Asia Daily: October 31, 2023
News
Xi-Biden talks ‘one step closer’ after Wang Yi’s US trip, but China warns it won’t be ‘smooth sailing’. The anticipated talks between Chinese President Xi Jinping and U.S. President Joe Biden are seemingly drawing nearer following Chinese Foreign Minister Wang Yi’s visit to the United States. However, China has cautioned that the path to these talks will not be without challenges, highlighting the existing tensions and disagreements between the two nations. The realization of this high-level dialogue would mark a significant step forward in Sino-American relations, which have been lukewarm at best this year. Kawala Xie, South China Morning Post, October 30
China military says Philippine ship 'illegally entered' waters near Scarborough Shoal. China's military has accused a Philippine ship of unlawfully entering waters near the disputed Scarborough Shoal in the South China Sea. This assertion escalates tensions in the disputed waters where territorial claims often lead to confrontations. The incident is only the latest in a series of ongoing challenges in navigating relations and territorial integrity in the region. Ethan Wang and Bernard Orr, Reuters, October 30
Taiwan opposition to team up for parliamentary elections. Taiwan's opposition parties, the Kuomintang and Taiwan People’s Party plan to join forces in the upcoming parliamentary elections, uniting their efforts to challenge the ruling Democratic Progressive Party. This collaborative strategy among the opposition aims to consolidate their resources and voter base, enhancing their competitiveness in the elections. The alliance showcases the evolving political strategies and the dynamic nature of Taiwan’s electoral politics as tension surrounding the island nation continues to rise. Yimou Lee, Reuters, October 30
China’s declining aid to Pacific islands increasingly goes to allies, think tank reports. According to a think tank report, China's financial aid to Pacific Island nations appears to be on a decline and is increasingly being directed towards its allies in the region. This shift seems to reflect a strategic allocation of China's overseas aid, possibly to strengthen alliances and wield greater influence in the Pacific. The findings provide insight into China's foreign aid approach amidst global geopolitical complexities. Rod McGuirk, AP News, October 30
U.S. and Chinese Defense Officials Meet at Beijing Forum. U.S. and Chinese defense officials held a brief meeting at a multilateral security forum in Beijing to discuss military communication between the two countries. Chinese Defense Ministry spokesperson Wu Qian and Cynthia Carras, a U.S. Defense Department official, were the key participants. Wu urged the U.S. to create a favorable atmosphere for communication between the armed forces of both countries. Gen. Zhang Youxia, China's top uniformed military official, expressed a desire for greater military exchanges with the U.S. based on mutual respect and peaceful coexistence. The dialogue comes after a hiatus following U.S. House Speaker Nancy Pelosi's visit to Taiwan in August 2022. By Yukio Tajima for Nikkei Asia, October 31
U.S., Chinese diplomats hold video talks on N. Korea-Russia military cooperation, defector repatriation. Diplomats from the United States and China have conducted video discussions focusing on North Korea's military cooperation with Russia and the issue of defector repatriation. These talks reflect the ongoing diplomatic efforts by major players to address security and humanitarian concerns related to the Korean Peninsula. The engagement also underscores the multifaceted nature of diplomacy in addressing regional stability and human rights. Song Sang-ho, Yonhap News Agency, October 30
China pledges to renew military dialogue with US while criticising meddling. China has committed to resuming military dialogue with the United States, despite voicing criticism against what it describes as U.S. meddling in its internal affairs. This decision indicates a willingness to engage in diplomatic discussions amidst existing tensions and disagreements between the two major powers. The renewal of dialogue could potentially facilitate better understanding and management of bilateral relations and global security issues. Kathrin Hille, Financial Times, October 30
Hong Kong opposition fails to secure nominations for district election. Hong Kong's largest pro-democracy party has been unsuccessful in securing nominations for the upcoming district elections. The development highlights the challenges faced by the opposition in participating in the city's political processes under the current electoral framework. The party will not be fielding any candidates in the city’s district council election as a result of this failure. Kyodo News, October 30
100 U.S. nuclear weapons should be committed to supporting S. Korea's security against N.K. threats: report. A recent report suggests that the United States should commit 100 nuclear weapons to bolster South Korea's security against potential threats from North Korea. This recommendation emphasizes a deterrence strategy to manage the risks associated with North Korea's nuclear capabilities. The proposal is part of broader discussions on defense strategies and security collaborations to ensure stability on the Korean Peninsula. Yi Wonju, Yonhap News Agency, October 30
Japan's monthly report warns Middle East situation could impact economy. Japan’s latest monthly economic report has raised concerns that the volatile situation in the Middle East could adversely affect the Japanese economy. The government’s assessment underscores the potential economic risks and uncertainties arising from geopolitical tensions in the region. This reflects Japan’s economic sensitivity to global geopolitical developments and the interconnected nature of global economies. Kaori Kaneko, Reuters, October 30
Thai Prime Minister Visits Laos: New Infrastructure Projects in the Pipeline. The Prime Minister of Thailand has visited Laos, marking a significant engagement between the two neighboring countries. During the visit, discussions were held regarding new infrastructure projects, reflecting a mutual interest in strengthening bilateral ties and enhancing regional connectivity. Such developments are expected to foster closer cooperation and economic integration between Thailand and Laos. Chono Lapuekou, Laotian Times, October 30
Long Form
Japan Inc. Can Find Worthy Women Directors If It Looks Hard Enough. Despite a government push for gender diversity in corporate boards, Japanese companies struggle to meet the target of having at least 30% female directors by 2030. The issue stems from a historical underinvestment in the professional development of female employees. However, the article suggests that companies can find qualified women for board roles by expanding their search to academia, small and midsize enterprises, startups, and independent professionals. By Nobuko Kobayashi for Nikkei Asia, October 31
Shinawatras Reassert Hold on Pheu Thai Party. Paetongtarn Shinawatra, daughter of telecoms billionaire Thaksin Shinawatra, has been elevated to head Thailand's Pheu Thai Party, signaling the family's continued influence. The party's ambitious economic agenda, including a digital money initiative for Thai citizens, has been stalled by military and elite forces. Despite forming a government with military-aligned parties, Pheu Thai faces challenges in implementing its policies. The old guard has signaled that the party will not have a free hand in governance, raising questions about its future direction under Paetongtarn's leadership. By John Berthelsen for Asia Sentinel, October 30
Can the Australia-U.S. Alliance Overcome Fraught Politics in Washington? Despite a strong alliance between U.S. President Joe Biden and Australian Prime Minister Anthony Albanese, the future of the AUKUS agreement faces uncertainty due to political turbulence in the U.S. Congress. The recent election of a Trump-supporting Speaker of the House raises questions about the legislative support needed for AUKUS, particularly for the delivery of U.S.-made nuclear-powered submarines to Australia. The article also highlights the regional discord AUKUS is causing in the Pacific, where concerns about militarization and the climate crisis take precedence. By Patricia O'Brien for The Diplomat, October 30
Can Vietnam Become the Next Asian Tiger? Vietnam has leapfrogged South Korea to become the United States' sixth-largest trade partner by import value, largely due to its high-tech exports. The country has also attracted significant foreign direct investment, including from Apple and Amkor Technology. Despite its rapid growth, Vietnam faces challenges such as an overreliance on foreign innovation and a need for domestic inputs to drive its total factor productivity and human capital. However, the country's unique position and successful management of the COVID-19 pandemic make it one of the fastest-growing economies, potentially setting it on the path to becoming the next Asian tiger. By Long Le for East Asia Forum, October 30