On 1 March 2023, the American Chamber of Commerce in China (AmCham) has released its annual survey on the business climate in China. The China Business Climate Survey (BCS) Report is an annual survey, which asks member companies about a variety of factors impacting their investments in China. The BCS Report therefore provides a snapshot of the current sentiment of foreign companies toward the business environment in China. The 2023 BCS report identified top five business challenges in 2023, as follows: Rising tensions in US-China relations COVID-19 prevention measures Inconsistent regulatory interpretation and unclear laws & enforcement Rising labour costs Regulatory compliant risks

a) Identify and elaborate on two (2) events that happened in 2022 which contributed to the rising tensions in US-China relations. [4 marks]

b) Based on the 2023 BCS report, it appears that China continues to fall short in terms of providing high-quality government services, which are identified as Challenge No. 3 and Challenge No. 5. This conclusion is consistent with the findings of the World Bank's Doing Business report (2020). Identify two specific cases, either for domestic or foreign companies, that illustrate the lack of consistency and transparency in regulatory requirements and law enforcement. [6 marks]