German Chancellor Olaf Scholz and Chinese President Xi Jinping, in Beijing, on November 4. AP
German Chancellor Olaf Scholz and Chinese President Xi Jinping, in Beijing, on November 4. AP
German Chancellor Olaf Scholz and Chinese President Xi Jinping, in Beijing, on November 4. AP
German Chancellor Olaf Scholz and Chinese President Xi Jinping, in Beijing, on November 4. AP


Will Olaf Scholz's trip to Beijing change the tone of western-Chinese relations?


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November 09, 2022

Last week, German chancellor Olaf Scholz became the first leader of a G7 country to visit China since the pandemic began. He earned himself plenty of criticism, both at home and abroad, from those who want western countries to distance themselves from Beijing. I, on the other hand, think that Mr Scholz deserves full credit for showing that, in an increasingly divided world, countries can still choose the path of peace and co-operation. I hope others follow his example.

In the 1980s, fears of a catastrophic global conflict were visceral. I can remember as a teenager at boarding school in Britain being weighed down by the likelihood that there might not be any future – that humanity could easily be destroyed by nuclear war. I have never felt a similar sense of dread since, until recently. It struck me as I read the first in a series of analyses written by Hal Brands, a professor at the Johns Hopkins School of Advanced International Studies, about potential war between the US and China in the Asia Pacific. “Just two years ago, it was still a fringe opinion” to suggest there might be “a major regional conflict in the 2020s,” he wrote. “Now, in Washington at least, that view is becoming conventional wisdom.”

The conflict might be over Taiwan, but wherever it began, it would likely expand across the entire region: “A US-China war would have cascading consequences… There would be a very real prospect of nuclear escalation.”

US President Joe Biden speaks to Chinese leader Xi Jinping from the White House, on November 15, 2021. Reuters
US President Joe Biden speaks to Chinese leader Xi Jinping from the White House, on November 15, 2021. Reuters

Now, as an editor, policy analyst and columnist, I have been engaging with how the US will accommodate or seek to block China’s rise for well over a decade. The Princeton historian Aaron Friedberg wrote a book, “A Contest for Supremacy”, warning of the risks of conflict way back in 2011, several years before Harvard’s Graham Allison wrote his famous essay for The Atlantic: “The Thucydides Trap: Are the U.S. and China Headed for War?”

I always felt assured that the answer was “no” – for why should there be any inevitability about it? What chilled me about Prof Brands’s article was not just the realisation that so few in the US today are interested in trying to see the world from Beijing’s perspective – a Southeast Asian friend who works at a Washington think tank tells me that any who do are disparagingly labelled “panda lovers” – but that the division in the foreign policy establishment is now, as the Singaporean thinker Kishore Mahbubani recently put it, between “the hawkish voices and the irresponsibly hawkish voices”.

This is now a multipolar world which therefore needs a 'multipolar pattern' not 'new blocs'
German Chancellor Olaf Scholz

US President Joe Biden has effectively ended the policy of “strategic ambiguity” over Taiwan. He has made it clear that if China seeks reunification with the island by force the US will intervene militarily. When American officials act provocatively, such as when Speaker Nancy Pelosi made a visit in August to Taiwan, which China considers to be a renegade province, any follow-up action by Beijing is then considered by Washington to be an escalation, rather than a response to be expected.

The consequent bellicose rhetoric coming from all sides in the US, says Bonnie Glaser of the German Marshall Fund of the United States, could “end up provoking the war that we seek to deter”. Living as I do in Malaysia, this would not be some distant event. It would be a conflagration right on our doorstep that countries in the region would desperately try to keep out of – but could be dragged into against their will.

Taiwan Foreign Minister Joseph Wu receives US Speaker Nancy Pelosi in Taipei, on August 2. Reuters
Taiwan Foreign Minister Joseph Wu receives US Speaker Nancy Pelosi in Taipei, on August 2. Reuters

In the past, one of the reasons many were so confident this would never come to pass was simple. For at least 20 years, annual trade between the US and China ran into the hundreds of billions. According to Chinese authorities, it stood at $755 billion in 2021. Surely nobody in their right mind would risk that?

But now countries are being urged by Washington to “decouple” from China. Not only that, last month the US Department of Commerce issued a ban on exports to China of semiconductor chips and other high-tech software and hardware – which an analyst at Washington’s Center for Strategic and International Studies described as “a new US policy of actively strangling large segments of the Chinese technology industry”.

A member of Mr Scholz’s delegation to Beijing told Asia Times: “China will not be able to sit on its hands if its ability to progress economically is seriously and deliberately undermined… It’s an undeclared war, but a war all the same.”

This is dangerous and irresponsible. This is also why I am so glad that last week Mr Scholz made clear his opposition to decoupling and his commitment “to continue to deepen economic and trade co-operation with China”. This is not just in Germany’s self-interest, although it is, as China has been the country’s biggest trading partner for the last six years. It is also important that a major economy like Germany, which along with France is one of the two countries that can take the lead in the European Union, recognises that this is now a multipolar world which therefore needs a “multipolar pattern” not “new blocs”, as Mr Scholz put it.

The EU may have “accurately described China as filling the threefold role of partner, competitor and rival,” per Mr Scholz, who also made clear his differences with Beijing, but “we must explore where co-operation remains in our mutual interest. Ultimately, the world needs China.”

He’s right. And it is increased trade and co-operation that bind us together.

Mr Scholz knows that, as does his delegation member who told Asia Times: “We want to have China have a stake in peace. We do not want chip wars to lead to a totally destructive hot war.”

Neither does most of the rest of the world. The only people who could disagree are the armchair warriors in Washington who would leave the fighting and dying in their unnecessary wars to others. Let us hope Mr Scholz shows Europe and the West that the middle way is still intact, and that it is the only way if they truly want peace.

Europe's top EV producers
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  3. Netherlands (20%)
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Source: VCOe 

RESULTS

5pm: Maiden (PA) Dh80,000 1,200m
Winner: Ferdous, Szczepan Mazur (jockey), Ibrahim Al Hadhrami (trainer)
5.30pm: Arabian Triple Crown Round-3 Group 3 (PA) Dh300,000 2,400m
Winner: Basmah, Fabrice Veron, Eric Lemartinel
6pm: UAE Arabian Derby Prestige (PA) Dh150,000 2,200m
Winner: Ihtesham, Szczepan Mazur, Ibrahim Al Hadhrami
6.30pm: Emirates Championship Group 1 (PA) Dh1,000,000 2,200m
Winner: Somoud, Patrick Cosgrave, Ahmed Al Mehairbi
7pm: Abu Dhabi Championship Group 3 (TB) Dh380,000 2,200m
Winner: GM Hopkins, Patrick Cosgrave, Jaber Ramadhan
7.30pm: Wathba Stallions Cup Conditions (PA) Dh70,000 1,600m
Winner: AF Al Bairaq, Tadhg O’Shea, Ernst Oertel

THE%20STRANGERS'%20CASE
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The biog

Most memorable achievement: Leading my first city-wide charity campaign in Toronto holds a special place in my heart. It was for Amnesty International’s Stop Violence Against Women program and showed me the power of how communities can come together in the smallest ways to have such wide impact.

Favourite film: Childhood favourite would be Disney’s Jungle Book and classic favourite Gone With The Wind.

Favourite book: To Kill A Mockingbird for a timeless story on justice and courage and Harry Potters for my love of all things magical.

Favourite quote: “We make a living by what we get, but we make a life by what we give.” — Winston Churchill

Favourite food: Dim sum

Favourite place to travel to: Anywhere with natural beauty, wildlife and awe-inspiring sunsets.

Benefits of first-time home buyers' scheme
  • Priority access to new homes from participating developers
  • Discounts on sales price of off-plan units
  • Flexible payment plans from developers
  • Mortgages with better interest rates, faster approval times and reduced fees
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SERIES INFO

Cricket World Cup League Two
Nepal, Oman, United States tri-series
Tribhuvan University, Kathmandu
 
Fixtures
Wednesday February 5, Oman v Nepal
Thursday, February 6, Oman v United States
Saturday, February 8, United States v Nepal
Sunday, February 9, Oman v Nepal
Tuesday, February 11, Oman v United States
Wednesday, February 12, United States v Nepal

Table
The top three sides advance to the 2022 World Cup Qualifier.
The bottom four sides are relegated to the 2022 World Cup playoff

 1 United States 8 6 2 0 0 12 0.412
2 Scotland 8 4 3 0 1 9 0.139
3 Namibia 7 4 3 0 0 8 0.008
4 Oman 6 4 2 0 0 8 -0.139
5 UAE 7 3 3 0 1 7 -0.004
6 Nepal 0 0 0 0 0 0 0
7 PNG 8 0 8 0 0 0 -0.458

The BIO

Favourite piece of music: Verdi’s Requiem. It’s awe-inspiring.

Biggest inspiration: My father, as I grew up in a house where music was constantly played on a wind-up gramophone. I had amazing music teachers in primary and secondary school who inspired me to take my music further. They encouraged me to take up music as a profession and I follow in their footsteps, encouraging others to do the same.

Favourite book: Ian McEwan’s Atonement – the ending alone knocked me for six.

Favourite holiday destination: Italy - music and opera is so much part of the life there. I love it.

The President's Cake

Director: Hasan Hadi

Starring: Baneen Ahmad Nayyef, Waheed Thabet Khreibat, Sajad Mohamad Qasem 

Rating: 4/5

Brief scoreline:

Crystal Palace 2

Milivojevic 76' (pen), Van Aanholt 88'

Huddersfield Town 0

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1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

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Indoor Cricket World Cup

Venue Insportz, Dubai, September 16-23

UAE squad Saqib Nazir (captain), Aaqib Malik, Fahad Al Hashmi, Isuru Umesh, Nadir Hussain, Sachin Talwar, Nashwan Nasir, Prashath Kumara, Ramveer Rai, Sameer Nayyak, Umar Shah, Vikrant Shetty

Nepotism is the name of the game

Salman Khan’s father, Salim Khan, is one of Bollywood’s most legendary screenwriters. Through his partnership with co-writer Javed Akhtar, Salim is credited with having paved the path for the Indian film industry’s blockbuster format in the 1970s. Something his son now rules the roost of. More importantly, the Salim-Javed duo also created the persona of the “angry young man” for Bollywood megastar Amitabh Bachchan in the 1970s, reflecting the angst of the average Indian. In choosing to be the ordinary man’s “hero” as opposed to a thespian in new Bollywood, Salman Khan remains tightly linked to his father’s oeuvre. Thanks dad. 

LA LIGA FIXTURES

Friday

Granada v Real Betis (9.30pm)

Valencia v Levante (midnight)

Saturday

Espanyol v Alaves (4pm)

Celta Vigo v Villarreal (7pm)

Leganes v Real Valladolid (9.30pm)

Mallorca v Barcelona (midnight)

Sunday

Atletic Bilbao v Atletico Madrid (4pm)

Real Madrid v Eibar (9.30pm)

Real Sociedad v Osasuna (midnight)

Who's who in Yemen conflict

Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government

Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council

Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south

Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory

Tips to keep your car cool
  • Place a sun reflector in your windshield when not driving
  • Park in shaded or covered areas
  • Add tint to windows
  • Wrap your car to change the exterior colour
  • Pick light interiors - choose colours such as beige and cream for seats and dashboard furniture
  • Avoid leather interiors as these absorb more heat
Indoor cricket in a nutshell

Indoor Cricket World Cup – Sep 16-20, Insportz, Dubai

16 Indoor cricket matches are 16 overs per side

8 There are eight players per team

There have been nine Indoor Cricket World Cups for men. Australia have won every one.

5 Five runs are deducted from the score when a wickets falls

Batsmen bat in pairs, facing four overs per partnership

Scoring In indoor cricket, runs are scored by way of both physical and bonus runs. Physical runs are scored by both batsmen completing a run from one crease to the other. Bonus runs are scored when the ball hits a net in different zones, but only when at least one physical run is score.

Zones

A Front net, behind the striker and wicketkeeper: 0 runs

B Side nets, between the striker and halfway down the pitch: 1 run

Side nets between halfway and the bowlers end: 2 runs

Back net: 4 runs on the bounce, 6 runs on the full

Dubai Women's Tour teams

Agolico BMC
Andy Schleck Cycles-Immo Losch
Aromitalia Basso Bikes Vaiano
Cogeas Mettler Look
Doltcini-Van Eyck Sport
Hitec Products – Birk Sport 
Kazakhstan National Team
Kuwait Cycling Team
Macogep Tornatech Girondins de Bordeaux
Minsk Cycling Club 
Pannonia Regional Team (Fehérvár)
Team Auvergne-Rhône-Alpes
Team Ciclotel
UAE Women’s Team
Under 23 Kazakhstan Team
Wheel Divas Cycling Team

Living in...

This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home. 

Wicked: For Good

Director: Jon M Chu

Starring: Ariana Grande, Cynthia Erivo, Jonathan Bailey, Jeff Goldblum, Michelle Yeoh, Ethan Slater

Rating: 4/5

Gulf Under 19s final

Dubai College A 50-12 Dubai College B

The years Ramadan fell in May

1987

1954

1921

1888

Ziina users can donate to relief efforts in Beirut

Ziina users will be able to use the app to help relief efforts in Beirut, which has been left reeling after an August blast caused an estimated $15 billion in damage and left thousands homeless. Ziina has partnered with the United Nations High Commissioner for Refugees to raise money for the Lebanese capital, co-founder Faisal Toukan says. “As of October 1, the UNHCR has the first certified badge on Ziina and is automatically part of user's top friends' list during this campaign. Users can now donate any amount to the Beirut relief with two clicks. The money raised will go towards rebuilding houses for the families that were impacted by the explosion.”

Going grey? A stylist's advice

If you’re going to go grey, a great style, well-cared for hair (in a sleek, classy style, like a bob), and a young spirit and attitude go a long way, says Maria Dowling, founder of the Maria Dowling Salon in Dubai.
It’s easier to go grey from a lighter colour, so you may want to do that first. And this is the time to try a shorter style, she advises. Then a stylist can introduce highlights, start lightening up the roots, and let it fade out. Once it’s entirely grey, a purple shampoo will prevent yellowing.
“Get professional help – there’s no other way to go around it,” she says. “And don’t just let it grow out because that looks really bad. Put effort into it: properly condition, straighten, get regular trims, make sure it’s glossy.”

Updated: November 09, 2022, 9:00 AM