In March, two Australian newspapers used their front pages to warn that the country “must prepare” for the threat of war with China – headlines that former prime minister Paul Keating called “the most egregious and provocative news presentation of any newspaper I have witnessed in over 50 years of active public life”.
This came after relations between the two countries had already plummeted during Scott Morrison’s term as prime minister from 2018-22, when his tough words on Covid-19 and enactment of laws that targeted Beijing led the latter to hit back by restricting imports of a range of Australian goods.
What a difference a few months make.
Current Prime Minister Anthony Albanese’s four-day “rapprochement” tour of China, which concluded on Tuesday, has been such a success that Chinese Premier Li Qiang referred to a video of Mr Albanese going for a run during his visit by telling him “people were saying that we have a handsome boy coming from Australia”.
Mr Li didn’t stop there. Given this was their fourth meeting, he added: “Chinese people say at the first meeting, we are new acquaintances and the second time, we’re familiar with each other, and on the third meeting, we are old friends.”
Mr Albanese and Australian Foreign Minister Penny Wong struck all the right notes with a series of cheery-faced social media posts while they were in China.
On Monday, Ms Wong posted that then prime minister Gough Whitlam’s visit in 1973 “laid the groundwork for the diplomatic ties that link the people of Australia and China together to this day. Today the Prime Minister and I retraced his steps with a visit to the Temple of Heaven in Beijing”.
Choosing the 50th anniversary of Mr Whitlam’s diplomatic trip – the first by an Australian leader – to reset the relationship was a masterstroke. For as Chinese President Xi Jinping told Mr Albanese during their hour-long meeting on Monday, “In China, we often say that when drinking water, we should not forget those who dug the well. The Chinese people will not forget Prime Minister Whitlam for digging the well for us.”
What a difference a few months make
Those early diplomatic openings for the People’s Republic are truly never forgotten. So important are they that in Malaysia, where I live, one of the first acts of every new Chinese ambassador was to pay their respects to the widow of Tun Abdul Razak, the leader who established formal relations with China in 1974 – and she outlived her husband by 44 years before her death in 2020.
So the timing was perfect. Mr Albanese was polite and warm, but no pushover either. Before meeting Mr Xi, he told reporters: “We need to co-operate with China where we can, disagree where we must, and engage in our national interest.”
According to state broadcaster CCTV, Mr Xi then told his counterpart that the two countries had “no fundamental conflict of interests” and could “become mutually trusting and mutually successful partners”. It was “a new starting point”, he said.
Given that trade between the two countries was not far off $300 billion last year, it suits both to turn the page. As Mr Albanese said: “Both Australia and China benefit from co-operation and dialogue.”
This new approach is very welcome. But it also sends two important signals.
The first is that it shows that belonging to organisations such as the Quad – the Quadrilateral Security Dialogue, with India, Japan and the US – and Aukus – the trilateral security partnership with the UK and US – does not have to mean being anti-China.
Beijing understandably views both as aiming to contain its rise in the Asia-Pacific, and if China hawks are candid, they will concede they hope that is precisely what the Quad and Aukus will do. The jolly smiles on display in Beijing, which looked genuine and unforced, make it clear, however, that “win-win co-operation” is the priority for Australia’s current leadership.
The more other countries can follow suit and resist the exhortations to “take sides” in a totally unnecessary attempt to divide the world, the better.
The second signal concerns Australia’s place in Asia.
How much the country wants to be part of the continent, and to what extent it can do so, are questions I’ve discussed with Australian diplomats and foreign policy experts. Perhaps naturally, the greatest enthusiasm comes from those most focussed on South-East and East Asia. They view the idea that their country should be the US’s “deputy sheriff” in the region as anachronistic.
In terms of engagement and deepening knowledge, there is much work to be done at home.
A recent report by four Australian university professors noted: “In 1992, there were 22 Australian universities teaching Indonesian. By 2022, this number was down to 12. There has also been a huge drop in students studying Indonesian to the end of high school.” And this is the official language of Australia’s closest neighbour in Asia.
There is also the question of how welcome a predominantly white, self-consciously western country would be. When the then Malaysian prime minister Mahathir Mohamad proposed an East Asia Economic Caucus in 1997, for instance, it was dubbed a “caucus without Caucasians” as it deliberately excluded Australia and New Zealand.
The idea never got off the ground, and times have changed. So has Australia.
Ms Wong is clearly well qualified for the job; but it doesn’t hurt her country’s image in the region that she is half Malaysian Chinese. And the public faces of Australia are likely to feature far more people of fully or partly Asian descent in the future. This is because while in 1996, the percentage of Australians who were born in Asia was 5 per cent, in the 2021 census, 17.4 per cent of the population identified as having Asian ancestry.
Demographic trends may end up answering the question of where Australia sees itself in the world.
Either way, Mr Albanese’s trip to China has been one of the rare instances of good news of late. More “friendship”, which in Beijing Mr Albanese said was “certainly something that I feel and I’m sure will continue to develop in the future”, is something we could all do with much more of right now.
RACE RESULTS
1. Valtteri Bottas (FIN/Mercedes) 1hr 21min 48.527sec
2. Sebastian Vettel (GER/Ferrari) at 0.658sec
3. Daniel Ricciardo (AUS/Red Bull) 6.012
4. Lewis Hamilton (GBR/Mercedes) 7.430
5. Kimi Räikkönen (FIN/Ferrari) 20.370
6. Romain Grosjean (FRA/Haas) 1:13.160
7. Sergio Pérez (MEX/Force India) 1 lap
8. Esteban Ocon (FRA/Force India) 1 lap
9. Felipe Massa (BRA/Williams) 1 lap
10. Lance Stroll (CAN/Williams) 1 lap
11. Jolyon Palmer (GBR/Renault) 1 lap
12. Stoffel Vandoorne (BEL/McLaren) 1 lap
13. Nico Hülkenberg (GER/Renault) 1 lap
14. Pascal Wehrlein (GER/Sauber) 1 lap
15. Marcus Ericsson (SWE/Sauber) 2 laps
16. Daniil Kvyat (RUS/Toro Rosso) 3 laps
TEST SQUADS
Bangladesh: Mushfiqur Rahim (captain), Tamim Iqbal, Soumya Sarkar, Imrul Kayes, Liton Das, Shakib Al Hasan, Mominul Haque, Nasir Hossain, Sabbir Rahman, Mehedi Hasan, Shafiul Islam, Taijul Islam, Mustafizur Rahman and Taskin Ahmed.
Australia: Steve Smith (captain), David Warner, Ashton Agar, Hilton Cartwright, Pat Cummins, Peter Handscomb, Matthew Wade, Josh Hazlewood, Usman Khawaja, Nathan Lyon, Glenn Maxwell, Matt Renshaw, Mitchell Swepson and Jackson Bird.
Honeymoonish
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Unresolved crisis
Russia and Ukraine have been locked in a bitter conflict since 2014, when Ukraine’s Kremlin-friendly president was ousted, Moscow annexed Crimea and then backed a separatist insurgency in the east.
Fighting between the Russia-backed rebels and Ukrainian forces has killed more than 14,000 people. In 2015, France and Germany helped broker a peace deal, known as the Minsk agreements, that ended large-scale hostilities but failed to bring a political settlement of the conflict.
The Kremlin has repeatedly accused Kiev of sabotaging the deal, and Ukrainian officials in recent weeks said that implementing it in full would hurt Ukraine.
Ten tax points to be aware of in 2026
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
GAC GS8 Specs
Engine: 2.0-litre 4cyl turbo
Power: 248hp at 5,200rpm
Torque: 400Nm at 1,750-4,000rpm
Transmission: 8-speed auto
Fuel consumption: 9.1L/100km
On sale: Now
Price: From Dh149,900
Torbal Rayeh Wa Jayeh
Starring: Ali El Ghoureir, Khalil El Roumeithy, Mostafa Abo Seria
Stars: 3
The%20specs
%3Cp%3E%3Cstrong%3EEngine%3A%20%3C%2Fstrong%3E6.5-litre%20V12%3Cbr%3E%3Cstrong%3EPower%3A%20%3C%2Fstrong%3E725hp%20at%207%2C750rpm%3Cbr%3E%3Cstrong%3ETorque%3A%20%3C%2Fstrong%3E716Nm%20at%206%2C250rpm%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3E8-speed%20dual-clutch%20auto%3Cbr%3E%3Cstrong%3EOn%20sale%3A%20%3C%2Fstrong%3EQ4%202023%3Cbr%3E%3Cstrong%3EPrice%3A%20%3C%2Fstrong%3EFrom%20Dh1%2C650%2C000%3C%2Fp%3E%0A
Common OCD symptoms and how they manifest
Checking: the obsession or thoughts focus on some harm coming from things not being as they should, which usually centre around the theme of safety. For example, the obsession is “the building will burn down”, therefore the compulsion is checking that the oven is switched off.
Contamination: the obsession is focused on the presence of germs, dirt or harmful bacteria and how this will impact the person and/or their loved ones. For example, the obsession is “the floor is dirty; me and my family will get sick and die”, the compulsion is repetitive cleaning.
Orderliness: the obsession is a fear of sitting with uncomfortable feelings, or to prevent harm coming to oneself or others. Objectively there appears to be no logical link between the obsession and compulsion. For example,” I won’t feel right if the jars aren’t lined up” or “harm will come to my family if I don’t line up all the jars”, so the compulsion is therefore lining up the jars.
Intrusive thoughts: the intrusive thought is usually highly distressing and repetitive. Common examples may include thoughts of perpetrating violence towards others, harming others, or questions over one’s character or deeds, usually in conflict with the person’s true values. An example would be: “I think I might hurt my family”, which in turn leads to the compulsion of avoiding social gatherings.
Hoarding: the intrusive thought is the overvaluing of objects or possessions, while the compulsion is stashing or hoarding these items and refusing to let them go. For example, “this newspaper may come in useful one day”, therefore, the compulsion is hoarding newspapers instead of discarding them the next day.
Source: Dr Robert Chandler, clinical psychologist at Lighthouse Arabia
The specs: 2017 Dodge Ram 1500 Laramie Longhorn
Price, base / as tested: Dhxxx
Engine: 5.7L V8
Transmission: Eight-speed automatic
Power: 395hp @ 5,600rpm
Torque: 556Nm @ 3,950rpm
Fuel economy, combined: 12.7L / 100km