CAPS Think Point
Weekly Asia Pacific Monitor
31 March-04 April 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
New Zealand eyes NATO deal amid security rethink: New Zealand said it was ready to sign a new cooperation deal with NATO, as the country rethinks security in the face of regional tensions and growing Chinese military might.
Aus Opposition leader vows to tear up Chinese deal: Peter Dutton has pledged to revoke the Chinese-owned Landbridge Group’s 99-year lease of the strategic Port of Darwin if he wins the upcoming May 3 election, citing national security concerns.
Fiji seeks enhanced defense cooperation with India: Minister for Defense Pio Tikoduadua has acknowledged India’s efforts in advancing Indo-Pacific security cooperation.
China security delegation concludes landmark Brunei visit: A high-level Chinese delegation visited Brunei to strengthen bilateral security cooperation, particularly in combating cybercrime and drug smuggling.
US approves ‘possible’ fighter jets sale to Philippines: The United States Department of State has approved the potential foreign military sale of 20 Lockheed Martin F-16 fighter jets to the Philippines for approximately USD5.58 billion.
Vietnam to Acquire South Korean Howitzers: Vietnam is set to purchase 20 K9 selfpropelled howitzers from South Korea in a $276 million (400 billion won) deal. This marks Vietnam’s first-ever acquisition of South Korean-made weaponry.
NATO Secretary-General Rutte will visit Japan: His first visit since taking office, to meet PM Ishiba, tour the Yokosuka base, and meet business leaders.
South Korea and the U.S. agreed to temporarily deploy USFK Patriot missile batteries from South Korea to the Middle East for several months. This is the first known USFK asset relocation to the Middle East, occurring amid US actions against Houthi rebels and concerns over potential USFK role/cost changes under President Trump.
Donald Trump’s nominee for chairman of the U.S. Joint Chiefs of Staff expressed opposition to any potential reductions in U.S. military forces stationed in South Korea and Japan, citing North Korea’s increasingly sophisticated nuclear and missile capabilities as key factors in maintaining the current U.S. presence in the region.
Bharat Forge’s KSSL and spain Duma form strategic defense joint: Bharat Forge’s subsidiary, Kalyani Strategic Systems Limited (KSSL), has formed a joint venture with Spain’s Duma Engineering Group S.L., with KSSL holding to develop advanced defence technologies for Indian, European, and export markets.
Paras Defence and Israel’s MicroCon Vision ink MOU to manufacture advanced drone camera technology: Paras Defence has partnered with Israel’s MicroCon Vision to supply advanced, cost-effective drone cameras in India, slashing prices by 50-60%.
U.S. Joins India to Launch Exercise Tiger TRIUMPH 2025: India and the U.S. have launched Exercise Tiger Triumph 2025, a bilateral tri-service HADR drill running from April 1–13 in Visakhapatnam, involving 3,000 personnel, four ships, and seven aircraft.
China carries out live-fire exercises in drill encircling Taiwan: China’s PLA conducted live-fire drills in the Taiwan Strait, simulating strikes on key infrastructure as part of the escalating “Strait Thunder” exercises. Taiwan condemned the provocations, while the US reaffirmed its support for Taiwan, viewing the drills as a move toward routine military.
South Korean defense firm Hanwha Aerospace signed a $253.6M deal to export K9 howitzers to India by Sept 2030. Hanwha, cooperating with India’s Larsen & Toubro, aims to support India’s military modernization. This follows a successful 2017 contract, boosting Hanwha’s reputation and expanding K9 sales in Asia.
South Korea’s Defense Counterintelligence Command is investigating a Chinese national, arrested last month on Jeju, for allegedly bribing an active SK soldier for military secrets. Posing as a soldier online, the suspect allegedly paid for photos of SK-US drill documents.
South Korea plans to launch its fourth military spy satellite (SAR) from Cape Canaveral, Florida, around April 22 (US time) via a SpaceX rocket. Defense sources stated this launch is part of Seoul’s effort to deploy five satellites by year-end for enhanced independent surveillance of North Korea.
Britain’s defense ministry reported more than 5000 North Korean troops casualties (~1/3 killed) as of last month, nearly half the initial ~11,000 sent. High rates were likely from attritional assaults. NK/Russian forces made gains in Kursk; deployment into Ukraine needs Kim/Putin approval.
A Russian Communist Party delegation including a military commander overseeing a unit fighting Ukrainian forces in Kursk arrived in the North Korean capital, according to the party and DPRK state media.
Economy
Pakistan’s investments in Malaysia have risen to US$397 million: Prime MinisternAnwar Ibrahim welcomed further investments from Pakistan in agriculture, petrochemicals, and biomass sectors. Pakistani PM Shehbaz Sharif will visit Malaysia on May 9.
Malaysia won’t impose retaliatory tariffs on US: Malaysia will engage US authorities to seek a fair trade solution rather than retaliate with its
own tariffs.
Indonesia should boost trade with BRICS amid high US tariffs: Economist Hans Kwee recommended strengthening trade with BRICS countries to counter US tariffs, which could weaken the rupiah and reduce Indonesia’s trade surplus.
Start work on forming ASEAN customs bloc to counter US tariffs: The Small and Medium Enterprises Association of Malaysia (Samenta) urged ASEAN to form a customs bloc to mitigate the impact of US tariffs, which could raise costs and reduce competitiveness.
South Korea launched the K-Tech Pass program to attract foreign talent in semiconductors, AI: The program offers F-2 long-term visas, transitioning to F-5 permanent residency after three years, for qualified individuals (top 100 university degrees, 3+ years experience at top 500 firms/institutes).
South Korea, China, Japan agree to promote regional trade amid Trump tariffs: South Korea, China, and Japan held their first economic dialogue in five years on March 30, aiming to boost regional trade amid U.S. President Donald Trump’s tariff increases.
South Korea and Vietnam signed an MOU for railway cooperation, covering projects from construction to maintenance. This comes as a South Korean delegation led by Minister Park Sang-woo explores participation in Vietnam’s North-South high-speed rail project, aiming to share SK’s tech and experience.
Vietnam, Japan forge 25-year oil and gas partnership: The contract, secured by the Việt Nam Oil and Gas Group (PetroVietnam), Japan-Vietnam Petroleum Company Limited (JVPC, a wholly-owned subsidiary of Japan’s ENEOS Xplora), and PetroVietnam Exploration Production Corporation (PVEP), will take effect on April 7.
Putin’s special envoy for international economic and investment cooperation to visit the US: to discuss possible cooperation between Russia and the U.S. on Arctic development and rare earth metals projects, as well as Mars exploration with billionaire Elon Musk.
Honda Atlas Pakistan (HACPL) began exporting completely built Honda CITY cars to Japan. HACPL dispatched its first batch of 40 units from its facility, aligning with government policies to boost exports and economic growth.
India’s growth to be highest among advanced, emerging G20 nations: Moody’s: Moody’s has projected India’s growth at 6.5% for the fiscal year 2025-26, the highest among G-20 countries, supported by tax measures and continued monetary easing.
Trump Tariffs: Russia is not included in the tariff list.
Yuan is our “tomorrow”. The volume of exchange trading in Chinese currency consistently exceeds 100 billion rubles per day.
Diplomacy
Russia’s Supreme Court to review lifting Taliban ban, Supreme Court is set to hold a hearing on Taliban’s status on April 17.
Japanese leader to visit Philippines, Vietnam in diplomatic push: Japanese Prime Minister Shigeru Ishiba is set to visit Philippines, Vietnam in late April or early May in diplomatic push.
The United States is in “communication” with North Korea: President Donald Trump said Monday, describing the DPRK as a “big nuclear nation” while signaling the White House may pursue talks with the country in the future.
PM Modi in Thailand India’s cultural diplomacy sets stage for BIMSTEC summit: PM Modi arrived in Bangkok for the 6th BIMSTEC Summit, holding talks with Thai PM Paetongtarn Shinawatra on bilateral cooperation.
