China’s overcapacity results from state interference in markets, say analysts

washington — U.S. Treasury Secretary Janet Yellen is on a five-day visit to China, where she expressed concern to Chinese officials Friday about state subsidies that fuel manufacturing overcapacity in industries such as electric vehicles, solar panels and semiconductors.

U.S. officials and economists have warned that China’s overcapacity — when its production ability significantly exceeds what is needed in markets — will further drive down prices and cost jobs, especially if China seeks to offload excess production through exports instead of domestic consumption.

U.S. President Joe Biden, in a phone call with Chinese President Xi Jinping Tuesday, said China’s “unfair” trade policies and “non-market” practices harm the interests of American workers and families.

China’s Foreign Ministry spokesperson Wang Wenbin gave reporters at a regular briefing Wednesday a rundown of the conversation the two leaders had on trade, according to Beijing. He said “the U.S. has adopted a string of measures to suppress China’s trade and technology development and is adding more and more Chinese entities to its sanctions lists. This is not ‘de-risking,’ but creating risks.”

So, when is an industry at overcapacity?

Gary Clyde Hufbauer, a senior fellow at the Peterson Institute for International Economics, said that for capital-intensive industries such as steel, oil refining and semiconductors, when capacity utilization is below 75% for an extended period of time, most observers would label that excess capacity.

Hufbauer told VOA that China’s massive government-stimulated and bank-financed investment has resulted in almost all the country’s capital-intensive manufacturing industries having overcapacity.

“If China does pursue a massive export ‘solution,’ that will hurt manufacturing firms in Japan, the E.U., Korea and other industrial countries. But low prices will be welcome in many developing countries in Latin America, Africa and Asia,” he said.

A report last week by the New York-based Rhodium Group, which researches the Chinese market, shows that the utilization rate of China’s silicon wafer capacity dropped from 78% in 2019 to 57% in 2022. In 2022, China’s lithium-ion battery production reached 1.9 times the domestic installation volume, showing that the problem of overcapacity in clean energy fields is emerging.

China’s exports of electric vehicles, solar cells and lithium batteries have increased even more significantly. Data shows that in 2023, China’s electric vehicle export volume was seven times that of 2019, while its solar cell export volume in 2023 was five times that of 2018, an increase of 40% from 2022.

The report notes that while temporary overcapacity may be harmless and a normal part of the market cycle, it becomes a problem when it is perpetuated by government intervention.

The Rhodium Group’s report says that China’s National People’s Congress in March focused on industrial policies that benefit high-tech industries, while there is little financial support for household consumption.

“This policy mix will compound the growing imbalance between domestic supply and demand,” says the report. “Systemic bias toward supporting producers rather than households or consumers allows Chinese firms to ramp up production despite low margins, without the fear of bankruptcy that constrains firms in market economies.”

Overcapacity a decade ago

China’s structural overcapacity problem is not a new phenomenon. Rhodium Group’s report says the last time China had large overcapacity issues was from 2014 to 2016, a few years after the government launched a massive stimulus package in response to the global financial crisis that began in 2008. The stimulus package centered on infrastructure and real estate construction, triggering major capacity build-up in a range of associated industries.

In 2014, as the demand for real estate and infrastructure construction weakened, there was obvious overcapacity in heavy industrial products such as steel and aluminum.

“Ultimately, China’s excess capacity is due to state interference in the market,” said Derek Scissors, a senior fellow at the American Enterprise Institute. “Genuinely private participants can’t sustain excess capacity for long because it causes losses. But state support for production of some goods and services, called “strategic” or something like that, enables companies to survive despite these losses.”

Scissors said China’s overcapacity in the new energy sectors of electric vehicles, solar panels and batteries concerns the Biden administration as it wants to expand those sectors in the U.S.

“The U.S. has raised concerns about Chinese overproduction for years,” he told VOA. “What’s changed is there is now emerging American industrial policy clashing with long-standing and widespread Chinese industrial policy.”

The Rhodium Group’s report says China’s surge in exports of new energy products over the past few years could be devastating for market-constrained producers in advanced economies such as the U.S.

Beijing’s policy planning will exacerbate the growing imbalance between domestic supply and demand, it reads, putting China on the road to trade confrontation with the rest of the world.

Adrianna Zhang contributed to this report.

US official urges China to address ‘industrial overcapacity’

washington — U.S. Treasury Secretary Janet Yellen called on China Friday to address its industrial overcapacity, reform its trade practices and create a “healthy economic relationship” with the United States.

“The United States seeks a healthy economic relationship with China that benefits both sides,” Yellen said in remarks in the industrial southern Chinese city of Guangzhou. “But a healthy relationship must provide a level playing field for firms and workers in both countries.”

Yellen also met with Chinese Vice Premier He Lifeng and other high-level central bank officials Friday. During the meeting, Yellen told Chinese officials that their industrial overcapacity, particularly in green energy sectors, threaten American production of electric vehicles and solar panel parts.

China has supported its solar panel and EV makers through subsidies, building production capacity far beyond the domestic market’s demand and exporting its products globally. Although this production has massively cheapened prices for these green products — crucial in efforts to fight climate change — American and European governments worry that Chinese products will flood the market and put their own domestic production at risk.

During a meeting Friday with Guangdong province Governor Wang Weizhong, Yellen said the U.S. and China must communicate regarding areas of disagreement, including green industrial policy.

“This includes the issue of China’s industrial overcapacity, which the United States and other countries are concerned can cause global spillovers,” she said.

China has sought to downplay these concerns, with Foreign Ministry spokesperson Wang Wenbin noting earlier this week that China’s green production is a positive in global efforts to reduce carbon emissions.

Wang said U.S. reluctance to export technology to China, a policy related to U.S. fears of industrial overcapacity, meddles with global supply and demand.

“As for who is doing nonmarket manipulation, the fact is for everyone to see,” he said. “The U.S. has not stopped taking measures to contain China’s trade and technology. This is not ‘de-risking,’ rather, it is creating risks.”

Beyond addressing overcapacity, Yellen also expressed concerns about Chinese trade practices.

Yellen said China has pursued “unfair economic practices, including imposing barriers to access for foreign firms and taking coercive actions against American companies.”

She urged Chinese officials to reform these policies.

“I strongly believe that this doesn’t only hurt these American firms,” Yellen said in a speech at an event hosted by the American Chamber of Commerce in Guangzhou. “Ending these unfair practices would benefit China by improving the business climate here.”

Yellen’s visit to China, her second, marks the first visit by a senior U.S. official to China since November meetings between U.S. President Joe Biden and Chinese President Xi Jinping.

Both He and Yellen said the U.S. and China need to, in He’s words, “properly respond to key concerns of the other side” to form a more cooperative economic relationship.

Yellen said, “It also remains crucial for the two largest economies to seek progress on global challenges like climate change and debt distress in emerging markets in developing countries and to closely communicate on issues of concern such as overcapacity and national security-related economic actions.”

She added that U.S. efforts to push Chinese policies are geared toward reducing global risk.

“This is not anti-China policy,” she said. “It’s an effort for us to mitigate the risks from the inevitable global economic dislocation that will result if China doesn’t adjust its policies.”

Ukraine’s ambassador to US: ‘We need to win,’ but need ammunition now

WASHINGTON — Next week could prove pivotal for Ukraine, as U.S. legislators reconvene following the Easter break. One of the most pressing topics for discussion is President Joe Biden’s supplemental request, which includes $61 billion for Ukraine. Without these funds, U.S. aid to Ukraine will have de facto halted.

Meanwhile, House of Representatives Speaker Mike Johnson has indicated a potential willingness to provide weapons to Ukraine on loan. Would this address Kyiv’s immediate needs? What are the repercussions of delaying this aid? And what are the prospects for its swift approval? We discussed this with Ukrainian Ambassador to the U.S. Oksana Markarova on Thursday.

The interview has been edited for clarity and brevity.

VOA: Madam Ambassador, since the very beginning of the full-scale invasion of Ukraine, you’ve been advocating for more help from the American partners. President Volodymyr Zelenskyy once reportedly said, “I need ammunition, not a ride.” And today, as Russians are gathering their troops and may be getting ready for another offensive, what does Ukraine need to stand strong?

Oksana Markarova, Ukrainian ambassador to the U.S.: Well, nothing has changed, and it will not change until we win. So, from President Zelenskyy to defenders on the front line to everyone, including myself here in Washington, we have only one message: We need to win. And for that, we need more weapons, more ammunition, more support for Ukraine and more sanctions, isolation and bringing Russia to justice.

Right now, we’re at a pivotal moment in this fight. During the past two years, we have been able to liberate 50% of the territories. Last year, we literally liberated the Black Sea. We’re conducting very successful strikes against the Russian military, but we are not yet at the point where we can claim victory, and that is solely due to the availability of weapons and support. So, we must stay the course. We have to continue doing what has worked before. And we must do more.

VOA: President Biden has said multiple times that Ukraine has support among Republicans and Democrats on the Hill. However, the supplemental [aid package] has not resulted in a vote, mainly due to a couple of legislators, including Speaker Johnson. When President Zelenskyy visited Washington, you participated in a meeting with Mr. Johnson. I’m curious, what did you have to say to convince him to pass this legislation?

Markarova: We do have strong bipartisan support, and not only do we feel it, but we know it. We are talking to so many people on the Hill and to ordinary citizens, and we hear strong expressions of support from everyone, including Speaker Johnson. I mean, he was publicly supportive of why Ukraine needs to win.

Now, this year has been difficult, and I know that’s not an excuse; it’s just that we have to work harder. This is the fifth supplementary package; four of those we had during the last two years. And not all of them were easy to pass. But this one started as the Ukraine supplementary; it was during Speaker [Kevin] McCarthy’s time, then there was a change of speakership, then there were discussions about a joint supplementary. So, there were many issues which are very important for the United States, not related to Ukraine. We were made part of the package, which delayed discussions on this Ukrainian supplementary bill at different stages.

Now, since February, when the Senate passed a supplementary package for Ukraine, Israel and Taiwan, there has been very active discussion on the Hill. We just needed that support yesterday. And I think the majority of people in the House also understand it. So, we all look forward to next week when the House will come back after the recess. And I really hope, as we heard Speaker Johnson saying, that this is going to be one of the first things that the House will start discussing. We need decisions.

VOA: As you said, the political environment in Washington, D.C., is quite dynamic. So, you had to talk to multiple speakers and the speakers have changed over the last year, a couple of times. How do you deliver those messages regarding Ukraine’s needs? Is it hard to find this human-to-human contact with them?

Markarova: Well, it’s a big team that works on it. And as you said, President Zelenskyy met with Speaker Johnson when he was here. They just had a very good phone call last week. But when I talk to people, whether it’s the speaker’s office or any senator’s, congressman’s, administration, anyone, I don’t think it’s hard to find a style, as you said, of how to talk.

Ukraine is just sharing what really happens on the ground. You know, truth is our best weapon, as we say. We don’t need to come up with ways to say it. We are just informing our friends of what’s going on and why it is important for all of us to win. Putin says publicly that his goal and intent did not change. He wants to destroy us. Everyone understands that this war was unprovoked, that he attacked us for no reason at all. It’s a genocidal, terroristic war of an autocratic state against a peaceful, democratic, much smaller neighbor.

VOA: Do Americans understand the Ukrainian pain here?

Markarova: Yes. When you explain it to them, yes. The problem is getting information to them. Because there is so much going on, and when you are not on TV, sometimes you disappear from the discussion. And frankly, people in some areas ask me whether the war is still ongoing. I don’t mean to criticize them. I’m … saying we have to remind people about us.

That’s why all the brave journalists we have in Ukraine keep working. It’s because of them people throughout the globe were able to see what’s happening, and we have already lost, as you know, more than 70 people in Ukraine. They were journalists, camera people. Russia targets them.

VOA: Ambassador, Speaker Johnson indicated recently that he may be willing to consider a loan to Ukraine, say, a Lend-Lease Act 2.0. However, the State Department has criticized these efforts saying that it’s not acceptable to put more burdens on Ukraine during the war. In the light of this dire situation on the front line, would Ukraine consider this option of getting a loan instead of the supplemental?

Markarova: The Lend-Lease Act, adopted in 2022, addressed a portion of the military support provided during the presidential drawdown. This allowed the United States to provide not only grants through PDA from their own stockpiles but also lease or loan items. What is being discussed now, and again, there are several options, but in general, it’s to provide support to Ukraine in the form of a loan. We’ve heard about 0% loans, long-term loans, among other options. We will see the actual proposal when it’s presented.

Of course, we would be grateful for any type of support. Grants are preferred over loans because they also contribute to our macroeconomic and public finance stability. However, if the United States decides to provide aid in the form of a loan, especially budget support, it will be more challenging and have more implications than a grant. Nevertheless, it will be much better than receiving no assistance.

We are very grateful to the U.S. for not only providing us with help for two years but also providing it in the form of grants, as you know, while other partners mostly offered concessional loans. So, that is also a viable option.

VOA: Ambassador, I’m curious, what is the first thing you plan to do once the war is over? If you can share that. Have you ever thought about it?

Markarova: Oh my God, I never thought about that. I think we all will be so happy and glad. I will probably just take a day off to watch movies and sleep for as long as I can. But jokes aside, I don’t know.

Again, right now, victory is the goal for all of us. But when we win the war, our task will not be over. The very next second, we’ll have to continue working on not only rebuilding but also bringing Russia to justice. And that’s a comprehensive, very big task that a large team in Ukraine, again, led by the president, but with the prosecutor general and all investigators, are doing. And you know, continue working, continue serving the country, continue doing what we can in order to win the peace.

 US, China hold military talks in Hawaii

pentagon — U.S. and Chinese defense officials met this week for the first time in nearly two years to talk about unsafe and aggressive incidents between the two militaries’ ships and aircraft in the Pacific region.

The talks, which ran from Wednesday through Thursday in Hawaii, mark the restart of a dialogue Beijing abruptly ended following then-House Speaker Nancy Pelosi’s visit to Taiwan, a self-governing island that China claims as its own.

Chinese officials have criticized U.S. support for Taiwan as interference.

U.S. officials said the Military Maritime Consultative Agreement (MMCA) working group reviewed safety-related events over the last few years and discussed ways to sustain operational safety and professionalism between China and the United States.

“We’ve observed a reduction in unsafe behavior between us and PLA [People’s Liberation Army] aircraft and vessels over the last several months, so we’re encouraged by that,” one U.S. official told reporters on the condition of anonymity because they lacked authorization to discuss the meetings before their conclusion.

“The United States will continue to operate safely and professionally in the Indo-Pacific wherever international law allows, and we take this responsibility seriously. Open, direct and clear communications with the PLA — and with all other military forces in the region — is of utmost importance to avoid accidents and miscommunication,” the head of the U.S. delegation, Army Colonel Ian Francis, said in a press release.

Last November U.S. President Joe Biden met with his Chinese counterpart on the sidelines of the Asia-Pacific Economic Cooperation summit in San Francisco. The first senior military-to-military contact since Pelosi’s visit to Taiwan was made about a month later, when the top U.S. military officer, General CQ Brown, spoke with his Chinese counterpart in a video call.

Officials said this week’s meetings included about 18 senior officials from each side. 

Beijing has asserted its desire to control access to the South China Sea and bring Taiwan under its control, by force if necessary. Biden has said U.S. troops would defend the democratic island from attack.

Following Pelosi’s visit to Taiwan in August 2022, China’s military has surged aggressive actions around the island — repeatedly crossing the median line in the Taiwan Strait with its warships and aircraft — and firing missiles both over Taiwan and into Japan’s exclusive economic zone.

Ely Ratner, the assistant secretary of defense for Indo-Pacific affairs, testified in October 2023 that there had been more than 180 reckless intercepts of U.S. military aircraft by Chinese aircraft in the past two years, more intercepts than U.S. officials had seen in the entire decade before that.

“And when you take into account cases of coercive and risky PLA intercepts against other states, the number increases to nearly 300 cases against U.S., allied and partner aircraft over the last two years,” Ratner said.

In one of the instances, a Chinese pilot flew within 3 meters (9.8 feet) of a U.S. Air Force B-52 in international airspace over the South China Sea.

US accuses Kenyan officials of corruption in contract awards

Nairobi, Kenya — American firms are losing out on business and contracts in Kenya because top government officials demand bribes, the U.S. trade office said in a report released last week, warning that corruption will hurt foreign investment.

According to the Office of the U.S. Trade Representative, American businesses are finding it hard to secure Kenyan government contracts meant to develop the East African nation because senior government officials seek a bribe before awarding such jobs.

The 2024 National Trade Estimate Report on Foreign Trade Barriers said that the contracts are going mainly to foreign firms willing to pay the bribes.

This level of corruption, say the authors of the report, will cause Kenya to lose future investment from businesses and countries that shun or punish corrupt activities.

Cleophas Malala, secretary general of Kenya’s ruling party, acknowledged that Kenya’s procurement and payment system has been a problem but said President William Ruto and the government are working to solve the problem.

“We know it’s a challenge to us, but the president is keen on fighting corruption. You’ve seen how hard he has been. He moved very swiftly when the KEMSA saga came up,” Malala said, referring to a corruption scandal last year involving a $28 million contract that led to the dismissal of the top officials at Kenya’s Medical Supplies Authority.

“He has been steadfast in ensuring that any public officer who gets involved in corrupt activities languishes his position and faces the rule of law,” Malala said. “As a political party, we’ve said time and again that we are not going to defend anybody.”

According to a survey by Kenya’s Ethics and Anti-Corruption Commission, the country’s interior, health and transport ministries are the most corrupt. The survey showed that the size of the average bribe doubled in 2023.

Kenyan activist Boniface Mwangi told VOA that American businesses are simply being asked to follow what has become a standard procedure in Kenya.

“Kenyans pay bribes every day, not because they want to, but because they are forced to,” Mwangi said. “If you want to apply for an ID, you need to pay a bribe. You go to the police, you tell them to investigate a crime, you pay a bribe. You want to ask for a passport, you pay for a bribe. We are a bribe nation.

“One of the reasons the Chinese succeed in this country very well in doing business is because they are able to pay to play,” he said, adding, “The Americans are not told to do something that is not common. They’ve been asked to do what’s been the norm in this country. … Corruption is a way of life in our country.”

Last year, the Ethics and Anti-Corruption Commission said the lack of transparency, accountability and public participation in some government projects creates a breeding ground for corruption.

That aligns with the U.S. trade office report, which said American firms complained of excessive complexity and inefficiency in the procurement process for contracts.

Malala said the government is working to change some of the procurement laws to help fight corruption and allow investors to compete fairly.

“We would want to ensure that all our investors get justice when it comes to the procurement system,” he said.

Kenya finished low on the Transparency International corruption rankings for 2023, ranking 126th out of 180 countries measured for perception and prevalence of corruption.

US employers added 303,000 jobs in March in sign of economic strength

WASHINGTON — America’s employers delivered another outpouring of jobs in March, adding a sizzling 303,000 workers to their payrolls and bolstering hopes that the economy can vanquish inflation without succumbing to a recession in the face of high interest rates. 

Last month’s job growth was up from a revised 270,000 in February and was far above the 200,000 economists had forecast. By any measure, it amounted to a strong month of hiring, and it reflected the economy’s ability to withstand the pressure of high borrowing costs resulting from the Federal Reserve’s interest rate hikes. With the nation’s consumers continuing to spend, many employers have kept hiring to meet steady customer demand. 

Friday’s report from the Labor Department also showed that the unemployment rate dipped to 3.8% from 3.9% in February. That rate has now come in below 4% for 26 straight months, the longest such streak since the 1960s. 

Normally, a blockbuster bounty of new jobs would fan worries that the additional spending from those new workers could accelerate inflation. But the March jobs report showed that wage growth was mild last month, which might allay any such fears. Average hourly wages were up 4.1% from a year earlier, the smallest year-over-year increase since mid-2021. But hourly pay rose 0.3% from February to March after increasing 0.2% the month before. 

The economy is sure to weigh on Americans’ minds as the November presidential vote nears and they assess President Joe Biden’s reelection bid. Many people still feel squeezed by the inflation surge that erupted in the spring of 2021. Eleven rate increases by the Fed have helped send inflation tumbling from its peak over the past year and a half. But average prices are still about 18% higher than they were in February 2021 — a fact for which Biden might pay a political price. 

The Fed’s policymakers are tracking the state of the economy, the job market and inflation to determine when to begin cutting interest rates from their multidecade highs — a move eagerly awaited by Wall Street traders, businesses, homebuyers and people in need of cars, household appliances and other major purchases that are typically financed. Rate cuts by the Fed would likely lead, over time, to lower borrowing rates across the economy. 

The central bank’s policymakers started raising rates two years ago to try to tame inflation, which by mid-2022 was running at a four-decade high. Those rate hikes — 11 of them from March 2022 through July 2023 — helped drastically slow inflation. Consumer prices were up 3.2% in February from a year earlier, far below a year-over-year peak of 9.1% in June 2022. 

Yet the sharply higher borrowing costs for individuals and companies that resulted from the Fed’s rate hikes were widely expected to trigger a recession, with waves of layoffs and a painful rise in unemployment. Yet to the surprise of just about everyone, the economy has kept growing steadily and employers have kept hiring at a healthy pace. Layoffs remain low. 

Some economists believe that a rise in productivity — the amount of output that workers produce per hour — made it easier for companies to hire, raise pay and post bigger profits without having to raise prices. In addition, an influx of immigrants into the job market is believed to have addressed labor shortages and slowed upward pressure on wage growth. This helped allow inflation to cool even as the economy kept growing. 

In the meantime, the Fed has signaled that it expects to cut rates three times this year. But it is awaiting more inflation data to gain further confidence that annual price increases are heading toward its 2% target. Some economists have begun to question whether the Fed will need to cut rates anytime soon considering the consistently durable U.S. economy.

Kansas newspaper publisher files lawsuit over police raid

Washington — The publisher of a small Kansas newspaper that police raided in August is suing officials involved in the act, accusing them of violating the newspaper’s First Amendment rights.

When police in Marion, Kansas, raided the newsroom of the Marion County Record and the home of its publisher, Eric Meyer, the move was met with widespread condemnation from press freedom groups.

Meyer said he wanted to file the lawsuit because the raid on his weekly newspaper has major implications for press freedom across the United States.

“We’re the plaintiffs in this, but really, the plaintiff is American democracy,” Meyer told VOA. “They’re trying to silence criticism — silence anything other than the voice they want to hear. And we just can’t let that stand. We wouldn’t be doing our duty as Americans.”

During the August 11 raid, security footage showed police seizing computers, cell phones, hard drives and other devices from the newsroom. And in the Meyer household, footage reveals Eric’s 98-year-old mother, Joan, co-owner of the newspaper, confronting police during the raid on their home.

The lawsuit, which Meyer filed Monday in the U.S. District Court for Kansas, also alleges that the stress of the raid caused his mother’s death the day after.

After the raid, Joan “repeatedly told her son that her entire life was meaningless if this is what Marion had become,” the lawsuit said.

The nearly 130-page lawsuit, which Meyer said took some time to put together, is the fourth filed by current and former newspaper staffers over the incident.

Police defended the raid, saying they were responding to an identity theft complaint.

Meyer disagrees.

“This was an attempt by people to weaponize the criminal justice system for personal gains,” he said.

The newspaper was investigating the police chief who led the raid. Gideon Cody eventually resigned in October after body camera footage revealed him rifling through files about himself.

“It’s clear as anything that we didn’t do anything wrong,” said Meyer, who estimates the case won’t be resolved until 2026.  

US, Japan, Philippines eye cooperation on South China Sea

washington — Planning is already underway for three-nation naval patrols in the South China Sea ahead of a high-profile summit next week among the leaders of the United States, Japan and the Philippines, senior officials have said.

Philippine ambassador to the U.S. Jose Manuel Romualdez was quoted by the Financial Times on Wednesday saying that Washington, Tokyo and Manila are finalizing details of an agreement on the patrols, including when to begin and how often they will take place.

The U.S. and the Philippines have conducted joint patrols in the past, but this will be the first time Japan has participated. Both Japan and the Philippines are treaty allies of the United States.

Asked about the plan, Pentagon spokesperson Lieutenant Colonel Martin Meiners told VOA’s Korean Service via email this week that the U.S. has been concerned about “dangerous and destabilizing” actions in the region and is “committed to maintaining deterrence, peace, and stability” with its allies and partners.

Deputy Secretary of State Kurt Campbell said the April 11 summit will be an occasion for “an unprecedented trilateral engagement” among the three countries that will lead to closer cooperation in the South China Sea and elsewhere.

He made the remark Wednesday at an event hosted by the Center for a New American Security in Washington.

A senior U.S. official said the three leaders will discuss what was described as China’s “increasingly risky behavior” in the South China Sea.

“We are increasingly concerned that the PRC’s [People’s Republic of China’s] behavior in this space could lead us closer to really, unintended consequences,” the official said at a background White House press briefing this week.

“U.S. alliances and partnerships are not about China. … But oftentimes, Chinese action motivates a lot — much of what we talk about,” continued the official.

The most recent flare-up came on March 26 when the Chinese Coast Guard used water cannon to prevent a Philippine vessel from conducting a resupply mission to an outpost on a reef in waters within Manila’s 200-mile exclusive economic zone.

 
White House national security adviser Jake Sullivan told his Philippine counterpart Eduardo Año on Monday that the U.S. supports the Philippines against China’s “dangerous actions on March 26 obstructing a lawful Philippine resupply mission to Second Thomas Shoal.”

Manila claims the shoal in the Spratly Islands as its own territory and has been keeping the BRP Sierra Madre, a World War II-era navy transport ship, grounded on the reef since late 1999.

Patrick Cronin, the Hudson Institute’s Asia-Pacific Security Chair, told VOA via email on Tuesday that the trilateral maritime patrols can provide “both a level of deterrence and a way of blocking Beijing’s efforts to create de facto control over disputed waters and some areas that clearly belong to the Philippines.”

He continued, “China will not desist from its ‘sovereignty enforcement’ efforts, use of white hulls and maritime militia to impose its domestic law on international waters, but it may have to shelve staking further claims in the face of concerted opposition from the three democracies.”

Liu Pengyu, a spokesperson for the Chinese Embassy in Washington, told VOA via email on Wednesday that “the military cooperation between the relevant countries must not interfere in South China Sea disputes,” and called for the three allies to avoid actions that would “harm China’s territorial sovereignty, maritime rights and interests and security interests.”

Liu continued, “The South China Sea issue is a matter between China and some ASEAN countries.”

Among ASEAN member states, the Philippines, Vietnam, Malaysia and Brunei are official claimants against China, whose claims to virtually all of the resource-rich waters have been rejected by an international tribunal.

 
Prashanth Parameswaran, a fellow at the Wilson Center and founder of the weekly ASEAN Wonk newsletter, told VOA on Tuesday, that “more patrols by more countries is one of many ways to reinforce presence and prevent the nightmare scenario of the South China Sea becoming a Chinese lake.”

He continued, “In addition to alliance networking, the United States and its partners will have to find ways to work with Southeast Asian states which are not formal allies but are nonetheless critical in addressing China’s assertiveness as well.”

Blinken urges more aid for Ukraine as NATO increases resourcing efforts

state department — U.S. Secretary of State Antony Blinken said on Thursday that more aid is urgently needed for Ukraine following meetings with NATO foreign ministers, amid growing concerns that Russia is building up its defense industrial base with support from China, North Korea and Iran.

“Based on what I heard today … everyone, including the United States, is going to double back and, as necessary, double down on finding the resources that Ukraine continues to need,” Blinken told reporters after meetings with NATO foreign ministers at the alliance headquarters in Brussels.

While individual NATO members have been providing arms to Ukraine, the organization as a whole has concentrated on providing nonlethal aid for fear of escalating tensions with Russia through a more direct involvement.

“More than 30 countries now have signed or are in the process of negotiating signing bilateral agreements with Ukraine, and we’re ourselves, the United States, working on our own bilateral agreement,” he said.

Earlier on Thursday, Blinken met with Ukrainian Foreign Minister Dmytro Kuleba in Brussels, where the two discussed the situation on the battlefield and ways to bolster Ukraine’s energy sector in light of continued attacks from Russia. 

The United States will host a NATO summit in Washington from July 9 to July 11. Blinken discussed priorities for the meeting with Kuleba as NATO celebrates its 75th anniversary.

“Ukraine will become a member of NATO,” Blinken said. “Our purpose of the summit is to help build a bridge to that membership and to create a clear pathway for Ukraine moving forward.”

During Thursday’s press conference, Blinken also underlined the urgency of the U.S. congressional action to vote on aid for Ukraine.

Congress has yet to approve the Biden administration’s supplementary budget request that would resupply Ukraine’s armed forces and help the country fend off Russian offensives.

President Joe Biden has called on the Republican-led U.S. House of Representatives to approve the military and financial aid package. House Republicans have delayed action on it for months, prioritizing domestic issues.

On Wednesday, the top U.S. diplomat held talks with NATO Secretary-General Jens Stoltenberg on how to bolster the alliance’s long-term military support for Ukraine.

This week, NATO foreign ministers met in Brussels to discuss a proposal for creating a five-year fund, totaling about $108 billion, to support Ukraine’s military.

The plan, put forward by Stoltenberg, includes making NATO more directly involved in coordinating military assistance provided by member countries — a role that has been filled by a U.S.-led coalition of more than 50 countries.

A final decision on the proposal would not come until the NATO summit in July. It requires consensus among its 32 members.

On Thursday, foreign ministers from the security bloc also met with its partners from the Indo-Pacific.

“North Korea, China, Iran are supporting Russia’s war of aggression in different ways, so this demonstrates that security is not regional security, it’s truly global, and therefore it’s important that we work together with our Asia-Pacific partners,” Stoltenberg said on Wednesday.