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The West bullies Iran, again

BY M. K. BHADRAKUMAR | INDIAN PUNCHLINE | NOVEMBER 7, 2022

The manner in which Tehran handled its drone deal with Russia has been somewhat clumsy. The fact that the first ‘leak’ on this topic originated from none other than President Biden’s National Security Advisor Jake Sullivan should have alerted Tehran that something sinister was afoot. 

Instead, for whatever reasons, Tehran went into a flat denial mode. And now in a turnaround, we are given to understand that Iran’s denial was factually correct, albeit not wholly true in content. Foreign Minister Hossein Amirabdollahian has acknowledged that the “drone part is true, and we provided Russia with a small number of drones months before the Ukraine war.” 

The minister added the caveat that “This fuss made by some Western countries, that Iran has provided missiles and drones to Russia to help the war in Ukraine — the missile part is completely wrong.” 

Howsoever good Iran’s drone technology might be, it has not been a game changer for Russia in the war in Ukraine. Russia’s own missile capability is surprising even the western experts who had predicted months ago that it was “running out” of its inventory. In fact, the missile strikes may continue until Ukraine collapses and the West has no meaningful interlocutor left in Kiev’s rubble. 

Russia and Iran seem to have got mired in a controversy unnecessarily. What seems to have happened is that just as Iran did reverse engineering on US’ drone technology, Russians also did a good job to remake the Iranian kamikaze drones that were in its inventory prior to the special military operation in Ukraine. Kiev now says, after examining the debris of the Russian drones that it shot down, that they had Ukrainian parts, too! 

It stand to reason that the Russian defence industry picked something from Iran’s technology, something else from Ukraine’s, and came up with a startling “Russian model”. That probably explains the sophistry in Moscow’ consistent stance that it didn’t use Iranian drones. 

Amirabdollahian revealed that Iran offered to explain the situation to Ukrainian authorities and a meeting was even set up in Poland to clear the misunderstanding and restore Iran’s diplomatic ties with Kiev, but the Americans got it scuttled. Evidently, the US is not interested in a normalisation of Ukraine-Iran relations. Israel too would have an interest in keeping Iran at arm’s length from Kiev. The US and Israel would apprehend that a strong Iranian diplomatic presence in Kiev might work to Russia’s advantage.  

Be that as it may, Amirabdollahian’s candid admission will have consequences. Iran possibly got carried away by the exhilarating feeling that a superpower stooped to source its military technology, and furthermore, relished the high publicity its drones  received — not to mention the embarrassment caused to Ukraine’s western patrons who watched helplessly when the Russian drones created panic on such a scale. 

However, belatedly, Iran realised the potential political and diplomatic fallout. In reality, all this “fuss,” as Amirabdollahian put it, stems from Tehran’s refusal to sign the EU draft nuclear agreement at Vienna, which infuriated Brussels and Washington, dashing their hopes that Iranian oil would come to the rescue of Europe by replacing the Russian oil imports that are being terminated w.e.f December 5. 

Again, Iran’s increased oil production was what the US was counting on to introduce tensions within the OPEC and split the cartel. 

According to a Spiegel report, Germany and eight other EU states have put together a new package of sanctions against Iran in Brussels on Wednesday, which contains 31 proposals targeting officials and entities in Iran connected with security affairs as well as companies, for their alleged “violence and repressions” in Iran. The alibi is human rights violations. 

Evidently, the West has reverted to its bullying tactic. President Biden has pledged to “free Iran” from its present political system — although the Americans know from past experience that public protests are nothing unusual for Iran but regime change remains a pipe dream.

Why is the West resuscitating the “Iran question” at this point? There are two underlying reasons — perhaps, three. One is, Benjamin Netanyahu’s victory in the Israeli election last Sunday virtually guarantees that Israel’s existential rivalry with Iran is once again in the centre stage of West Asian politics. Without that happening, Netanyahu will come under pressure to address the core issue in West Asia, namely, the Palestinian problem. 

As things stand, the “Iran question” will return to the centre stage of West Asian politics. There is a congruence of interests between Tel Aviv and Washington on that score at a time when there is going to be some friction inevitably in US-Israel relations, as the racist anti-Arab Religious Zionism alliance, Netanyahu’s latest coalition parters, contains elements that the US once regarded as terrorists. Whipping up a frenzy over Iran comes in handy for both Israel and the US.

But on the other hand, Netanyahu is realistic enough to know that it will be suicidal for Israel to attack Iran militarily without American support and second, that the Biden Administration has not yet entirely given up hope on a nuclear deal with Iran. 

Therefore, in the event of the midterms radically changing the profile of Congress to the detriment of the Biden Administration, trust Netanyahu to insert the Iran nuclear issue as a key template of US domestic politics and the US-Israel relations.

A second factor is the trajectory of the war in Ukraine. Although the proxy war is in the home stretch and the US and NATO are staring at the defeat and destruction of Ukraine, the Biden Administration cannot simply walk away in humiliation, since this is Europe and not the Hindu Kush, and the fate of the western alliance system is at a crossroads. 

Most certainly, US troops have appeared on Ukrainian soil and they can only be regarded as an “advance party.” Will Ukraine turn out to be another Syria, with the regions to the west of the Dnieper River — “the Rump” denuded of natural resources — coming under US occupation so that its NATO allies in the periphery do not jump into the fray of dormant ethnic tensions inherited from history to carve out their pieces out of the carcass? Or, will a US-led “coalition of the willing” be preparing to actually fight the Russian forces in eastern and southern Ukraine?

Either way, the point is, the strategic ties developing between Iran and Russia will remain a focal point for the West, Amirabdollahian’s “clarification” notwithstanding. It is only natural that in the conditions under sanctions, Russia’s external relations are in the cross-hairs of the US. Iran has a stellar record of rubbishing the “maximum pressure” strategy. 

Put differently, having Iran as an ally will be a strategic asset for Russia in a multipolar setting. Iran and the Eurasian Economic Union have decided to negotiate a Free Trade Agreement while Tehran is also working out swap deals involving Russian oil. Simply put, Europeans can keep their SWIFT for whatever it is worth and that is not going to make any difference to Russia or Iran — and the rest of the world is watching this happening in real time, especially in Iran’s neighbourhood where oil is traded in dollars. 

By now it is also clear to the US and its allies that JCPOA or no JCPOA, the overarching tilt toward Russia and China is Tehran’s version of the Israeli Iron Dome, in diplomacy. The bottom line is that Iran is becoming a role model for the Persian Gulf region, as is evident from the queue lengthening for membership of the Shanghai Cooperation Organisation, even as the parallel track of the Abraham Accords has disappeared in the endorheic basin of the Arabian Peninsula. 

November 7, 2022 Posted by | Economics | , , , , , , , , | Leave a comment

Algeria Applies for BRICS Membership

Samizdat – 07.11.2022

“Algeria [has] made an official application to join BRICS,” media reported, citing Foreign Ministry special envoy Leila Zerrouki.

The president of the North African nation previously said that Algeria may be interested in joining the bloc, adding that it largely meets the conditions for entering BRICS.

This comes after Iran and Argentina earlier this year also announced they were seeking membership in the group. Moreover, BRICS International Forum President Purnima Anand noted that Turkey, Egypt, and Saudi Arabia may “very soon” follow them in applying.

BRICS is an informal association of major developing economies that was formed in 2006 to enhance cooperation between the member nations and elaborate common approaches to global economic challenges. The countries in the bloc represent around 40 percent of the global population and around a quarter of the world’s GDP.

November 7, 2022 Posted by | Economics | , , | Leave a comment

Over 50,000 People Taking Part in Protests Against Government in Moldova

Samizdat – 06.11.2022

KISHINEV – Mass demonstrations organized by Moldova’s opposition Sor Party are taking place in the country’s capital of Kishinev on Sunday, with over 50,000 people trying to get to the city’s center to demand snap parliamentary elections, Sor member Dinu Turcanu said.

Since September 18, regular demonstrations have been taking place across Moldova, gathering thousands of Sor supporters from all parts of the country to protest against the government.
The organizers said that the police were trying to prevent protesters from getting to Kishinev’s center, cordoning off the city’s central square.

“Over 50,000 people came here to peacefully exercise the right to express their opinion. The police violate our right for freedom of expression. The regime of [President] Maia Sandu is afraid of people’s protests,” Turcanu said.

Demonstrators brought Moldovan flags, funeral wreaths and white chrysanthemums, which they threw at the police cordon blocking Kishinev’s central square.

Moldova’s opposition has repeatedly accused the government of failing to cope with the economic crisis amid record inflation of 33.5% and deteriorating living standards. The country’s leadership has also been criticized for its unwillingness to negotiate better gas prices with Russia and for putting political pressure on opponents.

On Wednesday, the Moldovan Anticorruption Prosecutor’s Office said that it had conducted an investigation and searched the central office of the Sor party in Kishinev. Eight people were detained on suspicion of complicity in the party financing by an organized criminal group.

November 6, 2022 Posted by | Economics, Solidarity and Activism | | Leave a comment

Scholz’s China trip raises hackles

BY M. K. BHADRAKUMAR | INDIAN PUNCHLINE | NOVEMBER 5, 2022 

German diplomacy presented a riveting sight of “counterpoint” with Foreign Minister Annalena Baerbock hosting her G7 partners in Münster on November 3-4 even as Chancellor Olaf Sholz was deplaning from Berlin on a one-day visit to Beijing. 

The photo-op showed the US Secretary of State Antony Blinken flanking Baerbock at the main table with Under-secretary of State Victoria Nuland — best known as the master of ceremonies at the 2014 “Maidan” coup in Kiev in 2014 — peering from behind. 

Germany is catching up with photo journalism. Seriously, the photo couldn’t have arrested more meaningfully for the world audience the split personality of German diplomacy as the present coalition government pulls in different directions. 

Quintessentially, Baerbock has highlighted her discontent with Scholz’s China visit by assembling around her the like-minded G7 counterparts. Even by norms of coalition politics, this is an excessive gesture. When a country’s top leader is on a visit abroad, a display of dissonance undercuts the diplomacy. 

Equally, Baerbock’s G7 counterparts chose not to wait for Scholz’s return home. Apparently, they have a closed mind and the tidings of Scholz’s discussions in Beijing will not change that. 

First thing on Monday, Scholz should ask for Baerbeck’s resignation. Better still, the latter should submit her resignation. But neither is going to happen. 

In the run-up to Scholz’s China visit, he faced withering criticism for undertaking such a mission to Beijing with a business delegation of powerful German CEOs. Clearly, the Biden Administration looked to Baerbock and the influential “Atlanticist” circles embedded within Germany’s political economy to lead the charge. 

Has Scholz bitten more than he could chew? The answer depends on a counter question: Is Scholz eyeing a legacy in the great tradition of his predecessors in the Social Democratic Party, Willy Brandt (1969-1974), Helmut Schmidt (1974-1982)? 

Those two titanic figures took path-breaking initiatives toward the former Soviet Union and China respectively during defining moments in modern history, defying the shackles of Atlanticism that curbed Germany’s strategic autonomy and consigned that country as a subaltern in the US-led alliance system.  

The cardinal difference today is that Brandt (who navigated Ostpolitik ignoring the furious American protestations over the first-ever gas pipeline connecting Soviet gas fields with Germany) and Schmidt (who seized the moment to cash in on US-China normalisation) — and Chancellor Gerhard Schroeder (1998-2005) too, who expanded and deepened expansion of business relations with Russia and struck an unprecedented working relationship with the Kremlin leadership, much to Washington’s irritation — were assertive leaders. 

Put differently, it all depends on Germany’s collective will to break  the NATO glass ceiling, which Lord Ismay, the Alliance’s first secretary-general, had succinctly captured as intended to “to keep the Soviet Union out, the Americans in, and the Germans down.” Currently, the interplay of three factors impact German politics. 

First, the Indo-Pacific strategy. Make no mistake, the proxy war in Ukraine is a dress rehearsal for the inevitable confrontation between the US and China over Taiwan issue. In both cases involving the strategic global balance, the stakes are exceedingly high for the US’ global hegemony and the multipolarity in the world order. 

Germany has a pivotal role in this epochal struggle, not only by virtue of occupying the highly volatile ground in the middle of Europe that also carries remains of history, but being the economic powerhouse in the continent at the threshold of becoming a superpower. 

The angst in Washington is self-evident that Scholz’s China visit may weaken the US’ geopolitical design to repeat the impressive feat of western unity over Ukraine if tensions boil over in Asia-Pacific and China is forced to act. 

Of course, no analogy is complete as China is unlikely to opt for a 9-month old, incremental special military operation by Russia to “grind” the Taiwanese military and destroy the Ukrainian state. It’ll be world war from day one. 

The analogy is complete, though, when it comes to the sanctions from hell that the Biden Administration will impose on China and the brigandry of confiscation of China’s “frozen assets” (exceeding a trillion dollars at the very least) ensues, apart from paralysing China’s supply chains. 

Suffice to say, “doing a Ukraine” on China holds the key to the perpetuation of US global hegemony, as China’s financial assets get appropriated to refuel America’s ailing economy and dollar’s status as world currency and neo-mercantalism and control of capital movement, etc. remain intact. 

Second, one big diplomatic victory of the Biden Administration so far has been in transatlantic politics where it succeeded in consolidating its dominance over Europe by pitchforking to the centerstage the Russia question. The European countries’ Manichean fears of an historic resurgence of Russian power were stirred up. 

Few expected a Russian resurgence so soon after President Vladimir Putin’s famous speech at the Munich Security Conference in February 2007. 

The western narrative at that time was that Russia simply lacked the capacity to regenerate as a global power, as Russia’s military’s modernisation was unfeasible. Arguably, Chancellor Angela Merkel’s entire diplomacy toward Russia (2005-2021) was pinned on that facile narrative. 

Thus, when Putin announced most unexpectedly at a meeting of the Defence Ministry Board in Moscow on 24th December 2019 that Russia has become world leader in hypersonic weaponry and that “not a single country possesses hypersonic weapons, let alone continental-range hypersonic weapons,” the West heard it with undisguised horror. 

The Biden team cashed in on the profound disquiet in the European capitals to rally them and drum up “western unity” over Ukraine. But a hairline crack is now appearing over Scholz’s visit to Berlin. Blinken rushed in to push Scholz back into the fold. 

Third, following the above, a fundamental contradiction has appeared today as the West’s “sanctions from hell” against Russia boomeranged on Europeans, pushing them into recession. Germany has been hit very hard, staring at the spectre of the collapse of entire sectors of its industry, consequent unemployment and social and political turmoil. 

The German industrial miracle was predicated on the availability of cheap, unlimited, assured supply of energy from Russia and the disruption is creating havoc. On top of it, the sabotage of Nord Stream pipelines rules out a revival of the energy nexus between Germany and Russia (which German public opinion favours.) 

To be sure, with all the data available from the sea bed in the Baltic Sea, Schulz must be well aware of the geopolitical consequences of what the US has done to Germany. But he is not in a position to create a ruckus and instead opted to internalise the sense of bitterness, especially as Germany is in a humiliating position of having to buy frightfully expensive LNG from American companies to replace Russian gas. 

The only option left to Germany is to reach out to China in a desperate search to revive its economy. Incidentally, Scholz’s mission primarily aimed at the relocation of production units of BASF, the German multinational chemical company and the largest chemical producer in the world, to China. 

It is highly improbable, though, that Washington will allow Scholz a free hand. Fortuitously for Washington, Scholz’s coalition partners — Greens and FDU — are unvarnished atlanticists and are willing to play the American game, too. 

Brandt or Schroeder would have fought back, but Scholz is not a street fighter, although he senses the US’ grand design to transform Germany as an appendage of the American economy and integrate it into a single supply chain. Simply put, Washington expects Germany to be an indispensable cog in the wheel of the collective West. 

Meanwhile, Washington holds a strong hand, as Germany’s corporate sector is also a divided house with many companies who are well-placed to benefit from the economic model shift that Washington is promoting, showing reluctance to support Scholz — albeit a corporatist chancellor himself.

The US is adept at leveraging such situations. Reportedly, some of Germany’s high-tech companies did not accept Scholz’s invitation to accompany him to Beijing, including the CEOs of Mercedes-Benz, Bosch, Continental, Infineon, SAP, and Thyssen Krupp.  

November 5, 2022 Posted by | Economics | , , , | Leave a comment

Marjorie Taylor Greene Says Ukraine Aid Will Drop to Zero If GOP Takes Congress

By Ilya Tsukanov – Samizdat – 04.11.2022

Last month, the White House expressed concerns that Trump Republicans could jeopardize future military and economic assistance to Ukraine after House Minority Leader Kevin McCarthy promised to stop writing “blank checks” to Kiev if the GOP wins back control of the House in the midterms.

Republican Representative Marjorie Taylor Greene of Georgia has vowed that US aid to Ukraine will drop to nothing if her party takes Congress on Tuesday.

“Democrats have ripped our border wide open. But the only border they care about is Ukraine, not America’s southern border. Under Republicans, not another penny will go to Ukraine. Our country comes first,” Greene said at a “Save America” Trump rally in Sioux City, Iowa on Friday.

The congresswoman accused President Joe Biden and the Democrats of ignoring domestic problems, including the economy, inflation, crime, and the fentanyl crisis, of “putting America last,” and “destroying every single thread of democracy in the process.”

Greene promised that the GOP would open corruption investigations, impeach Secretary of Homeland Security Alejandro Mayorkas, Attorney General Merrick Garland, and President Joe Biden, and “defund all the horrific policies the Democrats have passed over the past two years,” including plans to increase the size of the IRS, vaccine mandates, and political actors inside the Department of Justice and the FBI.

“In order to truly make a commitment to America, Republicans are going to have to be the new Republican Party. We can no longer be the party of Mitch McConnell, John McCain, Dick Cheney, George Bush and Mitt Romney, or any other sellout, weak Republican brand that just holds hands with Democrats and serves the globalist agenda that is the enemy of us all,” Greene said.

Greene, 48, has been an outspoken critic inside the Republican Party of Washington’s economic and military aid to Kiev. Earlier this year, she attacked the $40 billion Ukraine Spending Bill, citing the nation’s shortage of baby formula. “40 billion dollars, but there’s no baby formula for American mothers and babies,” the lawmaker said on the House floor in May.

Greene condemned the bill’s approval of “an unknown amount of money to the CIA” and other boondoggle assistance. “If this is claiming that it’s about saving lives, let’s be real. Then we would care about war-torn countries like Ethiopia. So that’s a bunch of hypocrisy,” she said.

57 mostly pro-Trump House Republicans and 11 GOP senators voted against Ukraine assistance earlier this year, citing fears of escalating tensions with Russia and a range of domestic issues. According to an NPR primary election tracker estimate, over nine in ten of the 200+ Trump-endorsed candidates running for the House, Senate, and top state offices won their GOP primaries earlier this year, oftentimes knocking out Republicans with a traditional, neoconservative stance on foreign policy, and those rejecting the former president’s claim that the 2020 election was “stolen” from him.

On Friday, Republicans in the House Judiciary Committee released a 1,050-page report citing whistleblower testimony outlining alleged politicization of the FBI and the DoJ, with the document expected to serve as a “road map” for congressional probes against Biden and the Democrats, should the GOP take Congress on Tuesday.

November 5, 2022 Posted by | Civil Liberties, Economics, Militarism | , | Leave a comment

EU’s carrot and stick policy toward Serbia ends as Brussels drops carrot from equation

By Drago Bosnic | November 3, 2022

After over two decades of keeping Serbia in a semi-colonial state, the European Union seems to finally admit that it sees the Southeast European country precisely as such – a semi-colony. For approximately 20 years, Brussels played the carrot and stick cards with Belgrade, forcing it to renounce important segments of its sovereignty in return for access to EU funds and markets.

The neoliberal economic framework that the EU insisted on devastated the country’s hybrid market socialist economy and ruined domestic economic power, paving the way for the dominance of foreign investors and turning the country into yet another source of cheap labor for Western corporate interests. However, even while implementing such policies, disastrous for any country’s economic (or any other form of) sovereignty, it created an image of growth.

And yet, the waning economic power of Brussels, resulting primarily from its suicidal subservience to Washington DC’s Barbarossa-like push against Russia, is starting to affect the “carrot” portion of the EU’s policy toward Serbia. Frustrated by the country’s refusal to conform with the political West’s clinically Russophobic frenzy, the bureaucratic empire is now resorting to using the “stick”. With little to nothing left to offer, the EU is now threatening to scale back the benefits it gave Serbia in the last two decades to punish the country for its non-compliance in regards to the bloc’s anti-Russian sanctions and policies. To make matters worse, Brussels insists that Belgrade should still continue renouncing parts of its sovereignty while the EU is rolling back the apparent benefits it previously gave in return.

What does Serbia get from all this? A geopolitically worthless shoulder tap that will not help the country in any conceivable way. On the contrary, it may very well ruin its centuries-old relationship with Russia, a country exerting no pressure on Serbia while helping it preserve what’s left of its sovereignty and territorial integrity. For the political West, now effectively operating under a “you’re either with us or against us” foreign policy framework, Serbia’s neutrality is seen as nothing short of hostile. Belgrade is forced to beg to stay neutral in the Ukraine crisis, but to no avail, it seems. Anything less than full compliance is unacceptable to the imperialist power pole. To show just how much, the EU now considers Serbia’s membership ambitions effectively dead, as the negotiations to join the bloc have become a mere formality, having been stalled for years.

Brussels now thinks Serbia should not be conditioned by the termination of accession negotiations, since “joining the EU is as realistic as going to Mars,” as Frankfurter Allgemeine Zeitung put it. The analogy is quite indicative of how the bloc sees Serbia’s future and should serve as an eye-opener in Belgrade. Coupled with recent allegations that Serbia is “trying to destabilize the EU at the behest of Russia”, it’s clear that despite how much sovereignty it renounces, how far it’s ready to go against its national interests, the country will never be good enough to join the bloc. The question remains then, what’s the point? Why would Serbia even want to join the EU? It seems the Serbian populace is well aware of this and it’s not so keen on joining either.

The EU now realizes that stopping membership negotiations would effectively mean nothing to the Serbian people. Frankfurter Allgemeine Zeitung thinks that “the warnings about the possible freezing of accession negotiations are a blunt sword against Belgrade,” as the negotiations have been stagnant for years. “Their termination would not leave an impression on the Serbian population, which is critical of the EU anyway. In addition, even among the advocates of the EU in Belgrade, almost no one believes that joining the EU is realistic. Equally, Serbia could be threatened with a ban on access to Mars,” the report states.

However, it’s a different story when it comes to abolishing visa-free travel for Serbian citizens, a topic first mentioned by the European Commissioner for Internal Affairs Ylva Johansson. “It would greatly affect the Serbian economy, as well as the predominantly urban population that travels, as well as the authorities. It is the most lethal weapon in Brussels’ arsenal,” the German paper commented. “If visas were introduced again, that sense of isolation would be like a nightmare again, which first ended when the visas were abolished in 2009. Anger due to a return to the dark times would certainly be directed against the Serbian government,” the report adds.

The previously veiled threats by Brussels seem to have become quite direct at this point, since the EU isn’t just planning to get the “carrot” out of the equation (it effectively did already), but will also not hesitate using the “stick” now. What’s more, the move is openly aimed against Serbia’s political stability, as the EU expects to cause widespread discontent which, in turn, would result in exerting additional pressure on the Serbian government. Belgrade certainly could comply and start distancing itself from Moscow. It might even feign this while coordinating with Russia by implementing policies that would affect quite literally nothing.

For instance, it could impose sanctions on Russian sea shipping (Serbia is landlocked) or ban access to Russian airline companies, which can’t reach Serbia anyway, as the country is surrounded by EU members which already did that. But the question remains, where does it stop? Will the political West ever be content enough to stop blackmailing and threatening the country? It might be politically unwise for the Serbian government to answer that (rhetorical) question, but it certainly isn’t for the Serbian people.

Drago Bosnic is an independent geopolitical and military analyst.

November 3, 2022 Posted by | Economics, Russophobia | , | Leave a comment

Russia resumes participation in grain deal – Defense Ministry

Samizdat – November 2, 2022

Russia has resumed its participation in the Türkiye and UN-mediated deal on the export of Ukrainian grain via the Black Sea, the Defense Ministry announced on Wednesday.

Moscow agreed to reverse the suspension after receiving written guarantees from Kiev that it would not use the safety corridor provided by Russia for military purposes, the statement said.

“At this time, the Russian Federation considers the issued guarantees sufficient,” the ministry noted.

Moscow’s decision to suspend participation in the arrangement was announced last week after the Russian military accused Ukraine of using the corridor for a drone attack on the port of Sevastopol.

The statement on Wednesday credited the UN and Türkiye for securing the written pledge from Kiev. The scheme, which was first negotiated in July, is technically a set of two trilateral agreements between the two mediators and Russia and Ukraine respectively.

Moscow has long expressed concern about the implementation of the deal, which was touted by Kiev and its Western backers as necessary to curb surging prices in the global food market. Contrary to its stated goal, many of the shipments were sent to rich European countries rather than struggling nations elsewhere in the world, Russia said.

Moscow also blamed the UN for failing to have the US and its allies lift economic sanctions against Russian maritime traffic, which is necessary for shipping Russian food and fertilizers to other nations. It was also part of the terms of the Black Sea grain initiative.

The attack on Sevastopol happened early on Saturday last week and involved unmanned aerial and naval craft, which were detected and intercepted by the Russian Navy, according to statements by the defense ministry.

It claimed that the British military assisted Ukraine in planning and executing the operation. It further claimed that the same Royal Navy unit was involved in an attack on the Nord Stream pipelines in the Baltic Sea in September.

The UK Ministry of Defence responded by accusing its Russian counterpart of peddling false claims of “epic scale.”

November 2, 2022 Posted by | Economics | , , | Leave a comment

Vietnam reassures China: no foreign military bases will be hosted on its territory

By Ahmed Adel | November 2, 2022

China and Vietnam are strengthening their partnership to resist Western interference in their internal and regional affairs. Although the two Asian countries have major issues between them and centuries worth of historical animosity, Hanoi will never allow the US to use Vietnam to fight or pressure China.

Chinese President Xi Jinping met with Vietnamese Communist Party (VCP) Central Committee General Secretary Nguyen Phu Trong in Beijing on October 31. Xi Jinping emphazised in their meeting that the Communist Party of China and the Communist Party of Vietnam should not allow anyone to interfere in the sustainable progress of their respective countries.

For his part, Phu Trong clarified that China has the right to count on Vietnamese support in sensitive issues of regional security. Specifically, the Vietnamese leader assured that his country would maintain peace and stability at the land and sea border and not let issues over territorial waters hinder overall bilateral relations. He assured that Hanoi would not develop any official relations with Taiwan, and significantly, that no foreign country will be allowed to set up military bases on Vietnamese territory.

Reaffirming Vietnam’s position on issues that are sensitive and critical to regional security was one of the important outcomes of the high-level talks in Beijing. As Vietnam is the biggest country in Southeast Asia which borders China, in terms of economic power, the US hoped to use Vietnam as a tool of pressure against China. For Washington, it would be ideal if Vietnam and China clashed in the South China Sea so Hanoi could pivot towards AUKUS and/or QUAD.

To Washington’s disappointment though, Hanoi made it clear that it shares Beijing’s position on no foreign military bases and military alliances. At the same time, Vietnam maintains its position against Beijing on the South China Sea issue. Although this could be an issue for the US to exploit, Hanoi has stated that it will not use military force to solve it. Effectively, Vietnam signalled to the US that it will not be a tool to confront China.

At the meeting in Beijing, Xi Jinping noted that development between China and Vietnam faces serious risks and challenges. The Russia-Ukraine conflict has further highlighted the geopolitical issue between great powers, which has contributed to the multitude of challenges that developing countries are facing. Specifically, the energy and food crises are issues that deeply concern Southeast Asian countries like Vietnam.

According to the World Bank, Vietnam is projected to become the fastest growing economy in Asia this year despite a regional downturn caused by China’s sharp economic deceleration. In its most recent economic outlook report for East Asia and the Pacific, the World Bank forecast these regions to grow by 3.2% in 2022, down from 7.2% in 2021, before accelerating to 4.6% in 2023. The projected growth rate for this year marked a significant reduction on the 5% that the World Bank forecast for the year in its last outlook report in April.

Vietnam appears to be one of the biggest beneficiaries of this growth, with the World Bank estimating the country’s economy to grow by 7.2% in 2022, up from its projection of 5.3% in April. The World Bank then projects it to grow by a further 6.7% in 2023. Impressively, Vietnam was one of the few countries whose economy grew during the coronavirus pandemic in 2020. This comes as there is also a continuing trend to move high-tech production from China to Vietnam.

Given Vietnam’s growing importance in the region, the US hoped to exploit the historical animosity the Southeast Asian country has with Beijing and differences over the South China Sea. However, this has failed.

In fact, the two countries, along with several ASEAN countries, are working on a Code of Conduct in the South China Sea, something that Washington opposes. The Americans want to tighten pressure on China, but the successful visit of Phu Trong to Beijing has ended any thoughts of the US using Vietnam to pressure China. In this way, the US is finding it extremely difficult to find Southeast Asian allies to oppose China.

Ahmed Adel is a Cairo-based geopolitics and political economy researcher.

November 2, 2022 Posted by | Economics, Solidarity and Activism | , , | Leave a comment

UK-Aided Ukrainian Attempt at Sabotaging Grain Deal to Backfire, Expert Says

Samizdat – 31.10.2022

MOSCOW – Ukraine attacked Russian naval ships that escorted vital grain exports in an attempt to escalate the hunger crisis for the world and blame it on Russia, but the move will likely backfire to make Africa and the Middle East wary of the West and more trustful of Moscow, French political commentator Charles Gave told Sputnik.

Russia quit the UN- and Turkey-brokered grain shipping deal on Saturday after its Black Sea naval ships and civil vessels were attacked in a drone strike that it said was coordinated by the UK. Russia, a leading global grain producer, promised to supply up to 500,000 tonnes of grain to the poorest countries free of charge in the coming months to offset shortfalls from Ukrainian exports.

“The only reason for this drone attack, which is a provocation that really threatens to stop altogether the delivery of grain from Ukraine, is the will to sabotage the grain agreement and present Russia as the arch-villain in the conflict,” Gave said.

He believes, however, that the opposite will likely happen.

“In the end the boomerang effect will probably be that African and Middle East countries will be made much more aware that they can count on Russian grain and that the West, by disrupting the export of grain through the Black Sea, is to blame for this new negative development,” he said.

The attack caused wheat and corn to trade higher on the global stock markets on Monday after the July grain deal saw cereal and vegetable oil prices drop to pre-conflict levels.

Gave, the founder of TVLibertes news channel, said Russia only stood to benefit from the Ukrainian drone strike because it would inflate its grain revenues, while its offer of free grain to those in need would strengthen its image as a reliable partner among the developing countries.

He also called Ukraine’s behavior irresponsible because it risked a deal that had been painstakingly negotiated by Turkey to stage a “public relations exercise and a provocation to create the buzz.”

“I see Russia gaining more and more capacity to influence ‘the rest of the world’ and turn developing countries away from the West,” Gave said. “The consequences are very bad for the countries of destination of the grain export. The West should stop involving itself more and more as a co-belligerent in the conflict and actively support negotiations,” he cautioned.

October 31, 2022 Posted by | Economics | , , , | Leave a comment

Russia closes Black Sea ‘grain corridor’

Samizdat – October 31, 2022

The Russian military closed the so-called “grain corridor” used to ship Ukrainian agriculture products through the Black Sea on Monday. The move was provoked by the actions of Ukraine, which used the route to launch attacks on Russia, the Russian Defense Ministry said.

“Any navigation through the security corridor designated under the Black Sea [grain shipment] initiative would be halted until the situation around the Ukrainian … terrorist attack on the military and civilian vessels in Sevastopol is cleared,” the Russian Defense Ministry said in a statement.

The ministry also said that Kiev should specifically commit not to use the corridor for military purposes. At the same time, it maintained that Russia does not withdraw from the deal but only suspends it for an indefinite period of time.

Earlier on Monday, Kremlin spokesman Dmitry Peskov said that Russia was ready to compensate for the missing Ukrainian grain exports to the poorer nations from its own stocks. He also warned that the grain deal has become “much more risky, dangerous” now since Russia cannot guarantee maritime security in the waters of the designated grain corridor.

Russia is “still in contact” with other parties, including the UN and Türkiye, Peskov said, adding, however, that Moscow was not ready to be talked into resuming its participation in the deal.

A dozen ships carrying Ukrainian grain were cleared to leave Turkish ports earlier on Monday. The Joint Coordination Centre (JCC) in Istanbul agreed on a plan to inspect a further 40 ships, despite Moscow’s decision to suspend the deal. It is unclear whether it will follow on its plan now.

October 31, 2022 Posted by | Economics, Militarism | , | Leave a comment

US sanctions Chinese chip industry

Free West Media | October 31, 2022

With new US sanctions against China, which came into force on October 12, the Biden administration delivered a serious blow against the Asian giant. Any cooperation with Chinese chip and memory manufacturers and in particular the export of semiconductors to China is now prohibited.

Foreign companies that do not comply with these US requirements also run the risk of becoming victims of American sanctions. What is particularly disastrous is that the new sanctions require all US citizens working in China to immediately stop working for Chinese partner companies or company subsidiaries – otherwise there is even a risk of their US citizenship being revoked.

Chinese media such as the South China Morning Post reported that, as a result, US engineers have already left China “en masse”.

The US measures could have serious consequences for Chinese industry and the Chinese military. According to the German business daily Handelsblatt, the new trade restrictions could lead to massive supply bottlenecks and “throw the Chinese chip industry back by years”.

The Sino-American analyst Jordan Schneider goes even further and speaks in a detailed tweet of an “industry-wide decapitation” of the Chinese chip industry. The US plans meant “annihilation” for China’s chip manufacturers.

The US government justified its latest sanctions as a “national emergency” in relation to telecommunications and information technology.

Some time ago, US President Biden commissioned the establishment of a completely American semiconductor industry. On October 7, he said: “The supply chain will start here and end here.”

But in a Politico opinion piece, another analyst lamented that it could be up to “2 years before officers actually move in [to the US State Department’s new ‘China House’]”. The urge to compete with China while struggling to build a 60-person office in less than a year, does not bode well for American ambitions to compete.

From China’s perspective, it will be difficult to isolate the country. It is therefore doubtful whether the US can enforce unilateral executive orders to prevent non-US chip companies from conducting normal cooperation and trade with China.

For non-US companies refusing to join a chip boycott, it means escaping unilateral US bans which will eventually undercut US companies’ competitiveness by depriving them of the huge Chinese market.

“US restrictions will only accelerate the development of China’s chip sector, because the Chinese market won’t wait for the US to come to its senses. If the Chinese chip sector catches up quickly and no longer relies on imports, it will not be a $2,5 billion loss for a single US company, but hundreds of billions of dollars of loss for the chip industry,” the Global Times opined.

The export ban in May 2019 of Chinese tech firm Huawei, saw top American chipmakers reporting a median revenue decline of up to 9 percent in some cases.

The Biden administration’s latest tech controls threaten to accelerate such losses, creating chaos in the global semiconductor sector, especially if China decides to retaliate. US companies could lose 18 percent of their global market share and 37 percent of their revenues if the US completely bans semiconductor companies from selling to Chinese customers.

The German government meanwhile plans to approve a Chinese takeover of the chip production of Dortmund-based company Elmos, business daily Handelsblatt reported, citing government sources.

The economy ministry is examining the sale of Elmos‘ chip factory to competitor Silex, a Swedish company that is a subsidiary of Chinese group Sai Microelectronics, with approval expected in the coming weeks. The ministry had no immediate comment when contacted by Reuters.

October 31, 2022 Posted by | Economics | , | Leave a comment