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2. ASEAN's medium- to long-term trade strategies and the direction of RoK-ASEAN cooperation
- Author:
- Sungil Kwak, Seungjin Cho, Jaewan Cheong, Jaeho Lee, Mingeum Shin, Nayoun Park, and So Eun Kim
- Publication Date:
- 03-2023
- Content Type:
- Policy Brief
- Institution:
- Korea Institute for International Economic Policy (KIEP)
- Abstract:
- In recent years, the U.S.-China hegemony competition has intensified, dividing the world into two blocs. ASEAN has long culti-vated its position on the international stage by maintaining a certain distance between the United States and China. In that sense, ASEAN is the best partner for Korea to ef-fectively respond to the divided world. Therefore, this study seeks the directions of cooperation with ASEAN in supply chain, digital trade, climate change response, and health and development cooperation in line with changes in the international order.
- Topic:
- Climate Change, Development, Economics, International Cooperation, Trade, and ASEAN
- Political Geography:
- China, Asia, North America, and United States of America
3. Network and Text Analysis on Digital Trade Agreements
- Author:
- Kyu Yub Lee, Cheon-Kee Lee, Won Seok Choi, Jyun-Hyun Eom, and Unjung Whang
- Publication Date:
- 02-2023
- Content Type:
- Policy Brief
- Institution:
- Korea Institute for International Economic Policy (KIEP)
- Abstract:
- We use the Trade Agreements Provisions on Electronic Commerce and Data and their corresponding texts to undertake network and text analysis on trade agreements with digital trade chapters to identify which countries are important in the network and how similar or different their texts of digital trade chapters are. centrality values reflect which countries are influential in the network, while values of similarity assess the level of similarity between the texts of digital trade chapters concluded by these countries. Centrality and similarity are complementary in assessing the relative positions of countries in the network, where the number of linkages between countries is significant in centrality and the quality of digital trade chapters is critical in similarity. We interpret this to mean that a country with a high degree of centrality is likely to be a rule-promoter in the network, whereas a country with a high degree of similarity is likely to be a rule-maker. The brief highlights three key findings from network and text analysis of digital trade agreements: (1) The U.S. has been the best rule-maker but not the best rule-promoter, whereas Singapore has been the best rule-promoter but not the best rule-maker. (2) China is a rule-maker, but to a weaker extent than the U.S., and Korea is a rule-promoter, although it is less active than Singapore. (3) Japan and Australia have served as both rule-makers and rule-promoters. Identification of countries’ relative positions in the network of digital trade agreements would be useful at the start of talks on digital trade policy.
- Topic:
- Science and Technology, Treaties and Agreements, Digital Economy, and Trade
- Political Geography:
- Japan, China, South Korea, Australia, and United States of America
4. China's Green Transition Policies and Its Implications for Korea
- Author:
- Won Seok Choi
- Publication Date:
- 02-2023
- Content Type:
- Policy Brief
- Institution:
- Korea Institute for International Economic Policy (KIEP)
- Abstract:
- In China, carbon emissions from the energy and heat producing sector account for 53.4% of total emissions, with industry (28.6%) and transportation (8.9%) being the main carbon emission sectors. Therefore, various green transition policies in energy, industry and transportation are being pursued in Chinese cities. In Chinese cities, the promotion of rooftop-distributed photovoltaic power generation, among renewable energy sources, is evaluated to be capable of intensive development, reducing power peak load, and inducing residents to consume green energy. Policies are being implemented in urban industries to reduce pollution and carbon emissions, increase energy use efficiency, improve resource use levels, and improve green manufacturing systems. In the transportation sector, China's policies to reduce emissions, expand the supply of new energy vehicles, and strengthen green transportation technology are representative. Consequently, this study summarizes the policy implications, areas of Korea-China cooperation, and risk factors of China's green transition promotion plan for its Chinese cities.
- Topic:
- Transportation, Industry, Carbon Emissions, Energy, and Green Transition
- Political Geography:
- China, Asia, and South Korea
5. Strategies of Multinational Companies Entering China in the Era of U.S.-China Competition and Implications for Korea
- Author:
- Sang Baek Hyun, Ji Young Moon, Min-suk Park, Jonghyuk Oh, and Yunmi Oh
- Publication Date:
- 03-2023
- Content Type:
- Policy Brief
- Institution:
- Korea Institute for International Economic Policy (KIEP)
- Abstract:
- With the integration of resources and markets around the world sparked by the trend of globalization, multinational companies have continued to grow at a rapid pace. In particular, global manufacturers have maintained their competitiveness by distributing resources more efficiently while establishing a global value chain with China as their main production hub. However, measures taken by the U.S. to block China’s access to technology and supply chains in some high-tech industries have prompted discussions on reorganization of the global supply chain, placing these multinational companies in an uncertain situation concerning their operations in China. At a time when competition between the U.S. and China is intensifying, it is necessary to look at the response strategies of global companies that have entered China and seek effective countermeasures for Korean companies.
- Topic:
- Economics, Multinational Corporations, Manufacturing, and Competition
- Political Geography:
- China, Asia, South Korea, North America, and United States of America
6. Health of nations: How Europe can fight future pandemics
- Author:
- Anthony Dworkin
- Publication Date:
- 02-2022
- Content Type:
- Policy Brief
- Institution:
- European Council on Foreign Relations (ECFR)
- Abstract:
- As the crisis phase of covid-19 recedes, there is a chance to improve international cooperation on global health – but also a danger that competing reform proposals will lead to inaction. The EU can best support reform of pandemic preparedness and response if it takes account of the concerns of different global powers. The union should combine a push for reform of and increased funding for the WHO with support for a new fund for health emergencies, overseen by a representative group of countries. The EU should promote a new global compact on health, matching countries’ commitment to surveillance and reporting of pathogens with support for stronger healthcare systems and greater equity in the allocation of countermeasures. The EU-Africa relationship offers a chance to pioneer such an approach, but the EU will need to go further in this than it has so far. The EU should promote African vaccine manufacturing, including by pressing European pharmaceutical companies to transfer knowledge and technology to Africa.
- Topic:
- Health, European Union, Pandemic, and COVID-19
- Political Geography:
- Africa, Russia, China, Europe, India, and United States of America
7. Let a thousand contacts bloom: How China competes for influence in Bulgaria
- Author:
- Vladimir Shopov
- Publication Date:
- 03-2022
- Content Type:
- Policy Brief
- Institution:
- European Council on Foreign Relations (ECFR)
- Abstract:
- China is a geopolitical latecomer to Bulgaria, having traditionally shown more interest in other countries in south-eastern Europe. Beijing has long struggled to gain influence in Bulgaria due to the country’s EU membership and entrenched interests in sectors such as infrastructure and energy. China has responded to this challenge by adopting a multi-track strategy of engagement with state and non-state actors at the national and subnational levels. Beijing has significantly expanded its subnational cooperation with Bulgaria in areas such as culture, education, agriculture, research, public procurement, and e-governance. China has focused on strengthening its frameworks of cooperation and building relationships with local elites to circumvent national policies. China’s growing presence in Bulgaria has concerning implications in areas such as technology transfers, agriculture, research, ‘smart city’ and governance projects, control of critical infrastructure, and public procurement.
- Topic:
- Foreign Policy, Diplomacy, International Cooperation, and European Union
- Political Geography:
- China, Europe, Asia, and Bulgaria
8. Principled pragmatism: Europe’s place in a multipolar Middle East
- Author:
- Julien Barnes-Dacey and Hugh Lovatt
- Publication Date:
- 04-2022
- Content Type:
- Policy Brief
- Institution:
- European Council on Foreign Relations (ECFR)
- Abstract:
- A multipolar Middle East is emerging as the US “right-sizes” its posture in the region – and as regional states and external powers, including Russia and China, become more assertive. Russia’s war on Ukraine is accelerating these dynamics, while also provoking destabilising price shocks and underscoring the region’s importance to energy markets. The Middle East’s geopolitical shifts pose huge challenges to Europe, but multipolarity could create space to promote European interests more effectively. A coherent European approach should be guided by principled pragmatism: acknowledging the region as it is rather than as Europeans want it to be, while staying focused on the principles needed to secure longer-term stability. Europeans need to enhance transatlantic complementarity and stop ceding leverage to their Middle Eastern partners. While they compete for influence with Russia and China, they should maintain room for coordination with both countries. Europe should tap into the opportunities created by stabilisation support, green energy, and economic diversification – areas that could provide an edge over China.
- Topic:
- Foreign Policy, Geopolitics, Multipolarity, Strategic Interests, Pragmatism, and Regional Politics
- Political Geography:
- Russia, China, Europe, Ukraine, Middle East, North America, and United States of America
9. Byting back: The EU’s digital alliance with Latin America and the Caribbean
- Author:
- Carla Hobbs and José I. Torreblanca
- Publication Date:
- 10-2022
- Content Type:
- Policy Brief
- Institution:
- European Council on Foreign Relations (ECFR)
- Abstract:
- China’s and Russia’s growing presence in Latin America and the Caribbean undermines democracy and Western influence in the region, along with the international rules-based order. The EU is responding to this threat by attempting to strengthen its relationships with Latin American and Caribbean countries. The bloc is attempting to build on their affinity for European values and rights, as well their preference for sustainable and inclusive development. Cooperation on digital technologies should be a priority in the effort, given the region’s need for greater connectivity. The Spanish presidency of the EU should lead the formation of a Digital Alliance with Latin America and the Caribbean at a summit scheduled for 2023. The EU can make this alliance work by focusing on connectivity investments, cyber-security, and rights to support Latin American countries’ digital transitions. The alliance will also require a long-term vision within the EU, commitments from member states, leadership by several Latin American countries, and public-private investment partnerships.
- Topic:
- European Union, Democracy, Alliance, and Digital Policy
- Political Geography:
- Russia, China, Europe, and Latin America
10. Time to Leave China’s “16+1” Influence Trap
- Author:
- Filip Jirouš
- Publication Date:
- 08-2022
- Content Type:
- Policy Brief
- Institution:
- International Centre for Defence and Security - ICDS
- Abstract:
- Last week Estonia and Latvia followed Lithuania and quit what used to be known as 16+1, as the Czech Republic and other participating countries become increasingly vocal in their scepticism of the initiative. The 16+1 format, officially known as Cooperation between China and Central and Eastern European Countries (中国—中东欧 国家合作, Zhongguo-Zhong Dong Ou Guojia Hezuo), was launched in 2012 as a China-centric initiative incorporating 16 Central and Eastern European (CEE) countries. In 2019, Greece—which is heavily indebted to China—joined, and the platform was briefly renamed 17+1. While it is officially described as an economic cooperation platform, its real achievements and the PRC’s approach to it show that trade and investment were never its true focus. Rather, the PRC used it as a propaganda and influence tool, wasting CEE diplomatic capacity on activities that only benefited Beijing. The lack of benefits and abundance of risks have recently led several CEE countries to reassess their participation in the 16+1 format. The time has come for the rest of the participating countries to join their Baltic neighbours and ditch this PRC influence vehicle.
- Topic:
- Diplomacy, International Cooperation, Soft Power, Propaganda, and Influence
- Political Geography:
- China, Eastern Europe, Asia, and Estonia
11. China’s Evolving Approach to Foreign Aid
- Author:
- Jingdong Yuan, Abhishek Andasu, and Xuwan Ouyang
- Publication Date:
- 05-2022
- Content Type:
- Policy Brief
- Institution:
- Stockholm International Peace Research Institute
- Abstract:
- China’s role in foreign aid and, more broadly, in development cooperation on the global stage has grown significantly since it began seven decades ago. Particularly in recent years, through such platforms as the Belt and Road Initiative (BRI), China’s profile and engagement in global governance in foreign aid and related areas have been further enhanced. China’s ambition is to take a more proactive approach in foreign aid and move towards a model of international development cooperation by linking with the United Nations 2030 Agenda for Sustainable Development and by including the BRI as a major platform to achieve key development goals. This paper provides a timely analysis of the evolution of China’s foreign aid policy in the past seven decades with a particular focus on the developments since 2000. It discusses China’s development finance to Africa and the major sectors receiving Chinese aid. It also analyses recent trends of Chinese foreign aid and identifies some of the challenges that China faces as it becomes a major player in international development financing.
- Topic:
- Development, Foreign Aid, Infrastructure, Sustainable Development Goals, and Belt and Road Initiative (BRI)
- Political Geography:
- China and Asia
12. Xi Jinping Seeks Stability: The 20th National Congress of the CCP
- Author:
- Bart Dessein, Jasper Roctus, and Sven Biscop
- Publication Date:
- 10-2022
- Content Type:
- Policy Brief
- Institution:
- EGMONT - The Royal Institute for International Relations
- Abstract:
- The 2,340 odd teacups have been rearranged in their cupboards, and sobriety has returned to the Great Hall of the People. What is the national and international impact of the 20th CCP Congress that was concluded on Saturday, 22 October 2022? Stability is the key word. When the People’s Republic of China (PRC) was founded in 1949, the country’s first and major concern was to be recognized as a nation state on an equal par with others in the post-World War II world order. As the Western world recognized the nationalist government of the Republic of China (Taiwan) as the legal government and representative of “China” in the United Nations, the PRC turned to the Soviet Union for support, despite earlier ill-fated cooperation between the Communist Parties of the two countries. On 14 February 1950, Mao Zedong and Joseph Stalin concluded the Sino-Soviet Treaty of Friendship, Alliance and Mutual Assistance. The disastrous outcome of Mao’s “Great Leap Forward”, however, brought the “friendship” to a premature end.
- Topic:
- Security, Diplomacy, International Cooperation, and Leadership
- Political Geography:
- China and Asia
13. China between lockdowns and the 20th Party Congress: What can we expect for the EU and globally?
- Author:
- Jan Hoogmartens
- Publication Date:
- 10-2022
- Content Type:
- Policy Brief
- Institution:
- EGMONT - The Royal Institute for International Relations
- Abstract:
- Whether it is aggressive industrial subsidies, the militarization of the South China Sea, human rights violations in Xinjiang or political suppression in Hong Kong, there is a whole litany of foreign policy concerns which are attributed by media and China watchers to the People’s Republic of China. This policy brief will try to make some sense out of these worries by focusing on how current events might shape the outcome of the 20th Party Congress. It will start by assessing China’s track record and examining some of its main policy drivers. Consequently, it will explore what it means for the EU and its companies doing business with China, focusing on supply chains and strategic autonomy. Finally, the policy brief will come to the question whether we do not focus too much on the great power competition between the US and China.
- Topic:
- Foreign Policy, Hegemony, Leadership, Power, and Competition
- Political Geography:
- China and Asia
14. US-China geoeconomic rivalry intensifies: A risk or an opportunity for European companies?
- Author:
- Jana Titievskaia
- Publication Date:
- 11-2022
- Content Type:
- Policy Brief
- Institution:
- Finnish Institute of International Affairs
- Abstract:
- As the US and China balance between the pursuit of strategic security interests and ambitions to attain economic growth, novel sources of risk are emerging for globally active businesses, ranging from sanctions to export controls. The Biden presidency will offer only moderate respite from the escalation of this geoeconomic rivalry, even as US-China trade recovers in the aftermath of the pandemic. In the face of US-China rivalry, the EU and its member states have opted for the third way of “open strategic autonomy”, including a range of trade instruments that will allow the EU to support the competitiveness of its companies more effectively. European companies need to closely monitor their risk exposure in various transmission channels and stay attuned to unexpected opportunities that can materialise in the form of market entry possibilities and the development of new niches.
- Topic:
- Hegemony, Rivalry, Strategic Interests, and Competition
- Political Geography:
- China, Europe, Asia, North America, and United States of America
15. Central Bank Digital Currencies and the implications for the global financial infrastructure: The transformational potential of Russia’s digital rouble and China’s digital renminbi
- Author:
- Maria Shagina
- Publication Date:
- 01-2022
- Content Type:
- Policy Brief
- Institution:
- Finnish Institute of International Affairs
- Abstract:
- The launch of Central Bank Digital Currencies (CBDC) not only revolutionizes the international financial system, it also represents an opportunity to minimize the exposure to the US dollar transactions and avoid US oversight. China enjoys a first-mover advantage, as it became the first major economy to launch a CBDC. Following in Beijing’s footsteps, Russia is at the forefront of advancing its digital currency project. As US-sanctioned countries, Russia’s and China’s motivation extends beyond transaction costs reduction and financial inclusion: the governments seek to reduce their dependence on the US dollar and mitigate sanctions risks. In the short term, the US dollar’s international status remains unrivalled. No currency is well-positioned to displace the greenback as a reserve currency. In the long term, CBDCs could eliminate the need for third-party intermediaries and allow cross-border transactions that take place outside of the US-led financial system. This would hamper the US’s ability to use sanctions as a geoeconomic tool and oversee their extraterritorial enforcement.
- Topic:
- Finance, Digital Economy, Central Bank, and Banking
- Political Geography:
- China and Asia
16. Russia’s connectivity strategies in Eurasia: Politics over economy
- Author:
- Kristiina Silvan and Marcin Kaczmarski
- Publication Date:
- 06-2022
- Content Type:
- Policy Brief
- Institution:
- Finnish Institute of International Affairs
- Abstract:
- Russia has been attempting to strengthen connectivity within Eurasia since the early 2000s as a part of its policy to “pivot to the East”. Yet due to limited resources and political will, the tangible effects of its connectivity strategy have remained limited. The Russian Far East would greatly benefit from an improved connectivity infrastructure, given its proximity to Asian markets and the abundance of natural resources in the region. However, the attempts to accelerate regional socio-economic development by strengthening the region’s connectivity have failed to make a difference. In post-Soviet Central Asia, Russia adopted a passive approach to connectivity in the 1990s and 2000s, which meant focusing on maintaining and protecting the links inherited from the Soviet Union. It was only the pressure of external actors – both China and the West – that prompted Moscow to take a more active stance in the region in the 2010s. The launch of China’s Belt and Road Initiative pushed Russia to promote its own grand vision of trans-continental connectivity, the Greater Eurasian Partnership, designed to reaffirm Moscow’s great-power status and its equal standing with China. While it lacks economic and administrative foundations and its implementation is highly implausible, it has fulfilled a symbolic role as Russia’s grand connectivity project for Eurasia.
- Topic:
- Economics, Infrastructure, Belt and Road Initiative (BRI), Rivalry, and Resource Allocation
- Political Geography:
- Russia, China, Europe, and Asia
17. China’s Belt and Road Initiative: Successful economic strategy or failed soft-power tool?
- Author:
- Jyrki Kallio
- Publication Date:
- 09-2022
- Content Type:
- Policy Brief
- Institution:
- Finnish Institute of International Affairs
- Abstract:
- The Belt and Road Initiative (BRI) is part of China’s efforts to integrate its neighbouring countries into its economic sphere, thus increasing China’s security in its immediate neighbourhood while facing an increasingly hostile international environment due to its rivalry with the US. In reality, the BRI has evolved into an umbrella term for various infrastructure and development projects with no unified object or strategy. The projects should, in principle, increase goodwill towards China, and correspondingly boost its influence, but in practice they are mainly aimed at economic benefit. The results of the BRI, especially as a soft-power tool, are ambiguous. Its ideational basis is thin, consisting mainly of China’s critique towards the “hegemony of the West”. This reduces the BRI to a hollow slogan with little appeal apart from the pragmatic gains. However, the BRI is here to stay for the duration of Xi Jinping’s rule because China’s foreign policy is often driven by prestige. The BRI is enshrined in the Communist Party’s Constitution in order to both add weight to the initiative and to increase the Party’s prestige with its success, modest as it may be.
- Topic:
- Economics, International Trade and Finance, Infrastructure, Hegemony, and Belt and Road Initiative (BRI)
- Political Geography:
- China and Asia
18. How to Respond to China’s Growing Influence in the Gulf
- Author:
- Louis Dugit-Gros
- Publication Date:
- 07-2022
- Content Type:
- Policy Brief
- Institution:
- The Washington Institute for Near East Policy
- Abstract:
- Beijing’s use of intertwined civil and military tools in the Gulf mirrors its activity closer to home, but the West can readily counter this influence by capitalizing on the region’s desire for diversified partnerships. While the Biden administration works to repair ties with Persian Gulf partners in the wake of Russia’s Ukraine invasion, China is getting more attention for its expanding influence in the Indo-Pacific region, including recent reports of naval deals and military activity in the Solomon Islands and Cambodia. Some commentators have even criticized the White House for letting its resolve against Moscow supposedly delay the long-awaited “pivot to Asia” sought by three successive U.S. administrations. Yet talk of the “pivot” often oversimplifies the geopolitical situation, in particular by ignoring China’s progress in the Gulf. The pivot theory relies on the assumption that Beijing is mainly ramping up its influence in its own neighborhood. In reality, the Chinese strategy is global, and the methods it applies in the Indo-Pacific are being used in similar fashion elsewhere, including the Gulf. Such activities merit closer attention from the West even if they are not the number-one priority at the moment.
- Topic:
- Security, Economics, Strategic Competition, Military, and Energy
- Political Geography:
- China, Asia, and Gulf Nations
19. Ukraine and China: Russian Invasion and After
- Author:
- Vivienne Bath, Rowan Callick, Raffaello Pantucci, Bing Ling, and Jingdong Yuan
- Publication Date:
- 03-2022
- Content Type:
- Policy Brief
- Institution:
- China Studies Centre, The University of Sydney
- Abstract:
- This Understanding China Brief results from a roundtable discussion organized by the China Studies Centre and the Centre for Asia and Pacific Law of Sydney University on 10 March 2022 to examine the legal, political, economic, and international relations issues surrounding China arising from Russia’s invasion of Ukraine.
- Topic:
- Security, Defense Policy, International Cooperation, Military Strategy, and Russia-Ukraine War
- Political Geography:
- Russia, China, Europe, Ukraine, and Asia
20. Why China’s Zero Covid Strategy Might Underwrite China’s High-Quality Development and Common Prosperity Agendas – At Home and Away
- Author:
- Lauren Johnston
- Publication Date:
- 06-2022
- Content Type:
- Policy Brief
- Institution:
- China Studies Centre, The University of Sydney
- Abstract:
- The more than month-long strict ‘Zero-Covid19’ lockdown of Shanghai from April 1, 2022, drew international attention for the fact that one of the world’s richest and most trade-connected cities in the world even could be so shutdown. Economists have expressed fear that the scale of the disruption to China’s middle-class elite and to global supply chains may have lasting negative impacts for China’s economy and globalisation. In a case of making hay while the lockdown sun shines, however, while residents of Shanghai and to some extent also Beijing, have been locked inside, Beijing has been busy announcing some new hukou-related educational and civil administrative reforms. In total contrast to locking Chinese down, these may ultimately and in contrast come to underpin a far more mobile Chinese labour force, a more competitive business environment within China, and even more mobility of Chinese citizens globally. In this way, far from being incongruent with China’s economic development or globalisation, via the parallel hukou-related reforms that took place alongside the distraction of COVID19 lockdowns of early 2022, these may prove to have served to underpin not only China’s ‘high-quality development’ and ‘common prosperity’ agendas, but even the fluidity of the Belt and Road Initiative.
- Topic:
- Governance, Public Health, Pandemic, and COVID-19
- Political Geography:
- China and Asia