China imposed sanctions on ten additional US defense firms, including subsidiaries of Lockheed Martin, General Dynamics, and Raytheon, for supplying arms to Taiwan. These companies were added to China’s “Unreliable Entities List,” prohibiting them from import/export activities and investment in China, while also barring their senior managers from entry. This action follows similar sanctions imposed last week on seven other US firms, escalating tensions over China’s claim to Taiwan. The sanctions are justified by China as necessary to protect national security and sovereignty. These measures further demonstrate China’s increasing pressure on Taiwan and the US.
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Taiwanese shipping giant Evergreen Marine Corp. awarded its employees a substantial year-end bonus averaging 20 months’ salary, plus an additional three-month bonus. This generous payout, based on an average salary of approximately NT$60,000, follows a trend of exceptionally high bonuses in previous years. The company’s record profits in 2024, boosted by global supply chain disruptions stemming from the Red Sea crisis, fueled this significant reward for its workforce. Evergreen’s continued success is projected to maintain this pattern of lucrative employee compensation.
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President Xi Jinping reiterated China’s unwavering commitment to “reunification” with Taiwan in his New Year’s address, asserting that this historical trend is unstoppable. Beijing’s increased military presence near Taiwan, characterized by near-daily incursions, underscores this commitment. While Taiwan’s government rejects China’s claims of sovereignty, maintaining its residents’ right to self-determination, Xi emphasized the shared familial bond between both sides of the strait. Rising tensions, particularly following the election of President Lai Ching-te, further highlight the precarious situation in the Taiwan Strait.
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Taiwan’s National Chung-Shan Institute of Science and Technology (NCSIST) has mass-produced the Ching Tien hypersonic cruise missile, boasting a range exceeding 2,000 km and potentially reaching targets as far as Hohhot, Inner Mongolia. To improve deployment, the military is procuring mobile launch vehicles, primarily from Czech manufacturer Tatra, for these missiles. This initiative, including the “Feiji No. 2” project, represents a significant advancement in Taiwan’s deep-strike capabilities, marking the first deployment of such long-range strategic weapons. The Ching Tien system’s extended range is achieved through upgrades from the earlier Ching Tien supersonic cruise missile.
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President Biden authorized a $571.3 million military aid package for Taiwan, including defense articles, services, and training, shortly before leaving office. This follows a similar $567 million package approved earlier this year and the recent delivery of advanced Abrams tanks. The aid comes amidst heightened Chinese military activity near Taiwan, including large-scale maritime drills, and escalating rhetoric regarding the island’s status. Taiwan expressed gratitude for the continued US security commitment and emphasized ongoing cooperation to maintain regional stability.
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China’s military expansion, including its growing nuclear arsenal exceeding 600 warheads and projected to surpass 1,000 by 2030, coupled with increased pressure on Taiwan and strengthened ties with Russia, presents a significant challenge to the U.S. However, widespread corruption within the People’s Liberation Army (PLA) may be hindering China’s modernization efforts. Despite setbacks, China continues to advance its military capabilities, particularly in unmanned aerial systems, while engaging in unsafe operations near U.S. and allied forces. The U.S. is responding by increasing its military presence in the Asia-Pacific region and maintaining diplomatic engagement with China.
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The FBI briefed select U.S. lawmakers on a Chinese Communist Party (CCP) scheme to create false narratives portraying them negatively due to their pro-Taiwan stance. The CCP allegedly plans to fabricate stories claiming these lawmakers accepted bribes from Taiwan to influence their support for the island’s democracy. These “defensive” briefings, occurring in the fall, aimed to preempt the CCP’s disinformation campaign. The CCP’s actions reflect escalating tensions between the U.S. and China over Taiwan and are part of broader efforts to influence American politics.
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Taiwan’s defense ministry announced the arrival of 38 advanced M1A2 Abrams tanks, the first delivery of a 108-tank order placed in 2019. These tanks, representing a significant upgrade to Taiwan’s aging fleet, arrived late Sunday and were transferred to a training base. The acquisition, costing over US$1.2 billion, strengthens Taiwan’s defensive capabilities against potential Chinese aggression. This substantial arms purchase underscores Taiwan’s reliance on the US for bolstering its defenses against increasing threats.
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China conducted its largest military drills near Taiwan since the 1990s, involving over 50 aircraft, 90 ships, and spy balloons. These unprecedented maneuvers, lasting several days, simulated blockades and attacks on foreign vessels, prompting concerns from Taiwan and its allies. Although Chinese forces subsequently withdrew, Beijing asserted its right to further actions to achieve reunification with Taiwan, highlighting the escalating tensions in the region. Taiwan’s government, while acknowledging the threat, remains resolute in its self-determination, highlighting the ongoing geopolitical challenge.
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Paraguay expelled a senior Chinese diplomat, Xu Wei, for attempting to interfere in its domestic affairs and undermine its relationship with Taiwan. Xu, while in Paraguay for a UN event, met with Paraguayan lawmakers, urging them to sever ties with Taiwan in exchange for numerous economic benefits. China denied the interference allegations, while Paraguay affirmed its commitment to maintaining ties with Taiwan despite pressure from Beijing. This incident highlights China’s ongoing diplomatic efforts to isolate Taiwan, a self-ruled island claimed by the mainland.
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John Q. Hosedrinker