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721. U.S.-Nepal Relations: Leveraging Operational Efficiencies to Achieve Our Objectives

Author:
Alaina B Teplitz
Publication Date:
03-2018
Content Type:
Journal Article
Journal:
The Ambassador's Review
Abstract:
Nepal, that mythical Shangri-La nestled in the Himalayas, has long captured the hearts and imaginations of Americans. In the 70 years since the United States established formal relations with the erstwhile hermit kingdom, Nepal has seen dramatic socio-economic progress—often stemming from its partnership with the United States. But in many ways, it still remains under-developed, fragile and vulnerable. As the U.S. Embassy in Kathmandu celebrated the 70th anniversary of our partnership in 2017, we pursued a dozen month-long campaigns around today’s policy objectives to highlight our historical collaboration and leverage this retrospective to draw attention to the need for further progress. Combining diplomatic engagements and public events targeted at thought leaders and policy leaders, our campaigns moved forward our shared U.S.-Nepali priorities. As the U.S. government revisits its approach to the Indo-Pacific region and new Nepali leaders form what promises to be the country’s first multi-year government in decades, we now face a unique opportunity to advance our mutual objectives of a stable, prosperous Nepal that is a robust partner of the United States. Coming at the same time as potential adjustments to foreign affairs budgets and staffing, Embassy Kathmandu is reorganizing how we do business to improve our effective­ness, find efficiencies and enhance our focus on an agenda that delivers results. Rather than organize ourselves by the agency that pays our salary, we have structured our unified U.S. government team according to what each unit is doing. Our interagency Integrated Country Strategy (ICS) Teams—co-chaired by section chiefs from separate agencies and physically co-located within the chancery—have designed common strategies for how the U.S. Embassy intends to pursue major objectives and coordinate approaches, as well as explicitly identifying those nice-to-pursue efforts that limited staffing or resources require relegating to the back burner. Through action plans, each ICS Team identifies strategic, impactful and tangible targets to achieve each year—institutionalizing best practices from our 70th anniversary campaigns to sustain meaningful progress toward our goals. As the stakes and challenges facing U.S. diplomacy continue to grow, Embassy Kathmandu is using the strategic opportunity that current U.S.-Nepal relations offer to develop a proof of concept for how a 21st century embassy can organize our people and operations to maximum effect.
Topic:
Diplomacy, International Cooperation, and Military Strategy
Political Geography:
United States, China, Asia, and Nepal

722. China and International Financial Standards: From "Rule Taker" to "Rule Maker"?

Author:
Hongying Wang
Publication Date:
08-2018
Content Type:
Working Paper
Institution:
Centre for International Governance Innovation
Abstract:
Following the global financial crisis, international financial standard-setting bodies granted emerging economies unprecedented representation. Some observers expected the existing system of international financial regulation to be undermined by the larger number of players and their diverging interests from the traditional standard setters. This paper examines whether China, the largest emerging economy, has influenced the international financial regulatory regime. It finds that China has, by and large, been a “rule taker” so far, but points out some important signs of change. It argues that with improved technical capacity, greater stakes in international financial standards and rising structural power, China is poised to increase its participation in the making of international financial standards.
Topic:
Regulation, Global Political Economy, and Fiscal Policy
Political Geography:
China and Asia

723. Made in China 2025 as a Challenge in Global Trade Governance: Analysis and Recommendations

Author:
Anton Malkin
Publication Date:
08-2018
Content Type:
Working Paper
Institution:
Centre for International Governance Innovation
Abstract:
This paper provides a reassessment of Made in China 2025 (MIC 2025) — China’s industrial policy framework aimed at helping the country overcome the much-maligned middle-income trap — in the context of global trade governance. It suggests that China’s industrial policies have been viewed too narrowly — without sufficient attention to longer-term global governance issues — by a large segment of the global business and policy-making community. The paper argues that the general aims of MIC 2025 and the policies that underpin them are not unreasonable, given the increasingly prevalent dilemmas in global trade that China’s leaders are grappling with. These include problems of international development arising from growing global industrial concentration — driven by the growth of the intangible economy — and China’s shrinking access to importing and developing technological components (such as semiconductor chips) that are increasingly characterized as “dual-use” by China’s trading partners. This suggests that resolving the concerns of China’s trading partners regarding China’s industrial policies requires global trade governance reform to ensure an equitable, rules-based global trading order that addresses the legitimate needs of developing and middle-income economies in acquiring foreign-owned technological components and know-how, for the purposes of economic development. The paper concludes by outlining specific recommendations for Canada’s policy makers in improving their economic relationship with China in the context of MIC 2025.
Topic:
Development, Industrial Policy, Science and Technology, Governance, and Free Trade
Political Geography:
China, Canada, Asia, and North America

724. Crisis in the WTO: Restoring the Dispute Settlement Function

Author:
Robert McDougall
Publication Date:
11-2018
Content Type:
Working Paper
Institution:
Centre for International Governance Innovation
Abstract:
The impasse in the World Trade Organization (WTO) over the appointment of new members of the Appellate Body is just one symptom of crisis in cooperation on trade. Driven by skepticism about multilateralism and binding dispute settlement, and by a growing strategic and economic rivalry with China, the current US administration has elevated longstanding US concerns about WTO dispute settlement to new heights. The inability of WTO members to exercise their collective authority to interpret the meaning of their WTO commitments has meant that the Appellate Body is effectively not subject to any checks and balances. As other WTO members blocked US efforts to negotiate more member control, the United States increasingly turned to unpopular unilateral mechanisms, culminating in the current block on new appointments as part of its more disruptive trade policy. Assuming the United States will eventually return to rules-based trade, restoring the WTO dispute settlement system to full capacity and enhancing its legitimacy will likely require some changes. This might include improving mechanisms for political oversight, diverting sensitive issues from adjudication, narrowing the scope of adjudication, improving institutional support and providing members more say over certain procedures. Preserving compulsory, impartial and enforceable dispute settlement in the WTO will require an accommodation of different perspectives on how the system should function. Achieving this, in whatever form, will contribute to maintaining and even strengthening multilateral cooperation on trade.
Topic:
International Trade and Finance, World Trade Organization, Global Political Economy, and Multilateralism
Political Geography:
United States, China, Asia, and North America

725. Tides of Change: China’s Nuclear Ballistic Missile Submarines and Strategic Stability

Author:
Tong Zhao
Publication Date:
10-2018
Content Type:
Special Report
Institution:
Carnegie Endowment for International Peace
Abstract:
In recent years, China has expended considerable efforts to build a sea-based nuclear force for the primary purpose of enhancing its overall nuclear deterrent. Although Beijing’s goal is limited and defensive, the practical implications of its efforts for regional stability and security will be significant.
Topic:
Security, Nuclear Weapons, Nuclear Power, Maritime, Deterrence, and Strategic Stability
Political Geography:
China and Asia

726. The Future of Nuclear Power in China

Author:
Mark Hibbs
Publication Date:
05-2018
Content Type:
Special Report
Institution:
Carnegie Endowment for International Peace
Abstract:
China is on course to lead the world in the deployment of nuclear power technology by 2030. Should it succeed, China will assume global leadership in nuclear technology development, industrial capacity, and nuclear energy governance. The impacts will be strategic and broad, affecting nuclear safety, nuclear security, nonproliferation, energy production, international trade, and climate mitigation. Especially critical is whether China achieves an industrial-scale transition from current nuclear technologies to advanced systems led by fast neutron reactors that recycle large amounts of plutonium fuel.
Topic:
Climate Change, Energy Policy, Science and Technology, Governance, Nuclear Power, Nonproliferation, and Industry
Political Geography:
China and Asia

727. Human Trafficking: In the Shadows of the Law

Author:
Foo Yen Ne
Publication Date:
08-2018
Content Type:
Working Paper
Institution:
Centre for Non-Traditional Security Studies, S. Rajaratnam School of International Studies
Abstract:
Almost two decades since the adoption of the UN Convention against Transnational Organised Crime, and specifically the Protocol to Prevent, Suppress and Punish Trafficking in Persons, especially Women and Children, the debates on addressing human trafficking have not veered far beyond questions of law enforcement efficacy. What makes law enforcement against human trafficking so challenging in the East Asia region? This NTS Insight examines the nature of international legal frameworks that address human trafficking and the way they influence regional and domestic anti-trafficking legislation in East Asia. It argues that human trafficking as a crime is often “hidden” from the one-size-fits-all anti-trafficking legal regime adopted in domestic or national settings. The report argues that drawing the crime of human trafficking out of the shadows is made difficult by (i) the ambiguous definition of human trafficking in international law; (ii) the disjuncture between human trafficking contexts in East Asia and what international anti-trafficking legal regimes seek to address.
Topic:
Security, International Law, Women, and Human Trafficking
Political Geography:
Asia and Southeast Asia

728. Combatting Human Trafficking in East Asia: Mind the Gaps

Author:
Julius Caesar Trajano
Publication Date:
07-2018
Content Type:
Working Paper
Institution:
Centre for Non-Traditional Security Studies, S. Rajaratnam School of International Studies
Abstract:
Despite the ratification of global and regional anti-trafficking frameworks and enactment of relevant national laws, human trafficking remains an endemic security problem in East Asia, threatening states and societies. Two-thirds or 25 million of global trafficking victims were identified to be in the region. This NTS Insight briefly reviews the current regional trends and patterns of human trafficking in East Asia. It demonstrates that robust legal frameworks, while absolutely important, are not sufficient to eradicate and prevent human trafficking. It primarily analyses three fundamental issues that impede effective law enforcement and the eradication of human trafficking in East Asia: (1) weak law enforcement capacity of states; (2) the persistent corruption-trafficking nexus; and (3) limited support services and protection assistance for victims. It highlights the importance of developing and adopting a victim-centered approach in order to make anti-trafficking efforts more holistic and effective.
Topic:
Crime and Human Trafficking
Political Geography:
East Asia and Asia

729. North Korea’s Military Strategy, 2018

Author:
Chun In-bum
Publication Date:
08-2018
Content Type:
Special Report
Institution:
Korea Economic Institute of America (KEI)
Abstract:
As the focus shifted from North Korea’s military advances in 2017 to its diplomatic offensive in 2018, we should not lose sight of the strategic thinking behind gaining the maximum time to develop the capacity to extend its military threat. At present North Korea needs time to perfect its nuclear strike capability. It has been very successful in developing missile capabilities, but it needs additional time to achieve its goals. Starting with high-level North-South talks on March 5, 2018, the DPRK has just gained what it needs most: time. Whenever the first talks begin with the United States and the DPRK, there should be no surprise if the DPRK comes with an improved capability to threaten the alliance. Thus, for an extended period in 2018, as diplomacy proceeds, we should expect a subdued North Korean approach: not flaunting its nuclear weapons and missiles, while striving to boost capabilities for the struggle ahead. In the seven years since Kim Jong-un officially inherited the leadership of the DPRK, his stated policy has been byungjin ( 병진, 竝進), the pursuit of both economic and military development. In conjunction with purges and efforts to eliminate rivals, byungjin may, in part, derive from Kim’s efforts at the outset of his tenure to consolidate political power. Through it, Kim displayed moderate economic flexibility, thereby gaining favor with the North Korean people through facilitating an improvement in living standards. It is tempting to see byungjin as a sign of the regime’s weakness, or as an indication of moderation, either of which would prompt the eventual collapse of the Kim regime. Correspondingly, one might see it as a reflection of Kim’s immaturity, inexperience, and lack of political and strategic acumen. These viewpoints reflect mirror imaging more than a sophisticated understanding of North Korea. Byungjin may be more of a political device and a strategic communications element of a grand strategy, as opposed to the regime’s strategy. It may be a significant instrument in the regime’s effort to maintain elite cohesion and focus the energies of the North Korean people toward productive pursuits that likewise add to the regime’s legitimacy and staying power. It by no means suggests any diminishing of the priority of making advances in nuclear and missile development in order to pose a more serious threat. Since taking power, Kim’s regime has fired close to one hundred missiles of wide variety and range compared to thirty-one for his father and grandfather combined. He has also conducted four nuclear tests, boasting of a thermal nuclear capability. During his 2018 New Year’s address, Kim Jong-un proclaimed that the DPRK had perfected its nuclear and intercontinental missile capabilities, supporting North Korea’s constitutional claim to be a nuclear power. Despite an upsurge in diplomacy after this address, we should keep our eyes on its military advances.
Topic:
Diplomacy, Economics, International Security, Military Strategy, and Weapons
Political Geography:
Asia, North Korea, and Korea

730. North Korea’s Economic Strategy, 2018

Author:
William B. Brown
Publication Date:
08-2018
Content Type:
Special Report
Institution:
Korea Economic Institute of America (KEI)
Abstract:
This chapter takes the perspective of North Korea’s leadership as it confronts difficult economic problems in the remaining months of 2018. The major current and potential issues are listed and prioritized. Short and longer-term remedies are presented, each with trade-offs that affect other economic and policy issues. Given the absence of direct reporting from North Korea, the issues and debates presented are speculative, designed to give the reader a more comprehensive understanding of North Korea’s current problems than is ordinarily presented in western media. Kim Jong-un’s recent diplomatic offensive, reaching out to South Korea, China, and the United States is, in this view, suggestive of these internal economic troubles in addition to the nuclear security issues. The troubles are both short-term—the collapse in trade with China in just the past few months—and long-term, the slow-motion collapse of the communist country’s “command” economy. And much more than in the past, the problems relate to the regime’s unusual and dangerous monetary system, money being a normal issue for most governments but a relatively new one for this still partially rationed, or planned, oriented system. The leadership may have little choice but to let the domestic economy move further from the plan—allowing decentralized market and private activities more sway—than ever before. This would help cushion the central government from losses due to the sanctions and open the door to a much more prosperous future. Without major moves in this direction, inflation and unemployment may cascade into social crisis. It should be noted, that the recent Assembly Meetings, which annually focus on the economy, gave little official indication of policy changes, only a sense of digging in further to protect the regime from outside forces. But just a week later, Kim may have telegraphed an upcoming sea change when, in his address to the Party Central Committee plenum, that he is instituting a new Party Line, socialist economic construction, as the total focus of the Party and the country. Major changes, if they are to occur, will likely come after the upcoming important summits with South Korea and the U.S.1 There is little doubt that the economy in 2018 is in very poor condition, delivering one of the worst productivity rates—productivity in terms of labor and of capital—in the world, but it is important to recognize that this is due not to natural circumstances but to decisions the government has made over the years, and trade-offs it has already made. This suggests that astute government policy can create solutions and restore growth. Remedies of the sort expressed here, for example in liquidating, that is selling or leasing state assets to private buyers, raising fixed prices for state delivered electricity and for water and other utilities, and giving large pay raises to the millions of state workers who now rely on rations, while culling their numbers, would require difficult economic and social trade-offs; one might say there is no free lunch for Kim and his regime although no doubt they are looking for one, even in these summits. The chapter discusses just what kinds of decisions might be made and the likely consequences. Negotiations being set with South Korea and with the United States, and likely more discussions with China, may weigh heavily in how far Pyongyang will be willing to go in these respects. In my view the regime will be looking for: outright aid, payments for pushing back the nuclear weapons program, and premature relief from sanctions, which would only give the regime time to avoid the hard choices needed to permanently fix the broken economic system.
Topic:
Diplomacy, Economics, Sanctions, Services, and Trade
Political Geography:
China, Asia, North Korea, and Korea