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April 27th, 2026

  • Writer: USCSSO @GWU
    USCSSO @GWU
  • 2 hours ago
  • 3 min read

Overview

This week, we discuss fines against PwC in HongKong and China's SE Asian diplomatic tour.

Diplomacy

“Solidarity More Than Ever”: Foreign Minister Concludes SE Asian Tour

By Newsletter Director Jason Holman

 

From April 22nd to April 26th Chinese Foreign Minister Wang Yi visited and concluded diplomatic visits with officials in Cambodia, Thailand, and Myanmar.

China’s Foreign Minister Wang Yi (left) shaking hands with Myanmar’s newest President Min Aung Hlaing (right).  (via. SCMP)


Cambodia: On April 22nd Chinese Foreign Minister Wang Yi began his diplomatic tour of South-East Asia with Cambodia. The diplomatic visit was conducted in a “2 + 2” framework, being a meeting of both China and Cambodia’s Foreign Ministers alongside their Defense Ministers. The framework was tried for the first time with Cambodia, after being proposed by Xi Jinping when he visited the country in April 2025. Cambodia has already been described as China’s biggest partner in SE Asia, having bilateral trade amounting to $19.73 billion in 2025, and this meeting solidifies this. China has also provided extensive funding for Cambodian defense and the expansion of the Ream Naval Base. 

 

Thailand: On April 24th Wang continued his tour visiting Thailand's Prime Minister Anutin Charnvirakul. This visit reaffirmed the strong ties between China and Thailand that were seen last year in the celebration of the 50th Anniversary of Thailand-China diplomatic ties. November 2025 also saw the first visit of a reigning Thai monarch to China. However, a highlight of both the visit to Cambodia and Thailand was a focus on strengthening regional cooperation and stability. China pushed for the development of a communication platform organized by China between Thailand and Cambodia. The two nations participated in intense border clashes in July and Dec. 2025, that were concluded by a Chinese negotiated ceasefire in Yunnan in December.

 

Myanmar: Finally on April 25th and 26th Wang would complete the tour with a visit to the newly inaugurated President of Myanmar, Min Aung Hlaing. Myanmar has faced heavy diplomatic isolation after the overthrow of its democratically elected government in 2021. Hlaing was elected April 3rd by the military-dominated legislature. China congratulated what many have called a un-democratic election. China continues to present itself as a stable alternative to the US diplomatically. In Myanmar this continues with China hoping to help Hlaing to normalize Myanmar’s relations with ASEAN. The military government has been excluded from several significant diplomatic meetings with ASEAN despite Myanmar remaining a member of the organization. 

Domestic

Big Four Accounting Firm PwC Faces $166 Million in Fines From Hong Kong

By Newsletter Director Jason Holman

 

On April 24th PricewaterhouseCoopers (PwC) was fined by HongKong regulators over $166 million due to their audit of Evergrande in 2020.

Signage at head PwC office in Australia.. PwC is one of the Big Four Accounting Firms globally.  (via. AP)


PwC: On April 23rd PricewaterhouseCoopers (PwC), one of the Big Four accounting firms globally, was fined by HongKong’s Securities and Futures Commission $1 billion HKD ($127.7 million USD) . PwC China is ordered to distribute this $1 billion HKD to compensate minority shareholders of Evergrande. On April 24th PwC would additionally be fined by HongKong’s Accounting and Financial Repudiation Council $300 million HKD (roughly $38 million USD) and two former PwC owners were each fined an additional $5 million HKD ($630,000 USD). Additionally PwC was issued a six month long limitation on its practices in HongKong. 

 

Evergrande:  The fines are in connection to PwC’s 2019 and 2020 financial statements for China Evergrande, which was one of the largest property developers globally. Evergrande in 2021 would go into default amid China’s Property Crisis. The company was the world’s most indebted developer holding over $300 billion in liabilities. The collapse of Evergrande in 2021 alongside several other prominent property developers would cause China’s Property Crisis. China today is still recovering from the pain this has caused. The massive devaluation of property massively decreased consumption and investment across China and hurts the country's economic growth to this day. In 2024 Evergrande would be officially liquidated by a HongKong court and removed from the stock exchange. Evergrande’s CEO Hui Ka Yan pleaded guilty to fraud on April 13 2026.

 

Legal Battles: This was not the first time that PwC has received punishment for its work with Evergrande. In 2024 during Evergrande’s liquidation PwC Zhong Tian, which handled Evergrande’s offshore group Hengda Real Estate Group, was fined by mainland authorities $441 million yuan (roughly $62 million USD). PwC Zheng Tian also received a limitation on its practice in China for six months. This has already cost PwC many clients and shaken trust in the large firm. HongKong has stated it will not pursue further fines if current agreements are held. The issue is not settled however with the group that liquidated Evergrande expecting to open hearings against PwC in May.


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