Asia

Strait of Hormuz: A Geopolitical Risk Ignored by Asia
25Jun mmBy Brian ThompsonNo Comments
Asia

Strait of Hormuz: A Geopolitical Risk Ignored by Asia

The Strait of Hormuz—a 33 km-wide choke point between Iran and the Arabian Peninsula—is arguably the most geopolitically sensitive maritime corridor in the world. Through this narrow waterway flows nearly a fifth of global crude oil production, a lifeline for global economic stability. However, the overwhelming strategic reality remains under-acknowledged: over 80% of oil passing through Hormuz is destined for Asia, and China alone accounts for one-third of the shipments. Given this disproportionate dependency, it is paradoxical that the burden of securing the strait still falls primarily on Western powers, particularly the United States. In a changing global order marked by mounting geopolitical risk, it is time for Asia’s major powers—China, India, Japan, ...
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China’s BRI problem: From builder to debt collector
25Jun mmBy Joe RodriguezNo Comments
Asia, China

China’s BRI problem: From builder to debt collector

China has embarked on very rapid and massive overseas lending since 2013, when it launched the Belt and Road Initiative (BRI). But it has now become the world’s largest debt collector for developing countries’ debt repayments. EAI senior research fellow Yu Hong assesses whether China’s shifting role in global lending will undercut the BRI. The Belt and Road Initiative (BRI), launched in 2013, has positioned China as a central player in global infrastructure financing and development. According to a 2022 report by the World Economic Forum, Chinese enterprises and banking institutions have announced their participation in about 3,800 overseas projects under the BRI since 2013, involving a total investment of US$4.3 trillion towards building roads, railroads, seaports, energy plants a...
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<strong>China’s Electric Vehicle Mirage: Beneath the Shine, a Crisis of Safety and Trust</strong>
23Jun mmBy Brian ThompsonNo Comments
Asia, China

China’s Electric Vehicle Mirage: Beneath the Shine, a Crisis of Safety and Trust

In the global rush toward electrification, China has positioned itself as a leader—touting breakthrough innovation, soaring EV exports, and world-class manufacturing capacity. Yet beneath this polished narrative lies a growing unease. Over recent months, a troubling pattern has emerged: mounting cases of mechanical failures, safety hazards, and consumer dissatisfaction surrounding Chinese-manufactured electric vehicles. These incidents not only challenge the supposed quality of China’s EV industry but expose deeper systemic problems rooted in design, regulation, and market pressures. Chinese electric vehicles, often showcased as cutting-edge alternatives to their Western counterparts, are increasingly falling short of their promises. In one viral incident from March 2025, a Beijing...
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Strait of Hormuz Tensions Spark Economic Jitters Across Asia
22Jun mmBy Brian ThompsonNo Comments
Asia

Strait of Hormuz Tensions Spark Economic Jitters Across Asia

One of the world’s most pivotal maritime chokepoints— the Strait of Hormuz—– has once again emerged as a strategic flashpoint amid escalating military tensions in the Middle East. Iran’s parliament has endorsed a motion to close the strait in direct response to recent U.S. airstrikes on its nuclear and military installations. While formal closure must still receive approval from the Supreme National Security Council, the mere prospect is already rattling global energy markets and unsettling nations that heavily rely on Middle Eastern energy exports. The strait connects the Persian Gulf with the Gulf of Oman and spans just 33 kilometers at its narrowest point, with shipping lanes squeezed into even tighter channels. In 2024, nearly 20 percent of the world’s crude oil—approximatel...
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Asia-Pacific economies brace for trade policy impact
20Jun mmBy Brian ThompsonNo Comments
Asia

Asia-Pacific economies brace for trade policy impact

According to the World Trade Organization (WTO), heightened protectionism among major trading powers is contributing to a gloomy outlook for world trade. The latest KPMG Global Economic Outlook predicts international GDP will decrease from 3.2% in 2024 to 2.7% in 2025, with a slight recovery to 2.8% in 2026. Meanwhile, global inflation is expected to cool from 4.5 percent in 2024 to 3.6% in 2025, reaching 3.1% in 2026. During KPMG International’s Global Economic Outlook webinar, live polling during the broadcast revealed that 34% of attendees identified macroeconomic volatility as their top concern, while 30% cited geopolitical instability. Forty-seven per cent reported that their company’s growth prospects had worsened since January, and only 40% indicated no significant cha...
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Israel-Iran conflict raises Asia’s energy security fears over Strait of Hormuz risks
17Jun mmBy Brian ThompsonNo Comments
Asia

Israel-Iran conflict raises Asia’s energy security fears over Strait of Hormuz risks

Any closure of the strait could choke oil flows vital to Asian economies, analysts warn Escalating conflict between Israel and Iran is raising fresh concerns over Asia’s energy security, analysts said on Tuesday, with any disruption to oil flows through the Strait of Hormuz threatening to destabilise global markets.Roughly 70 per cent of Asia’s crude oil and refined product imports pass through the narrow waterway, which lies adjacent to Iran and connects the Persian Gulf to the Gulf of Oman. The strait remains one of the world’s most critical maritime choke points, particularly for heavily import-dependent Asian economies.The renewed anxiety came after US President Donald Trump left the Group of Seven (G7) summit in Canada a day early on Monday after calling for the evacuation of ...
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Green and digital sectors to drive deeper China-Central Asia economic ties
16Jun mmBy Brian ThompsonNo Comments
Asia

Green and digital sectors to drive deeper China-Central Asia economic ties

In recent years, economic and trade cooperation between China and Central Asian countries has achieved significant success, becoming one of the key drivers of the region's development. China's imports and exports with the five Central Asian countries have expanded from 312.04 billion yuan ($43.47 billion) in 2013 to 674.15 billion yuan in 2024, an increase of 116 percent, according to Chinese customs data, the Xinhua News Agency reported. Thus, China has strengthened its position as one of Central Asia's largest trading and investment partners. China and the Central Asian countries have made significant progress in expanding their cooperation under the Belt and Road Initiative (BRI), achieving tangible results primarily in trade, investment, infrastructure development, and energy. ...
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16Jun By Online DeskNo Comments
Asia

USS Nimitz Leaves South China Sea As Middle East Crisis Intensifies

On Monday morning, U.S. aircraft carrier USS Nimitz exited the South China Sea heading west, according to ship tracking data from Marine Traffic. The move follows the cancellation of a scheduled port visit in central Vietnam. The carrier had planned to visit Danang City later this week, but two sources, including one diplomat, said a formal reception slated for June 20 had been called off. One of the sources said the U.S. Embassy in Hanoi had informed him about the cancellation, due to “an emergent operational requirement”. The embassy didn’t immediately respond to a Reuters request for comment. The Nimitz Carrier Strike Group conducted maritime security operations in the South China Sea last week, as “part of the U.S. Navy’s routine presence in the Indo-Pacific,” accordin...
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What works for Central Asia’s economic resilience?
15Jun mmBy Brian ThompsonNo Comments
Asia

What works for Central Asia’s economic resilience?

The U.S. tariffs war has infringed upon the legitimate rights and interests of more than 180 countries and disrupted the established international trade order, while five Central Asian countries in general have a relatively single trade structure. How can they promote external trade and diversify trade structure to achieve economic resilience amid the lingering trade turbulence? Expanding cooperation with China on cross-border e-commerce and manufacturing China and its five Central Asian neighbors enjoy a high degree of complementarity in bilateral trade. China's manufacturing industry is in a leading position globally. In contrast, five Central Asian countries' trade structure is dominated by resource intensive products such as coal, crude oil, natural gas, agricultural and han...
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<strong>China Moves in: Indonesia’s EV Strategy Shakes Up Global Battery Politics</strong>
4Jun mmBy Brian ThompsonNo Comments
Asia, China

China Moves in: Indonesia’s EV Strategy Shakes Up Global Battery Politics

Indonesia’s flagship electric vehicle (EV) battery consortium has come under the spotlight of the global community following the removal of South Korea’s LG Energy Solution and the potential entry of Beijing-backed Zhejiang Huayou Cobalt. The development has intensified geopolitical and economic concerns about Beijing’s growing dominance in the global EV supply chain. In fact, Huayou had already expressed its interest in the Titan project as early as last year, and it already had “the technology.” The intention was clear: China has been increasing its influence in neighbouring Indonesia’s burgeoning EV supply chain. The $9.8 billion electric vehicle (EV) battery project, also known as the Titan Project, is part of Indonesia’s plan to climb the value chain in battery manufacturing. ...
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