UNITED FRONT TARGETS TAIWAN'S RELIGIOUS TEMPLES
China's Taiwan Affairs Office and United Front Work Department are targeting the leaders of Taiwanese religious groups and local officials, with an eye toward using them to distribute PRC propaganda. Official religious groups under the State Administration for Religious Affairs, provincial Taiwan affairs offices, and state-run think tanks invite Taiwanese religious leaders to visit the mainland for "sightseeing trips" and/or conferences. While in China, participants receive propaganda that Taiwan's religions are originally derived from China, and are encouraged to support Beijing's preferred political candidates when they return home. (Taipei Times, July 7, 2024)
TAIWANESE NAVY OFFICER INDICTED FOR GIVING INTEL TO CHINA
A navy officer from Taiwan has been indicted for leaking military intelligence to China for NT$170,000 ($5220). On four occasions between April 2022 to February 2023, the officer, surnamed Chen, used his phone to photograph classified military personnel, training, and base information at the Navy Recruit Training Centers in Yilan and Pingtung, and then shared them with his Chinese handler using apps like LINE and Telegram. Chen was recruited in an online chat group on how to reduce debts and financial pressure. (Focus Taiwan, July 9, 2024)
CHINA CUTS BANKERS' PAY
PRC authorities are capping salaries at state-backed financial institutions at 3 million yuan ($413,000). Prior to 2019, base pay for brokers at the largest state-backed investment banks often surpassed 10 million yuan. Between 2019 and the end of 2023, however, average pay for the top executives in China's largest banks has dropped 48%. For instance, Citic Securities, China's largest investment bank, has cut base pay for more than 100 bankers at its Hong Kong-based subsidiary. Under the new rules, it will be hard for Chinese banks to compete with the likes of Goldman, Morgan Stanley and UBS to hire the best bankers. (Reuters, July 8, 2024)
U.S. PUTS TARIFFS ON PRC STEEL AND ALUMINUM ROUTED VIA MEXICO
The Biden administration hopes to stop importers from circumventing U.S. tariffs on PRC steel and aluminum by routing it through Mexico. Washington will impose a 25% tariff on Mexican steel poured outside of North America, and a 10% tariff on Mexican aluminum if it contains metal smelted or cast in China, Belarus, Iran or Russia, said Lael Brainard, head of the National Economic Council. "Chinese steel and aluminum entering the U.S. market through Mexico evades tariffs, undermines our investments, and harms American workers in states like Pennsylvania and Ohio," she added. (New York Times, July 10, 2024)
JAPAN TO SUBSIDIZE ANTIBIOTICS TO REDUCE RELIANCE ON CHINA
To reduce its reliance on Chinese suppliers, Japan will provide 55 billion yen ($341 million) in subsidies to domestic manufacturers of active ingredients for antibiotics. In Japan, the ingredients for antibiotics used in surgeries come almost entirely from Chinese suppliers, which produce at scale and with lower costs, making it hard for Japanese producers to compete. Whether subsidies alone will be sufficient to stoke domestic production and alleviate Japan's dependence on China remains unclear. Some pharmaceutical companies argue government set drug prices also need to rise. (Nikkei Asia, July 5, 2024)
Want these sent to your inbox?
Subscribe
