Asia Daily Two Sessions Edition: March 10, 2025
Welcome to a special edition of Asia Daily focused on China’s annual Two Sessions (lianghui) meetings! For the next week, The Asia Cable will be providing daily news and commentary updates surrounding the National People’s Congress and the Chinese People's Political Consultative Conference as China sets its legislative agenda for the next year. Today’s schedule can be found here.
Domestic Policy
CPPCC chief Wang Huning calls for ‘safe and orderly’ religious activities: report. Wang Huning, head of China’s top political advisory body, urged stronger legal oversight of religious affairs to ensure that religious activities align with national laws and stability goals. His remarks at the Chinese People’s Political Consultative Conference align with Beijing’s ongoing efforts to regulate religious practices, particularly in ethnic minority regions such as Xinjiang and Tibet. William Zheng, South China Morning Post, March 7
Crack down on corruption, deploy technology – Xi Jinping’s twin missions for China’s military. President Xi Jinping ordered China’s military to intensify its anti-corruption efforts while prioritizing technological advancements in defense. Addressing lawmakers from the People’s Liberation Army, he stressed the need for stricter oversight, joint audits, and better allocation of defense resources. The campaign follows the downfall of high-ranking military officials. Xi also called for innovation in cybersecurity and artificial intelligence to strengthen combat effectiveness. Yuanyue Dang, South China Morning Post, March 7
China’s supreme court puts AI protections on its 2025 agenda. The Supreme People’s Court pledged stronger protections for artificial intelligence and intellectual property, citing a rise in disputes over AI-generated content and foreign involvement in legal cases. Court President Zhang Jun highlighted the need for balanced regulations to encourage innovation while curbing abuses. The court also vowed to crack down on extortion targeting private businesses. Meredith Chen, South China Morning Post, March 8
Chinese lawmakers submit 269 proposals to annual legislative session. China’s National People’s Congress received 269 proposals and over 8,000 suggestions from lawmakers, with most proposals focused on legislative priorities in key and emerging sectors. Topics include boosting consumption, expanding AI applications, and strengthening protections for private enterprises. The secretariat is reviewing the proposals and will compile a report for the session’s presidium. Xinhua, March 9
Hong Kong must deepen understanding of ‘one country, two systems’: delegate. Tu Haiming, a delegate to China’s top political advisory body, said Hong Kong society lacks a full understanding of the “one country, two systems” principle, viewing it only as a historical arrangement rather than part of national development. He called for stronger public education efforts and greater national awareness. Tu made the remarks at the CPPCC’s third plenary meeting in Beijing. Willa Wu, South China Morning Post, March 9
Defense
China says rising military budget ‘reasonable’ in face of ‘complex security environment.’ Beijing defended its 7.2% increase in defense spending, citing heightened geopolitical tensions and military modernization goals. Defense Ministry spokesman Wu Qian emphasized the need to strengthen combat readiness, particularly in response to U.S. actions in Taiwan. He also acknowledged challenges in meeting the PLA’s 2027 modernization targets. Shi Jiangtao, South China Morning Post, March 9
Peace requires safeguarding, military spokesperson says on China’s defense spending increase. Chinese military spokesperson Wu Qian defended the 7.2% rise in China’s defense budget, stating it is necessary for national security amid complex global challenges. He emphasized investment in new military capabilities, reconnaissance, and logistics while comparing China’s military spending to lower levels than the U.S. Wu also reiterated China’s position on Taiwan, warning that separatist movements would face strong countermeasures. Global Times, March 9
Foreign Policy
Chinese Foreign Minister Wang Yi says doubting 1971 U.N. stand on Taiwan is ‘absurd.’ Wang Yi reaffirmed that U.N. Resolution 2758 settled the issue of Taiwan’s representation, rejecting claims that it does not equate to the one-China principle. He condemned U.S. efforts to support Taiwan’s participation in international organizations, calling them a challenge to the UN order. Wang insisted that Taiwan was never a country and that reunification is inevitable. Alyssa Chen, South China Morning Post, March 7
Beijing renews warning to Tokyo: don’t stir up trouble with Taiwan. Chinese Foreign Minister Wang Yi cautioned Japan against interfering in Taiwan affairs, warning that using Taiwan to “cause trouble” would backfire. While acknowledging improved China-Japan ties, Wang criticized Japanese officials’ visits to Taiwan and military cooperation with the U.S. He framed Beijing as a stabilizing force, accusing Washington of creating divisions in the region. Kawala Xie, South China Morning Post, March 7
China’s ‘heart will always be with the Global South’ in a changing world: Wang Yi. Chinese Foreign Minister Wang Yi reaffirmed China’s commitment to the Global South, emphasizing its role in global stability and development. He framed China as a leader of emerging economies, criticizing U.S. trade policies while calling for unity among developing nations. Wang also stressed cooperation with BRICS and dismissed Western skepticism of China’s economic influence. Shi Jiangtao, South China Morning Post, March 7
Hong Kong’s role in national development is clearer than ever. Beijing reaffirmed its commitment to Hong Kong’s economic growth at the “two sessions,” urging deeper international cooperation and stronger ties with the mainland. Premier Li Qiang emphasized the city’s role in finance, trade, and maritime sectors, while Vice-Premier Ding Xuexiang described Hong Kong as a “diamond” in China’s strategy. The Lee administration has expanded outreach to new markets, but more targeted efforts are needed to maximize Hong Kong’s strengths. South China Morning Post, March 10
Optimism prevails at this year’s Two Sessions. The atmosphere at China’s 2025 Two Sessions was notably more optimistic than in recent years, with easing U.S. pressure and technological advancements boosting confidence. President Xi Jinping’s policies on private sector growth and industrial innovation were well-received. While Premier Li Qiang acknowledged economic challenges, officials and entrepreneurs expressed faith in China’s long-term resilience. The focus now shifts to execution, with policymakers emphasizing action over rhetoric. Yu Zeyuan, ThinkChina, March 6
What’s the NPC’s 2025 legislative agenda? Why a GDP target of ‘around 5%’ is needed – China imposes tariffs on Canadian imports. China’s National People’s Congress outlined its 2025 legislative priorities, including new laws on private enterprise, financial stability, and ecological protection. Lawmakers also pledged stronger oversight of AI and digital economy regulations. The 5% GDP target was framed as key to stabilizing market expectations and guiding economic policy. Meanwhile, China announced tariffs on Canadian agricultural imports in response to Canadian trade restrictions. Manoj Kewalramani, Tracking People's Daily, March 9
Xi wants thrift and diligence in military building – Analyzing Wang Yi’s press conference. President Xi Jinping called for stricter financial oversight in China’s military, stressing the need for efficiency, anti-corruption measures, and improved resource allocation. He urged better strategic planning and emphasized military-civilian integration for defense modernization. Meanwhile, Foreign Minister Wang Yi criticized U.S. policy, reaffirmed China’s stance on Taiwan, and promoted Global South cooperation during his annual press conference. Manoj Kewalramani, Tracking People's Daily, March 8
Xi focuses on tech, education, and talents – Moderately loose monetary policy to focus on real economy. Xi Jinping emphasized deepening education reforms to align with China’s technological and economic goals, calling for enhanced collaboration between schools, enterprises, and local governments. He stressed developing independent talent to support innovation in AI, quantum technology, and energy. Meanwhile, Premier Li Qiang pledged a more proactive fiscal policy and a moderately loose monetary approach to stimulate growth. Manoj Kewalramani, Tracking People's Daily, March 7