Asia Daily: February 29, 2024
News
European countries eye reopening embassies in North Korea after pandemic closures. Germany and the UK are among the European nations considering the return of diplomatic missions to Pyongyang, following extensive pandemic-induced closures. This move reflects a broader intent to re-engage with North Korea as it eases its stringent COVID-19 travel restrictions. Discussions and technical visits are underway to assess embassy reestablishments, indicating a cautious yet significant step towards re-establishing diplomatic channels in the reclusive state. Josh Smith and Alexander Ratz, Reuters, February 28
Chinese premier meets with US business group in Beijing as part of charm offensive. Chinese Premier Li Qiang engaged with a US business delegation, emphasizing the mutual benefits of Sino-American economic relations and opposing the US's "small yard, high fence" trade strategy. This meeting is part of Beijing's efforts to attract foreign investment amid economic challenges and geopolitical tensions. Li advocated for cooperation over rivalry, highlighting opportunities in advanced manufacturing and green energy, and reassured the US Chamber of Commerce of China's commitment to a welcoming investment environment. Ji Siqi, South China Morning Post, February 29
North Korea's Kim seeks 'industry revolution' in rural areas amid widening inequality. Kim Jong Un aims to tackle economic disparities and food shortages by launching an "industry revolution" in North Korea's rural regions. This initiative, involving the construction of modern factories in remote areas, is part of the "Regional Development 20×10 Policy." This policy intends to significantly modernize the agricultural sector and improve living standards across the country. Hyonhee Shin, Reuters, February 28
Tuvalu’s new government commits to continued diplomatic ties with Taiwan instead of Beijing. Tuvalu's newly elected government, led by Prime Minister Feleti Teo, has reaffirmed its diplomatic relationship with Taiwan, amidst considerations to renegotiate a security treaty with Australia influenced by China's regional ascendancy. This decision shows Tuvalu's strategic and diplomatic stance within the Pacific, choosing to maintain its long-standing alliance with Taiwan since 1978, while also navigating its security interests with major powers. Rod McGuirk, AP News, February 28
Yoon warns of overwhelming response to any N.K. provocation ahead of elections. President Yoon Suk Yeol emphasized South Korea's readiness for an immediate and strong reaction to any North Korean provocations around the upcoming parliamentary elections. Highlighting the need for "peace through strength," Yoon assured a robust military posture to deter North Korea's threats and provocations, including legalizing preemptive nuclear strikes. His commitment extends to enhancing the South Korea-U.S. alliance and security cooperation with Japan. Lee Haye-ah, Yonhap News Agency, February 28
Manet’s visit to Malaysia aims to boost cooperation. Prime Minister Hun Manet of Cambodia recently concluded a successful visit to Malaysia, aimed at strengthening bilateral cooperation. This trip marks Manet's third diplomatic mission to an ASEAN country since taking office, following visits to Vietnam and Thailand. Discussions with Malaysian Prime Minister Anwar Ibrahim covered a wide range of topics, including politics, trade, and security, aiming to benefit both nations. Mom Kunthear, Phnom Penh Post, February 28
Kishida says he will attend ethics committee hearing on funds scandal. Prime Minister Kishida Fumio will attend a Lower House ethics committee hearing to address allegations related to a funds scandal. This decision follows discussions between ruling and opposition parties about the committee's structure and transparency. Kishida's move, along with five senior LDP members, signals a commitment to addressing the issue openly. The Japan Times, February 28
Kazakhstan: Oil services company cracks down on strikers with mass firings. West Oil Software in western Kazakhstan is dismissing 50 employees amid a strike that began in December, claiming the protest has caused significant financial losses. The company cites a court ruling deeming the strike unlawful as justification for the firings. The strikers demand employment with subsidiaries of state oil company KazMunaiGas for better pay and job security. The police are investigating allegations of intimidation by strike leaders. Almaz Kumenov, Eurasianet, February 28
Singapore to buy eight F-35A fighter jets as defence spending inches up. Singapore has announced the purchase of eight F-35A jets to bolster its air force capabilities, with the aircraft expected to be delivered around 2030. This acquisition expands the Republic of Singapore Air Force's fleet to 20 F-35 jets, enhancing its operational readiness and defense posture. The decision comes as part of Singapore's strategic investment in its military, ensuring long-term security and maintaining its defense spending at around 3% of GDP. Davina Tham, Channel News Asia, February 28
Marcos arrives in Canberra for two-day state visit. President Ferdinand Marcos Jr. has landed in Canberra for a visit aimed at bolstering Philippines-Australia relations. Accompanied by First Lady Marie Louise "Liza" Araneta-Marcos and a delegation, this visit stresses the two nations' commitment to strengthening their bilateral ties. Catherine S. Valente, The Manila Times, February 28
Beijing police give hint about ‘two sessions’ timing as security is stepped up. Beijing's police have issued a notice banning low-altitude aircraft until March 12, indicating the expected duration of China's crucial "two sessions." This annual legislative event, involving thousands of officials and lawmakers, will outline key policy goals for the year. Security measures, including additional parcel and train passenger checks, have been enhanced to ensure safety during this period. Yuanyue Dang, South China Morning Post, February 28
DP faces growing defection amid widened factional rift over election nominations. The Democratic Party (DP) is seeing an exodus of lawmakers due to disputes over candidate nominations for the upcoming parliamentary elections. Four non-mainstream members have left, protesting against what they term a "massacre" by the party leadership. This factional division has intensified with the nomination committee's controversial decisions, including not nominating Im Jong-seok for Seoul's Jung-Seongdong district. The turmoil reflects deepening internal conflicts within the DP, potentially impacting its performance in the April elections. Kim Han-joo, Yonhap News Agency, February 28
Tajikistan takes swipe at women’s “immoral” Western clothing. Tajik state television criticized female pop performers for adopting Western clothing styles, which they argue undermines traditional Tajik values. The report suggests legislative action, including fines or jail time, to curb such trends among artists. This stance reflects broader government efforts to influence cultural norms and attire, contrasting with actions against Islamic dress codes. Eurasianet, February 28
MFP pushes for fairer labour laws. The Move Forward Party (MFP) aims to overhaul Thailand's 26-year-old Labour Protection Act, advocating for broader definitions and enhanced rights for workers, including delivery riders and freelancers. This proposed legislation seeks to ensure timely payments, annual salary increases above inflation, a standard 40-hour workweek with compensated overtime, and mandatory leave provisions. The MFP's initiative targets improving workers' welfare and combating employment inequalities. Bangkok Post, February 28
Kyrgyzstan: Building work starts on another auto plant. Kyrgyzstan begins construction of a vehicle factory in Sokuluk, with President Sadyr Japarov laying the foundation. The $115 million joint venture with China's Hubei Zhuoyue Group aims to produce up to 80,000 units annually, including electric vehicles. This initiative is part of Kyrgyzstan's strategy to retain its re-export market by assembling vehicles locally. Eurasianet, February 28
Long Form
Where Have All the Mekong River’s Fish Gone? The Mekong River, once abundant with fish providing food security for millions, has seen a drastic decline in its fish populations due to the construction of hydropower dams. Policymakers have long maintained the belief that the environmental impact of such projects could be mitigated. A study by Richard Friend and colleagues highlights the overlooked importance of freshwater fisheries and the marginalization of this issue by those in charge of the Mekong's development. The increasing number of dams has transformed the river, leaving fishermen struggling to find any catch at all. This shift not only affects the livelihoods of local communities but also poses a threat to regional food security. By Tom Fawthrop, The Diplomat, February 29
Can Xi Jinping's 'Buy New Products' Campaign Fix China's Economy? President Xi Jinping's recent initiative to encourage Chinese citizens to purchase new products as a means to rejuvenate China's economy has sparked debate. Critics on social media suggest the campaign aims to reduce excess inventories, highlighting a disconnect with market principles. Xi's campaign, reminiscent of Mao-era self-reliance slogans, raises questions about its alignment with the current economic landscape and the role of private sector freedom in responding to market demands. Katsuji Nakazawa, Nikkei Asia, February 29
China Slips Further from High-Income Status as Earnings Measure Dips. For the first time in 29 years, China's per capita gross national income (GNI) has declined in dollar terms, according to government data released in 2023. This 0.1% dip to $12,597 moves China further away from the World Bank's threshold for high-income countries. The decline is attributed to a sluggish economy and a weaker yuan, marking a significant shift for a nation that had been slowly nearing the high-income status. This development raises questions about China's economic trajectory and its implications for global economic stability. Iori Kawate, Nikkei Asia, March 1
Balancing Erosion and Opportunity in Pacific Deep-Sea Mining. Pacific Islanders, facing the severe impacts of climate change, are at a crossroads with the potential of deep-sea mining in the Clarion-Clipperton Zone (CCZ). The United Nations’ International Seabed Authority (ISA) aims to ensure equitable exploration of seabed resources, balancing the interests of various stakeholders. The pursuit of critical metals for green technologies has intensified, with the CCZ being a significant source of nickel and cobalt-rich polymetallic nodules. The ISA's mandate, under the United Nations Convention on the Law of the Sea (UNCLOS), ensures that exploration benefits all of humanity, setting aside equal exploration opportunities for developing countries. However, the environmental duty to protect the marine ecosystem remains paramount. Nations like Nauru are poised to lead in commercial nodule collection, despite their economic vulnerabilities. The ISA's regulatory guidelines are under review, aligning with global efforts to bolster climate resilience among Pacific Island nations. James Borton, East Asia Forum, February 28
Big Spending on Infrastructure Powers India’s Growth. India's GDP grew 8.4% in the quarter ending December, up from 8.1%, driven by nearly $134 billion in infrastructure spending. This growth, supported by increased domestic consumption, especially among wealthier Indians, contrasts with ongoing inflation challenges affecting lower-to-middle-class consumers. Despite economic advancements, disparities in wealth and inflation pressures, such as rising food prices, highlight concerns among ordinary citizens about the tangible benefits of GDP growth. As India approaches elections, the economy's health and its equitable impact remain central to political debates, with Prime Minister Narendra Modi emphasizing India's global economic stance against critiques of insufficient job creation. Vibhuti Agarwal and Shan Li, The Wall Street Journal, February 29