Iran crisis puts China’s UN diplomacy to the test

"A prolonged conflict would have posed serious risks, prompting China to become more involved in de-escalation efforts. China’s economy is in no position to weather a global recession with ease. Persistently weak domestic demand means that exports remain essential for absorbing industrial output, sustaining economic growth, and supporting employment. A decline in external demand, combined with disruptions in access to key industrial and agricultural inputs, could therefore undermine a critical pillar of the economy."

Andrea Ghiselli (Head of Research) and Courtney J. Fung (Nonresident Fellow at the Lowy Institute) co-authored an article for the Lowy Institute, interpreting China's UN veto on the Strait of Hormuz resolution.

Read the full article here.