July 20 - July 26
China
The Ministry of State Security has barred an American man who works for the US Patent and Trademark Office from leaving China since mid-April, reportedly because he did not disclose that he worked for the US government on his visa application. The man was traveling in a personal capacity. It is believed to be the first time that a US government employee has been placed under a Chinese exit ban. Only a week earlier, news emerged that another Chinese American, a Wells Fargo banker who is based in the US, also is barred from leaving China. The Foreign Ministry said the banker is involved in a criminal case and is required to cooperate in the investigation.
The National Development and Reform Commission and the State Administration for Market Regulation jointly released draft revisions of the Price Law (《价格法》) for public comment. The proposed revisions, the first since the law took effect in 1998, prohibit companies from selling below cost in order to eliminate competition or monopolize the market. Comments can be submitted to the NDRC through August 23.
A former chairman of Tibet who was one of the highest-ranking ethnic Tibetans in China was dismissed from all his official positions and expelled from the Chinese Communist Party for allegedly accepting gifts and bribes. Qizhala, a Tibetan who was born in Yunnan Province, was chairman of the region from 2017-2021, when he became vice chairman of the National People’s Congress Ethnic Affairs Committee. He later held senior positions in the Chinese People’s Political Consultative Conference. A week earlier, a former Communist Party chief in Tibet, Wu Yingjie, who was Qizhala’s contemporary, was given a suspended death sentence for accepting bribes.
A court gave a suspended death sentence to the former deputy general manager of a state-owned supplier of defense equipment. The national broadcaster, China Central Television, said He Wenzhong was found guilty of accepting more than 289 million CNY (US$40.3 million) in bribes and kickbacks during his tenure at China Electronics Technology Group Corp.
Hong Kong
The High Court declared unconstitutional the Public Conveniences (Conduct and Behaviour) Regulation, which makes it illegal for transgender people to enter public toilets that match their gender identity. The plaintiff in the case, a transgender male identified only as K, applied for judicial review of the regulation in 2022. Judge Russell Coleman ruled that two provisions of the law should be struck down, but suspended the judgment for 12 months to allow the government to review its regulations and implement changes.
The national security police issued arrest warrants for 19 overseas-based activists whom they accused of subversion. Police said the activists organized or participated in an unofficial “Hong Kong Parliament” that sought to achieve self-determination for Hong Kong. The police also announced bounties for information leading to arrests. Police have now put prices on the heads of a total of 34 activists based outside of Hong Kong.
Legislators voted unanimously to amend their own rules of procedure to expand the scope of misconduct that could result in loss of pay or allowances. Under the current rules, a lawmaker’s pay and allowances will only be withheld if the member is suspended for “grossly disorderly” conduct. Under the revised rules, two instances of “serious” misconduct or more than three of “minor” misconduct also could result in financial penalties.
Authorities arrested 18 persons allegedly involved in a criminal scheme to provide fake academic credentials to mainland Chinese so they could obtain Hong Kong's Top Talent Pass Scheme visas. The Immigration Department said the group charged HK$1 million to HK$1.5 million upfront per application for fabricated documents such as overseas degrees, employment records, and forged immigration stamps.
Japan
Prime Minister Shigeru Ishiba and US President Trump announced a trade deal that will impose 15 percent tariffs on US imports from Japan, down from the 25 percent that Trump had threatened to impose. Japan also agreed to buy more American rice, improve market access, and invest in a $550 billion fund that will support strategic industries in the US. Ishiba, whose Liberal Democratic Party just lost its majority in the upper house of parliament, immediately came under pressure from opposition parties to release more details of the agreement, especially the unprecedented investment fund. A White House Fact Sheet suggested that Japan would provide all the investment, while the US would take 90 percent of the profits. Japanese officials suggested that US actors also would contribute to the fund.
The ministries of Finance and of Economy, Trade and Industry opened an investigation into allegations that stainless steel products from China and Taiwan are being dumped in Japan. Nippon Steel Corp., Nippon Yakin Kogyo Co., NAS Stainless Steel Strip MFG. Co., and Nippon Kinzoku Co. filed requests with the ministries on May 12 alleging that Chinese products are being sold in Japan at prices 20-50 percent lower than in their domestic market while the Taiwanese products are being sold at prices 3-20 percent lower than in their home market.
A Justice Ministry expert panel called for discussions about expanding the scope of cases subject to video and audio recordings of suspect interrogations. Currently, interrogations are recorded only when cases are independently investigated by public prosecutors or will go before panels including lay judges - which together amount to about two to three percent of cases. The panel also suggested the ministry consider allowing lawyers to be present at interrogations. Such changes would require revising the criminal procedure law.
The National Police Agency will experiment with having officers in the community policing, traffic enforcement, and public security divisions wear cameras on their chests or on headgear. The trial, which will begin in August, is part of preparations for the cameras to be implemented nationwide as early as fiscal 2027.
Koreas
The Seoul Central District Court ordered former President Yoon Suk Yeol to compensate ordinary people for the mental distress caused by his December 3, 2024 martial law declaration. The ruling came in a civil class-action lawsuit filed by 104 citizens who demanded 100,000 won (US$73) each as compensation for emotional damage related to the martial law declaration. Yoon was impeached and is currently being tried on insurrection charges in the same court.
South Korean investigators raided two residences of former Prime Minister Han Duck-soo looking for proof that Han assisted former President Yoon Suk Yeol in his martial law declaration last December. Investigators suspect that Han attempted to retroactively legitimize procedural flaws in the declaration.
The National Assembly passed the Private University Structural Improvement Support Act, which gave the South Korean government the legal authority to shut down financially troubled private universities. The number of under-enrolled or abandoned schools, especially in rural areas, has increased due to declining birthrates. The new law allows the Ministry of Education to conduct financial assessments of private universities and order them to halt enrollment or formally dissolve.
The Busan District Prosecutors' Office indicted two Chinese nationals on charges of violating the National Security Act by allegedly filming and disseminating footage of military installations, including a US aircraft carrier docked at the Busan Naval Base. Prosecutors said the two men were graduate students who entered South Korea in March 2023 and, over more than a year until June 2024, used drones to film military bases and military assets. They then uploaded the images and videos to online platforms accessible in China.
Taiwan
Voters rejected an attempt by supporters of the ruling Democratic Progressive Party (DPP) to end divided government by ousting 24 Nationalist Party (KMT) legislators and the KMT mayor of an important city. Same-day vote counts from phase one of the “great recall” campaign showed all the politicians - including a mayor who was convicted last year of corruption - defeating the recall, most by generous margins. Recall elections for seven other KMT legislators are scheduled for Aug. 23. The KMT and its allies in the Taiwan People’s Party have controlled the Legislative Yuan since early 2024 elections and engaged in in a toxic struggle with President Lai Ching-te of the DPP to determine the direction of Taiwan.
The Mainland Affairs Office accused mainland Chinese authorities of interfering in the recall election by offering cheap tickets to Taiwan to Taiwanese working on the mainland, so they could return home and vote against recalling KMT legislators.
For the second time, the opposition-controlled Legislative Yuan rejected all seven of President Lai Ching-te’s nominees to serve on the Constitutional Court. The court has been unable to function since last year, when seven of its fifteen justices ended their terms and stepped down. The Legislative Yuan revised the law to require the court have ten justices in attendance to hear cases. The KMT accuses Lai’s nominees of being politically biased in favor of Lai’s Democratic Progressive Party.
The Ministry of the Interior proposed requiring nationals of the People’s Republic of China who seek permanent residency in Taiwan to prove that they have relinquished their Chinese household registration and passport. Taiwan already requires Chinese mainlanders to give up those documents, but has not required them to provide proof. The proposal is part of President Lai Ching-te’s agenda to increase security against mainland infiltration.