Asia Daily: January 1, 2024
News
North Korea's Kim says armed conflict becoming reality because of US - KCNA. North Korean leader Kim Jong Un warned of a looming armed conflict with the U.S. and South Korea, urging his military to prepare for potential confrontation. He emphasized the need for North Korea to "sharpen the treasured sword" in response to hostile maneuvers. This stance follows North Korea's advancements in military capabilities, including ballistic missile tests and the launch of a military satellite in 2023. Kim's rhetoric escalates amid increased U.S.-South Korea military drills. Jack Kim, Reuters, December 31
Kazakhstan removes Taliban from list of banned organizations. Kazakhstan's Foreign Ministry has taken the Taliban off its register of prohibited organizations, following UN Security Council guidelines. This marks a shift from the 2005 Supreme Court's terrorist designation of the Taliban. Enhanced ties between Kazakhstan and Afghanistan, especially in trade and agriculture, have been fostered since the Taliban's 2021 rise to power. The decision reflects Kazakhstan's strategic interest in maintaining diplomatic and economic relations with its neighbor. Almaz Kumenov, Eurasianet, December 30
Ex-minister Nishimura questioned over LDP's political funds scandal. Former Japanese Economy Minister Yasutoshi Nishimura was questioned by prosecutors in connection with a political funds scandal involving the Liberal Democratic Party's largest faction. This inquiry is related to unreported revenues from fundraising events and potential creation of slush funds. Nishimura's questioning follows similar actions against other senior members of the faction, highlighting an extensive investigation into financial misconduct within the ruling party. Kyodo News, December 30
Chinese President Xi Jinping pledges reform in future-focused New Year's address. President Xi of China has committed to reforms and modernization in his New Year's address. He stressed growth and stability, advocating for a balance between phasing out old industries and introducing new ones. Acknowledging challenges faced by businesses and individuals, Xi highlighted recent advancements in various industrial projects. His speech also touched on international cooperation and the importance of peaceful development. William Zheng, South China Morning Post, December 31
China plans to keep ships near Senkakus 365 days in 2024. China intends to maintain its vessels near the Japan-controlled Senkaku Islands in the East China Sea throughout 2024. This decision, as directed by President Xi Jinping, aims to bolster China's sovereignty claim over the islands, known as Diaoyu in China. The China Coast Guard plans daily ship presence and potential inspections of Japanese fishing boats in the area, escalating the long-standing territorial dispute between the two nations. Kyodo News, December 30
US revives Pacific airfield. The United States is reviving an old World War II-era airfield on Tinian Island in the Pacific, amidst growing Chinese influence in the region. The airfield, once used for nuclear bombings on Japan, is part of a strategic shift by the U.S. to enhance its military presence in the Pacific. This includes the rehabilitation of several abandoned runways and the development of facilities to improve warfighting capabilities alongside allies and partners. The Manila Times, December 31
China eases visa application for U.S. tourists. Starting January 1, China will simplify visa applications for U.S. tourists, removing the need for air ticket bookings, hotel reservations, or an invitation letter. This move is part of China's efforts to revive tourism and stimulate its economy post-COVID-19. Earlier, China granted visa-free access to tourists from six European countries and Malaysia, alongside expanding its visa-free transit policy to 54 countries. International tourism to China had declined significantly due to strict COVID-19 policies. Reuters, December 30
U.S. reaffirms 'no hostile intent' to N. Korea after Kim calls for stronger war preparations. Following North Korean leader Kim Jong-un's call for increased war readiness, the U.S. reiterated its lack of hostile intentions towards Pyongyang. The State Department spokesperson emphasized America's commitment to diplomacy and dialogue without preconditions, despite North Korea's numerous ballistic missile launches. The U.S. continues to consult with South Korea, Japan, and other allies on engaging with North Korea and responding to its actions violating U.N. Security Council resolutions. Song Sang-ho, Yonhap News Agency, December 29
ASEAN foreign ministers express concern over South China Sea tensions. Southeast Asia's ASEAN foreign ministers have voiced concerns about escalating tensions in the South China Sea, highlighting potential threats to regional peace. They emphasized the necessity for peaceful dialogue and self-restraint to avoid exacerbating disputes. This comes amidst recent maritime incidents between China and the Philippines, with both nations exchanging accusations. Efforts to establish a code of conduct in the region have seen slow progress, underscoring challenges in reaching a consensus. Mikhail Flores, Reuters, December 30
Probe into Malaysia's ex-finance minister Daim based on Pandora Papers: Anti-graft agency. Malaysia's former finance minister Daim Zainuddin is under investigation for corruption, initiated based on information from the Pandora Papers. The Malaysian Anti-Corruption Commission (MACC) began the probe in February 2023, with Daim recently accusing Prime Minister Anwar Ibrahim of a political witch-hunt. The Pandora Papers revealed hidden wealth and offshore dealings of global figures. The MACC urged public restraint from speculation while the investigation proceeds. Channel News Asia, December 30
Long Form
Why Food Security is a Top Priority for China. China, the world's largest food producer and importer, is placing a high priority on food security, as discussed at the recent Central Rural Work Conference in Beijing. This focus is driven by an increasingly complex geopolitical environment, climate shocks, trade disruptions, and an uncertain global food market. Food security and supply resilience have become top political priorities for China's policymakers, including President Xi Jinping. The conference highlighted the challenges and current situation of the "three rurals" (agriculture, rural areas, and farmers) in China. The emphasis on food security underscores the country's efforts to ensure a stable food supply amid global uncertainties. Genevieve Donnellon-May, The Diplomat, December 29
Cracks in the Marcos–Duterte Political Alliance. The political alliance between the Marcos and Duterte families in the Philippines is showing signs of strain. The release of former senator Leila De Lima, a political adversary of former President Rodrigo Duterte, has widened the gap between Duterte and current President Ferdinand ‘Bongbong’ Marcos Jr. Internal political struggles, including the removal of Duterte’s ally Gloria Macapagal Arroyo as Senior Deputy House Speaker and Vice President Sara Duterte's resignation from the Lakas–Christan Muslim Democrats party, have intensified tensions. The congressional inquiry into Sara Duterte’s handling of confidential funds and the House of Representatives' repudiation of former President Duterte further highlight the growing rift. These developments suggest a shifting political landscape in the Philippines, with potential implications for the future of the UniTeam Alliance and the political fortunes of both families. Jenny Balboa, East Asia Forum, December 30
How Japan is Willingly Ceding the Future to China. Japan's struggle to maintain its economic position against China is highlighted by its failure to capitalize on opportunities for reform and innovation. Despite Japan's past economic dominance, its reliance on monetary easing and a weak yen has hindered its competitiveness and growth. The lack of significant reforms under Prime Ministers Shinzo Abe, Yoshihide Suga, and Fumio Kishida has left Japan lagging behind China, which continues to advance despite its own challenges. Japan's economic stagnation, coupled with political scandals and a shrinking approval rating for Kishida, limits its ability to enact meaningful changes. This situation benefits China, as Japan's security ambitions and economic muscle weaken, giving China greater influence over Asia's future. The article raises concerns about Japan's missed opportunities and the implications for its position in the region. William Pesek, Asia Times, December 30
China Confronts a New Political Reality in Taiwan: No Friends. In Taiwan's upcoming volatile three-way presidential election, all candidates are showing a decisive shift away from China, reflecting a broader change in Taiwanese politics. The Democratic Progressive Party (DPP), currently in power, has emphasized an identity separate from mainland China, a sentiment echoed even by the opposition Nationalist Party (KMT), historically pro-China. The KMT's presidential candidate, Hou Yu-ih, emphasizes defense and economic stability to prevent war with China, marking a significant departure from the party's past stance. This election highlights a new political reality for China, as its influence wanes in Taiwan. The Taiwanese public, largely unbothered by China's military posturing, is more focused on domestic issues, indicating a growing indifference towards Beijing's ambitions. This shift represents a challenge for China's long-term goal of political control over Taiwan and signals a new era in cross-strait relations. Josh Chin and Joyu Wang, The Wall Street Journal, December 29
Why Indonesia Shouldn’t Rush to Join OECD, the ‘Rich Man’s Club’. Indonesia's ambition to join the Organisation for Economic Cooperation and Development (OECD) is being questioned due to concerns over the organization's transparency and fairness towards developing nations, especially in tax policies. The process, which can take up to eight years, requires major reforms to align with OECD standards in trade, finance, and taxes. However, global concerns about the OECD's approach, particularly in its global tax deal, have raised doubts about its benefits for developing countries. Critics argue that the deal favors the interests of wealthy nations and lacks transparency, potentially disadvantaging countries like Indonesia. Joining the OECD would demand significant resources and energy from Indonesia, raising questions about the strategic value and potential burdens of membership. Considering Indonesia's strategic position and valuable resources, alternative approaches to development may be more effective and less burdensome than OECD membership. Dian Wirengjurit, South China Morning Post, December 31
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