CAPS Think Point
Weekly Asia Pacific Monitor

26 April-02May 2025


Weekly Asia Pacific Monitor is based on daily screening of 28

newspapers published from different countries of the region. The

document provides a brief summary of interaction among Asia

Pacific countries in security, economy and diplomacy sectors.

Consortium of Asia Pacific Studies (CAPS)

Defence/Security

India set to join Australia’s biggest military exercise for first time. India is set to join Australia, Japan and the United States for the first time in the multilateral ‘Talisman Sabre 2025’ military drill. Over 30,000 military personnel from 19 nations set to participate in activities across Australia, and for the first time, in Papua New Guinea.

 

New Zealand Air Force to Set up Space Squadron as It Grows in Importance. The New Zealand Air Force will establish a small space squadron to signal its growing commitment to space-based defence and international security, a senior military official said on Wednesday.

 

PH, New Zealand ink military pact to boost defense ties. President Ferdinand R. Marcos Jr. witnessed the signing of the Status of Visiting Forces Agreement (SOVFA) between the Philippines and New Zealand, a legal framework enabling the countries’ militaries to conduct joint activities and exercises. 

 

Russia reportedly delivered its advanced S-400 missile systems to China. However, these systems came with unexpected limitations. Chinese analysts noted the systems’ infrequent public appearances. They suspected Russia provided a simplified version, blocking advanced functions.

India’s military spending in 2024 reached $86.1 billion, nearly nine times Pakistan’s $10.2 billion, according to SIPRI. Global military spending increased by 1.6%, with the U.S., China, Russia, Germany, and India making up 60% of total expenditure. 

 

U.S. Air Force deploys F-35A Lightning II fighters to Kadena Air Base, Japan. F-35A Lightning IIs assigned to the 421st Expeditionary Fighter Squadron (EFS), Hill Air Force Base, Utah, arrived at Kadena Air Base, Japan.


Indonesia’s TNI eyes cyber defence cooperation with Japan.
 The Indonesian National Armed Forces (TNI) is keen to forge cooperation in cyber defence with the Japan Self-Defence Forces (JSDF), according to the Head of the Information Centre of the TNI Headquarters. 

 

North Korea’s Kim attends ceremony for launching new 5,000-ton warship. North Korean leader Kim Jong Un attended a ceremony for the launch of a “new multipurpose destroyer,” The 5,000-ton warship is reportedly built “within 400-odd days”. 

 

US-made parts found in North Korean missile that Russia fired on Kyiv: Ukrainian President said that a missile fired by Russia on Kyiv was supplied by North Korea and had dozens of components from US firms. North Korea could soon enrich 230 kg of weapons-grade uranium per year, representing an over 50% increase from a previous estimate of DPRK capabilities.

 

East Asia military spending rises most in 15 years, SIPRI report shows. Military spending in East Asia jumped 7.8% on the year to $433 billion in 2024, as countries continued to enhance war-fighting capabilities amid heightening tensions in the region.


Malaysia to sign defence innovation MoUs at LIMA 2025.
The LIMA 2025 exhibition will serve as a key strategic platform for Malaysia to advance defence ties and innovation.

 

Malaysia–Maldives defence cooperation to expand. Malaysia and Maldives agreed to strengthen collaboration in solar energy, defence, and digital technologies.


Australia, UK conclude warfighting drills with Malaysia.
Malaysia participated in complex warfighting exercises with Australia, UK, and Singapore.


Malaysia seeks UN role to ease Indo-Pak tensions.
Malaysia’s Defence Minister called on the UN to help reduce tensions between India and Pakistan.


N Korea confirms it sent troops to fight for Russia in Ukraine war.
North Korea has for the first time confirmed that it sent troops to fight for Russia against Ukraine according to an order given by leader Kim Jong Un.


Hanwha Aerospace eyes US Air Force repair hub role.
Hanwha Aerospace is seeking to join a US Department of Defence initiative to establish a network of military repair hubs in the Indi-Pacific.


Russia may have helped North Korea with new warship, Seoul says.
North Korea’s newly unveiled warship could have involved Russian help, South Korea’s military said while cautioning it was still conducting “a more detailed analysis.”


North Korean operatives have infiltrated hundreds of Fortune 500 companies.
North Korean nationals have infiltrated the employee ranks at top global companies more so than previously thought.


Jaishankar thanks S Korean counterpart, stresses need to fight terrorism.
During the talks, Jaishankar underlined the need to combat terrorism in all forms and manifestations in light of the recent terrorist attack in Jammu and Kashmir’s Pahalgam.


Japan will conduct the first domestic live-fire tests of surface-to-ship missiles.
The Japan Ground Self-Defence Force (JGSDF) has announced that it will conduct its first domestic firing exercise involving launching surface-to-ship missiles, which can attack ships at sea from land.


Omani, Japanese defence ministries hold second meeting of military dialogue.
The second meeting of bilateral military dialogue between the defence ministries of the Sultanate of Oman and Japan was held in Tokyo.


Japan eyes India joining fighter jet development with Britain, Italy.
Japan has approached India about participating in the joint development of a next-generation fighter jet currently being pursued with Britain and Italy.

Economy

New Zealand 2025 spending budget shrinks as economic growth slows. New Zealand Finance Minister said baseline spending in the 2025 budget would be reduced to NZ$1.3 billion (US$777.14 million) from a forecast of NZ$2.4 billion, as she outlined worsening economic conditions in the country.

 

Fiji faces tough tariffs from a position of strength. Fiji is facing stronger than expected headwinds following US President Donald Trump’s tariffs, made worse by a slowdown in tourist arrivals from Australia and New Zealand.


Fiji looks beyond US market.
Fiji is taking steps to diversify its trade relationships in anticipation of a decline in trade with the United States. Fiji-China trade: Developments signal growth in investment confidence.


China has passed the Private Economy Promotion Law, aiming to support its private sector amid economic challenges and trade tensions with the U.S.
The law, which will take effect on May 20, outlines measures to promote fair competition, encourage private firms’ involvement in tech projects, and protect their rights.


BlackBerry is expanding in India beyond R&D by focusing on commercial growth through its QNX automotive software.
The company also aims to work with the Indian government on secure communication needs.


South Korea ask United States to exempt its goods from duties.
South Korea has requested that the United States make exceptions in its tariff policy for South Korean goods. In return, the Republic of Korea has offered cooperation in the fields of energy and shipbuilding.


Japan CAA commissioner meets CCP chairman:
Yutaka Arai, Commissioner of the Consumer Affairs Agency of Japan, visited the Competition Commission of Pakistan (CCP) and met with Dr Kabir Ahmed Sidhu, Chairman CCP, to discuss areas of mutual cooperation, particularly in the fields of digital market regulation and consumer protection.


UAE supplies 41.4% of Japan’s oil imports in March 2025.
Japan imported 32.48 million barrels of crude oil from the United Arab Emirates in March 2025, accounting for 41.4 percent of its total oil imports.


Trump says he has ‘potential deals’ with India, South Korea, Japan.
President Donald Trump said that he has “potential” trade deals with India, South Korea and Japan as he seeks to convert his tariff policy into trade agreements.


QatarEnergy in talks with Japan on long-term LNG supply deal.
Under the deal, Qata would supply a consortium of Japanese importers, and a volume of at least 3 million metric tons per annum of gas would be split between them.


Malaysia launches national blockchain infrastructure.
Malaysia introduced its national blockchain initiative to support digital economy growth. It aims to boost transparency, efficiency, and investor confidence.


Malaysia’s halal exports grow 15% in 2024.
Halal product exports rose to RM61.79 billion in 2024. The sector continues to drive growth in Malaysia’s export portfolio.


North Korean firms lay groundwork to sell sanctioned textiles, boilers in Russia.
Two North Korean companies have applied for brand protection in Russia in an apparent bid to export sanctioned clothes and machinery.


South Korea says DeepSeek sent data to ByteDance-owned servers in China without consent.
Chinese artificial intelligence app DeepSeek was transferring personal data to a cloud services platform without users’ consent while it was still available for download, according to South Korea’s data protection authority.


Vietnamese, Japanese governments signed agreements on semiconductor, nuclear energy cooperation.
PM Ishiba affirmed that Japan will support joint research projects and doctoral training in semiconductors in Việt Nam through the Japan-ASEAN Science, Technology and Innovation Cooperation Project (NEXUS).


Vietnam PM requests more aircraft, LNG, agi import contracts with US in May.
Prime Minister Pham Minh Chinh has requested relevant Vietnamese authorities to urgently negotiate and sign contracts in May for import of goods from the U.S., such as LNG, aircraft, medicine, and agricultural products, to ensure a sustainable trade balance.


Russia begins building road bridge to North Korea.
Russian Prime Minister announced the construction of a new road bridge linking Russia and North Korea.
Indonesia plans 10 GW nuclear power push to support renewables. Jakarta is considering a 10 GW nuclear energy initiative as part of its broader clean energy transition.


Indonesia signs nine MoUs with Libya to enhance economic ties.
Jakarta and Tripoli have formalized nine cooperation agreements across agriculture, trade, and investment. These moves mark Indonesia’s renewed engagement with North Africa.

Korea-Indonesia Business Council established for joint ventures. The new council will facilitate partnerships and investment flows between Korean and Indonesian firms. It reflects growing bilateral commercial interests.


Indonesia explores 5G and AI cooperation with India.
Both countries are engaging in early talks for joint development in digital infrastructure. Collaboration could boost Indonesia’s tech resilience.

Diplomacy

Pakistani Deputy Prime Minister holds phone talks with South Korean Foreign Minister. He apprised Foreign Minister Cho Tae-yul of the escalating regional situation arising from India’s baseless propaganda and unilateral actions, including holding the Indus Waters Treaty in abeyance.


Malaysia voices support for Pakistan amid tensions.
Malaysia expressed solidarity with Pakistan during heightened Indo-Pak tensions. The statement underscores Malaysia’s balanced foreign policy approach.


Russia vows to help Taliban fight Islamic State in Afghanistan.
Russia has pledged to support the Taliban in its fight against the Islamic State Khorasan Province (ISKP), citing shared security interests in the region.


US weighs options for restarting North Korea dialogue.
The administration of US President Donald Trump is secretly holding discussions and consulting with outside experts to evaluate options for restarting dialogue with North Korea.


Kosovo appreciates Malaysia’s recognition. Kosovo’s leadership expressed gratitude for Malaysia’s support. Diplomatic relations continue to evolve positively.


Malaysia and Maldives ink new bilateral deals. The two countries signed agreements to enhance cooperation in energy, defence, and technology. The deals aim to diversify strategic engagement.


India, Russia hold talks over attack; defence supplies assured.
Following recent regional tensions, Indian and Russian officials met to discuss defence cooperation. Russia reaffirmed its commitment to fulfilling defence supply obligations to India.


US President Trump expressed optimism about a potential trade deal with China,
emphasizing the need for fairness, though his trade envoy, Jamieson Greer, clarified that no official negotiations were taking place. This comes amid reports of a 0.3% contraction in the U.S. GDP for the first quarter, the first such decline in three years.


Former defence minister of Japan, has warned that Trump’s tariffs could jeopardise not only economic relations but also broader strategic cooperation.
Onodera emphasized that economic, national security, food security, and economic security are interconnected, framing the trade negotiations as a critical national security issue for Japan.


Hungary has rejected U.S. pressure to reduce its economic ties with China, citing a lack of comparable U.S. investments.
The country continues to strengthen partnerships with Chinese companies, such as BYD and Contemporary Amperex Technology, particularly in the electric vehicle and telecommunications sectors.


India-Singapore Futures Forum Explores Strategic Collaboration in Emerging Technologies.
The Institute of South Asian Studies (ISAS) at the National University of Singapore (NUS) hosted the inaugural India-Singapore Futures Forum at the Amara Hotel, bringing together policymakers, academics, and industry leaders to explore key opportunities for collaboration in critical technologies.


Russia’s exclusion from Papua highlights Indonesia’s quiet defence diplomacy.
Indonesia rejected Russia’s approach for a military presence in Papua through subtle yet firm diplomatic signaling. Jakarta aims to avoid entanglements with great power conflicts in its territory.


Russia dismisses Ukraine’s proposal for extended ceasefire.
Moscow rejected Kyiv’s proposal to prolong a brief ceasefire into a 30-day truce. The Kremlin cited battlefield realities and ongoing NATO support to Ukraine as reasons.


Russia urges India and Pakistan to honour Simla Accord.
Reaffirming its neutral stance, Russia asked both countries to de-escalate and adhere to the 1972 Simla Agreement. Moscow stressed that only diplomacy can prevent further conflict.


Indonesia-China strategic dialogue silent on AUKUS.
The latest Jakarta-Beijing strategic meeting avoided the contentious AUKUS topic. Analysts see it as a missed opportunity to clarify positions.


Australia and China manage port visit tensions with restraint.
Despite underlying strategic mistrust, both Canberra and Beijing showed pragmatism in handling port call frictions. It reflects cautious diplomacy amid defence competition