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1. Turning point? Putin, Xi, and the Russian invasion of Ukraine

Author:
Bobo Lo
Publication Date:
05-2022
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
Putin’s war in Ukraine has highlighted the resilience but also the limitations of Sino–Russian partnership. Far from being an “arc of autocracy”, this is an interests-based relationship between strategically autonomous powers. Foreign policy coordination between China and Russia is limited by their different views of global order. Beijing is invested in a stable international system, albeit one skewed in its favour, whereas Moscow thrives on disorder and uncertainty. Xi Jinping aims to preserve the Sino–Russian partnership while maintaining ties with the West. But Beijing’s balancing act will become harder to sustain as the war continues. The balance of power within the bilateral relationship has tilted sharply towards Beijing. Russia is more reliant on China than ever. The long-term outlook for the relationship is unpromising.
Topic:
Foreign Policy, Bilateral Relations, Partnerships, Conflict, and Vladimir Putin
Political Geography:
Russia, China, and Ukraine

2. Revising down the rise of China

Author:
Roland Rajah and Alyssa Leng
Publication Date:
03-2022
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
China will likely experience a substantial long-term growth slowdown owing to demographic decline, the limits of capital-intensive growth, and a gradual deceleration in productivity growth. Even with continued broad policy success, our baseline projections suggest annual economic growth will slow to about 3% by 2030 and 2% by 2040, while averaging 2–3% overall from now until 2050. China would still become the world’s largest economy, but it would never enjoy a meaningful lead over the US and would remain far less prosperous and productive per person even by mid-century.
Topic:
Demographics, Economy, Economic Growth, and Strategic Competition
Political Geography:
China, Asia, and United States of America

3. WeChat’s role in Australian democracy: A grassroots view

Author:
Xueyin Zha
Publication Date:
08-2022
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
The social media messaging app WeChat is often portrayed in expert and media commentary as being inherently incompatible with democracy in Australia because the platform is subject to the scrutiny and censure of China, an authoritarian one-party state. This study provides the first in-depth snapshot of how politicians and everyday Chinese-Australians use WeChat at the grassroots level during council elections. It finds that WeChat, in these circumstances, can be broadly compatible with liberal democracy and significantly enhances democratic participation in a multicultural society. Using the December 2021 New South Wales (NSW) local elections as a case study, this paper analyses qualitative data collected from private group chats, interviews with Chinese-Australian politicians, and editors from media outlets on WeChat. The study finds that, overall, the app expanded, rather than restricted, Chinese-Australian voters’ access to quality news content to better inform their choices at the ballot box. The platform was used to bridge gaps in the provision of public services and information to Chinese-Australian communities and facilitated their civic engagement. Despite its benefits, WeChat is afflicted by issues relating to censorship, transparency, online polarisation, and mis- and disinformation. Australia’s stark political differences and fraught bilateral relations with China add additional layers of complexity to managing these challenges. However, improved oversight and governance arrangements, alongside enhanced funding for reliable Chinese-language online media, would help offset the risk of foreign influence and better harness the platform’s utility for bolstering the participation of Chinese-Australian communities in Australia’s democracy.
Topic:
Democracy, Social Media, Political Participation, and WeChat
Political Geography:
China and Australia

4. Chinese coercion, Australian resilience

Author:
Richard McGregor
Publication Date:
10-2022
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
Australians have grown in confidence about the country’s ability to withstand economic coercion from China since the imposition of punitive trade measures in 2020. Beijing suspended high-level political exchanges and imposed a range of informal sanctions and trade blockages against Australia in the wake of a series of escalating disputes, culminating in Canberra’s call for an independent inquiry into the origins of Covid-19 in April that year. Two years on, it is prudent to plan on the basis that it is still early days in China’s use of trade measure against Australia. Canberra and Beijing resumed ministerial-level dialogue after the election of the Albanese Labor government in May 2022. But given the long-term structural divide between the United States and China, and Australia’s position as a strong US ally, Australian governments of all persuasions should assume that China’s trade policies against Australia will remain largely in place. Beijing may tactically retreat now and again to fill shortfalls or if it wants for political reasons to present itself as a conciliatory partner. But a solution to the fundamental bilateral political tensions driving trade disruptions is not on the horizon. The sectors in which bilateral trade with China have continued to prosper are not those in which Australian producers are dependent on China but rather where the two countries are interdependent. Australia cannot find alternative markets to match China for commodities such as iron ore, liquefied natural gas, and wool. Nor can China wean itself off a substantial reliance on Australia as a supplier. For this reason, the core elements of bilateral trade will remain reasonably resilient for some years. However, absent a huge change in the structure of the Australian economy and its export profile, the longer-term picture for exports to China looks worse. As China’s economy grows and its structure changes and becomes less resource intensive, Australia will likely get a decreasing share of a growing pie. Over time, the cost of trade bans and other punitive measures will likely mount as Chinese investment in Australia diminishes and the cost of diversifying from the region’s largest economy grows. Australia has maintained its reputation as a reliable supplier of commodities throughout the downturn in bilateral relations with China. It is imperative that it continue to do so — both to benefit the Australian economy and to maintain leverage of its own. Control over critical commodities carries considerable strategic value, as the role of gas and oil in the Ukraine war has shown.
Topic:
Foreign Policy, Bilateral Relations, Commodities, Trade, Resilience, and Coercion
Political Geography:
China and Australia

5. Sharper choices: How Australia can make better national security decisions

Author:
Ben Scott
Publication Date:
12-2022
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
As Australia’s national security environment has grown more complex and competitive, the country’s governments have gradually articulated their strategic response, primarily in the 2016 Defence White Paper, the 2017 Foreign Policy White Paper, and the 2020 Defence Strategic Update. In these documents, and in major speeches, Australian governments have adopted four broad strategic concepts: the embattled rules-based order, the return of great power competition, the expansion of grey zone competition, and the increased likelihood of major power war. There is no master theory that can entirely explain Australia’s situation and guide its decision-makers. A national security strategy is necessary, but its utility will be limited by the increasingly unpredictable course of geopolitics. The strategic concepts Australia has adopted illuminate its interests, objectives, and the types of issues Canberra must grapple with. But these concepts also mask many of the difficult choices Australia will face. Focusing on the paradox of “competitive independence” brings additional clarity to the country’s policy dilemmas but does not resolve them. Responding to greater uncertainty will require greater case-by-case decision-making. But this does not mean the government should simply muddle through. Rather, it should seek to improve the quality of its decision-making by following through on Australia’s history of imposing more structure on national security decision-making. Acknowledging the complexity of the challenges it faces, the government should more often seek discrete assessments of national security problems to ensure that all relevant dimensions are considered. This would help ensure that Australia’s long-term strategic goals are considered when critical decisions are made.
Topic:
Foreign Policy, National Security, and Decision-Making
Political Geography:
China and Australia

6. Mixed report card: China’s influence at the United Nations

Author:
Courtney J. Fung and Shing-hon Lam
Publication Date:
12-2022
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
China is of growing importance to the United Nations. Beijing aims to exert influence at the world body to legitimise and disseminate its foreign policy values and interests. This report contextualises China’s growing presence at the United Nations by examining publicly available data on four metrics that gauge Beijing’s success in steering the global governance agenda. Those metrics are: funding for UN departments, programs, and initiatives; staffing of executive-level personnel positions; voting in the UN General Assembly and UN Security Council; and the use of PRC-specific discourse and language in UN-generated documentation. The United Nations has become progressively more reliant on China’s general contributions, and in turn China has used a combination of levers to elevate its position within the UN system. However, this report finds that China is still selective in its overall approach to UN participation and that efforts by the PRC do not necessarily translate into successful influence at the body. The report makes three recommendations for UN stakeholders. First, a deeper understanding must be gained of what China contributes across different UN agencies and functional areas to establish a more complete picture of its multilateral input. Second, efforts should be made to shape China’s engagement in multilateral issues, in particular those that the PRC is yet to prioritise, such as refugee management. Third, it is vital to articulate an inclusive multilateral vision for a rules-based international order that specifies under which conditions China’s contributions are embraced, rather than framing PRC input solely as a source of concern.
Topic:
Foreign Policy, Diplomacy, United Nations, Governance, and UN Security Council
Political Geography:
China and Asia

7. The internet of things: China’s rise and Australia’s choices

Author:
John Lee
Publication Date:
12-2021
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
The Internet of Things (IoT) is connecting a growing range of economic and social activity across national borders, while simultaneously expanding the security challenges implied by these connections, including to Chinese state power. Despite US-led efforts to exclude Chinese actors from digital networks worldwide, the economies of East and Southeast Asia are becoming more densely integrated with China through evolving IoT ecosystems and supply chains. These trends threaten to disadvantage Australia and require policies to build up the country’s own technological capacities while devising innovative ways to manage, rather than avoid, the risks entailed in growing digital connections with China.
Topic:
Security, Economics, Science and Technology, Internet of Things, and Supply Chains
Political Geography:
China, Asia, Australia, and United States of America

8. Lines blurred: Chinese community organisations in Australia

Author:
Jennifer Hsu, Richard McGregor, and Natasha Kassam
Publication Date:
11-2021
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
Australia’s foreign interference debate and the souring of bilateral relations between China and Australia has left many Chinese-Australians and their community organisations caught in a contest for their loyalty. The Chinese Party-state actively reaches out to overseas Chinese communities, in Australia and elsewhere, to promote China’s political interests and economic development, with mixed results. Australia’s efforts to combat this outreach have also had mixed results. A survey of Chinese-Australians found that many believed the new anti-foreign interference laws helped to protect community members from Beijing’s overtures. However, a greater number said attacks on the community in Australia — political, verbal, and sometimes physical — had alienated Chinese-Australians and in some cases made them more receptive to messages critical of Australia. Many Chinese-Australians said they had little or no engagement with Chinese community organisations. The newer organisations in particular, which often have closer economic ties to China, were not considered to be representative of broader community sentiment. The area in which community associations were reported to have the greatest traction was in promoting business opportunities in China.
Topic:
Bilateral Relations, Foreign Interference, and Community Organizing
Political Geography:
China, Asia, and Australia

9. China, climate politics and COP26

Author:
Sam Geall
Publication Date:
10-2021
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
There is no credible emissions pathway towards limiting global warming to 1.5°C without significant movements from China over the next decade to accelerate its energy transition and decarbonisation. China aims to become carbon-neutral by 2060. Yet Beijing is hedging in the near term, in part due to an uncertain global macro and geopolitical environment, and in part due to domestic threats of social instability and economic stagnation. China’s negotiating position at COP26 in Glasgow stands to benefit from support from many developing countries — unless the United States and other rich countries make an effective alternative appeal to the Global South with respect to climate finance, mitigation and adaptation.
Topic:
Climate Change, Energy Policy, and Carbon Emissions
Political Geography:
China, Global Focus, and United States of America

10. Translating tension: Chinese-language media in Australia

Author:
Fan Yang
Publication Date:
09-2021
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
Chinese-language media outlets in Australia are more likely to support Australian government policy than Chinese government policy when reporting on tensions in the Australia–China relationship, but editorialise to soften or remove criticism of China and the Chinese government. This is, in part, because Chinese-language media outlets in Australia produce little original content, and instead translate and reproduce the majority of their content from Australian, rather than Chinese, news sources. Chinese-language media professionals say they prefer to re-publish Australian content because this helps Chinese migrants integrate into society. However, self-censorship is embedded in these media organisations’ editorial processes. This is particularly the case for Chinese-language media outlets whose content is distributed to mainland China via WeChat, news apps, and websites. Outlets self-censor out of concerns for a loss of market share and reprisals from Beijing.
Topic:
Diaspora, Media, News Analysis, and Translation
Political Geography:
China, Australia, and Asia-Pacific

11. Australia and the growing reach of China’s military

Author:
Thomas Shugart
Publication Date:
08-2021
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
China’s recent military development constitutes the greatest expansion of maritime and aerospace power in generations and is most obviously seen in its expanding long-range missile force, bomber force, and modernising blue-water navy. While Australia’s defence interests and territorial integrity are largely unthreatened for now, a future Indo-Pacific dominated by China would present a grave possibility of military coercion by the Chinese People’s Liberation Army. The prospect of Chinese military action against Australia remains remote. But China has the military and industrial potential to field a long-range power projection capacity that would dwarf anything Japan threatened Australia with during the Second World War.
Topic:
Security, Foreign Policy, Armed Forces, Maritime, Military, and Aerospace
Political Geography:
China, Asia, and Australia

12. The Crisis after the Crisis: How Ladakh will Shape India’s Competition with China

Author:
Arzan Tarapore
Publication Date:
05-2021
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
The still-unresolved Ladakh crisis has created a new strategic reality for India, marked by renewed political hostility with China, and an increased militarisation of the Line of Actual Control. This new strategic reality imposes unequal costs on India and China. India is likely to defer much-needed military modernisation and maritime expansion into the Indian Ocean — which would impair its ability to compete strategically with China. In contrast, China incurred only marginal material costs; it was probably more concerned with the prospect of continued deterioration in its relationship with India. Even that cost was more threatened rather than realised, and largely reduced when the disengagement plan was agreed.
Topic:
Crisis Management, Strategic Competition, Militarization, and Disengagement
Political Geography:
China, South Asia, India, and Asia

13. Countering China’s Adventurism over Taiwan: A Third Way

Author:
Patrick Porter and Michael Mazarr
Publication Date:
05-2021
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
There is a growing bipartisan consensus in Washington on a tighter embrace of Taiwan, which may soon become a stronger implied US commitment to go to war in the event of a Chinese invasion. Taiwan matters to US security and the regional order, and the United States should continue to make clear that aggression is unacceptable. But those advocating a stronger US security commitment exaggerate the strategic consequences of a successful Chinese invasion. The stakes are not so high as to warrant an unqualified US pledge to go to war. American decision-makers, like their forebears confronting the seeming threat of communism in Indochina, may be trapping themselves into an unnecessarily stark conception of the consequences of a successful Chinese invasion of Taiwan. It would be irresponsible for the United States to leave itself no option in the event of Chinese aggression other than war. But nor should Washington abandon Taiwan. There is a prudent middle way: the United States should act as armourer, but not guarantor. It should help prepare Taiwan to defend itself, to raise costs against aggression, and develop means of punishing China with non-military tools.
Topic:
Conflict Prevention, Foreign Policy, Territorial Disputes, and Crisis Management
Political Geography:
China, Taiwan, Asia, and United States of America

14. Jagged Sphere: China’s quest for infrastructure and influence in mainland Southeast Asia

Author:
Greg Raymond
Publication Date:
06-2021
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
China has land borders with mainland Southeast Asia and strong strategic imperatives to develop land routes to the sea. It has both potential and motivation to pursue an infrastructural sphere of influence in the Mekong subregion through Belt and Road Initiative (BRI) projects joining southern China and mainland Southeast Asia. The poorer states, especially Laos and Cambodia, have been receptive to the BRI and infrastructure investment, but Thailand and Vietnam, strong states and protective of sovereignty, have been more cautious. This means China’s impact is significantly varied across the subregion. China’s Special Economic Zones (SEZs) in Cambodia, Laos, and Myanmar are in some cases dissolving borders and in others carving out Chinese-controlled enclaves, all increasing the People’s Republic of China (PRC) presence and influence.
Topic:
Infrastructure, Foreign Direct Investment, Regional Integration, Borders, and Belt and Road Initiative (BRI)
Political Geography:
China, Asia, Vietnam, Cambodia, Thailand, Southeast Asia, Laos, and Myanmar

15. Taiwan's 2020 Elections

Author:
Natasha Kassam and Richard McGregor
Publication Date:
01-2020
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
China has lost the battle for public opinion in Taiwan. Saturday’s elections are likely to reflect strong anti-Beijing sentiment China is already looking past the elections to weaken the island’s democracy through overt and covert means Whatever the result, Beijing will increase pressure on Taipei to open talks on unification
Topic:
Foreign Policy, Politics, Elections, and Democracy
Political Geography:
China, Taiwan, Asia, and United States of America

16. Global Order in the Shadow of the Coronavirus: China, Russia and the West

Author:
Bobo Lo
Publication Date:
07-2020
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
The coronavirus pandemic has highlighted the dismal state of global governance. The rules-based order has given way to a new world disorder, dominated by narrow self-interest. The crisis of the liberal order reflects a collective Western failure to live up to its principles. The actions of Donald Trump have damaged the moral authority of the West. There is a future for liberalism in global governance, but on a more inclusive and less antagonistic basis. The primary focus must be on meeting universal challenges, such as climate change, pandemic disease, and global poverty.
Topic:
Coronavirus, Pandemic, COVID-19, and International Order
Political Geography:
Russia, China, Eurasia, and Asia

17. The Costs of Covid: Australia’s Economic Prospects in a Wounded World

Author:
John Edwards
Publication Date:
08-2020
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
Despite Victoria’s second wave of infection, Australia’s economic recovery from the coronavirus is underway. The bitter aftermath includes high and rising unemployment, vastly increased government debt, and a markedly less congenial global economy. Though formidable, the fiscal challenge is well within Australia’s means, especially if the Reserve Bank remains willing to acquire and hold Australian government debt. It may need to do so anyway to suppress an unwelcome appreciation of the Australian dollar in a world where major central banks are committed to low long term interest rates. Australia’s increasing integration into the East Asia economic community offsets the drag from the major advanced economies, but the US–China quarrel and the dislocation of global trading and investment relationships it threatens heightens the tension between Australia’s economic and security choices.
Topic:
Debt, Economy, Fiscal Policy, Unemployment, and COVID-19
Political Geography:
China, Asia, Australia, North America, Asia-Pacific, and United States of America

18. The Australia–India Strategic Partnership: Accelerating Security Cooperation in the Indo–Pacific

Author:
Dhruva Jaishankar
Publication Date:
09-2020
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
India and Australia have successfully managed to overcome prior inhibitions about security cooperation. Since 2000, the two countries have significantly improved their strategic coordination, military interoperability, and maritime cooperation, motivated by China’s rise and behaviour, faltering regional security institutions, and uncertainty about the United States’ role. Today, India–Australia security relations comprise regular military exercises, professional exchanges, operational coordination, and nascent defence technology cooperation. But the two countries’ different capabilities, priorities, and strategic circumstances will have to be overcome if relations are to deepen. Future priorities should include institutionalising bilateral and multilateral coordination mechanisms, improving military interoperability, deepening defence technology collaboration, and broadening relations to give ballast to the security relationship.
Topic:
Security, Defense Policy, International Cooperation, and Partnerships
Political Geography:
China, India, Australia, Asia-Pacific, United States of America, and Indo-Pacific

19. The Point of No Return: The 2020 Election and the Crisis of American Foreign Policy

Author:
Thomas Wright
Publication Date:
10-2020
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
With the international order weakened by COVID-19, economic recession, and receding American leadership, the 2020 presidential election will be even more consequential than that of 2016. There is no reason to believe that President Trump will follow in the tradition of other Republican presidents and pursue a more multilateral and cooperative strategy in his second term. Emboldened and unconstrained, a second Trump administration could spell the end of the alliance system and the postwar liberal international order. A Biden administration would be a reprieve for the US-led international order, and will act on climate change, COVID-19, immigration, and multilateralism, while Biden will need to adjudicate internal debates on China, the Middle East, globalisation, and foreign economic policy.
Topic:
Foreign Policy, Climate Change, Globalization, Elections, Economic Policy, Donald Trump, COVID-19, International Order, and Joe Biden
Political Geography:
China, Middle East, and United States of America

20. Digital Authoritarianism, China and C0VID

Author:
Lydia Khalil
Publication Date:
11-2020
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
The COVID-19 pandemic has emboldened Beijing to expand its use of digital technologies in the name of public health and safety. From mass surveillance, tracking intelligence, and internet censorship to the use of social credit systems, augmented data-collection capabilities, and big data, China’s new normal exposes and expands encroachments on civil liberties. The pandemic has provided a ‘proof of concept’, but China’s actions in the new digital landscape extend beyond managing its own pandemic response and controlling its own citizens. China is aggressively pursuing global technological dominance by investing in its indigenous tech sector and exporting technological surveillance tools. The reach of Chinese-engineered and monitored social control systems has wide-ranging implications, with current pandemic conditions serving as the justification for a significant increase in state surveillance, the adoption of digital authoritarian tools, and the deterioration of privacy and civil liberties.
Topic:
Human Rights, Intelligence, Science and Technology, Authoritarianism, Surveillance, COVID-19, Civil Liberties, and Social Control
Political Geography:
China and Asia

21. China's Economic Choices

Author:
David Orsmond
Publication Date:
12-2019
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
China’s economic growth has fallen to its slowest rate since 1990, and this deceleration looks set to continue unless China implements the kinds of deep reforms behind the successful economic transitions of Japan and Korea. China’s economic growth has fallen to its slowest rate since 1990, and this deceleration looks set to continue. Key factors include weakening demographics, inefficient investment, maturing export markets and declining productivity growth rather than the current trade dispute with the United States. To reverse that trend, China will need a wide-ranging policy approach that mimics the policies implemented by Japan and Korea at a similar economic stage. While there are considerable political and economic obstacles to such reforms, if it manages to continue its rapid catch-up to advanced economy incomes the potential returns for both China and the world are significant.
Topic:
Reform, Economy, Economic Growth, Trade Wars, and Trade
Political Geography:
China, Asia, Australia, and United States of America

22. Ocean of Debt? Belt and Road and Debt Diplomacy in the Pacific

Author:
Roland Rajah, Alexandre Dayant, and Jonathan Pryke
Publication Date:
10-2019
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
China has not been engaged in debt trap diplomacy — at least not yet. China has not been the primary driver behind rising debt risks in the Pacific, although a continuation of business as usual would risk future debt problems in several countries. There is scope for a new Australian infrastructure financing facility to provide loans to the Pacific without causing debt problems, particularly as it has adopted key sustainable lending rules. Pacific nations have an opportunity to obtain more favourable financing from official development partners but care must be taken to avoid overly geopolitical aid.
Topic:
Debt, Development, Infrastructure, Geopolitics, Soft Power, and Belt and Road Initiative (BRI)
Political Geography:
China, Australia, and Asia-Pacific

23. Averting a Global Calamity? Trump and Xi at the G20

Author:
John Edwards
Publication Date:
06-2019
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
The outlines of a trade deal between the United States and China are there. But without a return to the negotiating table, the dispute could rapidly escalate, magnifying the damage to world growth. With the Osaka G20 meeting looming, Chinese analysts and policymakers visited in Beijing are pessimistic about the prospects for a trade deal with the United States. If they are right, global financial markets are in for a much wilder shock than anything yet seen in this quarrel. Yet much of a deal has already been agreed, while the consequences of not reaching a deal have become increasingly dire.
Topic:
International Relations, International Trade and Finance, Trade Wars, and Trade
Political Geography:
China, Asia, North America, and United States of America

24. East Asia's Decoupling

Author:
Roland Rajah
Publication Date:
01-2019
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
East Asia is no longer reliant on US or Western markets to fuel its growth, giving it more room to manage amid global trade tensions. Heightened global trade tensions and the US desire to ‘decouple’ from the Chinese economy for national security reasons pose significant risks to East Asia’s export-driven growth model. However, the latest data suggests East Asia is no longer so dependent on exporting to the West, with China in particular eclipsing the United States as the leading source of ‘final demand’ for the rest of the region’s exports. This gives East Asia much greater room to manoeuvre, as regional integration is now a more viable platform for growth while US decoupling efforts will likely struggle to find traction in the region.
Topic:
Economics, International Trade and Finance, Global Markets, and Exports
Political Geography:
China, East Asia, Asia, North America, and United States of America

25. Safeguarding Australia's Security Interests Through Closer Pacific Ties

Author:
Greg Colton
Publication Date:
04-2018
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
Greater Australian engagement in the Pacific Islands region is needed if Canberra wants to ensure regional stability and underpin Australia’s national security. Inconsistent engagement by Australia, the United States, France and New Zealand in the Pacific Islands region has created space that non-traditional powers have exploited to engage with sovereign Pacific Island states. There is an increasing risk of geostrategic competition in the region, particularly with the growing influence of China and the economic leverage it holds over some indebted Pacific Island nations. The Australian Government should pursue a deliberate strategy of forging stronger links with its traditional partners in the region, and more equitable partnerships with its Pacific Island neighbours, if it is to underpin regional stability and strengthen Australia’s national security.
Topic:
International Relations, National Security, Regional Cooperation, Geopolitics, and Economy
Political Geography:
China, France, Australia, Asia-Pacific, and United States of America

26. Changing Geopolitical Dynamics for Papua New Guinea

Author:
Jenny Hayward- Jones
Publication Date:
12-2017
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
The new O'Neill government faces a rapidly changing external environment as it struggles to manage a significant domestic economic downturn and unprecedented pressures on the national budget. Australia remains Papua New Guinea's closest foreign partner; by far its largest bilateral aid partner, trading partner and foreign investor, but its influence is diminishing as that of other actors is growing. China is an increasingly important player - as a trade partner, investor in infrastructure and source of foreign loans, as well as in the small to medium business sector. Relations with other Asian nations are expanding. Large foreign companies are exerting more influence on government policy than most nation state development and trade partners of Papua New Guinea can hope to exercise. These relationships are likely to come into sharper focus over the next year, as the PNG government prepares to host APEC in 2018. It is not clear that the new PNG government has the capacity to pursue the national interest abroad while it is preoccupied with a complex set of challenges at home.
Topic:
Government, Bilateral Relations, Geopolitics, and Development Aid
Political Geography:
China, Australia, AustralAsia, and Papua New Guinea

27. Clear Waters and Green Mountains: Will Xi Jinping Take the Lead on Climate Change?

Author:
Sam Geall
Publication Date:
11-2017
Content Type:
Commentary and Analysis
Institution:
Lowy Institute for International Policy
Abstract:
President Trump’s retreat on climate change put China ‘in the driver’s seat’. But to really demonstrate leadership, China needs to green its overseas investments. President Trump’s announced withdrawal from the Paris Agreement shone a light on China’s efforts to fight climate change, which are as much about economics and technology as environmental responsibility. Longer-term technological and economic change may lead China to eventually show greater diplomatic ambition on climate. China cannot assume an international leadership position on climate until it deepens its domestic energy transition and greens its overseas investments.
Topic:
Climate Change, Energy Policy, Environment, Treaties and Agreements, and Investment
Political Geography:
China and Asia