodia. Thai Foreign Minister Sihasak Phuangketkeow said tariff threats should not be used to push Bangkok into talks with Cambodia, insisting Phnom Penh must first halt renewed border attacks that have killed civilians and displaced thousands after the heaviest clashes since July and a Trump brokered ceasefire earlier. Devjyot Ghoshal, Reuters, December 9
Myanmar
As Myanmar economy sinks, junta grabs lifeline from Europe’s last dictator. Facing sanctions and capital flight, Myanmar’s junta is courting Belarus for economic and military support after Aleksandr Lukashenko’s eight-hour visit to Naypyitaw produced 16 cooperation memorandums. Traders question plans for long-distance trade in food, rubber and goods, warning logistics costs are high and deals may deliver symbolism, not recovery. The Irrawaddy, December 9
Cambodia
Cambodia ‘ready at any time’ for talks to end conflict with Thailand, PM adviser says. A senior adviser to Prime Minister Hun Manet said Cambodia is open to talks with Thailand after border fighting that killed at least 13 people and displaced thousands, but insisted negotiations require shared goodwill as Bangkok demands Phnom Penh make the move. Martin Petty and Devjyot Ghoshal, Reuters, December 9
Cambodia pulls team out of SEA Games in Thailand over border conflict. Cambodia withdrew its delegation from the SEA Games in Bangkok on Dec. 10, citing safety concerns as border fighting with Thailand entered a third day, killing at least 14 people and injuring 88 while displacing hundreds of thousands. The National Olympic Committee said families requested athletes return home. Martin Petty, Reuters, December 10
Philippines
ICC urged to reject Duterte’s jurisdiction challenge over drug war crimes. ICC prosecutors and victims’ counsel urged appeals judges to dismiss former president Rodrigo Duterte’s challenge to the court’s authority over drug war killings, arguing the Philippines remains bound for acts committed before its 2019 withdrawal and that preliminary examinations create jurisdiction under the Rome Statute. Franco Jose C. Baroña, The Manila Times, December 9
ADB approves $400 million loan to make it easier to do business in the Philippines. The Asian Development Bank approved a policy-based loan to help the Philippines cut red tape, strengthen regulations and attract more foreign investment, focusing on sectors like renewable energy and digital infrastructure as FDI trails regional peers and a flood-control scandal weighs on confidence. Karen Lema, Reuters, December 10
DOJ denies receiving Interpol arrest warrant for Senator Dela Rosa. Justice officials said they have neither seen nor received any Interpol warrant for Senator Ronald “Bato” Dela Rosa over alleged crimes against humanity before the International Criminal Court, urging the public to avoid speculation as police likewise reported no notice of his whereabouts or any arrest. Franco Jose C. Baroña, The Manila Times, December 9
Indonesia
U.S. trade deal with Indonesia at risk of collapse, U.S. official says. An anonymous U.S. official said the July trade agreement is at risk because Jakarta is reneging on commitments to scrap tariffs on more than 99% of U.S. goods, remove non-tariff barriers and act on digital trade, changes Washington warns would undercut deals it struck with Malaysia and Cambodia. Andrea Shalal, Reuters, December 10
Indonesia, Pakistan seek stronger ties as Prabowo begins visit. President Prabowo Subianto arrived in Islamabad to deepen political, defence and economic cooperation as both countries navigate shifting regional alignments. Welcomed with full military honours by President Asif Ali Zardari and Prime Minister Shehbaz Sharif, he plans high-level talks on trade, security and broader partnerships this week. ANTARA News, December 9
Taiwan
AI demand powers Taiwan November exports to fastest growth in 15-1/2 years. Exports surged 56% to a record $64.05 billion in November, driven by booming global demand for chips and AI technology, with shipments to the United States jumping 182.3% and to China 16.5%, while imports rose 45% on strong orders for components and other key materials. Faith Hung and Roger Tung, Reuters, December 9
India
Top Indian arms makers held rare meetings in Russia on potential joint ventures, sources say. Half a dozen executives from Indian defence firms including Adani Defence and Bharat Forge visited Moscow in October for the first time since 2022 to discuss joint production of spares and Russian systems, even as sanctions fears and ambitions make ventures with Moscow sensitive. Shivam Patel, Reuters, December 9
Kazakhstan
Kazakhstan to supply Kashagan crude to China directly after CPC terminal damage. Kazakhstan plans its first direct shipment of 50,000 tons of Kashagan crude to China this month after a Ukrainian drone damaged the Caspian Pipeline Consortium’s Black Sea terminal, forcing export cuts. The government protested the Nov. 29 attack as a deliberate strike on critical infrastructure there. Fatima Kemelova, The Astana Times, December 9
Kazakhstan and Brazil look beyond geography to build strategic partnership. During Dec. 8 talks in Astana, deputy foreign ministers Yerzhan Ashikbayev and Susan Kleebank highlighted shared backing for multilateralism and cooperation, eyeing joint projects in agro-industry, logistics, energy, aviation and digitalization. Both sides stressed their embassies in each other’s regions and sought closer education, research and tourism links. Fatima Kemelova, The Astana Times, December 9
Uzbekistan
Pakistani developer proposes ‘New Uzbekistan’ complex in Islamabad. Uzbekistan and Pakistan are discussing a New Uzbekistan residential complex and park in Islamabad after Ambassador Alisher Tukhtaev met developer Habib Rafiq to encourage investment. The project would draw on Uzbekistan’s housing and New Tashkent experience and link to Pakistan’s Capital Smart City as a flagship hub. Sadokat Jalolova, The Times of Central Asia, December 9
Uzbekistan mulls FIA-backed international races. President Shavkat Mirziyoyev met FIA president Mohammed Ben Sulayem in Tashkent to deepen motorsport and road safety cooperation, including training drivers and engineers and building modern race infrastructure. They discussed hosting future international events, possibly a Formula 1 stage, and Mirziyoyev awarded Sulayem the Dustlik Order for promoting the sport in Uzbekistan and abroad. Uzbekistan Daily, December 9
Turkmenistan
Turkmen president publishes new ‘best-seller’. President Serdar Berdymukhamedov released his fourth book, Turkmenistan’s Neutrality: A Bright Path to Peace and Trust, launched with a Foreign Ministry ceremony featuring a student choir and marking the 30th anniversary of Turkmenistan’s permanent neutrality. State media hailed it as a resource on neutrality as officials praised his creativity and leadership tradition. Eurasianet, December 9
East Asia
How China Wins the Future. Beijing pursues dominance across emerging strategic frontiers including the deep seabed, the Arctic, outer space, cyberspace, and global finance, combining technological investment, institutional influence, and long-term planning to reshape rules in its favor. It develops mining and mapping capabilities while shaping regulations in the International Seabed Authority, expands Arctic shipping and resource projects with Russia, and builds advanced space and lunar programs to rival the U.S. Artemis coalition. In digital infrastructure, China pushes Huawei-led standards and New IP to strengthen state control over the Internet, and promotes the renminbi and CIPS to erode dollar centrality. These efforts face resistance yet accumulate power. The United States must rebuild capabilities, coordinate allies, and offer credible leadership or risk ceding future systems to Beijing. Elizabeth Economy, Foreign Affairs, December 9
The Consequences of Exporting AI Chips to China. President Donald Trump announces that the United States will allow Nvidia to sell H200 AI chips to China with revenue sharing for Washington and sales restricted to approved U.S. customers. The decision reverses export controls that sought to limit Chinese progress in advanced artificial intelligence and related data centers. Experts warn that access to H200 chips will strengthen Chinese technology firms, expand domestic and global computing infrastructure, and narrow the gap with U.S. competitors across the AI stack. The move weakens U.S. leverage from earlier pressure on firms such as Huawei and ZTE and supports China’s drive toward greater strategic autonomy. Michael C. Horowitz, Chris McGuire, and Zongyuan Zoe Liu, Council on Foreign Relations, December 9
Donald Trump’s flawed plan to get China hooked on Nvidia chips. China trails the United States in AI hardware while catching up in software, and American leaders dispute how to use that advantage. President Trump approves sales of Nvidia’s powerful H200 chip to selected Chinese customers in return for a 25 percent revenue share for Washington, although controls still block the newest Blackwell and Rubin lines. Previous restrictions pushed Nvidia to release weaker H800 and H20 models and encouraged regulators in Beijing to steer buyers toward domestic suppliers such as Huawei, Cambricon and Moore Threads, which now win most Chinese AI chip orders. The Economist, December 9
Have Top Chinese AI Researchers Stayed in the United States? Analysis of a dataset on 675 NeurIPS 2019 authors finds that of 100 Chinese-origin AI researchers based in US institutions, 87 work in the United States, 10 work in China and 3 work in other countries. Strong stay rates reflect attractive research roles at US universities and major firms, yet visa uncertainty, prosecutions, travel controls and suspicion push some researchers toward China, where universities and companies run frontier AI projects. High-impact returnees include Yang Zhilin, founder of Moonshot AI and the Kimi model series, whose open source systems support start-ups across regions. Rising Chinese output at NeurIPS and a share of researchers remaining in China threaten US talent advantages and prompt calls for broad efforts to train, attract and retain AI experts. Matt Sheehan and Sophie Zhuang, Carnegie Endowment for International Peace, December 9
Innovative drugs: The new battleground in US-China rivalry. Biotechnology competition over innovative drugs shapes US-China rivalry and serves as a measure of scientific strength. The United States keeps a lead through deep research funding, venture capital hubs and the global authority of the FDA, which turns approvals into passports for world markets. China advances through national strategies, regulatory reform, a vast patient pool, cost control and returning talent in fields such as cell and gene therapy, though faces price wars and weaker brands. Both depend on each other’s supply chains, so full decoupling would raise costs, while structured cooperation could pair US innovation with Chinese scale. Singapore offers a regional gateway and testing ground for Asia-focused medicines. Ong Choon Nam, ThinkChina, December 9
Diplomatic assertiveness underpins Takaichi’s leadership. Japanese Prime Minister Sanae Takaichi pursues energetic summit diplomacy across the Asia Pacific to announce that Japan is back and to shore up authority at home. Close alignment with visiting US President Donald Trump, including talk of a Nobel Peace Prize nomination, seeks relief from pressure for greater defence spending while advisers from the Abe era guide outreach. Takaichi hardens China policy through restrained strategic balancing yet avoids direct tests of Beijing’s red lines on history and Taiwan. A statement linking a Chinese attack on Taiwan to a survival-threatening crisis for Japan triggers sharp protests from China, and Tokyo repeats support for peaceful dialogue. High approval ratings rest on diplomatic theatre and strict views on tourism, immigration and welfare, opening space for reforms. Mong Cheung, East Asia Forum, December 9
A Stress Test for Resilience: Risks & Opportunities for the U.S.-Japan Alliance. Trump’s return to office strains the U.S. Japan alliance through harsh tariffs, large investment demands and pressure for steep defense spending increases, while regional threats from China, North Korea and Russia grow. Working level military cooperation, joint exercises and a new joint command center continue, and Japan moves toward a defense budget equal to 2 percent of GDP with new long-range strike assets. Doubts over U.S. strategy, heavy economic burdens, domestic political changes and fading faith in extended deterrence erode trust in American guarantees. Recommended steps include deeper command integration, updated burden-sharing formulas, stronger nuclear consultations and wider support in both societies to sustain a modernized partnership. Emma Chanlett-Avery, Asia Society Policy Institute, December 9
‘Kaizen’ for capital: Employee ownership is Japan’s next great innovation. Employee ownership is Japan’s next step in kaizen, pairing frontline empowerment with a direct stake in company performance. Survey data show low engagement despite low quit rates and high financial stress, while broad stock ownership can boost productivity, household wealth and social stability. Ownership Works Japan partners with firms such as Bushu Pharma and Yayoi to provide equity, education and voice, and initial results link these programs to higher satisfaction and stronger connection to corporate success. Pete Stavros, Nikkei Asia, December 9
Lee Jae Myung’s END Strategy: Path to Progress or Dead End? President Lee Jae Myung revives progressive engagement with North Korea through his END vision of Exchange, Normalization and Denuclearization, which starts with humanitarian exchanges and political restraint and seeks a nuclear-free Korean Peninsula. He lowers tension at home by pursuing accountability for the Yoon era martial law plot, easing restrictions on remittances and activism, and signaling openness to apology over past drone incidents. He faces a harsher setting that includes deep U.S.-China rivalry, support from Beijing and Moscow for Pyongyang, and a North Korean regime that rejects denuclearization and leans on its arsenal for legitimacy. The strategy may manage risk and keep dialogue options alive, but cannot overcome severe structural limits. George Hutchinson, 38 North, December 9
Southeast Asia
Thailand and Cambodia Head Back to Battle, Presaging Possible War. Fighting between Thailand and Cambodia resumes after a landmine kills a Thai soldier and Thailand withdraws from a Trump-brokered peace deal. Thai air strikes at the border kill civilians and follow exchanges of fire between troops as Bangkok claims Phnom Penh has mobilized heavy weaponry. Casualties mount on both sides and large numbers of civilians flee border areas. Thai leaders use the conflict to strengthen nationalist support before a March election and to cripple Cambodian forces accused of laying mines. Cambodian leaders resist de-escalation amid public anger while external actors struggle to influence either government. Joshua Kurlantzick, Council on Foreign Relations, December 9
Sovereignty and Military’s Image Drive Thailand’s Hardline Response to Cambodia. Thailand goes from a peace agreement with Cambodia to airstrikes after border clashes and a landmine blast injure Thai soldiers. Deep narratives of territorial sovereignty and belief in the military as guardian of the kingdom shape public opinion and constrain civilian leaders. Historical disputes over Preah Vihear and a popular story of territory lost many times promote suspicion of compromise with Phnom Penh. The army presents itself as selfless defender, commands higher trust than politicians, and shapes conflict narratives after claims of interference with its operations. Facing polls and minority status, the government submits territorial agreements with Cambodia to a referendum, keeping Thai policy tied to nationalist pressure and heightening escalation risk. Pongkwan Sawasdipakdi, FULCRUM, December 9
Vietnam Tries to Escape the U.S.-China Great Power Trap. Vietnam upgrades ties with Algeria, Kuwait, and South Africa as part of a wider push to lessen dependence on China and the United States. Hanoi’s leaders describe diplomacy as a core, frequent tool of national security and seek more partners to manage growing great power tension. Vietnam joins BRICS as a partner and expands comprehensive strategic partnerships to major states such as Australia, India, Japan, South Korea, and the United States. At the same time, Hanoi conducts its first joint army drills with China and deepens defense cooperation with Washington through training, industry ties, and cybersecurity. This mix of diversification and hedging supports an era of national rise yet complicates U.S. efforts to enlist Vietnam in open confrontation with Beijing. Derek Grossman, Foreign Policy, December 9
South Asia
Strained India–US relations under Trump 2.0 test India’s strategic autonomy. India-US ties that leaders hailed as having overcome Cold War hesitations deteriorate under Trump’s second term as mistrust, security disputes and protectionist policies collide. Trump tariffs of 50 per cent on Indian goods and criticism of Russian oil purchases spur Indian efforts to expand domestic demand, diversify trade partners and settle a rising share of trade in rupees. Both states keep cooperating through defence, technology and space frameworks yet India reinforces strategic autonomy, engages China and Russia through the SCO and seeks a free trade agreement with the European Union. Structural weaknesses in India’s economy, dependence on China and limited democracy promotion weaken its image as manufacturing hub and democratic partner, pushing New Delhi toward a proactive multi-aligned foreign policy. Chietigj Bajpaee, East Asia Forum, December 9
Dirty Air Threatens India’s Global Power. Toxic air in New Delhi and across India now functions as a governance crisis, security threat, and strategic weakness rather than a seasonal nuisance. Almost the entire population breathes air above World Health Organization limits, with pollution linked to large death tolls, lost income, and shrinking life expectancy. Researchers warn that fine particulate exposure erodes lung capacity, harms brains, reduces productivity, and undermines the human capital that supports India’s growth and institutions. Weak enforcement, fragmented authority, and poor monitoring limit effective response, while poorer residents endure what some experts describe as environmental violence. Pollution disrupts schools, military training, diplomacy, and city life, damages India’s reputation as an emerging power, and triggers protests for the basic right to clean air. Safina Nabi, Foreign Policy, December 9