Tag: International Relations

Red Sea Attacks Leave Shipping Companies With Difficult Choices

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The shipping companies that move goods on one of the world’s busiest trade routes for factories, stores, car dealerships and other businesses face an excruciating decision. They can send their vessels through the Red Sea if they are willing to risk attacks by the Houthi militia in Yemen and to bear the cost of sharply higher insurance premiums. Or they can sail an extra 4,000 miles around Africa, adding 10 days in each direction and burning considerably more fuel. Neither option is appealing and both raise costs — expenses that…

Experts See a Message in Chinese Balloons Flying Over Taiwan

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The balloon flights may, nonetheless, be part of the “gray zone” tactics that China uses to warn Taiwan of its military strength and options, without tipping into baldfaced confrontation. The timing of the balloon flights, close to Taiwan’s election, was telling, said Ko Yong-Sen, a research fellow at the Institute for National Defense and Security Research, a think tank in Taipei funded by Taiwan’s defense ministry. Mr. Ko has analyzed the pattern of recent sightings. “It’s more an intimidating effect in what happens to be a quite sensitive time, with…

Indian Stocks Are Booming. Why Is Long-Term Investment Lagging?

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India’s economy is booming. Stock prices are through the roof, among the best performing in the world. The government’s investment in airports, bridges and roads, and clean-energy infrastructure is visible almost everywhere. India’s total output, or gross domestic product, is expected to increase 6 percent this year — faster than the United States or China. But there’s a hitch: Investment by Indian companies is not keeping pace. The money that companies put into the future of their businesses, for things like new machines and factories, is stagnant. As a fraction…

China’s Property Crisis Blew Up Investments That Couldn’t Lose

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One of China’s largest investment firms, Citic Trust, had a clear pitch to investors when it was aiming to raise $1.7 billion to fund property development in 2020: There is no safer Chinese investment than real estate. The trust, the investment arm of the state-owned financial conglomerate Citic, called housing “China’s economic ballast” and “an indispensable value investment.” The money it raised would be put toward four projects from Sunac China Holdings, a major developer. Three years later, investors who put their money in the Citic fund have recouped only…

How China Is Profiting From Trade With Russia

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On China’s snowy border with Russia, a dealership that sells trucks has seen its sales double in the past year thanks to Russian customers. China’s exports to its neighbor are so strong that Chinese construction workers built warehouses and 20-story office towers at the border this summer. The border town Heihe is a microcosm of China’s ever closer economic relationship with Russia. China is profiting from Russia’s invasion of Ukraine, which has led Russia to switch from the West to China for purchases of everything from cars to computer chips.…

China Quietly Rebuilds Secretive Base for Nuclear Tests

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In the remote desert where China detonated its first atom bomb nearly 60 years ago, a drilling rig recently bored a deep vertical shaft that is estimated to plunge down at least a third of a mile. It is the strongest evidence yet that Beijing is weighing whether to test a new generation of nuclear arms that could increase the lethality of its rapidly expanding missile force. A large drill rig hidden in the eastern hills of the Lop Nur site. The New York Times; satellite image by Maxar For…

Chinese Traders and Moroccan Ports: How Russia Flouts Global Tech Bans

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Shortly after Russia invaded Ukraine last year, engineers at Convex, a Russian telecommunications company, needed to find American equipment to transmit data to the country’s feared intelligence service. But no gear was flowing in after Western nations imposed sweeping new trade limits on Russia. Convex’s employees soon found a solution. While Cisco, a U.S. tech provider, had halted sales to Russia on March 3, 2022, Convex’s engineers easily obtained the Cisco gear they needed through an obscure Russian e-commerce site called Nag, which had gotten around international trade restrictions by…

The Debt Problem Is Enormous, and the System for Fixing It Is Broken

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Martin Guzman was a college freshman at La Universidad Nacional de La Plata, Argentina, in 2001 when a debt crisis prompted default, riots and a devastating depression. A dazed middle class suffered ruin, as the International Monetary Fund insisted that the government make misery-inducing budget cuts in exchange for a bailout. Watching Argentina unravel inspired Mr. Guzman to switch majors and study economics. Nearly two decades later, when the government was again bankrupt, it was Mr. Guzman as finance minister who negotiated with I.M.F. officials to restructure a $44 billion…

Merle Goldman, a Leading Expert on Communist China, Dies at 92

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In November 1974, a small group of American college presidents spent three weeks traveling through China, visiting universities, communes, factories and even the office of Vice Premier Deng Xiaoping, who was still four years away from taking over as Communist Party leader. Though the United States had recently re-established relations with China, it was an insular, even forbidding place, utterly foreign to these Western visitors. Fortunately, the delegation had a famed Sinologist as a guide: Merle Goldman. A historian at Boston University, Dr. Goldman was still relatively early in her…

Three Months After Biden, It’s Xi’s Turn to Court Vietnam

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China’s leader, Xi Jinping, arrived in Vietnam on Tuesday for a relatively rare trip abroad, seeking to elevate ties with an important neighbor just three months after President Biden visited Hanoi on a similar mission. Few nations now feature more centrally in the great-power competition between the United States and China, placing Vietnam, which has a long history of fierce independence, in a high-risk, high-reward position. Keeping both giants happy could mean a transformative economic boost; angering one or the other could bring heavy costs. “This is a very delicate…