China–Canada Tensions Rise Over Taiwan Issue Following Chinese Diplomat’s Remarks
On May 1, Canada’s Globe and Mail published an interview with Wang Di, China’s ambassador to Canada, who stated that the Taiwan issue constitutes a non-negotiable “red line” in China–Canada relations and that Ottawa must clearly articulate its position if bilateral ties are to advance. Wang criticized actions such as Canadian naval vessels transiting the Taiwan Strait and contacts between Canadian parliamentarians and Taiwanese officials, arguing that these violate the “One China” principle.
In response, Taiwan’s representative to Canada, Tseng Hou-jen, rejected Wang’s remarks in an interview with iPolitics, calling them “absurd” and counterproductive. Tseng argued that Wang’s statements reflect China’s tendency to “weaponize trade,” which could provoke backlash within Canadian political circles. He emphasized that the Taiwan Strait is an international waterway, not China’s internal waters, and that under the United Nations Convention on the Law of the Sea, all countries are entitled to freedom of navigation there.
Wang’s comments have drawn criticism from figures across Canada’s political and academic communities, who urged the government to uphold its principles in its engagement with Beijing. Those voicing concern include Senator Leo Housakos, Conservative deputy leader Melissa Lantsman, former Conservative leader Erin O’Toole, and Vina Nadjibulla of the Asia Pacific Foundation of Canada.
The controversy comes amid efforts to revive bilateral ties following Prime Minister Mark Carney’s January visit to China, during which six agreements were signed to restart an eight-year-suspended “strategic partnership.” However, the visit also sparked domestic criticism after two Liberal lawmakers visiting Taiwan cut short their trip on government advice, with some politicians accusing Ottawa of yielding to pressure from Beijing.
Source: Central News Agency (Taiwan), May 2, 2026
https://www.cna.com.tw/news/aipl/202605020092.aspx
Beijing’s Youth Exodus: The Capital Is Growing Old
China’s capital is aging rapidly. The number of residents aged 20 to 29 living in Beijing has nearly halved over the past decade, dropping from 4.618 million in 2015 to 2.489 million in 2024 — a loss of 2.129 million young people. Their share of the city’s total population fell from 21.3 percent to 11.4 percent, now barely above the national average of 10.56 percent. Over the same period, residents aged 60 and above grew from 3.405 million to 5.14 million.
The trend is drawing concern. Scholar Wang Mingyuan wrote in a widely circulated social media post that Beijing’s young population is now far smaller than those of Shenzhen, Shanghai, Guangzhou, Chengdu, and Chongqing. He warned that if the demographic trend continues, Beijing risks becoming a city without vitality by 2030. At Peking University, the share of graduates choosing to stay in Beijing dropped from 72 percent in 2013 to just 42 percent in 2024, with growing numbers heading to Shanghai and Guangdong instead.
High living costs, limited opportunities for small and mid-sized businesses, and a rigid household registration system are widely cited as the culprits. Resources in Beijing increasingly concentrate among a few large tech firms, squeezing out the kind of growing startups that create opportunities for young workers. Wang noted that families earning over 1 million yuan (~$137,500 USD) annually have lived in Beijing for over a decade and still cannot obtain permanent residency, forcing some couples into long-distance marriages or relocation to Shenzhen.
Wei, a 34-year-old from Shandong who moved to Beijing in 2016, told a reporter that young people typically leave after five years if their income remains modest. “This city doesn’t encourage you to stay,” he said, adding that post-pandemic economic fatigue has left many unwilling to keep competing.
Source: Central News Agency (Taiwan), May 4, 2026
https://www.cna.com.tw/news/acn/202605040304.aspx
Northeast China Faces Severe Population Decline Amid Outmigration and Aging
Northeast China—comprising the provinces of Heilongjiang, Jilin, and Liaoning—was once among the country’s most prosperous regions in the 20th century, thanks to its strong industrial base, abundant natural resources, and fertile agricultural land. Today, however, it has become China’s hardest-hit region in terms of population decline.
Census data show that between 2010 and 2020, the region lost about 11 million people. The downward trend has continued each year since 2021, with an additional decline of roughly 4 million over the past five years, bringing the total population to around 94 million.
This trend has even given rise to a new term, “Northeast-ification” (东北化), used to describe the population loss and its broader economic consequences, such as falling real estate prices. Northeast China’s decline is driven by two main factors: large-scale outmigration and a natural population decrease in which deaths significantly outnumber births. Many young people have migrated to Beijing or other major cities in southern and eastern China, accelerating aging and depressing fertility rates in the region.
All three northeastern provinces now rank among the most aged areas in China, with roughly 20 percent of their populations aged 65 or older. Birth rates are also among the lowest nationwide, with all three provinces ranking at the bottom in 2024, at approximately 3.3 to 4.3 births per thousand people.
Source: Sina, April 29, 2026
https://finance.sina.com.cn/wm/2026-04-29/doc-inhwceik8111763.shtml?froms=ggmp
Despite Beijing’s Obstruction, Taiwan President Proceeds with State Visit to Eswatini
2026 marked the 58th anniversary of diplomatic ties between Taiwan and Eswatini. Taiwan President Lai Ching-te had planned to visit Eswatini from April 22 to 24 to attend celebrations marking King Mswati III’s 40th anniversary on the throne and his 58th birthday. However, the trip was disrupted after three countries—Seychelles, Mauritius, and Madagascar—reportedly denied overflight permission for Taiwan’s presidential aircraft, allegedly under pressure from Beijing. Taiwan subsequently dispatched Foreign Minister Lin Chia-lung as a special envoy, while the episode was viewed by Beijing as a diplomatic success.
In response, Taiwan and Eswatini coordinated an alternative arrangement. Eswatini sent its deputy prime minister to Taiwan aboard the king’s royal aircraft, reaffirming the close relationship between the two countries.
During the visit, the envoy formally invited Lai to travel to Eswatini using the royal aircraft, providing a workaround to the earlier flight restrictions. On May 2, Lai successfully arrived in Eswatini for an official state visit, reportedly catching Beijing off guard. He returned to Taiwan on May 5 aboard the same aircraft, flying over Mozambique, South Africa, Indonesia, Malaysia, and the Philippines, accompanied by Eswatini’s deputy prime minister.
Sources:
1. Liberty Times (Taiwan), May 2, 2026
https://news.ltn.com.tw/news/politics/breakingnews/5423344
2. Lianhe Zaobao, May 5, 2026
https://www.zaobao.com.sg/news/china/story20260505-8999852
Report Exposes China’s Phishing Campaign and Repression Targeting Dissidents and Journalists Worldwide
A recent report reveals that since April 2025, researchers have identified a large-scale phishing and digital impersonation campaign targeting overseas Uyghur, Tibetan, Taiwanese, and Hong Kong activists, as well as journalists covering related issues. Two primary threat groups were identified: GLITTER CARP, which conducts broad and persistent phishing operations—even targeting individuals loosely connected to its main targets—and SEQUIN CARP, which focuses specifically on journalists reporting on China’s transnational repression, including those involved in the International Consortium of Investigative Journalists (ICIJ) project “China Targets.”
The attackers’ primary objective is to steal login credentials—particularly for Google and Microsoft 365 accounts—by redirecting victims to highly convincing fake login pages via links sent through email or messaging apps such as Signal and Line. Researchers also found evidence of coordinated operations using multiple phishing toolkits, suggesting collaboration among groups with varying technical capabilities. The campaign includes impersonation of legitimate media domains, such as fake versions of The Epoch Times, and relies on a large infrastructure of IP addresses and domains, indicating broader—and potentially ongoing—operations beyond those identified.
The report argues that these activities form part of a long-standing pattern of China-linked digital transnational repression, targeting overseas dissidents through hacking, spyware, and online intimidation. It highlights the growing role of private Chinese companies in this ecosystem, describing a “public-private” model in which contractors develop and sell cyber tools—such as spyware and phishing kits—to state agencies. Leaked documents from a sanctioned firm suggest the emergence of a commercialized market for cyber operations, with relatively low costs for data theft and system access.
The report further warns that the outsourcing and industrialization of such activities reduce operational costs, expand their scale, and complicate attribution and accountability. Beyond their technical impact, these campaigns generate a broader “chilling effect,” fostering fear, self-censorship, and distrust among targeted communities.
For example, following the publication of the ICIJ’s “China Targets” investigation in April 2025, journalists involved in the project were themselves targeted by phishing and impersonation campaigns—highlighting how scrutiny and reporting on these issues can trigger retaliatory cyber operations.
Source: Epoch Times, April 29, 2026
https://www.epochtimes.com/gb/26/4/29/n14752403.htm
Former Informant’s Account Alleges Forced Organ Harvesting from an Innocent Individual
An anonymous online post, purportedly written by a former temporary informant in Huanggang City, Hubei Province, claims involvement in surveillance operations targeting individuals who were allegedly later subjected to organ harvesting. The author states they were tasked with tracking individuals and reporting their movements to authorities.
In one case, the informant describes following a young woman who was subsequently detained and taken—not to a standard detention facility—but to a heavily guarded psychiatric hospital. The post alleges that procedures there included registration, sedation, and transfer.
The author further claims to have accessed an internal system tracking people with categories such as “(organ) match rate,” “freshness,” and “priority,” and alleges that the woman’s liver was marked as a high-quality match. According to the account, a surgery was later recorded as having been completed successfully.
The post expresses remorse, with the author describing themselves as complicit, and calls on international organizations and the public to investigate what is alleged to be systemic abuse carried out under the guise of law enforcement and medical procedures.
Source: Creaders.net
https://blog.creaders.net/u/8994/202604/548122.html
China Accelerates Consolidation of Rural Township Banks Amid Risk Concerns
China is moving swiftly to dissolve dozens of small rural township banks, folding them into larger financial institutions as part of a broader push to clean up risks in its grassroots banking sector. In late April, multiple local financial regulators issued approval documents authorizing the dissolution of several such banks, with their assets, liabilities, staff, and operations absorbed by their majority shareholders — typically much larger commercial banks.
Township banks, officially sanctioned by Chinese authorities, were established in rural areas using capital from financial institutions, non-financial enterprises, or individuals. Their primary clientele is local farmers, and their core business is providing financial services for agricultural needs. By regulation, their largest or sole shareholder must be a bank holding no less than 20% of shares, and they are only permitted to lend within their designated county.
The consolidation wave follows an April 28 Politburo meeting that explicitly called for “reforming small and medium financial institutions” to stabilize and strengthen confidence in capital markets.
Among the reported cases, Jiangsu’s financial regulator approved the dissolution of Jiangsu Dafeng Jiangnan Village Bank, with all its assets and obligations transferred to Jiangsu Jiangnan Rural Commercial Bank. In Yunnan, Tengchong Minsheng Village Bank was absorbed by China Minsheng Bank, as was Chongqing’s Tongnan Minsheng Village Bank. China Minsheng Bank had already previously absorbed two other township banks in December 2025, converting them into local branches.
In Tianjin, ten new branches of Tianjin Rural Commercial Bank were simultaneously established to replace the dissolved Tianjin Jinnan Village Bank. Similarly in Qingdao, Qingdao Rural Commercial Bank merged with Qingdao Jimo Huimin Village Bank, absorbing all its operations.
Chinese authorities have in recent years repeatedly emphasized a policy of “reducing quantity while improving quality” for small and medium financial institutions — not simply shrinking their numbers, but strengthening capital, governance, and risk management to make the sector more stable, structurally sound, and manageable.
Source: Central News Agency (Taiwan), May 3, 2026
https://www.cna.com.tw/news/acn/202605030208.aspx
Xinhua: EU–Mercosur Free Trade Agreement Provisionally Enters into Force, Aiming to Reduce Dependence on the U.S.
Xinhua News Agency reported that a free trade agreement (FTA) between the European Union and the Mercosur bloc provisionally entered into force on May 1, with the aim of diversifying the EU’s trade and reducing reliance on the United States. The deal, concluded after 25 years of negotiations and signed in January, is expected to eliminate billions of euros in tariffs and create a market of approximately 720 million people.
Xinhua’s report noted that U.S. President Trump’s tariff policies contributed to the agreement’s conclusion. The European Commission hopes the pact will help offset declining exports to the United States and mitigate potential impacts on gross domestic product (GDP).
Mercosur—comprising Argentina, Brazil, Paraguay, Uruguay, and more recently Bolivia—will benefit from reduced tariffs and more predictable rules governing trade and investment. Ultimately, more than 90 percent of tariffs on bilateral trade are expected to be eliminated, facilitating exports such as European automobiles, machinery, and wine, as well as Mercosur products including meat, sugar, rice, and soybeans.
While the agreement has been approved by Mercosur member states, it remains controversial within the EU. Countries such as France have expressed opposition over concerns about the impact on domestic agriculture. The European Parliament has referred the agreement for legal review, and a final ruling by the EU’s top court could take up to two years.
Source: Xinhua, May 1, 2026
https://www.xinhuanet.com/20260501/49a9b9a632854b3bba49984469d5c3ea/c.html