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SnapshotsJun 19, 2020 | 18:29 GMT
A Major Cyberattack Further Stokes Australia-China Tensions
Amid a recent uptick in Sino-Australian tensions, China is continuing to raise the price of Australia's sustained support of a U.S.-led international push to investigate Beijing's role in the COVID-19 pandemic and more broadly confront China. On June 19, Australian Prime Minister Scott Morrison announced that his country had been targeted by a sustained and wide-ranging cyberattack on government institutions, public services and businesses. Unnamed top officials said the Chinese government is the primary suspect. Australia, however, has shown no signs that it intends to back off from its confrontational diplomatic stance, despite China's continued economic threats and retaliatory actions in recent months. On June 11, Morrison said his government would not be intimidated by Beijing's "coercion" tactics, signaling his political resolve to maintain Australia's current scrutiny of Beijing's involvement in the COVID-19 pandemic, as well as Hong Kong's political crisis.  
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SITUATION REPORTJun 16, 2020 | 16:56 GMT
China, U.S.: Washington Allows U.S. Firms to Work With Huawei on Tech Standards 
The U.S. Commerce Department announced it was modifying its export controls to allow for U.S. companies, employees and researchers doing business with Chinese tech giant Huawei to work together in standards-setting bodies, including those related to the 5G development, Reuters reported June 15.
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AssessmentsJun 15, 2020 | 10:00 GMT
Protesters in New York City kneel at an intersection to demand an end to systemic racism and police brutality on June 11, 2020.
U.S. Unrest Further Strains Trump’s Ties With Global Allies
Global U.S. allies are increasingly condemning the White House’s heavy-handed response to the nationwide protests following George Floyd’s death, suggesting a further erosion of U.S. leadership that could compromise Washington’s ability to find consensus on its controversial agenda of multilateral economic and security issues. Commentary from reputable news outlets and elite opinion-makers in Europe over the past week have questioned whether American internal polarization and discord would weaken its ability to function as a reliable ally. Increasingly irritated with the White House’s break from long-standing diplomatic norms, European governments appear to be translating opinion into policy action by challenging Trump’s proposed adjustments to the Group of Seven (G-7) summit and U.S. military posture in Europe.
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AssessmentsJun 9, 2020 | 19:38 GMT
Pro-democracy protesters shine the flashlights on their cellphones as they take part in a rally in Hong Kong on June 9, 2020.
Hong Kong’s Election Lights the Fuse for Another Wave of Unrest
A year after the city's extradition bill prompted more than a million people to take to the streets in June 2019, marking a watershed moment in last year's protests, Hong Kong's political crisis is heating up once again. The next three months in Hong Kong will see protests kick back into high gear as pro-Beijing and pro-democracy camps focus on winning Legislative Council elections planned for September. The central government in mainland China will fast-track its controversial national security laws ahead of the polls to increase control over protestors and politicians, while the regional Hong Kong government will work to fulfill its side of the legislation. The White House, meanwhile, will pressure China to ease back on its encroachment in Hong Kong by possibly stripping away the city's special tariff treatment, but will weigh carefully whether to escalate further to financial measures that would cripple Hong Kong's status as a business hub
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AssessmentsJun 3, 2020 | 17:02 GMT
Chinese flags and American flags are displayed at a business in Beijing.
Amid Rising Hong Kong Tensions, the U.S.-China Trade Deal Hangs by a Thread
Rising bilateral tensions stemming from Beijing's proposed national security legislation for Hong Kong are increasing the risk that the "phase one" trade deal between the United States and China will collapse before the end of 2020. The deal itself may still officially exist, but tit-for-tat escalation on tariffs and trade measures will render it functionally dead. Further retaliation by the United States over the Hong Kong legislation also risks triggering Chinese countermeasures beyond trade policy.
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On GeopoliticsJun 3, 2020 | 10:00 GMT
Chinese Foreign Minister Wang Yi answers questions during a video press conference on May 24, 2020, in Beijing, China.
China’s ‘Wolf Warrior’ Diplomacy Risks Backfiring on Beijing
The growing global backlash against China's involvement in both the COVID-19 pandemic and Hong Kong's political crisis is fueling a new brand of "wolf warrior" diplomacy in Beijing based on a nationalistic Chinese movie. This more aggressive stance abroad exposes a sense of vulnerability in Beijing, and poses two potential risks for the regime -- the first is that the tactic backfires overseas, and the second, and perhaps more problematic, is that Beijing loses control of the nationalistic narrative.
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GuidanceMay 29, 2020 | 22:34 GMT
U.S. President Donald Trump speaks about U.S. relations with China at the White House on May 29, 2020.
U.S. Threats to Overhaul Hong Kong Policy Intensify China Confrontation
U.S. President Donald Trump's May 29 announcements adjusting U.S. policy toward China could derail the phase one U.S.-China trade deal if fully implemented, but they are unlikely to deter Beijing's determination to implement new Hong Kong national security legislation -- and no matter what, Hong Kong protest activity will increase in the coming months.
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AssessmentsMay 22, 2020 | 20:20 GMT
An anti-extradition bill protest in Hong Kong on June 12, 2019.
Mainland China's Imposition of Security Laws In Hong Kong Will Spark Protests
The Chinese central government's decision to circumvent the Hong Kong legislature and impose long-delayed national security laws in Hong Kong will provide a major rallying point as protests rebound following COVID-19. In terms of U.S.-China relations, an uptick in demonstrations and the high-profile erosion of Hong Kong's autonomy will provide another trigger that could derail the phase one trade deal, although the White House will be careful not to subordinate its China policy to a single issue such as Hong Kong.
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AssessmentsMay 13, 2020 | 10:00 GMT
An aerial photo shows villagers sowing highland barley seeds with agricultural machinery in the fields in Lhasa, the capital of China's Tibet Autonomous Region, on April 22, 2020.
COVID-19 Tensions Place Australian Farmers in China's Crosshairs
On May 10, Australian grain producers issued a joint statement warning that China has made a provisional decision to impose anti-dumping and anti-subsidy tariffs on Australian barley imports of up to 80.5 percent, effectively shutting down their exports to China. Sources within the Australian government say the timing of these tariffs is linked to the recent uptick in Chinese tensions over COVID-19, though Prime Minister Scott Morrison has publicly since said he does not believe the two are related. China's economic pressure, however, would have to expand beyond barley and the small group of beef slaughterhouses to compel Australia to reconsider its support of U.S. efforts to counter Beijing's rise. If Beijing threatens more sweeping measures against Australian beef exports, or turns to targeting wool exports, Canberra may be prompted to change its approach. But as things stand, barley producers in Australia have other options.
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AssessmentsMay 6, 2020 | 10:00 GMT
An image displays rows of silicon wafers.
The U.S. Weaponizes COVID-19 Anger Against China’s Tech Sector
The United States and China have been locked in a technology cold war for several years. The COVID-19 pandemic, which originated in the Chinese city of Wuhan, is now pressuring Washington to make even stronger moves against Beijing by fueling anti-China sentiment among U.S. voters and legislators alike. But the White House’s latest attempt to increase export controls on China and limit Beijing's overall access to U.S. technology will come at the cost of further fragmenting the global tech sector’s highly integrated supply chain network. 
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SITUATION REPORTFeb 14, 2020 | 19:11 GMT
U.S.: Cisco's CEO Rebuffs Idea for Taking an Ownership Stake in Ericsson or Nokia
Cisco CEO Chuck Robbins said his company would not invest in building infrastructure for 5G telecommunications networks and brushed off U.S. Attorney General William Barr's suggestion that U.S. companies should invest in or take control of European telecom equipment makers Ericsson and Nokia to counter Huawei's 5G influence, the Financial Times has reported.
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AssessmentsFeb 7, 2020 | 10:00 GMT
An employee sits in the showroom of an Apple store in Beijing after it closed for the day on Feb. 1, 2020.
The Coronavirus Spreads Fears of a Shutdown in China's Tech Sector
Without question, the new coronavirus has taken a toll on China and many other places in the world, infecting at least 30,600 people and killing 633 as of Feb. 7. But only now, as the Lunar New Year holiday draws to a close, is Beijing preparing to assess just how much economic damage the coronavirus outbreak has wrought, especially as China is central to the global electronics and information technology sector. Ultimately, the breadth of the impact depends on how far the virus spreads beyond its current location. Hubei province and its capital, Wuhan, are not critical nodes for the vast majority of China's electronics sector. But neighboring provinces, including Shaanxi, Henan and Jiangxi, are home to cities that are prominent in the global technology sector, while the provinces with the second and third most confirmed cases so far, Zhejiang and Guangdong, are arguably China's two most critical areas for tech.
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