China
Trump softens tone on alleged China election meddling before Rubio-Wang talks. Donald Trump said Washington would discuss alleged Chinese interference in the 2020 election with Beijing but played down retaliation, saying the matter occurred long ago and that both countries act against each other. Marco Rubio and Wang Yi are expected to meet in Manila during ASEAN-related meetings, while China rejected the allegations as baseless and denied interfering in U.S. elections. Rubio said Xi Jinping’s expected September U.S. visit remained on track despite bilateral tensions over trade, technology, critical minerals, and maritime security. Nayan Seth, South China Morning Post, July 21
China, Thailand eye deeper tech cooperation to drive “prosperous shared future.” China and Thailand pledged deeper technology and innovation cooperation after Prime Minister Anutin Charnvirakul’s five-day visit to China. The countries agreed to align policies, expand exchanges, and strengthen collaboration in health, geospatial information, agricultural technology, advanced materials, AI, electronics, automobiles, aerospace, and clean energy. Liz Lee and Ryan Woo, Reuters, July 21
China lodges protest with Philippines after latest clash near Second Thomas Shoal. Beijing summoned Philippine ambassador Jaime FlorCruz after a clash near Second Thomas Shoal involving a Chinese coast guard vessel and two Philippine Navy rubber dinghies from the BRP Sierra Madre. China said Philippine personnel rammed its vessel and attacked officers with oars and sticks, while Manila said Chinese coast guards unlawfully approached the grounded ship and injured a serviceman with a wooden baton. Beijing demanded an end to provocations and reaffirmed that Philippine resupply missions must remain under Chinese supervision. Fan Chen, South China Morning Post, July 21
Japan
Poll: Takaichi approval slips to 53% amid doubts on imperial law. Prime Minister Sanae Takaichi’s Cabinet approval rating fell to 53%, its first drop into the 50s since she took office, while disapproval rose to 35%. An Asahi Shimbun survey found 60% of voters said the government failed to gain public understanding for Imperial House Law amendments, and 62% opposed keeping women barred from the throne. Respondents also expressed doubts about the administration’s policy process, explanations over alleged social media smears, and response to rising prices. The Asahi Shimbun, July 21
Japan protests Chinese live-fire drill in nearby waters. Japan protested Chinese live-fire drills in its exclusive economic zone southwest of Okinotori Island, saying the activity endangered nearby vessels. China rejected the protest, calling its actions lawful high-seas activity and disputing Japan’s claim to an EEZ around Okinotori, which Beijing describes as a reef. The exercise involved Chinese and Russian vessels and came amid broader tensions over Taiwan, increased China-Russia operations near Japan, and Tokyo’s expanded surveillance and defense posture. Chang-Ran Kim, Nobuhiro Kubo, Hina Suzuki, and John Geddie, Reuters, July 21
JPMorgan, other U.S. banks set to help finance Japan's $550 billion U.S. investment plan, sources say. JPMorgan and other U.S. banks are close to agreeing to provide financing under Japan’s $550 billion U.S. investment pledge, as Japanese lenders remain wary of costly long-term dollar funding. Tokyo has announced more than $100 billion in projects under the scheme but secured only $2.2 billion in financing so far. The plan, tied to a 2025 tariff deal with Donald Trump, includes energy and industrial projects, while Washington has suggested additional candidates. Makiko Yamazaki, Tamiyuki Kihara, Miho Uranaka, and Sumeet Chatterjee, Reuters, July 21
South Korea
National Assembly passes bill extending special counsel probe into ex-President Yoon. South Korea’s National Assembly passed a Democratic Party-led bill extending a comprehensive special counsel investigation into unresolved allegations involving former President Yoon Suk Yeol and former first lady Kim Keon Hee. The measure passed 173-0 after a 24-hour People Power Party filibuster, with opposition lawmakers boycotting the vote. The investigation deadline will move from July 24 to August 23, staffing will rise from 130 to 150 dispatched officials, and the scope will expand to obstruction of audits by public officials. Yi Wonju, Yonhap News Agency, July 21
Seoul calls for “no unfair infringement” under new U.S. student visa policy. South Korea asked the U.S. to ensure new limits on international students and foreign journalists do not harm bilateral people-to-people exchanges. Deputy Foreign Minister Park Jong-han raised the issue with U.S. State Department official Jason Evans after Washington announced plans to cap international student stays at four years and foreign journalist I visas at 240 days. Park said immigration policy should not unintentionally damage the rights and interests of South Korean nationals. Choi Kyong-ae, Yonhap News Agency, July 21
South Korea's Lee accused of skirting his own loan curbs with sale of apartment. South Korean President Lee Jae Myung faced criticism after property records showed he extended credit to buyers of his Seoul apartment despite strict mortgage limits central to his housing policy. The buyers could have borrowed only a small share from banks, while Lee and his wife became creditors for nearly two-thirds of the purchase price. Lee’s office said the sale was below market value and the financing reflected buyers’ circumstances. Cynthia Kim, Hyeyoon Cho, and Jack Kim, Reuters, July 21
North Korea
U.S. to extend N. Korea travel ban until Aug. next year: State Dept. The United States will extend its ban on citizens traveling to North Korea for another year, keeping the restriction valid from September 1 to August 31. The State Department cited serious risks of arrest and long-term detention that could endanger U.S. citizens’ physical safety. Under the measure, U.S. passports remain invalid for travel to, in, or through North Korea unless specially validated. The ban was first imposed in 2017 and has been renewed annually. Song Sang-ho, Yonhap News Agency, July 21
North Korea targets university students in media crackdown. North Korea’s Socialist Patriotic Youth League ordered a special crackdown on banned foreign media during an anti-American class education period running from July 1 to July 27. University students were named the primary target because officials view campuses as a major channel for South Korean films, dramas, and other banned content. Students caught watching or possessing such material face immediate expulsion, labor reeducation, and harsher legal consequences, while inspection squads intensify phone checks, home searches, and monitoring of clothing, hairstyles, and conversations. Park Hee-soo, Daily NK, July 21
North Korea, Russia foreign ministers hold strategic talks in Moscow, KCNA says. North Korean Foreign Minister Choe Son Hui and Russian Foreign Minister Sergei Lavrov held their third strategic dialogue in Moscow, focusing on implementing the countries’ comprehensive strategic partnership treaty. Russia backed North Korea’s measures against hostile acts, while Pyongyang reaffirmed support for Moscow’s Ukraine policies. The ministers also discussed high-level visits, cooperation plans, and diplomatic coordination as analysts watched for signs of another Kim Jong Un trip to Russia. Kyu-seok Shim, Reuters, July 20
South Korea probes diplomatic academy hack, eyes possible North Korea link. South Korea’s Foreign Ministry said a significant amount of data may have been exposed in a cyberattack on the Korea National Diplomatic Academy’s online education system. Attackers exploited a zero-day vulnerability and security configuration weaknesses, controlled a server from April or May 2025 until February 2026, and may have accessed training and course administration data. Authorities are examining possible foreign state-backed involvement, including a North Korea link, but lack enough evidence to assign blame. Kyu-seok Shim, Reuters, July 21
Thailand
PM orders action on MoUs with China. Prime Minister Anutin Charnvirakul ordered ministries and agencies to prepare urgent action plans after his China visit produced 15 MoUs covering infrastructure, AI, investment, trade, future industries, education, space, water management, healthcare, and aquaculture exports. Government spokeswoman Rachada Dhnadirek said Xiaomi, ChangAn Automobile, InnoLight Technology, and Eoptolink Technology committed to expand investments in Thailand worth 70 billion baht. Mongkol Bangprapa, Bangkok Post, July 21
Myanmar
ASEAN chair urged to seek proof of life for Daw Aung San Suu Kyi. ASEAN Parliamentarians for Human Rights urged Philippine President Ferdinand Marcos Jr., as ASEAN chair, to secure proof of life for detained Myanmar leader Daw Aung San Suu Kyi before any further engagement with the junta. The group called for independent access by her family, lawyers, and medical team, and pressed for the unconditional release of political prisoners. ASEAN officials said the regime’s claims about her health require verification. Phoe Tar, The Irrawaddy, July 21
Cambodia
Cambodia rejects Thai claim that UNCLOS case complicated border talks. Cambodia rejected Thailand’s claim that Phnom Penh’s use of UNCLOS compulsory conciliation weakened bilateral trust and complicated land border talks. Cambodian officials said maritime and land boundary issues are handled through separate mechanisms and argued that Thailand forced the move by terminating the 2001 MoU on overlapping maritime claims. Analysts said Thailand may fear legal risks from international proceedings and may be using public criticism to satisfy domestic nationalist audiences while continuing to participate in the process. Teng Yalirozy, Cambodianess, July 21
Philippines
Philippines, China summon each other's envoys over South China Sea incident. The Philippines and China summoned each other’s envoys after a confrontation at Second Thomas Shoal, where Manila said a sailor suffered head injuries and a navy rubber boat was damaged. Beijing accused Philippine personnel of provoking the incident, ramming a Chinese patrol boat, and attacking officers with oars and sticks. Manila rejected China’s account as false and misleading, while China said it allowed transfer of the injured sailor for humanitarian reasons. Beijing Newsroom, Mikhail Flores, and Karen Lema, Reuters, July 21
New Zealand and Philippines form comprehensive partnership. New Zealand and the Philippines formed a comprehensive partnership aimed at turning close ties into concrete cooperation. The agreement will deepen collaboration across political engagement, defense, security, maritime cooperation, trade, economic ties, and people-to-people links, Foreign Minister Winston Peters said on the sidelines of ASEAN meetings in Manila. Alasdair Pal, Reuters, July 21
Philippines’ Marcos names new military chief. President Ferdinand Marcos Jr. appointed Antonio Nafarrete as chief of the Philippine armed forces, replacing Romeo Brawner. Nafarrete previously led the Philippine Army and has experience in combat and counterinsurgency operations. He takes command during a military modernization drive focused on external defense and maritime security amid rising South China Sea tensions and expanding security cooperation with the U.S., Japan, Australia, Canada, and European partners. Nestor Corrales, Reuters, July 21
Indonesia
Indonesia cuts budget of president's free meals programme further to $12.8 billion. Indonesia reduced the budget for President Prabowo Subianto’s free meals program to 229 trillion rupiah, or $12.81 billion, from 268 trillion rupiah, with further cuts possible after a review. The program originally targeted 83 million recipients but will reduce beneficiaries as officials emphasize quality and preventing food poisoning. The initiative has faced fiscal concerns, logistical problems, nutrition criticism, mass food poisoning cases, and corruption allegations involving former National Nutrition Agency officials. Ananda Teresia and Gayatri Suroyo, Reuters, July 21
Indonesia parliament passes bill to set up international financial centers. Indonesia’s parliament passed a law enabling international financial centers aimed at attracting foreign investment in banking, wealth management, aircraft leasing, and ship leasing. The law offers incentives including a 50-year corporate income tax holiday for qualifying investors, foreign currency use inside the centers, arbitration, and a special court. The first center could attract up to 500 trillion rupiah, with Bali previously cited as a possible location. Stefanno Sulaiman, Stanley Widianto, and Gayatri Suroyo, Reuters, July 21
Indonesia-EAEU FTA opens US$3 trillion market for local products. Indonesia’s trade minister said ratification of the Indonesia-Eurasian Economic Union Free Trade Agreement will open access to a $3.04 trillion market of 183.7 million people and support exports including palm oil, coffee, textiles, footwear, rubber, fishery products, furniture, electrical machinery, and wood products. EAEU members will cut or eliminate tariffs on 11,882 tariff lines, while Indonesia will reduce tariffs on 10,257 lines, mainly for industrial inputs and raw materials. ANTARA News, July 21
Taiwan
In apparent 1st, PLA chopper crosses Taiwan Strait median line. Taiwan’s Defense Ministry detected a Chinese military helicopter and PLA drone operating on Taiwan’s side of the Taiwan Strait between 10:20 a.m. and 7:40 p.m. Monday. Defense researcher Chieh Chung said it appeared to be the first detected PLA helicopter crossing of the median line. The helicopter also operated for an extended period in Taiwan’s no-fly zone, which Chieh described as a new gray-zone operation that could indicate joint drone and helicopter activity. Matt Yu and Joseph Yeh, Focus Taiwan, July 21
Taiwan to slow mobile internet in civil defense drills as China threat grows. Taiwan will deliberately slow mobile internet speeds during August civil defense drills to test public communication under bandwidth shortages caused by disasters, cyberattacks, blockades, or invasion. Video calls, streaming, and social media images will be unavailable for 30 minutes across northern and central Taiwan, affecting areas with about 70% of the population, while ATMs, traffic signals, and emergency calls will continue operating. Yimou Lee, Reuters, July 21
India
Thousands protest in India after clashes, despite Modi assuring action on exams. Thousands of Cockroach Janta Party supporters protested in Delhi after clashes with police during a march demanding Education Minister Dharmendra Pradhan’s resignation over medical entrance exam paper leaks. Narendra Modi promised strict action and a foolproof exam system, while Delhi Police said nearly 180 people were injured in the unrest. The movement said it would continue protests but avoid another parliament march, as a court allowed activist Sonam Wangchuk to move to a private hospital. Aftab Ahmed, Saurabh Sharma, Francis Mascarenhas, Rajesh Kr Singh, Sakshi Dayal, Shilpa Jamkhandikar, Hritam Mukherjee, Tanvi Mehta, and YP Rajesh, Reuters, July 21
India's “cockroach movement” leaders say minister promises talks on demands. India’s youth-led Cockroach Janta Party said Health Minister J.P. Nadda promised the government would consider its demands after thousands marched toward parliament over examination paper leaks. Police used tear gas and cane charges as protesters demanded Education Minister Dharmendra Pradhan’s resignation, Sonam Wangchuk’s release, and compensation for students who died by suicide after the leak. Protests also took place in Mumbai, Goa, and Bangalore. Aftab Ahmed, Saurabh Sharma, Sakshi Dayal, Hritam Mukherjee, Shilpa Jamkhandikar, Anushree Fadnavis, Bhawika Chhabra, YP Rajesh, and Tanvi Mehta, Reuters, July 20
Uzbekistan
Uzbekistan establishes Islamic Finance Council as new banking law takes effect. Uzbekistan’s Central Bank established an Islamic Finance Council to coordinate institutions operating under Islamic financial principles after a new banking law took effect. The council will prepare national standards, issue supervisory recommendations, advise financial institutions, and work with international standard-setters. The five-member body combines Sharia specialists and financial expertise, while new licensing rules require banks to submit compliance policies, internal oversight systems, and business plans before offering Islamic services. Tamila Olzhbaekova, The Times of Central Asia, July 21
East Asia
The Gulf’s China Problem. Gulf Arab states have lost trust that China will turn trade, energy, and investment connections into regional security commitments. Beijing has refrained from pressuring Iran, safeguarding shipping, or backing Gulf allies during conflicts, prioritizing economic interests over military involvement. While China continues to be a key partner in oil, technology, and investment, Gulf nations now face tougher decisions between depending on Washington, fostering regional cooperation, building defenses, or forming alliances with Turkey and Pakistan for regional security. Mohammed Alsudairi, Andrea Ghiselli, and Aaron Glasserman, Foreign Affairs, July 21
How China weaponised its rare earth monopoly. China has transformed export controls from mere compliance requirements into strategic tools of economic diplomacy, focusing on rare earth elements, essential minerals, advanced technologies, and supply chain vulnerabilities. Its leadership in processing, refining, and magnet manufacturing grants Beijing significant influence over sectors like defense, energy, semiconductors, and manufacturing. Although the U.S., Japan, Australia, and Europe are investing in alternative sources, China’s deeper expertise in downstream operations and regulatory authority allow it to maintain pressure, while other nations need years to develop large-scale substitutes. Chen Jing, ThinkChina, July 21
China’s shadowy maritime militia is worryingly active. China seems to be testing its control over fishing fleets that could support its navy, coastguard, and maritime militia. Over a thousand vessels operated in coordinated lines north of Taiwan, indicating capabilities for surveillance, logistics, cable disruption, shipping obstruction, or blockade efforts. The militia provides plausible deniability in disputed waters and has grown through subsidies, training, and steel-hulled vessels. Increased activity in the East China Sea heightens concerns about a potential Taiwan conflict. The Economist, July 21.
Southeast Asia
When the Indonesian Middle Class Takes to the Streets. Indonesia’s declining middle class correlates with an increase in street protests across provinces. Data from 2015 to 2024 indicate that for each percentage point decrease in the middle class share, there are three more demonstrations. Provinces experiencing declines show thirteen additional protests even after accounting for factors like education, income, urbanization, internet access, year, and location. Ensuring stable jobs, quality public services, institutional trust, and safeguards against downward mobility are crucial for maintaining social stability in middle-income regions. Chatib Basri, Maria Monica Wihardja, Abror Tegar Pradana, FULCRUM, July 21
South Asia
India’s fertiliser dependence leaves its agriculture vulnerable. India’s dependence on imported fertilizers makes agriculture vulnerable to conflicts, shipping disruptions, and price fluctuations. As urea prices rise and Gulf supply lines become risky, imports could surpass 41% of consumption. While shifting some reliance to China and Russia lessens regional concentration, dependence remains. Increasing domestic output via incentives, coal gasification, and balanced investment in nitrogen, phosphorus, and potash can reduce subsidy burden, support farmers, boost crop yields, and combat soil degradation. Biswajit Dhar, East Asia Forum, July 21
Pakistan’s moment has arrived. Pakistan has established itself as a mediator between the United States and Iran by leveraging diplomacy, forming relationships with Washington, maintaining credibility in Tehran, and receiving support from Saudi Arabia. This role led to the development of the Islamabad framework, negotiations in Switzerland, and a sixty-day plan addressing sanctions, nuclear matters, and incidents in the Strait of Hormuz. These developments raise concerns about dependency on Army Chief Asim Munir, potential instability, weaknesses in Pakistan’s democratic system, and whether international powers can accept Pakistan’s current political structure. Imran Khalid, Nikkei Asia, July 21