The Indian government is expected to file a complaint about the European Union's imposition of tariffs of between 20% and 35% on high-carbon goods, including iron ore, cement and steel from the South Asian country. The move follows the European bloc's approval of the first levy on high-carbon imports, targeting steel, gas and hydrogen from 2026. Policymakers in India are examining proposals to implement safeguards against imports as they seek parity with industries required to reduce emissions. Ajay Sahai, director-general of the Federation of Indian Export Organisations, argued that limiting emissions will help the sector remain competitive in global markets.
UK Health Secretary Steve Barclay is to meet Royal College of Nursing general secretary Pat Cullen amid a row over nurses' pay. RCN members will begin voting next week in a national ballot on further strikes. Despite the meeting, a Department of Health and Social Care source said the pay offer made by the government was a "final offer which would not be reopened." Nurses have held a series of strikes over pay and many are agitating for a double-digit pay deal.
China’s military has warned it is ready to “smash” Taiwan's independence, as the US reportedly prepares to accelerate the sale of defensive weapons and other military assistance to the self-governing island. China claims the 23 million-person island as its own territory and is prepared to bring it under its control by force if necessary. While China's actions thus far, including daily air and sea incursions around Taiwan, have had limited effect, analysts have warned of the likelihood of a major conflict involving all three sides and possibly US allies including Japan.
Australian rugby union coach Eddie Jones has overseen the Barbarians’ team which included Australian players Quade Cooper and Samu Kerevi. Although Cooper ruptured his Achilles tendon last August, he and Kerevi could play the roles of the Wallabies’ 10 and 12 over the early part of Jones’s tenure. Australia could enter the World Cup later this year using the two rugby stars as their front-line duo, while youngster Mark Nawaqanitawase is also viewed as an exciting prospect. Australia's opening match of the international rugby season is July 8 against South Africa in Pretoria.
The Council of Europe (CoE) summit, being held in Reykjavik, Iceland, has considered holding Russia legally responsible for the death and destruction caused by its invasion of Ukraine in February 2022. The summit, only the fourth in the CoE’s 70-year history, has seen the suspension of Russia’s membership as a direct result of the invasion. Attendees have discussed possible measures against Russia, including the creation of a dedicated tribunal to try leaders and commanders in The Hague, and the establishment of a register to record the damage caused by Russia.
Singapore Airlines has recorded its first annual profit in four years, thanks to demand for air travel and a rise in bookings to China, Japan and South Korea. The city-state's flag carrier said the turnaround was in line with other airlines, which are beginning to rebound now the Covid-19 pandemic restrictions around the world are being lifted. However, operators are warning of inflation pressures and stronger competition now that many airlines are regaining ground, and also anticipate that near-term cargo demand could shrink as the supply chain bottlenecks learn and weaker economic conditions hit demand and trade.
The effectiveness of international sanctions is being challenged as Russia, China and Iran implement alternative financial systems, which blunts the impact of US policies and allows them to hide questionable behaviour. While the alternative financial system is currently limited, more nations will enter Beijing's orbit as China's economy grows, and the alternatives to the dollar will rise in popularity. It is essential that the US revitalises domestic manufacturing and makes and keeps friends. The US must build a coalition of its own to balance Beijing’s growing anti-American coalition, and to keep the dollar as strong as possible.
Kyocera is set to invest $2.9bn in semiconductor-related production facilities through to March 2026 to make cutting-edge chips for AI and other fields. President Hideo Tanimoto said that the investments, which are part of the company's medium-term business plan, are a 130% increase from the previous three-year period. The company is planning to raise production capacity for package products as well as fine-ceramic components for semiconductor-processing equipment.
The US government's showdown with Republicans over the country's debt ceiling threatens the global economy and raises concerns among policymakers over the US' efforts to counter China. Republicans are seeking spending cuts over a decade whereas Democrats prefer smaller spending cuts in defense and social programs over a shorter period. Senior White House economics adviser Shalanda Young said the debt ceiling situation was a "test of what works in this world" and has raised concerns that the US would default on its US$31.4tn borrowing limit.
German exports to countries bordering Russia have surged once again in Q1 2016, carrying concerns that such a rise could help Russians get around sanctions put in place over Moscow's action in Ukraine. The value of German exports to Russia fell by 47% in January to March compared with a year-on-year period, reflecting trade replacements with the European Union and other Western entities. Experts are keen to ascertain how much the increased trade represents sanctioned goods ending up in Russia, sold on by traders from neighbours, with Group of Seven leaders set to strengthen measures against Russia this week.
South Korea’s President Vows to Expand Non-lethal Aid to Ukraine
Diplomat
23-05-16 15:56
South Korea's President, Yoon Suk-yeol, has pledged to extend the non-lethal aid his country provides to Kyiv, including mine-detection and ambulance equipment. During her meeting with Yoon, Ukraine's first lady, Olena Zelenska, requested an expansion of support for non-lethal military supplies. There was no request for weapons supply, as South Korea has a policy of not providing arms to countries engaged in conflict. Seoul, a growing arms exporter, has so far provided Ukraine with around $230m in aid but has not directly supplied arms as it was hesitant due to concerns that Russia could retaliate by providing advanced weapons to North Korea.
Taiwanese same-sex couples have been given joint adoption rights under the 2019 same-sex marriage legislation. An amendment to the legislation, which had its third reading in the Legislative Yuan, means the adoption process is the same for same-sex couples as it is for heterosexual couples under the island's civil code. The move comes after a landmark court ruling earlier this year in Kaohsiung that allowed a man to become the legal guardian of his husband's adopted daughter. Taiwan remains the only jurisdiction in Asia to have legalised same-sex marriage.
Japan's GDP figures for the first quarter are set to be the highlight for Asian markets on Wednesday, with expectations of annualised growth of 0.7%, the fastest rate in three quarters, leading to Tokyo stocks opening up 0.2%. China's weaker than expected economic data for April has resulted in slumps across Chinese financial assets, with April house prices also due on Wednesday. Although offshore investors have a new scheme to link Hong Kong with the mainland in order to access interest rate derivatives to help hedge their Chinese bond exposure, concerns about debt demand have cast extra doubt over the yuan's ability to gain reserve currency status.
Australian Prime Minister Anthony Albanese has said that his government is in discussions with the prime ministers of Japan and India after US President Joe Biden postponed his upcoming visit to Australia. Biden had been due to attend a Quad leaders' meeting in Sydney on May 24, but cancelled the trip because of the US debt ceiling crisis. Albanese stated that he and Biden had agreed to work to reschedule the visit as soon as possible.
The register of damages created by a summit of the Council of Europe will record Russia's "harm and destruction" in Ukraine, with the aim of using it for future compensation. The register will hold the tangible costs Russia has demanded from Ukraine over the last 15 months. Ukraine's President Volodymyr Zelensky used a video address to the summit to call for more air defence systems and missiles, as the register was launched in The Hague. Zelensky received defence pledges from France, Germany and Britain but is unable to equip Ukraine with advanced fighter aircraft.
With only 20 months under his belt as Japan's new Prime Minister, Fumio Kishida's rating levels had slumped alongside cabinet scandals and an attempted bomb attack. However, with the successful performance of his Liberal Democratic Party in local elections this April, and just in time for the upcoming Group of Seven leaders' summit in Hiroshima starting May 19, Kishida's approval rating has jumped almost 20 points since December to 52%.
Japan's J.League is gaining a bigger fanbase in Thailand with interest among Thai viewers reaching 61% last year, triple the level seen in 2013, according to a survey by the league. The J.League has reportedly pushed deeper into the Thai market, while a grassroots surge has also helped the league gain in popularity. A poll conducted by a US firm showed interest in the league more than doubling over the past few years to 49%. Although behind England’s Premier League and Spain's La Liga, which garnered 84% and 62% of Thai interest respectively, analysts noted these were still positive numbers. Thai fans of the J.League are expected to account for a growing audience over the next few years, helped by the recent success of Thai player Chanathip Songkrasin at the Japanese club Consadole Sapporo and official J.League merchandise and events in Bangkok.
US President Joe Biden is expected to emphasise unity and Washington's dedication to the Asia-Pacific during his planned trip for the G7 Summit in Japan whilst navigating a delicate balance between countering China's economic coercion and avoiding further division among US allies. Biden also seeks to build a "little Nato" in Asia to contain Russia and China. While the G7 is expected to outline proposals on countering China's "economic coercion", it is important to not inflame nationalistic tendencies or put smaller countries in a difficult position where they become the target of coercive activities. The trick, according to experts, is to build more robust trade agreements, maritime security measures, and reinforcing supply chains rather than setting up divisions. China carried out 73 incidents of economic coercion aimed at 19 countries between 2020 and 2022, including trade sanctions, investment restrictions, tourism bans and popular boycotts.
Australia’s treasurer Jim Chalmers has received criticism from opponents over the country's first budget surplus in 15 years, who claim the economic rebound and surging commodity prices made it an easy feat. Chalmers admitted that the return to balancing the books would only be temporary, with mounting defense, welfare, and energy transition bills to contend with. The country’s net debt position will rise to more than A$700bn by 2027, and concerns remain over how long commodity prices can sustain momentum with China's slowing growth. Observers suggested that more was needed to reshape Australia’s economy, with calls for more fiscal discipline. Danielle Wood, chief executive of the Grattan Institute think-tank, claimed there was a “pretty stubborn gap” between revenue and spending forecasts, requiring further action to address the structural deficit. Spending on defense is expected to rise to more than AUD50bn ($33.51bn) in the 2024 budget year, while the cost of the country’s disability support scheme is anticipated to increase from AUD35bn to AUD56bn in the 2027 budget year.
Japan's economy grew faster than expected, with gross domestic product expanding at an annualised pace of 1.6% in Q1 2021, exceeding estimates of 0.8% growth, and supported by better-than-expected business spending. This outcome is likely to fuel speculation of a possible early election and potential central bank policy change, given the headwinds and tailwinds currently affecting the economy. While stronger wage growth and additional price relief measures are supporting consumption at home, weaker overseas demand, due to higher interest rates to cool inflation, is expected to hurt exports and discourage companies from capital investment.
