In The News

Consumers Unlikely to Rescue China's Sputtering Economy

Huang Zhilong August 2, 2016
Economists, inside China and outside, point to consumer spending on an expanding services for economic growth. But that requires borrowing and Chinese consumers may balk at taking on more debt, explains economist Huang Zhilong for Caixin. Huang points out that Chinese household debt is already at historic highs and consumers lacking official urban residence permits loan may struggle with loan...

Law Challenges China Dream for Control of South China Sea

Nayan Chanda July 14, 2016
In a unanimous decision, the Arbitral Tribunal at the Permanent Court of Arbitration in The Hague ruled in favor of the Philippines against China’s claims to virtually all of the South China Sea and suggested China’s actions violate the UN Convention on the Law of the Sea. Both the Philippines and China are signatories to the treaty. In rejecting China’s wide claims and describing its activities...

Chinese Language Newspapers in Australia

Kelsey Munro and Philip Wen July 13, 2016
China controls the Chinese-language media in Australia – and also in other nations – in subtle and explicit ways. Editors that don’t comply with guidelines from the Chinese government and Communist Party can expect pulled advertising or reporters blocked from public events. Chinese firms purchase the media outlets, and hotels and other businesses admit to being pressured to discontinue...

Hague Tribunal Rejects Beijing’s Claims in South China Sea

Jane Perlez July 12, 2016
A long-awaited decision from the international Permanent Court of Arbitration at the Hague has rejected China’s claims to most of the South China Sea along with the construction of artificial islands and damage to coral reefs. “The landmark case, brought by the Philippines, was seen as an important crossroads in China’s rise as a global power,” writes Jane Perlez for the New York Times. “It is...

Why Economic Sanctions Have Failed Against North Korea

Dursun Peksen July 11, 2016
Sanctions from the international community are failing to destabilize North Korea’s ruling regime and its nuclear program. “Though the most recent UN sanctions and the U.S. Treasury Department financial sanctions designating North Korea as a ‘primary money laundering concern’ are the toughest measures to date, they have not yet broken the cycle of the regime responding to external pressure with...

Local Brands Lead Race for China’s Savvy Consumers

Rachel Morarjee June 30, 2016
Chinese consumers prefer local brands and Chinese firms are increasingly taking market share away from foreign rivals. New Chinese firms “heed digital trends, adapt to regional tastes and respond to customers’ increasingly sophisticated demands,” explains Rachel Morarjee for Reuters. A report from Bain & Company and Kantar Worldpanel suggests that 26 consumer goods ranging from groceries to...

Australia Foreign Debt Reaches Crisis Proportions

Philip Bowring June 29, 2016
Australia confronts declining prices in commodities, a shrinking currency and net foreign debt that exceeds A$1 trillion. “Servicing the long-term debt problem is an increasing concern, particularly if US interest rates begin to rise while commodity prices do no more than stabilise around current levels,” writes Philip Bowring for the Asia Sentinel. “Direct foreign investment is weakening because...