February 2-8
China
The Ministry of Commerce filed a complaint against the United States with the World Trade Organization in response to President Trump's 10% tariff on Chinese imports. The US justified the tariff as necessary to combat an influx of fentanyl and its precursors from China into the American market. China also announced retaliatory tariffs on selected US imports, including coal and liquefied natural gas products, to take effect on Feb. 10, and announced an antitrust investigation into Google.
The National People's Congress Standing Committee will meet at the end of February to prepare for the annual plenary NPC session in early March, as well as review one or more pieces of draft legislation. The agenda has not yet been announced, but pending legislation that could be discussed include draft revisions to the Public Security Administration Punishment Law, Infectious Disease Prevention and Control Law, and Civil Aviation Law, as well as a draft new Financial Stability Law and Public Health Emergency Response Law.
Hong Kong
The Department of Justice said that its new policy of generally requiring mediation clauses in government contracts took effect this week. The government first announced the move on Nov. 6, 2024, saying that it wants to promote a “mediation first” culture in Hong Kong, including in the private sector. The department also issued procedural rules for mediation.
The national security trial of former Apple Daily publisher Jimmy Lai resumed at the West Kowloon District Court after a Lunar New Year break. The prosecutor attacked Lai’s credibility and accused Lai of lying about his motives when he sought permission in June 2020 to travel to the United States; at the time, Lai had been released from detention on bail. Lai said his travel purpose was to meet his new granddaughter, but the prosecutor accused him of using this as cover for plans to meet with US government officials.
In a report on cross-border white-collar crime and investigations around the world, A&O Sherman said that Hong Kong saw active enforcement across all sectors in 2024. The Securities and Futures Commission (SFC) targeted high-profile insider trading, market manipulation, and ramp-and-dump schemes, resulting in significant fines and prosecutions. Cross-agency cooperation tackled complex crimes such as bid-rigging and corruption, while new legislation - including cybersecurity requirements for critical infrastructure and expanded national security laws - increased compliance risks. The virtual asset sector also saw stricter license enforcement.
Japan
The National Police Agency said the number of crimes reported to police increased in 2024 for the third consecutive year, with 737,679 cases in 2024, up nearly 5 percent from 2023. The agency said investment fraud and romance scams based on social media were the main drivers of the increase. The number of reported crimes was still far below the 2002 peak of 2.85 million.
The Tokyo High Court upheld the conviction and suspended six-month prison sentence handed down in 2022 to former Nissan executive Greg Kelly for his role in under-reporting former Nissan CEO Carlos Ghosn's compensation. Kelly, an American, was arrested in 2018 along with Ghosn and was convicted of conspiring with Ghosn to under-report the CEO's compensation for the 2017 fiscal year. Kelly has now further appealed to the Supreme Court. He returned to the US in 2022.
The Justice Ministry said it will ask a panel of legal experts to begin reviewing the retrial system as early as March. The move is triggered by the case of a man who was retried and acquitted in 2024 after spending more than 40 years on death row for murders he did not commit. Critics say the current system, established in 1949, lacks clear guidelines for retrials and allows prosecutors too many opportunities to appeal. Because the Justice Ministry’s review could take years, a group of nonpartisan lawmakers has said it plans to submit reform legislation during the current parliamentary session.
Japanese authorities arrested a 58-year-old man for allegedly modifying Nintendo Switch consoles to play unauthorized copies of video games. The suspect, Fumihiro Otobe, purchased second-hand Switch consoles, modified their circuit boards, installed new software, loaded them with pirated games, and sold the modified consoles for approximately ¥28,000 (approximately US$180).
Koreas
The former leader of South Korea’s Army Special Warfare Command told the Constitutional Court that President Yoon Suk Yeol personally ordered him to remove lawmakers from the National Assembly on the night of Dec. 3, 2024 after the president declared martial law. The former minister of defense had claimed that the president ordered the removal of military personnel, but not lawmakers. A former economic aide to Yoon testified that the opposition-led legislature’s deep cuts to the government budget were a factor in the martial law decision. The Constitutional Court will decide whether to uphold the legislature’s impeachment of Yoon or return him to power.
The Constitutional Court will hold its first formal hearing in the impeachment trial of Prime Minister Han Duck-soo on Feb. 19. Han briefly served as acting president after the National Assembly forced President Yoon Suk Yeol to step aside in December. Han was soon impeached by the opposition-controlled National Assembly when he refused to fill vacancies on the Constitutional Court ahead of its review of Yoon's impeachment.
The Constitutional Court postponed its ruling on the constitutionality of Acting President Choi Sang-mok's refusal to appoint a ninth justice to its own bench. At issue is whether Choi's veto of the National Assembly's nominee, Ma Eun-hyeok, constitutes a failure to perform a legal duty and, if so, whether it is unconstitutional. The court is currently holding a trial to decide whether to uphold or reverse the National Assembly’s impeachment of President Yoon Suk Yeol. At least six votes are needed to confirm impeachment.
Several thousand foreigners held in detention centers pending deportation may be released if the National Assembly fails to revise South Korea’s Immigration Act by May 31, 2025, as ordered by the Constitutional Court. The law allows the government to detain foreigners who have been ordered to leave the country until their departure. Some persons have been held for years because of appeals or loss of passports. Discussions in the National Assembly to revise the law have stalled as the body focuses on its investigation of President Yoon Suk Yeol and related matters. About 1,600 to 1,800 persons are detained at any given time, including some who have been convicted of violent crimes.
Taiwan
Civic groups that supporting the ruling Democratic Progressive Party (DPP) submitted documents to initiate recall campaigns against nineteen Kuomintang (Nationalist Party or KMT) lawmakers and one suspended Taiwan People's Party (TPP) mayor. The recall efforts are a response to legislation passed by the KMT and TPP, which together have a majority in the Legislative Yuan, that strips power from the executive branch and Constitutional Court and shifts a large chunk of tax revenues from the central government to local governments. Meanwhile, KMT supporters submitted petitions seeking to recall two DPP legislators.