Asia Daily: February 28, 2024
News
China's Coast Guard Patrols Near Taiwanese Islands Deemed "Beyond Reproach." China has asserted that its coast guard patrols around the Taiwanese-controlled Kinmen islands, proximate to China's coast, are justified, countering Taiwan's claims of causing panic by boarding a Taiwanese tourist boat. The patrols aim to uphold "normal order" and safeguard fishermen and travelers, according to Zhu Fenglian, spokesperson for China's Taiwan Affairs Office. Amid escalating tensions, especially following the election of Taiwan's president Lai Ching-te, viewed by Beijing as a separatist, Taiwan reports increased Chinese military activity near its territory. China, denying Taiwan's sovereignty, attributes the recent deaths of two Chinese nationals to Taiwan's aggressive enforcement actions and urges respect for traditional fishing practices in the strait. Reuters, February 28
Indonesia's Likely Next President Made 4-Star General Despite Links to Alleged Human Rights Abuses. Indonesian President Joko Widodo has awarded Defense Minister Prabowo Subianto, linked to human rights abuses and the apparent winner of the February 14 presidential election, an honorary four-star general rank. This high honor, given in Jakarta, is Indonesia's second-highest military rank. Subianto, a former commander of the army special forces, has been implicated in human rights violations during Suharto's regime and in Timor-Leste during the 1980s and 90s, allegations he denies. Despite being dishonorably discharged in 1998 and previously banned from traveling to the U.S., Subianto's ban was lifted in 2020. His election win, capturing over 55% of the vote according to unofficial tallies, is yet to be officially confirmed. If validated, Subianto will take office in October, amid concerns from human rights groups about the implications of his honorary title on the Indonesian military's honor. Edna Tarigan and Achmad Ibrahim, Associated Press, February 28
South Korean and US Troops to Begin Major Exercises in Response to North Korean Threats. South Korean and U.S. military forces are set to commence expanded annual drills next week, aimed at addressing North Korea's growing nuclear threats. This decision, likely to provoke North Korea, which perceives such joint exercises as invasion rehearsals, comes amid heightened tensions due to North Korea's continued missile tests and aggressive rhetoric. The drills, named Freedom Shield, will include computer-simulated command post training and various field exercises from March 4-14, focusing on enhancing joint capabilities to counter North Korea's nuclear arsenal. This year's exercises will see a significant increase in field exercises, including air assault, live-firing, and bombing training, reflecting a robust commitment to deterrence and readiness. Hyung-Jin Kim, Associated Press, February 28
Zuckerberg Meets LG, Samsung Chiefs in Seoul as Meta Ramps Up AI Ambitions. Meta CEO Mark Zuckerberg has engaged in discussions on extended reality (XR) devices with LG Electronics during his visit to South Korea, emphasizing Meta's focus on AI. This visit is part of Zuckerberg's Asian tour, aimed at forging partnerships and enhancing relations with tech giants and leaders across the region. In a meeting with LG Electronics CEO William Cho, Zuckerberg explored business strategies for XR device development and showcased Meta's latest virtual-reality headset, Quest 3, and Ray-Ban Meta smart glasses. LG expressed interest in Meta's technology, particularly its large language models and potential for on-device AI integration, signaling a deepening collaboration in XR ventures. Zuckerberg's itinerary also included a meeting with Samsung Electronics Chairman Lee Jae-yong and is scheduled to meet South Korean President Yoon Suk Yeol. Jiwon Song and Hyung-Jin Kim, Associated Press, February 28
Health Services Disrupted as Mass Walkout by Trainee Doctors Approaches Deadline in South Korea. In Seoul, a significant disruption in medical services at major hospitals is underway as approximately 9,000 trainee doctors continue their strike for the ninth consecutive day, with the government's deadline for their return to work looming. The strike, centered around a dispute over the government's plan to increase medical school enrollment quotas, has led to a standoff, with the government threatening license suspensions and indictments for non-compliance. President Yoon Suk Yeol and Prime Minister Han Duck-soo have both emphasized the necessity of the plan to address doctor shortages and called for the striking doctors to resume work, citing patient care as a paramount concern. The ongoing strike has halved the number of surgeries at major hospitals, prompting the government to temporarily allow nurses to perform certain doctor roles. Lee Minji, Yonhap News Agency, February 28
Kishida to Attend Ethics Committee Hearing on Funds Scandal. Prime Minister Fumio Kishida has announced his intention to attend a political ethics committee meeting, a move that came unexpectedly amid discussions on the handling of a funds scandal. The committee session, agreed upon by both ruling and opposition parties, is set to convene on Thursday, with Kishida and five senior members of the Liberal Democratic Party (LDP) facing the committee in a session that will be fully open to the public. This decision follows debates between the LDP and opposition regarding the committee's structure and the openness of the hearings. The hearing, scheduled for Thursday and Friday, marks a significant moment as it addresses concerns surrounding political ethics and transparency within Japan's ruling party. Gabriele Ninivaggi and Eric Johnston, The Japan Times, February 28
Long Form
The Demographic Promises and Perils of Seoul’s Filipino Domestic Helper Initiative. South Korea's innovative approach to addressing its plummeting fertility rate involves outsourcing domestic labor to Filipino workers, aiming to encourage more women to join the workforce. This strategy, however, raises significant ethical and practical questions. South Korea's fertility rate, which dropped to a global low of 0.7, underscores the urgency of finding solutions to boost population growth and labor force participation. The initiative reflects a broader trend of relying on foreign labor for domestic tasks to free up local women for professional roles, but it also highlights the complexities of balancing demographic strategies with social and economic implications. Eom Tae Yeon, The Diplomat, February 28
Indonesia’s Long and Winding Road to OECD Membership. The Organization for Economic Cooperation and Development (OECD) has initiated accession talks with Indonesia, marking a significant step for the Southeast Asian nation towards joining the 38-member group. This move, described as "historic" by OECD Secretary-General Mathias Cormann, highlights Indonesia's status as a major global player and the largest economy in Southeast Asia. Indonesia's application is notable as the first from the region, emphasizing its dynamic growth and strategic importance on the world stage. The accession process underscores Indonesia's growing influence and the challenges ahead in aligning with OECD standards and practices. Sebastian Strangio, The Diplomat, February 28
Japan's chip reboot: TSMC, Samsung, Micron pave way for silicon revival. Japan is witnessing a significant revival in its semiconductor industry, marked by substantial investments from top-tier foreign chipmakers like TSMC, Samsung, and Micron, driven by government subsidies. This resurgence comes after two decades of stagnation, with TSMC's new plant in Kumamoto symbolizing the renewed interest and investment in Japan's chip sector. The move by these global tech giants is not only a testament to Japan's strategic efforts to reclaim its status as a key player in the semiconductor industry but also highlights the country's potential as a hub for cutting-edge semiconductor research and manufacturing. This revival is crucial for Japan's technological and economic future, promising to reposition the country in the global semiconductor landscape. Ryohtaroh Satoh and Cheng Ting-Fang, Nikkei Asia, February 28
New Nikkei 225 high should be an unmissable cue for Kishida. As Japan's Nikkei Stock Average surpasses its all-time high, reaching levels not seen since the late 1980s, the spotlight turns to Prime Minister Fumio Kishida and the potential for economic reform. This milestone, fueled by a corporate governance renaissance and international investment enthusiasm, presents a unique opportunity for Japan to solidify its position as a global investment hotspot. However, the challenge lies in bridging the gap between investor optimism and Japan's economic realities. Kishida's administration faces the task of translating this financial milestone into sustainable economic growth, through targeted reforms aimed at increasing productivity, innovation, and labor market flexibility. With Japan's economy showing signs of strain, the urgency for a comprehensive reform plan has never been greater. The Nikkei's surge is a call to action for Kishida to outline a clear vision for Japan's economic future, leveraging this moment to initiate meaningful changes that could redefine Japan's economic landscape. William Pesek, Nikkei Asia, February 28
The Quad’s growing focus on maritime security. The Quadrilateral Security Dialogue (Quad), comprising Japan, Australia, India, and the United States, is increasingly concentrating on maritime security in the Indo-Pacific, reflecting a strategic response to the region's shifting power dynamics. Initially formed following the 2004 Indian Ocean tsunami, the Quad has evolved, especially in light of China's assertive maritime behavior. Despite sharing liberal values, the Quad's members have faced challenges in formulating a unified agenda due to differing perspectives on security, particularly India's cautious stance towards overtly antagonizing China. However, recent developments indicate a more direct approach to addressing maritime challenges, including joint naval exercises and the Indo-Pacific Partnership for Maritime Domain Awareness initiative aimed at monitoring Chinese activities. The 2023 summit in Hiroshima marked a notable shift, with a clear statement opposing forceful changes in the maritime status quo. This evolving focus underscores the Quad's complex nature, balancing inclusivity with the strategic imperatives of its members, and highlights its growing significance in regional maritime security. Kyoko Hatakeyama, East Asia Forum, February 28