Huawei ghts back Drones: Boon or Bane? Moon Mission MCI(P) 087/05/2019 August 2019 INDEPENDENT • INSIDER • INSIGHTS ON ASIA What ails Hong Kong? The controversial extradition Bill, which triggered mass protests, is dead, but that has not put an end to the demonstrations and clashes with the police. When – and how, if ever – will it all stop? WE BRING YOU SINGAPORE AND THE WORLD UP TO DATE IN THE KNOW News | Live blog | Mobile pushes Web specials | Newsletters | Microsites WhatsApp | SMS Special Features IN THE LOOP ON THE WATCH Facebook | Twitter | Instagram Videos | FB live | Live streams To subscribe to the free newsletters, go to str.sg/newsletters All newsletters connect you to stories on our straitstimes.com website. Data Digest Hong Kong since the handover Here’s a look at the major events since the city returned to Chinese rule and where things stand today. July 1997 July 2003 2012 2014 June-July 2019 Hong Kong reverts Half a million people march against Tens of thousands of Tens of thousands Millions demonstrate in to Chinese rule after plans to introduce a national demonstrators surround of protesters paralyse massive marches, and more than 150 years security law that critics feared the government the centre of the city for hundreds take part in of British colonialism would curtail free speech complex for 10 days more than two months, violent clashes with against a new pro-China demanding free elections police, against a proposed Two senior ministers lose their school curriculum for the Chief Executive extradition Bill with China jobs, the Bill is shelved 30,000 25,000 20,000 Hang Seng Index 15,000 June 2015 Legislature rejects 400 August 2014 CE election reform 10,000 December 2007 Beijing says 2017 CE Beijing hints it may election would be from 300 allow Hong Kong to directly a China-approved Feb 2017 elect CE in 2017 Domestic property price index 200 shortlist of Former CE candidates Donald Tsang imprisoned for 1999 = 100 alleged corruption 1997 June July July 2005 2012 2017 Chief executive (CE) Tung Chee-hwa Donald Tsang Leung Chun-ying Carrie Lam Hong Kong population: 7.48 million A wealthy territory... with a high cost of living... and a well-educated population... who are used to expressing their opinion GDP per capita Property price index Tertiary enrolment rate 2014 Government performance 1999 = 100 CUHK* survey on degree of satisfaction of Hong Kong $27,330 $46,194 China 48 500 people with performance Retail 140 of the government 1997 2017 Britain 59 400 129.16 GDP current Office 341 France 64 $ billion 120 300 177 Germany 68 200 100 Hong Kong 72 Index set Domestic in 2002 at 100 02 07 12 17 100 US 89 1997 1997 2019 2002 2017 Source: AFP STRAITS TIMES GRAPHICS 1 Warren Fernandez Editor-in-Chief, The Straits Times & SPH’s English, Malay PHOTO: AGENCE FRANCE-PRESSE and Tamil Media (EMTM) Group Sumiko Tan Executive Editor, askSTart The Straits Times 50 Amazing Moon Dominic Nathan Landing facts Managing Editor, EMTM Tan Ooi Boon 26 Senior Vice-President (Business Development), EMTM Paul Jacob Associate Editor, The Straits Times Eugene Leow Head, Digital Strategy, EMTM Irene Ngoo Vice-President (Editorial Projects Unit) EMTM Jeremy Au Yong Foreign Editor Shefali Rekhi Asia News Network Editor, The Straits Times & Editor, ST Asia Report DESIGN Peter Williams Head, Visual, EMTM & Art Editor, The Straits Times Marlone Rubio Executive Artist Gareth Chung Senior Executive Artist Anil Kumar Graphic Artist Cover photo: SCMP EDITORIAL DESK Ronald Kow Sub-editor, The Straits Times Dominique Nelson Journalist, The Straits Times Cover Story Thinking Aloud ‘I can’t even see tomorrow’ What impact will the US election CIRCULATION 4 16 season have on the trade war? Eric Ng Students in Hong Kong being Head, Circulation Marketing Tommy Ong driven to despair: Experts Senior Manager (Circulation) Voices from the streets By Invitation REACH OUT TO US: The new geopolitics of the Moon For advertising enquiries: Beijing waiting for tide of Janet Wee 22 public opinion to turn against Deputy Team Head India successfully launches [email protected] protesters mission to Moon’s south pole Circulation & subscription: Sofia Wang Executive [email protected] WE WELCOME YOUR FEEDBACK AND VIEWS Letters can be sent to [email protected] Published by The Straits Times, Singapore Press Holdings (SPH) Special Report Drones: Boon or Bane? Printed by Times Printers Private Limited 28 Fast-evolving drone technology All rights reserved. No part increases threat to aviation of this publication may be reproduced in whole or security in part without written permission from the publisher. 2 ST ILLUSTRATION: CEL GULAPA contents Cover Story Beijing waiting for tide of public opinion to turn against protesters PHOTO: DPA 10 Opinion Country Reports Singapore President: China’s growth slows to 33 Draw from diversity as a 42 27-year low as trade war bites source of strength Abe’s party wins big in Upper House polls Thinking Aloud Forging community ties, one 36 friendly gesture at a time Field Notes Chinese-built Cambodian resort 39 stirs geopolitical tensions askSTart 48 Through the eyes of Miel Big Picture 52 Looking good for take-off 3 Cover Story ‘I can’t even see tomorrow’ Never before has Hong Kong seen such turmoil. Of a 7.5 million population, some two million have taken to the streets protesting an extradition Bill that would enable the city to send suspects to China because they distrust the opaque judicial system there. The protests have since evolved to one against all forms of authority, as well as reigniting an old issue, universal suffrage. On several occasions, following peaceful mass protests, young protesters have clashed with the police on Hong Kong’s streets. Here’s a look at why this is happening and where things might lead. EVENTS ORGANISER ADRIAN LAM WANTS TO Hopelessness has turned to anger, which has ELIZABETH LAW marry his long-term girlfriend, buy a place to manifested in weeks of mostly youth-led mass Regional Correspondent live and maybe have a child. But all these seem protests. On several occasions, this has resulted In Hong Kong increasingly unlikely on his pay of HK$22,500 in dramatic scenes, with protesters storming the ($3,900) a month, slightly above average by Hong legislature, laying siege to the police headquarters Kong standards. and most recently, vandalising Beijing’s liaison office “We don’t qualify for public housing because our in the city. combined salary is above the threshold but if we The protesters are against a contentious want to buy an apartment, it’s going to cost us far extradition Bill that, if passed, will allow for case- too much. Of course some people say if we spend by-case extraditions to jurisdictions that Hong Kong less and save every dollar, we would be able to afford does not currently have a permanent treaty with, [email protected] an apartment,” the 29-year-old said, adding that including mainland China. renting is “putting money into a sinkhole”. Officials say this is to plug a legal loophole but Even if they could afford a flat reasonably close the speed at which the city’s administration tried to to town, having a child is another concern. rush the Bill into law led Hong Kongers to see this An increasingly competitive and complicated as Beijing increasing pressure on the city. public education system has led many parents Following the handover from Britain to China to send their children to private or international in 1997, Hong Kong has been promised a high schools, where fees can go up to HK$100,000 a year. level of autonomy, protecting rights unseen in the “Why do I have to suffer because of bad policies?” mainland, including the right to peaceful protest Mr Lam told The Straits Times. and freedom of speech. Priced out of the housing market and faced with But in recent years, residents have seen their an education system that appears to disadvantage privileges being gradually eroded: A rule barring the poor, and with growing wealth inequality, Hong insult of the Chinese national anthem is making its Kong’s youth feel forgotten by their government. way through the legislature, compulsory national 4 ASIA REPORT August 2019 Protesters holding placards education in schools has been mooted and there extradition Bill rallies in the in June, including the and strips of cloth with has been an increasing emphasis on Mandarin in effort to surround the legislature on June 12 that protest messages at the a city whose lingua franca is Cantonese. ended with police firing tear gas and rubber bullets July 5 rally. But discontent had already reared its There is also fear that should the extradition to disperse the crowd. head during the Occupy legislation pass, political dissidents and activists “If I can’t even look forward to buying a house, Movement in 2014. could be targeted by Beijing. or knowing I can’t climb up the social ladder, while ST PHOTO: LIM YAOHUI Many protesters said they took to the streets all these other people own multi-million-dollar because they felt they had nothing left to lose. properties, what future is there?” he said. The night after protesters stormed the Legislative Hong Kong’s Gini coefficient – which measures Council (LegCo) – and struck deep into Hong Kong’s income distribution, with 0 being equal income political heart – film student Yanis Wong cried distribution – was 0.473 in 2016, official data shows. herself to sleep. Home prices are also among the highest in the The 19-year-old, who was among the young world, driven by the insatiable Chinese appetite protesters outside the LegCo complex, was worried for properties, with the average price of a home at for her peers who rammed down the glass walls, but US$1.2 million (S$1.63 million) last year, based on she was also shocked at how the initially peaceful research by real estate firm CBRE.