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November 9, 2022

ICAS Bulletin (online ISSN 2836-3418, print ISSN 2836-340X) is published every other week throughout the year at 1919 M St NW, Suite 310, Washington, DC 20036.
The online version of ICAS Bulletin can be found at chinaus-icas.org/bulletins/.

- What's Going On? -

Vocal Diplomacy in Play Once More

President Joe Biden participates in a virtual bilateral meeting with Chinese President Xi Jinping on November 15, 2021, in the Roosevelt Room of the White House. (Source: Official White House Photo by Cameron Smith)

– China’s Xi Jinping made a direct criticism towards Putin’s war in Ukraine—warning not to use nuclear weapons—marking the first direct criticism since the start of the conflict.
– The U.S. and Chinese governments look to arrange a summit between Xi Jinping and Joe Biden in November around the G-20 summit, despite the rising tensions and cancellation of several in-person meetings.
– U.S. Secretary of State Anthony Blinken told China’s Foreign Minister Wang Yi that U.S.-Chinese relations must “return to a normal track.”
– Xi Jinping said on Chinese state media that the U.S. and China “must find ways to get along.”
– In late October, Secretary Blinken accused Beijing of “speeding up” their process of reunification with Taiwan despite Beijing’s consistent denial that they have no plans to speed up the reunification process of Taiwan.
– Despite an overall halt in bilateral negotiations, U.S. and Chinese climate envoys have continued some forms of communications on curbing methane and accelerating the green transition.

Technology Deals on the Table

(Source: Getty Images, Royalty-Free)

– Apple has warned that the Chinese zero-COVID restrictions have caused a “significantly reduced capacity” in their factories, hinting that it has hurt iPhone production.
– The U.S. and Netherlands hold talks on restricting China’s access to advanced chips technologies, Washington looks to block ASML Holding from supplying China.
– U.S. Federal Communications Commissioner Brendan Carr visited Taipei for meetings on 5G, cybersecurity, and telecoms to show U.S. support for Taiwan.
– Decoupling of global supply chains will cause severe economic repercussions in the tech sector, as a consequence of a downturn in U.S.-Chinese relations.
– The Biden administration is weighing controls on Chinese technology, including adding export restrictions to industries like biotechnology and algorithms.
– The Biden administration expects to make a deal with allies to globalize new rules on Chinese access to chip making tools.

Bilateral Confrontations and Accusations Abound

With Spokesperson Ned Price looking on, Special Presidential Envoy for Climate John Kerry addresses reporters at the Daily Press Briefing at the U.S. Department of State in Washington, D.C., on November 2, 2022. (Source: State Department photo by Freddie Everett/ Public Domain via Flickr)

– The Biden administration appears to aim at asserting itself as a global leader on climate action at COP27, pursuing a diplomatic face off with China.
– The U.S. and allies have spoken against China and Russia at the United Nations, accusing both of preventing United Nations Security Council action against North Korea’s weapon usage.
– China’s foreign ministry pinned responsibility on the U.S. for the deterioration of U.S.-Chinese climate talks.
– There is increased concern around rhetoric usage in the U.S.-Chinese relations, with many analysts now stating that increasing tensions through rhetoric can be “sloppy”.
– Analysts have raised concern over the United States’ previous treatment towards the Chinese Ambassador Qin Gang, who has increasingly become involved with policy-making in the Chinese Communist Party.
– The U.S. has accused China of resisting nuclear talks after China placed a new emphasis on policies to boost nuclear deterrence.
– The Biden Administration’s new National Security Strategy, released at the end of October, casts China as the greatest danger to American security and indicates policies to seemingly increase bilateral tensions.
– The Chinese ambassador to South Korea blamed the U.S. for dividing relations between Seoul and Beijing, saying the U.S. is “the biggest external challenge” to their bilateral relations.

Simultaneous Financial Market Rebounds and Declines in Play

Financial stock exchange market display screen board on the street in Hong Kong. (Source: Getty Images, Royalty-Free)

– Chinese markets had a massive surge over the past week due to hopes of improving ties with the U.S. and rumors on a possible relaxing of COVID regulations in China.
– U.S. audit inspectors finished on-site inspections of Chinese companies faster than initially anticipated, marking a strong rise in Chinese markets.
– China’s foreign ministry released a statement that the U.S. has “no right” to interfere with Chinese-German cooperation.
– European car makers look to hold economic stability in Chinese and U.S. markets as European markets fall in response to the war in Ukraine.
– Foreign Investors cut their holdings of yuan-denominated bonds for the eighth consecutive month, causing the yuan to have its longest losing streak since 1994.
– U.S. trade officials have asked their European counterparts to consider export controls on China, despite overall European disinterest in Chinese export controls.
– According to the AmCham Shanghai 2022 poll, the number of American companies expecting annual revenue growth plunged by 29 percentage points this year to 47%, from 82.2% in 2021 amid the zero-Covid rules effects on operations.

Society Tested by Ongoing Distrust & COVID-19

The ‘Fantastic Anniversary’ sign at the entrance of Shanghai Disneyland Park in China in June 2017. (Source: Wikimedia, CC4.0)

– After the recent COVID-19 outbreaks persisted in China, causing Foxconn to adjust its forecast, Apple Inc. released its own warnings of delays for some new iPhones.
– Nieng Yan, dubbed “China’s goddess scientist,” has left Princeton to return to China sparking Chinese rallying behind patriotic moves from the academic amid a trade war.
– Shanghai Disneyland barred visitors from leaving in accordance to zero-COVID polities, leaving many stranded in the park until a negative test could be provided.
– The China Project, a New York-based, China-focused news, information, and business services platform, is being investigated by the U.S. Republican lawmakers for claims of having ties to the Chinese government.
– The Chinese foreign ministry office in Hong Kong described U.S. support for Hong Kong media tycoon Jimmy Lai, as proof of “sinister intentions” to destroy the city’s prosperity.
– 1,400 U.S.-based ethnic Chinese scientists have left U.S. institutions in favor of academic institutions in mainland China, showcasing trends of discrimination in the U.S. and desires for academics to return to mainland China.

- What Are We Reading? -

- What's Happening Around Town? -

Past Events

November 4 hosted by South China Morning Post

November 3 hosted by Foreign Policy

November 1 hosted by Foreign Policy

October 27 hosted by Center for a New American Security

October 26 hosted by The China Project

October 26 hosted by US-China Business Council

Upcoming Events

November 17 hosted by Center for Strategic and International Studies

November 18 hosted by Harvard University

November 9 hosted by Brookings

November 9 hosted by The Heritage Foundation

November 9 hosted by the Carnegie Endowment for International Peace



- What ICAS Is Up To -

ICAS 2022 Annual Conference

On November 2nd, the Institute for China-America Studies (ICAS) organized its 2022 Annual Conference. Given the lingering effects of the COVID-19 pandemic, the conference was conducted in a hybrid mode with a mix of in-person and virtual participation, and with a virtual audience tuning in from both sides of the Pacific. The conference was opened by Dr. Hong Nong, Executive Director of ICAS and the introductory remarks were delivered by Dr. Wu Shicun, Chairman of ICAS’ advisory board. In his remarks, Dr. Wu lamented the fact that despite the hope that the Biden administration would gradually return the U.S.-China relationship to a more normalized path of common cooperation, this has not turned out to be the case. He noted that the United States and China are not a democracy and an autocracy that are fated to indulge in ‘extreme competition’ but are two major countries that share an important responsibility to mutually uphold peace, prosperity and stability in Asia and the world. He urged the two sides to once again re-establish contacts, damaged by the regrettable Pelosi visit to Taipei, and summon the resolve to work constructively to tackle the common bilateral, regional and global challenges. Hopefully, President Xi and President Biden will seek inspiration in the relationship that Chairman Mao and President Nixon forged 50 years ago and will inaugurate a new era of ‘stable, constructive and cooperative coexistence’ that lasts for the next decade and beyond.

Opening Session of the ICAS Annual Conference on November 2, 2022 out of Washington, DC. Left-to-right: Mr. Gordon Houlden (University of Alberta, China Institute), Minister Jing Quan (Embassy of the P.R.C. to the United States), and Dr. Nong Hong (Executive Director at ICAS). (Source: ICAS)

KEYNOTE DIALOGUE: Mr. Jing Quan (Minister, Embassy of the PRC) and Ms. Susan Thornton (Yale University)

MODERATOR: Gordon Houlden, China Institute, University of Alberta

PANEL I: U.S.-CHINA STRATEGIC RIVALRY IN THE BIDEN ERA

SPEAKERS:

– Michael Swaine, Quincy Institute for Responsible Statecraft

– Dennis Wilder, Georgetown University

– Da Wei, Tsinghua University

– Huang Jing, Shanghai International Studies University

MODERATOR: Gordon Houlden, China Institute, University of Alberta

PANEL II: U.S.-CHINA TRADE AND TECHNOLOGY DECOUPLING

SPEAKERS:

– Paul Triolo, Albright Stonebridge Group

– Huang Yukon, Carnegie Endowment for International Peace

– William Reinsch, Center for Strategic & International Studies

– Denis Simon, Duke University

MODERATOR: Liu Yawei, The Carter Center

 

ICAS Past Event

4th China-U.S.-Canada Trilateral Relations Roundtable

November 3, 2022

Washington, DC & Virtual

On Thursday, November 3, 2022, the 4th China-U.S.-Canada Trilateral Relations Roundtable was held in a hybrid format, with some participants joining via Zoom and others gathering at the ICAS office in Washington, DC. Conducted under Chatham House rules, the roundtable consisted of two panels—one on Politics & Security and the other on Trade, Technology & Climate. In each panel, participants from Canada, the United States and China contributed their own expertise on a related topic of their choice. The panelist presentations were then followed by a moderated group question and discussion time. The event also included introductory and closing remarks by senior officials from the institutions co-sponsoring the roundtable: the National Institute for South China Sea Studies, the Carter Center, and the China Institute, University of Alberta…

ICAS Commentary

Xi needs to talk modestly and carry a bigger (reform) stick

By Sourabh Gupta
October 25, 2022

Almost five years to the day that he inaugurated a ‘new era of socialism with Chinese characteristics’, General Secretary Xi Jinping returned to the Great Hall of the People to renew his ‘common prosperity’-based agenda of modernisation and national rejuvenation.

…The conceptual elegance of Xi’s policy design, the judiciousness of the planning horizons and the timeliness of the transition from high-speed growth to higher-quality growth cannot be faulted. China stands at the trough of its U-shaped ‘Kuznets curve’ from an income inequality standpoint.

But it bears remembering that no East Asian state has worked its way up the ‘Kuznets curve’ — which models the relationship between economic development and inequality — without becoming a multi-party democracy of some sort…

This commentary was originally published on East Asia Forum on October 25, 2022″

ICAS Book Chapter

“Destined to Disappoint: The Quad as Part of the United States' Indo-Pacific Strategy”

By Sourabh Gupta
(World Scientific, December 2022)

This volume is part of a larger collection: Security, Development and Sustainability in Asia: A World Scientific Reference on Major Policy and Development Issues of 21st Century Asia (Volume 1: Geopolitics, Security and Foreign Policy). Volume 1 unpacks and examines geopolitics and foreign policy strategies of key Asian states in response to major security challenges associated with growing US-China rivalry. 

ICAS In the News

On Thursday, November 3, 2022, the ICAS 2022 Annual Conference Keynote Dialogue was discussed by the South China Morning Post, echoed by 

On Thursday, November 3, 2022, the ICAS 2022 Annual Conference Keynote Dialogue was discussed by Bloomberg, echoed by Alarabiya News, echoed by Yahoo!, and echoed by Hindustan Times.

On Friday, November 4, 2022, the ICAS 2022 Annual Conference Keynote Dialogue was mentioned by Japan Times in a discussion on ‘sloppy’ U.S. talk on China’s threat, echoed by The Straits Times.

On Friday, November 4, 2022, the ICAS 2022 Annual Conference Keynote Dialogue between Susan Thornton and Minister Jing Quan was discussed by The Wall Street Journal (Chinese), echoed by the US-China Perception Monitor.

On Friday, November 4, 2022, the ICAS 2022 Annual Conference Keynote Dialogue’s speech by Minister Jing Quan was covered by Taipei Times.

On Tuesday, November 8, 2022, the ICAS 2022 Annual Conference Keynote Dialogue’s speech by Minister Jing Quan was referenced by Newsweek in an article about a Pentagon official discussing China and Taiwan.

On Tuesday, November 8, 2022, the ICAS 2022 Annual Conference Keynote Dialogue speech by Minister Jing Quan was discussed by DW.