Trade

For the second time in four months, the US filed a case against China with the WTO, this time accusing China of illegally subsidizing the production of wind power equipment. It alleged that a Chinese government fund awarded grants to makers of wind power equipment and the grants were contingent on manufacturers using parts made in China. The Chinese Ministry of Commerce said that China's measures to develop wind energy would help "reduce emissions and protect the environment" and are in line with the WTO rules. The US case was based on complaints by the United Steelworkers, an American trade union with no business to lose in China, whilst GE and other American clean energy companies have avoided taking positions on the matter.

Jurisdiction

Hong Kong

An inquest in Hong Kong for eight people who died in a hostage crisis in Manila called 116 Filipinos, including the mayor of Manila, to travel to Hong Kong and give evidence. A Philippine consul said he would arrange for the Filipino witnesses to attend through diplomatic channels but that there were no guarantees everyone the court sought would come.

Territory - South China Sea Islands

China and Vietnam conducted discreet negotiations over their territorial disputes in South China Sea for the past year, in which the two sides sought agreement on "fundamental guiding principles for addressing issues at sea." But China has resisted any talks on the sovereignty over the Paracel Islands which are occupied by China.

Environment - Climate Change

China softened her position on verification of reductions in greenhouse gas emissions during the negotiations at the UN Conference at Cancún on climate change, which ended with an agreement on taking stronger measures on climate change in the future. China was reportedly in favour of the idea of the Indian environment minister Jairam Ramesh, that would establish a voluntary programme for countries to declare their emissions reduction targets and provide regular reports on their progress.

Law of the Sea - Exclusive Economic Zone

Use of Force

In the wake of a North Korean artillery attack on a South Korean garrison island, a Chinese FM spokesman criticised a planned joint exercise by the US and South Korean Navy in the Yellow Sea, saying, "We oppose any party to take any military acts in our exclusive economic zone without permission.”

Environment - Transboundary Movement of Waste

China National Nuclear Corporation signed an agreement with a French nuclear giant on jointly building a commercial nuclear fuel reprocessing and recycling plant, reportedly in Gansu near the Gobi Desert, which is able to handle waste that China may import from abroad. Strong oppositions have been voiced against the project, with a Gansu scholar saying, "For the sake of the national interest, Gansu can sacrifice itself and reprocess some nuclear waste generated by Chinese nuclear reactors.... But please, don't let the foreign waste come in. They will kill us."