China’s June exports fall 12.4%, imports drop 6.8%

Policymakers are now reckoning with the prospect of prolonged slower growth in the world’s second-largest economy of around just 3 per cent annually, according to economists’ forecasts. That is less than half the rates typical throughout recent decades and creates the feel of an economy in recession. Chinese factory activityContinue Reading

Indonesian fintech Orderfaz raises pre-seed round from 1982 Ventures

Developed for Indonesia’s unique social-centric online market
Indonesian social commerce market expected to reach US$90bil by 2028

Orderfaz, an Indonesian fintech startup for social commerce sellers, today announced the completion of an undisclosed pre-seed financing led by 1982 Ventures. 
“Building off one of the world’s most digitally-connected populations, social commerce adoption has exploded in Indonesia,…Continue Reading

Missing Malaysian hikers reported safe in Indian state hit by torrential rain

KUALA LUMPUR: The Malaysian hikers previously reported to be missing in the flood-hit northern region of India are confirmed to be safe.  

In a statement on Wednesday (Jul 12), the Malaysian Ministry of Foreign Affairs said that the Malaysian High Commission in New Delhi was informed that the hikers are safe in Manali, a town in Himachal Pradesh. 

The ministry clarified that only ten Malaysians are involved while the other two members of the group are Chinese and British nationals. An earlier report stated that all 12 missing hikers were Malaysians. 

The ministry was able to contact one of the Malaysian hikers through the High Commission. 

“Following this development, the Malaysian High Commission in New Delhi will endeavour to bring the group out to New Delhi on Thursday, Jul 13, 2023.

“If the evacuation plan goes smoothly, the group is expected to take a flight back to Malaysia on the same day,” according to the statement. 

“The ministry would like to express its gratitude for the cooperation and immediate assistance provided by the Indian government authorities in an effort to locate all the Malaysians.”

In a statement earlier on Wednesday, the Malaysian Ministry of Foreign Affairs said that the High Commission was informed that the group in question was participating in an adventure expedition in Hampta Pass in Himachal Pradesh.

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China winning on the Pacific political battlefield

SAIPAN – Seventy-nine years ago, on July 9, 1944, the American military secured the island of Saipan—a key component of Imperial Japan’s defense plan. Tens of thousands died in the battle, and the island was devastated.

Then it was rebuilt for war – with a massive effort to put in runways. Saipan and the neighboring island of Tinian were soon among the busiest airports in the world, as waves of B-29s took off to bomb Japan – which was now in range – and markedly fewer B-29s returned.

On the top of Mount Tapochau, the highest point on the island, you can still see the scars seared in by the war. And from Mount Topachau, you can see the mismatched battlefield of the current cold war.

Out on the horizon, anchored off Saipan, are three US Navy prepositioning ships, fully stocked and ready to respond to war and disaster. The kids of Saipan know that if they suddenly disappear from the horizon, something bad has probably happened. Yes, they respond to natural disasters, but they are also there, waiting, for “kinetic” conflict – a shooting war.

Meanwhile, also from Mount Tapochau, you can see the downtown hub of Garapan. The biggest building in downtown, by far, is the not quite finished massive Imperial Palace casino, backed by Chinese investors. Currently closed and being liquidated, the casino has wreaked havoc on the politics and economy of Saipan. And it’s still not over.

Image: Cleo Paskal

Look at both battlefields

While the US has been focused on preparing for the kinetic warfare battlefield, China has been registering big wins, largely unopposed (except perhaps occasionally due to its own corruption and ineptitude), on the political warfare battlefield.

You can see it all over the Pacific Islands – not coincidentally the zone of some of the most vicious fighting of World War II. Geography means that any Pacific Asian country that wants to project its power must first contain or control this area.

The Chinese Communist Party knows this history. It is targeting the same deep ports, strategic airfields and resources that the Japanese did – but it is doing it through political warfare, while the US looks for kinetic signals.

For example, in May, the United States made what seemed to be a big gain on the kinetic front, when a defense deal was agreed upon with Papua New Guinea. Less noticed was that, in June, PNG Prime Minister James Marape presented to Parliament a reciprocal visa waiver agreement with China, saying: “This reciprocal visa waiver agreement is a significant step towards enhancing business and tourism potential between China and Papua New Guinea.”

Not long after that, two officials from the US Indo-Pacific Command’s Center for Excellence in Disaster Management and Humanitarian Assistance did not obtain visas to participate in a PNG-approved disaster response exercise. This has echoes of the US Coast Guard ships on patrol against illegal fisheries not being able to obtain entry to Solomon Islands or Vanuatu ports.

All are hits to the US on the political warfare front – blocking the Americans from working with allies, building trust and bolstering relationships. It’s below the kinetic threshold so it barely registers in Washington, but it’s a win for China (and a loss for the people of those countries who want both more humanitarian assistance and help with illegal fisheries).

It’s almost as if the US were color blind, unable to see the countries being painted red. Washington at best talks of things getting a bit more grey (as in zone).

Centrality of the Central Pacific

An area where the stakes for the US (and those who believe in a free and open Indo-Pacific) of getting it wrong are especially high is the Central Pacific. Included in the Central Pacific are two parts of the United States: Guam and the Commonwealth of Northern Mariana Islands. Saipan is a part of the latter.

Also included are three island nations, stretching from west to east – Republic of Palau, Federated States of Micronesia and Republic of Marshall Islands – that occupy an area about as large as the continental United States. This is strategic geography by any standard.

Starting nearly 40 years ago, each of those three independent nations entered into a “compact of free association” (COFA) with the US. These countries are known collectively as the Freely Associated States (FAS).

These complex agreements, currently being renegotiated, provide the three countries with financial and other assistance – to include the right of their citizens to live and work in the United States. Washington also undertook responsibility for the nations’ defense, to include the right to prevent any foreign military presence in each of the COFA states.

The deep relationship between the US and the Freely Associated States is considered such a given, unimpeded access has been an unspoken assumption in US defense plans for decades.

However, over the last 30 years (some would say longer) the People’s Republic of China has insinuated itself into the commercial and political systems of each FAS nation, to the point American control is no longer the “sure thing” it was once thought. Indeed, one of the three, Marshall Islands, has yet to complete its renewal of the financial and services portion of its COFA – which expires on September 30, 2023.

Ultimately, the United States took the Freely Associated States for granted – apparently assuming that, since the US “had a contract,” there was nothing to worry about.

Washington also assumed that all would be well since it was providing considerable aid to the FAS—direct financial payments as well as support for education, health care, infrastructure development, and even postal services and weather forecasting services, as well as offering the right of FAS citizens to reside in the United States and providing “military protection” for the island nations.

The PRC took advantage of American complacency and patiently and diligently went about establishing and expanding its influence in the Freely Associated States. The Chinese applied a recognizable “sequence” – starting with a commercial presence that included Chinese nationals on the ground and operating businesses down to the corner-shop level.

Chinese economic inroads also included Chinese involvement in and, indeed, outright control of key industries – including local fishing industries – that are the main economic resources for the Freely Associated States. There is also substantial PRC-linked criminal activity.

This commercial/criminal presence created political influence – directly, with local officials and other citizens who saw the Chinese presence as a valuable thing in an economy with limited prospects. It was also personally valuable for many local officials and politicians.

In Palau, the Chinese successfully weaponized the tourism industry to influence local officials and others. And this approach has also been used in the Federated States of Micronesia via the offer of massive investments by Chinese resort companies.

All in all, the Chinese were (and are) seen by many in the FAS as an economic lifeline. And while the local intention may be to have Chinese money in addition to American support via the COFAs, the effect – and the PRC’s intention – is to displace the United States eventually in the Central Pacific.

Then forget any economic largess from anyone. China will block economic access by others and revert to its usual parasitic economic engagement while setting up the infrastructure it wants so that it can project political and kinetic power.

A necessary step toward that goal is to get the two FAS nations that recognize Taiwan – Palau and Marshall Islands – to de-recognize Taipei so that China can set up the forward operating base of political warfare, a Chinese Embassy.

US (non)response

The US has been too slow to recognize what has been happening – even though Chinese influence efforts have been reported, even via US diplomatic channels. And, of course, there is a whacking great, gilded casino in the heart of Saipan. 

Imperial Palace casino, Saipan. Photo: GGRAsia

The casino failed, but that was because the operators (who are still floating around Saipan) cut corners. It never should have been started. The Americans had (and still have) no political warfare scheme of their own – so the Chinese have effectively operated unchallenged.

While bribery and under the table payments are part and parcel of Chinese activities in each of the Freely Associated States, there is next to no downside risk to taking Chinese money owing to scant prospects of such activities being revealed or, if revealed, punished.

The US also has been unsuccessful in drawing major commercial interests into the region in any meaningful way. This could be owing to a lack of business know-how and imagination in US diplomatic and official circles. It is exacerbated by a failure to work together with partners – such as the Japanese, Taiwanese, South Koreans and Indians – on commercial and other broader approaches to bolstering the US and other free nations’ presence and interests in the region.

What to do

The majority of citizens in the region want nothing to do with the PRC. But they want, indeed they need, the Americans and other like-minded people to “step up” and demonstrate their reputed commitment to the region. In many ways, this is what India has been trying to do in similar circumstances in the Indian Ocean and, tentatively, in the Pacific, since Indian Prime Minister Modi’s visit to PNG in May.

While not ignoring kinetic preparations, including in places like the Himalayas and Taiwan, it would help to start mutual reinforcements on the political warfare battlefield, realize what is at stake and quickly develop and implement a proper campaign plan to bolster presence and position and to take on Chinese influence efforts.

Those efforts, again, include the PRC’s highly effective use of under the table financial and other corrupt methods of establishing Beijing’s influence. This needs to be exposed – and intelligence and law enforcement resources need to be deployed at proper scale.

Locals fighting to liberate their countries, and economies, are clear. In a February 2023 Senate hearing, Marianas Governor Arnold I Palacios said: “The interests of the Marianas – in getting our government’s financial house in order, shoring up our economy, strengthening our infrastructure and stabilizing our population – are inextricably linked with the interests of our nation and our allies in a secure and peaceful Indo-Pacific.”

What help has he asked for? Tanks, ammunition, missiles? He wants FBI agents, forensic audits, tax investigators, lawyers and a range of other fighters and weapons that can really make a difference on the political warfare battlefield, especially when the invading force is using criminality as its weapon of choice.

Governor Palacios gets it. Saipan is back on the frontline. The battle looks different this time but, left undefended, the outcome might be just as dire. Seventy-nine years ago, a massive effort was made to rebuild Saipan (and the region) for kinetic war. Rebuild it (and the region) now for a viable and defensible peace, and we have a chance to avoid that sort of war and keep those prepositioning ships reassuringly in sight of the children of Saipan.

Grant Newsham is a retired US Marine colonel and the author of When China Attacks. Cleo Paskal is a non-resident senior fellow at the Foundation for Defense of Democracies and special correspondent of the Sunday Guardian (India), where this article was originally published. Asia Times is republishing it with kind permission.

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Unsold greens a persistent issue for Singapore’s vegetable farms; businesses urge support for local produce

The business usually donates leftover vegetables to nursing homes or needy families but as a last resort, some greens have to be thrown away.

“We spend a lot of time and effort growing these plants and we don’t want our vegetables to go to waste,” said Ms Goh.

“But sometimes it’s more difficult for us to donate because we need to arrange logistics, etc., and it is easier for us to throw them away but it is such a waste.”

At ComCrop, a rooftop urban farm along Woodlands Loop, about 30 per cent of its produce is donated to charities.

Still, the volume of unsold vegetables is an improvement from last year, when about half its harvest had to be given away.

“The leftovers are decreasing, but it’s still a problem. We still have wastage that we are having to donate on a daily basis,” said the company’s chief executive officer Peter Barber.

The farm said poor product placement at stores is among the challenges faced.

“The biggest feedback we have had from Singaporeans is that they can’t find our produce,” said Mr Barber. “So, we have been working closely with (supermarkets) to get better shelf positioning.”

ROOT OF THE PROBLEM

Both farms said low consumer awareness and a lack of support for local produce are major issues. SG Veg Farms, which is located atop a multi-storey carpark along Admiralty Drive, said that even residents in the neighbourhood are unaware of its presence.

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Hundreds evacuated in Delhi as water levels rise

The river Yamuna has risen to a 45-year high, according to Delhi's chief ministerReuters

Hundreds of residents have been evacuated in the Indian capital Delhi as the water level of the Yamuna river continues to rise.

Chief minister Arvind Kejriwal said it had reached a 45-year high, already rising above the “danger mark”.

Some near Delhi have seen record rainfall so far this monsoon season, which began in June, officials say.

At least 88 people have died in Himachal Pradesh since rains began late last month, local media reported.

On Wednesday in Delhi, people living in makeshift houses next to the river moved to some of the 2,500 relief camps set up in the city, Reuters reports.

“The water level is continuing to rise and there is a flood-like situation,” Mr Kejriwal told reporters, adding that water levels were “likely to rise further”.

A man helps his son climb above a flooded street in Delhi

Reuters

Seasonal monsoon rains are a lifeline for India but also typically cause deaths and destruction to property every year.

India has experienced increasingly extreme weather in recent years – the unrelenting rains come just weeks after an extreme heat wave gripped most of north India.

Many factors contribute to flooding, but experts say climate change caused by global warming makes extreme rainfall more likely.

Residents carry their belongings along a flooded street in Delhi

Reuters

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Pita Limjaroenrat: Thailand’s reformist leader faces uncertain PM vote

Pita LimjaroenratEPA

The reformist winner of Thailand’s elections in May faces an uncertain vote as he runs for prime minister at the opening of parliament.

Pita Limjaroenrat swept to victory as voters’ rejected conservative military rule that had been in place since a coup in 2014.

But he needs the support of lawmakers appointed by the same military leaders to secure a majority.

Mr Pita also faces last-minute legal challenges which could disqualify him.

His alliance has 312 votes, which is 64 short of the 376 votes required to be elected prime minister.

Apart from the votes he would need, Mr Pita appeared to face another blow to his ambitions on Wednesday when Thailand’s notoriously conservative Constitutional Court accepted a recommendation from the Election Commission that he be disqualified.

The court says it is now assessing two complaints against the Move Forward leader; one that he holds shares in a media company – although that company has not functioned for 15 years.

The other that Move Forward’s proposal to amend the draconian royal defamation law, which has jailed hundreds of critics of the monarchy, amounts to an attempt to overthrow Thailand’s entire political order.

It is unclear when the Constitutional Court will deliberate on the case, but technically, under Thailand’s laws, Mr Pita can still become prime minister even if he is removed from parliament.

The 42-year-old Harvard graduate and former tech executive has led throngs of orange-clad supporters in big rallies across the country ahead of Thursday’s parliamentary vote.

“I don’t know how long we will have to wait before the golden chance of 13 July will come again,” Mr Pita said at a Sunday rally outside one the biggest shopping malls in the capital, Bangkok.

Ahead of Thursday’s parliament session, outgoing Prime Minister Prayuth Chan-ocha announced his retirement from politics after leading the South East Asian nation for nine years.

Mr Prayuth was the army chief who carried out the 2014 coup to oust the country’s civilian leaders who were accused of massive corruption. It was Thailand’s second military uprising since 2006 and in both instances, a member of the powerful Shinawatra political dynasty was removed from power.

In fact, one of the largest blocs in Mr Pita’s coalition is led by Paetongtarn Shinawatra, daughter of exiled former prime minister, Thaksin Shinawatra.

The decades-old lese majeste laws, which can land people in jail for speaking against the monarchy, were strictly enforced under Mr Prayuth’s leadership and critics said this was used to crush free speech.

Mr Pita described Mr Prayuth’s term as Thailand’s “lost decade” and has promised to end the country’s cycle of corruption and military uprisings. He pledged reforms that would “demilitarise, demonopolise and decentralise” the country.

One of his most contentious campaign promises is to amend the lese majeste laws, which will prove difficult as the monarchy is highly regarded by Thais.

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