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Secretary of State Rubio reaffirms U.S. Commitment to the Philippines in Discussion on China’s ‘Dangerous’ Actions

Newswire / /

U.S. Secretary of State Marco Rubio held a discussion on Wednesday with his Philippine counterpart, focusing on China’s “dangerous and destabilizing actions in the South China Sea.” Rubio emphasized the “ironclad” U.S. defense commitment to the Philippines during their exchange.

According to a statement from the U.S. State Department, Rubio highlighted that China’s actions “undermine regional peace and stability and are inconsistent with international law” during his conversation with Philippine Foreign Minister Enrique Manalo.

Rubio assured Manalo of the U.S. ‘ steadfast obligations under the Mutual Defense Treaty and explored avenues to enhance security cooperation, strengthen economic ties, and deepen regional partnerships.

In recent years, the Philippines has encountered repeated maritime disputes with China, particularly concerning contested areas in the South China Sea that lie within Manila’s exclusive economic zone.

Rubio’s remarks followed his meeting with officials from Australia, India, and Japan as part of the Quadrilateral Security Dialogue (The Quad), a China-focused coalition. This meeting, held the day after President Donald Trump resumed office, underscored a unified commitment to addressing Beijing’s influence in the Indo-Pacific.

The Quad members and the Philippines share concerns about China’s expanding influence, with analysts noting that Tuesday’s meeting aimed to demonstrate continuity in the Indo-Pacific and reaffirm that countering Beijing would remain a key focus for Trump.

China, through its foreign ministry, has described its actions in the South China Sea as “reasonable, lawful, and beyond reproach.” Spokesperson Mao Ning asserted that the U.S. was “not a party” to the disputes and had “no right to intervene” in maritime issues involving China and the Philippines. She further stated, “Military cooperation between the U.S. and the Philippines should not undermine China’s sovereignty and maritime rights and interests in the South China Sea, nor should it be used to endorse the illegal claims of the Philippines.”

The Philippine defense department, in a separate statement, noted that the country was among the first to engage with the new U.S. administration on critical security issues. Philippine Defense Secretary Gilberto Teodoro met with U.S. National Security Adviser Mike Waltz at the White House on Thursday, reaffirming the enduring alliance between the two nations.

Shortly before Trump’s inauguration, the Philippines and the U.S. conducted their fifth round of joint maritime drills in the South China Sea since initiating such activities in 2023.

According to Reuters, under Philippine President Ferdinand Marcos Jr., security cooperation with the U.S. has significantly increased. The Marcos administration has strengthened ties with Washington, permitting the expansion of U.S. access to military bases in the Philippines, including facilities positioned near Taiwan, a democratically governed island claimed by China.

Secretary of State Rubio reaffirms U.S. Commitment to the Philippines in Discussion on China’s ‘Dangerous’ Actions Read More »

New Challenge to China: Trump’s Plan to Reclaim the Panama Canal

Newswire / /

The 47th President of the United States of America, Donald Trump, spoke about his foreign policy plans in his inauguration speech and promised to return the Panama Canal to the United States.

In his speech, Trump noted that the Panama Canal was built by the US in the 1900s, and was eventually given to Panama in 1977 under a treaty that guaranteed the canal’s neutrality, but that it was a “foolish gift” and should never have been made.

Trump has accused Panama of breaking conditions of the 1999 treaty, that handed the strategic waterway to Panama. In addition, according to the newly elected president of the USA, Panama has completely transferred the operation of the canal to China. “First of all, China controls the Panama Canal. We did not hand it over to China. We gave the canal to Panama, and now we are taking it back“, – said Trump.

The Panama Canal is one of the most important trade routes of the United States. About 5% of global maritime trade passes through the 51-mile-long Panama Canal. Also, thanks to the Panama Canal, about 40% of all US container ships pass through the waters of the Atlantic and Pacific oceans. Therefore, it has strategic importance for the USA.

Trump also emphasized that American ships have to pay extremely high taxes and are treated unfairly in every way, including the US Navy.

Last week, Marco Rubio, Trump’s nominee for secretary of state, told the Senate that Trump’s concerns about this issue were very legitimate because Chinese companies control both ends of the Panama Canal, and if a conflict were to arise, the Chinese could easily demand the closure of the Panama Canal and do not let the United States go through it. This is a big challenge for both economic and national defense and security. 

Hong Kong’s Hutchison Whampoa operates two ports – Balboa Port, which operates on the Pacific side, and Cristobal Port, which operates on the Atlantic side.

President of Panama Jose Raul Molino responded to Trump’s statement by completely denying the accusation. In a post published on X, Mulino also touched on historical narratives, noting that the transfer of control of the canal to Panama under the 1977 agreement was not a gift but the result of a generational struggle that culminated in 1999. He also noted: “There is not a single nation in the world that interferes with our administration.” He promised that Trump would not be able to implement his plan and that the main trade route would remain in the hands of Panama.

New Challenge to China: Trump’s Plan to Reclaim the Panama Canal Read More »

Who will attend Donald Trump’s inauguration from China?

Newswire / /

Donald Trump invited the president of China, Xi Jinping, to the Inauguration ceremony on January 20th. However, according to the statement made by the Chinese Foreign Ministry, the Vice President of China, Han Zheng, will be the one attending the ceremony. The statement also underlines the readiness to work with the US government to “pursue stable, healthy and sustainable China-US relations.”

Notably, Trump is the first US president to invite world leaders to the Inauguration ceremony. Despite Xi Jinping’s non-attendance, it is believed that sending the Vice President is symbolic since this action will avoid bruising Trump’s ego.

It is interesting that a phone call took place between Donald Trump and Xi Jinping on January 17th. According to the elected US president, they talked about trade, fentanyl, and  TikTok, as well as other topics, and have agreed to do everything to make the world a “peaceful and safe” place. The Foreign Ministry of China also commented on the dialogue, in which Xi mentioned that two-sided talks are important for both sides and hopes for a good start to USA-China relations during Trump’s second term.

Aside from the above-mentioned, Han Zheng used the Inauguration visit to meet the close circle of Donald Trump – including Tesla CEO Elon Musk, with whom he discussed the trade between the US and China and called on American companies to promote it.  Apart from this, the Chinese Vice President met with the future US Vice President, JD Vance. They discussed topics such as trade and regional security. According to the Chinese state media, Xinhua, Han Zheng talked about the differences between the two states as well but highlighted the space for cooperation, too.

Who will attend Donald Trump’s inauguration from China? Read More »

Chinese hackers’ attack on the computer of the U.S. Treasury Secretary Janet Yellen

Newswire / /

US Treasury Secretary Janet Yellen’s computer was breached, with unclassified files accessed as part of a broader cyberattack on the department attributed to Chinese state-sponsored hackers, according to two individuals familiar with the situation.

The attackers also infiltrated the computers of two of Yellen’s deputies, Deputy Secretary Wally Adeyemo and Acting Under Secretary Brad Smith, said the sources, who requested anonymity due to the sensitive nature of the information. According to one of the sources, fewer than 50 files were accessed on Yellen’s device.

The hackers appeared to concentrate on the Treasury’s functions related to sanctions, intelligence, and international affairs. However, they did not gain access to the department’s email or classified systems, according to a Treasury report previously reviewed by Bloomberg News.

In addition to breaching the computers of top Treasury officials, the hackers infiltrated more than 400 laptop and desktop devices. They obtained usernames, passwords, and over 3,000 files stored on unclassified personal devices, the report reveals.

The intruders also accessed “law enforcement sensitive” information and materials related to investigations by the Committee on Foreign Investment in the U.S., which evaluates the national security risks of certain foreign investments, according to the Treasury report.

BeyondTrust Corp., a software contractor, notified the Treasury on December 8 that hackers had exploited its networks to compromise the department. Treasury then sought assistance from the Cybersecurity and Infrastructure Security Agency, the FBI, and other intelligence agencies.

Investigators attributed the breach to a Chinese state-sponsored group known in cybersecurity circles as Silk Typhoon or UNC5221.

Chinese officials have consistently denied U.S. accusations of state-sponsored hacking. Last month, a spokesperson for China’s foreign ministry dismissed claims that the government was responsible for the Treasury breach as “unwarranted and groundless.”

“China has always opposed all forms of hacker attacks,” Mao Ning, a spokesperson for China’s foreign ministry, said at the time.

In 2023, China was also accused of breaching the email accounts of key U.S. government officials, including Commerce Secretary Gina Raimondo and U.S. Ambassador to China Nicholas Burns, as reported by The Wall Street Journal.

Chinese hackers’ attack on the computer of the U.S. Treasury Secretary Janet Yellen Read More »

Guide to Sustainable Policies of Major Financial Institutions

Research / /

The guideline, developed by Civic IDEA with the support of CAPS Unlock, provides an in-depth overview of the environmental and social policies adopted by major international financial institutions (IFIs) to promote responsible and sustainable development. It covers the frameworks established by the following IFIs:

World Bank (WB) Asian Development Bank (ADB) European Bank for Reconstruction and Development (EBRD) European Investment Bank (EIB) Asian Infrastructure Investment Bank (AIIB)

The guidebook outlines the policies these institutions require borrowers to follow, ensuring that projects minimize negative impacts on communities and the environment. It emphasizes sustainability by mandating comprehensive risk assessments and the implementation of safeguards to address issues such as biodiversity loss, pollution, and social disruption. A core focus is placed on transparency, stakeholder engagement, and responsible project management throughout the entire development process.

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US Investigation Finds China Using “Unfair” Practices In the Maritime Sector; What Could Happen Next?

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The Biden administration has determined that China employs “unfair policies and practices” to dominate the global shipbuilding, logistics, and maritime sectors, according to three sources familiar with the findings of a months-long trade investigation.

The U.S. Trade Representative (USTR), Katherine Tai, initiated the investigation in April 2024 following a petition from the United Steelworkers and four other U.S. unions. The probe was conducted under Section 301 of the Trade Act of 1974, which allows the U.S. to impose penalties on foreign nations engaging in practices deemed “unjustifiable,” “unreasonable,” or detrimental to U.S. commerce.

Investigators found that China specifically targeted the shipbuilding and maritime sectors for global dominance. They concluded that the country utilized “financial support, barriers for foreign firms, forced technology transfer, intellectual property theft, and procurement policies” to bolster its competitive edge, according to one source who spoke on the condition of anonymity. The report also highlighted that Beijing “severely and artificially suppressed China’s labor costs in the maritime, shipbuilding, and logistics sectors,” the source added.

Although the findings have not been officially confirmed or denied by U.S. officials, they come at a time of growing competition between the two largest economies and as Washington seeks to reduce reliance on Chinese manufacturing and supply chains by rallying allied nations.

Shipyards in Asia, including those in South Korea and Japan, may see some benefits if penalties are imposed on China’s shipbuilders. However, analysts and a senior executive from a major Chinese shipbuilding firm noted that China’s shipbuilding industry, due to its sheer scale and cost advantages, remains robust enough to withstand such measures in the short term. 

According to the data cited by the US probe, China’s share of global shipbuilding has expanded to over 50% in 2023.

“China’s shipbuilders have overtaken the Japanese and the Koreans and everyone under the sun,” said James Chin, a professor of Asian studies at the University of Tasmania.

Chin added that Chinese shipbuilders are “safe in the near term – up to roughly 24 months – from any measures that the U.S. might take.”

US Investigation Finds China Using “Unfair” Practices In the Maritime Sector; What Could Happen Next? Read More »

The Road to Dependency: Chinese Banks Eyeing Georgia

New, Research / /

A new report by Civic IDEA examines a key development stemming from the Sino-Georgian strategic partnership: the potential entry of Chinese banks into the Georgian market.

The report highlights recent meetings between the central banks of Georgia and China, during which the National Bank of Georgia consistently expressed interest in the presence of Chinese state-owned banks in Georgia.

It also addresses the risks and challenges linked to Chinese financial institutions, citing examples of “debt-trap diplomacy” in countries such as Sri Lanka, Tajikistan, and Montenegro.

The Road to Dependency: Chinese Banks Eyeing Georgia Read More »

EU-China Trade Tensions

Newswire / /

Beijing has criticized the European Union for imposing unfair trade barriers on Chinese companies, as the world’s second-largest economy prepares for the possibility of new U.S. tariffs following Donald Trump’s anticipated return to the White House at the end of January.

China’s Ministry of Commerce has published the findings of an investigation, claiming that the European Commission’s selective enforcement of competition policy unfairly discriminates against Chinese companies. In October, the EU increased tariffs on electric cars made in China. Beijing argues that the definition of “foreign subsidies” is subjective and causes unfair harm, warning that it should anticipate retaliation.

A 20-page report from the Chinese Ministry of Commerce indicates that the European Commission has consistently warned companies about potential retaliatory actions for violating regulations and has threatened them with substantial fines. Furthermore, the report claims that some Chinese companies were forced to cancel projects to have investigations against them dropped. According to the Chinese Ministry of Commerce, this has resulted in losses exceeding 15.6 billion yuan, equivalent to approximately $2.13 billion.

Last year, the European Union initiated an investigation into a Chinese train manufacturer that planned to supply trains to Bulgaria. The scope of the investigation was later expanded to include Chinese-owned solar panel companies attempting to build a photovoltaic park in Romania. Additionally, European authorities conducted raids on the Dutch and Polish offices of Nuctech, a Chinese security equipment supplier. In response, Beijing launched its own trade investigation into European products, which could result in increased tariffs on luxury car imports from the EU.

China and the European Union share a strong “symbiotic” economic relationship, and President Xi Jinping expressed hope that the bloc can become a “reliable partner for cooperation” during his conversation with European Council President Antonio Costa on Tuesday. The EU official emphasized the need for Beijing to play a role in contributing to a just and lasting peace in Ukraine.

The EU’s foreign subsidy regulation is designed to safeguard businesses within the bloc’s 27 member states from unfair competition. The regulation grants Brussels the authority to investigate instances where state subsidies are suspected of distorting market conditions.

EU-China Trade Tensions Read More »

China-Russia trade relations reach record highs amid US sanctions

Newswire / /

In 2024, the trade volume between China and Russia increased significantly. The value of Chinese imports and exports to Russia in 2024 was 1.75 trillion yuan ($237 billion), a record high. The value of China-Russia bilateral trade has reached 244.8 billion dollars in 2024, which is 4 billion more than the previous year.

According to the General Administration of Customs of China, China-Russia yuan-denominated trade value increased by 2.9% in 2024 compared to 2023, although this growth was much slower than in 2023. At the same time, the supply of Chinese goods to Russia in 2024 increased by 5% in yuan terms in 2024 compared to the previous year, which is sharply below the 53.9% increase in 2023.

Such close economic ties between China and Russia have long been a subject of attention for America. Back in July 2024, Biden made a clear statement that China and Xi Jinping would definitely have to be held accountable for providing Russia with a lot of help in the fight against Ukraine.

According to Russian President Vladimir Putin, the main challenge for trade between China and Russia is the agreement on settlement and payment methods for each other. Despite this, Putin emphasized that in 2024 the relations between the two states reached an unprecedented level, which he assessed as a positive process. In his New Year’s greetings to Putin, Chinese President Xi Jinping expressed a similar position and said that China and Russia have always “hand in hand” moved forward in the right direction. Russia’s state news agency RIA also reported a promise made by Moscow’s ambassador to Beijing in December that Xi Jinping would visit Russia in 2025.

Increased trade between China and Russia is due to Western sanctions against Russia. As Alfredo Montuffar-Helou, head of the China Center of the Conference Board, a US-based think tank, states, Russian consumers have fewer alternatives to choose from in the domestic market due to Western sanctions, which increases the demand for Chinese goods. According to his prediction, the trade between these two states will continue in 2025 as well, as China becomes a bigger market for Russian exports, Chinese products fill the deficit caused by the limited supply of products from Western countries to the Russian market.

However, this bilateral trade will face a big test in 2025. On January 10, the US Treasury Department announced the imposition of additional sanctions against the Russian energy sector. The sanctions target Gazprom Neft and Surgutneftegaz, two of Russia’s most important oil producers and exporters, as well as block 183 vessels to cut Moscow’s energy revenues. The States believe that the energy industry is the Kremlin’s main source of income, which allows it to finance military aggression in Ukraine.

Cui Dongshu, the general secretary of the China Passenger Car Association, told Chinese media that in 2025, the export of cars to Russia may even decrease, which is caused by the increase in taxes.

US Treasury Secretary Janet Yellen warned Chinese Vice Premier He Lifeng during the talks that Chinese firms would face repercussions and consequences if they provided material aid to Russia against Ukraine.

China-Russia trade relations reach record highs amid US sanctions Read More »

EMERGING CONCERN Chinese Surveillance Cameras in Georgia

New, Research / /

A new report by Civic IDEA explores an emerging dimension of China-Georgia law enforcement cooperation: the procurement of Chinese surveillance technology by Georgian government institutions.

Drawing on publicly available data, the report examines state procurement of Chinese surveillance cameras between 2019 and 2024, revealing a growing trend in the acquisition of this technology by Georgian authorities.

The report’s final section highlights the significant challenges associated with Chinese surveillance technology, including data insecurity, vulnerability to cyber-attacks, human rights concerns, and close ties to the Chinese Communist Party. These issues have led to the banning of Chinese surveillance technology in several Western countries.

CHINESE SURVEILLANCE CAMERAS REMAIN A GLOBAL CONCERN

EMERGING CONCERN Chinese Surveillance Cameras in Georgia Read More »

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