October 18 – October 24
Highlights: China orders outbound investors to report any foreign demands that they hand over technology or data or sell assets; Hong Kong's independent investigation into a 2025 highrise fire that killed 168 people ends with a final report; Japan's Cabinet submits a bill to require government approval for land transfers near military or coast guard facilities and on remote border islands; South Korea's Constitutional Court begins public hearings on petitions to overturn Supreme Court rulings under a new system that critics call a fourth tier of appeal; Taiwan’s premier orders protection for election candidates after five men were accused of taking money from a Chinese national to injure a comedian who mocked Xi Jinping.
China
The National Development and Reform Commission issued Measures for the Administration of Outbound Investment (对外投资管理办法) that require investors to report major adverse developments abroad, including foreign demands to hand over technology or data or dispose of stakes or assets. The commission said some countries have imposed such demands to discriminate against Chinese investors. The measures apply to individuals as well as companies. They take effect December 1 and replace rules issued in 2017.
The Ministry of Commerce and General Administration of Customs announced export controls on tunnel boring machines and their key parts and technology, effective November 18. Exporters will need licenses under the Regulations on Export Control of Dual-Use Items (两用物项出口管制条例). China is a leading supplier of the machines, which are used to build subways and highways. Together with the Central Military Commission's Equipment Development Department, the two agencies also added certain drone motors, speed controllers, and carbon fiber blades to the control list. They eased licensing for some agricultural spray drones.
The Chinese AI developers DeepSeek and MiniMax completed newly required export registration procedures less than a week after two government ministries proposed new export restrictions on AI and other advanced technologies. Yuyuan Tantian, a social media account affiliated with state broadcaster CCTV, said most AI technologies will remain freely exportable and that regulators are distinguishing between the transfer of underlying AI technology and providing commercial AI services abroad.
The General Office of the State Council issued a document that calls for using AI to create jobs while mitigating the job losses it causes. According to the Opinions on Adapting to the Development of Artificial Intelligence Technology and Building an Employment-Friendly Development Model (关于适应人工智能技术发展助力构建就业友好型的意见), authorities should monitor AI-related employment risks and support the re-employment of workers displaced by AI.
New Supreme People's Court Regulations on Pursuing Judicial Responsibility in People's Courts (人民法院司法责任追究条例) regulations hold judges and other court personnel accountable for life for intentional breaches of judicial duty or gross negligence that has serious consequences. Judges are not liable merely because a ruling is later revised—for example, because of reasonable differences in interpreting the law. The regulations codify reforms begun more than a decade ago to make the judges who hear cases-rather than senior court personnel-responsible for deciding the cases. The Communist Party's Central Political and Legal Affairs Commission approved the regulations.
The National People's Congress Standing Committee announced its next meeting will be November 2-6, 2026. It will consider a draft amendment to the Criminal Procedure Law (刑事诉讼法) and drafts of a Financial Law (金融法), Anti-Transnational Corruption Law (反跨境腐败法), and Procuratorial Public Interest Litigation Law (检察公益诉讼法). Legislators also will consider ratifying the Agreement on the Establishment of the World Artificial Intelligence Cooperation Organization (关于成立世界人工智能合作组织的协定). The Chinese-led body was established in July.
Chinese Human Rights Defenders, an advocacy group, reported that Guangzhou police have held labor rights advocate Feng Rui since September 14 on suspicion of “picking quarrels and provoking trouble,” a vaguely defined public order offense. Since 2021, Feng has compiled annual reviews of labor disputes from public sources on his WeChat account, covering wage arrears, workplace accidents, and gig workers. The group said police have interrogated him almost daily, sometimes three times a day, even when he was so weak he had to be moved in a wheelchair.
The China Securities Regulatory Commission approved Citigroup's application to set up a wholly owned securities firm in Shanghai. Citi applied in late 2021. Japan's Mizuho Financial Group said it also received a license for a wholly owned securities firm in China. Last week the People's Bank of China gave Visa preliminary approval to set up a bank card clearing company.
The Ministry of Industry and Information Technology proposed rules requiring cars capable of conditional self-driving (Level 3 or higher) to display blue-green exterior lights when the system is engaged. The lights would distinguish such cars from those with only driver-assistance features. In a separate draft measure, the ministry would require automakers to file with authorities before updating smart cockpit software or changing automated-driving hardware in ways that could affect safety. Last week the ministry and three other agencies proposed requiring tests of novel design features before new models are approved.
The Communist Party's Central Commission for Discipline Inspection announced that Beijing Executive Vice Mayor Xia Linmao, 56, is under investigation for suspected serious violations of discipline and law. The phrase is the standard formula for suspected corruption. Xia ran the municipal government's day-to-day work. The announcement came days before the party's Central Committee meets October 26 to 29 for a plenum that state media say will focus on party discipline.
Hong Kong
An independent committee chaired by Judge David Lok submitted its final report on the November 2025 fire at Wang Fuk Court, a subsidized housing estate in Tai Po. The fire engulfed seven buildings during renovation work and killed 168 people. The government said it will take legal advice before publishing the report because criminal charges are pending. Local media, citing unnamed sources, reported that the report blames the main contractor and a consultancy. They said it finds that four government departments neglected their duties, but does not name any individual officials. Secretary for Security Chris Tang said the government will propose fire safety reforms.
In an unrelated case, the Electrical and Mechanical Services Department said that lift contractor Taizoom Elevator failed to install smoke-seal door frame components in lifts at 338 private buildings. The components keep fire and smoke out of lift shafts.
The government tabled measures in the Legislative Council to implement a title registration system for newly granted land, starting in the first half of 2027. Land records are now open to anyone. The regulations would limit searches to nine specific purposes, which do not include news reporting. Journalists would have to seek the land registrar's approval on public-interest grounds. The government said the change protects privacy. The Hong Kong Journalists Association urged the government to drop the new limits.
The government also tabled court rules to implement a new arrangement with China's Supreme People's Court on cross-border service of judicial documents. The arrangement adds new ways to serve parties on the mainland in civil and commercial cases, including divorces. Requests for cross-border service have surged in recent years. The new arrangement will replace one in place for more than twenty-seven years when it takes effect on March 30, 2027.
Nominations closed for the November 22 elections to the Election Committee, which chooses the city's chief executive and nearly half of its legislature. Candidates outnumber seats in thirty-one of the thirty-six sub-sectors. Only thirteen were contested in 2021. That election was the first after China’s central government overhauled the city’s electoral system to ensure that only “patriots” can run for office.
The Securities and Futures Commission began proceedings in the Market Misconduct Tribunal against three executives of the listed company Taste Gourmet and five associates for allegedly manipulating its share price in 2020. The commission said the trading was meant to meet the HK$500 million (US$64 million) market capitalization required to move the listing from GEM, a board for smaller companies, to the Main Board.
Japan
The Cabinet approved a bill revising the Act on the Review and Regulation of the Use of Real Estate Surrounding Important Facilities and on Remote Territorial Islands (重要施設周辺及び国境離島等における土地等の利用状況の調査及び利用の規制等に関する法律), and submitted it to the Diet. The bill would require advance government approval to buy or transfer land in new restricted zones. The zones cover uninhabited border islands and land within about one kilometer of Self-Defense Forces and coast guard facilities vulnerable to drone attacks. Transfers to foreign governments or military personnel would generally be prohibited. Current law requires only advance notice.
The Ministry of Internal Affairs and Communications released draft guidelines requiring thirteen major social media operators to curb election misinformation and disinformation. The guidelines are intended to implement a revision of the Information Distribution Platform Act (情報流通プラットフォーム対処法) that takes effect March 1, 2027, ahead of nationwide local elections. They would require operators to screen users of monetization features, suspend monetization of posts that undermine electoral fairness, label harmful AI-generated images and videos, and shut down bot accounts.
The Supreme Court dismissed an appeal by Tokyo residents seeking to invalidate the June 2025 Tokyo Metropolitan Assembly election. The residents argued that keeping a separate electoral district for Tokyo's sparsely populated outlying islands violates the constitutional guarantee of equal voting weight. The court held that keeping the island district was within the assembly's reasonable discretion.
Courts in Tokyo, Saitama, Chiba, and Kanagawa will begin issuing arrest and search warrants online by March 2027, starting with stimulant drug cases, Supreme Court sources said. Police officers now must visit courts in person to obtain printed warrants. The change implements a revision of the Code of Criminal Procedure (刑事訴訟法) that digitizes criminal procedure.
The government said it has revised application documents for all 322 national professional qualifications, including those for doctors and nursery teachers, so that Taiwanese applicants no longer have to list “China” as their nationality. The forms now ask for “nationality and region.” As of 2022, ninety qualifications required Taiwanese applicants to write “China.” Family register forms were similarly changed in May 2025.
The Tsu District Court sentenced a former truck driver to seven years in prison, the maximum penalty for negligent driving causing death, for causing an expressway crash that killed six people. Prosecutors said Mitsuyo Mizutani, 55, took her eyes off the road for about thirteen seconds while watching cooking videos on TikTok.
Koreas
The South Korean Constitutional Court held its first public hearings on petitions asking it to overturn Supreme Court rulings. Amendments to the Constitutional Court Act that took effect in March allow parties to challenge final court judgments that infringe their constitutional rights, creating what critics call a fourth tier of appeal. In one such case, a lawyer argued that the Criminal Procedure Act unconstitutionally denies copies of search warrants to people searched as witnesses rather than suspects. In another, GC Biopharma argued that the Supreme Court violated its right to a trial by dismissing its appeal against a Fair Trade Commission bid-rigging fine without stating reasons.
South Korean Ambassador to the United Nations Cha Ji-hoon asked the Security Council to hold North Korea responsible for a September land mine explosion in the Demilitarized Zone that injured three South Korean soldiers. Seoul says the mines were planted in violation of the 1953 armistice that ended the Korean War. The South Korean Defense Ministry said the two sides disagree about the location of the DMZ in some places and proposed military talks to verify the location of the border, restore military hotlines, and prevent accidental clashes.
The South Korean Ministry of Employment and Labor said its inspection of the US-based online retailer Coupang found 205 violations of the Occupational Safety and Health Act at 105 logistics sites. It referred sixty-one violations for criminal action and imposed fines of 1.96 billion won (US$1.4 million) for the rest. Coupang is separately fighting South Korean government fines for a massive 2025 data breach and an antitrust violation stemming from its search algorithms. Coupang’s Korean American founder has won support among US Republican congressmen, who allege that South Korea is discriminating against a US company.
The Seoul High Court reduced the prison sentence of former Justice Minister Park Sung-jae to nine years, from twenty-five, for his role in former President Yoon Suk Yeol's December 2024 declaration of martial law. The court upheld his conviction for playing a key role in an insurrection, including ordering preparations for exit bans and checks on prison capacity. It overturned his convictions on other charges.
The Seoul High Court acquitted Seoul Mayor Oh Se-hoon of violating the Political Funds Act, overturning a lower court’s fine of 10 million won (US$7,500) that would have cost him his office if upheld. Prosecutors alleged that a supporter paid a political broker for opinion polls for Oh's 2021 campaign. The court said the broker's testimony was the only direct evidence and was inconsistent. The special counsel plans to appeal.
The South Korean Constitutional Court suspended a decision barring opposition lawmaker Lee Jin-sook from a National Assembly committee's annual audit of the Korea Communications Commission. The ruling Democratic Party and several minor parties had voted to exclude Lee because she formerly headed the commission. The court allowed Lee to attend the audit but barred her from speaking on matters concerning herself until it rules on her party's challenge to the National Assembly's authority. The Korea Herald said it was the first time the court has suspended an Assembly decision restricting a lawmaker's role in an audit.
The Seoul High Court upheld the convictions of three senior officials of former President Moon Jae-in's administration for forcibly repatriating two North Korean fishermen in 2019 despite their stated wish to defect. The court said the officials violated the fishermen's basic rights, including their right to a trial. The fishermen were accused of killing sixteen fellow crew members. The court overturned the conviction of a fourth official, former presidential chief of staff Noh Young-min.
The South Korean Cabinet approved the promulgation of amendments to the Occupational Safety and Health Act. The amendments allow authorities to fine an employer up to 5 percent of operating profit when three or more of workers die in workplace accidents within a year. They also require employers to stop work when a worker requests it because of an imminent risk of an accident.
The South Korean Supreme Court upheld a four-year prison sentence for the chief executive of battery maker Aricell under the Serious Accidents Punishment Act in connection with a 2024 factory fire that killed twenty-three workers. Eighteen were foreign nationals. The law punishes executives who fail to put in place systems to prevent fatal workplace accidents.
The South Korean Constitutional Court upheld a Public Officials Pension Act provision that delays retirement pensions for officials hired from 1996 through 2009 until ages 62 to 65, depending on the year they retire. Public officials must retire at 60. The provision therefore leaves some without salary or pension for up to five years. Four of the eight justices found the provision unconstitutional. Striking down a law requires six votes.
The South Korean Constitutional Court upheld, 8-1, a Criminal Act provision that sets a minimum sentence of seven years for killing one's own or one's spouse's parent, compared with five years for ordinary murder. In dissent, Justice Ma Eun-hyeok said that some such killings follow years of abuse by the victim, and that the minimum sentence rules out a suspended sentence in most cases.
The Korea Coast Guard ordered bonds of up to 1.5 billion won (US$1.13 million) each for Chinese fishing boats seized near the de facto maritime border with North Korea. Amendments to South Korea's Act on the Exercise of Sovereign Rights over Foreigners' Fishing in the Exclusive Economic Zone raised the maximum bond five-fold in May to deter illegal fishing. Under the UN Convention on the Law of the Sea, seized fishing vessels and crews must be promptly released once a reasonable bond is posted.
The Seoul High Court ruled against the US private equity firm Lone Star in its suit to recover about 168 billion won (US$118 million) in withholding taxes from the national and Seoul city governments. The Supreme Court had sent the case back after holding that the right to a refund of tax withheld at source belongs to the institutions that withheld it, not to Lone Star. The dispute stems from Lone Star's purchases of Korea Exchange Bank and other companies between 2002 and 2005.
The Seoul High Court upheld the conviction of former special prosecutor Park Young-soo, who led the 2017 investigation of former President Park Geun-hye, on charges of taking money from private developers in return for favors. However, the appeals court reduced Park Young-soo’s sentence from seven years to six after finding that the amount of money he accepted was less than originally determined. Park had been a candidate to lead the Korean Bar Association.
North Korean leader Kim Jong Un made a surprise visit to the Chinese border city of Dandong. Together with senior Chinese Party official Wang Huning, he laid a wreath at the monument to the Chinese People's Volunteers to commemorate the Chinese soldiers who fell during the Korean War. Kim also visited a car factory in Dandong before returning to North Korea via a bridge over the Yalu River that was inaugurated a few weeks earlier.
Taiwan
Premier Cho Jung-tai (卓榮泰) expressed concern about a series of attacks allegedly instigated by China on persons in Taiwan, and ordered law enforcement agencies to provide special protection to candidates in the November 28 local elections.
Cho acted after New Taipei prosecutors indicted five men on charges of attempted serious injury for allegedly staging a traffic collision that injured Huang Yi-hao (黃逸豪), a comedian who has mocked Chinese leader Xi Jinping on stage. Prosecutors said an unidentified Chinese national promised the five men NT$450,000 (US$13,900) to break Huang's arms and legs, and said it was an attempt by the Chinese Communist Party to silence critics. In May, two people were prosecuted for throwing feces and paint at a Taipei club where Huang was to perform.
The Fair Trade Commission blocked Singapore-based Grab Holdings' proposed US$600 million acquisition of foodpanda's Taiwan business. Foodpanda and Uber Eats dominate Taiwan's food delivery market. Uber Eats’ parent company holds a 13 percent stake in Grab, and the commission said other past and current business ties could reduce Grab's incentive to compete with Uber Eats. Grab may reapply.
The Taipei High Administrative Court rejected a request by China-born former legislator Li Zhenxiu (李貞秀) for an injunction allowing her to run for mayor of Zhubei City (竹北市). The Act Governing Relations between the People of the Taiwan Area and the Mainland Area (臺灣地區與大陸地區人民關係條例) requires people from China to hold household registration in Taiwan for ten years before running for office. Li registered in Taiwan in 1999, but did not prove she had given up her Chinese household registration until 2025. The Mainland Affairs Council says this means she cannot run for elected office until 2035.
The National Immigration Agency deported a Chinese influencer known on Instagram as @Berlinsun after Kaohsiung health authorities fined him NT$200,000 (US$6,100) for advertising reproductive services including surrogacy to same-sex couples. Commercial surrogacy is illegal in Taiwan. A second foreign national was deported with him. The agency said they engaged in activities inconsistent with their tourist status.
The Mainland Affairs Council said it refused entry to Chinese actor Zhang Linghe (張凌赫) due to his social media posts disparaging Taiwan's sovereignty and his appearance at the Straits Forum, which it calls a platform for Beijing's efforts to win over Taiwanese.
The Taiwan High Prosecutors Office indicted four people, including a retired military police captain already facing separate espionage charges, for allegedly helping Chinese contacts pay Taiwanese service members for classified military information. Prosecutors said the captain converted cryptocurrency from Chinese contacts into cash, and paid service members through accounts that the other defendants provided.
The Executive Yuan, Taiwan's cabinet, approved draft amendments to the Patent Act (專利法) that would allow computer icons and graphical user interfaces to be protected as designs in their own right. They would also extend the grace period for design patent applications to twelve months from six.