Asia Daily: March 4, 2024
News
Satellite photos appear to show that North Korea has paused supplying artillery shells to Russia, reports say. Satellite imagery analysis by NK Pro indicates a halt in North Korea's artillery shell shipments to Russia since February 12. Four Russian vessels previously transported ammunition between Rajin, North Korea, and Russian ports. Despite speculation on the reasons, including potential production issues, the report also considers alternative delivery methods. North Korea, having agreed to supply weapons to Russia for space technology, has significantly supported Russia's military efforts, according to South Korean Defense Minister Shin Won-sik. Cameron Manley, Business Insider, March 3
China removes Hong Kong affairs veteran Zhang Xiaoming from senior role at top advisory body. Zhang Xiaoming, previously a key figure in Beijing's handling of Hong Kong and Macau affairs, has been removed from his position as deputy secretary-general of China's top political advisory body, the CPPCC, without public explanation. Despite the lack of details from official sources, Zhang remains a member of both the CPPCC and the Communist Party. His career, notably affected by the 2019 anti-government protests in Hong Kong, has been a subject of scrutiny and speculation. Jane Cai, South China Morning Post, March 2
‘Two sessions’ 2024: economy set to lead agenda for China’s top political advisory body. Economic revitalization, youth employment, and bolstering private sector confidence are central themes for China's "two sessions" this year, as articulated by CPPCC spokesman Liu Jieyi. Highlighting the economic resilience and potential for high-quality development, Liu emphasized the government's commitment to overcoming challenges to private sector growth and reducing youth unemployment. The sessions are pivotal for setting the economic direction amid domestic and international skepticism about China's economic sustainability. William Zheng and Mandy Zuo, South China Morning Post, March 3
Laos Makes Strides in Gender Parity, Ranks Fifth in Economic Participation, Opportunity in Global Gap Index 2023. Laos has achieved significant progress in gender equality, ranking fifth globally for economic participation and opportunity for women, according to the Global Gender Gap Index 2023. Despite this achievement, challenges remain in educational attainment, health and survival, and political empowerment, where Laos ranks lower. The report highlights the importance of continued efforts in education, healthcare access, and political inclusion for women. Phontham Visapra, LThe Laotian Times, March 1
Japan lower house passes fiscal 2024 budget. Japan's House of Representatives approved a record 112.57 trillion yen budget for fiscal year 2024, aimed at boosting defense capabilities and supporting households against inflation. This second-largest budget in history, endorsed by Prime Minister Fumio Kishida's ruling coalition, ensures enactment with the ruling bloc's dominance in both legislative houses. Amidst a backdrop of a political funds scandal, the budget includes significant allocations for defense, earthquake recovery, and salary subsidies to combat inflation. Kyodo News, March 2
US general raises alarm over ‘breathtaking’ growth in China’s space tech. The US Space Command's General Stephen Whiting has expressed concern over China's rapid advancements in space technology, which could potentially challenge US dominance in space and on Earth. Whiting highlighted China's expansion in military space and counterspace capabilities as well as advances in long-range precision weaponry. China, described as Washington’s "principal space competitor," is on track to achieve world-class status in most space technology areas by 2030, intensifying the strategic rivalry in space. Alyssa Chen, South China Morning Post, March 3
PM warns of fulfilling 'gov't duty' against junior doctors on walkout. Prime Minister Han Duck-soo of South Korea has hinted at the potential suspension of medical licenses for striking trainee doctors amid an ongoing standoff over medical school admission quotas. About 9,000 medical interns and residents have continued their strike for nearly two weeks, with 20,000 doctors rallying in Seoul against the quota increase. The government, citing illegal actions and threats to public health, vows "zero tolerance," and police are investigating allegations of coercion involving pharmaceutical salesmen. Kim Han-joo, Yonhap News Agency, March 3
US to help PH build maritime tracking. The United States has committed to aiding the Philippines in establishing a sophisticated vessel traffic management system (VTMS) aimed at bolstering maritime security and navigation efficiency in critical ports. This effort is designed to mitigate the challenges of signal jamming within the Philippines' exclusive economic zone, highlighting a significant enhancement in the nation's maritime operational capabilities, as detailed by the Philippine Department of Transportation. Franco Jose C. Baroña, The Manila Times, March 3
Uzbekistan looks to China for help with public transportation upgrade. Uzbekistan is seeking assistance from China to enhance its public transportation system, including a significant upgrade of its rail system and bus fleet. In late February, Uzbekistan Railways held discussions with Chinese manufacturer CRRC, focusing on modernizing electric locomotives and potentially localizing production, though no firm agreements were reached. Additionally, China Development Bank is set to allocate $120 million for 1,000 high-capacity gas-powered buses, with plans also to purchase 200 electric buses for Tashkent, funded partly through a $60 million allocation by Uzbek officials. Eurasianet, March 1
Japan upper house ethics panel arranging LDP funds scandal hearings. The ethics panel of Japan's upper house is organizing hearings related to a funding scandal involving the ruling Liberal Democratic Party, as stated by the party's secretary-general. These hearings, aimed at not disrupting the fiscal 2024 budget discussions, follow similar sessions in the lower house attended by Prime Minister Fumio Kishida. The controversy revolves around allegations that 32 upper house lawmakers, predominantly from two LDP factions, failed to report income from fundraising events accurately. Kyodo News, March 3
South China Sea: Beijing hits back at Philippine envoy over economic coercion claims. Beijing has responded to Philippine Ambassador Jose Manuel Romualdez's assertions of economic coercion related to the South China Sea disputes, calling for a halt to "reckless speculation" and the spread of the "China threat theory." The Chinese embassy's statements aim to counter claims that China's actions in the maritime dispute could endanger Philippine exports to China, emphasizing the importance of regional peace, stability, and the bilateral relationship. Laura Zhou, South China Morning Post, March 3,
Gov't leader underlines growth with macro-economic stability, inflation control. Prime Minister Phạm Minh Chính emphasized the need for Vietnam to stimulate growth while maintaining macro-economic stability and controlling inflation. At a government meeting, he outlined strategies including revitalizing traditional growth drivers, leveraging investment, exports, and consumption, and accelerating new growth opportunities through digital transformation and green transition. Vietnam News, March 2
Swathes of Tajikistan crippled by unexplained power outage. A significant power outage struck Tajikistan on March 1, affecting Dushanbe and other regions for about three hours. This incident, possibly linked to a technical issue at the Nurek hydropower plant, disrupted essential services amidst a cold snap. The government and Barki Tojik, the state power company, have not provided an explanation for the blackout that impacted heating, hot water, and communications, including mobile internet and banking services. Eurasianet, March 1
Marcos: Security cooperation with US, Japan doing 'very well'. President Ferdinand Marcos Jr. highlighted the successful progression of security cooperation with the US and Japan, emphasizing its role in bolstering peace and stability in the Indo-Pacific, particularly concerning the South China Sea. The statement was made during the outgoing Japanese Ambassador to the Philippines, Kazuhiko Koshikawa's farewell call, reflecting on the strategic significance of these trilateral partnerships. Catherine S. Valente, The Manila Times, March 3
Former Bank of Beijing chairman under investigation, part of China’s crackdown on corruption. Yan Bingzhu, the former chairman of the Bank of Beijing, is currently under investigation for corruption. This inquiry is part of a broader series targeting financial sector corruption within China, reflecting President Xi Jinping's ongoing anti-corruption campaign. Critics argue this campaign also serves to eliminate political rivals. Yan, who led the bank from its inception in 1996 until his retirement in 2017, has been out of the public eye for over six months. AP News, March 3
Long Form
The Old Politics of New Kazakhstan. Despite significant events since Nursultan Nazarbayev's resignation, Kazakhstan's political landscape remains largely unchanged, marked by continuity rather than transformation. With Kassym-Jomart Tokayev's government reshuffling echoing past practices, attempts to address economic challenges and inequalities have shown limited effect. This period, while eventful, shows a steadfast adherence to established governance models, eschewing significant democratic or regime shifts. Luca Anceschi, The Diplomat, March 1
Voltage Visions: China’s EV Surge in Southeast Asia Amidst domestic market saturation and intense competition, China is shifting its electric vehicle (EV) expansion towards Southeast Asia, leveraging the region's booming demand for infrastructure and economic growth. This not only diversifies Chinese EV companies' market presence but also aligns with Southeast Asia's massive infrastructure investment needs, estimated at $2.8 trillion by 2030. Nancy Wei, The Diplomat, March 2
Will Japan’s Defense Spending Hike Be Enough? Japan faces a critical assessment of its defense budget, questioning if the planned 43 trillion yen allocation through fiscal year 2027 can meet its needs amid a depreciating yen and rising prices. This debate, initiated by Sakakibara Sadayuki of Keidanren, shows the challenges Japan confronts in balancing its defense strategy with economic realities. Takahashi Kosuke, The Diplomat, March 1
Mongolia’s Global Resurgence and Oyu Tolgoi’s Promise. Mongolia's economic recovery from COVID-19 gains momentum with the Oyu Tolgoi copper mine's underground production and a surge in coal exports. Constitutional amendments aiming for a larger parliament reflect domestic political shifts, while increased international engagement shows Mongolia's strategic significance amid geopolitical tensions. The Oyu Tolgoi project, despite its delays, is set to significantly contribute to Mongolia's economy, balancing out fluctuations in global copper prices with its substantial tax income. Domestic political tranquility in 2023 contrasts with previous unrest, suggesting a cautious optimism towards anti-corruption measures and economic promises. Internationally, Mongolia's democratic credentials attract European diplomatic attention, bolstering its geopolitical stance without alienating major powers. Julian Dierkes, East Asia Forum, March 2
Minilateral Solutions to the Geoeconomic Challenges Facing Japan and Australia. Japan and Australia are leveraging minilateralism to address the Indo-Pacific's geoeconomic challenges, aiming to counter coercive economic practices and bolster regional cooperation. This alignment focuses on diversifying trade and investment relationships and reinforcing a rules-based economic order, amidst experiences of economic coercion from China. Efforts include significant roles in multilateral institutions like the CPTPP, RCEP, and IPEF, alongside bilateral partnerships. Yet, minilateral initiatives, which offer agility and adaptability, are now seen as essential in filling the gaps left by traditional frameworks, with emerging collaborations like the Supply Chain Resilience Initiative and critical minerals cooperation indicating a proactive approach to building economic resilience and security nexus in the region. H.D.P. Envall, Kyoko Hatakeyama, Thomas Wilkins, Miwa Hirono, East Asia Forum, March 2