This Week in Asian Law

June 8-14

China

Senior US and Chinese negotiators agreed on a framework to get their trade negotiations back on track after a series of disputes that threatened to derail them. The announcement followed two days of talks in London. Details, including any plans for a next round of talks, were not available.

New rules on facial recognition took effect on June 1. Issued in March by the Cyberspace Administration of China (CAC) and the Ministry of Public Security, the “Measures for the Security Management of Facial Recognition Technology Applications” 《人脸识别技术应用安全管理办法 》mandate clear, informed, and revocable consent for collecting facial data, require alternate verification methods for those unable or unwilling to use facial recognition, and prohibit the installation of such systems in private spaces like restrooms and hotel rooms. The regulations also impose stricter filing and data-handling requirements for large-scale processors.

The Chinese Communist Party Central Committee and State Council jointly issued a document once again calling for the elimination of all household registration restrictions on workers participating in social insurance programs. The June 9, 2025 Opinion Regarding Further Safeguarding and Improving People's Livelihoods and Striving to Solve the Urgent Difficulties and Sorrows of the Masses《中共中央办公厅国务院办公厅关于进一步保障和改善民生着力解决群众急难愁盼的意见》call on local authorities and employers to give workers equal access to pensions, healthcare, and other social security benefits regardless of their official residency status. Some cities have already moved in this direction but significant challenges remain because of the fragmented, local structure of China’s social insurance system.

Local officials are encouraging businesses to create “mom jobs” (妈妈岗), flexible and often part-time jobs that can easily be combined with caring for young children. The shorter hours and flexible arrangements are welcome. But a debate has risen on social media about whether such jobs are really traps for women. Most are in the service and light industry sectors, such as housekeeping, childcare, eldercare, and sewing, requiring relatively few skills and offering low wages. Critics warn that such jobs could reinforce traditional gender roles and sideline highly educated or experienced women.

The US Department of Justice said a Chinese national pleaded guilty to acting as an illegal agent of North Korea by helping to smuggle firearms, ammunition, and sensitive military technology to that country. Shenghua Wen, who entered the US on a student visa in 2012 and overstayed, purchased a firearms business in Texas, bought items for North Korea, and concealed them in shipping containers departing from the Port of Long Beach, California.

Hong Kong

The China Labor Bulletin, which for 31 years advocated for Chinese workers’ rights and tracked workers’ strikes, protests, workplace accidents, and other labor rights incidents in China, abruptly announced its closure. News reports said a statement on an archived webpage blamed financial difficulties; its website appeared to be offline soon after. CLB was founded and led by Han Dongfang, who as a young railway worker helped organize worker protests during the 1989 protests in Beijing’s Tiananmen Square. Taiwan’s Central News Agency said Han told them that the shutdown was his decision and he would stay in Hong Kong.

Hong Kong Chief Executive John Lee said new national security conditions attached to restaurant and entertainment business licenses are appropriate. Licenses may be revoked if business owners, employees, or affiliates engage in conduct deemed harmful to national security. Some business owners expressed concern over the vague language. Cafes and restaurants that have displayed pro-democracy posters, symbols, or images have already been targeted by regulators conducting enhanced tax, customs, or fire safety checks.

Hong Kong police and China's national security authorities carried out their first known joint operation under the 2020 National Security Law, raiding the homes of six persons suspected of colluding with foreign forces. Police also searched an undisclosed organization’s office, seizing bank records and electronic devices, and required the suspects to surrender their travel documents.

National security police banned a Taiwan-developed video game that they said promotes secession and told residents to immediately uninstall it. The game, Reversed Front: Bonfire, developed by ESC Taiwan, takes players through a war to “overthrow the communist regime.” Players can assume the roles of Hong Kong, Tibet, Taiwan, the Uyghurs, and Mongolia. It has been removed from Google’s Play Store in Hong Kong but remained available on the Apple App Store as of June 11.

Hong Kong will maintain its currency peg to the US dollar despite recent volatility and escalating geopolitical tensions, Chief Executive John Lee said in an interview. The Hong Kong Monetary Authority recently intervened heavily to defend the peg, injecting HK$129.4 billion to keep the exchange rate within the 7.75 to 7.85 range per US dollar. At the same time, Lee said Hong Kong aims to strengthen its role as the leading global offshore yuan hub by diversifying yuan-related financial products.

Japan

The ruling Liberal Democratic Party and opposition parties agreed to defer a decision on reforming political donation rules until autumn or later, as they deemed it difficult to pass any legislation before the current parliamentary session ends on June 22. The LDP supports enhancing disclosure of donations, but opposition parties want a full ban on corporate donations. No proposal received majority support.

The trial of the man accused of killing former Prime Minister Shinzo Abe is scheduled to begin on October 28, local media reported. Tetsuya Yamagami, now in pretrial detention, is accused of shooting Abe in broad daylight in Nara while he was on the campaign trail in July 2022. Yamagami, 44, is believed to have targeted Abe over his ties to the Unification Church.

The upper house of the Diet enacted into law a pension reform bill that will boost basic pension benefits. The bill also expands the category of persons who are required to pay into the government- managed employment-based pension and health insurance system, called kosei nenkin (厚生年金). Under the new legislation, most part-timers who work more than 20 hours a week will be required to pay into pension and health-insurance schemes regardless of income levels and company size. The previous rules, in place since 1986, exempted persons earning less than ¥1.3 million a year from joining the kōsei nenkin program. The largest group of such workers were women working part-time so they could raise children.

The Financial Services Agency reported a surge in online brokerage account hijackings, with over 5,800 unauthorized transactions and more than ¥500 billion in fraudulent trading recorded between March and May 2025. The attacks, carried out using phishing, malware, and other techniques, exploit security gaps like the lack of mandatory multi-factor authentication (MFA) at many brokerages.

US President Donald Trump signed an executive order paving the way for a Nippon Steel investment in U.S. Steel as long as Nippon Steel complies with a government national security agreement. The two companies said the agreement stipulates that approximately $11 billion in new investments will be made by 2028 and gives the US government a “golden share” — essentially veto power to ensure that national security interests are protected against cutbacks in steel production.

Koreas

Two South Korean courts postponed indefinitely criminal proceedings against newly elected President Lee Jae-myung. On June 9, the Seoul High Court said it was postponing Lee’s retrial for alleged election law violations. It cited Article 84 of the Constitution, which protects a sitting president from criminal prosecution unless the president is accused of insurrection or treason. The charges relate to statements alleged to be false that Lee made while campaigning for president in 2022. On June 10, the Seoul Central District Court said it was postponing Lee’s trial on charges of development corruption and bribery arising from his term as mayor of Seongnam.

The Democratic Party, which now controls both the presidency and legislature, unveiled a controversial package of bills to abolish the Supreme Prosecutors' Office and replace it with three new bodies: a Prosecution Service Office under the Justice Ministry to handle indictments, a Serious Crimes Investigation Agency under the Interior Ministry for investigations, and a National Investigation Commission, a new body under the Office of the Prime Minister that would coordinate the other agencies. The restructuring aims to separate prosecutorial and investigative powers. Opponents said the changes could erode institutional independence, politicize investigations, and harm judicial integrity.

South Korean President Lee Jae-myung approved legislation authorizing three sweeping special investigations into former President Yoon Suk Yeol’s brief martial law decree, corruption allegations against his wife, and a suspected military cover-up of a marine’s 2023 flood rescue death. Lee designated three independent counsels to lead the investigations, and the Corruption Investigation Office for High-ranking Officials searched the presidential archives for materials related to the marine death. Yoon’s party accused Lee of pursuing political revenge.

Taiwan

A coalition of 18 civil society groups led by the Judicial Reform Foundation urged lawmakers to carefully reconsider a proposed amendment to the Court Organization Act that would permit live broadcasts of courtroom proceedings. The groups told a news conference that live broadcasts could infringe on defendants’ rights and undermine fair trials, and expressed concern that the amendment had been rushed.

The Taipei District Prosecutors Office indicted four former members of the ruling Democratic Progressive Party (DPP) on charges of spying for China. The four are a former county council assistant and three ex-advisers to high-level government bodies. Prosecutors allege they passed confidential information—possibly including the overseas schedules of Taiwan’s president and vice president—to Chinese contacts.

The Taipei District Court cleared two leaders of the tiny Taiwan People’s Communist Party of charges of promoting China’s policies in violation of the Public Officials Election and Recall Act (公職人員選舉罷免法) and the Anti-infiltration Act (反滲透法). Prosecutors had indicted Party Chairman Lin Te-wang (林德旺) and Vice Chairman Cheng Chien-hsin (鄭建炘) in 2023 for allegedly taking funds from China and illegally importing Chinese-made COVID-19 rapid test kits.

Five members of France’s National Assembly visited Taiwan and met with President Lai Ching-te (賴清德) and other senior officials. France and Taiwan do not have official relations but they have exchanged representative offices and France has sold major weapons systems to Taiwan. The National Assembly has a Taiwan Friendship Group and its chair, Marie-Noelle Battistel, led the delegation on a visit billed as pursuing cooperation in energy, semiconductors, and youth and cultural exchanges.

The minister of health and welfare denied media reports suggesting that it may exempt sexual harassment offenders from fines if the offenders complete gender equity courses and pass a test. Minister Chiu Tai-yuan threatened legal action against those spreading rumors. Other officials said that a recent sexual violence prevention forum discussed the concept of corrective education, but no consensus was reached and the ministry never received or considered such a policy proposal.