At Japan's Naha airbase in Okinawa, the roar of F-15 fighter jets dwarfs the sound of commercial planes that share the same runway.

Three jets take off one after the other to start the day's training, mostly scenarios involving combat and aircraft interception - some have gone on "real life scrambles" or emergency calls to intercept suspected Chinese aircraft.

These routine exercises have taken on a new sense of urgency, according to Lt Col Masatoshi Tanaka.

"We're very nervous," he says. "We've been facing airspace violations of Japanese territory every day. Chinese activities have expanded in number and quality. They involve UAVs [drones], bombers and reconnaissance planes. There are many active aircraft carriers in this area."

Naha is part of the Okinawa island chain, which is on the frontline of any potential conflict between China and the self-ruled island of Taiwan. The territory, which Beijing claims and has vowed to take by force if necessary, has become one of the biggest flashpoints in the world, especially as tensions soar between the US and China.

As China becomes more assertive, Taiwan's security has become a growing concern for Japan, which is hosting the G7 summit in Hiroshima this weekend. And with China expected to dominate the agenda at the summit, Japan's role as a key player in building regional stability has only grown.

The war in Ukraine and an increasingly volatile Indo-Pacific has pushed Japan to a "crucial position in the alignment of powers," according to Yoko Iwama, a professor of international relations at the National Graduate Institute for Policy Studies.

"We are the linchpin of the network of American alliances and partnerships in the region and I think the Americans are aware of that," she said.

Prime Minister Fumio Kishida has certainly been making moves to reflect that. In March, Japan normalised diplomatic ties with South Korea after years of terse silence in what has been hailed as a "new chapter".

That same month, Mr Kishida met India's Prime Minister Narendra Modi and then made a surprise visit to Ukraine and pledged $30m (£24m) in non-lethal military aid.

Under him, Japan has announced the biggest military build-up since World War Two, pledging to double defence spending by 2027 - which would give it the third largest defence budget in the world. This illustrates both Tokyo's urgent need to show that it can defend itself, and also help its closest ally, the US.

Any defence scenario will involve the US, and Okinawa is home to the biggest concentration of US troops in Japan, but the country also needs to show that it can put up a fight. The hope is that this would be enough to deter Beijing and avoid a conflict in the region.

But Japan is close enough to feel the ripples of a conflict that it does not want, but could be pulled into.


When China's military rehearsed "sealing off" Taiwan during three days of military drills in April, Japan's defence ministry said a Chinese aircraft carrier was some 230km (145 miles) south of Miyako Island, also part of the Okinawa chain.

When a furious China fired missiles after former US house speaker Nancy Pelosi's visit last year, at least five landed less than 100km from the westernmost Japanese island of Yonaguni.

"Geographically speaking we're very close to Taiwan and South East Asia, we feel a sense of crisis," says Yoshitaka Nakayama, the mayor of Ishigaki. The island is about an hour's flight from the Naha airbase and is a picturesque haven known for fishing and agriculture. Its white sands and crystal blue waters have long attracted holidaymakers and snorkelling fans.

Now, Ishigaki is also home to Japan's Self-Defence Forces' (SDF) newest military base. As farmers tend to their crops in the fields around it, soldiers man the gates and cranes and bulldozers move bits of earth as construction continues.

Mr Nakayama says they need to protect themselves: "Chinese ships are patrolling very closely. The equipment we have in terms of missile launchers is for defending ourselves. It's to protect us in case there are planes or ships that want to attack us. We're not looking for war."

Earlier this year nearly 600 troops moved here, including squads capable of launching land-to-ship and land-to-air missiles into the East China sea and beyond.

Ishigaki and the neighbouring chain of islands are in close proximity to two flashpoints. One is the uninhabited Senkaku Islands which Japan controls but China also claims under the name Diaoyu Islands. The other is Taiwan, which is 200km away.

Ishikgaki is just 200km from Taiwan, one of the biggest flashpoints


And Russia's invasion of Ukraine has heightened fears of a potential Chinese attack. As the war rages on there, parallels have been drawn on this side of the world.

There are some similarities, according to Prof Iwama.

"The leader type: Vladimir Putin and Xi Jinping. But also the claim that a land that is controlled by someone else is yours," she said. "People see this and are afraid it could happen here."

She adds that watching large parts of Ukraine being bombed and shelled has brought up memories of World War Two. "You could relate to what was happening," Prof Iwama says.

But those memories have also angered people in Ishigaki who fear that their home might once again be caught up in conflict. Okinawa, after all, was the site of a historic battle between the US and the Japanese armies.

Now, nearly eight decades later, a military base has renewed those fears, splitting a once close-knit community.

When 85-year-old Setsuko Yamazato, who lost four members of her family in WW2, heard that a military base was being built in Ishigaki, she gathered a "group of grandmas" to speak out against it.

"The first thing that came to my mind was 'not again'," she says.

Setsuko Yamazato, 85, has been protesting against the construction of a military base at Ishigaki


Now, she and the others turn up outside the base every week to protest. With her cane in one hand and a banner saying "give our children a peaceful future" in the other, she chants, stopping at times to cough and take a breath.

"The SDF are coming to the island. They're building a missile base here," she chants. "Our island is protected by the God of Miroku, not by the military."

As someone who experienced war in her early life, she says she does not want to witness another in her old age.

"I don't want this island to become a battlefield," she says.

"We've been nurtured by the nature and culture of this island. I don't want that to be destroyed or stolen by war."

The July launch links credit-card spending and rewards to Kimi memberships and AI computing benefits, although some claims about conversational banking functions go beyond what the companies’ official materials currently confirm.
Chinese artificial-intelligence company Moonshot AI has launched a Kimi-branded credit card with Agricultural Bank of China and American Express, bringing AI subscriptions and computing-related rewards directly into a mainstream banking product.

The card became available in mainland China on July 10, 2026, after opening for reservations in June.

Kimi and some reports have described it as the world’s first “AI-native” credit card, although that designation is a marketing description rather than an independently established industry category.

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The most significant verified feature is not that artificial intelligence replaces the bank’s conventional credit-card infrastructure.

Instead, Kimi services are built into the card’s membership and rewards proposition.

Kimi’s own explanation says an AI-native credit card embeds Kimi membership, credits and related benefits into card opening and points-based spending, while also offering AI-oriented activities such as prompt courses and sharing sessions.

Agricultural Bank of China remains responsible for the credit-card account and associated banking functions.

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The card is offered in standard and premium platinum versions tied to different Kimi membership levels.

Published product information says the standard card corresponds to Kimi’s Andante membership tier and carries a main-card annual fee of 580 yuan, with the first year waived and subsequent annual fees waived after ten qualifying transactions.

The premium platinum version corresponds to the higher Allegretto tier and carries an annual fee of 880 yuan, which can be offset with 200,000 qualifying points.

Cardholders can obtain Kimi-related benefits including memberships and access to AI resources such as Agent and Kimi Code usage, alongside opportunities connected to new Kimi models.

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Agricultural Bank of China is also using introductory incentives to attract customers.

During a campaign running from July 10 through September 30, first-time applicants for the premium platinum card who spend at least 5,888 yuan within the qualifying period can receive a Kimi-branded NFC accessory and two monthly Allegretto memberships.

A separate promotion for eligible new Agricultural Bank of China credit-card customers offers Kimi-related rewards after three purchases of at least 18 yuan each.

The card is currently available only in mainland China.

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Some descriptions of the product have gone considerably further, portraying the card as a conversational financial assistant capable of examining transaction histories, answering natural-language questions about spending, planning repayments, blocking purchases when budgets are exceeded and identifying suspicious transactions before authorization.

Those functions have appeared in secondary coverage of the launch.

However, the official Kimi and Agricultural Bank of China materials reviewed for the product do not clearly establish that these capabilities are currently integrated into the live credit-card account.

The verified launch is therefore better understood as a credit card deeply tied to Kimi’s AI ecosystem and digital benefits rather than, on the available evidence, an autonomous AI system managing a customer’s credit account.

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The distinction matters because it changes the privacy implications.

A card that merely awards AI subscriptions or computing credits creates a different data relationship from one that gives a large language model direct access to a customer’s full transaction history, credit profile and repayment behavior.

Official campaign terms show that some personal information is shared where necessary to deliver Kimi memberships and promotional rewards, but they do not establish that Moonshot AI routinely receives complete card transaction histories for conversational analysis.

Claims about AI-driven lending decisions, personalized credit scoring or continuous surveillance of cardholder spending therefore remain unconfirmed for this product.

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The launch nevertheless reflects a broader shift in China’s financial sector.

Several Chinese banks have recently introduced cards or banking products that exchange ordinary spending activity for access to AI models, cloud-computing resources or tokens.

China Merchants Bank, Ping An Bank, Shanghai Pudong Development Bank and MYbank have all been associated with similar initiatives involving technology companies or cloud providers.

The emerging competition is aimed particularly at developers, technology workers and heavy users of generative AI, turning computing resources into a new category of credit-card reward.

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For Moonshot AI, the card gives Kimi another distribution channel beyond conventional AI subscriptions.

For Agricultural Bank of China, it offers a way to attract technology-oriented customers in a Chinese credit-card market that has been contracting.

American Express contributes the card-network component to the three-party product.

The experiment could become more consequential if future versions connect conversational AI securely to banking data and account controls.

For now, however, the clearest innovation is more modest and more concrete: spending on a conventional bank-issued credit card can generate benefits that consumers use inside an AI platform.

The next test will be whether that model appeals beyond developers and intensive AI users strongly enough to become a lasting category of financial product rather than a specialized co-branded rewards card.
Severe monsoon flooding and low water levels across the Mekong basin are putting pressure on agriculture and inland transport, increasing the need for climate-resilient infrastructure and improved water management.
Middle Eastern sovereign wealth funds are directing more capital toward Southeast Asian digital finance, biotechnology and hospitality, with Thailand seeking to attract investment through regulatory reforms and its established tourism infrastructure.
Multinational companies are expanding production in Thailand, Vietnam and Indonesia as they adapt to changing trade conditions, increasing the region’s importance as an alternative manufacturing and export base.
Investment in semiconductor packaging, printed circuit boards and hyperscale data centers is pushing Thailand and Malaysia toward higher-value positions in the global technology supply chain as artificial intelligence demand accelerates.
TikTok Shop and local delivery companies are forming an integrated logistics network across Thailand, Indonesia and Vietnam, intensifying competition with established regional e-commerce platforms.
The Thai government is partnering with international entertainment and streaming companies to develop music, festivals and other creative industries as sources of tourism income and consumer exports.
The ASEAN Regional Mine Action Center is urging member states to use spatial data and mapping technologies to accelerate clearance of unexploded ordnance that continues to affect agriculture and infrastructure across the Mekong region.
Indonesia has begun relocating major economic and defense ministries to Nusantara on Borneo, presenting the administrative move as a demonstration of the new capital’s long-term viability to international investors.
Mekong countries are seeking broader consultations with Cambodia over the environmental and geopolitical effects of the Chinese-backed Funan Techo Canal, including concerns about agricultural water security and changing maritime routes.
Thailand, Laos, Cambodia and Vietnam have begun urgent discussions over historically low reservoir levels in the lower Mekong basin, seeking to balance hydropower generation with water needs for agriculture.
The Philippines is strengthening maritime coordination with the United States and Japan and deploying advanced coast guard vessels after confrontations involving Chinese maritime militia ships near offshore energy areas.
Thai authorities have mobilized disaster response teams and warned of flash flooding across northern and northeastern provinces through mid-August as a powerful monsoon system threatens agricultural areas and regional transport links.
Indonesia and Vietnam are developing closer cooperation on electric vehicle component production as Chinese investment expands, seeking to strengthen Southeast Asia’s position as a major export base for electric mobility.
Energy regulators in Vietnam and Singapore have reached a key regulatory milestone for a major subsea transmission cable that would allow surplus Vietnamese offshore wind power to be supplied directly to Singapore.
Major US technology companies are committing additional capital to hyperscale data centers and subsea cable networks in Singapore and neighboring Johor, Malaysia, supporting the region’s expanding digital infrastructure.
Penang has secured new investment from European and Taiwanese chipmakers focused on advanced semiconductor packaging and testing, reinforcing Malaysia’s role in the downstream global chip supply chain.
Middle Eastern sovereign wealth funds have provided substantial new funding to a consortium developing Thailand’s first fully digital banking ecosystem, highlighting growing financial links between Gulf investors and Southeast Asia’s digital economy.
The average cost of corporate data breaches in Southeast Asia has surpassed four million US dollars, prompting companies across the region to increase cybersecurity spending as automated threats become more sophisticated.
Thailand’s health ministry has introduced streamlined regulations to attract pharmaceutical partnerships and international medical specialists, building on the country’s healthcare infrastructure and demand from high-value medical tourists from the Middle East and China.
Economic officials from all eleven ASEAN member states have moved forward with regional agreements intended to expand cross-border digital commerce and strengthen Southeast Asian supply chains against geopolitical disruptions.
Airports of Thailand is bringing forward expansion plans at Suvarnabhumi and Don Mueang airports to increase passenger capacity and luxury retail space as the country prepares for exceptionally strong international tourism during the coming high season.
DHL Express has introduced a daily Boeing freighter service between Shanghai and Bangkok, strengthening Thailand’s role as a logistics gateway for Southeast Asian exports to Europe and the Middle East as regional manufacturing links deepen.
New industry data shows a sharp recovery in Thai manufacturing investment, with foreign capital concentrated in the Eastern Economic Corridor as technology companies build printed circuit board plants and hyperscale data centers.
Thai private-sector groups have raised their annual growth forecast after technology and electronics exports jumped forty-five percent, with the Eastern Economic Corridor attracting foreign investment linked to surging global demand for artificial intelligence hardware.
New cultural directives and security measures targeting minority communities in Indonesia have drawn criticism from international rights groups, while the developments are raising concerns among multinational companies about the country’s social environment.
Malaysia is seeking diplomatic solutions after a change in British regulations disrupted practice pathways for Malaysian medical students studying at international campuses, raising concerns over the country’s investment in overseas medical education and its future healthcare workforce.
Prime Minister Anwar Ibrahim has defended the government’s economic reform agenda during a parliamentary dispute over management of the Tabung Haji pilgrimage fund, as opposition tensions expose divisions over strategic state investment.
Manufacturers across Southeast Asia are preparing for possible changes in US bilateral trade policy that could redirect more Chinese industrial goods into regional markets while encouraging companies to shift investment toward ASEAN production bases.
Thailand’s tourism authorities are shifting greater attention toward high-spending and long-stay international visitors as localised tensions along the Cambodian border complicate some cross-border tourism flows.
Thailand plans to use the influx of international delegates for the World Bank meetings to promote geographical indication products, premium jasmine rice, and heritage textiles, combining economic diplomacy with cultural promotion.
Merck is upgrading its Singapore operations with an advanced biosafety testing laboratory, strengthening the city-state’s role as a regional research and biomanufacturing centre serving healthcare and biotechnology markets across Asia-Pacific.
The use of an artificial intelligence-generated video in Singapore’s national day celebrations has prompted debate over human filmmaking, intellectual property, and the role of AI in the city-state’s creative economy.
Vietnamese automaker VinFast is rapidly adding authorised dealerships and service centres across Indonesia, intensifying competition with established Japanese manufacturers and Chinese electric vehicle brands in one of Southeast Asia’s largest markets.
Vietnam is preparing new tax incentives for high-tech foreign manufacturers that maintain at least thirty percent domestic equity and transfer core technologies to local partners as the government seeks to move higher up the manufacturing value chain.
Vietnamese satellite startup VinSpace has secured a dedicated launch arrangement with SpaceX as Hanoi seeks to strengthen its domestic space industry and expand its role in regional satellite communications.
Singapore is accelerating agreements to import renewable electricity from neighboring ASEAN countries as rapidly expanding data centers and artificial intelligence infrastructure increase energy demand and put pressure on the city-state’s carbon reduction goals.
Severe monsoon rains have displaced more than five hundred thousand people across Manila and thirty-three provinces, prompting the Philippine government to redirect funding from its Build Better More infrastructure programme toward disaster recovery and economic support.
US defense officials have called for greater domestic defense spending during high-level consultations with the Philippines, signalling a more pragmatic approach to regional security partnerships as maritime tensions rise in the South China Sea.
Thailand’s Finance Ministry says timely approval of the national budget will allow funding for major infrastructure projects to continue without interruption, supporting public investment and development across the Eastern Economic Corridor.
Southeast Asian economic ministers are advancing plans for digital payments, cross-border data flows, and more unified supply-chain rules as the region seeks greater economic resilience amid rising global trade tensions and tariff risks.
Bangkok is preparing to host more than fifteen thousand delegates for the October IMF and World Bank annual meetings while promoting the Bangkok Blueprint, a policy framework focused on digital public infrastructure and climate finance.
DHL Express has introduced a daily Boeing 767 freighter service linking Shanghai directly with Bangkok as cross-border trade and manufacturing activity between China, Thailand, and mainland Southeast Asia continues to expand.
Foreign investment in Thailand reached one hundred eighty-seven billion baht in the first half of the year, prompting the Finance Ministry to raise its growth outlook as advanced technology and manufacturing projects benefit from the Thailand FastPass investment scheme.
Deputy Prime Minister Sihasak Phuangketkeow has travelled to Moscow to finalise a new strategic consultation plan and expand trade with Eurasia, reinforcing Thailand’s effort to maintain active neutrality while deepening ties with major global powers.
The Republic of Singapore Air Force has carried out a helicopter medical evacuation of an ill crew member from a commercial vessel, highlighting Singapore’s role in maritime emergency response along some of the world’s busiest shipping routes.
The ASEAN Secretariat has launched a regional workshop aimed at accelerating the clearance of legacy landmines and unexploded ordnance in affected member states, with the goal of making land available for agriculture and infrastructure development.
Singaporean health and technology experts are advocating regulations that would require social media companies to modify how algorithms deliver content to young users, moving beyond simple limits on overall screen time.
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