Facing the dilemma of having to handle “two Chinas,” “One China, One Taiwan” or “Taiwan independence,” Beijing’s One-China principle appeared a few months before the signing of a mutual defense treaty between Washington and Taipei in December 1954.
An effect of the warming relations between China and the Philippines has been the de-emphasis in Manila of the South China Sea dispute. This de-escalation of tensions has brought a surge of Chinese investment, as well as possible Sino-Philippine joint exploration of resources in the South China Sea.
Southeast Asia straddles both the Silk Road Economic Belt and the Maritime Silk Road, and the projects promise to stimulate economic development and trade in the participating nations. China and ASEAN seek to raise their trade to USD 1 trillion by 2020.
Does US President Donald Trump have in mind two Chinas; One China, One Taiwan; or Taiwanese independence? If the US abandons the One China policy before a peaceful Chinese reunification, the situation in East Asia will be unstable.
Sino-Japanese relations, a cyclical process alternating between pragmatic separation of economics and politics and a deep freeze with articulated announcements signifying tensions, have recently seen pessimistic and realist perspectives come into play.
In January 2017 during the 20th China-Philippines Foreign Ministry Consultation, the two countries confirmed that they would complete the Code of Conduct framework relating to the South China Sea in the first half of 2017.
US President Donald Trump may play the “Russian card” against China like how Nixon played the “Chinese card” against Moscow in 1972. However, the triangular relationship between the US, Russia and China is not necessarily comparable to the one in the 1970s.
In the run-up to Donald Trump’s inauguration as President of the United States, advocates of a more aggressive US foreign policy towards China unleashed a barrage of hawkish commentaries and proposals. Most comments focused on China’s behavior in the South China Sea.
On January 11, 2017, Chinese foreign minister Wang Yi announced that China will be investing an additional USD 40 billion in Nigeria, on top of China’s USD 45 billion in existing investments in the country.
In 2015, China’s capital outflow rose to nearly USD 1 trillion. The exodus of capital continued to surge in 2016, which prompted the government’s efforts in imposing new restrictions on yuan movements.