Regional Roundup for Week of 6.9.16

LEADERS

The Heat: China-US Strategic and Economic Dialogue Review – CCTV America Known as S&ED, this year’s meeting, held in Beijing, comes at a time of tension over such issues as the South China Sea, the Democratic People’s Republic of Korea and economic uncertainty.

China-US Strategic and Economic Dialogue: Time to Move Beyond the South China Sea? – The Diplomat The South China Sea tensions have become the Rorschach Test for China-U.S. relations.

Over-Politicized ‘Overcapacity’ at US-China Dialogue – The Diplomat China’s overcapacity has replaced currency manipulation as the latest excuse for U.S. protectionism.

Excess capacity in Chinese economy distorting world markets, says Jack Lew – The Guardian US Treasury secretary hopes that talks between US and Chinese officials on industry capacity would be as fruitful as those on currency policy. China’s excess industrial capacity will have a “corrosive” impact on its future growth and efficiency unless it is reduced, US Treasury secretary Jack Lew said on Sunday, adding that it was also causing distortions in global markets.

Related: EU to investigate Chinese steel subsidies blamed for dumping – The Guardian 

U.S. and China Offer Competing Views on Disputed Sea – NYT The diverging positions by American and Chinese officials indicated that annual talks had done little to bridge differences.

 Related: Reading From the ‘Script’ on the South China Sea Issue – The Diplomat

Related: Kerry on Concerns With China – NYT 

Diverting the Mekong River into Thailand: The Khong-Loei-Chi-Mun project – Mekong Commons The Royal Irrigation Department of Thailand has recently reinvigorated plans to divert water from the Mekong River’s mainstream into the Loei River in Northeastern Thailand. But there are serious concerns form local residents, environmental activists and neighboring countries.

Myitsone Dam Resumption Would Prove Suu Kyi’s Downfall – The Irrawaddy If the NLD government decides to resume the Myitsone Dam, the Burmese people will demand that they leave office. China needs to be cognizant of this. \\This is a very delicate situation for Aung San Suu Kyi. She has enjoyed comfortable relations with Beijing in recent times and does not want to lose that. However, Myitsone Dam symbolizes environmental irresponsibility and stands against local people’s demand. It will be interesting to see how Suu Kyi tackles this.

Chinese ambassador’s Kachin visit sparks Myitsone protests – DVB Multimedia Group A visit to the Kachin State capital by China’s ambassador was met on Saturday morning with protests by activists and environmentalists opposed to the stalled Myitsone mega-dam project.

Related: Protest surrounds Chinese envoy’s hotel in Kachin state –Asia News Network 

Related: Chinese envoy pushes for Myitsone dam –Eleven Myanmar

REGIONAL RELATIONS                    

Vietnam, Cambodia beef up defense ties – The Jakarta Post Vietnam and Cambodia have agreed to fully and effectively actualize protocols on defense cooperation in order to enhance mutual understanding and trust, ensure a peaceful and stable environment for their economic development and foil plots to weaken their relations. 

Japan, Myanmar Eye Stronger Defense Ties – The Diplomat Two sides discuss defense relations during Gen Nakatani’s visit to the Southeast Asian state.

Is Myanmar Using Armed Chinese Drones For Counterinsurgency? The Diplomat Myanmar’s air force is using armed drones against rebels in the country’s north. // This news signals deep ties beyond economic cooperation between the two countries. At a time when Myanmar is facing considerable pressure from China to give a go-ahead to Chinese funded Myitsone Dam such news does not bode well for environmentalists and local people who want the dam project to be postponed. If Myanmar is to be dependent on China on multiple sectors including military then it is unlikely the NLD government will be able to go against the wish of the Chinese State Council.

Setting the Record Straight on US-India South China Sea Patrols – The Diplomat Was Washington simply being overzealous by proposing joint South China Sea patrols with India or is there more to the story?

China asks the Philippines to quit UN arbitration, talk – The Hindu China’s claims of almost all of SCS and asserts that it has held the area from ancient times. The claims are contested by the Philippines, Vietnam, Malaysia, Brunei and Taiwan.

Related: As South China Sea Verdict Nears, Washington Must Stand with Manila – The Diplomat

Laos, Vietnam to further enhance special ties – The Jakarta Post Laos and Vietnam will jointly organize various activities to mark the 55th anniversary of the establishment of diplomatic relations between the two countries next year.

SUSTAINABILITY AND RESOURCE MANAGEMENT

Indonesia’s largest coal plant will be built despite protests, minister says – Eco-business Indonesia will go ahead with construction of what is set to be its largest coal-fired power plant in Batang, Central Java next year, a senior government official has said, downplaying opposition from environmental groups and the local community.

Vietnam company seeks to replace gasoline taxis with 10,000 electric vehicles taxis –Thanhnien News Ho Huy Investment Company has said its taxis will, over a 10-year period, reduce emissions by 940,000 tons and save more than 406 million liters of gasoline worth US$134 million.

 Malaysia’s Trive and China firm form solar products tie-up – The Star Online Trive Property Group Bhd has established a joint-venture (JV) company with China-based Fortunate Solar Technology Ltd to tap into solar business with a total investment of RM60mil.

CHINA

China becomes world’s biggest development lender – The Third Pole Two Chinese banks now provide as much international development finance as the next six biggest multilateral lenders combined – but are greatly exposed to political, social and environmental risks, new research says. //Chinese banks have made energy investments in troubled states like Venezuela, Pakistan, Ethopia, Sudan, etc. This means the huge amount of debt has a good chance of not being repaid. 

Related: China Pushes Back Against U.S. Complaints of Industrial Overcapacity – NYT

Chinese Company Suning Buys Majority Stake in Inter Milan – NYT  Retail giant Suning has bought a majority stake in Inter Milan, marking the latest entry into the European soccer market by cash-rich Chinese firms. // Chinese nationals have been investing in overseas assets for some time now. Initially developing countries, especially African countries, were investment destinations for China but now a lot of investment goes to Europe and US as well. Inter Milan, a big club with a lot of history behind itself was bought for US$394 million.

Chinese fighter makes ‘unsafe’ intercept of US plane over East China Sea – The Guardian Second high-speed encounter within weeks takes place as Washington warns Beijing against setting up air defence zone over disputed Asia-Pacific waters // This incident indicates that despite the tough position demonstrated by US in the Strategic and Economic Dialogue and UN arbitration panel’s ruling China remains bullish over its territorial claim.

Related: U.S. Accuses Chinese Jet of Flying Too Close to American Plane – NYT 

Uncertain Future for China’s Market Status Bid – ChinaFile It’s been 15 years since China joined the World Trade Organization, and yet China is still waiting for the WTO to grant it market economy status. During this period, some Chinese businesses have expanded overseas while others have been accused of flouting international anti-dumping rules.

South China Sea: ‘We have no fear of trouble,’ Chinese admiral warns – The Guardian China has rebuffed US pressure to curb its activity in the South China Sea on Sunday, restating its sovereignty over most of the disputed territory and saying it “has no fear of trouble”. On the last day of Asia’s biggest security summit in Singapore, Admiral Sun Jianguo said China will not be bullied, including over a pending international court ruling over its claims on the vital trade route.

Related: South China Sea: US warns Beijing against building ‘great wall of self-isolation’ – The Guardian 

 A First: Chinese Naval Vessel Enters Senkaku Contiguous Zone in East China Sea – The Diplomat Previously, China had only sent its coast guard into Japan’s territorial sea and contiguous zone. //It was expected that China will soften its stance on South China Sea dispute facing growing pressure from US and the international community. However, this news shows China has no intention to that. We can take this as a show of strength from the ruling party in China.  

Related: Japan Summons Chinese Envoy After Naval Ship Nears Disputed Islands – NYT

Related: Japan protests after Chinese warship sails near disputed islands – The Nation 

Prosecutors Paint Picture of Murder and Deception at Chinese Coal Mines – NYT Dozens have been accused of involvement in the deaths of 17 people whose bodies were used to fabricate mine accidents and extract compensation.

A Harvard Scholar on the Enduring Lessons of Chinese Philosophy – NYT Michael Puett, whose course on Chinese philosophy is one of Harvard University’s most popular offerings, explains why “embracing ourselves for who we are” may not be the path to the good life.

SOUTHEAST  ASIA

Mekong dam projects ‘could destroy livelihoods, ecology’ – The Nation Environmental groups warn areas might be totally devastated in next 10 years

Why ASEAN must pay more attention to the Mekong Delta – The Jakarta Post The Great Mekong River is at its lowest level in a century. It needs urgent collective efforts by the regional partners.

Kerrey’s Vietnam Dilemma – NYT Former Senator Bob Kerrey should not quit his role at the new Fulbright University Vietnam, despite an outcry over his war record.//This conundrum is hurtful to USA when it is trying to improve its ties with Vietnam. The news of Senator Kerrey being appointed as Chair of a new university in Vietnam reopened old wounds as the Senator is accused of killing civilians and children during Vietnam war. 

US, Cambodia Militaries Kick off Pacific Angel 2016 – The Diplomat This year’s iteration of PACANGEL Cambodia will last until June 18.

Revisiting the Ties That Bind Singapore and Suu Kyi – The Irrawaddy Myanmar and Singapore have a shared history of colonial occupation and a long relationship as Southeast Asian neighbors. As relations between Myanmar and Western nations continue to thaw and some bilateral ties are forged for the first time, Singapore and Myanmar are merely entering a new phase in their sometimes complicated but nonetheless enduring relationship.

Migrant rights groups call for action ahead of Suu Kyi’s trip to Thailand – DVB Multimedia Group Migrant rights groups are calling for Burma and Thailand to form an agreement that will ensure the process for Burmese migrants renewing documents is not strenuous, timely and expensive.

2 more Chinese lighthouses in Spratlys – The Jakarta Post China is building two new lighthouses on artificial islands in the disputed Spratly chain, state media reported, continuing with facility installation to bolster its territorial claims in the South China Sea.

Minister’s Environment Day Claims In DoubtThe Cambodia Daily Environment Minister Say Sam Al on Sunday declared an end to large-scale logging in eastern Cambodia, though NGOs disagreed. In mid-January, the government set up a special task force to root out illicit timber stocks across the east and ordered an immediate halt to all wood exports to Vietnam.

Malaysian businessmen urged to invest in Cambodia –Khmer Times The President of the Cambodia Chamber of Commerce (CCC has urged Malaysian investors and businessmen to invest in and do business with Cambodia.

Myanmar should tap dams for electricity: Yangon chief minister –The Nation Dams can provide an affordable means for electricity production and water storage, Yangon region Chief Minister Phyo Min Thein said at an event to inform the public about the state of electricity distribution at the Yangon Electricity Supply Corporation headquarters.

Russian nuclear agency bullish on Asean outlook –The Nation ROSATOM, Russia’s state nuclear-energy agency, is bullish on the outlook of its business in Southeast Asia after the speedy development of a project in Vietnam and a range of agreements with every country in the region except Singapore, the Philippines and Brunei.

France has agreed to extend its support for development projects in Laos –Lao National Television (broadcasted news) France has agreed to extend its support for development projects to be implemented in Laos over the next three years, with the main focus on agriculture. Two financial agreements valued at 1.5 million euros were reached on Thursday

Ash Chowdhury compiled and provided analysis for this week’s news.

 

 

 

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