Thais bombarded with most fraudulent messages

By:
On:
In: South-East Asia

PUBLISHED: 28 Mar 2024 at 04: 47

Thais bombarded with most fraudulent messages

Thais received the highest amount of false information in Asia in 2023, with over 58 million information received, according to the visitor identification software, Whoscall.

Whoscall recently published its 2023 review, which revealed that Thai people received a total of 79 million unscrupulous SMS messages and calls last month, an 18 % increase from 2022’s 66.7 million calls and messages.

Last year’s number comprises 20.8 million calls, a 22 % increase from the previous year’s 17 million calls, and 58.3 million messages, an increase of 17 % from 49.7 million messages in 2022.

Thais were the most vulnerable to false SMSs in Asia next year thanks to the 58.3 million information. According to the report, the emails typically contained dangerous artificial links and malware.

However, Asia’s overall pattern is the opposite of Thailand’s as the globe saw a complete of 347.3 million fraudulent calls and messages in 2023, a 14 % decrease from 405.3 million over the same time frame.

For the next month in a row, the figure dropped. According to the review, Thailand received the most deceptive SMSs per person on average, with each Thai people receiving an average of 20.33 SMSs.

The report, according to Thitinan Suttinarapun, advertising director for Southeast Asia at Gogolook, the firm behind Whoscall, shows that Thais are the most susceptible to the threats posed by those false information and calling in Asia.

Hucksters are changing their methods to make them more difficult, such as making claims that they are speaking to them for the benefit of a state agency or shipping company.

She advised Thai people to simply rely on trustworthy sources for their information. She also suggested using Whoscall because it has helpful features that aid people from avoiding scams.

Continue Reading

China challenges United States’ EV subsidies at WTO – Asia Times

By:
On:
In: Asia

China has complained to the World Trade Organization ( WTO ) after the US exempted buyers who bought electric vehicles ( EVs ) using Chinese batteries from its subsidy program. &nbsp, &nbsp, &nbsp,

Since January 1, EV buyers in the US have never been eligible for tax credits of US$ 3, 750 to US$ 7, 500 if essential minerals or other device components are manufactured from Chinese, Russian, North Korea or Persian companies, according to US President Joe Biden’s personal environment legislation, named the 2022 Inflation Reduction Act. &nbsp,

As Russia, North Korea and Iran do not bulk develop EV batteries, the United States ‘ new rules obviously targeted Chinese companies only. &nbsp,

According to an unknown representative for the Foreign Commerce Ministry, the US “formulated unfair payment plans for new energy cars and excluded products made by other WTO members like China from its payment scheme” according to a statement released on Tuesday.

According to the spokesperson,” Such a move has seriously distorted fair competition, seriously disrupted the global supply chain of new energy vehicles and violated WTO’s national treatment and most favored nation treatment principles.” China is” strongly opposed to it.”

The spokesperson urged the US to abide by WTO regulations, respect the global EV sector’s development trend, and promptly correct discriminatory practices.

China’s WTO complaint was filed after the Chinese Foreign Ministry criticized western nations on March 22 for supporting protectionism and imposing trade restrictions in the name of” fair competition” and “national security.”

” What they protect are their underdeveloped industries, what they lose is their future development and what they reap is lose- lose”, Lin Jian, a spokesperson of China’s Ministry of Foreign Affairs, said in a regular media briefing last week. The long-term effects of the changes to their industries and customers will be undermined, as will the global transition to a green economy and the fight against climate change.

” The popularity of Chinese EVs relies on our technological innovation and superb quality in the midst of global competition, rather than subsidies”, Lin said. &nbsp,

He added that China has removed all restrictions on foreign investment in manufacturing and is still open to international car manufacturers, who can fully participate in the profits of China’s large market. He claimed that Tesla sold over 600,000 cars in China last year, while Mercedes-Benz, BMW, and Volkswagen remain household names.

Anti- subsidy probe

The European Union announced in September that a 13-month investigation would look into whether government subsidies have helped Chinese electric car manufacturers gain market share in recent years. &nbsp,

A KPMG report said that in 2022 the top three European destinations for China’s EVs were Belgium ( 198, 000 units ), the United Kingdom ( 109, 000 units ) and Slovenia ( 47, 000 units ). &nbsp,

Some Chinese experts predicted that after the investigation, the EU will likely impose additional tariffs on imported Chinese EVs. They claimed that Chinese producers of electric vehicles and batteries can try to sell components, set up factories overseas, and collaborate with foreign companies to avoid extra tariffs. &nbsp,

Currently, tariffs on Chinese EVs are set at 10 % in Europe and a whopping 27.5 % in the US. A 2.5 % usual tariff applies to imported goods, and an additional 25 % tariff was imposed during the Trump era. &nbsp, &nbsp,

A Chinese writer using the pen name” Xiao Ding” claims in an article published in January that” the additional 25 % tariff policy has seriously disrupted Chinese EV makers ‘ development plan in the US.” The additional tariff” sents a strong message to potential buyers and distributors that Chinese EVs are not welcomed in the US,” the statement reads.

Fortunately, he says, although Chinese EVs makers failed to grow in the US markets, they have so far received strong market responses in Europe and Southeast Asia.

He claims that while the US may be able to benefit from its protectionist policies in the short term, the global globalization trend will be irreversible over the long term. He advises American automakers to collaborate with Chinese manufacturers if they want to expand their businesses overseas. &nbsp,

However, the US is attempting to persuade its allies to follow suit and will tighten its sanctions against Chinese EV manufacturers. &nbsp,

Donald Trump, the Republican nominee for president, stated in a press conference on March 16 that he would impose 100 % tariffs on Chinese cars made in Mexico if he wins the election in November. &nbsp,

The Protecting American Autoworkers from China Act, which would increase the base tariff rate of all imported Chinese vehicles to 12 %, would be the result of a total tariff of 125 %. &nbsp,

‘ Trojan horse ‘

The Biden administration announced last month that it would look into Chinese-made smart cars that can collect sensitive data on US roads. Biden claimed that China’s vehicles could encircle the US market, posing a threat to US national security. &nbsp,

Prior to this, US Commerce Secretary Gina Raimondo stated in January that the country should consider whether or not it wants to have access to all the data collected by electric and autonomous vehicles.

She claimed that the details could include the vehicle’s driver, its location, and its surroundings. &nbsp,

Jim Saker, president of the Institute of the Motor Industry, told lawmakers in the United Kingdom on March 22 that China’s EVs flooding into Britain could be” the most effective Trojan Horse” at the Chinese Communist Party’s disposal. &nbsp,

He claimed that Beijing could remotely halt Chinese-made electric vehicles and bring Britain’s road traffic to a halt. He claimed that the UK is also in danger of being significantly compromised by the possibility of China stealing drivers ‘ information. &nbsp,

Beijing had complained that the US and the UK overreach out with regard to economic and trade issues.

Read: US calls Chinese EVs a possible security threat

Read: Trump’s tariffs to hurt Chinese automakers

Follow Jeff Pao on Twitter at&nbsp, @jeffpao3

Continue Reading

Cambodian monkey exports to Canada for lab tests are surging, fueling Canadian health concerns – Southeast Asia Globe

By:
On:
In: South-East Asia

A significant U.S. medical research firm was subpoenaed in 2023 by U.S. investigators because of unique monkey shipments it had received from an admitted “international animal smuggling ring” originating from Cambodia.

Charles River Laboratories agreed to work with U.S. Department of Justice leaders and suspended supplies of monkeys from Cambodia to its U.S. laboratory.

But as one way for the medication- testing monkeys shut over, another opened wider – from Cambodia to Charles River’s labs in Quebec, Canada.

Long-tailed lemurs are now being imported into Canada for individual drug testing in extraordinary numbers thanks to large captive walls in provinces close to Phnom Penh, according to an investigation by the Southeast Asia Globe, Pulitzer Center, and Toronto Star.

Federal information shows that the value of American exports of these endangered animals has increased nearly six times since Charles River’s announcement in February 2023 to cease animal imports to the United States. The only Canadian company that has a documented importation of lemurs from Cambodia is Charles River.

Chimps are farmed in large containers in Cambodia, a key global supplier of the monkeys

Concerns have been raised that Canada has then inherited a deteriorated supply chain that includes protected species such as wild long-tailed macaques, which may contain dangerous pathogens. &nbsp,

” While they ‘re]Charles River ] doing the right thing in the U. S., they’re doing the wrong thing in Canada”, says Dr. Nicholas Dodman, a veterinary medicine expert and professor emeritus at Tufts Veterinary School in Boston. ” It’s a kind of back door…They can still do their research, just not in the United States”.

A Charles River spokesperson stated in a statement that the company meets with all American laws and that it has made sure” no members of the public have been exposed to any health or health challenges from our services.”

The company said its facilities in Canada are part of its “global network” that includes” state- of- the- art operations in over 20 countries”. Following the subpoena, Charles River’s CEO called investors and stated that the company had quickly changed its monkey shipments to nations with “friendly governments” who are “working with us.”

Poached macaques allegedly entered the United States illegally.

Experts and advocates for captive angling raise questions about how adequately the authorities here have handled those imports.

Officials from Canada point to numerous quality control measures in place to ensure the importation of macaques. However, agents in the exporting nations have a significant burden of oversight, including two Cambodian government officials, who were charged under the same U.S. investigation that sparked the international scandal that caused Charles River to lose value.

Charles River has only been subpoenaed and is not facing any charges.

The small, docile test subjects are used in Charles River’s lab research, including the development of a COVID- 19 vaccine. According to international standards, animals used in this research are supposed to be captive bred.

According to the 2022 indictment, thousands of imported wild macaques were poached and laundered in the United States as part of the captive-bred trade. Since 2018, officials believe that about 2,600 wild macaques have been residing in the United States on false permits.

The same year of the indictment, the status of long- tailed macaques on the Red List of Threatened Species was upgraded to “endangered”. According to the threat report, “biological resource use” was cited as a major factor in the decline of macaques in the wild.

There are good reasons why laboratory animals should not be captured from the wild, says Andrew Knight, veterinary professor of animal welfare at Australia’s Griffith University.

” Scientifically, their genetic composition, and their health or disease status, may be unknown or variable, which can make experimental results less reliable”, he says. ” Additionally, there are major animal welfare concerns when primates are captured from the wild, or transported from breeding centres close to wild populations”.

A wild long- tailed macaque infant clings to its mother in Cambodia’s Phnom Sampov, Battambang

” Human health and animal welfare is paramount”

According to Lisa Jones- Engel, a senior science advisor with the U.S. activist group People for the Ethical Treatment of Animals ( PETA ), Canadian regulators should pay more attention to the importation of macaques because of the alleged issues U.S. investigators discovered as well as because Cambodian monkeys may carry diseases.

” Charles River…went just to the north to Canada and not only did ( Canadian officials ) not shut it down, but it appears they threw the borders wide open, rolled out the red carpet”, she said. ” And Canadian officials are ignoring the fact that monkeys exported from Cambodia have been carrying pathogens that not only pose a deadly zoonotic risk, but the presence of these pathogens further undermines and misplaces the use of these monkeys in experiments.”

This primate trade is characterized by the “highest risk of zoonotic disease transmission,” according to Jones- Engel in a letter to Ottawa officials in May, warning that Canadian residents may be paying the price for this industry’s hazardous practices.

She claimed for the Globe that the possibility of wild-caught monkeys entering the supply chain “means that this industry is more likely to usher in the next pandemic than to prevent it.”

We may create or import animals that contain infectious agents that can spread disease to people.

Charles River Laboratories

A recent case study by U. S. researchers tied a case of melioidosis, an infectious disease that can affect both humans and animals, to a Cambodian macaque imported to the U. S. in January 2021. &nbsp,

The animal was not imported by Charles River, the company said.

Charles River said in a statement that it respects the viewpoints of “groups and individuals who vehemently oppose the use of animals in human drug testing.”

” However, any factual and accurate assessment of Charles River’s conduct of such drug testing would come to the conclusion that our commitment to both human health and animal welfare is crucial. We have no doubt that those whose lives have been saved or significantly improved by the drugs we’ve contributed to develop will concur with us.

In addition to COVID vaccines, the company develops drugs to treat cancer, diabetes and rare diseases.

The company did not respond directly to questions about whether wild-caught monkeys could have been included in their Canadian supply chain. In a 2020 form to the U.S. Securities and Exchange Commission, Charles River noted that “We may create or import animals that contain infectious agents that can spread disease to people.,” which “could be a possible risk of human exposure and infection.” 

The company claims that Canadian authorities regularly monitor the company’s strict protocols, which include a 30-day quarantine for imported primates and required disease testing. &nbsp,

Officials in Canada echo Charles River and claim to closely monitor the primates to protect the public. &nbsp,

Dodman, the expert in veterinary medicine, is less certain.

” Grabbing a monkey out of a tree and shipping them to a lab, you’re asking for a health crisis”, he says. Who knows how long these diseases can survive without taking any precautions, and how long do they usually wait before developing a virus?

Oversight depends on permits issued in Cambodia.

Environment and Climate Change Canada (ECCC ) monitors the importation of lab animals. &nbsp,

The United Nations-run Convention for the International Trade of Endangered Species ( CITES ) serves as a resource for the federal government’s efforts to properly vet the animals ‘ origin and ensure there is no harm to the species ‘ wild population. &nbsp, &nbsp,

The authorities in Ottawa stated that they are concerned about ensuring that the incoming animals have CITES permits issued by authorities in the country of origin.

The CITES Management Authority in Cambodia, which is led by Masphal Kry and Omaliss Keo, the two senior Cambodian officials who are charged with violating the U.S. Department of Justice, is responsible for obtaining the permits that Canadian officials claim they rely on.

Kry is the only person to have gone on trial so far, and he was detained in the United States in November 2022 while traveling to a convention on the international trade of endangered species. He was found not guilty of smuggling and conspiracy to smuggle on March 22. His attorneys did not respond to a request for comment.

Despite the indictment, Keo is still listed as the CITES chairman for “terrestrial forest and wildlife resources” in Cambodia. When reached, Keo did not answer specific questions, but responded,” I thank]you] for your email and appreciate your asking ( for clarification ) and finding truth. I will respond as soon as possible”.

Upon Kry’s verdict and return to Phnom Penh, the Ministry of Agriculture, Forestry and Fisheries released a statement that read” This misrepresentation]the arrest of Kry ] was based on evidence obtained via improper investigations, concealed from Cambodian authorities, and contravening normal practices of cross- border law enforcement norms”.

The press release continued that the allegations against Cambodia regarding the long-tailed macaque trade had no supporting evidence and were based on untrue claims made by some individuals or NGO personnel, distributed through local unprofessional media, and used Western mainstream media to discredit Cambodian officials and influence the court’s decision.

Six officials associated with Vanny Bio- Research, a major exporter of long-tailed macaques bred for use in research, are also facing charges. In a statement, the company said it” denies any wrongdoing.”

The allegations by U. S. prosecutors carry significant implications, said Sarah Kite, co- founder of the international advocacy group Action for Primates, adding that they” raise serious questions regarding how widespread this smuggling operation was — and may continue to be — in Cambodia.”

Vanny Bio- Resource’s expansive monkey farm in Cambodia’s Pursat Province

” By continuing to allow the importation of long- tailed macaques from Cambodia, Canada may be… contributing substantially to the cruelty of trapping, and the decimation of the species in the wild,” Kite continued.

Monkey shipments pivoted to ‘ friendly’ countries

Since the indictment, redacted letters from the U.S. Fish and Wildlife Service have been the subject of at least two re-export requests for live long-tailed macaques and biological specimens. However, the U.S. government has not officially imposed a ban on the import of Cambodian monkeys.

Pierre Verreault, executive director of the Canadian Council on Animal Care, which inspects Charles River facilities and other Canadian labs to ensure animal welfare, says the U. S. government’s probe is a key way to find out whether the supply chain is tainted”. Hopefully, if there’s something wrong there, it will stop.”

In the meantime, Charles River’s movement of macaque importations away from the U. S. has had no significant impact on operations, CEO James Foster said in a September conference call with investors.

While the indictment” was very concerning,” the company pivoted to its” international footprint, which is quite large, we have got great facilities all over.”

” We have friendly governments…working with us… We’re not going to pivot back to the U. S…The preponderance will be done elsewhere,” Foster said.

Shareholders of Charles River are also suing the company for class action. The plaintiffs contend that the company “made materially false and/or misleading statements” and “did not disclose” that it had engaged in illegal activity in relation to the importation of non-human primates for research, including relying on “unpreferable suppliers of animals from Cambodia.”

As a result of the company’s” precipitous decline in market value “following the subpoena, shareholders have suffered” significant losses and damages,” the claim alleges.

Charles River did not respond to inquiries regarding the legal action. The company, which responded to the allegations in a court filing, denied making any false claims and claimed to have “regularly warned investors of the risks of supply interruption” and the need to rely on alternative suppliers.

The response reads,” Charles River expressly warned investors about the risk of disruption to its supply of macaques and about the possibility that its operations may not adhere to laws, including those governing the importation of macaques.” Charles Rivers ‘ warning that it might be required to source goods from “non-preferential” vendors shows that the business was being open and not trying to deceive the market.

Charles River has requested that the court drop the civil claim.

~~~

The Toronto Star and Southeast Asia Globe collaborated on this article, and The Pulitzer Center‘s Rainforest Investigations Network contributed financially.

Continue Reading

HSBC launches bn fund for Asean’s digital economy | FinanceAsia

By:
On:
In: Asia, Finance, South-East Asia

HSBC has launched a$ 1 billion Asean Growth Fund to help scale up “platform players” in the region’s digital economy.

The goal is to enable electronic businesses to expand their asset portfolios and achieve scale. The fund intends to support “new-economy names”, well-established corporations, and non-bank economic institutions by “evaluating working metrics tied to their cashflow-generative asset portfolio, rather than only relying on conventional financial metrics,” according to a media release. &nbsp,

In Asean, the London- headquartered world institution has a reputation in Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam, and the bank will be looking to support companies in these countries, a spokeswoman told&nbsp, FinanceAsia.

In recent years, the lender has provided significant funding to a number of online gamers. In August 2023, the Philippines-based consumer finance digital platform Atome Financial announced plans to expand its$ 100 million debt facility. Earlier this month, HSBC agreed a$ 100 million credit facility with the Akulalu Group, a bank and digital software group with activities across Indonesia, the Philippines, Thailand and Malaysia. &nbsp,

Individually, HSBC has set apart$ 150 million to provide financing to earlier- stage, higher- growth companies in Singapore that are backed by venture capital or personal equity investors.

” Like so many other internationally minded businesses, we are excited about Asean’s booming digital economy”, said Amanda Murphy, head of commercial banking for South and Southeast Asia ( SEA ) at HSBC, in a statement. Asean has” so much potential for growth” with a working population that is digitally native, growing in size, and poised to consume more goods and services, especially in e-commerce.

Murphy continued,” The introduction of our most recent offerings makes us better able to support new-economy companies in Asean as they spread throughout the region and advance along the corporate lifecycle.”

Digitalising operations

SEA’s digital economy is among the world’s fastest- growing and was worth around$ 218 billion in 2023. By the end of this decade, it is anticipated to have a value of$ 600 billion, with a compound annual growth rate of 16 %. &nbsp,

HSBC recently surveyed 600 companies operating in SEA and found that 42 % said that “digitalising operations” is their top business priority. This was followed by “growth in SEA”, at 40 %, while 37 % of businesses said&nbsp, “research and development” is their top priority. &nbsp,

As Asean’s economies integrate more, 66 % of respondents said they want to expand into new markets within SEA, and 65 % of respondents said they plan to increase their investment in the digitalization of their businesses. &nbsp,

¬ Haymarket Media Limited. All rights reserved.

Continue Reading

AI in Southeast Asia: Green potential towards tracking plastic waste, forecasting extreme weather

By:
On:
In: Asia

ALL Ear ON Hear Wildlife

From scanners to trees, AI is likewise finding use in the abyss of some of Southeast Asia’s most old scenery.

Individuals Clara Hernblom and Johan Närvä from the Swedish University of Agricultural Sciences are conducting studies in the immaculate- and also more degraded- forests of Sabah on Malaysia’s Malay area.

They aim to better know the levels of biodiversity and wildlife action across various landscapes, including recovery websites. The results could provide insight into the effectiveness of coal credits, where businesses can mitigate their carbon footprints through the repair or survival of forests.

To know the habitat, they have placed dozens of audio devices throughout the surroundings that they are studying. Over 10- time periods, the products record the sounds of the animals, birds and reptiles living it.

Instead of physically having to listen to thousands of hours of recordings and trying to determine species and behaviours, the students may post their recordings to an Iot- backed program called Arbimon, which can provide analysis in a fraction of the time.

” It seems really appealing. This job would not be achievable without it. And going ahead, we will only get more species that we can recognize”. Mr Närvä said.

It is a process being exceedingly used around the area and the globe- the online tool is free for scientists and researchers to exposure.

Arbimon initially started as a sky- based program for keeping and analysing sound recordings at a college in Puerto Rico. Early uses included helping park rangers detect illegal task, like axe use in the forests of Palawan in the Philippines.

Its features are now much more powerful.

The technology uses routine matching and clustering to learn certain good names that are symptomatic of current species. It has the potential to give insight into what is happening in the woodland- in close- real time.

” For a scholar that has no access to technology, it may take on average 10 to 15 minutes to process one solitary recording”, said Mr Bourhan Yassin, the CEO of Rainforest Connection, which runs Arbimon. The non- gain company is dedicated to protecting threatened communities.

” But think about that and increase that over 100, 000 audio, which is not a bit for a dissertation or thesis. It would equate to anywhere around four and a half weeks to get a genuinely good set of alerts for a second types.

” With an Artificial type, you can do this in seconds. Actually, you can approach a million tapes in a matter of seconds, “he said.

Mr Yassin said Arbimon is helping to bridge a big difference between science and research and protection on the ground. He shared that two to three million tapes are uploaded every week to the program. Close to two billion assessments have been done so far in about 6, 000 jobs in about 120 different locations.

Despite the vast possible for eco- sounds to be used, mainly in rainforest- deep Malaysia and Indonesia, limitations remain around its use in Southeast Asia.

Mr Yassin admitted that governments are still wary about data collection, particularly in national parks, and the hosting of that data outside their own countries.

” The government regulations have n’t caught up yet, “he said”. In order for AI to be widely adopted in Southeast Asia, there has to be decentralisation and coming to terms with the fact that AI does n’t have to run entirely locally and cannot just be controlled entirely within the country.

” For these systems, especially systems like Arbimon, that are not serving just one country, they have to be global”.

Continue Reading

Commentary: Singapore’s comeback draw against China provides hope for a brighter footballing future

By:
On:
In: South-East Asia

A” SMALL STEP”

Given that native soccer has been in the doldrums, this outcome feels substantial. After the common and bitter taste of battle over the years, a great result tastes all the more better.

While they have a significant level, the Lions remain rooted to the underside of their World Cup qualifier team, three factors behind China.

” It’s the beginning. We’ve just worked one week with the manager, all takes time and we’re gradually getting into the hang of how he wants us to play”, Mahler told CNA’s Aslam Shah article- match.

Under previous manager Nishigaya, Singapore lost their primary two matches next November, with a 1- 3 house loss to Thailand and a 5- 0 ahead drubbing by South Korea.

While Singapore’s effect against China certainly raised eyebrows, Thailand’s 1- 1 ahead bring against party leaders South Korea was the headline- grabber. &nbsp,

Up against a area who made the round of 16 at the last World Cup, the Thais proved no weaklings. And once again, they are a warning that Singapore football has some catching up to do to fit up against Southeast Asia’s superstars.

But Thursday showed that the Lions may hold their own. There is a glimpse of light at the end of the hole, a sense of optimism in the air.

” We want to enjoy a great company of sport, we want to… take up the bright days where we used to be the princes of ASEAN and even further”, said Mahler.

” This is a small action and hopefully we can continue on this”.

Singapore’s expire- difficult fans will expect he is correct, and that this will be the start of a brighter soccer future.

Matthew Mohan is a correspondent at CNA. He specialises in sports reporting, and has covered the Olympics, World Cup, and a number of Southeast Asian Games.

Continue Reading

Irrational AI exuberance blowing big Asian bubbles – Asia Times

By:
On:
In: Asia

Tokyo: Surging stocks are n’t always good news, especially given that Asia is already experiencing a significant artificial intelligence ( AI ) boom.

And to batten down the hatches. Asia is navigating an exceedingly precarious 2024 due to the downturn in China, the US Federal Reserve’s easing techniques, and political uncertainty at every change.

Eastern stocks are rising to two-year peaks on little more than AI-inspired madness, which suggests that new stock bubbles are being inflated day by day. Bubbles that, if they collapse, was smash economies throughout the region.

What’s more, Tony Wang, director of the US$ 9 billion T Rowe Price Science &amp, Technology Fund, thinks the AI march is only just getting started.

Multiples “are quite sensible right now”, Wang tells Bloomberg. ” We will experience a decline eventually,” but” I think it also feels a little premature and difficult to call the bottom.”

However, a downturn could occur at any time and trigger a chain reaction when the location is at its worst risk.

In China, for example, Xi Jinping’s group just just managed to put a ground under a plunging stock market. Between the 2021 top and January this year, the$ 7 trillion defeat has already caused incalculable harm to business and home confidence and success.

At the same time, China’s home issue remains a clear and present danger. In Asia’s largest economy, report youth unemployment and deteriorating economic conditions are at odds with negative pressures.

Japan, however, just barely avoided slowdown in the next quarter of 2023. The economy lost 3.3 % of its GDP in the July to September quarter, down 3.3 % from the previous quarter, and only eked out 0.4 % in the final three months of the year. In January, household spending plunged&nbsp, 6.3 % from a year earlier, the sharpest cut in 35 weeks.

All this at a time when the Bank of Japan is going through its first tightening period since 2007. And as Prime Minister Fumio Kishida’s approval score drops to a paltry 20 %, he lacks the political will to restart the transformation process.

On top of events in China and Japan, Southeast Asia faces the possibility of “higher for longer” US relationship provides. The area was persuaded by Fed Chairman Jerome Powell’s team that interest rates do drop repeatedly in 2024 as the year approached.

Firmly higher inflation is thwarting those expectations. Growing fuel and food prices are a looming threat from the Ukraine to the Red Sea to Sino-US tensions, which is a threat that looms over developing Asia’s season.

Without capital markets going gangbusters for reasons that few people understand, or in any other way to connect Asia’s prospects, this backdrop may be difficult enough.

There is a lot of frothiness now that the Dow Jones Industrial Average is on the verge of 40, 000 and the Nikkei 225 Stock Average is moving above that amount, which is a Chinese history.

Take the example of this week’s incident with device manufacturer Broadcom Inc. Its shares rose by the time the corporation held an occasion revealing potential AI investments. That boosted researchers at TD Cowen, Matthew Ramsay, and Broadcom. His word to customers was headlined:” Better Later Than Not”?

It’s difficult not to feel late 1990s software stock mania vibes. All Walmart or Macy’s department stores had to do at the time to raise stock prices was add” .com” to the end of their names.

Similar sentiments to the meme investment craze that pushed the stock of GameStop, Bath &amp, Beyond, and another undervalued businesses into the past are not discernible.

As this latest episode of possible “irrational exuberance” intoxicates world industry, it’s worthwhile reflecting on the nature of that infamous word. Alan Greenspan, the next Fed Chairman, tipped up in December 1996 to warn of a bubble in US tech stocks.

How can we tell when irrational exuberance has unreasonably increased asset values, which are then subject to unexpected and protracted contractions, Greenspan questioned in the middle of a somewhat dry financial speech?

Especially, Greenspan was referring to Japan’s early 1990s property fall. However, US traders did not overlook the fact that Wall Street was being sucked into by the Fed in a facetious bomb.

Decades later, Greenspan wrote” I was choosing my words very thoroughly. I cautiously hedged what I had to say in my typical Fedspeak.

Maybe very carefully, as analyst Chris Turner at ING Bank points out. In the three centuries after Greenspan’s caution, the S&amp, P 500 doubled. The catalog peaked, Turner information, amidst the major tick of the circle- org bubble in 2000.

The problem today is what Powell’s group does. We should n’t underestimate or become complacent about how complicated the interactions between the economy and asset markets, as Greenspan once said back in 1996. So, evaluating shifts in balance sheets frequently, and in asset prices especially, may be an integral part of the development of financial policy”.

Powell’s choices are n’t great. Count property expert Ed Yardeni of Yardeni Research is among those who think Powell’s staff may eventually throw cool water on an AI protest that is driven more by “fear of missing out” than economic fundamentals. Fear in markets could spread quickly, he notes, in the event of a “more hawkish” crouch by the Fed.

The Fed is somewhat of an analog power in a digital world where speculative frenzies are moving at warp speed, just like the meme stocks rallies or Bitcoin hit new highs.

Asian markets are on the front lines as ferociousnesses involving chipmaker Nvidia Corp’s shares and ChatGPT’s disruptive potential upend trading strategies.

Nvidia’s CEO Jensen Huang’s keynote speech at the company’s GPU Technology Conference ( GTC ) conference this week appeared to be receiving more media attention than the BOJ’s first-ever rate increase for Japanese customers since 2007 despite the company’s GTC conference’s keynote address.

‘ Godfather of AI ‘ has a new nickname,’ Ond- trillion man. Jensen Huang, the founder and CEO of Nvidia, envisions a successful business balance between Taiwan and mainland China. Photo: YouTube Screengrab / Unique Satellite TV

” Move over Taylor Swift, you’re not the only one that can sell out a stadium as Jensen presented his GTC keynote to a packed crowd” in San Jose, California, write analysts at Bernstein in a note to clients. When she refers to Nvidia as the” Paris Hilton” of stocks, strategist Amy Wu Silverman of RBC Capital Markets speaks for many.

All of this raises the question of whether central banks ‘ power has diminished as markets move beyond their control. For now, though, the most powerful central bank is taking a wait- and- see approach to domestic trends.

” Overall, the]Fed ] has stuck to its view that the underlying inflation picture is improving, notwithstanding the disappointing numbers in the past two months”, says economist Ian Shepherdson at Pantheon Macroeconomics. They see the most recent numbers as a temporary pause rather than a trend change, they say.

Mohamed El- Erian, Allianz’s chief economic advisor, agrees that the Fed is telegraphing a wait- and- see approach. Powell’s team, El- Erian says, is “indicating a willingness to tolerate higher inflation for longer”.

The same goes for the implementation of’quantitative tightening’. According to him,” the first aspect of patience aligns with the objective of maintaining economic well-being,” while the second reflects a desire to prevent market functioning from being affected by liquidity-related disruptions.

The choices are even more uncertain for the BOJ. Governor Kazuo Ueda made the smallest possible steps this week to put an end to quantitative easing. Tokyo ended the world’s most recent negative interest rate regime on March 19 and abandoned yield curve control measures. Its new range for policy rates is between 0 % and 0.1 %, moving away from the previous -0.1 % target.

However, the BOJ has been very cautious so far about predicting a significant rate change. ” The BOJ’s reticence to provide forward guidance is understandable but will become increasingly important for shaping the structure&nbsp, of&nbsp, the yield curve”, says Idanna Appio, a portfolio manager at First Eagle Investments: &nbsp,

In February, Japanese inflation rose at the quickest pace in four months. Consumer prices, excluding fresh food, jumped 2.8 % year on year. These data appear to support predictions that the BOJ will increase its rate by 17 points to 20 later this year.

Takeshi Yamaguchi, an economist at Morgan Stanley MUFG, finds great significance in the signs that” a good number” of business survey respondents worry about the “impact of slowing Chinese growth” on Japan’s outlook.

Nevertheless, the yen’s 1.8 % decline since the BOJ’s alleged tightening move suggests that traders are unconvinced Ueda will be moving again anytime soon. Global markets are “half in doubt” about recent tightening moves, as strategist Noriatsu Tanji at Mizuho Securities puts it.

Analysts like Simon Harvey of Monex Europe Ltd believe Team Ueda has the financial “firepower” to stop the yen’s decline toward its lowest levels since 1990 in the interim.

According to Harvey, policymakers ‘ verbal interventions will now be more effective because they can effectively influence expectations of upcoming policy in a hawkish direction to support the yen because government bond yields are now able to flexibly adjust higher as long as it is in a moderate manner.

Shunichi Suzuki, the minister of finance, stated on March 19 that his team is paying close attention to yen movements. Japanese officials are no more in charge of the financial situation than anyone else in Asia, despite AI-driven manias that have sent stocks into bubble territory.

William Pesek is on X, formerly Twitter, at @WilliamPesek

Continue Reading

Asia feels the pinch of growing ‘food chokepoints’ – Asia Times

By:
On:
In: Asia, Business

In recent years, global food security has suffered from overlapping problems caused by problems, political tensions, climate change, and the Covid- 19 pandemic, resulting in severe foods provide problems.

These problems have been made worse by a number of “food causeways,” such as those that Yemen-based Houthi soldiers have attacked merchant boats and have hampered food shipments through the Suez Canal.

The transport visitors through the Panama Canal has decreased expected to&nbsp, drought&nbsp, which likewise hit river transport systems like as the&nbsp, Mississippi River&nbsp, and the&nbsp, Rhine River.

The emphasis on particular transport routes makes the pressure on global food security even more pressing because the global food system is already becoming increasingly dependent on the movement of meals from a few key “breadbasket” exporting areas to food-deficit locations around the world – frequently through these “food chokepoints”

It furthermore impacts agricultural goods profitability, shipping schedules, as well as food supply and prices. Longer delivery periods even put perishable foods at hazard, while&nbsp, shipping disruptions&nbsp, such as changes to shipping schedules stress cargo management and street transport sectors, causing major delays.

What does Asia’s interpretation of this mean?

For both food- exporting and importing countries, challenges loom. Exporting nations may experience profit margin pressures, which lower the cost of production while importing nations may have to deal with potential increases in transportation costs, which could lead to higher food prices, increased price volatility, and altered consumption patterns.

Due to their reliance on European and Black Sea markets for important agricultural products and fertilizers, Southeast Asia, East Asia, and South Asia are more vulnerable. Import disruptions pose inflation risks, contributing to a cost- of- living crisis.

In countries already grappling with crises like extreme weather ( Pakistan ), conflict ( Bangladesh and Myanmar ), economic turmoil ( Sri Lanka ) and political uncertainties ( Thailand ), &nbsp, food price inflation&nbsp, exacerbates poverty, stalling socioeconomic growth.

The most under- and middle-income households, which are most likely to be affected, may also be at increased risk of malnutrition, which could turn back decades of development progress in Asia.

Trade disruption implications

The US announced plans for a task force&nbsp in late December 2023 to combat the Houthi attacks in the Red Sea, but it is unlikely that immediate redress for trade turbulence and food price inflation will occur.

Concerns about food and fertilizer supplies being manipulated are raised by ongoing supply chain disruptions, as demonstrated by the Ukraine-Russian war, combined with the escalating geopolitical tensions.

Amid recurrent crises, urgent reforms to food systems are essential. Governments and policymakers must prioritize&nbsp, preparedness and resilience- building&nbsp, at national and regional levels to address food security issues and mitigate future impacts.

Governments and policymakers should diversify their sources of supply chain disruptions in addition to the increasing national stockpiles that the numerous net food importing nations in Asia have.

A good example is Singapore, which, while importing over 90 % of its food, has reduced vulnerability to food price and supply fluctuations through contact with&nbsp, more than 180 countries and regions.

This strategy has been largely successful, resulting in Singapore enjoying the world ‘s&nbsp, second most affordable food, behind Australia. &nbsp, The average&nbsp, Singaporean household&nbsp, spends less than 10 % of monthly expenses on food, in contrast with the Philippines ‘ 38 %.

Additionally, the Philippines, which has a large food deficit, ranks low in affordability, importing&nbsp, nearly 80 %&nbsp, of its agricultural imports. Food inflation in the Philippines reached&nbsp, 8 % &nbsp, in 2023.

Facilitating food access

Governments across the country must develop early action plans and strengthen social safety nets to lessen the strain of the cost-of-living crisis. For lower-income households with lower incomes, initiatives like food relief, cash support, and food voucher programs can help ease the strain. Subsidies and tax measures, which can provide temporary relief, may also be considered.

With average households spending over a third of their income on food in countries like&nbsp, the Philippines, and lower- income households in countries like&nbsp, Indonesia&nbsp, spending up to 64 % on food monthly, addressing food price inflation is crucial to safeguard average and lower- income households from undernutrition.

To address the interconnected issues of food availability, access, and affordability, Asian governments reliant on food imports could sign agreements with agricultural exporting countries in the region such as&nbsp, grain and oilseed powerhouses&nbsp, Australia and New Zealand. Doing so can avoid risks posed by chokepoints.

Greater focus on intra- regional trading could also be encouraged, such as in Southeast Asia, which has large exporters of key agricultural products including&nbsp, rice&nbsp, ( Vietnam and Thailand ) and&nbsp, palm oil&nbsp, ( Malaysia and Indonesia ).

Increased intra- regional trade could reduce&nbsp, regional food import dependency&nbsp, while also increasing regional food accessibility, market stability, and economic development. This could be aided by initiatives to encourage investments in agricultural research and development in the area to increase production of other staple grains ( such as wheat ) and reduce reliance on imports.

Looking ahead

The Middle East’s ongoing supply chain disruptions serve as a reminder of how crucial it is to have resilient national and regional food supplies and agrifood systems, according to Asian governments and policymakers. Countries must try to address these interlinked issues at national and regional levels in both the short and long term in the face of persistent food price inflation and malnutrition.

The region has a better chance of preparing itself for the challenges that lie ahead in terms of food security by implementing policy measures like diversifying food imports and strengthening social safety nets.

Genevieve Donnellon- May is a Research Associate at the Asia Society Policy Institute, Melbourne, Australia. Paul Teng is a Senior Adjunct Fellow at Nanyang Technological University (NTU), Singapore’s Nanyang Technological University (NTS Center ), S. Rajaratnam School of International Studies ( RSIS), and the Centre for Non-Traditional Security Studies (NTS Centre ).

This article first appeared on RSIS Commentary, and it has since been republished with kind permission. &nbsp,

Continue Reading