Asia Daily: September 22, 2023
News
China, EU to Hold High-level Economic and Trade Dialogue in Beijing. The 10th China-European Union High-Level Economic and Trade Dialogue is scheduled for Sept. 25 in Beijing. The dialogue will be co-chaired by Chinese Vice-Premier He Lifeng and European Commissioner for Trade Valdis Dombrovskis, emphasizing ongoing efforts to strengthen economic and trade relations between China and the European Union. By Joe Cash, Albee Zhang and Ethan Wang for Reuters, September 21
Vietnamese Electric Vehicle (EV) Maker VinFast Plans to Ship its First EVs to Europe This Year After Receiving Regulatory Approval. Under the plan, about 3,000 of its VF8 crossovers would be delivered to France, Germany and the Netherlands in the fourth quarter of this year from VinFast's factory in northern Vietnam. By Phuong Nguyen and Francesco Guarascio for Reuters, September 21
Thailand's New PM Holds Talks With Tesla Chief Musk. Thailand's new Prime Minister, Srettha Thavisin, discussed the electric vehicle (EV) industry with Tesla CEO Elon Musk during his visit to New York. Thailand, a key automobile manufacturing hub, has been offering incentives to attract EV and battery manufacturers, aiming to maintain its position in the regional auto market. Srettha conveyed his administration's readiness to support investments within the existing incentive framework, and Tesla praised Thai human capital as suitable for investment in this sector. By Chayut Setboonsarng and Devjyot Ghoshal for Reuters, September 21
India Suspends Visa Services for Citizens of Canada, Trudeau Says He’s not Trying to Cause Problems. The suspension is part of a growing rift over allegations by Canadian Prime Minister Justin Trudeau suggesting Indian involvement in the killing of a Canadian Sikh activist. India labeled the accusations as "absurd" and urged a reduction in Canadian diplomatic staff in India to achieve staffing parity. Meanwhile, the Trudeau government has yet to provide evidence supporting its claims, further exacerbating the diplomatic discord impacting trade and security relations between the two nations. By Ashok Sharma and Krutika Pathi for the Associated Press, September 21
Two Activists Freed in Philippines After Being ‘Abducted by the Military’. The two were reportedly abducted by the Philippine military on Sept. 2. The activists were opposing reclamation activities in Manila Bay. After appearing at a government press conference and accusing the military of abduction, they were released the same night. Al Jazeera, September 21
South Korea Raids US Military Bases in Drugs Probe. South Korean authorities are investigating 17 American soldiers and five others for allegedly smuggling and using synthetic marijuana, following raids on multiple U.S. army bases including Camp Humphreys. The suspects are accused of using the U.S. military's postal service to bring the drugs into the country. In South Korea, drug trafficking can result in sentences ranging from five years to life in prison, while possession can lead to a maximum of five years or a substantial fine. By Kelly Ng for BBC, September 21
China has issued some export licenses for gallium and germanium. Some Chinese companies have obtained export licenses for gallium and germanium products, the commerce ministry said on Thursday, after Beijing set new conditions on exports from Aug. 1. Reuters, September 21
South Korean lawmakers vote to pave way for opposition leader's arrest. South Korea's opposition-controlled parliament in a surprise move on Thursday voted to allow prosecutors to serve an arrest warrant against the main opposition leader who is facing an investigation into bribery and breach of duty charges. By Hyunsu Yim for Reuters, September 21
Tesla proposes building a battery storage factory in India. Tesla has submitted plans to Indian officials for a factory that would make and sell battery storage systems in the country. The proposal comes as Elon Musk continues to push for Tesla's entry into India, where the company has also been in talks about setting up an electric vehicle factory. By Aditya Kalra for Reuters, September 21
Canada and Japan agree to work more closely on battery supply chains. Canada and Japan on Thursday agreed to work more closely together to establish sustainable and reliable global battery supply chains, the Canadian government said in a statement. Reuters, September 21
Japan chip tool firm Kokusai Electric plans to list on Oct 25. Kokusai Electric, a Japanese chipmaking equipment maker, announced plans to list on the Tokyo Stock Exchange on October 25. The move sets the stage for what could be Japan's largest initial public offering (IPO) in five years. By Sam Nussey and Makiko Yamazaki for Reuters, September 21
Assad arrives in China and Putin is coming soon. Syrian President Bashar al-Assad landed in Hangzhou to join Xi Jinping at the opening ceremony of the Asian Games. This marks Assad's first visit to China since 2004 and adds legitimacy to Syria's campaign to return to the world stage. The visit coincides with China's top diplomat Wang Yi meeting Russian President Vladimir Putin, who accepted an invitation to visit China in October. By Barry van Wyk for The China Project, September 21
U.S. Sends Drone Ships to Western Pacific in First Deployment Near China. Two prototype U.S. drone ships have arrived in Japan for their first deployment in the western Pacific, testing surveillance and attack capabilities that the Navy might find useful against China’s larger fleet. The vessels could serve as a "force multiplier," potentially replacing larger ships like destroyers in groups hunting enemy targets. By Alastair Gale for Wall Street Journal, September 21
Indonesian consortium launches $1.3bn project at new capital site. A consortium of Indonesian conglomerates led by property giant Agung Sedayu Group has broken ground on the first private sector-backed development project in Indonesia's planned new capital city of Nusantara. President Joko Widodo attended the groundbreaking ceremony, and the facilities to be developed include a five-star hotel, shopping malls, and office towers. By Ismi Damayanti for Nikkei Asia, September 21
Australia's government posts $14.2 billion budget surplus after 15 years in the red. Australia's government reported a budget surplus of $14.2 billion for the last fiscal year, marking the first time the nation's books have been balanced in 15 years. The surplus was attributed to low unemployment and high commodity prices, including iron ore, coal, and gas. However, Treasurer Jim Chalmers cautioned that another surplus is not expected in the current fiscal year due to China's economic issues and recent Australian interest rate hikes. By Rod McGuirk for AP News, September 21
A leader of Cambodia's main opposition party convicted and sentenced to 18 months for bouncing checks. Thach Setha, a vice president of Cambodia's Candlelight Party, was sentenced to 18 months in prison for issuing worthless checks in 2019. This is the first major legal ruling against government opponents since Hun Manet became Cambodia's new prime minister. The case is seen as politically motivated, and Thach Setha's arrest was viewed as part of a broader campaign to suppress opposition ahead of Cambodia's general election. By Sopheng Cheang for AP News, September 21
Long Form
What Happened at the First-Ever Central Asia-US Leaders’ Summit? For the first time ever, an American president met with the leaders of Kazakhstan, Kyrgyzstan, Turkmenistan, Tajikistan, and Uzbekistan in a summit dedicated to dialogue between these nations and the U.S. The leaders present discussed issues ranging from counterterrorism to commercial investment in the region. Human rights concerns, which are in no shortage in Central Asia, were not prominently discussed, though American President Joe Biden did underscore the importance of women’s rights. By Colleen Wood for The Diplomat
China’s Fighter Jets Aren’t Just Flying Around Taiwan. They’re Practicing. A surge in activity by the Chinese military shows it honing its ability to block the U.S. from responding to an invasion of Taiwan. The recent high number of Chinese military aircraft around Taiwan is not just for show; it's a practice run for encircling the island and neutralizing its natural advantages. The People’s Liberation Army is focusing on "anti-access/area denial," aiming to block a U.S. response in the event of an invasion. By Joyu Wang for Wall Street Journal, September 21
China Looks for a Resource Bonanza in Afghanistan. China has become the first country to appoint a formal ambassador to Afghanistan since the Taliban's takeover. This move indicates China's growing confidence in the Taliban government's ability to ensure security and protect Chinese interests. It also highlights China's eagerness to tap into Afghanistan's rich mineral resources, including an estimated $1 trillion of untapped minerals. Chinese companies have already signed multibillion-dollar agreements for mineral extraction in Afghanistan. By Salman Rafi Sheikh for Asia Sentinel, September 21
Beijing Takes the Scitech High Road. China is pivoting away from Deng-era pro-market policies and "hide and bide" approaches to focus on science and technology. The article discusses China's new top-down plans in the realm of science and technology, emphasizing the country's shift towards self-reliance. Beijing has identified 30 'chokehold' technologies and sees its inability to source these technologies globally as an existential threat. A 'new nationwide system' is being introduced to guide the allocation of resources like talent, equipment, and funding. By Erlend Ek and Gabriel Wagner for China Policy, September 21
Thank you for reading The Asia Cable, if you liked our content please share it with the world. We are a growing newsletter, dedicated to providing relevant and insightful content to all those with interests in Asia. Stay tuned for more engaging and informative updates in the future. Until next time!