Focus: Indo-Pacific | 15th May 2024

Over the past week, tensions have intensified in the South China Sea (SCS) region with China on one hand and USA-Philippines on the other hand engaging in drills to deter each other. The USA and Philippines even went to the extent of indulging in a mock-battle. Yet the Chinese have been trying to woo certain elites in Philippines to soften anti-China feelings. Meanwhile, EU and Germany are asking for a level playing field for their companies, banks and other institutions in China as Beijing’s practices are killing competition. In East Asia in an interesting development South Korea’s spy agency said Sunday (May 12) it is looking into suspicions that North Korean weapons made in the 1970s have been supplied to Russia for its war in Ukraine. Prime Minister Fumio Kishida has once again shown eagerness to hold a summit with North Korean leader Kim Jong Un in an effort to swiftly resolve the issue of Japanese nationals abducted by Pyongyang decades ago. Japan’s defence industry may have a taker in Australia — Canberra has identified Japan’s advanced Mogami-class multimission warships, operated by the Maritime Self-Defense Force, as one of up to five potential candidates to replace its frigates. While Philippines is on a warpath vis a vis China, large parts of SE Asia, balancing between China and the USA is key, as articulated by new PM of Singapore and President elect of Indonesia.   

 

German carmakers want to compete with China but it must be a ‘fair fight’: envoy Patricia Flor

South China Morning Post | 13th May 2024 

The European Union and Germany have been asking for a level playing field for our companies, banks and other institutions in China for quite some time, because this is the underlying issue for overcapacity.

China offers subsidies to certain companies and industries, including financial support at low interest rates. To make things worse, this often leads to overcapacity – companies are not profitable but continue to stay in business instead of going bankrupt, which undermines normal competition.

 

South China Sea: PLA Navy sends destroyers on anti-missile, anti-sub drills

South China Morning Post | 12th May 2024 

A destroyer division from the Chinese navy carried out anti-missile and anti-submarine drills in the South China Sea, the People’s Liberation Army said, as the US and the Philippines wrapped up annual military exercises in the disputed waters.

The Southern Theatre Command – the branch of the PLA that oversees China’s military activities in the area – posted a video of the drill online on Saturday showing what it said were details of the “recent” exercise.

 

As US-backed Philippines asserts itself against China, war games risk heating tensions at sea

South China Morning Post | 12th May 2024 

US Marines joined Filipino counterparts on May 5 for a mock battle at a telling location: a small, remote territory just 100 miles (161km) off the southern tip of the contested island of Taiwan. The combat drill is part of the week-long Balikatan military exercise that has brought together naval, air and ground forces of the Philippines and the United States, with Australia and France also joining some manoeuvres.

 

China woos Philippine elites near base U.S. needs to defend Taiwan

The Japan Times | 11th May 2024 

U.S.-Philippines ties are as strong as they’ve been in decades, with soldiers from both sides just wrapping up three weeks of joint military exercises that resemble the kind of preparations necessary to help repel a Chinese invasion of Taiwan. Yet in the northern Philippines, near a military base the U.S. recently won access to that is crucial to any defense of Taiwan, Beijing has made inroads with key politicians. Manuel Mamba, governor of Cagayan province, has traveled to China twice in the past 12 months and has four copies of President Xi Jinping’s book “The Governance of China.”

How China’s latest government overhaul is shaping up, and what it says about the Communist Party’s priorities

South China Morning Post | 12th May 2024 

Since taking the helm of the Communist Party in 2012, President Xi Jinping has constantly been overhauling China’s massive system of state and party organs to reflect Beijing’s shifting priorities. In the latest restructuring plan, rolled out in the spring of 2023, Beijing moved to assert more direct party control over a wide range of key policy areas, including science and technology, the financial sector and social stability. A year later, the nature and scale of the restructuring is starting to take shape as new agencies covering these areas have been set up by central and local governments.

 

NIS looking into N. Korea’s suspected provision of weapons to Russia

Yonhap | 12th May 2024

South Korea’s spy agency said Sunday (May 12) it is looking into suspicions that North Korean weapons made in the 1970s have been supplied to Russia for its war in Ukraine amid deepening military cooperation between Pyongyang and Moscow. The remark by the National Intelligence Service (NIS) came in response to a recent report by a local media outlet that 122 mm artillery shells manufactured in the North in the 1970s appeared to be among weapons that Russia used in its ongoing war against Kyiv.

 

Kishida again vows to strive for summit with North Korea

The Japan Times | 12th May 2024 

Prime Minister Fumio Kishida on Saturday (May 11) reiterated his eagerness to hold a summit with North Korean leader Kim Jong Un in an effort to swiftly resolve the issue of Japanese nationals abducted by Pyongyang decades ago. “It’s crucial for leaders to first form a relationship that allows for frank discussions,” Kishida said at a rally in Tokyo aimed at securing the return of all abductees. “I’ll make best efforts.” The prime minister also said that establishing fruitful relations between Japan and North Korea would be in the interest of both countries.

 

Will Australia’s next frigates come from Japan?

The Japan Times | 9th May 2024

As Australia prepares to replace some of its aging frigates, Canberra has identified Japan’s advanced Mogami-class multimission warships, operated by the Maritime Self-Defense Force, as one of up to five potential candidates for that role. While Tokyo and contractor Mitsubishi Heavy Industries would be up against stiff competition from rivals with more experience in defense exports, analysts say that the Mogami-class warships — or co-developed Australian variants of them — stand a fair chance in any bidding war.

In highly politicised America, pressure will grow on Singapore to pick a side in US-China conflict

The Strait Times | 13th May 2024

Singapore’s incoming prime minister Lawrence Wong will need to walk a tightrope through the buffeting winds of great power strategic rivalry at precisely the moment that a particularly contentious election campaign in the United States moves into high gear.

 

Indonesia’s Prabowo reiterates ‘Asian Way’ to defuse tension

Bangkok Post | 12th May 2024

As Indonesia’s president elect Prabowo Subianto prepares to enter office in October, he looks set to take a more assertive stance in foreign policy, saying that diplomacy, negotiations, and the “Asian way” have helped defuse tensions. 

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