Global Developments and Analysis: Weekly Monitor, 10 May - 16 May 2021

Economic

Citing labour shortage, US states end pandemic jobless benefits, funds

A handful of US states have announced they will end extra unemployment benefits provided by the federal government, which they blame for creating a shortage of workers.Iowa on May 11 joined Alabama, Arkansas, Mississippi, Montana and South Carolina in cutting off the payments that through September are providing $300 a week on top of regular state benefits. But President Joe Biden pushed back against the argument that the extra payments - funded by the $1.9 trillion rescue package Congress approved in March - mean "people are being paid to stay home rather than go to work." The moves in the Republican-led states came after a disappointing employment report released on May 07, which showed the US economy recovered just 266,000 positions in April, far short of the expected gain of 1 million positions. The data show the economy still has not recovered 8.2 million of the 22 million jobs lost during the COVID-19 pandemic.Some employers and the US Chamber of Commerce blame the sluggish hiring in part on the generous jobless benefits.
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Chinese official vows measures against surging commodity prices

A senior Chinese official said on May 17 that effective measures should be taken to strengthen the regulation of the raw material market in response to the mounting pressure on downstream industries caused by surging international bulk commodity prices. The increase in international commodity prices will push up the price of raw materials, which may add pressure to the production and operation of some downstream enterprises, Fu Linghui, spokesperson of National Bureau of Statistics (NBS), said at a press conference. Fu did not elaborate on the specific measures but added that the relatively large price increase of international bulk commodities has impacted the domestic producer price index (PPI). Rising international bulk commodity prices are caused by the global economic recovery, tightening international raw material production and supply as well as constrained global transport capacity - combined with loose monetary policies implemented by some major developed economies, which have raised concerns over global inflation and higher commodity prices, according to Fu.
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China Telecom regulators remove 90 APPs from online stores for violating users' personal data

China's Ministry of Industry and Information Technology (MIIT) on May 13 ordered several app stores to remove 90 mobile phone APPs as they are detected for violating government regulations about users' personal information. The investigation was led by MIIT and enforced by five provincial-level telecom industry regulators. APPs of Chinese social media platform Maimai which rivals LinkedIn, NASDAQ-listed OTA (Online Travel Agency) Tuniu, online ticketing platform Damai and online community Tianya.cn were removed from the stores. On April 23, MIIT had warned 93 mobile apps for infringing users' legal rights and vowed on April 26 to solicit public opinion on a draft rule to strengthen oversight of mobile apps' handling of personal data, and the regulator will continue to outlaw apps that violate the regulations. According to the MIIT, problematic apps that require an overhaul should address their problems within five working days. For those which refuse to rectify issues raised by the regulator will be removed from APP stores, permanently.
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China facilitates interbank borrowing in foreign currencies

China witnessed on May 17 its first interbank borrowings in foreign currencies using foreign currency-denominated negotiable certificate of deposits (NCDs) as collateral, the Shanghai Clearing House said. The completion of such repurchase agreements by six Chinese banks marks a broadening of the types of collateral eligible for foreign-currency interbank lending, the clearing house said in a statement. The move would help institutions broaden foreign-currency financing channels, and improve liquidity management, it said.
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Over 40% of expats may soon leave HK, AmCham survey says

Around 42% of expatriates are considering leaving Hong Kong, with most saying they are uncomfortable with the new national security law imposed by Beijing on the city, according to a survey conducted by the American Chamber of Commerce. Between May 5 and 9, AmCham conducted a survey titled “Should I stay or should I go?” among 325 people, a quarter of its members. The survey showed that 58% of respondents had no plans to leave Hong Kong, while 42% said they were considering or planning to move away. Of those who aim to leave, 62% said the National Security Law made them uncomfortable, while 49% said strict Covid-19 quarantines were also a contributing factor. Around 42% said they were pessimistic about Hong Kong’s future competitiveness and 36% had concerns about the quality of education for their children after the National Security Law was implemented. About 52% of those who planned to leave Hong Kong said they would leave within a short time frame, or as soon as they could relocate. The remaining 48% said they would leave within three to five years. Some will move to Singapore, Tokyo, Bangkok, Seoul and Taipei, while others will return to their home countries, the survey’s respondents said.
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Climate to ravage Kenya’s tea production: charity group

Climate change is set to devastate Kenya's tea production as the world's largest exporter faces rising temperatures, erratic rainfall and insect infestations, according to analysis released on May 17. Tea is the world's most consumed drink after water and disruption in supply from the east African nation is predicted to have a global impact. A report from the charity Christian Aid outlined the various threats Kenya faces to its key black tea crop, as well as the dangers that other countries are likely to encounter as the planet continues to warm. Citing a peer-reviewed study, the report said that the quadruple threat of rising temperatures, erratic rainfall, droughts and new insect infestations are forecast to destroy 26.2 percent of the country's optimal tea growing areas by 2050. And climate change is expected to reduce the areas with medium quality growing conditions by nearly 40 percent in the same time frame.
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China bars foreign curriculums, ownership in some private schools

China's State Council announced new laws halting the teaching of foreign curriculums in schools from kindergarten to grade nine (K-9) and prohibiting the ownership or control of any private K-9 schools by foreign entities. The laws, which will come into effect on Sep 1, are the latest in a series of measures taken by Beijing to tighten control of its fast-growing education sector and public discourse. China currently has private K-9 schools which teach local and foreign curriculums. The members of the board of directors or other decision-making body at a private K-9 school should be Chinese nationals and should include representatives from the regulators, according to the Private Education Promotion Law published on May 14 on a government website. China is framing tough new rules to clamp down on a booming private tutoring industry, aiming both to ease pressure on school children and boost the country’s birth rate by lowering family living costs, Reuters reported last week. Private K-9 schools cannot organise entrance tests and cannot recruit in advance, according to the new law.
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Eyeing US, China wields $33bn subsidies to bolster chips, defense

China spent a record 213.6 billion yuan ($33 billion) in industry subsidies in 2020, eager to shore up key sectors including semiconductors and defence in its heated technology race with the U.S. The figure represents a 14% increase from a year earlier, with payments to 113 businesses in the semiconductor sector totalling 10.6 billion yuan, or a 12-fold expansion from a decade ago. The figures were compiled by Nikkei based on listed companies' earnings data obtained by information firm Wind. The massive infusion reflects President Xi Jinping's push to pour money into targeted industries to spur their growth as the nation competes with the U.S. for tech supremacy. In response, Washington is considering a support program to expand chip production at home, raising concerns about a subsidy race hampering fair competition. In the area of defense, Beijing is directing money to advanced key military technologies deemed essential to countering the U.S. Among the subsidy recipients are shipbuilder China CSSC Holdings, Avic Shenyang Aircraft, which builds fighter jets, and Beijing BD Star Navigation, responsible for the Chinese version of the Global Positioning System.
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Strategic

US Envoy Says Putin, Biden Agree to Discuss Strategic Stability Issues, Arms Control

US President Joe Biden and Russian President Vladimir Putin have agreed to maintain dialogue on strategic stability issues, such as arms control and emerging security issues, Ambassador Robert A. Wood, the US permanent representative to the Conference on Disarmament, said on May 11. The US president said on May 10 he would not change his plans to meet with Russian President Vladimir Putin. Biden said last week that a tentative meeting between him and Putin was being arranged for June. The White House has recently announced that Biden invited Putin to meet in a European country. Earlier in May, Biden said that he was hoping to meet with Putin in June. The Kremlin reported that a possible date for the meeting is being discussed.
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John Kerry: US weighs sanctions on China solar over forced labour

The Biden administration is considering sanctions over China's alleged use of forced labour in production of solar panels and other components in renewable energy, climate envoy John Kerry told lawmakers May 12. Kerry's comments at the House Foreign Affairs Committee hearing sought to defuse one of the main arguments that congressional Republicans have cited against President Joe Biden's push for a climate-friendly makeover of the U.S. economy: China's manufacturing dominance risks implicating buyers of Chinese-made solar panels, batteries and other green-energy tech in that country's human rights abuses. Much of the world's polysilicon, used in photovoltaic cells for solar panels, comes through China's Xinjiang province, where China is waging a sustained campaign against Chinese Muslims and ethnic minorities. That includes detention of more than 1 million people, who rights groups, news organizations and governments say are forced into labour in factories and other workplaces. China's foreign ministry last month called the accusations "lies and false information concocted by anti-China forces."
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Senior U.S. officials: Biden will review nuke-modernizing plan

High-ranking U.S. officials said the administration of President Joe Biden will re-examine and possibly save on the costs of upgrading nuclear weaponry, a departure from his predecessor. “Certainly that’s the objective of the president, is to find ways to reduce the role of nuclear weapons, and so we look forward to examining those issues, as part of our Nuclear Posture Review,” said Leonor Tomero, deputy assistant secretary of defense for Nuclear and Missile Defense Policy in the Office of the Secretary of Defense. The interviewees said the Biden administration will review the plan to replace outdated atomic weapons. The plan is estimated to cost a total of $1.2 trillion (131 trillion yen) over the next 30 years. They stressed that the United States will discuss the issue with Japan and other allies that fall under the nuclear umbrella provided by Washington to retain deterrence. The United States views its intercontinental ballistic missiles (ICBM), strategic nuclear bombers and submarine-launched ballistic missiles (SLBM) as its three pillars in the nuclear policy.
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Many questions, few answers to Israel-Palestine conflict

What’s next in the latest Middle East convulsion? Will a ceasefire between the Hamas militant group in Gaza and Israel be brokered by Arab mediators in coordination with western powers, or will the situation continue to deteriorate? Are we witnessing the beginning of an intensifying conflict in which Israelis find themselves enveloped in a bloody confrontation with Palestinians across the occupied territories and, more threateningly, inside Israel itself? Will Israel become enmeshed in widespread communal unrest on its own territory in Arab towns and villages? In short, are we witnessing the early stages of a third intifada, in which casualties mount on both sides until the participants exhaust themselves? We’ve seen all this before – in 1987 and 2000. Then, as now, violence spread from territories occupied in the 1967 war into Israel itself. There are no simple answers to these questions as the crisis enters its second week, with casualties mounting. In part, the next stage depends on the level of violence Israel is prepared to inflict on Hamas. It is also conditional on Hamas’s tolerance of Israeli airstrikes and artillery fire. This is far from a cost-free exercise for Israel, despite the bravado from its leadership, embroiled in a lingering internal crisis over the country’s inability to elect a majority government.
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Arab League condemns Israeli air strikes on Gaza

The head of the Arab League has condemned deadly Israeli air strikes on the Gaza Strip as “indiscriminate and irresponsible” and said Israel had provoked an earlier increase in violence by its actions in Jerusalem. The violence began after Israeli forces stormed the Al-Aqsa Mosque compound on May 10 for a third consecutive day, firing rubber-coated steel bullets, stun grenades and tear gas at Palestinian worshippers inside Islam’s third holiest site in the final days of the holy month of Ramadan. Responding to the crackdown, Hamas, the group that controls the Gaza strip, issued an ultimatum, saying Israel had until 6pm (15:00 GMT) to withdraw its forces from Al-Aqsa Mosque. Shortly after the deadline expired, Hamas fired several rockets into Israel. Israel responded by launching air raids at the besieged territory, killing 28 people, including 10 children. “Israeli violations in Jerusalem, and the government’s tolerance of Jewish extremists hostile to Palestinians and Arabs, is what led to the ignition of the situation in this dangerous way,” Arab League chief Ahmed Aboul Gheit said in a statement.
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Russian admiral frets over 'provocative' NATO drills

A top Russian admiral complained May 13 about increased NATO military activities near the country's borders, describing them as a threat to regional security.Adm. Alexander Moiseyev, the commander of Russia's Northern Fleet, said that NATO navy ships' presence in the Barents Sea and the Norwegian Sea has reached levels unseen since World War II. Speaking to reporters onboard the Northern Fleet's flagship, the Pyotr Veliky (Peter the Great) missile cruiser, at its Arctic base of Severomorsk, Moiseyev charged that NATO drills have edged closer to Russian borders and noted increasingly frequent flights by U.S. nuclear-capable strategic bombers. "Such actions are provocative and have a negative impact on regional security," Moiseyev said. He voiced particular concern about the U.S. military assets on the territory of NATO ally Norway that borders Russia, charging that it has led to an "increase of the conflict potential in the Arctic." Moscow has repeatedly voiced concern over the deployment of NATO forces near Russian borders. Russia and the alliance also have blamed each other for conducting destabilizing military exercises near the borders.
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The Arctic: A test of US-Russian ties ahead of possible summit

US Secretary of State Antony Blinken left on May 16 for a trip focused on the future of the Arctic, a source of growing tension with China and a test of the strained US relationship with Russia ahead of an expected Biden-Putin summit meeting. Blinken was travelling first to Copenhagen, where he will meet May 17 with Danish leaders before going on to Iceland for a ministerial meeting of the eight-country Arctic Council on May 19-20. In Reykjavik, all eyes will be on a meeting between Blinken and Russian counterpart Sergei Lavrov - the first high-level meeting between the two quarrelling powers since Joe Biden took office in January. The Arctic, a vast area of extreme and inhospitable conditions, has in recent years become the site of geopolitical competition between the countries that form the Arctic Council (the United States, Russia, Canada, Norway, Denmark, Sweden, Finland and Iceland). As global warming makes the region more accessible and less forbidding, interest in the Arctic's natural resources, its navigation routes and its strategic position has grown. To Washington's chagrin, the Arctic is also coveted by China - which only has "observer" status on the Council, but which has positioned itself as a "quasi-Arctic" power.
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Top Iran diplomat: Tehran ready for closer ties with Riyadh

Iran's foreign minister said May 12 that his country is ready for closer ties with regional rival Saudi Arabia, adding that he hoped recent talks between the two sides would lead to greater stability in the region. Mohammad Javad Zarif was speaking in Damascus after a meeting with Syrian President Bashar Assad. Baghdad recently confirmed it hosted Iraq-mediated talks between Iran and Saudi Arabia last month. The talks have occurred "more than once," the hosts said, describing the discussions as ongoing, "important and significant." Zarif said he hoped they would "come to fruition" and lead to cooperation between the two rivals to bring more stability and peace to the region, particularly in Yemen. "We certainly are ready and have always been ready for close ties with Saudi Arabia," Zarif told reporters in Damascus, speaking in English. Tehran and Riyadh have long been rivals and support opposite sides in Yemen, Syria and elsewhere in the region. Relations worsened considerably in 2016, when Riyadh removed its diplomats after protesters attacked its embassy in Tehran and consulate in Mashhad in retaliation for the kingdom executing a prominent Shiite cleric, Nimr al-Nimr.
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Conservative Ebrahim Raisi tops Iran’s presidential candidates

Top candidates to become Iran’s next president signed up on the last day of registration on May 15 and the overwhelming majority were conservatives, drawing a backlash from the moderate government. Ebrahim Raisi, the current conservative head of the judiciary, is considered by analysts most likely to become Iran’s eighth president in the June 18 elections. Raisi, a former attorney general and custodian of the significant Astan Quds Razavi in Mashhad who was sanctioned by the US in 2019 for human rights violations, enjoys strong backing from a wide range of conservatives and hardliners. Parliament speaker Mohammad Bagher Ghalibaf did not register in support of Raisi but former foreign minister Saeed Jalili did register. Both Raisi and Ghalibaf unsuccessfully ran against outgoing President Hassan Rouhani in 2017, but Raisi managed to garner 38 percent of the votes, or just under 16 million. Additionally, Mohsen Rezaei, former IRGC commander-in-chief and current secretary of the Expediency Council who has run unsuccessfully four more times, as well as Iran’s central bank governor Abdolnasser Hemmati also registered. On May 15, Ali Larijani, former adviser to the supreme leader, who recently brokered the 25-year comprehensive cooperation accord between China and Iran, became the latest key candidate to sign up.
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Nepal prime minister loses confidence vote in parliament

Nepal's prime minister lost a vote of confidence in parliament May 10, ending his attempt to show he has enough support to remain in office. Only 93 lawmakers backed Prime Minister Khadga Prasad Oli, while 124 voted against him. A new rival faction within his governing party abstained. President Bidhya Devi Bhandari is expected to ask Oli to lead a caretaker government while parties in parliament seek to form a new government. There was no immediate comment from Oli. Oli's Nepal Communist Party won elections in late 2017 and he was chosen prime minister by parliament in early 2018. An earlier split in his party in March had already weakened him, forcing him to lead a minority government, and a new split emerged this week. Oli sought a vote of confidence on May 10 in an attempt to demonstrate he had enough support to stay in power. Oli became prime minister after his party merged with another communist party composed of former Maoist rebels, creating a strong united party that won elections three years ago.
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Hell in the Pacific: US ‘would win’ carrier battle

At the epic Battle of Midway during World War II, victory or defeat rested on which side first spotted the other side’s carriers, and then dispatched an airstrike against the vulnerable flattops. Unknown to the Japanese, US Navy cryptanalysts had cracked the Japanese naval code and determined that the primary target of the forthcoming Japanese offensive was Midway. Two advantages that would make a difference. Based on what happened at Midway, according to Konstantin Sivkov — a member of the Russian Academy of Rocket and Artillery Sciences — if US and Chinese aircraft carriers were to ultimately clash today, the US Navy would triumph. Sivkov, writing in the Russian defense publication Military-Industrial Courier, argues strongly that superior US reconnaissance capabilities would trump China’s advantages in hypersonic missiles, veteran analyst Michael Peck of National Interest reported. “The key role that determines the course and outcome of hostilities at sea in modern conditions is played not so much by the power and quantity of strike weapons, but by the capabilities of the reconnaissance system on an ocean theatre of operations,” Sivkov writes in this fascinating and detailed battle projection.
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The tripartite alliance destabilising the Horn of Africa

Three years ago, a wave of political change swept across the Horn of Africa. In Sudan and Ethiopia, popular protests led to a change in leadership and what many assumed were democratic transitions. Ethiopia and Eritrea ended their two-decades-long rivalry, for which Ethiopia’s Prime Minister Abiy Ahmed was awarded the Nobel Peace Prize. The peoples of the Horn of Africa were euphoric for what many thought would be a new chapter in the region’s history. Today, contrary to expectations, mass atrocities, inter-state wars, and autocratic entrenchment have become the defining features of the region. Over the last six months, several international conflicts have (re)emerged, notably between Ethiopia and Sudan, Eritrea and Ethiopia’s Tigray region, and Somalia and Kenya. The first indicator of creeping anarchy in the Horn of Africa today is the recent proliferation of territorial disputes and overall disregard for state boundaries. The second trend is the increased prominence of foreign troops and mercenaries in domestic and regional conflicts. The third problem is the growing disregard for international humanitarian law. Finally, today the Horn of Africa is also characterised by a sharp decline in multilateral diplomacy.
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UK demands more time to solve Northern Ireland border riddle

Britain has demanded the European Union give it more time to solve the post-Brexit Northern Irish border riddle, proposing to phase in checks on food from October, the BBC said on May 17, while Ireland said the deal needed to be made to work. After the United Kingdom left the European Union's orbit at the start of this year, checks and tariffs were introduced on some goods moving from mainland Britain to Northern Ireland, which has a land border with EU member Ireland. The checks triggered anger and a perception among pro-British unionists in Northern Ireland that the Brexit deal divides them from the rest of the United Kingdom, a shift they say could sink the 1998 peace deal that brought an end to three decades of violence there. British Prime Minister Boris Johnson, who had promised there would be unfettered trade between Northern Ireland and the rest of the United Kingdom, unilaterally extended a grace period on certain checks to minimise supply disruption, a move Brussels said breached the Brexit divorce deal.
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Israel's Iron Dome proves successful against Gaza rockets

An Iron Dome battery consists of a radar unit and a control center that can detect projectiles soon after their launch and calculate their trajectory and target. It takes seconds for an approaching projectile to be detected. This is crucial because depending on how far they live from the Gaza Strip, people in Israel might only have 15 to 90 seconds to get to safety when the sirens start wailing. There are currently 10 mobile Iron Dome systems in use in Israel. According to their manufacturer, Rafael Advanced Defense Systems, which develops military and defense technologies for the Israeli Defense Forces (IDF), a single battery can protect a medium-sized city and intercept rockets fired from a maximum of 70 kilometers away. Experts calculate that 13 systems would be needed in order to defend the entire country. The head of the Israel Missile Defense Organization, Moshe Patel, said more than 2,400 projectiles had been intercepted in the 10 years through January. According to Rafael Advanced Defense Systems, more than 2,500 had been intercepted — with a 90% success rate.
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‘No boots on the ground here’: Pakistan rules out possibility of housing US troops on its bases after withdrawal from Afghanistan

At a press meet in the capital Islamabad on May 11, Minister for Foreign Affairs Shah Mehmood Qureshi said Pakistan would not participate in any future US military campaigns – and will choose to remain “partners in peace.” “No. We don’t intend to allow boots on the ground here, and Pakistan isn’t transferring any base (to the US). We will be partners in peace, and this will be our role – the role of a facilitator,” said Qureshi, responding to a question on whether the government was under pressure to turn over bases to US. “There is no pressure. Pakistan will protect its interests,” he added. Biden had stated earlier that the US would “reorganize its counter-terrorism capabilities and assets in the region” to deter potential terror threats. During a press briefing last month, General Kenneth McKenzie, who heads US Central Command, said American diplomats were examining “what the art of the possible is” regarding basing agreements with Afghanistan’s neighbours to see where troops can be repositioned – but did not name Pakistan, which shares a roughly 2,600-kilometer land border with the war-torn country.
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US Army hunts for bases to deter China but logistics pose hurdle

The U.S. is reviewing its Indo-Pacific military footprint to prepare for great-power competition against China, with the Army cultivating and strengthening partnerships with key Southeast Asian players. The objective is to have a nimble expeditionary joint force spread widely across the region that is difficult for an adversary to strike in a single blow, yet still close enough to such critical areas as the Taiwan Strait. But adding new military bases, or even securing airfields and ports that the U.S. Army, Navy, Air Force and Marine Corps can use on a rotational basis, is easier said than done. Nonetheless, the U.S. is carefully laying the groundwork for such future requests. In a spate of military diplomacy, the U.S. Army is positioning itself as an emissary for creating vital strategic opportunities in the region. Acting Army Secretary John Whitley, in a webinar hosted by the Atlantic Council on May 10, said that "the Army, nested with diplomacy in the State Department, can be a steadfast partner and a key to opening doors in some countries."He spoke of the service's Indo-Pacific trust-building efforts -- specifically naming Indonesia, Thailand, Vietnam and India -- that in the long term could lead to more access, basing and overflight rights.
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Meituan shares slide after chief posts ancient poem on book-burning

The share price of the Chinese food delivery app Meituan fell as much as 9.8 per cent on May 10 after its chief executive posted an ancient poem that investors interpreted as criticizing Chinese President Xi Jinping on social media. Meituan is currently under a Chinese government antitrust investigation for abusing its market dominance, following a record $2.8 billion fine levied on its chief rival Alibaba last month. Users of Twitter-like Weibo compared the Tang dynasty poem posted by Meituan's Wang Xing to a speech given at a forum in October by ecommerce billionaire Jack Ma in Shanghai. Some blame Ma's speech, in which he criticized the regulation of China's banks, for Beijing's last-minute suspension of a $37 billion initial public offering of his payments company, Ant Group. "First we have Jack Ma's speech, then Wang Xing reposted a poem, one verse and people's hearts are breaking," said one Weibo user. Further posts appeared to have been censored on social media. The original poem was written more than a millennium ago in the late Tang dynasty by Zhang Jie, who also drew from Chinese history to critique the then Tang emperor.
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Japan election set for fall as COVID and Olympics come first

Japanese Prime Minister Yoshihide Suga looks likely to wait until autumn to call an election as the coronavirus outbreak rages on and the opposition gives up on a no-confidence vote that could have forced his hand. With an election off the table, Suga plans to use the next several months to advance vaccinations to bring coronavirus infections under control and host a successful Olympics. But while the prime minister has gained some breathing room, it is not from a position of strength. His sagging public support has raised concern among the ruling Liberal Democratic Party. Suga's domestic success or failure also has major implications for U.S. President Joe Biden's Indo-Pacific strategy as he counts on collaboration with the Quad nations of Japan, India and Australia to advance regional stability. Biden has invested his political capital in trying to boost Suga's standing at home, inviting the Japanese leader to the White House ahead of any other foreign leader, and dispatching his secretary of state and defense minister to Japan for their first overseas trips.
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Australia joins military drills with France, Japan & US as tensions with China intensify

US, French and Japanese soldiers have begun their first-ever joint military exercise in the southwest of Japan, with Australia also joining the week-long drill as tensions between China and other countries in the region intensify. The exercises in the Kyushu region will see the nations take part in air, land and sea drills, while Australia has sent a naval ship to support the operation involving around 300 troops, fighter jets, 10 surface vessels and a Japanese submarine. This is expected to be the first of several joint military exercises conducted by Japan in the region. A British aircraft carrier and a German naval vessel are set to head to the Indo-Pacific waters later in 2021. The military activity comes amid growing tensions between China and other countries in the region, as they accuse Beijing of engaging in aggressive military activity to solidify control of the East and South China Seas. Conversely, China has argued that the basis for the “tense situation” is America’s military encroachment in the area and its decision to “unreasonably” make accusations about Chinese activity. It claims that “instability and security risks” are coming “mainly from outside the region.”
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Medical

Australia sticks by plans to reopen border in mid-2022

Australia is sticking to plans to start reopening to the rest of the world only from the middle of 2022, officials said on May 16, resisting mounting pressure to end the closure of international borders. In March 2020, Australia closed its borders to non-­nationals and non-residents and has since been allowing only limited international arrivals, mainly citizens returning from abroad. "All the way through we will be guided by the medical advice," Prime Minister Scott Morrison said at a televised briefing. "We will be guided by the economic advice." Earlier in the day, Treasurer Josh Frydenberg told the Australian Broadcasting Corp (ABC) that the medical advice to keep the borders closed had "served us very well through this crisis." Australia's border closure, combined with snap lockdowns, swift contact tracing and public health compliance has ranked its control measures among the world's most effective. Infections total about 29,700, with 910 deaths.
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Success story Taiwan faces its worst outbreak in pandemic

The island of Taiwan, which has had enviable success in containing COVID-19, imposed new restrictions in its capital city on May 15 as it battled its worst outbreak since the pandemic began. Authorities raised the alert level for Taipei, the capital, and the surrounding area of New Taipei city. The level 3 alert which remains in effect for two weeks, requires people to wear a mask outdoors and limits indoor gatherings to five people and outdoor gatherings to 10 people. Health authorities said that 180 new locally spread cases had been confirmed, the majority in Taipei and New Taipei. That's more than the total of 164 cases previously confirmed for the entire pandemic period. The daily number of new cases rose steadily from single digits early this week to 29 before the triple-digit jump announced May 15. "The epidemic is gaining intensity," Health Minister Chen Shih-chung said, while noting that more cases are being identified as authorities home in on hot zones.
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North Korea unlikely to respond to US vaccine offer

The U.S. is making efforts to facilitate talks with North Korea with an offering of COVID-19 vaccines, but the probability of Pyongyang accepting this offer seems to be low, given the Kim Jong-un regime's ignoring of humanitarian aid offers and its strict quarantine policy. Experts said May 12, the U.S. move can be interpreted as a tactic of showing various benefits available to the North if it joins the party, in the wake of the Joe Biden administration's new North Korea policy. However, they have expressed doubts whether the North will find the vaccine offer attractive, as the regime seeks to be on equal footing with Washington and has not been acting desperate for vaccines. On May 11, CNN reported that the U.S. is open to sharing coronavirus vaccines and other humanitarian assistance to help North Korea, citing sources familiar with internal discussions. "While we are open to considering DPRK requests for humanitarian assistance, these would need to be accompanied by effective monitoring to ensure that it reached the intended beneficiaries," a senior U.S. administration official was quoted as saying in the report. DPRK stands for North Korea's official name, the Democratic People's Republic of Korea.
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