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GLOBAL BUSINESS

Xi Jinping promises to protect China’s private businesses to ensure a ‘better tomorrow’ Chinese president moves to soothe companies’ fears amid wavering economic growth -SCMP

UBS warns staff over China travel after banker held in Beijing The banker, who is based in Singapore and works in the relationship management team in UBS’s wealth management unit, still has her passport, but was asked to remain in China and meet with local authority officials next week -Reuters

Apple CEO urges Bloomberg to retract spy chip story -Reuters

Samsung and NEC team up on 5G as Huawei faces boycott Korea-Japan alliance will develop base stations, splitting the burden -Nikkei

PODCAST OF THE WEEK Episode 268: The Future of Mobility in Asia and Nissan with Vincent Wijnen Vincent Wijnen, senior vice president from Nissan in Asia & Oceania joined us in a conversation to discuss the future of mobility in Asia. We began our conversation on the concept of autonomous vehicles and how it will transform the concept of mobility in Asia. Vincent also discussed how the regulatory bodies in Asia are thinking about self-driving cars and whether we will be living in a future where we are driving or be driven. -Analyse Asia

Taiwan gov. denies tightening financial oversight on Taiwanese firms in China Head of Taiwan’s financial regulator denounces such reports as false news -Taiwan News

Saudis change from patron to liability for Softbank's ambitions Vision Fund secures $9bn credit line from Japanese and international banks -Nikkei

India walking a tightrope with US and Russian defense systems Compatibility problems could mean the two missile systems might not work seamlessly together -Asia Times

Google to build cloud facility in Indonesia The move will make Indonesia the eighth country in the region to house a cloud facility, the report added. Other markets with cloud facilities include Singapore, India, Taiwan, Australia and Japan. Moving forward, Google aims to launch more cloud facilities in Osaka (Japan) and Hong Kong. -Marketing

How Thailand is using big data to power the government -Tech-in-Asia

Cambodia wary of imminent EU trade sanctions Unions representing the Cambodian garment sector have expressed concern regarding an alleged scaling up of trade pressure from the European Union. -EcoTextile News

GLOBAL MACRO

Reflections on American Grand Strategy in Asia The rationale for tolerating China’s troubling behavior in the security sphere was premised on an economic policy that never made sense to me. The de facto economic relationship we have with China is that we give up skilled jobs here in exchange for cheap goods made there that we buy with money borrowed from China. Some see that as virtuous. I don’t. -Belford Center

Mnuchin Open to Change in Currency Test as U.S. Spars With China Treasury Secretary Steven Mnuchin is open to changing how the U.S. determines which nations are gaming their currencies, a move that could give President Donald Trump the chance to officially brand China a foreign exchange-rate manipulator as he seeks leverage to redefine trade terms between the world’s largest economies. -Bloomberg

Trade war headwind blows into China's face GDP growth slows to decade low as production and investment shrivel -Nikkei

US-China trade war: Trump gets his (USMCA) clause out in Asia Washington’s anti-China poison pill in its trade deal with Mexico and Canada – the 32.10 clause – could be copied in agreements with Asian countries to ratchet up the pressure on Beijing -SCMP

THAT OLD SAW U.S. agriculture secretary says Washington seeks deeper farm tariff cuts by Japan than those in TPP -The Japan Times

Lighthizer suggested the Trump administration will push Japan to “address both tariff and nontariff barriers” in sectors such as automobiles, agriculture and services, and to “achieve fairer, more balanced trade.”

Cost-benefit analysis of Japan’s decision to join CPTPP Japan’s wheat producers would suffer a nearly 40% hit in 2025, while rice and other farm products would suffer a 4-5% hit out of the agricultural industry’s 4,700-billion yen (US$41.7 billion) value. Politically, the CPTPP carried the risk of failure in that if it were not ratified, it would undermine confidence among domestic and foreign businesses, investors, and consumers in Japan. The failure would have signaled the Japanese government’s inability to continue to make progress on structural reforms that promote competitiveness and innovation, eroding the credibility of the Japanese economy as a whole. -The Asia Times