Iran-China strategic partnership: The big picture

Thursday, 16 February 2023 5:57 PM  [ Last Update: Thursday, 16 February 2023 6:03 PM ]

The national flags of China and Iran fly in Tiananmen Square during Iranian President Ebrahim Raeisi’s visit to Beijing, China, February 14, 2023. (Photo by Reuters)

By Pepe Escobar

The key takeaway of President Ebrahim Raeisi’s state visit to Beijing goes way beyond the signing of 20 bilateral cooperation agreements.

This is a crucial inflexion point in an absorbing, complex, decades-long, ongoing historical process: Eurasia integration.   

Little wonder that President Raeisi, welcomed by a standing ovation at Peking University before receiving an honorary academic title, stressed “a new world order is forming and taking the place of the older one”, characterized by “real multilateralism, maximum synergy, solidarity and dissociation from unilateralisms”.

And the epicenter of the new world order, he asserted, is Asia.  

It was quite heartening to see the Iranian president eulogizing the Ancient Silk Road, not only in terms of trade but also as a “cultural bond” and “connecting different societies together throughout history”.

Raeisi could have been talking about Sassanid Persia, whose empire ranged from Mesopotamia to Central Asia, and was the great intermediary Silk Road trading power for centuries between China and Europe.

It’s as if he was corroborating Chinese President Xi Jinping’s famed notion of “people to people exchanges” applied to the New Silk Roads. 

And then President Raeisi jump cut to the inescapable historical connection: he addressed the Belt and Road Initiative (BRI), of which Iran is a key partner.

All that spells out Iran’s full reconnection with Asia – after those arguably wasted years of trying an entente cordiale with the collective West. That was symbolized by the fate of the JCPOA, or Iran nuclear deal: negotiated, unilaterally buried and then, last year, all but condemned all over gain.

A case can be made that after the Islamic Revolution 44 years ago, a budding “pivot to the East” always lurked behind the official government strategy of “Neither East nor West”.

Starting in the 1990s that happened to progressively enter in full synch with China’s official “Open Door” policy.

After the start of the millennium, Beijing and Tehran have been getting even deeper in synch. BRI, the major geopolitical and geoeconomic breakthrough, was proposed in 2013, in Central Asia and Southeast Asia.

Then, in 2016, President Xi visited Iran, in West Asia, leading to the signing of several memoranda of understanding (MOU), and recently the wide-ranging 25-year comprehensive strategic agreement – consolidating Iran as a key BRI actor.  

Accelerating all key vectors

In practice, Raeisi’s visit to Beijing was framed to accelerate all manner of vectors in Iran-China economic cooperation – from crucial investments in the energy sector (oil, gas, petrochemical industry, pipelines) to banking, with Beijing engaged in advancing modernizing reforms in Iran’s banking sector and Chinese banks opening branches across Iran.

Chinese companies may be about to enter the emerging Iranian commercial and private real estate markets, and will be investing in advanced technology, robotics and AI across the industrial spectrum.

Sophisticated strategies to bypass harsh, unilateral US sanctions will be a major focus every step of the way in Iran-China relations. Barter is certainly part of the picture when it comes to trading Iranian oil/gas contracts for Chinese industrial and infrastructure deals.

It’s quite possible that Iran’s sovereign wealth fund – the National Development Fund of Iran – with holdings at estimated $90 billion, may be able to finance strategic industrial and infrastructure projects.

Other international financial partners may come in the form of the Asian Infrastructure Development Bank (AIIB) and the NDB – the BRICS bank, as soon as Iran is accepted as a member of BRICS+: that may be decided this coming August at the summit in South Africa. 

The heart of the matter of the strategic partnership is energy. The China National Petroleum Corporation (CNPC) pulled out of a deal to develop Phase 11 of Iran’s South Pars gas field, adjacent to Qatar’s section.

Yet CNPC can always come back for other projects. Phase 11 is currently being developed by the Iranian energy company Petropars.

Energy deals – oil, gas, petrochemical industry, renewables – will boom across what I dubbed Pipelineistan in the early 2000s.

Chinese companies will certainly be part of new oil and gas pipelines connecting to the existing Iranian pipeline networks and configuring new pipeline corridors.

Already established Pipelineistan includes the Central Asia-China  pipeline, which connects to China’s West-East pipeline grid, nearly  7,000 km from Turkmenistan to the eastern China seaboard; and the Tabriz-Ankara pipeline (2,577 km, from northwest Iran to the Turkish capital). 

Then there’s one of the great sagas of Pipelineistan: the IP (Iran-Pakistan) gas pipeline, previously known as the Peace Pipeline, from  South Pars to Karachi.

The Americans did everything in the book – and off the books – to stall it, delay it or even kill it. But IP refused to die; and the China-Iran strategic partnership could finally make it happen.

A new geostrategic architecture

Arguably, the central node of the China-Iran strategic partnership is the configuration of a complex geostrategic economic architecture:  connecting the China-Pakistan Economic Corridor (CPEC), the flagship of BRI, to a two-pronged Iran-centered corridor.

This will take the form of a China-Afghanistan-Iran corridor and a China-Central Asia-Iran corridor, thus forming what we may call a geostrategic China-Iran Economic Corridor.

Beijing and Tehran, now on overdrive and with no time to lose, may face all manner of challenges – and threats – from the Hegemon; but their 25-year strategic deal does honor historically powerful trading/ merchant civilizations now equipped with substantial manufacturing/ industrial bases and with a serious tradition in advanced scientific innovation.

The serious possibility of China-Iran finally configuring what will be a brand new, expanded strategic economic space, from East Asia to West Asia, central to 21st century multipolarity, is a geopolitical tour de force.

Not only that will completely nullify the US sanction obsession; it will direct Iran’s next stages of much needed economic development to the East, and it will boost the whole geoeconomic space from China to Iran and everyone in between.

This whole process – already happening – is in many aspects a direct consequence of the Empire’s “until the last Ukrainian” proxy war against Russia.  

Ukraine as cannon fodder is rooted in Mackinder’s heartland theory:  world control belongs to the nation that controls the Eurasian land mass.

This was behind World War I, where Germany knocking out Russia created fear among the Anglo-Saxons that should Germany knock out France it would control the Eurasian land mass.

WWII was conceived against Germany and Japan forming an axis to control Europe, Russia and China. 

The present, potential WWIII was conceived by the Hegemon to break a friendly alliance between Germany, Russia and China – with Iran as a privileged West Asia partner.

Everything we are witnessing at this stage spells out the US trying to break up Eurasia integration.

So it’s no wonder that the three top existential “threats” to the American oligarchy which dictates the “rules-based international order” are The Three Sovereigns: China, Russia and Iran.  

Does that matter? Not really. We have just seen that while the dogs (of war) bark, the Iran-China strategic caravan rolls on.

Pepe Escobar is a Eurasia-wide geopolitical analyst and author. His latest book is Raging Twenties.

(The views expressed in this article are the author’s own and do not necessarily reflect those of Press TV)


Press TV’s website can also be accessed at the following alternate addresses:

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Related

Endgame for Ukraine: America vs America

February 13, 2023

Former British diplomat, founder and director of the Beirut-based Conflicts Forum.

Alastair Crooke

Bill Burns travelled (in secret) in mid-January to meet Zelensky. Was it to prepare Zelensky for a shift in the American stance?

Hysterics at the Chinese balloon overflying the U.S. – taken to volume 11 – through scrambling a hush-hush Raptor jet (F-22) to ‘pop’ it, and then bally-hooing the ‘pop’ as Raptor’s first ever ‘air-to-air kill’, may be a source for quiet derision around the world, yet paradoxically this seemingly trivial event may cast a long shadow over the U.S. war-timetable for Ukraine.

For it is the U.S. political calendar that may yet determine what happens next in Ukraine – from the western side.

Seemingly nothing important occurred – it was an instant of spy frenzy, leaving Biden’s ‘tough task’ unchanged: He needs to convince the American voter, facing collapsing standards of living, that they misread the ‘runes’; that rather than gloom, the economy – contrary to their lived experience – is ‘working well for them’.

Biden needs to perform this magic against polls that say only 16% of Americans feel better off since the start of his tenure, and 75% of Democrats and Democratic-leaning voters wish him to not stand in 2024. Significantly, this message is coming today from the Democratic-leaning media, suggesting thoughts of replacing him are already in circulation.

For now, Biden’s allies in the party establishment (the DNC) continue to clear the way for his candidature – postponing initial primaries (in which Biden could be expected to be trounced) for a later South Carolina primary election, where Black and Latino voters would reflect demographics in which Biden might (possibly) shine. It may work; it may not.

Simply put, against this highly sceptical Party backdrop, Biden will have to change American perceptions of the economy at a moment when many indicators signal further deterioration. It will be a ‘heavy lift’. The economic team, for sure, will be insisting: ‘Keep the focus on economic achievements! We don’t want distractions from any foreign policy débacles; We do not want the TV debates to centre on Balloons, or around Abrams tanks: ‘It’s the economy, stupid!’’.

The ‘Chinese balloon’ was popped, yes, but similarly popped was Team Biden’s hope to negotiate a limited understanding with a tetchy President Xi that could stop China tensions becoming a spoiler issue in the primary debates. The balloon incident obliged the U.S. to cancel Blinken’s appointment with Xi (even though such a meeting with the head of state would be a rare event).

The powerful ‘China hawk’ faction in the U.S. was ecstatic. The China balloon ‘kill’ inadvertently, and in an instant, elevated China to ‘Main Threat’. It was the chance for these hawks to ‘pivot’ foreign policy back from Ukraine and Russia – to fully focus on China.

They make the case that Ukraine was ‘eating’ too much of America’s arms inventory. It was leaving America vulnerable; already, it would take years for the U.S. to make up for this equipment loss by reinstating weapons supply-lines. And there is ‘no time to spare’. The military ‘deterrence fence’ around China has to be in place – ASAP.

Naturally, the tight neo-con circle around Biden – some of whom have invested in the ‘Destroy Russia’ project for decades – is not ready to ‘let go’ the Ukraine project, for China.

Yet, the Ukraine narrative ‘bubble’ has been punctured, and has been leaking helium for some time. The Beltway – and even the MSM narrative – has pirouetted from ‘Russia losing’ to an ‘Ukrainian defeat is inevitable’. Indeed, Kiev is defeated, and is hanging by the slenderest of threads.

Olexii Arestovich, Zelensky’s senior adviser and former ‘spin doctor’ in the Presidential office, speaking in late January this year, was candid in his assessment:

“If everyone thinks that we are guaranteed to win the war, then it is very unlikely. Since January 14, it has ceased to be like this. What do you think, that the assessment from the President of Poland, Duda, not only did he say this about the decisive months. That it is generally unknown whether Ukraine will survive …

“The war may not end as the Ukrainians expect, and as a result, Ukraine may not return all its territories, and the West is ready to follow such a scenario … What will happen to the society that raised its expectations too high, but will receive a conditional Minsk-3? This recoil of unfulfilled expectations will hit us so hard – morally and everything else – that we will simply be stunned.

“The way out of this war may not be at all what it seemed to us three months ago, after the success of the Kherson operation. And not because the insidious Americans do not give weapons or delay, but because success requires 400 thousand of perfectly trained soldiers with NATO weapons to grind it all up and liberate the territories. Do we have it? No. Will it be next year? Will not be. There will not be enough training facilities…

“We as a society are not ready for such an outcome. I decided to say it as the expectation of the Russian side. But the most unpleasant thing is that in the West they think the same way, and we are totally dependent on them. What should the West do? The scenario of two Koreas. Create South Korea with guarantees”, Arestovich said, adding that with this option, Ukraine can get a lot of bonuses.

Put bluntly, if Biden is to avoid a repeat of the humiliating Afghan débacle, America needs urgently to to move-on before the 2024 Presidential calendar kicks-off this summer – with Ukraine/Russia sucking all the oxygen out from the coming economic debates.

But that is not what is happening. Victoria Nuland – who has been ‘capo’ in Kiev for a decade – is overseeing a purge: Unreliables are ‘out’, and pro-American radical Ukrainian hawks are ‘in’. It is a make-over of the Kiev mafia, which leaves Zelensky without friends – and wholly dependent on Washington. It looks to be preparation for the U.S. to attempt a double-down in Ukraine.

Seymour Hersh’s detailed article on the backdrop to the Nordstream pipeline sabotage by the U.S., on which Hersh worked for many months (though his assertions have been denied by the White House), tells us something highly significant.

All the familiar, anti-Russia neo-cons (Nuland, Sullivan and Blinken) were part of the Nordstream sabotage plot – but the impulse for it came from Biden. He led it. And just to be plain, Biden is just as emotionally invested in Ukraine as his team mates; it is likely that he too cannot ‘let go’ in Ukraine.

BUT, doubling down now, in Ukraine, won’t work for Biden. It would be highly reckless (although the Nordstream plot was nothing, if not reckless).

Doubling-down will not bring his hoped-for ‘win’, because its logic is based on an egregious mis-analysis.

Olexii Arestovich, Zelensky’s former ‘spin doctor’ and adviser, has described the circumstance of the Russian SMO first entry into Ukraine: It was conceived as a bloodless mission and should have passed without casualties, he says. “They tried to wage a smart war… Such an elegant, beautiful, lightning-fast special operation, where polite people, without causing any damage to either a kitten or a child, eliminated the few who resisted. They didn’t want to kill anyone: Just sign the renunciation”.

The point here is that what occurred was political miscalculation by Moscow – and not military failure. The initial aim of the SMO didn’t work. No negotiations resulted. Yet from it flowed two major consequences: NATO controllers pounced on this interpretation to trumpet their pre-conceived bias that Russia was militarily weak, backward and stumbling. That misreading underlay how NATO perceived Russia would prosecute the war.

It was wholly incorrect. Russia is strong and has military predominance.

On the presumption of weakness, however, NATO switched plans from a planned guerrilla insurgency, to conventional war along the ‘Zelensky Defence Lines’ – thus opening the path for Russia’s artillery domination to attrit Ukraine’s forces to the point of entropy. It is an error that cannot be rectified. And to try it might just lead to WW3.

The Abrams M1 tank will not save Biden from débacle in the lead-up to the U.S. election debates:

“It was designed for the kind of tank-on-tank combat that hasn’t happened since WW2. It’s huge, expensive, full of sorts of electronics. And powered by a repurposed jet engine. It breaks down quickly and needs its own army of mechanics, runs out of gas quickly and at almost 70 tonnes, it is too heavy to cross most bridges and needs specialized bridge crossing equipment. And it sinks in the mud. The Saudis used Abrams tanks in Yemen – and lost 20 to the Houthis, not exactly the most sophisticated military force”.

So, how does this all pan out? Well, the fight is on – in Washington. The China hawks will try to wrench the U.S.’ full attention back to China. The Biden neo-cons may try for some escalatory tactic in Ukraine that makes war with Russia unstoppable.

However, the reality is that the Ukraine ‘Balloon’ is popped. Military and civilian circles in Washington know it. The ‘elephant in the room’ of inevitable Russian success is acknowledged (albeit, with the compulsion to avoid seeming ‘defeatist’ – that persists in certain quarters). They know too that the NATO (as ‘formidable force’) ‘balloon’ has popped. They know that the balloon of western industrial capacity to manufacture weapons – in sufficient quantity and over a long duration – has popped also.

The consequences are the risk of severe U.S. reputational damage, the longer the war persists. These circles do not want that. Perhaps they will conclude that Biden is not the man to lead the U.S. out of this blind alley – that he is the part of the problem, and not the solution. If so, he must be gone in good time for the Democrats to work out who they want to lead them into the 2024 Presidential election (no easy prospect).

They may sense too, that the 2024 campaign lines already are coalescing for the Republican Party, which has its own reading of the Ukraine débacle – ‘Let’s exit from Ukraine to confront China’ (with full bi-partisan support). This means firstly, that the thread of U.S. financial support for Ukraine – as Bill Burns (CIA chief) reportedly told Zelensky on his last visit – likely will taper this summer. And secondly, it hints that any bi-partisan support for further arming Kiev may be over by the time the primary season will be in full swing.

Bill Burns travelled (in secret) in mid-January to meet Zelensky. Was it to prepare Zelensky for a shift in the American stance? Burns, the long-standing U.S. quiet negotiator, is not party to the Nuland programme. The former said at Georgetown Universityin early February that “China remains the biggest geopolitical challenge the U.S. faces in the decades ahead, and the biggest priority for CIA”. His framing, ‘was not a bug, but the substance’ in his address.

Nuland may be planting U.S.-aligned hawks around Zelensky in order to continue the war, but there are other, wider interests within Washington. Financial circles are worried about a market collapse that could lead to the dollar haemorrhaging value. There are worries too, that the Ukraine war is contributing to a serious weakening of America’s standing in the world. And there are concerns that a reckless Team Biden could lose control and take the U.S. into a wider war with Russia.

In any event, time is short. The Election Calendar looms. Is Biden to be the Democratic candidate? Whether or not he will be a candidate in 2024 needs to be resolved before the early primaries to allow any successor to demonstrate his or her paces in good time.

Also by this author

Desperate actions

January 31, 2023

Source

by Hugo Dionísio

Something is changing on Mount Olympus and it is leaving in tatters the union of tendencies connected to the U.S.-state falconry. To understand and predict the actions of the political elite that commands, through their transnational mandataries, our destinies, implies knowing what one of the most important US defense think tanks reflects and publishes. This research leads us to an entity that rarely appears in the “informative” moments of the North Atlantic press: the RAND Corporation.

RAND’s best-known moment with regard to the conflict in Eastern Europe is signaled by the publication of the report “Extending Russia – Competing from Advantageous Ground”. This report contains the entire menu of malfeasance that, in the claims made public and repeated by the US power summit, would lead to a fulminating defeat of the political, economic, and military power of the Russian Federation.

The analysis expressed publicly, by the various political actors, was that the Russian Federation was nothing more than “a gasoline bomb with nuclear weapons,” a “paper tiger” with a GDP equal to that of Holland, and a people gagged by a “mad dictator” who remained in power only through “authoritarianism” and “repression”.

Based on an analysis whose information seemed to substantiate such political positions, the RAND report advocated a type of intervention, some of which were well reported – others not so well reported – in the official press. This was the case with the attempted “colored” revolutions made in CIA in Belarus, Kazakhstan, and the Central Asian countries, which, together with Georgia and Moldova, would probably be “promoted” and “supported” to the condition of an actual Ukraine. The Russian Federation, having to meet all the fires, some because they would become proxy armies (like Ukraine), others turned into bases of destabilizing operations launched by the CIA, would eventually “extend” itself until it broke into pieces and collapsed, putting an end to the current threat. Even without this partition, a point could always be reached where, after the destruction of the incumbent political power, a more docile “regime” would be installed, pointing to a more “advantageous position on the ground.”

Given to be known only in 2019, we are forced to note that this strategy had long been in preparation, especially since the Russian president lost hope that he could count on a Western “partnership” and announce the end of the unipolar world. Fact is, the report has a logical connection with the 2018 National Defense Strategy (US national defense strategy).

At any rate, this strategy points to the “Yugoslavization” of the Russian Federation. The truth is that the constant itinerary of this work has been followed almost scrupulously by the U.S. security and defense establishment: “colored” revolutions; states transformed into proxy armies; communication and disinformation campaigns; destabilization and sabotage operations; economic sanctions and embargoes. A menu of fulminating “democratic” activities on the rise!

And why is it important to talk about this today? It is important because in the last few days a new paper from the RAND corporation was published, but this time in reverse, a study entitled “Avoiding a Long War U.S. Policy and the Trajectory of the Russia-Ukraine Conflict.”

If the previous works pointed to the goals that Anthony Blinken, Biden, Nuland and Kirby have so often trumpeted, namely, a long-lasting conflict that would exhaust Russian energies so that the obstacle could be removed by force if necessary, the study published this time points to the realization of a cost-benefit ratio between the costs and risks resulting from a long war with Moscow and the benefits that the U.S. can derive from a trajectory that is expected to escalate and could result in a direct confrontation.

Something has changed and in what ways. First it was triumphalism and threat destruction, now a long conflict brings risks and costs that prevent the US from focusing on more pressing priorities. Where do we stand? At first it was intended, precisely, a long-lasting conflict… Now, not only does it carry costs and risks, but it seems to be Russia itself that is more comfortable with the foreseeable extension of the conflict in time, to the point of appointing Gerasimov as commander-in-chief of the armed forces, envisaging more than one theater of operations simultaneously (RAND pointed to the bilateral Polish possibility).

According to the site http://www.moonofalabama.org , one of the best sources on US foreign policy, the publication of this study does not come by chance, but after an attempt by the US Chief of Staff, Mark Milley, to promote an internal debate on possible peace negotiations with Biden. Having lost the battle in the White House, and unable to persuade Biden, as he only listens to Nuland, Blinken and Sullivan (the hawks on duty), he opted for the public display of his claim, calling for the start of negotiations first and, perhaps, leading to the publication of this study later.

The problem is, as Tyler Durden writes in one of today’s best opinion sites http://www.zerohedge.com , in his article “The most egregious Mistake”, going back and reversing the direction of US policy in this matter is simply not an option. The White House has taken the entire West in such a direction and speed of triumphalism, arrogance and “egregious” imbecility that there is no going back or reversal possible without a total defeat of the official narrative and the consequent eternal shame. Hence, these efforts by Mark Miller should result in very little, except the deepening of internal fractures, which may be positive. The fact is, there are already people who intend to step out of this path to the abyss.

Now, unlike the various writings on the subject, which tend to explain the impossibility of reversing the direction of the current suicidal strategy, with the sectarianism of the official narrative, which only offers certainties and unequivocal results, according to which, initially, this strategy did not result from a necessity but from a choice, translated into the so-called “egregious error”, I, personally, tend to consider that it was not an “error”, nor even less a choice, but rather, an act of desperation.

The alternative – American – narrative to the official current says that the outlined strategy represented an existential threat for Russia, but not for the United States. For the US, it would be possible to take other paths than that of creating this conflict.

In my view, this is a condescending position that devalues the feelings of urgency that resulted from the catastrophic analysis (never made public) that many have probably made of the state of American hegemony. The fact is that while the US has spent 8 trillion dollars on the war on terror, channeling all its diplomatic, economic and military efforts into it… What have Russia and China done?

While the U.S. used the pretext of terrorism (which they themselves have so often fomented and used as a weapon against political opponents – Syria, for example) to dominate the world’s largest oil reserves (in the Middle East), sidelining other natural resources, which today are important (such as lithium, for example), China developed its infrastructure, industry, army and, above all, its international trade platform, today known as the Belt and Road Initiative. During this period, the global south was able to experience a new form of “soft power”, which instead of demanding privatizations, dollarization of the economy, and reformulation of the political system in the manner that was most convenient, of which the IMF and the World Bank were the proxies on duty, the integration into the BRI only requires that the projects facilitate trade between countries (hence the infrastructure). In exchange for natural resources, these countries – instead of Western corporations and “investment” translated into the purchase of public companies – receive schools, hospitals, 4G and 5G networks, ports, airports, bridges, and the bigger and more challenging the better.

Not even the propaganda of the “debt trap”, well known to the IMF and the association treaties with the USA, prevented more than 120 countries from joining this network. Meanwhile and in the same period of time, Russia was able to get back on its feet from the neoliberal nightmare of the 1990s, recovering its industry and, above all, its self-esteem and national pride. A mortal sin in the eyes of the white house. Eurasian integration (EUEA), international cooperation (BRICS) and infrastructure (INSTC) projects have been made that circumvent US influence across the seas, which helps shield the economies of the countries involved.

While this multipolar world was being born in the beards of the most arrogant and sectarian hawks, the military industrial complex focused its attentions on the war on terror. Our news reports at the time, instead of Ukraine, began and ended with suicide bombings and time bombs. Until…

When information about this world began to emerge in the form of hard data, panic began to set in. It was around the time of 2017/18. Of course, from my perspective, this panic cannot be confessed. Its externalization began to emerge through Euromaidan, pressure and destabilization on less aligned Latin American nations, with the arrest of Lula da Silva and other national leaders with whose policies the white house was not comfortable. Gradually we saw U.S. foreign policy shift back toward dominance of natural resources and markets and less toward terrorism. They even “abandoned” the Middle East, leaving only the Zionist and Kurdish watchdogs. It was the time of the news that opened and closed with Venezuela.

However, this reversal of course already denoted, in my opinion, a kind of race against time. Time that had to be won.

Faced with the continuous loss of ground, we have reached the time of Covid (which according to many is a White House “card”, provoked or opportunistic, we shall see in due time) and the construction of a military strategy that has been elected as the last of the means – far from being remote – to “contain” China, recently classified as an “existential threat”. The confrontation in the Pacific would pass through the creation of an Eastern NATO, baptized AUKUS. In this strategy, the obstacles that could tip the balance in favor of the enemy had to be removed. That obstacle is the Russian Federation. The conclusion of a true strategic alliance between the Russian Federation and China shows that the leaders of these two countries no longer have any illusions about the real intentions of the United States. The more they are together, the greater their protection and the greater the threat to the United States.

This is where the “Ukrainian” option comes in! The strategy of extending Russia until it left was not an option. It was a desperate action. Absolutely! And why?

I say this not only because of what I mentioned earlier and the urgency that the elite leaders of the Transnational Corporations (the backbone of the U.S. Empire) must have felt at the information that was reaching them. At this stage, it must be said that the “failure” of the Chinese strategy played a part in this desperation. For the corporate elite who control the political power in the US, the economic “opening” of China would certainly lead (I don’t know what science they based their opinion on) to the destruction of the Communist Party’s power and the installation of a neo-liberal type government. Hong Kong will have already been a forced step, as these folks believed that the process would be more or less “natural”, resulting in a “USSR” type collapse, this time in China. But no… By around 2018 it was already being said in the white house that they would have to learn to live with China as it was. There would be no new “Tiananmen” in sight.

For the transnational corporate elite there is no cooperation. There is domination. After all, that is the fuel and the adrenaline of empire. Anyone’s. But back to Eastern Europe, why do I say that the Ukrainian choice was desperate?

First it was forced. And it was forced because it resulted from the failure of people like Navalny and other neoliberal puppets, who should have been able to produce an attrition of United Russia’s power. The preferred option is always the one that involves the internal deconstruction and submission of the adversary. Failing this, the only option left is the military one. The military is the component in which the United States still considers itself superior.

The RAND report pointed to a set of “tasks” that should be accomplished in order to achieve the goal of “extending Russia” and thus achieve a “more advantageous position on the ground. Has that desideratum been achieved? No, not by a long shot.

First, the “color” revolutions in Belarus and Kazakhstan failed. Not only did they fail to remove their respective rulers, they worsened their situation on the ground by strengthening Russia’s power over those countries (the respective governments “saved” by it). Second, they failed the sanctions from 2014 onward by not destroying the Russian economy. Worse, they gave the country an ability to live with the West’s sanctions. The sanctions were “the” development opportunity, the missing pretext to move from an economy based solely on resource extraction, to an industrial, in some cases cutting-edge and full-cycle economy, i.e., with key sectors sovereign and shielded against sabotage maneuvers, from the outside. Third, Georgia did not take the bait and set itself up as a proxy army, failing the plan of creating several battlefronts. Out of all this the Russian Federation came out stronger.

While the outward discourse, for ideological and strategic reasons, continued to be that of the “fuel station,” the actions denoted only desperation. The very instrumentalization of the Minsk agreements, agreements sanctioned by the UN, as a way to gain time to arm Ukraine, totally discredited the West in the eyes of the global south. Anyone who deceives like this, a country like Russia, by relying on a process like the Minsk one, is capable of anything.

The fact that they managed to “convince” a country to sacrifice itself for the sake of the power of another, basing this “convincing” on the establishment of a neo-Nazi doctrine, recovering Bandera (directly responsible for the death of millions of Poles, Ukrainians and Jews), based on xenophobia, racial and cultural hatred, leading that country to a coup d’état perpetrated by forces comparable to the SS, and making all these people look like martyrs and heroes, and even removing the Azov battalion from the list of extremist organizations… It was another stab in the back of the confidence of a world composed of nations whose memories have not yet been erased and who know what bad things fascism and Nazism brought them. This same world also knows the decisive contribution that the USSR – and Russia, for that matter – made in the 20th century to the defeat of colonialism and to the national liberation of the majority of humanity.

It was also about liberation from the clutches of Western imperialism and colonialism. From the same West that used plunder as a moment of primitive appropriation of wealth, that allowed it to first achieve development, and then used it to further subjugate the plundered. No, this world no longer trusts the West. This world is not the same world that the corporate media claims to be with Zelinsky.

The official discourse denied all this reality and sold an illusion, according to which, Ukraine, with the help of the powerful NATO, would win, without appeal or aggravation, a war of attrition against Russia. Of course, the victory would be so resounding that the attrition would not even begin, for at the first sanctions, power would fall to the street. Even the thousands of Russian agents the CIA has in its pocket weren’t able to pull it off. Power not only fell but strengthened, demonstrating that the proud nation that, being harried from without, turns on itself is yet to be born. RAND’s assumptions kept getting further and further from being true.

According to the imbecility resulting from the superiority complex of Western elites, a country with 3% of global GDP would not stand a chance against the mighty G7/NATO/US. Which says a lot about the GDP method as a way of characterizing an economy. As “old man” Marx explained, only labor produces wealth and only the transformation of matter into something with use value translates that wealth. This is the “real economy” of which Martyanov speaks so much. Unlike the speculative and ultra-financialized economy of the West, Russia has a real economy, which produces things with use value. With “real” use value, without which we cannot live, unlike an iPhone or a Chanel perfume. In fact, the global south has been gradually discovering that it has the resources, the technology and the wealth to have a real economy. And it doesn’t need the West for that. It is the West that cannot live without the global south, not the other way around. The global south has figured it out, and so has the US.

Seeing this, and watching the deplorable spectacle that is the constant confiscation of sovereign amounts deposited in dollars or euros, which the West, at the behest of the US, steals so much, today we are witnessing a movement away from the dollar…

In this, too, we have much despair, such as the process that led to the “installation” of a Guaido in Venezuela or the successive attempts at a “colored” revolution in Iran. In both cases, the two countries saw their reservations “frozen” in the G7/NATO/EU space. If this move by itself had already put many countries on their guard, since it was no longer only the “communist” Cuba and the People’s Republic of Korea, this time, the freezing and intended confiscation of Russian reserves clearly pushed the panic button. Any country, regardless of size, if it does not accept submission, is subject to confiscation of everything it has in currencies of the collective West.

The result? The result is BRICS+ and the basket of currencies, the proposal for a Latin American currency between Brazil and Argentina, the return to gold, cryptoyuan and the multiplication of exchanges in national currencies, as is already happening between the Eurasian countries, Iran, China, India, Turkey and Russia, recently joined by Pakistan, or the case of Saudi Arabia and China. The challenge seems to be simple: escape the “cursed” currencies, but without appearing to do so urgently, lest everything fall into place.

This result was obvious and has been predicted so many times over the past decade. Even in unsuspecting channels from the point of view of neoliberal ideology like Bloomberg or Politico. But not even these warnings have deterred the suicidal arrogance and prepotency that results from 500 years of Western racial supremacy.

Today, after Annalena Berbock confirmed to us that we have been dragged into a war, without any democratic background discussion and public reflection, except for endless hours of “slava Ukraini” propaganda in the corporate media; such a war also starts from an underestimation of the military and industrial capabilities of the Russian federation itself. If we read the report made by the Congress a couple of years ago about the military capabilities of the Russian Federation, we would see that the general conclusion was something like: a lot of weapons, but unsophisticated, with precision problems and outdated in relation to the U.S. But this is not the story told by the more than 7,500 tanks shot down, the more than 300 planes, more than 200 helicopters and, most important of all, the hundreds of thousands of lives lost, mainly of soldiers (Zaluzhny reportedly told the Pentagon that there were 232,000, CIA sources say 305,000, and Chinese intelligence is already talking about 500,000 to 680,000). Whether it is the smallest or the smallest, especially when compared to the Russian losses, it gives us a catastrophic idea of the disproportion of forces. We are indeed witnessing a process of demilitarization and denazification.

With this background, the sending of tanks was discussed, in another episode of “wonder weapons”. But this time, and after the others did not have the desired effect, the US no longer wants to throw more arms sales deals on the back burner, as happened with the “wonderful” HIMAR or M777. Send their Abrahms tanks there and soon the number of sales would drop. So, let the Germans send their Panzer-Gepard there. Sholz didn’t want to? When I heard him say that he would only send them if… I immediately thought, “he still hasn’t received the non-refusable request from Biden and friends”. It didn’t take a day for pictures of the tanks to appear on their way to Poland, even before the public announcement. This is the Germany of today: a cluster of Teutonic identity riders mounted on unicorns, wearing pink armor, and holding sunflowers instead of swords. How sad!

Be that as it may, a spring campaign is being prepared in which, to defend the USA, another 100,000 forcibly recruited Ukrainian soldiers will be sacrificed in the name of Bandera (the videos of people being caught in the streets, in shopping malls, hiding from the police… are multiplying at breakneck speed)!

Having already guaranteed the defeat of the offensive (come on… a country like FR would rather sacrifice millions of its best children than submit to some Western empire), the US is already preparing for the next desperate maneuver. Playing Taiwan, Japan and South Korea. Meanwhile follow the so far frustrated attempts at “colored” revolution (the others are learning how to disarm the CIA’s NGO army), to get more candidates for the post of “ukraine” in the pacific.

The RAND study points precisely to this “priority”. One more that will lead to actions whose prerequisites are not verified and, therefore, doomed to failure. But as someone, from the US, said some time ago: “there are no more good options”. Only the desperate ones. It reminds one of the last days of the Reich with its search for the “wonder weapons”.

But if the rest of the world has already seen the scenes of the next chapters, here in NATO territory, the corporate media is still in delusional mode, according to which, the world is a US backyard and the collective West is the civilizational reference… It’s like the cliché “Ukraine is winning the war”.

It will be my pleasure to watch a whole crowd of newsmen, analysts, politologists, and other charlatans doing the pin-up… and saying “no one saw this coming”!

Isn’t that what they always do? In a sign of desperation?

And some people still believe in them!

Hugo Dionísio’s Telegram:

https://t.me/canalfactual

Why BRI is back with a bang in 2023

January 06 2023

As Beijing’s Belt and Road Initiative enters its 10th year, a strong Sino-Russian geostrategic partnership has revitalized the BRI across the Global South.

Photo Credit: The Cradle

By Pepe Escobar

The year 2022 ended with a Zoom call to end all Zoom calls: Presidents Vladimir Putin and Xi Jinping discussing all aspects of the Russia-China strategic partnership in an exclusive video call.

Putin told Xi how “Russia and China managed to ensure record high growth rates of mutual trade,” meaning “we will be able to reach our target of $200 billion by 2024 ahead of schedule.”

On their coordination to “form a just world order based on international law,” Putin emphasized how “we share the same views on the causes, course, and logic of the ongoing transformation of the global geopolitical landscape.”

Facing “unprecedented pressure and provocations from the west,” Putin noted how Russia-China are not only defending their own interests “but also all those who stand for a truly democratic world order and the right of countries to freely determine their own destiny.”

Earlier, Xi had announced that Beijing will hold the 3rd Belt and Road Forum in 2023. This has been confirmed, off the record, by diplomatic sources. The forum was initially designed to be bi-annual, first held in 2017 and then 2019. 2021 didn’t happen because of Covid-19.

The return of the forum signals not only a renewed drive but an extremely significant landmark as the Belt and Road Initiative (BRI), launched in Astana and then Jakarta in 2013, will be celebrating its 10th anniversary.

BRI version 2.0

That set the tone for 2023 across the whole geopolitical and geoeconomic spectrum. In parallel to its geoconomic breadth and reach, BRI has been conceived as China’s overarching foreign policy concept up to the mid-century. Now it’s time to tweak things. BRI 2.0 projects, along its several connectivity corridors, are bound to be re-dimensioned to adapt to the post-Covid environment, the reverberations of the war in Ukraine, and a deeply debt-distressed world.

Photo Credit: The Cradle
Map of BRI (Photo Credit: The Cradle)

And then there’s the interlocking of the connectivity drive via BRI with the connectivity drive via the International North South Transportation Corridor (INTSC), whose main players are Russia, Iran and India.

Expanding on the geoeconomic drive of the Russia-China partnership as discussed by Putin and Xi, the fact that Russia, China, Iran and India are developing interlocking trade partnerships should establish that BRICS members Russia, India and China, plus Iran as one of the upcoming members of the expanded BRICS+, are the ‘Quad’ that really matter across Eurasia.

The new Politburo Standing Committee in Beijing, which are totally aligned with Xi’s priorities, will be keenly focused on solidifying concentric spheres of geoeconomic influence across the Global South.

How China plays ‘strategic ambiguity’

This has nothing to do with balance of power, which is a western concept that additionally does not connect with China’s five millennia of history. Neither is this another inflection of “unity of the center” – the geopolitical representation according to which no nation is able to threaten the center, China, as long as it is able to maintain order.

These cultural factors that in the past may have prevented China from accepting an alliance under the concept of parity have now vanished when it comes to the Russia-China strategic partnership.

Back in February 2022, days before the events that led to Russia’s Special Military Operation (SMO) in Ukraine, Putin and Xi, in person, had announced that their partnership had “no limits” – even if they hold different approaches on how Moscow should deal with a Kiev lethally instrumentalized by the west to threaten Russia.

In a nutshell: Beijing will not “abandon” Moscow because of Ukraine – as much as it will not openly show support. The Chinese are playing their very own subtle interpretation of what Russians define as  “strategic ambiguity.”

Connectivity in West Asia

In West Asia, BRI projects will advance especially fast in Iran, as part of the 25-year deal signed between Beijing and Tehran and the definitive demise of the Joint Comprehensive Plan of Action (JCPOA) – or Iran nuclear deal – which will translate into no European investment in the Iranian economy.

Iran is not only a BRI partner but also a full-fledged Shanghai Cooperation Organization (SCO) member. It has clinched a free trade agreement with the Eurasia Economic Union (EAEU), which consists of post-Soviet states Russia, Armenia, Belarus, Kazakhstan and Kyrgyzstan.

And Iran is, today, arguably the key interconnector of the INSTC, opening up the Indian Ocean and beyond, interconnecting not only with Russia and India but also China, Southeast Asia, and even, potentially, Europe – assuming the EU leadership will one day see which way the wind is blowing.

Map of INSTC (Photo Credit: The Cradle)

So here we have heavily US-sanctioned Iran profiting simultaneously from BRI, INSTC and the EAEU free trade deal. The three critical BRICS members – India, China, Russia – will be particularly interested in the development of the trans-Iranian transit corridor – which happens to be the shortest route between most of the EU and South and Southeast Asia, and will provide faster, cheaper transportation.

Add to this the groundbreaking planned Russia-Transcaucasia-Iran electric power corridor, which could become the definitive connectivity link capable of smashing the antagonism between Azerbaijan and Armenia.

In the Arab world, Xi has already rearranged the chessboard. Xi’s December trip to Saudi Arabia should be the diplomatic blueprint on how to rapidly establish a post-modern quid pro quo between two ancient, proud civilizations to facilitate a New Silk Road revival.

Rise of the Petro-yuan

Beijing may have lost huge export markets within the collective west – so a replacement was needed. The Arab leaders who lined up in Riyadh to meet Xi saw ten thousand sharpened (western) knives suddenly approaching and calculated it was time to strike a new balance.

That means, among other things, that Saudi Crown Prince Mohammad bin Salman (MbS) has adopted a more multipolar agenda: no more weaponizing of Salafi-Jihadism across Eurasia, and a door wide open to the Russia-China strategic partnership. Hubris strikes hard at the heart of the Hegemon.

Credit Suisse strategist Zoltan Pozsar, in two striking successive newsletters, titled War and Commodity Encumbrance (December 27) and War and Currency Statecraft (December 29), pointed out the writing on the wall.

Pozsar fully understood what Xi meant when he said China is “ready to work with the GCC” to set up a “new paradigm of all-dimensional energy cooperation” within a timeline of “three to five years.”

China will continue to import a lot of crude, long-term, from GCC nations, and way more Liquified Natural Gas (LNG). Beijing will “strengthen our cooperation in the upstream sector, engineering services, as well as [downstream] storage, transportation, and refinery. The Shanghai Petroleum and Natural Gas Exchange platform will be fully utilized for RMB settlement in oil and gas trade…and we could start currency swap cooperation.”

Pozsar summed it all up, thus: “GCC oil flowing East + renminbi invoicing = the dawn of the petroyuan.”

And not only that. In parallel, the BRI gets a renewed drive, because the previous model – oil for weapons – will be replaced with oil for sustainable development (construction of factories, new job opportunities).

And that’s how BRI meets MbS’s Vision 2030.

Apart from Michael Hudson, Poszar may be the only western economic analyst who understands the global shift in power: “The multipolar world order,” he says,” is being built not by G7 heads of state but by the ‘G7 of the East’ (the BRICS heads of state), which is a G5 really.” Because of the move toward an expanded BRICS+, he took the liberty to round up the number.

And the rising global powers know how to balance their relations too. In West Asia, China is playing slightly different strands of the same BRI trade/connectivity strategy, one for Iran and another for the Persian Gulf monarchies.

China’s Comprehensive Strategic Partnership with Iran is a 25-year deal under which China invests $400 billion into Iran’s economy in exchange for a steady supply of Iranian oil at a steep discount. While at his summit with the GCC, Xi emphasized “investments in downstream petrochemical projects, manufacturing, and infrastructure” in exchange for paying for energy in yuan.

How to play the New Great Game

BRI 2.0 was also already on a roll during a series of Southeast Asian summits in November. When Xi met with Thai Prime Minister Prayut Chan-o-cha at the APEC (Asia-Pacific Economic Cooperation) Summit in Bangkok, they pledged to finally connect the up-and-running China-Laos high-speed railway to the Thai railway system. This is a 600km-long project, linking Bangkok to Nong Khai on the border with Laos, to be completed by 2028.

And in an extra BRI push, Beijing and Bangkok agreed to coordinate the development of China’s Shenzhen-Zhuhai-Hong Kong Greater Bay Area and the Yangtze River Delta with Thailand’s Eastern Economic Corridor (EEC).

In the long run, China essentially aims to replicate in West Asia its strategy across Southeast Asia. Beijing trades more with the ASEAN than with either Europe or the US. The ongoing, painful slow motion crash of the collective west may ruffle a few feathers in a civilization that has seen, from afar, the rise and fall of Greeks, Romans, Parthians, Arabs, Ottomans, Spanish, Dutch, British. The Hegemon after all is just the latest in a long list.

In practical terms, BRI 2.0 projects will now be subjected to more scrutiny: This will be the end of impractical proposals and sunk costs, with lifelines extended to an array of debt-distressed nations. BRI will be placed at the heart of BRICS+ expansion – building on a consultation panel in May 2022 attended by foreign ministers and representatives from South America, Africa and Asia that showed, in practice, the global range of possible candidate countries.

Implications for the Global South

Xi’s fresh mandate from the 20th Communist Party Congress has signaled the irreversible institutionalization of BRI, which happens to be his signature policy. The Global South is fast drawing serious conclusions, especially in contrast with the glaring politicization of the G20 that was visible at its November summit in Bali.

So Poszar is a rare gem: a western analyst who understands that the BRICS are the new G5 that matter, and that they’re leading the road towards BRICS+. He also gets that the Quad that really matters is the three main BRICS-plus-Iran.

Acute supply chain decoupling, the crescendo of western hysteria over Beijing’s position on the war in Ukraine, and serious setbacks on Chinese investments in the west all play on the development of BRI 2.0. Beijing will be focusing simultaneously on several nodes of the Global South, especially neighbors in ASEAN and across Eurasia.

Think, for instance, the Beijing-funded Jakarta-Bandung high-speed railway, Southeast Asia’s first: a BRI project opening this year as Indonesia hosts the rotating ASEAN chairmanship. China is also building the East Coast Rail Link in Malaysia and has renewed negotiations with the Philippines for three railway projects.

Then there are the superposed interconnections. The EAEU will clinch a free trade zone deal with Thailand. On the sidelines of the epic return of Luiz Inácio Lula da Silva to power in Brazil, this past Sunday, officials of Iran and Saudi Arabia met amid smiles to discuss – what else – BRICS+. Excellent choice of venue: Brazil is regarded by virtually every geopolitical player as prime neutral territory.

From Beijing’s point of view, the stakes could not be higher, as the drive behind BRI 2.0 across the Global South is not to allow China to be dependent on western markets. Evidence of this is in its combined approach towards Iran and the Arab world.

China losing both US and EU market demand, simultaneously, may end up being just a bump in the (multipolar) road, even as the crash of the collective west may seem suspiciously timed to take China down.

The year 2023 will proceed with China playing the New Great Game deep inside, crafting a globalization 2.0 that is institutionally supported by a network encompassing BRI, BRICS+, the SCO, and with the help of its Russian strategic partner, the EAEU and OPEC+ too. No wonder the usual suspects are dazed and confused.

The views expressed in this article do not necessarily reflect those of The Cradle.

Xi of Arabia and the petroyuan drive

Xi Jinping has made an offer difficult for the Arabian Peninsula to ignore: China will be guaranteed buyers of your oil and gas, but we will pay in yuan.

December 16 2022

Photo Credit: The Cradle

By Pepe Escobar

It would be so tempting to qualify Chinese President Xi Jinping landing in Riyadh a week ago, welcomed with royal pomp and circumstance, as Xi of Arabia proclaiming the dawn of the petroyuan era.

But it’s more complicated than that. As much as the seismic shift implied by the petroyuan move applies, Chinese diplomacy is way too sophisticated to engage in direct confrontation, especially with a wounded, ferocious Empire. So there’s way more going here than meets the (Eurasian) eye.

Xi of Arabia’s announcement was a prodigy of finesse: it was packaged as the internationalization of the yuan. From now on, Xi said, China will use the yuan for oil trade, through the Shanghai Petroleum and National Gas Exchange, and invited the Persian Gulf monarchies to get on board. Nearly 80 percent of trade in the global oil market continues to be priced in US dollars.

Ostensibly, Xi of Arabia, and his large Chinese delegation of officials and business leaders, met with the leaders of the Gulf Cooperation Council (GCC) to promote increased trade. Beijing promised to “import crude oil in a consistent manner and in large quantities from the GCC.” And the same goes for natural gas.

China has been the largest importer of crude on the planet for five years now – half of it from the Arabian peninsula, and more than a quarter from Saudi Arabia. So it’s no wonder that the prelude for Xi of Arabia’s lavish welcome in Riyadh was a special op-ed expanding the trading scope, and praising increased strategic/commercial partnerships across the GCC, complete with “5G communications, new energy, space and digital economy.”

Foreign Minister Wang Yi doubled down on the “strategic choice” of China and wider Arabia. Over $30 billion in trade deals were duly signed – quite a few significantly connected to China’s ambitious Belt and Road Initiative (BRI) projects.

And that brings us to the two key connections established by Xi of Arabia: the BRI and the Shanghai Cooperation Organization (SCO).

The Silk Roads of Arabia

BRI will get a serious boost by Beijing in 2023, with the return of the Belt and Road Forum. The first two bi-annual forums took place in 2017 and 2019. Nothing happened in 2021 because of China’s strict zero-Covid policy, now abandoned for all practical purposes.

The year 2023 is pregnant with meaning as BRI was first launched 10 years ago by Xi, first in Central Asia (Astana) and then Southeast Asia (Jakarta).

BRI not only embodies a complex, multi-track trans-Eurasian trade/connectivity drive but it is the overarching Chinese foreign policy concept at least until the mid-21st century. So the 2023 forum is expected to bring to the forefront a series of new and redesigned projects adapted to a post-Covid and debt-distressed world, and most of all to the loaded Atlanticism vs. Eurasianism geopolitical and geoeconomic sphere.

Also significantly, Xi of Arabia in December followed Xi of Samarkand in September – his first post-Covid overseas trip, for the SCO summit in which Iran officially joined as a full member. China and Iran in 2021 clinched a 25-year strategic partnership deal worth a potential $400 billion in investments. That’s the other node of China’s two-pronged West Asia strategy.

The nine permanent SCO members now represent 40 percent of the world’s population. One of their key decisions in Samarkand was to increase bilateral trade, and overall trade, in their own currencies.

And that further connects us to what has happening in Bishkek, Kyrgyzstan, in full synchronicity with Riyadh: the meeting of the Supreme Eurasia Economic Council, the policy implementation arm of the Eurasia Economic Union (EAEU).

Russian President Vladimir Putin, in Kyrgyzstan, could not have been more straightforward: “The work has accelerated in the transition to national currencies in mutual settlements… The process of creating a common payment infrastructure and integrating national systems for the transmission of financial information has begun.”

The next Supreme Eurasian Economic Council will take place in Russia in May 2023, ahead of the Belt and Road Forum. Take them together and we have the lineaments of the geoeconomic road map ahead: the drive towards the petroyuan proceeding in parallel to the drive towards a “common paying infrastructure” and most of all, a new alternative currency bypassing the US dollar.

That’s exactly what the head of the EAEU’s macroeconomic policy, Sergey Glazyev, has been designing, side by side with Chinese specialists.

Total Financial War

The move towards the petroyuan will be fraught with immense peril.

In every serious geoeconomic gaming scenario, it’s a given that an enfeebled petrodollar translates as the end of the imperial free lunch in effect for over five decades.

Concisely, in 1971, then-US President Richard “Tricky Dick” Nixon pulled the US from the gold standard; three years later, after the 1973 oil shock, Washington approached the Saudi oil minister, notorious Sheikh Yamani, with the proverbial offer-you-can’t-refuse: we buy your oil in US dollars and in return you buy our Treasury bonds, lots of weapons, and recycle whatever’s left in our banks.

Cue to Washington now suddenly able to dispense helicopter money – backed by nothing – ad infinitum, and the US dollar as the ultimate hegemonic weapon, complete with an array of sanctions over 30 nations who dare to disobey the unilaterally imposed “rules-based international order.”

Impulsively rocking this imperial boat is anathema. So Beijing and the GCC will adopt the petroyuan slowly but surely, and certainly with zero fanfare. The heart of the matter, once again, is their mutual exposure to the Western financial casino.

In the Chinese case, what to do, for instance, with those whopping $1 trillion in US Treasury bonds. In the Saudi case, it’s hard to think about “strategic autonomy” – such as what’s enjoyed by Iran – when the petrodollar is a staple of the Western financial system. The menu of possible imperial reactions includes everything from a soft coup/ regime change to Shock and Awe over Riyadh – followed by regime change.

Yet what the Chinese – and the Russians – are aiming at goes way beyond a Saudi (and Emirati) predicament. Beijing and Moscow have clearly identified how everything – the oil market, global commodities markets – is tied to the role of the US dollar as reserve currency.

And that’s exactly what the EAEU discussions; the SCO discussions; from now on the BRICS+ discussions; and Beijing’s two-pronged strategy across West Asia are focused to undermine.

Beijing and Moscow, within the BRICS framework, and further on within the SCO and the EAEU, have been closely coordinating their strategy since the first sanctions on Russia post-Maidan 2014, and the de facto trade war against China unleashed in 2018.

Now, after the February 2022 Special Military Operation launched by Moscow in Ukraine and NATO has devolved into, for all practical purposes, war against Russia, we have stepped beyond Hybrid War territory and are deep into Total Financial War.

SWIFTly drifting away

The whole Global South absorbed the “lesson” of the collective (institutional) west freezing, as in stealing, the foreign reserves of a G20 member, on top of it a nuclear superpower. If that happened to Russia, it could happen to anyone. There are no “rules” anymore.

Russia since 2014 has been improving its SPFS payment system, in parallel with China’s CIPS, both bypassing the western-led SWIFT banking messaging system, and increasingly used by Central Banks across Central Asia, Iran and India. All across Eurasia, more people are ditching Visa and Mastercard and using UnionPay and/or Mir cards, not to mention Alipay and WeChat Pay, both extremely popular across Southeast Asia.

Of course the petrodollar – and the US dollar, still representing under 60 percent of global foreign exchange reserves – will not ride into oblivion overnight. Xi of Arabia is just the latest chapter in a seismic shift now driven by a select group in the Global South, and not by the former “hyperpower.”

Trading in their own currencies and a new, global alternative currency is right at the top of the priorities of that long list of nations – from South America to Northern Africa and West Asia – eager to join BRICS+ or the SCO, and in quite a few cases, both.

The stakes could not be higher. And it’s all about subjugation or exercising full sovereignty. So let’s leave the last essential words to the foremost diplomat of our troubled times, Russia’s Sergey Lavrov, at the international interparty conference Eurasian Choice as a Basis for Strengthening Sovereignty:

“The main reason for today’s growing tensions is the stubborn striving of the collective West to maintain a historically diminishing domination in the international arena by any means it can… It is impossible to impede the strengthening of the independent centers of economic growth, financial might and political influence. They are emerging on our common continent of Eurasia, in Latin America, the Middle East and Africa.”

All aboard…the Sovereign Train.

The views expressed in this article do not necessarily reflect those of The Cradle.

The Global South births a new game-changing payment system

November 30, 2022

by Pepe Escobar, first published at The Cradle and posted with the author’s permission

Challenging the western monetary system, the Eurasia Economic Union is leading the Global South toward a new common payment system to bypass the US Dollar.

The Eurasia Economic Union (EAEU) is speeding up its design of a common payment system, which has been closely discussed for nearly a year with the Chinese under the stewardship of Sergei Glazyev, the EAEU’s minister in charge of Integration and Macro-economy.

Through its regulatory body, the Eurasian Economic Commission (EEC), the EAEU has just extended a very serious proposal to the BRICS nations (Brazil, Russia, India, China and South Africa) which, crucially, are already on the way to turning into BRICS+: a sort of G20 of the Global South.

The system will include a single payment card – in direct competition with Visa and Mastercard – merging the already existing Russian MIR, China’s UnionPay, India’s RuPay, Brazil’s Elo, and others.

That will represent a direct challenge to the western-designed (and enforced) monetary system, head on. And it comes on the heels of BRICS members already transacting their bilateral trade in local currencies, and bypassing the US dollar.

This EAEU-BRICS union was long in the making – and will now also move toward prefiguring a further geoeconomic merger with the member nations of the Shanghai Cooperation Organization (SCO).

The EAEU was established in 2015 as a customs union of Russia, Kazakhstan and Belarus, joined a year later by Armenia and Kyrgyzstan. Vietnam is already an EAEU free trade partner, and recently enshrined SCO member Iran is also clinching a deal.

The EAEU is designed to implement free movement of goods, services, capital, and workers between member countries. Ukraine would have been an EAEU member if not for the Maidan coup in 2014 masterminded by the Barack Obama administration.

Vladimir Kovalyov, adviser to the chairman of the EEC, summed it all up to Russian newspaper Izvestia. The focus is to establish a joint financial market, and the priority is to develop a common “exchange space:” “We’ve made substantial progress and now the work is focused on such sectors as banking, insurance, and the stock market.”

A new regulatory body for the proposed joint EEU-BRICS financial system will soon be established.

Meanwhile, trade and economic cooperation between the EAEU and BRICS have increased 1.5 times in the first half of 2022 alone.

The BRICS share in the total external trade turnover of the EAEU has reached 30 percent, Kovalyov revealed at the BRICS International Business Forum this past Monday in Moscow:

“It is advisable to combine the potentials of the BRICS and EAEU macro-financial development institutions, in particular the BRICS New Development Bank, the Asian Infrastructure Investment Bank (AIIB), as well as national development institutions. This will make it possible to achieve a synergistic effect and ensure synchronous investments in sustainable infrastructure, innovative production, and renewable energy sources.”

Here we once again see the advancing convergence of not only BRICS and EAEU but also the financial institutions deeply involved in projects under the China-led New Silk Roads, or Belt and Road Initiative (BRI).

Halting the Age of Plunder

As if all that was not game-changing enough, Russian President Vladimir Putin is raising the stakes by calling for a new international payment system based on blockchain and digital currencies.

The project for such a system was recently presented at the 1st Eurasian Economic Forum in Bishkek.

At the forum, the EAEU approved a draft agreement on cross-border placement and circulation of securities in member states, and amended technical regulations.

The next big step is to organize the agenda of a crucial meeting of the Supreme Eurasian Economic Council on 14 December in Moscow. Putin will be there – in person. And there’s nothing he would love more than to make a game-changing announcement.

All of these moves acquire even more importance as they connect to fast increasing, interlocking trade between Russia, China, India, and Iran: from Russia’s drive to build new pipelines serving its Chinese market – to Russia, Kazakhstan, and Uzbekistan discussing a gas union for both domestic supplies and exports, especially to main client China.

Slowly but surely, what is emerging is the Big Picture of an irretrievably fractured world featuring a dual trade/circulation system: one will be revolving around the remnants of the dollar system, the other is being built centered on the association of BRICS, EAEU, and SCO.

Pushing further on down the road, the recent pathetic metaphor coined by a tawdry Eurocrat boss: the “jungle” is breaking away from the “garden” with a vengeance. May the fracture persist, as a new international payment system – and then a new currency – will aim to halt for good the western-centric Age of Plunder.

The OUN-Russia war (no longer an SMO): What do the parties want and what does the future hold?

November 23, 2022

Source

By Eric Arthur Blair

During this current relative reduction of hostilities in Ukraine, the calm before the storm so to speak, it may be useful to reflect upon the goals of the various geopolitical players, whether stated overtly or intended covertly. This may enable us to make educated guesses as to how events may ultimately unfold.

WHAT DOES RUSSIA WANT?

The party whose openly stated goals appear to align most closely with their defacto goals seems to be Russia, who at the start of the special military operation stated that they wanted the denazification and demilitarisation of Ukraine, the cessation of hostilities against and the autonomy of Donbass (respecting the rights of Russian speakers) and the long term neutrality of Ukraine with no possibility of it being part of NATO, whether defacto (as it currently is) or dejure. Implicit in the latter is the indivisibility of security, the guarantee that US/NATO intermediate range missiles or so-called anti-ballistic missiles (which in reality can be fitted with nuclear warheads and function as INF) will never be stationed in Ukrainian territory. The Russian status of Crimea was never negotiable.

Current situation: having attempted peace negotiations many times but being repeatedly rebuffed by the Oligarchic States of America / Ukraine / NATO (henceforth termed OUN) regarding all the concerns above, and facing ongoing genocidal aggression by the OUN against Donbass, Russia was forced to occupy and denazify much of Eastern/Southeastern Ukraine to protect Russian speaking civilians and Russia’s own security, discovering along the way more than 30 bio-pathogen labs near the border of Russia which had been funded by the USA (as admitted by droolin’ Nuland herself):

https://russiaun.ru/en/news/271022_nb

Subsequent referenda conducted in the the four liberated oblasts (Donetsk, Lugansk, Zaporizhia and Kherson) all overwhelmingly voted to join Russia. Hence ensuring the security of these territories in perpetuity is now a priority. It seems likely that the majority population in Russia will also demand the liberation of Odessa (which has a huge number of Russian speakers, constantly under violent threat by the UkroNazis. Please recall that 48 Russian speakers were killed by the firebombing of the trade union building in Odessa in 2014 by Ukronazis). Odessa was historically a Russian city. The return of Odessa to Russia will shrink the remaining territory of Ukraine to an impoverished land-bound “rump” state, if it continues to exist at all.

There was a time Ukraine had one of the greatest prospects of any European state, with large, fertile steppes producing massive quantities of grain for export, with the lucrative status as an energy hub to distribute Russian gas to Western Europe and a base for heavy industry in Donbass. All of this is now lost (as will likely be Ukraine’s remaining access to the Black Sea) because of a violent corrupt fascist puppet regime that was installed by the USA. The former bread basket of Europe is now the basket case of Europe.

Presently Russia is hammering the crap out of Ukraine, lobbing 3 times more missiles into Ukraine daily than Ukraine can muster (20,000 vs 7,000 according to Colonel Doug MacGregor). “Most missiles launched by Ukraine are ground to air anti-missile missiles” (many are outdated S-300s, one which supposedly went “astray” into Poland, killing two civilians). The OUN also continue to shell the Russian occupied Zaporizhia nuclear power plant, even while insisting that the Russians are shelling themselves.

As far as the previous Russian “retreats” from Kharkov and Kherson were concerned, please see my footnote, to place these events in proper historical perspective.

Where to from here? The Russians only began to seriously target Ukrainian infrastructure (electricity, water etc) eight months into the SMO, after the OUN terrorist attacks against the Nordstream pipelines and Kerch bridge. When the OUN sent drones through the maritime corridor previously designated for peaceful grain export, in order to attack the Russian fleet in Sevastopol, the Russians then proceeded to demolish even more Ukrainian infrastructure. The big question is this: why has Russia not yet destroyed 100% of Ukrainian infrastructure, which it could easily have done months ago? To US analysts, this was a puzzle, because standard practice of the USA has always been to completely destroy vital civilian infrastructure from day one, as in the case of Yugoslavia or Iraq or Libya. Possible explanations for Russian reticence are:

  • Russia has far greater concern and respect for civilian lives than the USA has ever had, certainly much more so than the terrorist Ukronazis – who were deliberately bombing civilian areas in Donbass for the eight years prior.
  • Complete interruption of electrical and water supplies in Ukraine will inevitably lead to the abandonment of all western Ukrainian cities and a massive exodus of at least 8 million Ukrainians to the countries West. This, along with the economic and energy hardships now afflicting Western Europe (as a result of their sanctions against Russia backfiring), will lead to massive social unrest, possibly even the collapse of some Western European countries. This horrific prospect is a massive bargaining chip that Russia holds over the West and is a huge incentive for the OUN to sue for peace now, before the worst effects of Winter set in.
  • As shown above, it will be exceedingly easy for Russia to depopulate all of Ukraine all the way to Lviv, which will achieve the goal of the demilitarisation of Ukraine. This can be achieved right now, even without a single Russian soldier crossing West of the Dnieper river. However it appears that Russia’s preferred option is to achieve demilitarisation of Ukraine without depopulation, so as not to inflict excessive hardship on their cultural kin.

WHAT DO EUROPEANS WANT?

By “Europeans” we must distinguish between the so-called “leaders” of Europe and the ordinary people of Europe. The former are totally corrupt, bought-and-paid-for and in the pockets of the US neocons. The latter are largely clueless and brainwashed by their Mainstream media to adopt mindless anti-Russian hatred and bigotry. As far as can be seen right now, even if the European people could cobble together a vaguely coherent idea of what they may or may not want, their wishes are utterly irrelevant. They have no agency in how events are going to unfold, unless they can overthrow their US controlled puppet governments and install leaders who truly work in their interests. The solutions to the European problems are simple: reverse all sanctions against Russia, request that gas is delivered to them through Nordstream 2B and that the other 3 pipelines are repaired, and agree to total demilitarisation of Ukraine with removal of all Nazis and all NATO “advisers”. These are the best ways to prevent Russia from opening a floodgate of Ukro refugees into the West. Sanity is unlikely to prevail because the Germs in particular seem to be terminally stupid and spineless. So my advice to the Germs is this: get ready for a shitstorm of events: industrial and economic collapse and a massive influx of refugees who you will have to support with your dwindling tax base and rising inflation.

WHAT DO UKRAINIANS WANT?

This is no more relevant than the wishes of flotsam tossed about by a stormy sea .

WHAT DOES THE USA WANT?

There is a huge disconnect between the officially stated goals and covertly pursued goals of the USA, as befits a two faced “non agreement capable” imperialist oligarchy. The official line from the US is that they are engaging in a noble struggle to “free” Europe from being held to ransom by an “unreliable” energy provider, Russia, and that this is a global confrontation between Western “Democratic” and Eastern “Authoritarian” regimes for the future of the world. That is of course total bullshit. In reality, the exact opposites apply. All actions by the US with regard to Russia and Ukraine, dating back not just to 2014 but to 1991, were deceitfully ignoble, the US is utterly focused on the enslavement, not the liberation of Europe (to be permanently kept under the jackboot of US hegemony), Russia has always been a completely reliable provider of cheap energy to Europe and the Oligarchic States of America are completely undemocratic: they neglect the well being of their own citizens while donating hundreds of billions of tax payer dollars to the US MIC. “Authoritarian” Putin has always been careful to address the wishes of the Russian public (via the Duma) and the wishes of the majority populations of Crimea and Donbass (via referenda, which were much better conducted and more legitimate than the recent suspect and dodgy US mid-term elections https://podbay.fm/p/the-duran-podcast/e/1668956802 ).

Some short term goals of the US neocons, as far as sabotaging the sale of Russian energy to Europe and railroading the Europeans into buying very expensive fracked US LNG, seem to have been successful. However this will not work in the medium to long term because expensive fracked LNG can never generate industrial products economically competitive with products manufactured using much cheaper energy eg by China using piped Russian gas. Hence the medium and long term collapse of the German industrial economy is certain (hence they will eventually be unable to buy expensive US LNG) if the Germs continue down this foolish path. I previously devoted an article to the real motivations of the US neocons and oligarchs who have hijacked US policy.

The medium term US tactics and goals were these: to confiscate more than $300 billion of Russian foreign reserves and to impose economic sanctions (more than 10 thousand so far) which would turn the “Ruble to rubble” (as stated by sleepy Joe) and trigger Russian economic collapse. This would create public unrest in Russia which would enable a US sponsored colour revolution to depose Putin in favour of a US designated puppet (echoes of “Yats is our guy, fuck the EU” droolin’ Nuland). Astroturf revolutions are an old tactic taken directly from the CIA playbook, dating back to the antics of Kermit Roosevelt in Tehran. Embroiling Russia in a lengthy resource-sapping war in Ukraine, perpetrated by US terrorist proxies, was designed to weaken Russia as Lloyd “Raytheon” Austin so transparently admitted. Stinkin’ Blinken also admitted the Ukraine situation was a US/NATO proxy war with Russia, just as he had crowed about how the bombing of Nordstream represented a “tremendous opportunity” for the US to sell LNG to Europe.

The US long term goal would eventually be to fragment Russia into smaller states (just as the USSR had previously been broken up, following its embroilment in a lengthy resource-sapping war in Afghanistan, perpetrated by US terrorist proxies). Those smaller post Russian banana republics would each have puppet leaders appointed by the USA, who would then foil the “belt and road” initiative of China, the next target of the US neocons. All of this devious skulduggery has been outlined in many a Beltway think-tank document, especially that from the Rand corporation.

Not only have every single one of those US goals failed, they have backfired spectacularly. Especially laughable is smellin’ Yellin’s “oil price cap” policy, which is being ignored by everybody. The only sane strategy is to negotiate peace with Russia. Nevertheless the position of the US at present remains unchanged: any peaceful economic links between Germany and Russia must be sabotaged at all costs, because it would create an economic-industrial behemoth that, along with China, would sideline the USA into irrelevance on the world stage. The only excuse Germany has for “sanctioning” Russian gas today is the so-called “aggression” of Russia in Ukraine. If a peaceful outcome in Ukraine is achieved, there will no longer be any excuse for Germany to deny itself Russian gas. Hence, from the POV of the USA, peace in Ukraine must be avoided at all costs. The consequence of refusing to achieve a peaceful settlement, of obstinately continuing to lob missiles against the Russians, will be this: the complete and utter destruction of Ukraine by Russia, with massive out-flux of refugees into Western Europe. Does the US care if there are economic and humanitarian catastrophes in the making (and of their making) in Western Europe? Absolutely not. Not only is the USA happy to fight Russia to the last Ukrainian, the USA is happy to fight Russia to the last European.

THE SPECIAL CASE OF TURKEY:

Turkey has been a long standing NATO member. Readers will remember from history that the stationing of US nuclear capable missiles in Turkey was the catalyst for the Cuban missile crisis of 1962. Today, Turkey and the OUN are best described as “frenemies”, now leaning towards being enemies. The USA sees Turkey as an unreliable ally and was particularly miffed by the Turkish insistence on buying Russian energy in Rubles, of continuing to honour Mir transactions and its intention to become a Russian natural gas hub, supplying south eastern Europe via the Turkstream pipeline. Erdogan firmly believes that the attempted coup against him in 2016 was perpetrated by Gulenists sponsored by the USA. The recent terrorist bombing in Istanbul which killed 6 and injured 81 was traced to an individual that the Turks claimed was a Kurd from northern Syria who was a proxy of the AngloZionists. We do not know if this is true, but what matters is that the Turks believe this to be true and it is certainly consistent with the history of the US using terrorist proxies. Accordingly, when the US ambassador to Turkey offered his condolences for the bombing, the Turkish interior minister flatly rejected it, saying that Turkey knew who did it, expressing disgust for such US hypocrisy. All US interactions with Turkey in recent years have counter productively served to push it closer towards Russia and the BRICS+ countries.

CONCLUSION: The USA is the worst terrorist state in the world, they represent the greatest threat of global nuclear war to every one of us (USAnians included) – which could cause human extinction. Being an enemy of the USA is dangerous, but being an ally (especially if you are a Germ or a Ukie) is fatal. The Turks are discovering this to their chagrin and are wising up.

Footnote: The AngloEuroZionist mainstream media and their stooge pundits always crow loudly over every transient Pyrrhic victory “won” by the Ukie proxies, while demonstrating a profound ignorance of history and strategy and reality. General Surovikin is nothing if not rational. Given a choice between precariously holding on to Kherson city located on the “wrong” side of the river (which can and will later be recaptured) and preserving the lives of Russian soldiers, he chose his soldiers. All civilians who appreciated the protection of Russia were evacuated. Die hard Ukie ideologues who prefer to freeze and starve this winter in an eviscerated city were allowed to stay.

This echoes the much higher stakes situation of 1812 when General Kutuzov had to choose between Moscow and his army and he chose his army. He allowed Napoleon to march into Moscow which had been stripped of any and all resources that could support the French, who eventually had to withdraw, enabling Russian forces to recapture Moscow. The Russians slaughtered the French as they withdrew. Today’s Ukie/NATO forces are tactically and strategically far more stupid than Napoleon.

Remember the “massive victory” of Ukies advancing into Kharkov oblast empty cow paddocks not long ago? The Russians had staged a tactical withdrawal* and suffered almost no casualties, but enticed the Ukies into open territory where the Ukies were sitting ducks to Russian artillery and rockets. The Ukies lost around 8000 dead. With such a great “success”, it is just a matter of time before the Ukies suicide their way to moribund victory.

(*this was a classic Mongol tactical “withdrawal” which the Kievan Rus had learned from history to their great cost, and now inflicted upon the stupid Ukies to their great cost.)

BTW, Kiev was founded by the primordial Rus, it was the first capital city of the Russian people who were then known as the Kievan Rus. That is historical fact.

EAB is not Russian, knows no Russians and has never been to Russia. Inspired by Tolstoy, he is learning more about Russian history day by day.

Goodbye G20, hello BRICS+

The increasingly irrelevant G20 Summit concluded with sure signs that BRICS+ will be the way forward for Global South cooperation.

November 17 2022

Photo Credit: The Cradle

By Pepe Escobar

The redeeming quality of a tense G20 held in Bali – otherwise managed by laudable Indonesian graciousness – was to sharply define which way the geopolitical winds are blowing.

That was encapsulated in the Summit’s two highlights: the much anticipated China-US presidential meeting – representing the most important bilateral relationship of the 21st century – and the final G20 statement.

The 3-hour, 30-minute-long face-to-face meeting between Chinese President Xi Jinping and his US counterpart Joe Biden – requested by the White House – took place at the Chinese delegation’s residence in Bali, and not at the G20 venue at the luxury Apurva Kempinski in Nusa Dua.

The Chinese Ministry of Foreign Affairs concisely outlined what really mattered. Specifically, Xi told Biden that Taiwan independence is simply out of the question. Xi also expressed hope that NATO, the EU, and the US will engage in “comprehensive dialogue” with Russia. Instead of confrontation, the Chinese president chose to highlight the layers of common interest and cooperation.

Biden, according to the Chinese, made several points. The US does not seek a New Cold War; does not support “Taiwan independence;” does not support “two Chinas” or “one China, one Taiwan”; does not seek “decoupling” from China; and does not want to contain Beijing.

However, the recent record shows Xi has few reasons to take Biden at face value.

The final G20 statement was an even fuzzier matter: the result of arduous compromise.

As much as the G20 is self-described as “the premier forum for global economic cooperation,” engaged to “address the world’s major economic challenges,” the G7 inside the G20 in Bali had the summit de facto hijacked by war. “War” gets almost double the number of mentions in the statement compared to “food” after all.

The collective west, including the Japanese vassal state, was bent on including the war in Ukraine and its “economic impacts” – especially the food and energy crisis – in the statement. Yet without offering even a shade of context, related to NATO expansion. What mattered was to blame Russia – for everything.

The Global South effect

It was up to this year’s G20 host Indonesia – and the next host, India – to exercise trademark Asian politeness and consensus building. Jakarta and New Delhi worked extremely hard to find wording that would be acceptable to both Moscow and Beijing. Call it the Global South effect.

Still, China wanted changes in the wording. This was opposed by western states, while Russia did not review the last-minute wording because Foreign Minister Sergey Lavrov had already departed.

On point 3 out of 52, the statement “expresses its deepest regret over the aggression of the Russian Federation against Ukraine and demands the complete and unconditional withdrawal of armed forces from the territory of Ukraine.”

“Russian aggression” is the standard NATO mantra – not shared by virtually the whole Global South.

The statement draws a direct correlation between the war and a non-contextualized “aggravation of pressing problems in the global economy – slowing economic growth, rising inflation, disruption of supply chains, worsening energy, and food security, increased risks to financial stability.”

As for this passage, it could not be more self-evident: “The use or threat of use of nuclear weapons is inadmissible. The peaceful resolution of conflicts, efforts to address crises, as well as diplomacy and dialogue, are vital. Today’s era must not be of war.”

This is ironic given that NATO and its public relations department, the EU, “represented” by the unelected eurocrats of the European Commission, don’t do “diplomacy and dialogue.”

Fixated with war

Instead the US, which controls NATO, has been weaponizing Ukraine, since March, by a whopping $91.3 billion, including the latest presidential request, this month, of $37.7 billion. That happens to be 33 percent more than Russia’s total (italics mine) military spending for 2022.

Extra evidence of the Bali Summit being hijacked by “war” was provided by the emergency meeting, called by the US, to debate what ended up being a Ukrainian S-300 missile falling on a Polish farm, and not the start of WWIII like some tabloids hysterically suggested.

Tellingly, there was absolutely no one from the Global South in the meeting – the sole Asian nation being the Japanese vassal, part of the G7.

Compounding the picture, we had the sinister Davos master Klaus Schwab once again impersonating a Bond villain at the B20 business forum, selling his Great Reset agenda of “rebuilding the world” through pandemics, famines, climate change, cyber attacks, and – of course – wars.

As if this was not ominous enough, Davos and its World Economic Forum are now ordering Africa – completely excluded from the G20 – to pay $2.8 trillion to “meet its obligations” under the Paris Agreement to minimize greenhouse gas emissions.

The demise of the G20 as we know it

The serious fracture between Global North and Global South, so evident in Bali, had already been suggested in Phnom Penh, as Cambodia hosted the East Asia Summit this past weekend.

The 10 members of ASEAN had made it very clear they remain unwilling to follow the US and the G7 in their collective demonization of Russia and in many aspects China.

The Southeast Asians are also not exactly excited by the US-concocted IPEF (Indo-Pacific Economic Framework), which will be irrelevant in terms of slowing down China’s extensive trade and connectivity across Southeast Asia.

And it gets worse. The self-described “leader of the free world” is shunning the extremely important APEC (Asia-Pacific Economic Cooperation) summit in Bangkok at the end of this week.

For very sensitive and sophisticated Asian cultures, this is seen as an affront. APEC, established way back in 1990s to promote trade across the Pacific Rim, is about serious Asia-Pacific business, not Americanized “Indo-Pacific” militarization.

The snub follows Biden’s latest blunder when he erroneously addressed Cambodia’s Hun Sen as “prime minister of Colombia” at the summit in Phnom Penh.

Lining up to join BRICS

It is safe to say that the G20 may have plunged into an irretrievable path toward irrelevancy. Even before the current Southeast Asian summit wave – in Phnom Penh, Bali and Bangkok – Lavrov had already signaled what comes next when he noted that “over a dozen countries” have applied to join BRICS (Brazil, Russia, India, China, South Africa).

Iran, Argentina, and Algeria have formally applied: Iran, alongside Russia, India, and China, is already part of the Eurasian Quad that really matters.

Turkey, Saudi Arabia, Egypt, and Afghanistan are extremely interested in becoming members. Indonesia just applied, in Bali. And then there’s the next wave: Kazakhstan, UAE, Thailand (possibly applying this weekend in Bangkok), Nigeria, Senegal, and Nicaragua.

It’s crucial to note that all of the above sent their Finance Ministers to a BRICS Expansion dialogue in May. A short but serious appraisal of the candidates reveals an astonishing unity in diversity.

Lavrov himself noted that it will take time for the current five BRICS to analyze the immense geopolitical and geoeconomic implications of expanding to the point of virtually reaching the size of the G20 – and without the collective west.

What unites the candidates above all is the possession of massive natural resources: oil and gas, precious metals, rare earths, rare minerals, coal, solar power, timber, agricultural land, fisheries, and fresh water. That’s the imperative when it comes to designing a new resource-based reserve currency to bypass the US dollar.

Let’s assume that it may take up to 2025 to have this new BRICS+ configuration up and running. That would represent roughly 45 percent of confirmed global oil reserves and over 60 percent of confirmed global gas reserves (and that will balloon if gas republic Turkmenistan later joins the group).

The combined GDP – in today’s figures – would be roughly $29.35 trillion; much larger than the US ($23 trillion) and at least double the EU ($14.5 trillion, and falling).

As it stands, BRICS account for 40 percent of the global population and 25 percent of GDP. BRICS+ would congregate 4.257 billion people: over 50 percent of the total global population as it stands.

BRI embraces BRICS+

BRICS+ will be striving towards interconnection with a maze of institutions: the most important are the Shanghai Cooperation Organization (SCO), itself featuring a list of players itching to become full members; strategic OPEC+, de facto led by Russia and Saudi Arabia; and the Belt and Road Initiative (BRI), China’s overarching trade and foreign policy framework for the 21st century. It is worth pointing out that early all crucial Asian players have joined the BRI.

Then there are the close links of BRICS with a plethora of regional trade blocs: ASEAN, Mercosur, GCC (Gulf Cooperation Council), Eurasia Economic Union (EAEU), Arab Trade Zone, African Continental Free Trade Area, ALBA, SAARC, and last but not least the Regional Comprehensive Economic Partnership (RCEP), the largest trade deal on the planet, which includes a majority of BRI partners.

BRICS+ and BRI is a match everywhere you look at it – from West Asia and Central Asia to the Southeast Asians (especially Indonesia and Thailand). The multiplier effect will be key – as BRI members will be inevitably attracting more candidates for BRICS+.

This will inevitably lead to a second wave of BRICS+ hopefuls including, most certainly, Azerbaijan, Mongolia, three more Central Asians (Uzbekistan, Tajikistan, and gas republic Turkmenistan), Pakistan, Vietnam, and Sri Lanka, and in Latin America, a hefty contingent featuring Chile, Cuba, Ecuador, Peru, Uruguay, Bolivia, and Venezuela.

Meanwhile, the role of the BRICS’s New Development Bank (NDB) as well as the China-led Asia Infrastructure Investment Bank (AIIB) will be enhanced – coordinating infrastructure loans across the spectrum, as BRICS+ will be increasingly shunning dictates imposed by the US-dominated IMF and the World Bank.

All of the above barely sketches the width and depth of the geopolitical and geoeconomic realignments further on down the road – affecting every nook and cranny of global trade and supply chain networks. The G7’s obsession in isolating and/or containing the top Eurasian players is turning on itself in the framework of the G20. In the end, it’s the G7 that may be isolated by the BRICS+ irresistible force.

The views expressed in this article do not necessarily reflect those of The Cradle.

Russia, India, China, Iran: the Quad that really matters

Tuesday, 15 November 2022 3:55 PM 

By Pepe Escobar

Southeast Asia is right at the center of international relations for a whole week viz a viz three consecutive summits: Association of South East Asian Nations (ASEAN) summit in Phnom Penh, the Group of Twenty (G20) summit in Bali, and the Asia-Pacific Economic Cooperation (APEC) summit in Bangkok.  

Eighteen nations accounting for roughly half of the global economy represented at the first in-person ASEAN summit since the Covid-19 pandemic in Cambodia: the ASEAN 10, Japan, South Korea, China, India, US, Russia, Australia, and New Zealand. 

With characteristic Asian politeness, the summit chair, Cambodian Prime Minister Hun Sen (or “Colombian”, according to the so-called “leader of the free world”), said the plenary meeting was somewhat heated, but the atmosphere was not tense: “Leaders talked in a mature way, no one left.”

It was up to Russian Foreign Minister Sergey Lavrov to express what was really significant at the end of the summit.

While praising the “inclusive, open, equal structure of security and cooperation at ASEAN”, Lavrov stressed how Europe and NATO “want to militarize the region in order to contain Russia and China’s interests in the Indo-Pacific.”

A manifestation of this policy is how “AUKUS is openly aiming at confrontation in the South China Sea,” he said.

Lavrov also stressed how the West, via the NATO military alliance, is accepting ASEAN “only nominally” while promoting a completely “unclear” agenda. 

What’s clear though is how NATO “has moved towards Russian borders several times and now declared at the Madrid summit that they have taken global responsibility.”

This leads us to the clincher: “NATO is moving their line of defense to the South China Sea.” And, Lavrov added, Beijing holds the same assessment.

Here, concisely, is the open “secret” of our current geopolitical incandescence. Washington’s number one priority is the containment of China. That implies blocking the EU from getting closer to the key Eurasia drivers  – China, Russia, and Iran – engaged in building the world’s largest free trade/connectivity environment.

Adding to the decades-long hybrid war against Iran, the infinite weaponizing of the Ukrainian black hole fits into the initial stages of the battle.

For the Empire, Iran cannot profit from becoming a provider of cheap, quality energy to the EU. And in parallel, Russia must be cut off from the EU. The next step is to force the EU to cut itself off from China.

All that fits into the wildest, warped Straussian/neo-con wet dreams: to attack China, by emboldening Taiwan, first Russia must be weakened, via the instrumentalization (and destruction) of Ukraine.

And all along the scenario, Europe simply has no agency.     

Putin, Raeisi and the Erdogan track

Real life across key Eurasia nodes reveals a completely different picture. Take the relaxed get-together in Tehran between Russia’s top security official Nikolai Patrushev and his Iranian counterpart Ali Shamkhani last week.

They discussed not only security matters but also serious business – as in turbo-charged trade.

The National Iranian Oil Company (NIOC) will sign a $40 billion deal next month with Gazprom, bypassing US sanctions, and encompassing the development of two gas fields and six oilfields, swaps in natural gas and oil products, LNG projects, and the construction of gas pipelines.

Immediately after the Patrushev-Shamkhani meeting, President Putin called President Ebrahim Raeisi to keep up the “interaction in politics, trade and the economy, including transport and logistics,” according to the Kremlin.

Iranian president reportedly more than “welcomed” the “strengthening” of Moscow-Tehran ties.

Patrushev unequivocally supported Tehran over the latest color revolution adventure perpetrated under the framework of the Empire’s endless hybrid war.

Iran and the EAEU are negotiating a Free Trade Agreement (FTA) in parallel to the swap deals with Russian oil. Soon, SWIFT may be completely bypassed. The whole Global South is watching.

Simultaneous to Putin’s phone call, Turkiye’s Recep Tayyip Erdogan – conducting his own diplomatic overdrive, and just back from a summit of Turkic nations in Samarkand – stressed that the US and the collective West are attacking Russia “almost without limits”. 

Erdogan made it clear that Russia is a “powerful” state and commended its “great resistance”.

The response came exactly 24 hours later. Turkish intelligence cut to the chase, pointing out that the terrorist bombing in the perpetually busy Istiklal pedestrian street in Istanbul was designed in Kobane in northern Syria, which essentially responds to the US.

That constitutes a de-facto act of war and may unleash serious consequences, including a profound revision of Turkiye’s presence inside NATO.

Iran’s multi-track strategy

A Russia-Iran strategic alliance manifests itself practically as a historical inevitability. It recalls the time when the erstwhile USSR helped Iran militarily via North Korea, after an enforced US/Europe blockade.

Putin and Raeisi are taking it to the next level. Moscow and Tehran are developing a joint strategy to defeat the weaponization of sanctions by the collective West.

Iran, after all, has an absolutely stellar record of smashing variants of “maximum pressure” to bits. Also, it is now linked to a strategic nuclear umbrella offered by the “RICs” in BRICS (Russia, India, China).

So, Tehran may now plan to develop its massive economic potential within the framework of BRI, SCO, INSTC, the Eurasia Economic Union (EAEU), and the Russian-led Greater Eurasia Partnership.

Moscow’s game is pure sophistication: engaging in a high-level strategic oil alliance with Saudi Arabia while deepening its strategic partnership with Iran.

Immediately after Patrushev’s visit, Tehran announced the development of an indigenously built hypersonic ballistic missile, quite similar to the Russian KH-47 M2 Khinzal.

And the other significant news was connectivity-wise: the completion of part of a railway from strategic Chabahar Port to the border with Turkmenistan. That means imminent direct rail connectivity to the Central Asian, Russian and Chinese spheres. 

Add to it the predominant role of OPEC+, the development of BRICS+, and the pan-Eurasian drive to pricing trade, insurance, security, investments in the ruble, yuan, rial, etc.

There’s also the fact that Tehran could not care less about the endless collective West procrastination on the Joint Comprehensive Plan of Action (JCPOA), commonly known as Iran nuclear deal: what really matters now is the deepening relationship with the “RICs” in BRICS. 

Tehran refused to sign a tampered-with EU draft nuclear deal in Vienna. Brussels was enraged; no Iranian oil will “save” Europe, replacing Russian oil under a nonsensical cap to be imposed next month.

And Washington was enraged because it was betting on internal tensions to split OPEC.  

Considering all of the above, no wonder US ‘Think Tankland’ is behaving like a bunch of headless chickens.  

The queue to join BRICS

During the Shanghai Cooperation Organization (SCO) summit in Samarkand last September, it was already tacit to all players how the Empire is cannibalizing its closest allies.

And how, simultaneously, the shrinking NATO-sphere is turning inwards, with a focus on The Enemy Within, relentlessly corralling average citizens to march in lockstep behind total compliance with a two-pronged war – hybrid and otherwise – against imperial peer competitors Russia and China.

Now compare it with Chinese President Xi Jinping in Samarkand presenting China and Russia, together, as the top “responsible global powers” bent on securing the emergence of multipolarity.

Samarkand also reaffirmed the strategic political partnership between Russia and India (Indian Prime Minister Narendra Modi called it an unbreakable friendship).

That was corroborated by the meeting between Lavrov and his Indian counterpart Subrahmanyam Jaishankar last week in Moscow.

Lavrov praised the strategic partnership in every crucial area – politics, trade and economics, investment, and technology, as well as “closely coordinated actions” at the UN Security Council, BRICS, SCO and the G20.

On BRICS, crucially, Lavrov confirmed that “over a dozen countries” are lining up for membership, including Iran: “We expect the work on coordinating the criteria and principles that should underlie BRICS expansion to not take much time”.

But first, the five members need to analyze the ground-breaking repercussions of an expanded BRICS+. 

Once again: contrast. What is the EU’s “response” to these developments? Coming up with yet another sanctions package against Iran, targeting officials and entities “connected with security affairs” as well as companies, for their alleged “violence and repressions”.

“Diplomacy”, collective West-style, barely registers as bullying.

Back to the real economy – as in the gas front – the national interests of Russia, Iran and Turkiye are increasingly intertwined; and that is bound to influence developments in Syria, Iraq, and Libya, and will be a key factor to facilitate Erdogan’s re-election next year.

As it stands, Riyadh for all practical purposes has performed a stunning 180-degree maneuver against Washington via OPEC+. That may signify, even in a twisted way, the onset of a process of unification of Arab interests, guided by Moscow.

Stranger things have happened in modern history. Now appears to be the time for the Arab world to be finally ready to join the Quad that really matters: Russia, India, China, and Iran.

(The views expressed in this article are the author’s own and do not necessarily reflect those of Press TV.)


Press TV’s website can also be accessed at the following alternate addresses:

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Rewiring Eurasia: Mr. Patrushev goes to Tehran

The meeting this week between two Eurasian security bosses is a further step toward dusting away the west’s oversized Asian footprint.

November 10 2022

Photo Credit: The Cradle

By Pepe Escobar

Two guys are hanging out in a cozy room in Tehran with a tantalizing new map of the world in the background.

Nothing to see here? On the contrary. These two Eurasian security giants are no less than the – unusually relaxed – Russian Security Council Secretary Nikolai Patrushev and Ali Shamkhani, the Secretary of Iran’s Supreme National Security Council.

And why are they so relaxed? Because the future prospects revolving around the main theme of their conversation – the Russia-Iran strategic partnership – could not be more exciting.

This was a very serious business affair: an official visit, at the invitation of Shamkhani.

Patrushev was in Tehran on the exact same day that Russian Minister of Defense Sergey Shoigu – following a recommendation from General Sergey Surovikin, the overall commander of the Special Military Operation – ordered a Russian retreat from Kherson.

Patrushev knew it for days – so he had no problem to step on a plane to take care of business in Tehran. After all, the Kherson drama is part of the Patrushev negotiations with US National Security Advisor Jake Sullivan on Ukraine, which have been going on for weeks, with Saudi Arabia as eventual go-between.

Besides Ukraine, the two discussed “information security, as well as measures to counter interference in the internal affairs of both countries by western special services,” according to a report by Russia’s TASS news agency.

Both countries, as we know, are particular targets of western information warfare and sabotage, with Iran currently the focus of one of these no-holds-barred, foreign-backed, destabilization campaign.

Patrushev was officially received by Iranian President Ebrahim Raisi, who went straight to the point: “The cooperation of independent countries is the strongest response to the sanctions and destabilization policies of the US and its allies.”

Patrushev, for his part, assured Raisi that for the Russian Federation, strategic relations with Iran are essential for Russian national security.

So that goes way beyond Geranium-2 kamikaze drones – the Russian cousins of the Shahed-136 – wreaking havoc in the Ukrainian battlefield. Which, by the way, elicited a direct mention later on by Shamkhani: “Iran welcomes a peaceful settlement in Ukraine and is in favor of peace based on dialogue between Moscow and Kiev.”

Patrushev and Shamkhani of course discussed security issues and the proverbial “cooperation in the international arena.” But what may be more significant is that the Russian delegation included officials from several key economic agencies.

There were no leaks – but that suggests serious economic connectivity remains at the heart of the strategic partnership between the two top sanctioned nations in Eurasia.

Key in the discussions was the Iranian focus on fast expansion of bilateral trade in national currencies – ruble and rial. That happens to be at the center of the drive by both the Shanghai Cooperation Organization (SCO) and BRICS towards multipolarity. Iran is now a full SCO member – the only West Asian nation to be part of the Asian strategic behemoth – and will apply to become part of BRICS+.

Have swap, will travel

The Patrushev-Shamkhani get together happened ahead of the signing, next month, of a whopping $40 billion energy deal with Gazprom, as previously announced by Iranian Deputy Foreign Minister Mahdi Safari.

The National Iranian Oil Company (NIOC) has already clinched an initial $6.5 billion deal. All that revolves around the development of two gas deposits and six oilfields; swaps in natural gas and oil products; LNG projects; and building more gas pipelines.

Last month, Russian Deputy Prime Minister Aleksandr Novak announced a swap of 5 million tons of oil and 10 billion cubic meters of gas, to be finished by the end of 2022. And he confirmed that “the amount of Russian investment in Iran’s oil fields will increase.”

Barter of course is ideal for Moscow and Tehran to jointly bypass interminably problematic sanctions and payment settlement issues – linked to the western financial system. On top of it, Russia and Iran are able to invest in direct trade links via the Caspian Sea.

At the recent Conference on Interaction and Confidence Building Measures in Asia (CICA) summit in Astana, Kazakhstan, Raisi forcefully proposed that a successful “new Asia” must necessarily develop an endogenous model for independent states.

As an SCO member, and playing a very important role, alongside Russia and India, in the International North-South Transportation Corridor (INSTC), Raisi is positioning Iran in a key vector of multilateralism.

Since Tehran entered the SCO, cooperation with both Russia and China, predictably, is on overdrive. Patrushev’s visit is part of that process. Tehran is leaving behind decades of Iranophobia and every possible declination of American “maximum pressure” – from sanctions to attempts at color revolution – to dynamically connect across Eurasia.

BRI, SCO, INSTC

Iran is a key Belt and Road Initiative (BRI) partner for China’s grand infrastructure project to connect Eurasia via road, sea, and train. In parallel, the multimodal Russian-led INSTC is essential to promote trade between the Indian subcontinent and Central Asia – at the same time solidifying Russia’s presence in the South Caucasus and the Caspian Sea region.

Iran and India have committed to offer part of Chabahar port in Iran to Central Asian nations, complete with access to exclusive economic zones.

At the recent SCO summit in Samarkand, both Russia and China made it quite clear – especially for the collective west – that Iran is no longer going to be treated as a pariah state.

So it is no wonder Iran that is entering a new business era with all members of the SCO under the sign of an emerging financial order being designed mostly by Russia, China and India. As far as strategic partnerships go, the ties between Russia and India (President Narendra Modi called it an unbreakable friendship) is as strong as those between Russia and China. And when it comes to Russia, that’s what Iran is aiming at.

The Patrushev-Shamkhani strategic meeting will hurl western hysteria to unseen levels – as it completely smashes Iranophobia and Russophobia in one fell swoop. Iran as a close ally is an unparalleled strategic asset for Russia in the drive towards multipolarity.

Iran and the Eurasian Economic Union (EAEU) are already negotiating a Free Trade Agreement (FTA) in parallel to those swaps involving Russian oil. The west’s reliance on the SWIFT banking messaging system hardly makes any difference to Russia and Iran. The Global South is watching it closely, especially in Iran’s neighborhood where oil is commonly traded in US dollars.

It is starting to become clear to anyone in the west with an IQ above room temperature that the Joint Comprehensive Plan of Action (JCPOA, or Iran nuclear deal), in the end, does not matter anymore. Iran’s future is directly connected to the success of three of the BRICS: Russia, China and India. Iran itself may soon become a BRICS+ member.

There’s more: Iran is even becoming a role model for the Persian Gulf: witness the lengthy queue of regional states aspiring toward gaining SCO membership. The Trumpian “Abraham Accords?” What’s that? BRICS/SCO/BRI is the only way to go in West Asia today.

The views expressed in this article do not necessarily reflect those of The Cradle.

Putin: ‘The Situation Is, to a Certain Extent, Revolutionary’

Putin in fact did nail where we are: on the edge of a Revolution.

October 31, 2022

Global Research,

By Pepe Escobar

In an all-encompassing address to the plenary session of the 19th annual meeting of the Valdai Club, President Putin delivered no less than a devastating, multi-layered critique of unipolarity.

From Shakespeare to the assassination of Gen Soleimani;

from musings on spirituality to the structure of the UN;

from Eurasia as the cradle of human civilization to the interconnection of BRI, SCO and the INSTC;

from nuclear dangers to that peripheral peninsula of Eurasia “blinded by the idea that Europeans are better than others”, the address painted a Brueghel-esque canvas of the “historical milestone” facing us, in the middle of “the most dangerous decade since the end of WWII.”

Putin even ventured that, in the words of the classics, “the situation is, to a certain extent, revolutionary” as “the upper classes cannot, and the lower classes do not want to live like this anymore”. So everything is in play, as “the future of the new world order is being shaped before our eyes.”

Way beyond a catchy slogan about the game the West is playing, “bloody, dangerous and dirty”, the address and Putin’s interventions at the subsequent Q&A should be analyzed as a coherent vision of past, present and future. Here we offer just a few of the highlights:

“The world is witnessing the degradation of world institutions, the erosion of the principle of collective security, the substitution of international law for ‘rules’”.

“Even at the height of the Cold War, nobody denied the existence of the culture and art of the Other. In the West, any alternative point of view is declared subversive.”

“The Nazis burned books. Now the Western fathers of ‘liberalism’ are banning Dostoevsky.”

“There are at least two ‘Wests’. The first is traditional, with a rich culture. The second is aggressive and colonial.”

“Russia has not and does not consider itself an enemy of the West.

Russia tried to build relations with the West and NATO – to live together in peace and harmony. Their response to all cooperation was simply ‘no’.”

“We do not need a nuclear strike on Ukraine, there is no point – neither political nor military.”

“In part” the situation between Russia and Ukraine can be considered a civil war: “When creating Ukraine, the Bolsheviks endowed it with primordially Russian territories – they gave it all of Little Russia, the entire Black Sea region, the entire Donbass. Ukraine evolved as an artificial state.”

Russia and China Haven’t Even Started to Ratchet Up the Pain Dial. Pepe Escobar

“Ukrainians and Russians are one people – this is a historical fact. Ukraine has evolved as an artificial state. The only country that can guarantee its sovereignty is the country which created it – Russia.”

“The unipolar world is coming to an end. The West is incapable of single-handedly ruling the world. The world stands at a historical milestone ahead of the most dangerous and important decade since World War II.”

“Humanity has two options – either we continue accumulating the burden of problems that is certain to crush all of us, or we can work together to find solutions.”

What do we do after the orgy?

Amidst a series of absorbing discussions, the heart of the matter at Valdai is its 2022 report, “A World Without Superpowers”.

The report’s central thesis – eminently correct – is that “the United States and its allies, in fact, no longer enjoy the status of dominant superpower, but the global infrastructure that serves it is still in place.”

Of course all major interconnected issues at the current crossroads were precipitated because” Russia became the first major power which, guided by its own ideas of security and fairness, chose to discard the benefits of ‘global peace’ created by the only superpower.”

Well, not exactly “global peace”; rather a Mafia-enforced ethos of “our way or the highway”. The report quite diplomatically characterizes the freezing of Russia’s gold and foreign currency reserves and the “mop up” of Russia’s property abroad as “Western jurisdictions”, “if necessary”, being “guided by political expediency rather than the law”.

That’s in fact outright theft, under the shadow of the “rules-based international order”.

The report – optimistically – foresees the advent of a sort of normalized “cold peace” as “the best available solution today” – acknowledging at least this is far from guaranteed, and “will not halt the fundamental rebuilding of the international system on new foundations.”

The foundation for evolving multipolarity has in fact been presented by the Russia-China strategic partnership only three weeks before imperially-ordered provocations forced Russia to launch the Special Military Operation (SMO).

In parallel, the financial lineaments of multipolarity had been proposed since at least July 2021, in a paper co-written by Professor Michael Hudson and Radhika Desai.

The Valdai report duly acknowledges the role of Global South medium-sized powers that “exemplify the democratization of international politics” and may “act as shock absorbers during periods of upheaval.” That’s a direct reference to the role of BRICS+ as key protagonists.

On the Big Picture across the chessboard, the analysis tends to get more realistic when it considers that “the triumph of ‘the only true idea’ makes effective dialogue and agreement with supporters of different views and values impossible by definition.”

Putin alluded to it several times in his address. There’s no evidence whatsoever the Empire and its vassals will be deviating from their normative, imposed, value-laden unilateralism.

As for world politics beginning to “rapidly return to a state of anarchy built on force”, that’s self-evident: only the Empire of Chaos wants to impose anarchy, as it completely ran out of geopolitical and geoeconomic tools to control rebel nations, apart from the sanctions tsunami.

So the report is correct when it identifies that the childish neo-Hegelian “end of history” wet dream in the end hit the wall of History: we’re back to the pattern of large scale conflicts between centers of power.

And it’s also a fact that “simply changing the ‘operator’ as it happened in earlier centuries” (as in the U.S. taking over from Britain) “just won’t work.”

China might harbor a desire to become the new sheriff, but the Beijing leadership definitely is not interested. And even if that happened the Hegemon would fiercely prevented it, as “the entire system” remains “under its control (primarily finance and the economy).”

So the only way out, once again, is multipolarity – which the report characterizes, rather vaguely, as “a world without superpowers”, still in need of “a system of self-regulation, which implies much greater freedom of action and responsibility for such actions.”

Stranger things have happened in History. As it stands, we are plunged deep into the maelstrom of complete collapse. Putin in fact did nail where we are: on the edge of a Revolution.

This article was first published by Strategic Culture Foundation

Note to readers: Please click the share buttons above. Follow us on Instagram and Twitter and subscribe to our Telegram Channel. Feel free to repost and share widely Global Research articles.

Pepe Escobar, born in Brazil, is a correspondent and editor-at-large at Asia Times and columnist for Consortium News and Strategic Culture. Since the mid-1980s he’s lived and worked as a foreign correspondent in London, Paris, Milan, Los Angeles, Singapore, Bangkok. He has extensively covered Pakistan, Afghanistan and Central Asia to China, Iran, Iraq and the wider Middle East. Pepe is the author of Globalistan – How the Globalized World is Dissolving into Liquid War; Red Zone Blues: A Snapshot of Baghdad during the Surge. He was contributing editor to The Empire and The Crescent and Tutto in Vendita in Italy. His last two books are Empire of Chaos and 2030. Pepe is also associated with the Paris-based European Academy of Geopolitics. When not on the road he lives between Paris and Bangkok.

He is a regular contributor to Global Research.

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Copyright © Pepe Escobar, Global Research, 2022

China: Xi Gets Ready for the Final Countdown

October 19, 2022

By Pepe Escobar

Global Research,

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***

President Xi Jinping’s 1h45min speech at the opening of the 20th Congress of the Communist Party of China (CPC) at the Great Hall of the People in Beijing was an absorbing exercise of recent past informing near future. All of Asia and all of the Global South should carefully examine it.

The Great Hall was lavishly adorned with bright red banners. A giant slogan hanging in the back of the hall read, “Long Live our great, glorious and correct party”.

Another one, below, functioned like a summary of the whole report:

“Hold high the great flag of socialism with Chinese characteristics, fully implement Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, carry forward the great founding spirit of the party, and unite and struggle to fully build a modern socialist country and to fully promote the great rejuvenation of the Chinese nation.”

True to tradition, the report outlined the CPC’s achievements over the past 5 years and China’s strategy for the next 5 – and beyond. Xi foresees “fierce storms” ahead, domestic and foreign. The report was equally significant for what was not spelled out, or left subtly implied.

Every member of the CPC’s Central Committee had already been briefed about the report – and approved it. They will spend this week in Beijing studying the fine print and will vote to adopt it on Saturday. Then a new CPC Central Committee will be announced, and a new Politburo Standing Committee – the 7 that really rule – will be formally endorsed.

This new leadership line-up will clarify the new generation faces that will be working very close to Xi, as well as who will succeed Li Keqiang as the new Prime Minister: he has finished his two terms and, according to the constitution, must step down.

There are also 2,296 delegates present at the Great Hall representing the CPC’s over 96 million members. They are not mere spectators: at the plenary session that ended last week, they analyzed in-depth every major issue, and prepared for the National Congress. They do vote on party resolutions – even as those resolutions are decided by the top leadership, and behind closed doors.

The key takeaways

Xi contends that in these past 5 years the CPC strategically advanced China while “correctly” (Party terminology) responding to all foreign challenges. Particularly key achievements include poverty alleviation, the normalization of Hong Kong, and progress in diplomacy and national defense.

It’s quite telling that Foreign Minister Wang Yi, who was sitting in the second row, behind the current Standing Committee members, never took his eyes off Xi, while others were reading a copy of the report on their desk.

Compared to the achievements, success of the Xi-ordered Zero-Covid policy remains highly debatable. Xi stressed that it has protected people’s lives. What he could not possibly say is that the premise of his policy is to treat Covid and its variants as a U.S. bioweapon directed against China. That is, a serious matter of national security that trumps any other consideration, even the Chinese economy.

Zero-Covid hit production and the job market extremely hard, and virtually isolated China from the outside world. Just a glaring example: Shanghai’s district governments are still planning for zero-Covid on a timescale of two years. Zero-Covid will not go away anytime soon.

A serious consequence is that the Chinese economy will most certainly grow this year by less than 3% – well below the official target of “around 5,5%”.

Now let’s look at some of the Xi report’s highlights.

Taiwan: Beijing has started “a great struggle against separatism and foreign interference” on Taiwan.

The Shape of Things to Come in China. A New Stage in Economic and Social Development

Hong Kong: It is now “administered by patriots, making it a better place.” In Hong Kong there was “a major transition from chaos to order.” Correct: the 2019 color revolution nearly destroyed a major global trade/finance center.

Poverty alleviation: Xi hailed it as one of three “major events” of the past decade along with the CPC’s centenary and socialism with Chinese characteristics entering a “new era”. Poverty alleviation is the core of one of the CPC’s “two centenary goals.”

Opening up: China has become “a major trading partner and a major destination for foreign investment.” That’s Xi refuting the notion that China has grown more autarchic. China will not engage in any kind of “expansionism” while opening up to the outside world. The basic state policy remains: economic globalization. But – he didn’t say it – “with Chinese characteristics”.

“Self-revolution”: Xi introduced a new concept. “Self-revolution” will allow China to escape a historical cycle leading to a downturn. And “this ensures the party will never change.” So it’s the CPC or bust.

Marxism: definitely remains as one of the fundamental guiding principles. Xi stressed, “We owe the success of our party and socialism with Chinese characteristics to Marxism and how China has managed to adapt it.”

Risks: that was the speech’s recurrent theme. Risks will keep interfering with those crucial “two centenary goals”. Number one goal was reached last year, at the CPC’s 100th anniversary, when China reached the status of a “moderately prosperous society” in all respects (xiaokang, in Chinese). Number two goal should be reached at the centenary of the People’s Republic of China in 2049: to “build a modern socialist country that is prosperous, strong, democratic, culturally advanced and harmonious.”

Development: the focus will be on “high-quality development”, including resilience of supply chains and the “dual circulation” economic strategy: expansion of domestic demand in parallel to foreign investment (mostly centered on BRI projects). That will be China’s top priority. So in theory any reforms will privilege a combination of “socialist market economy” and high-level opening, mixing the creation of more domestic demand with supply-side structural reform. Translation: “Dual-circulation” on steroids.

“Whole-process democracy”: that was the other new concept introduced by Xi. Translates as “democracy that works”, as in rejuvenating the Chinese nation under – what else – the CPC’s absolute leadership: “We need to ensure that people can exercise their powers through the People’s Congress system.”

Socialist culture: Xi said it’s absolutely essential “to influence young people”. The CPC must exercise ideological control and make sure the media fosters a generation of young people “who are influenced by traditional culture, patriotism and socialism”, thus benefitting “social stability”. The “China story” must go everywhere, presenting a China that is “credible and respectable”. That certainly applies to Chinese diplomacy, even the “Wolf Warriors”.

“Sinicise religion”: Beijing will continue its drive to “Sinicise religion”, as in “proactively” adapting “religion and the socialist society”. This campaign was introduced in 2015, meaning for instance that Islam and Christianity must be under CPC control and in line with Chinese culture.

The Taiwan pledge

Now we reach the themes that completely obsess the decaying Hegemon: the connection between China’s national interests and how they affect the civilization-state’s role in international relations.

National security: “National security is the foundation of national rejuvenation, and social stability is a prerequisite of national strength.”

The military: the PLA’s equipment, technology and strategic capability will be strengthened. It goes without saying that means total CPC control over the military.

“One country, two systems”: It has proven to be “the best institutional mechanism for Hong Kong and Macau and must be adhered to in the long term”. Both “enjoy high autonomy” and are “administered by patriots.” Xi promised to better integrate both into national strategies.

Taiwan reunification: Xi made a pledge to complete the reunification of China. Translation: return Taiwan to the motherland. That was met with a torrent of applause, leading to the key message, addressed simultaneously to the Chinese nation and “foreign interference” forces: “We will not renounce the use of force and will take all necessary measures to stop all separatist movements.” The bottom line: “The resolution of the Taiwan issue is a matter for the Chinese people themselves, to be decided by the Chinese people.”

It’s also quite telling that Xi did not even mention Xinjiang by name: only by implication, when he stressed that China must strengthen the unity of all ethnic groups. Xinjiang for Xi and the leadership mean industrialization of the Far West and a crucial node in BRI: not the object of an imperial demonization campaign. They know that the CIA destabilization tactics used in Tibet for decades did not work in Xinjiang.

Shelter from the storm

Now let’s unpack some of the variables affecting the very tough years ahead for the CPC.

When Xi mentioned “fierce storms ahead”, that’s what he thinks about 24/7: Xi is convinced the USSR collapsed because the Hegemon did everything to undermine it. He won’t allow a similar process to derail China.

In the short term, the “storm” may refer to the latest round of the no holds barred American war on Chinese technology – not to mention free trade: cutting China off from buying or manufacturing chips and components for supercomputers.

It’s fair to consider Beijing keeps the focus long-term, betting that most of the world, especially the Global South, will move away from the U.S. high tech supply chain and prefer the Chinese market. As the Chinese increasingly become self sufficient, U.S. tech firms will end up losing world markets, economies of scale, and competitiveness.

Xi also did not mention the U.S. by name. Everyone in the leadership – especially the new Politburo – is aware of how Washington wants to

“decouple” from China in every possible way and will continue to provocatively deploy every possible strand of hybrid war.

Xi did not enter into details during his speech, but it’s clear the driving force going forward will be technological innovation linked to a global vision. That’s where BRI comes in, again – as the privileged field of application for these tech breakthroughs.

Only this way we can understand how Zhu Guangyao, a former vice minister of finance, may be sure that per capita GDP in China in 2035 would at least double the numbers in 2019 and reach $20,000.

The challenge for Xi and the new Politburo right away is to fix China’s structural economic imbalance. And pumping up debt-financed “investment” all over again won’t work.

So bets can be made that Xi’s third term – to be confirmed later this week – will have to concentrate on rigorous planning and monitoring of implementation, much more than during his previous bold, ambitious, abrasive but sometimes disconnected years. The Politburo will have to pay way more attention to technical considerations. Xi will have to delegate more serious policymaking autonomy to a bunch of competent technocrats.

Otherwise, we will be back to that startling observation by then Premier Wen Jiabao in 2007: China’s economy is “unstable, unbalanced, uncoordinated and ultimately unsustainable”. That’s exactly where the Hegemon wants it to be.

As it stands, things are far from gloomy. The National Development and Reform Commission states that compared to the rest of the world, China’s consumer inflation is only “marginal”; the job market is steady; and international payments are stable.

Xi’s work report and pledges may also be seen as turning the usual Anglo-American geopolitical suspects – Mackinder, Mahan, Spykman, Brzezinski – upside down.

The China-Russia strategic partnership has no time to lose with global hegemonic games; what drives them is that sooner rather than later they will be ruling the Heartland – the world island – and beyond, with allies from the Rimland, and from Africa to Latin America, all participating in a new form of globalization. Certainly with Chinese characteristics; but most of all, pan-Eurasian characteristics. The final countdown is already on.

*

Note to readers: Please click the share buttons above or below. Follow us on Instagram and Twitter and subscribe to our Telegram Channel. Feel free to repost and share widely Global Research articles.

This article was originally published on Strategic Culture Foundation.

Pepe Escobar, born in Brazil, is a correspondent and editor-at-large at Asia Times and columnist for Consortium News and Strategic Culture. Since the mid-1980s he’s lived and worked as a foreign correspondent in London, Paris, Milan, Los Angeles, Singapore, Bangkok. He has extensively covered Pakistan, Afghanistan and Central Asia to China, Iran, Iraq and the wider Middle East. Pepe is the author of Globalistan – How the Globalized World is Dissolving into Liquid War; Red Zone Blues: A Snapshot of Baghdad during the Surge. He was contributing editor to The Empire and The Crescent and Tutto in Vendita in Italy. His last two books are Empire of Chaos and 2030. Pepe is also associated with the Paris-based European Academy of Geopolitics. When not on the road he lives between Paris and Bangkok.

He is a regular contributor to Global Research.

Featured image is from The Ron Paul Institute for Peace and Prosperity

The original source of this article is Global Research

Copyright © Pepe Escobar, Global Research, 2022

Why India is arming Armenia against Azerbaijan

Trade routes and national security interests in the South Caucasus are central to New Delhi’s decision to arm Armenia

October 15 2022

Photo Credit: The Cradle

By Yeghia Tashjian

After the 2020 Nagorno-Karabakh war and the shift in the South Caucasus balance of power toward Turkey, India has expressed concern that its vision to connect Europe and Russia to its Indian ports through the International North-South Transport Corridor (INSTC) could be jeopardized.

From New Delhi’s perspective, the increase of Turkish influence in the region is particularly troublesome given its arch-enemy Pakistan’s excellent ties with Ankara, and Islamabad’s support of Baku during the Nagarno-Karabakh war.

It was within this context that India joined Iran to send harsh diplomatic messages to Azerbaijan during the conflict. On several occasions, New Delhi called on Baku to pull back its forces from Armenia “immediately” and refrain from further provocation.

These concerns became all the more pressing when following its victory in the war, Azerbaijan launched an incursion on Armenia’s sovereign territory in May 2021 – and again in September 2022 – by attacking Armenian bordering villages killing more than 200 soldiers and civilians.

When Baku launched the September attack, Arindam Bagchi, the spokesperson of India’s Ministry of External Affairs, weighed in, urging “peace and stability in the South Caucasus region” as vital from a “regional security perspective.”

Similarly, on 15 September, after Azerbaijan’s attack on Armenia, India’s representative to the UNSC meeting called on the “aggressor to immediately cease hostilities.”

India fills the Russian vacuum

The reason behind India’s unease over continued instability in the region is largely over fears that it may threaten the security of the INSTC, where both India and Iran are encouraging Armenia to play an important role connecting the Persian Gulf to the Black Sea.

Concerned that the budding Turkish-Azerbaijani-Pakistani axis would endanger its grand connectivity project and become more assertive in other regions such as Kashmir, India stepped in to fill the void left by Russia’s Ukraine-distraction to secure its regional geopolitical and geo-economic interests by striking an arms trade with Yerevan.

While Armenia had shown interest in Indian military hardware prior to the 2020 Nagarno-Karabakh war, it was only in that year that Yerevan stepped up to sign a $40 million arms deal with New Delhi for the supply of four SWATHI weapons detection radars.

The radar system has been designed to the specifications of the Indian Army: to track incoming artillery shells, mortars, and rockets and provide pinpoint locations of enemy launchers and positions.

Since June 2022, rumors had swirled that Armenia was quietly negotiating the purchase of Indian drones, anti-drone air defense systems, and rocket launchers. The speculation was confirmed in late September when Indian media reported that New Delhi will be exporting missiles, rockets, ammunition, anti-tank missiles (ATGM), and the indigenous Pinaka multi-barrel rocket launcher (MBRL) system to Armenia.

These weapons alone are not sufficient to boost Armenia’s defense capabilities: both the Pinaka MBRL system and the ATGM are unable to combat the Turkish or Israeli-made drones in Baku’s arsenal, as Armenia lacks proper air defense mechanisms.

Indian military experts and former generals argue that the Pinaka alone is not sufficient as Armenia needs “BrahMos” and “Akash” missiles to “break the opponents’ teeth.”

“In war, hammers aren’t the right way ahead to kill flies. One must carry out a threat assessment, after which the correct weapons can be chosen. A ‘transparent’ battlefield allows wise choices to be made. An Indian assessment team could identify the real battlefield problems and then suggest what India could provide at a reasonable cost.”

Defense against drones

This argument correctly assesses the outcome of the 2020 war in which Turkish Bayraktar drones decimated entire Armenian tank columns and rocket launchers, as Yerevan lacked an air defense system to hinder the drone attacks.

These experts argue that Armenia should therefore seek to purchase India’s indigenous “Akash” missile system, a surface-to-air system has been proven to successfully intercept drones and aircraft, which would enhance Armenia’s immunity against future drone operations.

Nevertheless, such improvements would still not be enough to significantly alter the regional balance of power.

Furthermore, Israel, a country heavily invested in Indian defense capabilities, may also have a say in some of these arms exports. Tel Aviv’s close relationship with Azerbaijan to counter Iran in the South Caucasus may ultimately prevent or restrict the sale of heavy weapons to Armenia.

What’s behind the arms deal?

After the 2020 war, Armenia became politically and economically isolated in the region. Yerevan’s failure to seize the opportunity presented by China’s Belt and Road Initiative (BRI) – largely due to poor infrastructure – left out a major Asian power that could have invested heavily, both politically and economically, in the country. 

Instead, in India, Yerevan has found a means to diversify its economic and political ties – a prudent move, as India views Beijing’s BRI initiative as a rival project to its INSTC.

On another front, Beijing is also advancing its Middle Corridor (also known as the Trans-Caspian International Transport Route, or TITR), connecting mainland China with Central Asia via Kazakhstan, and then onto Azerbaijan, Georgia, and Turkey, before heading to Europe. This corridor is also crucial for Europe as it bypasses Russia.

The importance of this corridor became significant as Azerbaijan and Turkey began pressuring Armenia to give up its southern border with Iran and establish the strategic Zangezur Corridor where Azerbaijan would be directly linked to Turkey.

This alarmed both Iran and India, who realized that their mutual geo-economic interests would be threatened along their north-south trade routes.

For this reason, Tehran and New Delhi began to actively urge Yerevan’s participation in the INSTC and the Iranian-backed Black Sea – Persian Gulf Transport Corridor initiatives. Among the benefits of joining the INSTC, Armenia will have transport access to the Iranian Chabahar Port, the Persian Gulf, and Indian markets.

Beyond business

Geopolitical considerations also factor into India’s growing presence in the region. Pranab Dhal Samanra opined in India’s Economic Times that New Delhi cannot ignore the dangerous adventures of the “three Brothers” (Azerbaijan, Turkey, and Pakistan) in Armenia and elsewhere.

The author argues that Turkey and Azerbaijan have always supported Pakistan against India over the issue of Kashmir, and in return, Pakistan has fully-backed Azerbaijan in its war with Armenia over Nagorno-Karabakh.

According to Samanra, if this axis is cemented in the South Caucasus it will move southwards and the “three brothers” will act jointly in other theaters – including ‘Pakistan-occupied Kashmir’ – given their “existing political understanding on the subject.”

India is also concerned that Pakistan may bring China into this axis, which will undermine India’s national security. Hence, it is in “India’s interest that Armenia puts up a stand and not be trampled upon because of a power vacuum (in South Caucasus) caused by Russia’s preoccupation in Ukraine.”

Countering Baku or proxy against Pakistan?

Both India and Armenia stand to benefit from these arms deals. If the Indian weapons prove effective in battle, it could boost India’s prestige in the global defense industry and increase interest by other states to procure arms from New Delhi.

Moreover, by arming Armenia, India can use the country as a deterrent force against the emerging Turkish-Azerbaijani-Pakistani axis. Aside from Afghanistan, Armenia will be the first near-abroad counterweight against Islamabad’s activities deemed to pose a threat to India’s security interests.

By strengthening its current ties with New Delhi, Armenia can become a strategically significant partner for India, where the latter can establish commercial and defense hubs for joint Armenian-Iranian-Indian goods to be exported to Russia and Europe.

Armenia, firmly embedded within Russia’s sphere of influence, will serve as an additional advantage for India, as this flourishing partnership would further boost India’s north-south economic corridor in the South Caucasus.

The views expressed in this article do not necessarily reflect those of The Cradle.

The real US agenda in Africa is hegemony

September 21, 2022

by Pepe Escobar, first published at The Cradle and posted with the author’s permission

Forget development. Washington’s primary interest in Africa today is keeping the Chinese and Russians out.

In a rational environment, the 77th session of the UN General Assembly (UNGA) would discuss alleviating the trials and tribulations of the Global South, especially Africa.

That won’t be the case. Like a deer caught in the geopolitical headlights, UN Secretary-General Antonio Guterres issued platitudes about a gloomy “winter of global discontent,” even as the proverbial imperial doomsayers criticized the UN’s “crisis of faith” and blasted the “unprovoked war” started by Russia.

Of course the slow-motion genocide of Donbass russophone residents for eight years would never be recognized as a provocation.

Guterres spoke of Afghanistan, “where the economy is in ruins and human rights are being trampled” – but he did not dare to offer context. In Libya, “divisions continue to jeopardize the country” – once again, no context. Not to mention Iraq, where “ongoing tensions threaten ongoing stability.”

Africa has 54 nations as UN members. Any truly representative UNGA meeting should place Africa’s problems at the forefront. Once again, that’s not the case. So it is left to African leaders to offer that much-needed context outside of the UN building in New York.

As the only African member of the G20, South African President Cyril Ramaphosa recently urged the US not to “punish” the whole continent by forcing nations to demonize or sanction Russia. Washington’s introduction of legislation dubbed the Countering Malign Russian Activities in Africa Act, he says, “will harm Africa and marginalize the continent.”

South Africa is a BRICS member – a concept that is anathema in the Beltway – and embraces a policy of non-alignment among world powers. An emerging 21st century version of the 1960s Non-Aligned Movement (NAM) is strengthening across the Global South – and especially Africa – much to the revulsion of the US and its minions.

Back at the UNGA, Guterres invoked the global fertilizer crisis – again, with no context. Russian diplomacy has repeatedly stressed that Moscow is ready to export 30 million tons of grain and over 20 million tons of fertilizer by the end of 2022. What is left unsaid in the west, is that only the importation of fertilizers to the EU is “allowed,” while transit to Africa is not.

Guterres said he was trying to persuade EU leaders to lift sanctions on Russian fertilizer exports, which directly affect cargo payments and shipping insurance. Russia’s Uralchem, for instance, even offered to supply fertilizers to Africa for free.

Yet from the point of view of the US and its EU vassals, the only thing that matters is to counter Russia and China in Africa. Senegal’s President Macky Sall has remarked how this policy is leaving “a bitter taste.”

‘We forbid you to build your pipeline’

It gets worse. The largely ineffectual EU Parliament now wants to stop the construction of the 1,445 km-long East African Crude Oil Pipeline (EACOP) from Uganda to Tanzania, invoking hazy human rights violations, environmental threats, and “advising” member countries to simply drop out of the project.

Uganda is counting on more than 6 billion barrels of oil to sustain an employment boom and finally move the nation to middle-income status. It was up to Ugandan Parliament Deputy Speaker Thomas Tayebwa to offer much-needed context:

“It is imprudent to say that Uganda’s oil projects will exacerbate climate change, yet it is a fact that the EU block with only 10 percent of the world’s population is responsible for 25 percent of global emissions, and Africa with 20 percent of the world’s population is responsible for 3 percent of emissions. The EU and other western countries are historically responsible for climate change. Who then should stop or slow down the development of natural resources? Certainly not Africa or Uganda.”

The EU Parliament, moreover, is a staunch puppet of the biofuel lobby. It has refused to amend a law that would have stopped the use of food crops for fuel production, actually contributing to what the UN Food Program has described as “a global emergency of unprecedented magnitude.” No less than 350 million people are on the brink of starvation across Africa.

Instead, the G7’s notion of “helping” Africa is crystallized in the US-led Build Back Better World (B3W) – Washington’s anaemic attempt to counter Beijing’s ambitious Belt and Road Initiative (BRI) – which focuses on “climate, health and health security, digital technology, and gender equity and equality,” according to the White House. Practical issues of infrastructure and sustainable development, which are at the heart of China’s plan, are simply ignored by the B3W.

Initially, a few “promising” projects were identified by a traveling US delegation in Senegal and Ghana. Senegalese diplomatic sources have since confirmed that these projects have nothing whatsoever to do with building infrastructure.

B3W, predictably, fizzled out. After all, the US-led project was little more than a public relations gimmick to undermine the Chinese, with negligible effect on narrowing the $40-plus trillion worth of infrastructure needed to be built across the Global South by 2035.

Have YALI, will travel

Imperial initiatives in Africa – apart from the US military’s Africa Command (AFRICOM), which amounts to raw militarization of the continent – brings us to the curious case of YALI (Young African Leaders Initiative), widely touted in the Washington-New York axis as “the most innovative” policy of the Obama years.

Launched in 2010, YALI was framed as “empowering the new generation of Africa leadership” – a euphemism for educating (or brainwashing) them the American way. The mechanism is simple: investing in and bringing hundreds of young African potential leaders to US universities for a short, six-week “training” on “business, civil leadership, entrepreneurship, and public management.” Then, four days in Washington to meet “leaders in the administration,” and a photo op with Obama.

The project was coordinated by US embassies in Africa, and targeted young men and women from sub-Saharan Africa’s 49 nations – including those under US sanctions, like Sudan, Eritrea, and Zimbabwe – proficient in English, with a “commitment” to return to Africa. Roughly 80 percent during the initial years had never been to the US, and more than 50 percent grew up outside of big cities.

Then, in a speech in 2013 in South Africa, Obama announced the establishment of the Washington Fellowship, later renamed the Mandela-Washington Fellowship (MWF).

That’s still ongoing. In 2022, MWF should be granted to 700 “outstanding young leaders from sub-Saharan Africa,” who follow “Leadership Institutes” at nearly 40 US universities, before their short stint in Washington. After which, they are ready for “long-term engagement between the United States and Africa.”

And all that for literally peanuts, as MWF was enthusiastically billed by the Democrat establishment as cost-efficient: $24,000 per fellow, paid by participant US universities as well as Coca-Cola, IBM, MasterCard Foundation, Microsoft, Intel, McKinsey, GE, and Procter & Gamble.

And that didn’t stop with MWF. USAID went a step further, and invested over $38 million – plus $10 million from the MasterCard Foundation – to set up four Regional Leadership Centers (RLCs) in South Africa, Kenya, Ghana, and Senegal. These were training, long distance and in-class, at least 3,500 ‘future leaders’ a year.

It’s no wonder the Brookings Institution was drooling over so much “cost-efficiency” when it comes to investing “in Africa’s future” and for the US to “stay competitive” in Africa. YALI certainly looks prettier than AFRICOM.

A few success stories though don’t seem to rival the steady stream of African footballers making a splash in Europe – and then reinvesting most of their profits back home. The Trump years did see a reduction of YALI’s funding – from $19 million in 2017 to roughly $5 million.

So many leaders to ‘train’

Predictably, the Joe Biden White House YALI-ed all over again with a vengeance. Take this US press attache in Nigeria neatly outlining the current emphasis on “media and information literacy,” badly needed to tackle the “spreading of disinformation” including “in the months leading up to the national presidential election.”

So the US, under YALI, “trained 1,000 young Nigerians to recognize the signs of online and media misinformation and disinformation.” And now the follow-up is “Train the Trainer” workshops, “teaching 40 journalists, content creators, and activists (half of whom will be women) from Yobe, Borno, Adamawa, Zamfara, and Katsina how to identify, investigate, and report misinformation.” Facebook, being ordered by the FBI to censor “inconvenient,” potentially election-altering facts, is not part of the curriculum.

YALI is the soft, Instagrammed face of AFRICOM. The US has participated in the overthrow of several African governments over the past two decades, with troops trained under secrecy-obsessed AFRICOM. There has been no serious Pentagon audit on the weaponizing of AFRICOM’s local “partners.” For all we know – as in Syria and Libya – the US military could be arming even more terrorists.

And predictably, it’s all bipartisan. Rabid neo-con and former Trump national security adviser John Bolton, in December 2018, at the Heritage Foundation, made it crystal clear: the US in Africa has nothing to do with supporting democracy and sustainable development. It’s all about countering Russia and China.

When it learned that Beijing was considering building a naval base in oil-rich Equatorial Guinea, the Biden White House sent power envoys to the capital Malabo to convince the government to cease and desist. To no avail.

In contrast, Russian Foreign Minister Sergei Lavrov was received like a superstar in his recent extensive tour of Africa, where it’s widely perceived that global food prices and the fertilizer drama are a direct consequence of western sanctions on Russia. Uganda leader Yoweri Museveni went straight to the point when he said, “How can we be against somebody who has never harmed us?”

On 13-15 December, the White House plans a major US-Africa Leaders Summit in Washington to discuss mostly food security and climate change – alongside the perennial lectures on democracy and human rights. Most leaders won’t be exactly impressed with this new showing of “the United States’ enduring commitment to Africa.” Well, there’s always YALI. So many young leaders to indoctrinate, so little time.

Full text of Xi’s speech at SCO Samarkand summit

September 17, 2022

SAMARKAND, Uzbekistan, Sept. 16 (Xinhua) — Chinese President Xi Jinping delivered a speech at the 22nd meeting of the Council of Heads of State of the Shanghai Cooperation Organization (SCO) here on Friday.

The following is the full text of the speech:

Ride on the Trend of the Times and Enhance Solidarity and Cooperation to Embrace a Better Future
Statement by H.E. Xi Jinping
President of the People’s Republic of China
At the 22nd Meeting of the Council of Heads of State of The Shanghai Cooperation Organization
Samarkand, Sept. 16, 2022

(Emphasis added by me, Andrei)

Your Excellency President Shavkat Mirziyoyev,

Colleagues,

I am delighted to attend the meeting of the Council of Heads of State of the Shanghai Cooperation Organization (SCO). I would like to thank you, President Mirziyoyev, for your warm hospitality and thoughtful arrangements. I salute Uzbekistan for the great job it has done to promote SCO cooperation in various fields during its presidency over the past year.

Samarkand, renowned as the pearl on the Silk Road, witnessed the glory of the ancient Silk Road, a route that greatly boosted the flow of goods, spread of science and technology, interaction of ideas, and integration of diverse cultures on the Eurasian continent. Indeed, the ancient Silk Road has remained a historical source of inspiration for us SCO member states as we pursue peace and development.

This year marks the 20th anniversary of the SCO Charter and 15th anniversary of the Treaty on Long-Term Good-Neighborliness, Friendship and Cooperation Between the SCO Member States. Over the years, guided by these two founding documents, we have succeeded in exploring a new path for the development of international organizations, and there is much we can draw on from SCO’s rich practices.

— Political trust. Guided by the vision of forging enduring friendship and peace among the SCO member states, we respect each other’s core interests and choice of development path and support each other in achieving peace, stability, development and rejuvenation.

— Win-win cooperation. We accommodate each other’s interests, stay true to the principle of consultation and cooperation for shared benefits, enhance synergy between our respective development strategies, and keep to the path of win-win cooperation toward common prosperity.

— Equality between nations. We are committed to the principle of equality among all countries regardless of their size, consensus-based decision-making, and addressing issues through friendly consultations. We reject the practice of the strong bullying the weak or the big bullying the small.

— Openness and inclusiveness. We stand for harmonious coexistence and mutual learning between different countries, nations and cultures, dialogue between civilizations and seeking common ground while shelving differences. We are ready to establish partnership and develop win-win cooperation with other countries and international organizations that share our vision.

— Equity and justice. We are committed to the purposes and principles of the UN Charter; we tackle major international and regional issues on the basis of their merits, and oppose the pursuit of one’s own agenda at the expense of other countries’ legitimate rights and interests.

These five points fully embody the Shanghai Spirit, namely, mutual trust, mutual benefit, equality, consultation, respect for diversity of civilizations and pursuit of common development. It has been shown that this spirit is the source of strength for the development of the SCO. It is also the fundamental guide we must continue to follow in the years to come. We owe SCO’s remarkable success to the Shanghai Spirit. And we will continue to follow its guidance as we forge ahead.

Colleagues,

Human society, like the natural world, has both sunny and rainy days in its development. Our world today is undergoing accelerating changes unseen in a century, and it has entered a new phase of uncertainty and transformation. The once-in-a-century pandemic has continued unabated. Regional conflicts keep flaring up. The Cold War mentality and group politics are resurfacing, so are unilateralism and protectionism. Economic globalization has encountered headwinds. Deficit in peace, development, trust, and governance has grown. Human society has reached a crossroads and faces unprecedented challenges.

Under these new conditions, the SCO, as an important constructive force in international and regional affairs, should keep itself well-positioned in the face of changing international dynamics, ride on the trend of the times, strengthen solidarity and cooperation and build a closer SCO community with a shared future.

First, we need to enhance mutual support. We should strengthen high-level exchanges and strategic communication, deepen mutual understanding and political trust, and support each other in our efforts to uphold security and development interests. We should guard against attempts by external forces to instigate “color revolution,” jointly oppose interference in other countries’ internal affairs under any pretext, and hold our future firmly in our own hands.

Second, we need to expand security cooperation. A proverb in Uzbekistan goes to the effect that “With peace, a country enjoys prosperity, just as with rain, the land can flourish.” The Global Security Initiative put forward by China is to address the peace deficit and global security challenges. It calls on all countries to stay true to the vision of common, comprehensive, cooperative and sustainable security and build a balanced, effective and sustainable security architecture. We welcome all stakeholders to get involved in implementing this initiative.

We should continue to carry out joint anti-terrorism exercises, crack down hard on terrorism, separatism and extremism, drug trafficking as well as cyber and transnational organized crimes; and we should effectively meet the challenges in data security, biosecurity, outer space security and other non-traditional security domains. China is ready to train 2,000 law enforcement personnel for SCO member states in the next five years, and establish a China-SCO base for training counter-terrorism personnel, so as to enhance capacity-building for law enforcement of SCO member states.

We should ensure that the SCO-Afghanistan contact group and the mechanism of coordination and cooperation among Afghanistan’s neighbors continue to play their roles; and we should encourage Afghan authorities to establish a broadly-based and inclusive political structure and remove the ground that breeds terrorism.

Third, we need to deepen practical cooperation. To deliver a better life for people of all countries in the region is our shared goal. The Global Development Initiative launched by China aims to focus global attention on development, foster global development partnership, and achieve more robust, greener and more balanced global development. China is ready to work with all other stakeholders to pursue this initiative in our region to support the sustainable development of regional countries.

We need to implement the two statements on safeguarding international energy and food security to be adopted by this summit and better protect energy and food security. China will provide developing countries in need with emergency humanitarian assistance of grain and other supplies worth 1.5 billion RMB yuan.

We welcome the Comprehensive Plan for the Implementation of the SCO Treaty on Long-Term Good-Neighborliness, Friendship and Cooperation for 2023-2027 to be adopted at this summit. We should fully implement the cooperation documents in such areas as trade and investment, infrastructure building, protecting supply chains, scientific and technological innovation and artificial intelligence to be adopted within the framework of the summit. It is important to continue our efforts to achieve the complementarity of the Belt and Road Initiative with national development strategies and regional cooperation initiatives, expand sub-multilateral cooperation and sub-regional cooperation, and create more growth drivers in cooperation.

We need to ensure implementation of the roadmap for SCO member states to expand shares of local currency settlement, better develop the system for cross-border payment and settlement in local currencies, work for the establishment of an SCO development bank, and thus speed up regional economic integration. Next year, China will host an SCO ministers’ meeting on development cooperation and an industrial and supply chains forum, and will set up the China-SCO Big Data Cooperation Center to create new engines of common development. China stands ready to carry out space cooperation with all other parties and provide satellite data service to support them in agricultural development, connectivity and disaster mitigation and relief.

Fourth, we need to enhance people-to-people and cultural exchanges. Exchanges promote integration among civilizations, which, in turn, enables civilizations to advance. We should deepen cooperation in such areas as education, science and technology, culture, health, media, radio and television, ensure the continued success of signature programs such as the youth exchange camp, the women’s forum, the forum on people-to-people friendship and the forum on traditional medicine, and support the SCO Committee on Good-Neighborliness, Friendship and Cooperation and other non-official organizations in playing their due roles. China will build a China-SCO ice and snow sports demonstration zone and host the SCO forums on poverty reduction and sustainable development and on sister cities next year. In the next three years, China will carry out 2,000 free cataract operations for SCO member states and provide 5,000 human resources training opportunities for them.

Fifth, we need to uphold multilateralism. Obsession with forming a small circle can only push the world toward division and confrontation. We should remain firm in safeguarding the UN-centered international system and the international order based on international law, practice the common values of humanity and reject zero-sum game and bloc politics. We should expand SCO’s exchanges with other international and regional organizations such as the UN, so as to jointly uphold true multilateralism, improve global governance, and ensure that the international order is more just and equitable.

Colleagues,

The Eurasian continent is home to us all. Upholding its peace and development is the shared goal of countries both in our region and the world at large, and the SCO shoulders an important responsibility in meeting this goal. In recent years, an increasing number of countries have applied to join our SCO family. This fully demonstrates the power of SCO’s vision and the widely shared confidence in its future. By promoting the development and expansion of the SCO and giving full play to its positive impact, we will create strong momentum and new dynamism for ensuring durable peace and common prosperity of the Eurasian continent and the whole world. China supports advancing SCO expansion in an active yet prudent manner, and this includes going through the procedure to admit Iran as a member state, launching the procedure for Belarus’ accession, admitting Bahrain, the Maldives, the United Arab Emirates, Kuwait and Myanmar as dialogue partners, and granting the relevant applying countries the legal status due to them. We need to seize the opportunity to build consensus, deepen cooperation and jointly create a bright future for the Eurasian continent.

Here I wish to express China’s congratulations to India on assuming the next SCO presidency. We will, together with other member states, support India during its presidency.

Colleagues,

This year, facing a complex and challenging development environment both at home and abroad, China has stayed committed to the general principle of making advances while maintaining stable performance, and it has striven to ensure both effective COVID-19 containment, economic stability and development security. We have continued to respond to COVID-19 and promote economic and social development in a well-coordinated way. Thus, to the greatest extent possible, we have both safeguarded the life and health of the people and ensured overall economic and social development. The fundamentals of China’s economy, characterized by strong resilience, enormous potential, ample room for policy adjustment and long-term sustainability, will remain sound. This will greatly boost the stability and recovery of the world economy and provide more market opportunities for other countries.

Next month, the Communist Party of China will convene its 20th National Congress. It will be an important meeting to be held at a critical time as China embarks on a new journey toward its second centenary goal of building a modern socialist country in all respects. At this national congress, the Communist Party of China will fully review the major achievements made and valuable experience gained in China’s reform and development endeavors. It will also formulate programs of action and overarching policies to meet China’s new development goals on the journey ahead in the new era and the new expectations of the people. We will continue to follow the Chinese path to modernization to achieve the rejuvenation of the Chinese nation, and we will continue to promote the building of a community with a shared future for mankind. By doing so, we will create new opportunities for the world with new advances in China’s development and contribute our vision and strength to world peace and development and human progress.

Colleagues,

Long as the journey is, we will surely reach our destination when we stay the course. Let us act in the Shanghai Spirit, work for the steady development of the SCO, and jointly build our region into a peaceful, stable, prosperous and beautiful home!

Thank you

Source

‘Samarkand Spirit’ to be driven by ‘responsible powers’ Russia and China

The SCO summit of Asian power players delineated a road map for strengthening the multipolar world

September 16 2022

Photo Credit: The Cradle

By Pepe Escobar

Amidst serious tremors in the world of geopolitics, it is so fitting that this year’s Shanghai Cooperation Organization (SCO) heads of state summit should have taken place in Samarkand – the ultimate Silk Road crossroads for 2,500 years.

When in 329 BC Alexander the Great reached the then Sogdian city of Marakanda, part of the Achaemenid empire, he was stunned: “Everything I have heard about Samarkand it’s true, except it is even more beautiful than I had imagined.”

Fast forward to an Op-Ed by Uzbekistan’s President Shavkat Mirziyoyev published ahead of the SCO summit, where he stresses how Samarkand now “can become a platform that is able to unite and reconcile states with various foreign policy priorities.”

After all, historically, the world from the point of view of the Silk Road landmark has always been “perceived as one and indivisible, not divided. This is the essence of a unique phenomenon – the ‘Samarkand spirit’.”

And here Mirziyoyev ties the “Samarkand Spirit” to the original SCO “Shanghai Spirit” established in early 2001, a few months before the events of September 11, when the world was forced into strife and endless war, almost overnight.

All these years, the culture of the SCO has been evolving in a distinctive Chinese way. Initially, the Shanghai Five were focused on fighting terrorism – months before the US war of terror (italics mine) metastasized from Afghanistan to Iraq and beyond.

Over the years, the initial “three no’s” – no alliance, no confrontation, no targeting any third party – ended up equipping a fast, hybrid vehicle whose ‘four wheels’ are ‘politics, security, economy, and humanities,’ complete with a Global Development Initiative, all of which contrast sharply with the priorities of a hegemonic, confrontational west.

Arguably the biggest takeaway of this week’s Samarkand summit is that Chinese President Xi Jinping presented China and Russia, together, as “responsible global powers” bent on securing the emergence of multipolarity, and refusing the arbitrary “order” imposed by the United States and its unipolar worldview.

Russian Foreign Minister Sergey Lavrov pronounced Xi’s bilateral conversation with President Vladimir Putin as “excellent.” Xi Jinping, previous to their meeting, and addressing Putin directly, had already stressed the common Russia-China objectives:

“In the face of the colossal changes of our time on a global scale, unprecedented in history, we are ready with our Russian colleagues to set an example of a responsible world power and play a leading role in order to put such a rapidly changing world on the trajectory of sustainable and positive development.”

Later, in the preamble to the heads of state meeting, Xi went straight to the point: it is important to “prevent attempts by external forces to organize ‘color revolutions’ in the SCO countries.” Well, Europe wouldn’t be able to tell, because it has been color-revolutionized non-stop since 1945.

Putin, for his part, sent a message that will be ringing all across the Global South: “Fundamental transformations have been outlined in world politics and economics, and they are irreversible.” (italics mine)

Iran: it’s showtime

Iran was the guest star of the Samarkand show, officially embraced as the 9th member of the SCO. President Ebrahim Raisi, significantly, stressed before meeting Putin that “Iran does not recognize sanctions against Russia.” Their strategic partnership will be enhanced. On the business front, a hefty delegation comprising leaders of 80 large Russian companies will be visiting Tehran next week.

The increasing Russia-China-Iran interpolation – the three top drivers of Eurasia integration – scares the hell out of the usual suspects, who may be starting to grasp how the SCO represents, in the long run, a serious challenge to their geoeconomic game. So, as every grain of sand in every Heartland desert is already aware, the geopolitical pressure against the trio will increase exponentially.

And then there was the mega-crucial Samarkand trilateral: Russia-China-Mongolia. There were no official leaks, but this trio arguably discussed the Power of Siberia-2 gas pipeline – the interconnector to be built across Mongolia; and Mongolia’s enhanced role in a crucial Belt and Road Initiative (BRI) connectivity corridor, now that China is not using the Trans-Siberian route for exports to Europe because of sanctions.

Putin briefed Xi on all aspects of Russia’s Special Military Operation (SMO) in Ukraine, and arguably answered some really tough questions, many of them circulating wildly on the Chinese web for months now.

Which brings us to Putin’s presser at the end of the summit – with virtually all questions predictably revolving around the military theater in Ukraine.

The key takeaway from the Russian president: “There are no changes on the SMO plan. The main tasks are being implemented.” On peace prospects, it is Ukraine that “is not ready to talk to Russia.” And overall, “it is regrettable that the west had the idea to use Ukraine to try to collapse Russia.”

On the fertilizer soap opera, Putin remarked, “food supply, energy supply, they (the west) created these problems, and now are trying to resolve them at the expense of someone else” – meaning the poorest nations. “European countries are former colonial powers and they still have this paradigm of colonial philosophy. The time has come to change their behavior, to become more civilized.”

On his meeting with Xi Jinping: “It was just a regular meeting, it’s been quite some time we haven’t had a meeting face to face.” They talked about how to “expand trade turnover” and circumvent the “trade wars caused by our so-called partners,” with “expansion of settlements in national currencies not progressing as fast as we want.”

Strenghtening multipolarity

Putin’s bilateral with India’s Prime Minister Narendra Modi could not have been more cordial – on a “very special friendship” register – with Modi calling for serious solutions to the food and fuel crises, actually addressing the west. Meanwhile, the State Bank of India will be opening special rupee accounts to handle Russia-related trade.

This is Xi’s first foreign trip since the Covid pandemic. He could do it because he’s totally confident of being awarded a third term during the Communist Party Congress next month in Beijing. Xi now controls and/or has allies placed in at least 90 percent of the Politburo.

The other serious reason was to recharge the appeal of BRI in close connection to the SCO. China’s ambitious BRI project was officially launched by Xi in Astana (now Nur-Sultan) nine years ago. It will remain the overarching Chinese foreign policy concept for decades ahead.

BRI’s emphasis on trade and connectivity ties in with the SCO’s evolving multilateral cooperation mechanisms, congregating nations focusing on economic development independent from the hazy, hegemonic “rules-based order.” Even India under Modi is having second thoughts about relying on western blocs, where New Delhi is at best a neo-colonized “partner.”

So Xi and Putin, in Samarkand, for all practical purposes delineated a road map for strengthening multipolarity – as stressed by the final  Samarkand declaration  signed by all SCO members.

The Kazakh puzzle 

There will be bumps on the road aplenty. It’s no accident that Xi started his trip in Kazakhstan – China’s mega-strategic western rear, sharing a very long border with Xinjiang. The tri-border at the dry port of Khorgos – for lorries, buses and trains, separately – is quite something, an absolutely key BRI node.

The administration of President Kassym-Jomart Tokayev in Nur-Sultan (soon to be re-named Astana again) is quite tricky, swinging between eastern and western political orientations, and infiltrated by Americans as much as during the era of predecessor Nursultan Nazarbayev, Kazakhstan’s first post-USSR president.

Earlier this month, for instance, Nur-Sultan, in partnership with Ankara and British Petroleum (BP) – which virtually rules Azerbaijan – agreed to increase the volume of oil on the Baku-Tblisi-Ceyhan (BTC) pipeline to up to 4 million tons a month by the end of this year. Chevron and ExxonMobil, very active in Kazakhstan, are part of the deal.

The avowed agenda of the usual suspects is to “ultimately disconnect the economies of Central Asian countries from the Russian economy.” As Kazakhstan is a member not only of the Russian-led Eurasia Economic Union (EAEU), but also the BRI, it is fair to assume that Xi – as well as Putin – discussed some pretty serious issues with Tokayev, told him to grasp which way the wind is blowing, and advised him to keep the internal political situation under control (see the aborted coup in January, when Tokayev was de facto saved by the Russian-led Collective Security Treaty Organization [CSTO]).

There’s no question Central Asia, historically known as a “box of gems” at the center of the Heartland, striding the Ancient Silk Roads and blessed with immense natural wealth – fossil fuels, rare earth metals, fertile agrarian lands – will be used by the usual suspects as a Pandora’s box, releasing all manner of toxic tricks against legitimate Eurasian integration.

That’s in sharp contrast with West Asia, where Iran in the SCO will turbo-charge its key role of crossroads connectivity between Eurasia and Africa, in connection with the BRI and the International North-South Transportation Corridor (INSTC).

So it’s no wonder that the UAE, Bahrain and Kuwait, all in West Asia, do recognize which way the wind is blowing. The three Persian Gulf states received official SCO ‘partner status’ in Samarkand, alongside the Maldives and Myanmar.

A cohesion of goals

Samarkand also gave an extra impulse to integration along the Russian-conceptualized Greater Eurasia Partnership  – which includes the Eurasian Economic Union (EAEU) – and that, just two weeks after the game-changing Eastern Economic Forum (EEF) held in Vladivostok, on Russia’s strategic Pacific coast.

Moscow’s priority at the EAEU is to implement a union-state with Belarus (which looks bound to become a new SCO member before 2024), side-by-side with closer integration with the BRI. Serbia, Singapore and Iran have trade agreements with the EAEU too.

The Greater Eurasian Partnership was proposed by Putin in 2015 – and it’s getting sharper as the EAEU commission, led by Sergey Glazyev, actively designs a new financial system, based on gold and natural resources and counter-acting the Bretton Woods system. Once the new framework is ready to be tested, the key disseminator is likely to be the SCO.

So here we see in play the full cohesion of goals – and the interaction mechanisms – deployed by the Greater Eurasia Partnership, BRI, EAEU, SCO, BRICS+ and the INSTC. It’s a titanic struggle to unite all these organizations and take into account the geoeconomic priorities of each member and associate partner, but that’s exactly what’s happening, at breakneck speed.

In this connectivity feast, practical imperatives range from fighting local bottlenecks to setting up complex multi-party corridors – from the Caucasus to Central Asia, from Iran to India, everything discussed in multiple roundtables.

Successes are already notable: from Russia and Iran introducing direct settlements in rubles and rials, to Russia and China increasing their trade in rubles and yuan to 20 percent – and counting. An Eastern Commodity Exchange may be soon established in Vladivostok to facilitate trade in futures and derivatives with the Asia-Pacific.

China is the undisputed primary creditor/investor in infrastructure across Central Asia. Beijing’s priorities may be importing gas from Turkmenistan and Uzbekistan and oil from Kazakhstan, but connectivity is not far behind.

The $5 billion construction of the 600 km-long Pakistan-Afghanistan-Uzbekistan (Pakafuz) railway will deliver cargo from Central Asia to the Indian Ocean in only three days instead of 30. And that railway will be linked to Kazakhstan and the already in progress 4,380 km-long Chinese-built railway from Lanzhou to Tashkent, a BRI project.

Nur-Sultan is also interested in a Turkmenistan-Iran-Türkiye railway, which would connect its port of Aktau on the Caspian Sea with the Persian Gulf and the Mediterranean Sea.

Türkiye, meanwhile, still a SCO observer and constantly hedging its bets, slowly but surely is trying to strategically advance its own Pax Turcica, from technological development to defense cooperation, all that under a sort of politico-economic-security package. Turkish President Recep Tayyip Erdogan did discuss it in Samarkand with Putin, as the latter later announced that 25 percent of Russian gas bought by Ankara will be paid in rubles.    

Welcome to Great Game 2.0

Russia, even more than China, knows that the usual suspects are going for broke. In 2022 alone, there was a failed coup in Kazakhstan in January; troubles in Badakhshan, in Tajikistan, in May; troubles in Karakalpakstan in Uzbekistan in June; the non-stop border clashes between Tajikistan and Kyrgyzstan (both presidents, in Samarkand, at least agreed on a ceasefire and to remove troops from their borders).

And then there is recently-liberated Afghanistan – with no less than 11 provinces crisscrossed by ISIS-Khorasan and its Tajik and Uzbek associates. Thousands of would-be Heartland jihadis have made the trip to Idlib in Syria and then back to Afghanistan – ‘encouraged’ by the usual suspects, who will use every trick under the sun to harass and ‘isolate’ Russia from Central Asia.

So Russia and China should be ready to be involved in a sort of immensely complex, rolling Great Game 2.0 on steroids, with the US/NATO fighting united Eurasia and Turkiye in the middle.

On a brighter note, Samarkand proved that at least consensus exists among all the players at different institutional organizations that: technological sovereignty will determine sovereignty; and that regionalization – in this case Eurasian – is bound to replace US-ruled globalization.

These players also understand that the Mackinder and Spykman era is coming to a close – when Eurasia was ‘contained’ in a semi-disassembled shape so western maritime powers could exercise total domination, contrary to the national interests of Global South actors.

It’s now a completely different ball game. As much as the Greater Eurasia Partnership is fully supported by China, both favor the interconnection of BRI and EAEU projects, while the SCO shapes a common environment.

Yes, this is an Eurasian civilizational project for the 21st century and beyond. Under the aegis of the ‘Spirit of Samarkand.’

The views expressed in this article do not necessarily reflect those of The Cradle.

Ukraine: Somewhere between Afghanization and Syrianization

Ukraine is finished as a nation – neither side will rest in this war. The only question is whether it will be an Afghan or Syrian style finale.

August 30 2022

Photo Credit: The Cradle

By Pepe Escobar

One year after the astounding US humiliation in Kabul – and on the verge of another serious comeuppance in Donbass – there is reason to believe Moscow is wary of Washington seeking vengeance: in the form of the ‘Afghanization’ of Ukraine.

With no end in sight to western weapons and finance flowing into Kiev, it must be recognized that the Ukrainian battle is likely to disintegrate into yet another endless war. Like the Afghan jihad in the 1980s which employed US-armed and funded guerrillas to drag Russia into its depths, Ukraine’s backers will employ those war-tested methods to run a protracted battle that can spill into bordering Russian lands.

Yet this US attempt at crypto-Afghanization will at best accelerate the completion of what Russia’s Defense Minister Sergei Shoigu describes as the “tasks” of its Special Military Operation (SMO) in Ukraine. For Moscow right now, that road leads all the way to Odessa.

It didn’t have to be this way. Until the recent assassination of Darya Dugina at Moscow’s gates, the battlefield in Ukraine was in fact under a ‘Syrianization’ process.

Like the foreign proxy war in Syria this past decade, frontlines around significant Ukrainian cities had roughly stabilized. Losing on the larger battlefields, Kiev had increasingly moved to employ terrorist tactics. Neither side could completely master the immense war theater at hand. So the Russian military opted to keep minimal forces in battle – contrary to the strategy it employed in 1980s Afghanistan.

Let’s remind ourselves of a few Syrian facts: Palmyra was liberated in March 2016, then lost and retaken in 2017. Aleppo was liberated only in December 2016. Deir Ezzor in September 2017. A slice of northern Hama in December and January 2018. The outskirts of Damascus in the Spring of 2018. Idlib – and significantly, over 25 percent of Syrian territory – are still not liberated. That tells a lot about rhythm in a war theater.

The Russian military never made a conscious decision to interrupt the multi-channel flow of western weapons to Kiev. Methodically destroying those weapons once they’re in Ukrainian territory – with plenty of success – is another matter. The same applies to smashing mercenary networks.

Moscow is well aware that any negotiation with those pulling the strings in Washington – and dictating all terms to puppets in Brussels and Kiev – is futile. The fight in Donbass and beyond is a do or die affair.

So the battle will go on, destroying what’s left of Ukraine, just as it destroyed much of Syria. The difference is that economically, much more than in Syria, what’s left of Ukraine will plunge into a black void. Only territory under Russian control will be rebuilt, and that includes, significantly, the bulk of Ukraine’s industrial infrastructure.

What’s left – rump Ukraine – has already been plundered anyway, as Monsanto, Cargill and Dupont have already bagged 17 million hectares of prime, fertile arable land – over half of what Ukraine still possesses. That translates de facto as BlackRock, Blackstone and Vanguard, top agro-business shareholders, owning whatever lands that really matter in non-sovereign Ukraine.

Going forward, by next year the Russians will be applying themselves to cutting off Kiev from NATO weapons supplies. As that unfolds, the Anglo-Americans will eventually move whatever puppet regime remains to Lviv. And Kiev terrorism – conducted by Bandera worshippers – will continue to be the new normal in the capital.

The Kazakh double game

By now it’s abundantly clear this is not a mere war of territorial conquest. It’s certainly part of a War of Economic Corridors – as the US spares no effort to sabotage and smash the multiple connectivity channels of Eurasia’s integration projects, be they Chinese-led (Belt and Road Initiative, BRI) or Russian-led (Eurasian Economic Union, EAEU).

Just like the proxy war in Syria remade large swathes of West Asia (witness, for instance, Erdogan about to meet Assad), the fight in Ukraine, in a microcosm, is a war for the reconfiguration of the current world order, where Europe is a mere self-inflicted victim in a minor subplot. The Big Picture is the emergence of multipolarity.

The proxy war in Syria lasted a decade, and it’s not over yet. The same may happen to the proxy war in Ukraine. As it stands, Russia has taken an area that is roughly equivalent to Hungary and Slovakia combined. That’s still far from “task” fulfillment – and it’s bound to go on until Russia has taken all the land right up to the Dnieper as well as Odessa, connecting it to the breakaway Republic of Transnistria.

It’s enlightening to see how important Eurasian actors are reacting to such geopolitical turbulence. And that brings us to the cases of Kazakhstan and Turkey.

The Telegram channel Rybar (with over 640k followers) and hacker group Beregini revealed in an investigation that Kazakhstan was selling weapons to Ukraine, which translates as de facto treason against their own Russian allies in the Collective Security Treaty Organization (CSTO). Consider too that Kazakhstan is also part of the Shanghai Cooperation Organization (SCO) and the EAEU, the two hubs of the Eurasian-led multipolar order.

As a consequence of the scandal, Kazakhstan was forced to officially announce the suspension of all weapons exports until the end of 2023.

It began with hackers unveiling how Technoexport – a Kazakh company – was selling armed personnel carriers, anti-tank systems and munitions to Kiev via Jordanian intermediaries, under the orders of the United Kingdom. The deal itself was supervised by the British military attaché in Nur-Sultan, the Kazakh capital.

Nur-Sultan predictably tried to dismiss the allegations, arguing that Technoexport had not asked for export licenses. That was essentially false: the Rybar team discovered that Technoexport instead used Blue Water Supplies, a Jordanian firm, for those. And the story gets even juicier. All the contract documents ended up being found in the computers of Ukrainian intel.

Moreover, the hackers found out about another deal involving Kazspetsexport, via a Bulgarian buyer, for the sale of Kazakh Su-27s, airplane turbines and Mi-24 helicopters. These would have been delivered to the US, but their final destination was Ukraine.

The icing on this Central Asian cake is that Kazakhstan also sells significant amounts of Russian – not Kazakh – oil to Kiev.

So it seems that Nur-Sultan, perhaps unofficially, somehow contributes to the ‘Afghanization’ in the war in Ukraine. No diplomatic leaks confirm it, of course, but bets can be made Putin had a few things to say about that to President Kassym-Jomart Tokayev in their recent – cordial – meeting.

The Sultan’s balancing act

Turkey is a way more complex case. Ankara is not a member of the SCO, the CSTO or the EAEU. It is still hedging its bets, calculating on which terms it will join the high-speed rail of Eurasian integration. And yet, via several schemes, Ankara allows Moscow to evade the avalanche of western sanctions and embargoes.

Turkish businesses – literally all of them with close connections to President Recep Tayyip Erdogan and his Justice and Development Party (AKP) – are making a killing, and relishing their new role as crossroads warehouse between Russia and the west. It’s an open boast in Istanbul that what Russia cannot buy from Germany or France they buy “from us.” And in fact several EU companies are in on it.

Ankara’s balancing act is as sweet as a good baklava. It gathers    economic support from a very important partner right in the middle of the endless, very serious Turkish economic debacle. They agree on nearly everything: Russian gas, S-400 missile systems, the building of the Russian nuclear power plant, tourism – Istanbul is crammed with Russians – Turkish fruits and vegetables.

Ankara-Moscow employ sound textbook geopolitics. They play it openly, in full transparence. That does not mean they are allies. It’s just pragmatic business between states. For instance, an economic response may alleviate a geopolitical problem, and vice-versa.

Obviously the collective west has completely forgotten how that normal state-to-state behavior works. It’s pathetic. Turkey gets “denounced” by the west as traitorous – as much as China.

Of course Erdogan also needs to play to the galleries, so every once in a while he says that Crimea should be retaken by Kiev. After all, his companies also do business with Ukraine – Bayraktar drones and otherwise.

And then there’s proselytizing: Crimea remains theoretically ripe for Turkish influence, where Ankara may exploit the notions of pan-Islamism and mostly pan-Turkism, capitalizing on the historical relations between the peninsula and the Ottoman Empire.

Is Moscow worried? Not really. As for those Bayraktar TB2s sold to Kiev, they will continue to be relentlessly reduced to ashes. Nothing personal. Just business.

The views expressed in this article do not necessarily reflect those of The Cradle.

Geopolitical tectonic plates shifting, six months on

August 24, 2022

by Pepe Escobar, posted with the author’s permission and widely cross-posted

Six months after the start of the Special Military Operation (SMO) by Russia in Ukraine, the geopolitical tectonic plates of the 21st century have been dislocated at astonishing speed and depth – with immense historical repercussions already at hand. To paraphrase T.S. Eliot, this is the way the (new) world begins, not with a whimper but a bang.

The vile assassination of Darya Dugina – de facto terrorism at the gates of Moscow – may have fatefully coincided with the six-month intersection point, but that won’t change the dynamics of the current, work-in-progress historical drive.

The FSB may have cracked the case in a little over 24 hours, designating the perpetrator as a neo-Nazi Azov operative instrumentalized by the SBU, itself a mere tool of the CIA/MI6 combo de facto ruling Kiev.

The Azov operative is just a patsy. The FSB will never reveal in public the intel it has amassed on those that issued the orders – and how they will be dealt with.

One Ilya Ponomaryov, an anti-Kremlin minor character granted Ukrainian citizenship, boasted he was in contact with the outfit that prepared the hit on the Dugin family. No one took him seriously.

What’s manifestly serious is how oligarchy-connected organized crime factions in Russia would have a motive to eliminate Dugin as a Christian Orthodox nationalist philosopher who, according to them, may have influenced the Kremlin’s pivot to Asia (he didn’t).

But most of all, these organized crime factions blamed Dugin for a concerted Kremlin offensive against the disproportional power of Jewish oligarchs in Russia. So these actors would have the motive and the local base/intel to mount such a coup.

If that’s the case that spells out a Mossad operation – in many aspects a more solid proposition than CIA/MI6. What’s certain is that the FSB will keep their cards very close to their chest – and retribution will be swift, precise and invisible.

The straw that broke the camel’s back

Instead of delivering a serious blow to Russia in relation to the dynamics of the SMO, the assassination of Darya Dugina only exposed the perpetrators as tawdry operatives of a Moronic Murder Inc.

An IED cannot kill a philosopher – or his daughter. In an essential essay Dugin himself explained how the real war – Russia against the collective West led by the United States – is a war of ideas. And an existential war.

Dugin – correctly – defines the US as a “thalassocracy”, heir to “Britannia rules the waves”; yet now the geopolitical tectonic plates are spelling out a new order: The Return of the Heartland.

Putin himself first spelled it out at the Munich Security Conference in 2007. Xi Jinping started to make it happen when he launched the New Silk Roads in 2013. The Empire struck back with Maidan in 2014. Russia counter-attacked coming to the aid of Syria in 2015.

The Empire doubled down on Ukraine, with NATO weaponizing it non-stop for eight years. At the end of 2021, Moscow invited Washington for a serious dialogue on “indivisibility of security” in Europe. That was dismissed with a non-response response.

Moscow took no time to confirm a trifecta was in the works: an imminent Kiev blitzkrieg against Donbass; Ukraine flirting with acquiring nuclear weapons; and the work of US bioweapon labs. That was the straw that broke the New Silk Road camel’s back.

A consistent analysis of Putin’s public interventions these past few months reveals that the Kremlin – as well as Security Council Yoda Nikolai Patrushev – fully realize how the politico/media goons and shock troops of the collective West are dictated by the rulers of what Michael Hudson defines as the FIRE system (financialization, insurance, real estate), a de facto banking Mafia.

As a direct consequence, they also realize how collective West public opinion is absolutely clueless, Plato cave-style, of their total captivity by the FIRE rulers, who cannot possibly tolerate any alternative narrative.

So Putin, Patrushev, Medvedev will never presume that a senile teleprompter reader in the White House or a cokehead comedian in Kiev “rule” anything. The sinister Great Reset impersonator of a Bond villain, Klaus “Davos” Schwab, and his psychotic historian sidekick Yuval Harari at least spell out their “program”: global depopulation, with those that remain drugged to oblivion.

As the US rules global pop culture, it’s fitting to borrow from what Walter White/Heisenberg, an average American channeling his inner Scarface, states in Breaking Bad: “I’m in the Empire business”. And the Empire business is to exercise raw power – then maintained with ruthlessness by all means necessary.

Russia broke the spell. But Moscow’s strategy is way more sophisticated than leveling Kiev with hypersonic business cards, something that could have been done at any moment starting six months ago, in a flash.

What Moscow is doing is talking to virtually the whole Global South, bilaterally or to groups of actors, explaining how the world-system is changing right before our eyes, with the key actors of the future configured as BRI, SCO, EAEU, BRICS+, the Greater Eurasia Partnership.

And what we see is vast swathes of the Global South – or 85% of the world’s population – slowly but surely becoming ready to engage in expelling the FIRE Mafia from their national horizons, and ultimately taking them down: a long, tortuous battle that will imply multiple setbacks.

The facts on the ground

On the ground in soon-to-be rump Ukraine, Khinzal hypersonic business cards – launched from Tu-22M3 bombers or Mig-31 interceptors – will continue to be distributed.

Piles of HIMARS will continue to be captured. TOS 1A Heavy Flamethrowers will keep sending invitations to the Gates of Hell. Crimean Air Defense will continue to intercept all sorts of small drones with IEDs attached: terrorism by local SBU cells, which will be eventually smashed.

Using essentially a phenomenal artillery barrage – cheap and mass-produced – Russia will annex the full, very valuable Donbass, in terms of land, natural resources and industrial power. And then on to Nikolaev, Odessa, and Kharkov.

Geoeconomically, Russia can afford to sell its oil with fat discounts to any Global South customer, not to mention strategic partners China and India. Cost of extraction reaches a maximum of $15 per barrel, with a national budget based on $40-45 for a barrel of Urals.

A new Russian benchmark is imminent, as well as oil in rubles following the wildly successful gas for rubles.

The assassination of Darya Dugina provoked endless speculation on the Kremlin and the Ministry of Defense finally breaking their discipline. That’s not going to happen. The advances along the enormous 1,800-mile front are relentless, highly systematic and inserted in a Greater Strategic Picture.

A key vector is whether Russia stands a chance of winning the information war with the collective West. That will never happen inside NATOstan – even as success after success is ramping up across the Global South.

As Glenn Diesen has masterfully demonstrated, in detail, in his latest book, Russophobia , the collective West is viscerally, almost genetically impervious to admitting any social, cultural, historical merits by Russia.

And that will extrapolate to the irrationality stratosphere, as the grinding down and de facto demilitarization of the imperial proxy army in Ukraine is driving the Empire’s handlers and its vassals literally nuts.

The Global South though should never lose sight of the “Empire business”. The Empire of Lies excels in producing chaos and plunder, always supported by extortion, bribery of comprador elites, assassinations, and all that supervised by the humongous FIRE financial might. Every trick in the Divide and Rule book – and especially outside of the book – should be expected, at any moment. Never underestimate a bitter, wounded, deeply humiliated Declining Empire.

So fasten your seat belts: that will be the tense dynamic all the way to the 2030s. But before that, all along the watchtower, get ready for the arrival of General Winter, as his riders are fast approaching, the wind will begin to howl, and Europe will be freezing in the dead of a dark night as the FIRE Mafia puff their cigars.

A Eurasian jigsaw: BRI and INSTC interconnectivity will complete the puzzle

Shrugging off western obstacles, Eurasia’s ambitious connectivity projects helmed by China and Russia are now progressing deep into Asia’s Heartland

August 17 2022

Photo Credit: The Cradle

By Pepe Escobar

SAMARKAND – Interconnecting Inner Eurasia is an exercise in Taoist equilibrium: adding piece by piece, patiently, to a gigantic jigsaw puzzle. It takes time, skill, vision, and of course major breakthroughs.

A key piece was added to the puzzle recently in Uzbekistan, bolstering the links between the Belt and Road Initiative (BRI) and the International North South Transportation Corridor (INSTC).

The Mirzoyoyev government in Tashkent is deeply engaged in turbo-driving yet another Central Asian transportation corridor: a China-Kyrgyzstan-Uzbekistan-Afghanistan railway.

That was at the center of a meeting between the chairman of the board of Temir Yullari – the Uzbek national railways – and his counterparts in Kyrgyzstan and Afghanistan, as well as managers of the Chinese Wakhan Corridor logistics company.

In terms of the complex intersection of Xinjiang with Central and South Asia, this is as groundbreaking as it gets, as part of what I call the War of Economic Corridors.

The Uzbeks have pragmatically spun the new corridor as essential to cargo transport under low tariffs – but that goes way beyond mere trade calculations.

Imagine, in practice, cargo containers coming by train from Kashgar in Xinjiang to Osh in Kyrgyzstan and then to Hairatan in Afghanistan. Annual volume is planned to reach 60,000 containers in the first year alone.

That would be crucial to develop Afghanistan’s productive trade – away from the “aid” obsession of the US occupation. Afghan products will finally be able to be easily exported to Central Asian neighbors and also China, for instance to the bustling Kashgar market.

And that stabilizing factor would bolster the Taliban’s coffers, now that the leadership in Kabul is very much interested in buying Russian oil, gas and wheat under vastly attractive discounts.

How to get Afghanistan back in the game

There’s also the possibility of spinning off a road project from this railway that would cross the ultra-strategic Wakhan corridor – something that Beijing has already been contemplating for a few years.

The Wakhan is shared by northern Afghanistan and the Gorno-Badakhshan Autonomous Region of Tajikistan: a long, barren, spectacular geological strip, advancing all the way to Xinjiang.

By now it’s clear not only to Kabul, but also to members of the Shanghai Cooperation Organization (SCO), that the humiliated Americans will not restitute the billions of dollars ‘confiscated’ from the Afghan Central Bank’s reserves – something that would at least mitigate Afghanistan’s current, dire economic crisis and imminent mass famine.

So Plan B is to bolster the – for the moment devastated – Afghan supply and trade chains. Russia will be in charge of security for the whole Central-South Asian crossroads. China will provide the bulk of the financing. And that’s where the China-Kyrgyzstan-Uzbekistan-Afghanistan railway fits in.

China sees a road across the Wakhan – a very complicated proposition – as an extra BRI corridor, linking to the China-repaved Pamir highway in Tajikistan and China-rebuilt Kyrgyzstan roads.

The People’s Liberation Army (PLA) has already built an 80 km access road from the Chinese stretch of the Karakoram Highway – before it reaches the Pakistan border – to a mountain pass in the Wakhan, currently only available for cars and jeeps.

The next Chinese move would be to proceed further on down that road by 450 km, all the way to Fayzabad, the provincial capital of Afghan Badakhshan. That would constitute the roadside back-up corridor to the China-Central Asia-Afghanistan railway.

The key point is that the Chinese, as much as the Uzbeks, fully understand the extremely strategic location of Afghanistan: not only as a Central/South Asian crossroads, connecting to key ocean ports in Pakistan and Iran (Karachi, Gwadar, Chabahar) and to the Caspian Sea via Turkmenistan, but also helping landlocked Uzbekistan to connect to markets in South Asia.

That’s all part of the BRI corridor maze; and at the same time interlocks with the INSTC because of the key role of Iran (itself increasingly linked with Russia).

Tehran is already engaged in building a railway to Herat, in western Afghanistan (it already rebuilt the road). Then we will have Afghanistan inbuilt in both BRI (as part of the China-Pakistan Economic Corridor, CPEC) and the INSTC, giving momentum to yet another project: a Turkmenistan-Afghanistan-Tajikistan (TAT) railway, to be linked to Iran and thus the INSTC.

From the Karakoram to Pakafuz

The Karakoram highway – the northern part of which was rebuilt by the Chinese – may sooner or later get a railway sister. The Chinese have been thinking about it since 2014.

By 2016, a railway from the China-Pakistan border to Gilgit, in the northern areas and then further down to Peshawar, was enshrined as part of the China–Pakistan Economic Corridor (CPEC) blueprint. But then nothing happened: the railway is not included  in the 2017-2030 CPEC Long Term Plan.

That may eventually happen in the next decade: the engineering and logistics are an enormous challenge, as they were for the building of the Karakoram highway.

And then there’s the “follow the money” angle. The top two Chinese banks financing BRI – and thus CPEC – projects are the China Development Bank and the Export Import Bank. Even before Covid they were already toning down their loans. And with Covid, they now have to balance foreign projects with domestic loans for the Chinese economy.

The connectivity priority instead shifted to the Pakistan-Afghanistan-Uzbekistan (Pakafuz) railway.

The key stretch of Pakafuz links Peshawar (the capital of the tribal areas) to Kabul. When it’s finished, we’ll see Pakafuz directly interacting with the upcoming China-Central Asia-Afghanistan railway: a new BRI maze directly connected with the INSTC.

All of the above developments reveal their true complexity when we see they are simultaneously inserted into the interaction of BRI and the INSTC and the harmonization between BRI and the Eurasia Economic Union  (EAEU).

Essentially, in geopolitical and geoeconomic terms, the relation between BRI and EAEU projects allows Russia and China to cooperate across Eurasia while avoiding a race to reach a dominant position in the Heartland.

For instance, both Beijing and Moscow agree on the supreme need to stabilize Afghanistan and help it to run a sustainable economy.

In parallel, some important BRI members – like Uzbekistan – are not members of the EAEU, but that is compensated by their membership in the SCO. At the same time, the BRI-EAEU entente facilitates economic cooperation between EAEU members such as Kyrgyzstan and China.

Beijing de facto got full approval from Moscow to invest in Belarus, Kazakhstan, Kyrgyzstan and Armenia, all EAEU members. A future currency or basket of currencies bypassing the US dollar is being jointly discussed between the EAEU – led by Sergei Glazyev – and China.

China focuses on Central/West Asia

There’s no question that the proxy war in Ukraine between the US and Russia has been creating serious problems for BRI expansion. After all, the US war on Russia is also a war against BRI.

The top three BRI corridors from Xinjiang to Europe are the New Eurasian Land Bridge, the China-Central Asia-West Asia Economic Corridor, and the China-Russia-Mongolia Economic Corridor.

The New Eurasian Land Bridge uses the Trans-Siberian and a second link through Xinjiang-Kazakhstan (via the dry land port of Khorgos) and then Russia. The corridor via Mongolia is in fact two corridors: one from Beijing-Tianjin-Hebei to Inner Mongolia and then Russia; and the other from Dalian and Shenyang and then to Chita in Russia, near the Chinese border.

As it stands, the Chinese are not using Land Bridge and the Mongolian corridor as much as before, mainly because of western sanctions on Russia. The current BRI emphasis is via Central Asia and West Asia, with one branch then bisecting toward the Persian Gulf and on the Mediterranean.

And this is where we see another – highly complex – level of intersection quickly developing: how the increasing importance for China of Central Asia and West Asia mixes with the increasing importance of the INSTC for both Russia and Iran in their trade with India.

Call it the friendly vector of the War of Transportation Corridors.

The hardcore vector – real war – is already being deployed by the usual suspects. They are predictably bent on destabilizing and/or smashing any node of BRI/INSTC/EAEU/SCO Eurasia integration, by any means necessary: be it in Ukraine, Afghanistan, Balochistan, the Central Asian “stans” or Xinjiang.

As far as the major Eurasian actors are concerned, that’s bound to be an Anglo-American train to nowhere.

The views expressed in this article do not necessarily reflect those of The Cradle.

The Second Coming of the Heartland

August 14, 2022

by Pepe Escobar, posted with the author’s permission and widely cross-posted

It’s tempting to visualize the overwhelming collective West debacle as a rocket, faster than free fall, plunging into the black void maelstrom of complete socio-political breakdown.

The End of (Their) History turns out to be a fast-forward historical process bearing staggering ramifications: way more profound than mere self-appointed “elites” – via their messenger boys/girls – dictating a Dystopia engineered by austerity and financialization: what they chose to brand as a Great Reset and then, major fail intervening, The Great Narrative.

Financialization of everything means total marketization of Life itself. In his latest book, No-Cosas: Quiebras del Mundo de Hoy (in Spanish, no English translation yet), the foremost German contemporary philosopher (Byung-Chul Han, who happens to be Korean), analyzes how Information Capitalism, unlike industrial capitalism, converts also the immaterial into merchandise: “Life itself acquires the form of merchandise (…) the difference between culture and commerce disappears. Institutions of culture are presented as profitable brands.”

The most toxic consequence is that “total commercialization and mercantilization of culture had the effect of destroying the community (…) Community as merchandise is the end of community.”

China’s foreign policy under Xi Jinping proposes the idea of a community of shared future for mankind, essentially a geopolitical and geoeconomic project. Yet China still has not amassed enough soft power to translate that culturally, and seduce vast swathes of the world into it: that especially concerns the West, for which Chinese culture, history and philosophies are virtually incomprehensible.

In Inner Asia, where I am now, a revived glorious past may offer other instances of “shared community”. A glittering example is the Shaki Zinda necropolis in Samarkand.

Afrasiab – the ancient settlement, pre-Samarkand – had been destroyed by the Genghis Khan hordes in 1221. The only building that was preserved was the city’s main shrine: Shaki Zinda.

Much later, in the mid-15th century, star astronomer Ulugh Beg, himself the grandson of Turkic-Mongol “Conqueror of the World” Timur, unleashed no less than a Cultural Renaissance: he summoned architects and craftsmen from all corners of the Timurid empire and the Islamic world to work into what became a de facto creative artistic lab.

The Avenue of 44 Tombs at Shaki Zinda represents the masters of different schools harmoniously creating a unique synthesis of styles in Islamic architecture.

The most remarkable décor at Shaki Zinda are stalactites, hung in clusters in the upper parts of portal niches. An early 18th century traveler described them as “magnificent stalactites, hanging like stars above the mausoleum, make it clear about the eternity of the sky and our frailty.” Stalactites in the 15th century were called “muqarnas”: that means, figuratively, “starry sky”.

The Sheltering (Community) Sky

The Shaki Zinda complex is now at the center of a willful push by the Uzbekistan government to restore Samarkand to its former glory. The centerpiece, trans-historical concepts are “harmony” and “community” – and that reaches way beyond Islam.

As a sharp contrast, the inestimable Alastair Crooke has illustrated the death of Eurocentrism alluding to Lewis Carroll and Yeats: only through the looking glass we can see the full contours of the tawdry spectacle of narcissistic self-obsession and self-justification offered by “the worst”, still so “full of passionate intensity”, as depicted by Yeats.

And yet, unlike Yeats, the best now do not “lack all conviction”. They may be few, ostracized by cancel culture, but they do see the “rough beast, its hour come out at last, slouching towards…” Brussels (not Jerusalem) “to be born”.

This unelected gaggle of insufferable mediocrities – from von der Leyden and Borrell to that piece of Norwegian wood Stoltenberg – may dream they live in the pre-1914 era, when Europe was at the political center. Yet now not only “the center cannot hold” (Yeats) but Eurocrat-infested Europe has been definitely engulfed by the maelstrom, an irrelevant political backwater seriously flirting with reversion to 12th century status.

The physical aspects of the Fall – austerity, inflation, no hot showers, freezing to death to support neo-Nazis in Kiev – has been preceded, and no Christianized imagery need apply, by the fires of sulphur and brimstone of a Spiritual Fall. The transatlantic masters of those parrots posing as “elites” could never come up with any idea to sell to the Global South centered on harmony and much less “community”.

What they sell, via their Unanimous Narrative, actually their take on “We Are the World”, is variations of “you will own nothing and be happy”. Worse: you will have to pay for it – dearly. And you have no right to dream of any transcendence – irrespective if you’re a follower of Rumi, the Tao, shamanism or Prophet Muhammad.

The most visible shock troops of this reductionist Western neo-nihilism – obscured by the fog of “equality”, “human rights” and “democracy” – are the thugs being swiftly denazified in Ukraine, sporting their tattoos and pentagrams.

The dawn of a new Enlightenment

The Collective West Self-Justification Show staged to obliterate its ritualized suicide offers no hint of transcending sacrifice implied in a ceremonial seppuku. All they do is to wallow in the adamant refusal to admit they could be seriously mistaken.

How would anyone dare to deride the set of “values” derived from the Enlightenment? If you don’t prostrate yourself in front of this glittering cultural altar, you’re just a barbarian set to be slandered, law-fared, canceled, persecuted, sanctioned and – HIMARS to the rescue – bombed.

We still do not have a post-Tik Tok Tintoretto to depict the collective West’s multi-wallowing in Dante-esque chambers of pop Hell. What we do have, and must endure, day after day, is the kinetic battle between their “Great Narrative”, or narratives, and pure and simple reality. Their obsession with the need for virtual reality to always “win” is pathological: after all the only activity they excel in is manufacturing fake reality. Such a pity that Baudrillard and Umberto Eco are not among us anymore to unmask their tawdry shenanigans.

Does that make any difference across vast swathes of Eurasia? Of course not. We just need to keep up with the dizzying succession of bilateral meetings, deals, and progressive interaction of BRI, SCO, EAEU, BRICS+ and other multilateral organizations to get a glimpse of how the new world-system is being configured.

In Samarkand, surrounded by mesmerizing instances of Timurid art coupled with a development boom that brings to mind the East Asian miracle of the early 1990s, it’s plain to see how the heart of the Heartland is back with a vengeance – and is bound to dispatch the pleonexia-afflicted West to the swamp of Irrelevancy.

I leave you with a psychedelic sunset facing the Registan, at the razor’s edge of a new sort of Enlightenment that is leading the Heartland towards a reality-based version of Shangri-La, privileging harmony, tolerance and most of all, the sense of community.

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