In Growth Dragons this week:
US and China Started Talking Again But Still Going Nowhere
The Enemy of my Enemy is My Friend
Prof Tan Kong Yam talks China at Maybank Invest ASEAN
618 Shopping Festival Results - Good or Bad?
US and China Started Talking Again But Still Going Nowhere
Following the 'balloon incident', Antony Blinken, the Secretary of State of the United States, embarked on his long-awaited visit to China. This visit holds great significance as it marks the highest-level American official's presence in China in almost five years.
The world hopes to see the two biggest superpowers can live peacefully with each other for everyone’s benefit, and the resumption of talks between them is a promising development.
During his two-day visit, Blinken had a 35-minute meeting with Chinese President Xi Jinping, representing a key moment of their engagement.
Specific details about the discussions and the issues on which agreement was reached during Blinken's meeting with Xi Jinping in China remain undisclosed. The only thing we know is that they agree to talk further and the meeting was to agree to more meetings in the future.
Antony Blinken has extended an invitation for Qin Gang, China's Foreign Minister, to visit the U.S. Additionally, there are expectations for a meeting between President Biden and Xi Jinping in November.
Shortly after Blinken's visit, President Biden referred to Xi Jinping as a dictator during a fundraiser event in California, which stirred controversy.
“The reason why Xi Jinping got very upset in terms of when I shot that balloon down with two box cars full of spy equipment is he didn’t know it was there… That was the great embarrassment for dictators, when they didn’t know what happened. That wasn’t supposed to be going where it was.”
China's Ministry of Foreign Affairs strongly criticized Biden's remarks, deeming them "ridiculously absurd and irresponsible." Biden, however, dismissed concerns and maintained that his comments would not undermine diplomatic efforts aimed at repairing the strained relationship between the two countries.
Biden probably had a freudian slip as his comment may reflect a genuine perception of Xi as a dictator or may be indicative of internal discussions within the White House. The incident raises questions about the sincerity of the US in repairing the relationship. China may perceive these remarks, coupled with the US strengthening ties with China's adversaries, as signs of insincerity in improving relations. This complex dynamic highlights the mixed signals being sent by the US—expressing a desire for dialogue while simultaneously making contentious statements and aligning with China's rivals.…
The Enemy of my Enemy is My Friend
Indian Prime Minister Narendra Modi made a visit to the U.S., which is remarkable considering that he was previously denied a visa for almost a decade due to concerns about religious freedom violations.
The sudden change in attitude towards Modi begs the question: What prompted this shift?
The answer lies in China.
In an effort to counterbalance China's influence, the United States appears willing to overlook human rights concerns, India's reluctance to condemn Russia regarding the Ukraine invasion, as well as its procurement of Russian weapons and oil. The strategic focus on countering China seems to have outweighed these other factors.
As part of its strategy to curb China's influence, the U.S. aims to bolster China's adversaries. India, now with a larger population than China, is considered a hostile neighbor sharing a border with China, making it an ideal candidate for strengthening as a countermeasure against China's ascent. By empowering India, the US aims to create a balance of power that can effectively counter the growing influence of China.