China
Xi urges advancing Party self-governance with higher standards, more concrete measures. President Xi Jinping called for tougher and more systematic Party self-governance while addressing China’s top anti-corruption watchdog in Beijing. He said corruption remains a grave and complex challenge and urged confining power within institutional rules and strengthening oversight. Xi also linked stricter discipline to achieving the goals of the 2026–2030 five-year plan. Global Times, January 12
As Trump threatens Iran strikes, China denounces use of force in Middle East. China voiced opposition to the use or threat of force after U.S. President Donald Trump said he was considering strikes on Iran over escalating unrest. Beijing said Iran’s sovereignty should be respected and called on all parties to act in ways that support regional stability. The remarks came as protests in Iran expanded from economic grievances into nationwide anti-government demonstrations. Dewey Sim, South China Morning Post, January 12
Argentina’s Milei plans China trip for 2026 as US pressures Buenos Aires to curb ties. Argentine President Javier Milei said he plans to travel to China in 2026, describing the visit as part of Argentina’s commercial agenda. He said Argentina should trade with all countries willing to engage, despite growing U.S. pressure to limit ties with Beijing. Milei has softened his stance toward China since taking office after earlier criticism during the 2023 campaign. Igor Patrick, South China Morning Post, January 12
Japan
Takaichi mulls dissolving Lower House when Diet opens on Jan. 23. Prime Minister Sanae Takaichi is considering dissolving Japan’s Lower House when the regular Diet session opens on Jan. 23, a move that could trigger a snap election in February. Officials said she is weighing the timing amid high approval ratings and ahead of planned summits with South Korea and Italy. Opposition parties warned a snap election could delay passage of the fiscal 2026 budget needed to address rising prices. The Asahi Shimbun, January 12
DPP may not approve fiscal 2026 budget if there’s a snap election, Tamaki says. Opposition leader Yuichiro Tamaki said the Democratic Party for the People may withhold support for Japan’s fiscal 2026 budget if the government calls a snap Lower House election. He said an early dissolution would breach an agreement with the ruling party to pass the budget and related tax reforms by the end of the fiscal year. Tamaki warned policy priorities would be sidelined if an election is called before budget approval. The Japan Times, January 12
South Korea
DP votes to expel ex-floor leader over corruption allegations. South Korea’s ruling Democratic Party voted to expel former floor leader Kim Byung-kee amid mounting corruption allegations. Party officials said the decision reflected the gravity of accusations that include receiving money and abusing authority. Kim had resigned his leadership post last month but refused to leave the party voluntarily. Kim Hyun-soo, Yonhap News Agency, January 12
Lee to meet leaders of ruling, opposition parties later this week. President Lee Jae Myung will meet leaders of the ruling and opposition parties later this week to discuss major state issues and seek cooperation on economic initiatives. The presidential office said leaders from major and minor parties were invited to Cheong Wa Dae for the talks. The main opposition People Power Party signaled reluctance over the proposed multilateral format. Kim Eun-jung, Yonhap News Agency, January 12
North Korea
N. Korea likely stole over US$2 billion in cryptocurrency last year: U.S. official. North Korea likely stole more than US$2 billion in cryptocurrency in 2025, according to a U.S. State Department official citing a multilateral sanctions monitoring report. The funds were described as a key source of financing for Pyongyang’s nuclear and ballistic missile programs through cyber theft and overseas IT worker schemes. Officials said the estimate is conservative and actual losses may be higher. Song Sang-ho, Yonhap News Agency, January 12
Vietnam
Vietnam's Communist Party chief Lam seeks presidency in China-style expanded power mandate. Vietnam’s Communist Party chief To Lam is seeking to combine his role with the state presidency, aligning the system more closely with China’s leadership model. Sources said party backing for Lam as chief is clear, while support for the presidency remains uncertain ahead of a party congress. Military leaders are negotiating safeguards to preserve autonomy if the roles merge. Francesco Guarascio, Reuters, January 12
NA Standing Committee opens first 2026 session. Vietnam’s National Assembly Standing Committee convened its first session of 2026 to set priorities tied to upcoming elections and preparations for the Communist Party’s 14th National Congress. NA Chairman Tran Thanh Man urged accelerated preparations and closer review of election readiness nationwide. The committee adopted two resolutions on prosecutorial organisation and reviewed a citizen petition report. Vietnam News, January 12
Thailand
Thailand's liberal opposition tops polls as election looms. Two new polls put Thailand’s People’s Party in first place ahead of the Feb. 8 election, outpacing Prime Minister Anutin Charnvirakul’s Bhumjaithai and former ruling party Pheu Thai. The snap vote was called Dec. 12 after parliamentary turmoil threatened Anutin’s minority government. Poll results also show People’s Party leader Natthaphong Ruengpanyawut leading prime minister preferences. Panarat Thepgumpanat, Chayut Setboonsarng and Martin Petty, Reuters, January 12
PP optimistic on forming govt. People’s Party deputy leader Wiroj Lakkhanaadisorn said the party expects to form the next government if it finishes first in the Feb. 8 election. He said the party is open to coalition partners that support dismantling scam networks and advancing state reform without compromising voter commitments. He added that the Senate’s loss of power to select the prime minister strengthens the role of the popular vote. Aekarach Sattaburuth, Bangkok Post, January 12
EC briefs partners as vote nears. Thailand’s Election Commission held a briefing to prepare partner agencies for a new “Six Weeks of Democracy” campaign ahead of the Feb. 8 general election and constitutional referendum. The initiative aims to promote youth participation and civic responsibility through cooperation with education bodies and the Territorial Defence Command. Officials stressed clear public communication and measures to prevent election irregularities. Bangkok Post, January 12
Myanmar
Myanmar junta keeps pushing revival of China-backed hydropower project. Myanmar’s military government is renewing efforts to revive the controversial China-backed Myitsone Dam in Kachin State, arguing hydropower is the most cost-effective energy option. Junta officials said technical reviews and talks with Chinese firms are underway despite longstanding opposition and environmental concerns. The project was suspended in 2011 after mass protests and remains opposed by local communities and armed groups. Maung Kavi, The Irrawaddy, January 12
Myanmar junta election inspector killed in Magwe ambush. A junta-appointed election inspector was killed and others were injured in an ambush on officials inspecting polling stations in Myanmar’s Magwe Region. Regime-backed media blamed People’s Defense Force fighters, though no group claimed responsibility. The attack came during the second phase of a junta-run election that has been widely rejected as illegitimate. The Irrawaddy, January 12
Laos
Govt reviews 2025 performance, sets priorities for 2026. Laos’ government reviewed its 2025 performance and outlined priority tasks for 2026 at a two-day meeting in Vientiane, chaired by Prime Minister Sonexay Siphandone. Discussions focused on economic self-reliance, infrastructure development, fiscal reform, and implementation of key party resolutions. Officials also assessed major projects, including the Laos–Vietnam railway, and plans for the 2026 national development framework. Vientiane Times, January 13
Philippines
Marcos leaves for UAE. President Ferdinand Marcos Jr. departed for the United Arab Emirates to attend Abu Dhabi Sustainability Week alongside other world leaders. He said the forum would focus on climate change, renewable energy, and sustainable development while allowing dialogue on global energy, food, and environmental challenges. Marcos is also set to witness the signing of trade and defense agreements with the UAE. Kristina Maralit, The Manila Times, January 12
Marcos ready to face charges amid impeachment talk—Palace. Malacañang said President Ferdinand Marcos Jr. is prepared to face any charges if an impeachment case against him proceeds. The Palace rejected allegations tied to corruption and the passage of the 2026 national budget, calling them politically motivated and unsubstantiated. Officials said the president respects constitutional processes and is addressing corruption claims. Kristina Maralit, The Manila Times, January 12
Malaysia
Malaysia restricts access to Grok AI as backlash over sexualised images widens. Malaysia temporarily blocked access to Grok after the chatbot was used to generate and publish sexualised and non-consensual images, including content involving women and minors. Authorities said responses from X and xAI relied too heavily on user reporting and failed to address design risks. Access will remain restricted until effective safeguards are implemented. Rozanna Latiff, Reuters, January 12
Singapore
Salaries of political office holders to be reviewed: Chan Chun Sing. Singapore will soon review the salaries of political office holders after a scheduled 2023 review was deferred amid global economic uncertainty. Public Service Minister Chan Chun Sing said the salary structure and benchmark have not been updated since the framework was introduced in 2012 and that a review is timely. An independent committee chaired by Gan Seow Kee will recommend salary levels and propose refinements before the government updates Parliament. Emil Chan, Channel News Asia, January 12
Taiwan
U.S.-Taiwan near trade deal to lower tariff, boost TSMC facilities, NYT reports. The Trump administration is nearing a trade deal with Taiwan that would reduce its tariff rate to 15%, Reuters reported, citing the New York Times. The arrangement would include a commitment by Taiwan Semiconductor Manufacturing Co to build at least five additional facilities in Arizona. The New York Times cited three people familiar with the matter. Jasper Ward and Susan Heavey, Reuters, January 12
Two Canadian members of parliament end Taiwan trip ahead of Carney's China visit. Two Canadian Members of Parliament said they will end a Taiwan trip early ahead of Prime Minister Mark Carney’s visit to China. The lawmakers said they acted on government advice to avoid confusion about Canada’s foreign policy during Carney’s Beijing engagement. Carney’s office said the China visit will focus on trade, energy, agriculture and international security as Canada seeks to diversify exports. Wa Lone, Maria Cheng and Caroline Stauffer, Reuters, January 12
Pakistan
Pakistan and Indonesia closing in on jets and drones defense deal, sources say. Indonesia’s defense minister met Pakistan’s air force chief in Islamabad to discuss a potential deal that includes combat jets and drones, according to security officials. Sources said talks involve JF-17 aircraft developed by Pakistan and China, with discussions including more than 40 jets and interest in Pakistani drones. Pakistan’s military and Indonesia’s defense ministry confirmed the meeting and said talks covered long-term defense cooperation without concrete decisions. Saad Sayeed, Ananda Teresia, Ariba Shahid and Mubasher Bukhari, Reuters, January 12
Kazakhstan
Kazakhstan sets record in grain exports in 2025. Kazakhstan transported a record 11 million tons of grain for export in 2025, marking the highest level in a decade, driven by strong rail shipments and rising demand across Central Asia and beyond. Exports grew sharply to countries including Uzbekistan, Azerbaijan, Iran, Afghanistan and China, while deliveries to Baltic and Black Sea ports also increased. Officials said coordinated logistics and infrastructure capacity supported the surge despite restrictive measures. Fatima Kemelova, The Astana Times, January 12
Turkemenistan
Chinese company poised to expand production at massive Turkmen gas field. China National Petroleum Co is preparing to develop a new phase of Turkmenistan’s Galkynysh gas field that could add about 30 billion cubic meters of annual output. Turkmenistan is financing the project as it seeks to expand production while keeping export options open beyond China, its largest current buyer. Officials cited diversification plans that include trans-Afghan and potential trans-Caspian pipeline routes. Eurasianet, January 12
East Asia
China’s “New” Strategic Industries Will Not Produce 5% GDP Growth. New National Bureau of Statistics input-output tables for 2023 show Beijing’s target sectors, including electric vehicles, batteries, solar, AI, robotics, and power construction, remain small beside property and infrastructure. From 2023 to 2025, output from property, selected infrastructure, and ICE vehicles fell from 23% to 17% of GDP, while output from new sectors rose from 5.5% to 6.3%. Price declines cut measured output in batteries and solar despite higher volumes and reduced investment. Reaching 5% GDP growth would require large annual investment gains, yet new sectors would need a sharp scale-up and China may lean on exports, with weaker employment and consumption. Endeavour Tian, Logan Wright, Allen Feng, Rhodium Group, January 12
How China reads the 2025 US National Security Strategy. Chinese analysts read the Trump administration’s 2025 National Security Strategy as a transitional document shaped by domestic politics, fiscal limits, and discontent with the liberal order. The strategy is seen as moving from alliance-led liberal internationalism toward conservative nationalism, with foreign policy tied to economic security and industrial resilience. Harsh language on Europe’s demographic and migration strains raises doubts about European reliability and points to partial disengagement from alliance-centered thinking. China and Russia receive less ideological framing, with competition centered on technology, trade, supply chains, and critical resources, and the absence of the “strategic competitor” label viewed as rhetoric. A Western Hemisphere focus and a revived Monroe Doctrine logic are not read as easing pressure on China, since Indo-Pacific burden shifting and Taiwan’s role remain prominent and competition expands into Latin America. Sun Chenghao, Brookings, January 12
Neither America Nor China Can Achieve True Tech Dominance. AI competition is split across models, compute, standards, diffusion, and embodied systems, so leadership in one area does not guarantee dominance. US firms lead in large language and multimodal models and control about 70 percent of AI compute, while Chinese firms narrow model gaps and hold about ten percent. The Trump administration allowed sales of Nvidia H200 chips to approved Chinese buyers, which could reduce the US compute edge and strain allied export controls. China backs open-weight models and overseas data centers, which can extend Chinese ecosystems on US hardware. China also prioritizes embodied AI, with over two million industrial robots in 2024 and about 300,000 new installs versus 34,000 in the United States. The trajectory points to asymmetric AI bipolarity. Colin H. Kahl, Foreign Affairs, January 12
China obsesses over America’s “kill line”. The term “kill line” moved from Chinese video games into propaganda as shorthand for a US system that turns one setback into ruin. A Chinese biology student in Seattle popularized the phrase on Bilibili with claims of morgue work and deaths among homeless people and crime victims, and the meme spread through reposts and state media. Official outlets cited figures on homelessness, emergency savings, and a $137,000 poverty threshold, but those claims exaggerate American fragility and the poverty estimate lacks support. Discussion reflects China’s anxieties over slower growth, housing losses, youth unemployment, weak wage gains, and limited personal bankruptcy protection. The risk for China is stagnation, framed as a “softlock” in gaming terms. The Economist, January 12
China's clean energy, a 20-year success story, now requires new and innovative grid solutions. China’s solar cells, electric vehicles, and lithium batteries made up 10 percent of GDP in 2024, after two decades of policy anchored by the 2005 Renewable Energy Law. Installed solar capacity exceeds half of global totals, and wind capacity exceeds Europe and the United States combined. Non-hydro renewables rose from under 2 percent of generation in 2005 to 18 percent in 2024, and by March 2025 wind and solar reached 1482 gigawatts and surpassed coal capacity. Grid integration now faces curtailment pressures, rising distributed generation and storage in industrial parks, and heavy EV charging demand that can raise peak load under unmanaged charging. Policy moved in July 2024 from storage quotas toward performance-based flexibility, while storage capacity reached 100 gigawatts by September 2025. Sylvia Chan, East Asia Forum, January 12
China is already the economic Goliath it does not want to be seen as. China ended 2025 with strong manufacturing exports and weak domestic demand, with JPMorgan describing growth as driven by external sales rather than home consumption. Forecasts pointed to a $116 billion trade balance and a $75.6 billion current-account surplus. Retail conditions stayed soft, with November new car exports up almost 49% while retail sales fell 16.2% and auto sales by value dropped 8.3%. Registrations of premium foreign brands fell, with Mercedes down 32% and BMW down 19%. China’s rising global manufacturing share brings tariff risk, while households send money abroad and implied outflows reached $80.2 billion despite $3.35 trillion in reserves. Henny Sender, Nikkei Asia, January 12
Mongolia’s robust politics backslides into electoral autocracy in 2025. Mongolia’s 2025 political year featured two no-confidence votes and ruling party infighting. Prime Minister Luvsannamsrain Oyun-Erdene lost a no-confidence vote in June 2025, and successor Gombojavyn Zandanshatar survived after the Constitutional Court overturned an October 17 vote on procedural grounds. Leadership churn continued as Nyam-Osoryn Uchral became Mongolian People’s Party chairman on November 15 and replaced Dashzegviin Amarbayasgalan as speaker. The Varieties of Democracy index placed Mongolia in the electoral autocracy category, linked to limits on speech and assembly and arrests of journalists in March 2025 that drove self-censorship. Coal exports fell in early 2025, while copper output and prices supported growth. Julian Dierkes, East Asia Forum, January 12
Southeast Asia
From Megatrends to Action: Rethinking Industrial Policy in Southeast Asia. UNIDO’s Industrial Development Report 2026 calls for targeted industrial policy to raise productivity, create jobs, and align growth with decarbonization and energy efficiency. The framework highlights three gaps for future industrialization, including intensity in global manufacturing share, productivity through technology adoption, and environmental efficiency through greener industrial ecosystems. Megatrends shaping choices include the energy transition, AI and digitalization, supply chain reconfiguration, and demographic change. Modelled scenarios combine an industrialization push with clean energy measures, projecting about 60 percent higher manufacturing value added, 25 percent higher GDP per capita, and a 6 percent drop in global emissions under coordinated action. Recommended directions include critical minerals value chains, green hydrogen ecosystems, regional coordination, technology absorption, and just transition design. Marco Kamiya, FULCRUM, January 12