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China Sanctions Paraguayan and Belizean Ministers Over Diplomatic Ties with Taiwan

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China has imposed sanctions on Paraguay’s Minister of Communications, Gustavo Villate, and Belize’s Minister of Foreign Affairs, Francis Fonseca, over their countries’ diplomatic relations with Taiwan. The Chinese Foreign Ministry justified the decision as a measure to protect national sovereignty and security. The move once again underscores the importance of the Taiwan issue in China’s foreign policy.

Paraguay and Belize are among the 12 countries that continue to maintain formal diplomatic relations with Taiwan. The sanctions package includes freezing the ministers’ assets and property in China, banning them from obtaining visas and entering the country, and prohibiting Chinese organizations and individuals from engaging in business relations or cooperation with them. However, the sanctions are largely symbolic, as ministers from countries that maintain diplomatic relations with Taiwan generally do not travel to China.

According to Reuters, Chinese authorities described the sanctioned officials as “pawns” and accused them of insulting Beijing. Chinese Foreign Ministry spokesperson Mao Ning stated: “They have seriously interfered in China’s internal affairs, spread false information about Chinese cyberattacks, and attacked and smeared China, causing a bad international impact“

The sanctions were announced two days after Taiwan celebrated its National Day. Paraguay’s Minister of Communications, Gustavo Villate, responded to the occasion in a statement posted on social media, reaffirming his country’s friendly and cooperative relations with Taiwan. He said these ties were based on shared values and principles, including self-determination, human rights, and democracy.

Paraguayan President Santiago Pena has described Taiwan as a “fundamental partner” for the South American country. Earlier this year, he visited Taipei, where the two sides signed several agreements. These covered cooperation in mutual legal assistance in criminal matters, cybersecurity, artificial intelligence, and computing technologies.

Last month, Taiwan’s Foreign Minister, Lin Chia-lung, also visited Belize. According to Taiwan’s Ministry of Foreign Affairs, the two sides agreed to deepen their bilateral relations.

China considers Taiwan part of its territory and does not recognize it as an independent state. Beijing has stated that it does not rule out the use of force to bring Taiwan under its control if necessary. Taiwan’s authorities, in turn, reject Beijing’s claims and maintain the island’s self-governance.

The sanctions provide another example of how China uses diplomatic and economic restrictions in response to issues related to Taiwan. Against this backdrop, Paraguay’s and Belize’s continued relations with Taiwan remain a source of diplomatic tension between Beijing and the two countries.

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Putin’s Aide Visits China: Prospects for a Trilateral Meeting of the U.S., Russian, and Chinese Leaders

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On October 8, Nikolai Patrushev, an aide to Russian President Vladimir Putin, visited China. The Russian delegation included representatives of government agencies, logistics companies, shipbuilding enterprises, and scientific and educational institutions. According to a Russian news agency, the purpose of the visit is to hold negotiations on cooperation in the maritime sector.

Patrushev is the chairman of Russia’s Maritime Board. He has also served as an aide to Putin since 2024. From 2008 to 2024, Patrushev served as secretary of Russia’s Security Council.

Following the meeting between U.S. President Donald Trump and Chinese President Xi Jinping, Patrushev is the first high-ranking official from Moscow to visit Beijing. Experts therefore identify the possibility of arranging a trilateral meeting between Trump, Putin, and Xi Jinping as one potential topic of the talks with Patrushev.

A number of circumstances suggest that a trilateral meeting between Trump, Xi Jinping, and Putin could take place in November on the sidelines of the Asia-Pacific Economic Cooperation (APEC) summit in the Chinese city of Shenzhen. On October 1, Putin responded favorably to a question about the meeting, stating that it was “certainly possible.”

China’s ambassador to Russia, Zhang Hanhui, also commented on the possibility of a trilateral meeting. According to him, such a meeting would be “very beneficial” for “the development and formation of a multipolar world.”

Patrushev’s visit to China demonstrates that relations between Moscow and Beijing continue to develop despite the ongoing war in Ukraine and criticism from the West. Meanwhile, against the backdrop of the “constructive” dialogue between Donald Trump and Xi Jinping, Beijing could play the role of mediator between Washington and the Kremlin.

Source: Kremlin aide visits China amid speculation about potential Xi-Putin-Trump meeting 

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The European Parliament toughens its stance on China

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On 7 October, the European Parliament held a vote on a report on China. The document was supported by 456 Members of the European Parliament, while 86 voted against it and 110 abstained. The report signals a shift in the current dynamics of EU–China relations, as it sets out tougher measures against China.

Although the report does not directly affect the EU’s policy towards China, its tone indicates a trend towards a tougher European policy on Beijing. Unlike previous reports, the document adopted by the European Parliament presents China as the EU’s “systemic rival.” In addition, the report characterises Beijing as a supporter of Russia’s actions in the war in Ukraine. In this regard, it highlights China’s practice of supplying Russia with dual-use goods and facilitating sanctions evasion.

Regarding Taiwan, the report calls on the EU to strengthen security coordination with member states and other democratic partners, including the deployment of naval forces and the conduct of joint exercises, to enhance stability in the Asia-Pacific region.

Against the backdrop of ongoing trade negotiations between Beijing and Brussels, the report states that China’s industrial overcapacity threatens the EU’s industrial sector, while the People’s Republic’s electric vehicle sector poses a “big threat” to European security and the economy.

Despite the support of a majority of MEPs for the report, positions on China differ within Parliament. Centrist and right-wing groups favour pursuing a tougher policy towards Beijing. In their view, China is a systemic rival that understands the language of strength rather than diplomacy.

On the other hand, members of socialist and left-wing groups support dialogue with China. In their view, EU–China relations should not be based on the idea of a bipolar world divided into two blocs, which is “dangerous” and “unproductive.”

Source: “No more dumping, no more spying”: European Parliament hardens line on China

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A New Step in EU-China Trade Negotiations: Meeting in Beijing

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Today, October 7, EU officials responsible for trade issues will travel to Beijing for two days of intensive negotiations with China. The EU delegation will be led by Maros Sefcovic, European Commissioner for Trade and Economic Security, Interinstitutional Relations and Transparency.

On October 8–9, within the framework of the so-called China-EU “Trade and Investment Consultations,” Sefcovic will meet his Chinese counterpart, Wang Wentao. The negotiations aim to address the existing imbalance in China-EU trade relations. In recent months, China’s trade surplus with EU member states has increased significantly.

China-EU relations are facing criticism from several member states. In particular, amid the growth of cheap imports from China, the competitiveness of manufacturing companies in Europe’s industrial centres, including Germany, is declining. As a result, European companies are unable to compete effectively with Chinese corporations, forcing them either to close or scale down their operations. Therefore, the growth of imports from China is potentially associated with the problem of unemployment.

Critics believe that China’s model of state capitalism and its practice of providing state subsidies are harming the EU’s manufacturing sector.

France and Germany are distinguished by their particularly hawkish stance on trade issues with China. On October 5, German Chancellor Friedrich Merz and French President Emmanuel Macron signed a paper providing for the introduction of a new mechanism for regulating foreign trade. The initiative envisages the use of an emergency instrument against countries or companies that engage in unfair trade practices in the European market. According to experts’ assessments, the instrument would enable the EU, if necessary, to exclude China from the European market.

On October 7, China’s Ministry of Commerce expressed hope that France and Germany would refrain from encouraging the EU to resort to protectionist instruments. The ministry called on the parties not to politicize economic and trade issues.

Next week, the leaders of EU member states will meet in Brussels. The results of the negotiations with Beijing will also be discussed at this meeting.

Source: South China Morning Post – ‘Last chance saloon: EU presses China for a sign to prove trade talks can work’

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Beijing Lodges Formal Protest over Japan’s New Defence White Paper

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On August 5, China’s Foreign Ministry said it had lodged a formal protest with Japan over its newly released defence white paper. Beijing accused Tokyo of deliberately amplifying the so-called China threat, making unfounded claims about Taiwan and using them to justify the expansion of its military capabilities.

Japan published its annual defence report on August 4. The document states that China has intensified military activity around Taiwan and that the overall balance of forces across the Taiwan Strait is shifting rapidly in Beijing’s favour. Tokyo describes China’s military activities as a serious threat to Japan and the international community, as well as the country’s greatest strategic challenge.

China’s Foreign Ministry rejected the assessment, insisting that Taiwan is an internal Chinese matter in which Japan has no right to interfere. The ministry described Beijing’s military activities around Taiwan as “legitimate and reasonable“.

Beijing also accused Tokyo of seeking a pretext for its military build-up and gradually weakening Japan’s post-war defence restrictions. Chinese authorities urged Japan to stop using China to justify military expansion and to refrain from interfering in the Taiwan issue.

 

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China Draws Economic “Red Lines” Ahead of Trade Talks with the West

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Ahead of expected trade negotiations with the United States and the European Union, China is signaling that it does not intend to fundamentally alter its economic course, which is centered on manufacturing and high-tech industries. Beijing rejects Western accusations that state subsidies and excess production capacity distort global competition.

At the end of July, the Politburo of the Chinese Communist Party endorsed the continuation of the current economic policy. The leadership emphasized the need for targeted support and stronger domestic demand but did not unveil a new package of large-scale stimulus measures or structural reforms.

According to China’s Ministry of Commerce, allegations of overcapacity are being used to justify discriminatory trade measures against Chinese companies. Beijing argues that industrial and technological development is essential for narrowing the economic gap with advanced economies.

The United States and the European Union, however, maintain that state support, weak domestic demand and the rapid expansion of production capacity give Chinese companies a price advantage in foreign markets. Brussels and Washington identify subsidies, market-access barriers and unequal competitive conditions as key concerns.

Despite its firm rhetoric, Beijing is seeking to address certain domestic imbalances, though it is not considering major concessions. According to Reuters, China is drawing “red lines” ahead of negotiations with the West, signaling which aspects of its economic policy it is unwilling to change.

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Xi Jinping Calls for Stronger Anti-Corruption Efforts in China’s Military

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Chinese President Xi Jinping has called for a deeper fight against corruption within the country’s armed forces and for an acceleration of military modernization. According to information released on July 31, he made the remarks during a thematic study session of the Political Bureau of the Communist Party of China.

Xi said the People’s Liberation Army must remain under the absolute leadership of the Communist Party. He identified combat effectiveness as the primary measure of military development and noted that corruption undermines both the political unity and operational capabilities of the armed forces.

The Chinese leader placed particular emphasis on technological modernization. He said Beijing should accelerate the development of an “intelligent military system”, involving the broader use of unmanned technologies, artificial intelligence, and cyber-information systems in the military sphere.

The remarks were made ahead of the 99th anniversary of the founding of the People’s Liberation Army. During Xi Jinping’s tenure, the anti-corruption campaign has also targeted the military’s senior leadership and procurement system. According to the International Institute for Strategic Studies, the large-scale purge exposed problems within the command structure and affected the military’s combat readiness in the short term.

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China Accuses Germany of Provoking a Trade Confrontation

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China’s Foreign Ministry has urged Germany to focus on cooperation rather than searching for vulnerabilities in the Chinese economy. Ministry spokesperson Mao Ning made the remarks on July 29 in response to a Bloomberg report claiming that Berlin is examining possible leverage against Beijing in preparation for a potential trade confrontation.

According to sources, German officials are analysing trade flows and company data to determine the extent to which China depends on European technology and industrial expertise. The areas reportedly identified include German companies Trumpf and Carl Zeiss, which specialise in high-precision industrial and optical technologies.

Mao Ning said that interdependence within production and supply chains is a natural feature of the globalised economy. She added that China-Germany economic cooperation is based on mutual benefit and that the two sides should strengthen communication and coordination to support the stability of global supply chains.

Germany is seeking to reduce its economic dependence on China, although the Chinese market remains important for its largest companies. China remained Germany’s biggest trading partner in 2025, with bilateral trade in goods reaching approximately €250 billion. Around 5,000 German companies operate in China, increasing the economic risks of a possible trade confrontation for both sides.

Tensions between the two countries are also being fuelled by Germany’s trade deficit, growing competition from Chinese companies and disputes over Chinese state subsidies. While Europe is seeking to reduce its dependence on Beijing, China views such measures as protectionist.

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Beijing Criticizes New US Measures

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Beijing has criticized new US measures involving additional tariffs on Chinese goods and possible restrictions on Chinese companies operating in the artificial intelligence sector.

On July 27, China’s Ministry of Commerce accused Washington of pursuing “hegemonism in the field of artificial intelligence”. The statement followed warnings from senior US officials that Chinese AI companies could face investigations, sanctions and trade restrictions if the unlawful use of American technology is confirmed.

The dispute concerns, among other companies, Beijing-based Moonshot AI and its Kimi K3 model. US officials have accused Chinese developers of extracting data from American artificial intelligence models. China’s Ministry of Commerce said the allegations lacked factual and legal grounds and stated that Beijing would take “all necessary measures” to protect the lawful rights and interests of its companies.

On the same day, Beijing also criticized new US tariffs imposed on 60 trading partners. According to Washington, the decision targets countries that do not take sufficient measures to prevent imports of goods produced through forced labour. The United States imposed tariffs of either 10% or 12.5% on goods from various countries, while Chinese products were subjected to a 12.5% rate. The measures followed investigations conducted under Section 301 of the Trade Act of 1974.

China’s Ministry of Commerce described the decision as unilateral protectionism and called on the United States to remove the tariffs. Beijing said China has appropriate legal mechanisms in place to combat forced labour and argued that Washington’s allegations are being used to justify the introduction of new trade barriers.

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Pakistan Seeks to Revive US-Iran Talks at China’s Initiative

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Pakistan is holding preliminary diplomatic consultations aimed at reviving suspended talks between the United States and Iran. According to Reuters, the initiative originated with China, which is seeking to end nearly five months of military confrontation and restore key regional trade routes.

Foreign media report that the possibility of renewed US-Iran talks was discussed during Iranian Interior Minister Eskandar Momeni’s visit to Islamabad. It was his second visit to Pakistan in the past ten days. Momeni met Prime Minister Shehbaz Sharif and Chief of Defence Forces Asim Munir. According to a Pakistani official, one of the conditions for restarting negotiations is an end to attacks against Saudi Arabia and other Gulf states.

China’s interest is directly linked to its economic and energy priorities. Beijing is Iran’s largest trading partner and the main buyer of its exported oil. The near closure of the Strait of Hormuz and threats to shipping in the Red Sea are disrupting energy and trade routes that are critical to China.

China’s Foreign Ministry says Beijing supports mediation efforts by Pakistan and other parties and will continue to play an active role in restoring peace in the Gulf region. On July 16, China and Pakistan also called on the United States and Iran to halt hostilities and return to dialogue.

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