News
Li Keqiang, former premier of China, dead after heart attack. Li Keqiang, who once served as the Premier of China, has passed away following a heart attack. Li served as Premier from 2013 to 2023, overseeing numerous economic and domestic policies before being succeeded by Li Qiang in 2023. Jun Mai, South China Morning Post, October 26
China sends its youngest-ever crew to space as it seeks to put astronauts on moon before 2030. China has dispatched its youngest crew ever to space, underlining its ambitions to position astronauts on the moon before the end of the decade. The average age of the crew is 38 years. The mission showcases China's rapidly advancing space program, which has achieved notable milestones in recent years. Andy Wong, AP News, October 26
South Korean court upholds ban on gay sex within armed forces. South Korea’s constitutional court upheld a military law that bans gay sex within the armed forces, a move that has sparked significant controversy. The decision has drawn international criticism and underscores the ongoing LGBTQ+ rights challenges within the country. The court has reviewed and upheld the law four times since 2002. Soo-Hyang Choi, Reuters, October 26
2 hospitalized after radioactive liquid exposure at Fukushima plant. Two individuals have been hospitalized following their exposure to radioactive liquid at the Fukushima Daiichi nuclear power plant. The incident took place during work at the facility and is currently being investigated to determine the cause and the extent of the exposure. Immediate measures are being taken to ensure the safety of other workers and to prevent further such incidents. Kyodo News, October 26
South China Sea: Biden says US will defend the Philippines if China attacks. US President Joe Biden has affirmed that the United States will defend the Philippines in the event of a Chinese attack in the South China Sea. This declaration strengthens the decades-old mutual defense arrangement between the two nations. Tensions have been escalating in the South China Sea due to territorial disputes between multiple countries. Joel Guinto, BBC News, October 26
China and the US appear to restart military talks despite disputes over Taiwan and South China Sea. China and the United States seem to be resuming military discussions despite ongoing disagreements over Taiwan and the South China Sea. The U.S. will be sending a Department of Defense representative to China’s Xiangshan Forum next week. This development indicates potential efforts by both nations to avoid military conflicts and ensure stability in the region, even as tensions persist. AP News, October 26
No imminent sign of N. Korea's spy satellite launch: unification ministry. South Korea's unification ministry stated that there is no immediate indication of North Korea preparing to launch a spy satellite. This statement comes amid speculations and international concerns about Pyongyang's satellite program and its potential military applications. The unification ministry continues to closely monitor developments in North Korea in cooperation with other related agencies. Kim Soo-yeon, Yonhap News Agency, October 26
India ‘exploring all legal options’ after Qatari court sentences 8 Indians to death for spying. The Indian government is "exploring all legal options" in response to a Qatari court's decision to sentence eight Indian nationals to death for allegedly spying on a submarine project. New Delhi has voiced its concerns and assured the families of the accused that it is making every effort to ensure their well-being and secure their release. The incident has sparked significant diplomatic tensions between the two countries. Ashok Sharma, AP News, October 26
Russia says it will build close ties with North Korea 'in all areas'. In a recent statement, Russia has expressed its intention to strengthen its relationship with North Korea across all sectors. This move is seen as an effort by Russia to assert its influence in the region and foster a closer alliance with Pyongyang. The announcement comes at a time of heightened geopolitical tensions, with various countries navigating their positions in the broader East Asian landscape. Reuters, October 26
Australian police charge 7 with laundering hundreds of millions for Chinese crime syndicate. The Australian police have arrested and charged seven individuals for their alleged involvement in laundering vast sums of money, possibly hundreds of millions of dollars, for a Chinese criminal syndicate. These arrests come amid broader concerns about money laundering and its implications for national security. AP News, October 26
Long Form
Taiwan's Election May Open 'Window' for Better China Ties. The upcoming presidential election in Taiwan could offer a chance to ease escalating tensions between Taiwan and China, according to a report by the International Crisis Group. The report suggests that a win for Lai Ching-te, who currently leads in the polls and is a strong advocate for Taiwan's sovereignty, could push both sides to find a mutually acceptable political framework. Despite the rising risk of conflict, the report calls for China to scale back its military activities in the Taiwan Strait and for gestures from Washington and Taipei to encourage this. By Thompson Chau for Nikkei Asia, October 27
Beijing's Message to National Women's Congress: Gender Equality Is Out, Family and Childbirth Are In. The 13th National Women's Congress in Beijing signals a policy shift within the Chinese Communist Party (CCP) regarding women's roles. Notably absent was the long-standing phrase about male-female equality, which has been a part of leaders' addresses since the 1990s. Instead, the focus shifted to promoting traditional gender roles and increased birth rates as solutions to China's demographic challenges. The Party is emphasizing women's role in childbearing and advocating for a "correct" view on marriage and family, likely causing tension with younger generations who are increasingly turning away from traditional family structures. By Carl Minzner for Council on Foreign Relations, October 26
Indonesia Fast-Tracks Its Electric Vehicle Ambitions. Indonesia is capitalizing on its rich nickel reserves to establish a domestic supply chain for electric vehicle batteries. While Chinese and South Korean companies have eagerly invested, Western firms like Tesla and Volkswagen are holding back due to regulatory challenges and environmental considerations. The U.S. Inflation Reduction Act could further discourage Western automakers from entering the Indonesian market. By Joseph Rachman for The Diplomat, October 26
China Needs a Market Support Fund to Rescue Property Developers. As China grapples with economic challenges, the government is reportedly mulling over a stock market stabilization fund. This fund could also serve to partly nationalize beleaguered property developers, a move that would be more effective than merely completing unfinished housing projects. Recapitalizing these companies would enable them to refinance their debt and continue building. While concerns over moral hazard exist, the immediate priority should be to avert systemic contagion in the economy. By Donald Low for Nikkei Asia, October 27
The Chinese Financial Crisis Nobody Is Talking About. While China's property meltdown has raised concerns over a potential financial crisis, the real issue may have been present all along. The focus has traditionally been on banks as the core of the financial system, but in China, many companies operate as banks without being formally recognized as such. These companies create forms of credit that are widely accepted as money in the broader economy. The collapse of confidence in these monetary instruments has had a ripple effect, affecting supply chains and potentially other forms of quasi-money IOUs issued by firms. The root cause of this complex financial system is political controls on the allocation of credit, which have led to inefficient capital allocation and liquidity issues. By Joseph C. Sternberg for Wall Street Journal, October 27
China Should Cooperate with US to De-escalate Israel-Gaza War. China should collaborate with the United States to mitigate the ongoing conflict between Israel and Hamas, even if it risks straining relations with strategic partners like Russia and Iran. The benefits of such cooperation for stability in the Middle East would outweigh the drawbacks. China's economic plans, including the Belt and Road Initiative, would benefit from a stable geopolitical environment. The U.S. has the leverage to moderate Israel's actions, while China could use its influence to deter Iran from escalating the conflict through proxies. By Emanuele Scimia for South China Morning Post, October 26
Is China Killing Its Fledgling Golden Geese? China's tech giants like Alibaba, Tencent, and JD.com have been instrumental in driving the nation's economic growth, much like their counterparts in South Korea, Japan, and Taiwan. However, recent regulatory crackdowns by the Xi administration are casting a shadow on their international ambitions. The government's focus on control over private growth, along with diminishing global trust due to concerns over espionage and intellectual property theft, puts these companies at a crossroads. Their ability to propel China into high-income status and global prominence is increasingly uncertain. By Jeremiah May for The Diplomat, October 26