China and South-East Asia 2022-01

Key highlights:

• The 2022 Beijing Winter Olympics have been instrumental in China’s efforts to improve the country’s international image and prestige, but more importantly, Xi Jinping’s political power and elation in anticipation of the Congress of the Chinese Communist Party (CCP).
• The uncertainty of Beijing’s position over the Russia-Ukraine war and the effort to present itself as a neutral observer is becoming an increasing challenge. Growing pressure from the West has led to Beijing’s diplomatic activism calling for an end to the war in Ukraine as soon as possible.
• The “Two Sessions” in China that took place on 5–11 March and the 2022 Government Work Report show Beijing’s strong efforts to sustain economic growth and reassure international investors.
• China has been facing a serious COVID outbreak in the country since the beginning of the year. Xi Jinping’s determination to pursue a strict COVID policy could have serious economic consequences not only for the country but also globally.
• Compared to Russia’s military action in Crimea in 2014, the response from the Southeast Asian region and Taiwan to the Russian invasion of Ukraine was tougher and more united, but most countries were reluctant to directly condemn Russia’s aggression against Ukraine and took a neutral stance.