Category: Economic Relations

Measuring the Global Implications of the Xi-Obama Summit


The results of the China–US summit between Presidents’ Xi Jinping and Barack Obama come at a critical turning point in the relationship.  They will reshape the direction of the Asia Pacific region and even global politics. In the interests of both countries and the world, the two leaders must find ways to neutralise security tensions and build cooperative momentum with core initiatives, such as climate change talks, a potential investment treaty and mutual work around the forthcoming Chinese G20 presidency.

China-Japan as China Sees It


Evidence of a strain in the diplomatic relationship between China and Japan over the past few years has been most apparent in the absence of summits between top government leaders, which has in turn affected routine meetings at the ministerial level. It seems that Beijing still has not overcome its diplomatic ‘Noda shock’. What hope, then, is there for an improvement in this relationship?

Despite Tensions, China and Japan are Destined to Coexist


Questions of history were the focus of a long hot summer in Northeast Asia. Many speculated that on the 70th anniversary of the end of World War II, Japanese Prime Minister Shinzo Abe, with his cabinet’s approval, would issue a new statement leaning towards a more ‘nationalistic’ understanding of Japanese history from the late 19th century to the Pacific War.

US Urges More Economic Reforms from India for Treaty to Work


India and the US have discussed a bilateral economic treaty at great length, but little actual progress has occurred. According to a senior US trade official, progress on the bilateral investment treaty has been “slow” due to the absence of economic reforms by India that would ensure ease of doing business. Until such reforms occur, the US estimates the likelihood of reaching an agreement on a bilateral trade agreement as “low.”

China’s Xi Gives Reason for Cautious Optimism Regarding Japan


Are Japan–China relations on a collision course? The two thorny issues between Japan and China are history and security. Despite these problems, there is a case for cautious optimism for the time being.

Russia, Japan, and the Disputed Islands


Russian Deputy Prime Minister Yuri Trutnev’s visit in August 2015 to Iturup, one of the four islands contested by Japan and Russia, flared up a war of words between the two countries. Shortly after the Russian Prime Minister Dmitry Medvedev also visited the island. The visits highlighted how the unresolved territorial dispute continues to be a major stumbling block in the bilateral relations, and that Moscow and Tokyo continue to hold divergent views on the implications of World War II.

South Korea’s Park Meets Xi in Beijing


South Korean President Park Geun-hye will visit China from September 2–4 to attend Beijing’s official activities to mark the 70th anniversary of the end of World War II, including a military parade on 3 September. Her visit comes fresh off the heels of inter-Korean tensions triggered by a North Korean landmine that maimed two South Korean soldiers. Though the situation is calming, North Korea remains a security challenge for both China and South Korea and is likely to dominate talks between Park and Chinese President Xi Jinping.

Japan-ROK Relationship Setback


Many have correctly objected to the potted history depicted in the front end of the Abe statement. But it seems that Abe was licensed in a sense by the report his expert advisory council issued on 6 August. Would they or would they not label Japanese behaviour as ‘aggression’? It had been leaked that they would, and they did — with a caveat.

Is Europe Changing its Relationship Status with China?


Good news from the 2015 EU–China Summit: Europe appears on track to taking itself and its relationship with China more seriously. The launch of the Connectivity Platform was an important outcome of the high-level meeting. It shows that the European Union is not a mere partaker of China-led initiatives, but a moderator and controller of quality for China’s vast ambition to reshape its global economic governance reach.

US-Vietnam Bilateral Ties Keep Building


The General Secretary of the Communist Party of Vietnam, Nguyen Phu Trong, is currently on an official visit to the United States. Later this year, President Obama is also expected to pay a return visit to Hanoi. The visits are among a series of notable events that mark the 20th anniversary of bilateral normalisation this year.