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  • Technological Challenges to Becoming a Developed Country by 2047

    Technological Challenges to Becoming a Developed Country by 2047

    For a developed India, bulkier investment and technological changes are required to keep up in the race with other developed nations. In doing so, the country should not be afraid of failure. After all, Chandrayaan 3 was made possible by the lessons from the failure of Chandrayaan 2.

    THE Prime Minister has set the goal of India becoming a developed country by 2047.

    On the way, India’s Gross Domestic Product (GDP) is soon going to surpass that of Germany and Japan, if the current official rates of growth are maintained.

    In today’s world, projecting five years or 24 years ahead is fraught with challenges. Who could have foreseen the Covid pandemic in 2020 and the war in Ukraine in 2022?

    Successful landing of Chandrayaan 3 near the South Pole of the Moon is undoubtedly a great achievement for the nation. But that does not make India a developed nation.

    Major challenges confront the nation, such as providing good education and healthcare. This can only be achieved if the number of schools and health facilities in rural and semi-rural areas is increased substantially.

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  • G20’s New Delhi Declaration: Serving the Interest of the Global Landlords

    G20’s New Delhi Declaration: Serving the Interest of the Global Landlords

    The Delhi declaration’s achievement is preservation of the interest of the global elite (including the Indian elite). The global landlords enabled it while paying lip service to global good.

    The G20 summit in India ended on a high note with a New Delhi Declaration. This is a matter of immense satisfaction for the prime minister personally and for his entire team which had to struggle to arrive at a consensus among the warring elements of the grouping. It highlights India’s present pole position in the global order. Other nations are trying to draw it into their sphere of influence, or at least trying to prevent it from getting closer to the other side.

    India’s advantage is a result of the continuing Ukraine war and the aggravating Cold War between the G7 and China-Russia combine. It has required deft manoeuvring, more so because of India’s political problems with China which resulted in its president giving the meeting a miss. This caused considerable consternation, given China’s economic and political clout.

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  • Social and Economic Aspects of Caste Survey in Bihar

    Social and Economic Aspects of Caste Survey in Bihar

    The need for caste census today is because after independence we adopted the top-down development model. It was thought that the development benefits would flow from the upper strata to the lower ones. But this hope has been belied with the well-off capturing most of the benefits, leaving little for the marginalized sections who are lagging behind in development.
    ————-

    The release of the figures of the caste survey in Bihar has immediately led to the heating up of politics in the entire country. There is a demand for conducting a caste survey in many states, including Uttar Pradesh, Madhya Pradesh, Rajasthan and Maharashtra. In Karnataka, the demand is to make public the data of the caste survey conducted in 2015.

    Poverty and Population Increase

    According to the Bihar survey report, the largest population in the state belongs to the extremely backward class (EBC), constituting about 36 per cent of the total population. While the Report clarifies the situation in Bihar, it does not tell us the situation in the entire country. That would require a national survey. Therefore, now the pressure will increase on the Central Government to conduct and make public the data at the national level. That is the only way the caste composition of the total population can be known. This is required to make policies which can enable equitable shares in employment and education for different sections of the population.

    The increase in the proportion of extremely backward classes in the total population of Bihar should have been expected because of the prevailing poverty among them. Those who are poor have more children due to several reasons, like lack of education and awareness. Most importantly, for their social security in old age. The poor do not have savings; hence children constitute their old-age social security. They have more children to ensure at least one child survives till their old age. Also, more children mean more earning hands in the family. As people become more prosperous, people produce fewer children. The economic condition of the middle class and the well-off are relatively better, so they have fewer children, and their population grows less.

    The question arises: what is the likely consequence? Upper caste people are worried that since extremely backward castes constitute a higher proportion of the population, their demand for reservation will increase.

    Growing Unemployment a Crucial Factor

    I believe that if we had given more importance in employment and education to the extremely backward castes from the beginning, today’s situation would not have arisen. Reservation makes no difference if jobs are available in sufficient numbers. Reservation becomes critical when employment generation is weak. When there is a lack of adequate employment, a dispute arises over reservations as to who will get how much employment. At present, due to large unemployment among the educated youth and few available government jobs, the demand for reservations has increased.

    The problem has been growing because, after independence, we have adopted the top-down and trickle-down policy. The result has been that the upper sections of society have cornered most of the benefits while the marginalized sections have received very little benefits. Disparities have grown, and so have expectations, thereby raising the level of conflict in society. The use of more advanced technology in every sector has displaced labour and contributed to increasing unemployment. The Agriculture sector, which has the most employment (46%) in our country, has seen increased use of tractors, harvester combines, threshers, potato digging machines, etc., thereby reducing the need for employment and displacing workers. This is also true of manufacturing and services, like banking.

    Impact of Government Policies

    The government is also fueling this change by promoting the growth of the capital-intensive organized sector at the expense of the unorganized sector (which employs 94% of the workers). For example, the government reduced the tax rates on the corporate sector and rolled out the PLA scheme while cutting allocations to the National Rural Employment Guarantee Scheme. Allocations to education and health sectors have also been kept low and cut, even though both these sectors generate more employment. Due to these policies, most of the investments are being made in big projects, like railway freight corridors, where human labour is being replaced by big machines.

    The result is rising inequality, frustration, alienation and sharpening social conflict. Therefore, the parties pursuing social justice politics for the lower classes and the people themselves have been demanding greater reservation for the backward castes according to their proportion in the population. With Bihar’s caste survey becoming public, the demand for conducting such surveys in other states and nationally will become more vociferous. The demand will also arise that the maximum limit of reservation, which is fixed at 50 per cent by the Supreme Court, should be increased. But reservations will be only for a few million jobs while the need is for work for tens of millions. So, the real issue is the generation of enough employment and good education for the children of the poor.

    Political Implications

    Opponents of caste surveys argue that castes with a lower proportion in the population will start competing to increase their population by bypassing family planning policies. But I don’t accept this. Around the world, as family prosperity increases and education levels rise, people have fewer children. The well-off families with less share in the population are already sending their children abroad for education and employment, which may accelerate.

    Bihar’s caste survey data is bound to impact national politics. All political parties would like to use it in their own way, and Mandal-Kamandal politics will intensify in the country. But, the situation for BJP has changed compared to the 1990s since in the last few elections, it has wooed the votes of backward castes. The issue of reservation and demand for an increase in the maximum prescribed reservation limit will intensify. The ruling party will be reluctant, but in view of the electoral arithmetic, it will also not oppose it vociferously. It will hope that the Supreme Court will not agree to increase the limit. Further, it will try to divert the public attention towards issues like Sanatan dharma, terrorism and threats from China-Pakistan.
    The lesson is that when socially correct policies are not implemented in a timely manner, social strife and alienation spread, and the nation is forced to implement sub-optimal policies.

    This is a translation of the article in Hindi published earlier in Amar Ujala.

  • Indian Air Force at 91:  Challenges and Opportunities

    Indian Air Force at 91: Challenges and Opportunities

    The Indian Air Force, created on October 8, 1932, completes 91 years of glorious service as it celebrates the Air Force Day today, October 8, 2023. As the IAF celebrates its annual day with customary elan, it is a time to reflect and assess the future in terms of challenges and opportunities. On the operational front, the die is already cast with two nuclear-powered neighbours, one in political and economic turmoil and the other continuing an aggressive posture. A three-yearlong standoff on the northern border with no signs of reconciliation makes the environment precarious.

    China, with its goal of becoming the leading military power with global reach by 2049, has moved fast to replace and transform its antiquated equipment, systems, and organizations, especially after observing the 1991 Gulf War. Reorganization of the PLA in the last decade, consolidation of forces under one command to oversee military operations against India and creation a Special Support Group (SSG) has enhanced its force application capabilities. Specifically, the upgradation of military infrastructure, airfields, and helipads just north of India is a matter of concern. Robust military hardware production for modern systems and investment in R&D in new-era fields like quantum computing, quantum radars, artificial intelligence, and aircraft and weapon systems development have facilitated significant growth in PLA’s capabilities. Qualitatively and quantitatively, India cannot match the Chinese economy, military hardware, military industry, or infrastructure in the foreseeable future. The only way forward for India is to use its resources in a focused manner to achieve its well-defined strategic goals commensurate with available resources. Lessons from the ongoing Russia-Ukraine war, a contest between unequal forces, are relevant in our context.

    Force Structure Challenges to Overcome

    Besides the operational challenges the Indian Air Force faces on the borders, there are issues related to equipment and organization.

     

    The salience of combat aircraft in battlespace is well known. However, combat aircraft numbers are declining worldwide, with older systems paving the way for modern and more capable platforms. In India, the decline has been rather steep, and replacements are not potent enough to offset the quantity quality. Against an authorization of over 1000 combat aircraft, the Indian armed forces are now in the region of 600. This decline will continue, and by 2030, IAF combat aircraft strength will be down to 450 with the phase-out of MiG-21, MiG-29, Jaguar, and Mirage-2000 fleets. The induction of 36 Rafales, the prolonged induction of LCA, and the planned acquisition of more Su30MKIs will not be able to reverse the declining trend. The ambitious plans for India’s fifth-generation aircraft, AMCA, are still far away. Given this reality, the IAF must make do with, at best, 34-36 fighter squadrons in the 2035 timeframe. It must work on operational strategies based on superior tactics and a local favourable balance of power in case a war is inevitable during this period.

    In the critical area of force multipliers, the numbers have been nearly static since their initial induction in 2003 concerning IL-78 In-Flight Refuellers and in 2010 concerning AWACS. The number of long-range weapons is somewhat limited. And in the surveillance and space domains, the resources are meagre. The situation is unlikely to change in the foreseeable future.

    There are positive changes regarding airlift capability, and single-wave airlift capability is gradually increasing with the commencement of induction of the first of the 56 new C-295 transport aircraft replacing vintage Avro. Despite the gradual phase-out of heavy lift Il-76 and light transport aircraft An-32, the fleet of C-17 and C-130 will sustain the requisite airlift capability that enabled the rapid deployment of Indian Army units in Ladakh against PLA build-up. Similarly, the enhanced number of more versatile and potent indigenous helicopters, ALH and LCH, will increase local mobility and firepower.

    The area that is yet to take centre stage is the Unmanned systems. Although the numbers and types increase due to imports, recent conflicts have demonstrated their hugely versatile utility. This aspect needs more attention to offset the capability deficit owing to the reduced number of combat aircraft. Tasks like intelligence, surveillance, reconnaissance, and ground and maritime attack can be effectively performed by unmanned aerial systems, resulting in the release of aircraft for other roles.

    New and more capable radars and integrated networks are replacing the older systems, giving a robust defensive capability. These need to be backed by long-range and quick-reaction surface-to-air weapon systems. Currently, the numbers are limited, and the area to be covered is extensive. Agility in planning, deployment and redeployment is the key to effective defence with limited resources.

    Evolving Battlespace and the Imperative of Jointness

    The battle space is evolving. Conflict hybridization has accelerated the expansion of battlespace, leading to enhanced significance of battlespace transparency. Induction of hypersonic systems, fast relocation of combat elements, and reduced times for systems operationalization have compressed the reaction time. This time-compression for action has tilted the offence-defence balance in favour of the offence. The concept of operations needs to factor in these realities, especially when dealing with a potent and stronger adversary with significant reverse capability.

    Organisationally, the integration of three wings of the Indian armed forces will likely pick up pace in the coming year(s). Integration is now an operational necessity and needs to be fast-tracked. Once theatre commands come into being, the most critical factor will be the allocation and plan of utilization of various combat assets that are limited in numbers but can operate seamlessly between multiple sectors. Will the integration model follow the complex assignment of such resources? That will be suboptimal and possibly counterproductive to enhancing combat capability through integration. IAF will have to make a holistic plan to exploit the full combat potential of its assets, irrespective of how the integration model pans out. Organisationally, this will be the most significant challenge for the men and women in blue in the coming year(s).

    Conclusion

    In the last five decades, India has taken the pole position in money spent on military hardware imports. Saudi Arabia is a distant second, spending less than half of Indian expenditure in this sector. How did India reach here? Public sector monopoly in defence has not yielded the desired results for the last seven decades. Inadequate focus and investment in R&D, captive customers, the Indian armed forces not hand-holding the industry, restrictive policies, monopoly of the public sector, dependency on imported military hardware and inability to leverage large imports for technology access are the factors contributing to this state. Atamnirbhar, from being a rhetoric, is gradually taking shape with orders being placed on Indian enterprises. The policy of earmarking part of the capital budget for Indian manufacturers will undoubtedly encourage the Indian defence industry. Although production efficiency and quality control have been a concern regarding the public sector, things are likely to improve as they face competition from the private sector. The lack of control over critical technologies in areas of aero engines, air-launched weapons, and electronic warfare systems remains a severe vulnerability. Opening the defence sector for private entities, allowing DRDO to share available testing facilities and technology, and creating defence manufacturing corridors are steps in the right direction.

    Capability differential and information differential between the competing sides form the basis of military operations. A classical information matrix about the opposing force includes intent, strategy, military doctrine, and military objectives; besides the overall direction that military strategy gives, an operational plan and its execution are based on an information matrix to achieve defined goals with the least cost or in the minimum possible timeframe. IAF, with its new doctrine IAP2000-22, endeavours to capture the essence of these changes. Indian Air Force needs to be ready with its limited assets and deter war. IAF must augment its limited resources with courage, ingenuity and clever resource employment to outwit the adversary. Given the limited resources and challenges ahead, the IAF will need to be a smart force for efficient management of resources and clever exploitation of force application.

    Photo Credits: Sunil Jain

    The views expressed are the author’s own and do not reflect that of the TPF or the IAF.

  • Trump followed four years later by Trump: Would America’s trustiness and system of alliances survive?

    Trump followed four years later by Trump: Would America’s trustiness and system of alliances survive?

    Ambassador Alfredo Toro Hardy examines, in this excellently analysed paper, the self-created problems that have contributed to America’s declining influence in the world. As he rightly points out, America helped construct the post-1945 world order by facilitating global recovery through alliances, and mutual support and interweaving the exercise of its power with international institutions and legal instruments. The rise of neoconservatism following the end of the Cold War, particularly during the Bush years from 2000 to 2008, led to American exceptionalism, unipolar ambitions, and the failure of American foreign policy.  Obama’s Presidency was, as Zbigniew Brezinski said, a second chance for restoring American leadership but those gains were nullified in Donald Trump’s 2016-20 presidency leading to the loss of trust in American Leadership. In a final analysis that may be questionable for some, Ambassador Alfredo sees Biden’s administration returning to the path of liberal internationalism and recovering much of the lost trust of the world.  His fear is that it may all be lost if Trump returns in 2024.                               – Team TPF

     

    TPF Occasional Paper   9/2023    

    Trump followed four years later by Trump: Would America’s trustiness and system of alliances survive?

     

     

    According to Daniel W. Drezner: “Despite four criminal indictments, Donald Trump is the runaway frontrunner to win the GOP nomination for president. Assuming he does, current polling shows a neck-and-neck race between Trump and Biden in the general election. It would be reckless for other leaders to dismiss the possibility of a second Trump term beginning on January 20, 2025. Indeed, the person who knows this best is Biden himself. In his first joint address to Congress, Biden said that in a conversation with world leaders, he has ‘made it known that America is back’, and their responses have tended to be a variation of “but for how long?”. [1]

    A bit of historical context

    In order to duly understand the implications of a Trump return to the White House, a historical perspective is needed. Without context, it is difficult to comprehend the meaning of the “but for how long?” that worries so many around the world. Let’s, thus, go back in time.

    Under its liberal internationalist grand vision, Washington positioned itself at the top of a potent hegemonic system. One, allowing that its leadership could be sustained by the consensual acquiescence of others. Indeed, through a network of institutions, treaties, mechanisms and initiatives, whose creation it promoted after World War II, the United States was able to interweave the exercise of its power with international institutions and legal instruments. Its alliances were a fundamental part of that system. On the other side of the Iron Curtain, though, the Soviet Union established its own system of alliances and common institutions.

                In the 1970s, however, America’s leadership came into question. Two reasons were responsible for it. Firstly, the Vietnam War. The excesses committed therein and America’s impotence to prevail militarily generated great discomfort among several of its allies. Secondly, the crisis of the Bretton Woods system. As a global reserve currency issuer, the stability of the U.S. currency was fundamental. In a persistent way, though, Washington had to run current account deficits to fulfil the supply of dollars at a fixed parity with gold. This impacted the desirability of the dollar, which in turn threatened its position as a reserve currency issuer. When a run for America’s gold reserves showed a lack of trust in the dollar, President Nixon decided in 1971 to unhook the value of the dollar from gold altogether.

                Notwithstanding these two events, America’s leadership upon its alliance system would remain intact, as there was no one else to face the Soviet threat. However, when around two decades later the Soviet Union imploded, America’s standing at the top would become global for the same reason: There was no one else there. Significantly, the United States’ supremacy was to be accepted as legitimate by the whole international community because, again, it was able to interweave the exercise of its power with international institutions and legal instruments.

    Inexplicable under the light of common sense

                In 2001, however, George W. Bush’s team came into government bringing with them an awkward notion about the United States’ might. Instead of understanding that the hegemonic system in place served their country’s interests perfectly well, the Bush team believed that such a system had to be rearranged in tandem with America’s new position as the sole superpower. As a consequence, they began to turn upside down a complex structure that had taken decades to build.

    The Bush administration’s world frame became, indeed, a curious one. It believed in unconditional followers and not in allies’ worthy of respect; it believed in ad hoc coalitions and “with us or against us” propositions where multilateral institutions and norms had little value; it believed in the punishment of dissidence and not in the encouragement of cooperation; it believed in preventive action prevailing over international law.

    In proclaiming the futility of cooperative multilateralism, which in their perspective just constrained the freedom of action of America’s might, they asserted the prerogatives of a sole superpower. The Bush administration’s world frame became, indeed, a curious one. It believed in unconditional followers and not in allies’ worthy of respect; it believed in ad hoc coalitions and “with us or against us” propositions where multilateral institutions and norms had little value; it believed in the punishment of dissidence and not in the encouragement of cooperation; it believed in preventive action prevailing over international law. Well-known “neoconservatives” such as Charles Krauthammer, Robert Kagan, and John Bolton, proclaimed America’s supremacy and derided countries not willing to follow its unilateralism.

                But who were these neoconservatives? They were the intellectual architects of Bush’s foreign policy, who saw themselves as the natural inheritors of the foreign policy establishment of Truman’s time. The one that had forged the fundamental guidelines of America’s foreign policy during the Cold War, in what was labelled as the “creation”. In their view, with the United States having won the Cold War, a new creation was needed. Their beliefs could be summed up as diplomacy if possible, force if necessary; U.N. if possible, ad hoc coalitions, unilateral action, and preemptive strikes if necessary. America, indeed, should not be constrained by accepted rules, multilateral institutions, or international law. At the same time, the U.S.’ postulates of freedom and democracy, expressions of its exceptionalism, entailed the right to propitiate regime change whenever necessary, in order to preserve America’s security and the world order.

    Bogged down in Iraq and Afghanistan, while deriding and humiliating so many around the world, America’s neoconservatives undressed the emperor. By taking off his clothes, they made his frailties visible for everyone to watch.

    Inexplicable, under the light of common sense, the Bush team disassociated power from the international structures and norms that facilitated and legitimized its exercise. As a consequence, America moved from being the most successful hegemonic power ever to becoming a second-rate imperial power that proved incapable of prevailing in two peripheral wars. Bogged down in Iraq and Afghanistan, while deriding and humiliating so many around the world, America’s neoconservatives undressed the emperor. By taking off his clothes, they made his frailties visible for everyone to watch.

                At the beginning of 2005, while reporting a Pew Research Center poll, The Economist stated that the prevailing anti-American sentiment around the world was greater and deeper than at any other moment in history. The BBC World Service and Global Poll Research Partners, meanwhile, conducted another global poll in which they asked, “How do you perceive the influence of the U.S. in the world?”. The populations of some of America’s traditional allies gave an adverse answer in the following percentages: Canada 60%; Mexico 57%; Germany 54%; Australia 52%; Brazil 51%; United Kingdom 50%. With such a negative perception among Washington’s closest allies, America’s credibility was in tatters.[2]

             Is the liberal international order ending? what is next? dailysabah.com

     While Bush’s presidency was reaching its end, Zbigniew Brzezinski wrote a pivotal book that asserted that the United States had lost much of its international standing. This felt, according to the book, particularly disturbing. Indeed, as a result of the combined impact of modern technology and global political awakening, that speeded up political history, what in the past took centuries to materialize now just took decades, whereas what before had taken decades, now could materialize in a single year. The primacy of any world power was thus faced with immense pressures of change, adaptation and fall. Brzezinski believed, however, that although America had deeply eroded its international standing, a second chance was still possible. This is because no other power could rival Washington’s role. However, recuperating the lost trust and legitimacy would be an arduous job, requiring years of sustained effort and true ability. The opportunity of this second chance should not be missed, he insisted, as there wouldn’t be a third one. [3]

    A second chance

                Barak Obama did certainly his best to recover the space that had been lost during the preceding eight years. That is, the U.S.’s leading role within a liberal internationalist structure. However, times had changed since his predecessor’s inauguration. In the first place, a massive financial crisis that had begun in America welcomed Obama, when he arrived at the White House. This had increased the international doubts about the trustiness of the country. In the second place, China’s economy and international position had taken a huge leap ahead during the previous eight years. Brzezinski’s notion that no other power could rival the United States was rapidly evolving. As a result, Obama was left facing a truly daunting challenge.

                To rebuild Washington’s standing in the international scene, Obama’s administration embarked on a dual course of action. He followed, on the one hand, cooperative multilateralism and collective action. On the other hand, he prioritized the U.S.’ presence where it was most in need, avoiding unnecessary distractions as much as possible. Within the first of these aims, Obama seemed to have adhered to Richard Hass’ notion that power alone was simple potentiality, with the role of a successful foreign policy being that of transforming potentiality into real influence. Good evidence of this approach was provided through Washington’s role in the Paris Agreement on Climate Change, in the Joint Comprehensive Plan of Action in relation to Iran, in the NATO summits, in the newly created G20, and in the summits of the Americas, among many other instances. By not becoming too overbearing, and by respecting other countries’ points of view, the Obama Administration played a leading influence within the context of collective action. Although theoretically being one among many, the United States always played the leading role.[4]

    Within this context, Obama’s administration followed a coalition-building strategy. The Trans-Pacific Partnership represented the economic approach to the pivot and aimed at building an association covering forty per cent of the global economy. There, the United States would be the first among equals. As for the security approach to the pivot, the U.S. Navy repositioned its forces within the Pacific and the Atlantic oceans.

                To prioritize America’s presence where it was most needed, Obama turned the attention to China and the Asia-Pacific. While America was focusing on the Middle East, China enjoyed a period of strategic opportunity. His administration’s “pivot to Asia” emerged as a result. This policy had the dual objective of building economic prosperity and security, within that region. Its intention was countering, through facts, the notion that America was losing its staying power in the Pacific. Within this context, Obama’s administration followed a coalition-building strategy. The Trans-Pacific Partnership represented the economic approach to the pivot and aimed at building an association covering forty per cent of the global economy. There, the United States would be the first among equals. As for the security approach to the pivot, the U.S. Navy repositioned its forces within the Pacific and the Atlantic oceans. From a roughly fifty-fifty correlation between the two oceans, sixty per cent of its fleet was moved to the Pacific. Meanwhile, the U.S. increased joint exercises and training with several countries of the region, while stationing 2,500 marines in Darwin, Australia. As a result of the pivot, many of China’s neighbours began to feel that there was a real alternative to this country’s overbearing assertiveness.[5]

                Barak Obama was on a good track to consolidating the second chance that Brzezinski had alluded to. His foreign policy helped much in regaining international credibility and standing for his country, and the Bush years began to be seen as just a bump on the road of America’s foreign policy. Unfortunately, Donald Trump was the next President. And Trump coming just eight years after Bush, was more than what America’s allies could swallow.

    Dog-eat-dog foreign policy

                The Bush and Trump foreign policies could not be put on an equal footing, though. The abrasive arrogance of Bush’s neoconservatives, however distasteful, embodied a school of thought in matters of foreign policy. One, characterized by a merger between exalted visions of America’s exceptionalism and Wilsonianism. Francis Fukuyama defined it as Wilsionanism minus international institutions, whereas John Mearsheimer labelled it as Wilsionanism with teeth. Although overplaying conventional notions to the extreme, Bush’s foreign policy remained on track with a longstanding tradition. Much to the contrary, Trump’s foreign policy, according to Fareed Zakaria, was based on a more basic premise– The world was largely an uninteresting place, except for the fact that most countries just wanted to screw the United States. Trump believed that by stripping the global system of its ordering arrangements, a “dog eat dog” environment would emerge. One, in which his country would come up as the top dog. His foreign policy, thus, was but a reflection of gut feelings, sheer ignorance and prejudices.[6]

                Trump derided multilateral cooperation and preferred a bilateral approach to foreign relations. One, in which America could exert its full power in a direct way, instead of letting it dilute by including others in the decision-making process. Within this context, the U.S.’ market leverage had to be used to its full extent, to corner others into complying with Washington’s positions. At the same time, he equated economy and national security and, as a consequence, was prone to “weaponize” economic policies. Moreover, he premised on the use of the American dollar as a bullying tool to be used to his country’s political advantage. Not only China but some of America’s main allies as well, were targeted within this approach. Dusting off Section 323 of the 1962 Trade Expansion Act, which allowed tariffs on national security grounds, Trump imposed penalizations in every direction. Some of the USA’s closest allies were badly affected as a result.

                Given Trump’s contempt for cooperative multilateralism, but also aiming at erasing Obama’s legacy, an obsessive issue with him, he withdrew the U.S. from the Trans-Pacific Partnership, from the Paris Agreement on Climate Change, and from the Joint Comprehensive Plan of Action in relation to Iran. He also withdrew his country from other multilateral institutions, such as the United Nations’ Human Rights Commission and, in the middle of the Covid 19 pandemic, from the World Health Organization. Trump threatened to cut funding to the U.N., waged a largely victorious campaign to sideline the International Criminal Court, and brought the World Trade Organization to a virtual standstill. Even more, he did not just walk away from the Joint Comprehensive Plan of Action, in relation to Iran, but threatened its other signatories to impose sanctions on them if, on the basis of the agreement, they continued to trade with Iran.

    Trump followed a transactional approach to foreign policy in which principles and allies mattered little, and where trade and money were prioritized over security considerations.

                Trump followed a transactional approach to foreign policy in which principles and allies mattered little, and where trade and money were prioritized over security considerations. In 2019, he asked Japan to increase fourfold its annual contribution for the privilege of hosting 50,000 American troops in its territory, while requesting South Korea to pay 400 percent more for hosting American soldiers. This, amid China’s increasing assertiveness and North Korea’s continuous threats. In his relations with New Delhi, a fundamental U.S. ally within any containment strategy to China, he subordinated geostrategic considerations to trade. On the premise that India was limiting American manufacturers from access to its market, Trump threatened this proud nation with a trade war.[7]

                Irritated because certain NATO member countries were not spending enough on their defence, Trump labelled some of Washington’s closest partners within the organization as “delinquents”. He also threatened to reduce the U.S.’ participation in NATO, calling it “obsolete”, while referring to Germany as a “captive of Russia”. At the same time, Trump abruptly cancelled a meeting with the Danish Prime Minister, because she was unwilling to discuss the sale of Greenland to the United States. This, notwithstanding the fact that this was something expressively forbidden by the 1975 Helsinki Final Act, represents the cornerstone of European stability. The European Union, in his view, was not a fundamental ally, but a competitor and an economic foe. Deliberately, Trump antagonized European governments, including that of London at the time, by cheering Brexit. Meanwhile, he imposed tariffs on steel and aluminium on many of its closest partners and humiliated Canada and Mexico by imposing upon them a tough renegotiation of NAFTA. One, whose ensuing accord did not bring significant changes. Moreover, he fractured the G7, a group integrated by Washington’s closest allies, leaving the United States standing alone on one side with the rest standing on the other.

    In June 2018, Donald Tusk, President of the European Council, expressed his bewilderment at seeing that the rules-based international order was being challenged precisely by its main architect and guarantor– the United States. Financial Times columnist Martin Wolf summoned up all of this, by expressing that under Trump the U.S. had become a rogue superpower.

                Unsurprisingly, thus, America’s closest allies reached the conclusion that they could no longer trust it. Several examples attested to this. In November 2017, Canberra’s White Paper on the security of Asia expressed uncertainty about America’s commitment to that continent. In April 2018, the United Kingdom, Germany and France issued an official statement expressing that they would forcefully defend their interests against the U.S.’ protectionism. On May 10, 2018, Angela Merkel stated in Aquisgran that the time in which Europe could trust America was over. On May 31, 2018, Justin Trudeau aired Canada’s affront at being considered a threat to the United States. In June 2018, Donald Tusk, President of the European Council, expressed his bewilderment at seeing that the rules-based international order was being challenged precisely by its main architect and guarantor– the United States. In November 2019, in an interview given to The Economist, Emmanuel Macron stated that the European countries could no longer rely on the United States, which had turned its back on them. Financial Times columnist Martin Wolf summoned up all of this, by expressing that under Trump the U.S. had become a rogue superpower.[8]

    The return of liberal internationalism

    Politically and geopolitically Biden rapidly went back to the old premises of liberal internationalism. Cooperative multilateralism and collective action were put back in place, and alliances became, once again, a fundamental part of America’s foreign policy. 

               As mentioned, George W. Bush followed a few years later by Donald Trump was more than what America’s allies could handle. Fortunately for that country, and for its allies, Trump failed to be re-elected in 2020, and Joe Biden came to power. True, the latter’s so-called foreign policy for the middle classes kept in place some of Trump’s international trade policies. However, politically and geopolitically he rapidly went back to the old premises of liberal internationalism. Cooperative multilateralism and collective action were put back in place, and alliances became, once again, a fundamental part of America’s foreign policy.  Moreover, Biden forcefully addressed some of his country’s main economic deficiencies, which had become an important source of vulnerability in its rivalry with China. In sum, Biden strengthened the United States’ economy, its alliances, and its international standing.

                Notwithstanding the fact that Biden had to fight inch by inch with a seemingly unconquerable opposition, while continuously negotiating with two reluctant senators from his own party, he was able to pass a group of transformational laws. Among them, are the Infrastructure Investment and Job Act, the CHIPS and Science Act and the Inflation Reduction Act. Together, these legislations allow for a government investment of a trillion dollars in the modernization of the country’s economy and its re-industrialization, including the consolidation of its technological leadership, the updating of its infrastructures and the reconversion of its energy matrix towards clean energy. Private investments derived from such laws would be gigantic, with the sole CHIPS Act having produced investment pledges of more than 100 billion dollars. This projects, vis-à-vis China’s competition, an image of strength and strategic purpose. Moreover, before foes and friends, these accomplishments prove that the U.S. can overcome its legislative gridlocks, in order to modernize its economy and its competitive standing.

                Meanwhile, Washington’s alliances have significantly strengthened. In Europe, Russia’s invasion of Ukraine and Washington’s firm reaction to it had important consequences. While the former showed to its European allies that America’s leadership was still indispensable, the latter made clear that the U.S. had the determination and the capacity to exercise such leadership. Washington has indeed led in response to the invasion, in the articulation of the alliances and the revitalization of NATO, in sanctions on Russia, and in the organization of the help provided to Ukraine. It has also been Kyiv’s main source of support in military equipment and intelligence, deciding at each step of the road what kind of armament should be supplied to the Ukrainian forces. In short, before European allies that had doubted Washington’s commitments to its continent, and of the viability of NATO itself, America proved to be the indispensable superpower.

                Meanwhile, American alliances in the Indo-Pacific have also been strengthened and expanded, with multiple initiatives emerging as a result. As the invasion of Ukraine made evident the return of geopolitics by the big door, increasing the fears of China’s threat to regional order, Washington has become for many the essential partner. America’s security umbrella has proved to be for them a fundamental tool in containing China’s increasing arrogance and disregard for international law and jurisprudence. Among the security mechanisms or initiatives created or reinforced under its stewardship are an energized Quad; the emergence of AUKUS; NATO’s approach to the Indo-Pacific region; the tripartite Camp David’s security agreement between Japan, South Korea and the U.S.; a revamped defence treaty with The Philippines; an increased military cooperation with Australia; and Hanoi’s growing strategic alignment with Washington. On the economic side, we find the Indo-Pacific Economic Framework for Prosperity and the freshly emerged Partnership for Global Infrastructure and Investment & India-Middle East-Europe Economic Corridor.

    Enough would be enough

                Although the Global South has proved to be particularly reluctant to fall back under the security leadership of the superpowers, Washington has undoubtedly become the indispensable partner for many in Europe and the Indo-Pacific. Thanks to Biden, the United States has repositioned itself on the cusp of a potent alliance system, regaining credibility and vitality. What would happen, thus, if he is defeated in the 2024 elections and Trump regains the White House? In 2007, Brzezinski believed, as mentioned, that although America had deeply eroded its international standing, a second chance was still possible. Actually, with Biden (and thanks in no small part to the Russian invasion and China’s pugnacity), the U.S. got an unexpected third chance. But definitively, enough would be enough. Moreover, during Trump’s first term in office, a professional civil service and an institutional contention wall (boosted by the so-called “adults in the room”), may have been able to keep at bay Trump’s worst excesses. According to The Economist, though, that wouldn’t be the case during a second term, where thousands of career public servants would be fired and substituted by MAGA followers. The deconstruction of the so-called “deep State” would be the aim to be attained, which would translate into getting rid of anyone who knows how to get the job done within the Federal Government. Hence, for America’s allies, Trump’s nightmarish first period would pale in relation to a second one. Trump followed four years later by Trump, no doubt about it, would shatter America’s trustiness, credibility, international standing, and its system of alliances. [9]

    Notes:

    [1] “Bracing for Trump 2.0”, Foreign Affairs, September 5, 2023

    [2] The Economist, 19th February, 2005; Walt, Stephen M, Taming American Power, New York: W.W. Norton and Company, 2005, p.72.

    [3] Second Chance, New York: Basic Books, 2007, p. 191, 192, 206.

    [4] Hass, Richard, “America and the Great Abdication”, The Atlantic, December 28, 2017.

    [5] Campbell, Kurt, The Pivot, New York: Twelve, 2016, pp. 11-28.

    [6] Steltzer, Irwin, Neoconservatism, London: Atlantic Books, 2004, pp. 3-28; Fukuyama, Francis, “After the Neoconservatives”, London: Profile Books, 2006, p. 41; Zakaria, Farid, “The Self-Destruction of American Power”, Foreign Affairs, July-August 2019.

    [7] World Politics Review, “Trump works overtime to shake down alliances in Asia and appease North Korea”, October 14, 2019.

    [8] White, Hugh, “Canberra voices fears”, The Strait Time, 25 November, 2017; Breuninger, Kevin, “Canada announces retaliatory tariffs”, CNBC, May 31, 2018; The Economist, “Emmanuel Macron warns Europe”, November 7th, 2019; Kishore Mahbubani, Has China Won? New York: Public Affairs, 2020, p. 56; Cooley, Alexander and Nexon, Daniel, Exit from Hegemony , Oxford: Oxford University Press, 2020, p. 70.

    [9]  The Economist, “Preparing the way: The alarming plans for Trump’s second term”, July 15th, 2023.

     

    Feature Image Credit: livemint.com

    Cartoon Credit: seltzercreativegroup.com

  • Balancing Civilizations: Neither Clash, mere Multiplicity nor Conversion

    Balancing Civilizations: Neither Clash, mere Multiplicity nor Conversion

    The modern world is a product of intense competition and conflict that evolved from the European ‘system of states’ propensity and greed for the acquisition of territory and resources through colonialism and imperialism. The post-1945 world continues to suffer the ills of Western domination and exploitation as is evidenced by the innumerable number of wars, conflicts, and interventions….supposedly part of the imperial civilising missions. As the non-Western world rises the choices are either conflict or cooperation. The G20 Summit 2023 being held in New Delhi is an opportunity to recognise and chart a new path for the world. The authors, Andreas Herberg-Rothe and Key-young Son, emphasise the importance and need for cooperation and harmony amongst the civilisations of the world.

    G20 Summit 2023 in New Delhi is underway on September 9-10, 2023. 

    We propose the non-binary concepts of Clausewitzian floating equilibrium, Confucian harmony, and Arendtian politics of plurality as key ideas to avert and mitigate contemporary conflicts.

    In many of the world’s hot spots, both civil and governmental combatants have become embroiled in unending conflicts based on a binary position: “us against the rest.” After two hundred years of imperialism and Euro-American hegemony that have produced varying degrees of adaptation or rejection of Western modernity, it may be time for the world’s great civilizations to learn how to live harmoniously with one another. The world order of the twenty-first century will not be based entirely on modernist ideas and institutions such as nation-states, laissez-faire capitalism, individualism, science and technology, and progress. How then can we accommodate other civilizations and cultures?

    We propose mediation, recognition, harmony and floating balance as key principles for inter-civilizational and inter-cultural dialogue and conviviality, accompanied by the awareness that we are all descended from a small group of African ancestors. Mediation and recognition between friends and enemies will be the initial recipes for transforming hostility into partnership, while harmony and floating balance between and within opposites, such as individual versus community, freedom versus equality, will help sustain the momentum for forging constructive relationships.

    After the process of political decolonization in the twentieth century, we still need to decolonize our way of thinking. The values of the East and the West cannot survive in their absolute form in this globalized world.

    As former Israeli Prime Minister Yitzhak Rabin put it, “You don’t have to make peace with your friends; you have to make peace with your enemies. As a legacy of previous centuries, however, the binary thinking of “us against them” has paradoxically retained a strong presence in twenty-first-century international relations. If this thinking continues to be the decisive force, we could repeat the catastrophes of the twentieth century. After the process of political decolonization in the twentieth century, we still need to decolonize our way of thinking. The values of the East and the West cannot survive in their absolute form in this globalized world. It is our deepest conviction that the Western and like-minded states could only hold on to values such as freedom, equality, emancipation and human rights if they could be harmoniously balanced with the contributions of other civilizations and cultures.

    The concept of floating equilibrium, derived from our interpretation of the “wondrous trinity” of the Prussian military theorist Carl von Clausewitz, means not relativity, but relationality and proportionality. At the end of his life, Clausewitz drew the conclusion for the theory of violent conflict that every war is composed of the three opposing tendencies of primordial violence, which he compared to hatred and enmity as a blind natural force, to chance and probability, and to the subordination of war as a political instrument, which makes war subject to pure reason. With Clausewitz’s concept, it is clear that war involves two extreme opposites – primordial violence on the one hand and pure reason on the other. By adding the third tendency, chance and probability, wars become different in their composition.

    We use Clausewitz’s concept as a methodological starting point to find a floating balance between various contrasts and contradictions that are evident in the current phase of globalization, which Zygmunt Bauman calls “liquid modernity”. These contrasts include those between the individual and the community, equality and freedom, war and peace, and recognition and disrespect. We argue that Clausewitz’s wondrous trinity and “floating equilibrium” can be used as a way to interpret and mitigate today’s conflicts, although Clausewitz developed these notions to analyze the warfare of his time.

    Globalization has led to the “rise of the rest” or Amitav Acharya’s “multiplex world” of nation-states, NGOs, global institutions, global terrorism, and violent gangs of young people from the suburbs of Paris to the slums of Rio who are excluded from the benefits of globalization. This includes both of the following macro developments:

    On the one hand, globalization allows the former empires (China, Russia and India) and some developing countries with large populations (Brazil, Indonesia, South Africa) to regain their status as great powers. This development could lead to a global network of megacities competing on connectivity rather than borders, as in China’s efforts to reestablish the ancient trade routes of the Silk Road. On the other hand, it dissolves traditional identities and forms of governance to some extent as a result of social inequality, leading to fragmented societies and a re-ideologization of domestic conflicts, as already seen with the rise of the far right in the US, Europe and Russia, but also Salafism, exaggerated Hindu and Chinese nationalist movements.

    the terrible inequalities in this world, where 1% of the world’s population has as much as 99% of the “rest”, or 62 billionaires own as much as 3.5 billion people, are the result of unrestricted and unbalanced freedom. We need to reinvent a balance between freedom and equality so as not to legitimize the inversion of freedom in the name of freedom by the aristocracy of property owners.

    Failed states, the wave of migrants and refugees around the world, climate catastrophes, and growing inequalities are the result of the “liquid modernity” that accompanies the dissolution of individual, community, and state identities. Ideologies did not dissolve with the end of the twentieth century or the advent of globalization but rather shifted from modern, utopian ideologies such as socialism and democracy and their aberrations such as Nazism and Stalinism to postmodern ones. The rise of postmodern ideologies such as Salafism is the result of globalization and the West’s refusal to recognize other civilizations and cultures. Moreover, the terrible inequalities in this world, where 1% of the world’s population has as much as 99% of the “rest”, or 62 billionaires own as much as 3.5 billion people, are the result of unrestricted and unbalanced freedom. We need to reinvent a balance between freedom and equality so as not to legitimize the inversion of freedom in the name of freedom by the aristocracy of property owners.

    In short, we propose the non-binary concepts of Clausewitzian floating equilibrium, Confucian harmony, and Arendtian politics of plurality as key ideas to avert and mitigate contemporary conflicts. Both Confucian harmony and Hanna Arendt’s concept of plurality are based on the harmonious relationship between different actors, or the floating balance of equality and difference, given that all human beings are similar enough to understand each other, but each is an individual endowed with uniqueness.

    Due to the speed and scale of information processing and transmission, the contemporary world is turning much faster than the commonly known modern world. If modernity is a temporal and spatial playground for rationality, the contemporary world is rather a playground for the mixture of the Clausewitzian trinity: reason, emotion, and chance. This means that while we would like to use reason in making decisions, we are often swamped by emotion and ultimately forced to take chances, given the short time frame available for any reasonable calculation and the ever-changing, chameleon-like internal and external environments. As an analyst of war, Clausewitz had long studied this trinity, for war, as a microcosm of human realities, is where reason, emotion, and chance play their respective roles.

    In this everyday situation of war, Clausewitz’s revived ideas can offer his posterity many valuable insights. All in all, Clausewitz diverts our attention from the unbalanced diet of the modernists in favour of rationality and offers a healthy recipe for analyzing contemporary problems where reason, emotion, and chance intersect, often with an unexpected outcome.

    No matter how powerful a single state may be, it will remain a minority compared to the rest of the world. In this globalized world, there would be no room for any kind of exceptionalism, American or Chinese, but only a floating balance between the world’s great civilizations.

    It is a choice between repeating the same mistake of forcibly imposing our own values on the rest of the world, as we did in the twentieth century, or embarking on a new civilizational project of harmony and co-prosperity. No matter how powerful a single state may be, it will remain a minority compared to the rest of the world. In this globalized world, there would be no room for any kind of exceptionalism, American or Chinese, but only a floating balance between the world’s great civilizations. Such a floating balance is a kind of mediation between the opposites of Huntington’s clash of civilizations on the one hand and the generalization of the values of only one civilization on the other. A mere multiplicity of approaches would only lead to a variant of the clash of civilizations. The first step in this direction is to recognize that in a globalized world, great civilizations must learn from each other for their own benefit and interest. If the values of the Western world lead to such terrible and immoral inequalities, we need to rethink our value systems – and if the concept of hierarchy in the Eastern world leads to violations of a harmoniously balanced society, we need to rethink those value systems as well. Whereas in classical Confucianism harmony was based on strict hierarchical oppositions, in a globalized world we need a floating balance between hierarchical and symmetrical social relations, combining Clausewitz and Confucius.

    Feature Image Credit: Storming of the Srirangapattinam Fort by the British. Fourth Anglo-Mysore War, 1799. Consolidation of colonialism and imperialism. www.mediastorehoise.com

  • The US economic war on China

    The US economic war on China

    The anti-China policies come out of a familiar playbook of US policy-making. The aim is to prevent economic and technological competition from a major rival.

    China’s economy is slowing down. Current forecasts put China’s GDP growth in 2023 at less than 5%, below the forecasts made last year and far below the high growth rates that China enjoyed until the late 2010s. The Western press is filled with China’s supposed misdeeds: a financial crisis in the real estate market, a general overhang of debt, and other ills. Yet much of the slowdown is the result of US measures that aim to slow China’s growth. Such US policies violate World Trade Organization rules and are a danger to global prosperity. They should be stopped.
    The anti-China policies come out of a familiar playbook of US policy-making. The aim is to prevent economic and technological competition from a major rival. The first and most obvious application of this playbook was the technology blockade that the US imposed on the Soviet Union during the Cold War. The Soviet Union was America’s declared enemy and US policy aimed to block Soviet access to advanced technologies.

    At the end of the 1980s and early 1990s, the US deliberately sought to slow Japan’s economic growth. This may seem surprising, as Japan was and is a US ally. Yet Japan was becoming “too successful,” as Japanese firms outcompeted US firms in key sectors, including semiconductors, consumer electronics, and automobiles.

    The second application of the playbook is less obvious, and in fact, is generally overlooked even by knowledgeable observers. At the end of the 1980s and early 1990s, the US deliberately sought to slow Japan’s economic growth. This may seem surprising, as Japan was and is a US ally. Yet Japan was becoming “too successful,” as Japanese firms outcompeted US firms in key sectors, including semiconductors, consumer electronics, and automobiles. Japan’s success was widely hailed in bestsellers such as Japan as Number One by my late, great colleague, Harvard Professor Ezra Vogel.
    In the mid-to-late 1980s, US politicians limited US markets to Japan’s exports (via so-called “voluntary” limits agreed with Japan) and pushed Japan to overvalue its currency. The Japanese Yen appreciated from around 240 Yen per dollar in 1985 to 128 Yen per dollar in 1988 and 94 Yen to the dollar in 1995, pricing Japanese goods out of the US market. Japan went into a slump as export growth collapsed. Between 1980 and 1985, Japan’s exports rose annually by 7.9 percent; between 1985 and 1990, export growth fell to 3.5 percent annually; and between 1990 and 1995, to 3.3 percent annually. As growth slowed markedly, many Japanese companies fell into financial distress, leading to a financial bust in the early 1990s.

    In the mid-1990s, I asked one of Japan’s most powerful government officials why Japan didn’t devalue the currency to re-establish growth. His answer was that the US wouldn’t allow it.

    Now the US is taking aim at China. Starting around 2015, US policymakers came to view China as a threat rather than a trade partner. This change of view was due to China’s economic success. China’s economic rise really began to alarm US strategists when China announced in 2015 a “Made in China 2025” policy to promote China’s advancement to the cutting edge of robotics, information technology, renewable energy, and other advanced technologies. Around the same time, China announced its Belt and Road Initiative to help build modern infrastructure throughout Asia, Africa and other regions, largely using Chinese finance, companies, and technologies.

    After winning the 2016 election on an anti-China platform, Trump imposed unilateral tariffs on China that clearly violated WTO rules. To ensure that WTO would not rule against the US measures, the US disabled the WTO appellate court by blocking new appointments.

    The US dusted off the old playbook to slow China’s surging growth. President Barrack Obama first proposed to create a new trading group with Asian countries that would exclude China, but presidential candidate Donald Trump went further, promising outright protectionism against China. After winning the 2016 election on an anti-China platform, Trump imposed unilateral tariffs on China that clearly violated WTO rules. To ensure that WTO would not rule against the US measures, the US disabled the WTO appellate court by blocking new appointments. The Trump Administration also blocked products from leading Chinese technology companies such as ZTE and Huawei and urged US allies to do the same.

    When President Joe Biden came to office, many (including me) expected Biden to reverse or ease Trump’s anti-China policies. The opposite happened. Biden doubled down, not only maintaining Trump’s tariffs on China but also signing new executive orders to limit China’s access to advanced semiconductor technologies and US investments. American firms were advised informally to shift their supply chains from China to other countries, a process labelled “friend-shoring” as opposed to offshoring. In carrying out these measures, the US completely ignored WTO principles and procedures.

    The US strongly denies that it is in an economic war with China, but as the old adage goes, if it looks like a duck, swims like a duck, and quacks like a duck, it’s probably a duck. The US is using a familiar playbook, and the Washington politicians are invoking martial rhetoric, calling China an enemy that must be contained or defeated.

    The results are seen in a reversal of China’s exports to the US. In the month that Trump came into office, January 2017, China accounted for 22 per cent of US merchandise imports. By the time Biden came into office in January 2021, China’s share of US imports had dropped to 19 per cent. As of June 2023, China’s share of US imports had plummeted to 13 per cent. Between June 2022 and June 2023, US imports from China fell by a whopping 29 per cent.

    Of course, the dynamics of China’s economy are complex and hardly driven by China-US trade alone. Perhaps China’s exports to the US will partly rebound. Yet Biden seems unlikely to ease trade barriers with China in the lead-up to the 2024 election.

    Unlike Japan in the 1990s, which was dependent on the US for its security, and so followed US demands, China has more room for maneuver in the face of US protectionism. Most importantly, I believe, China can substantially increase its exports to the rest of Asia, Africa, and Latin America, through policies such as expanding the Belt and Road Initiative. My assessment is that the US attempt to contain China is not only wrongheaded in principle but destined to fail in practice. China will find partners throughout the world economy to support a continued expansion of trade and technological advances.

     

    Feature Image Credit: The limits of US-China Economic Rivalry www.setav.org

  • BRICS: On 1 January 2024, the World’s Centre of Gravity will Shift

    BRICS: On 1 January 2024, the World’s Centre of Gravity will Shift

    As is often the case in history, the actions of a dying empire create common ground for its victims to look for new alternatives, no matter how embryonic and contradictory they are. The diversity of support for the expansion of BRICS is an indication of the growing loss of the political hegemony of imperialism.

    On the last day of the BRICS summit in Johannesburg, South Africa, the five founding states (Brazil, Russia, India, China, and South Africa) welcomed six new members: Argentina, Egypt, Ethiopia, Iran, Saudi Arabia, and the United Arab Emirates (UAE). The BRICS partnership now encompasses 47.3 per cent of the world’s population, with a combined global Gross Domestic Product (by purchasing power parity, or PPP,) of 36.4 per cent. In comparison, though the G7 states (Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States) account for merely 10 per cent of the world’s population, their share of the global GDP (by PPP) is 30.4 per cent. In 2021, the nations that today form the expanded BRICS group were responsible for 38.3 percent of global industrial output while their G7 counterparts accounted for 30.5 percent. All available indicators, including harvest production and the total volume of metal production, show the immense power of this new grouping. Celso Amorim, advisor to the Brazilian government and one of the architects of BRICS during his former tenure as foreign minister, said of the new development that ‘[t]he world can no longer be dictated by the G7’.

    Certainly, the BRICS nations, for all their internal hierarchies and challenges, now represent a larger share of the global GDP than the G7, which continues to behave as the world’s executive body. Over forty countries expressed an interest in joining BRICS, although only twenty-three applied for membership before the South Africa meeting (including seven of the thirteen countries in the Organisation of Petroleum Exporting Countries, or OPEC). Indonesia, the world’s seventh largest country in terms of GDP (by PPP), withdrew its application to BRICS at the last moment but said it would consider joining later. Indonesia’s President Joko Widodo’s comments reflect the mood of the summit: ‘We must reject trade discrimination. Industrial down streaming must not be hindered. We must all continue to voice equal and inclusive cooperation’.

    The facts are clear: the Global North’s percentage of world GDP fell from 57.3 per cent in 1993 to 40.6 per cent in 2022, with the US’s percentage shrinking from 19.7 per cent to only 15.6 per cent of global GDP (by PPP) in the same period – despite its monopoly privilege. In 2022, the Global South, without China, had a GDP (by PPP) greater than that of the Global North.

    BRICS does not operate independently of new regional formations that aim to build platforms outside the grip of the West, such as the Community of Latin America and Caribbean States (CELAC) and the Shanghai Cooperation Organisation (SCO). Instead, BRICS membership has the potential to enhance regionalism for those already within these regional fora. Both sets of interregional bodies are leaning into a historical tide supported by important data, analysed by Tricontinental: Institute for Social Research using a range of widely available and reliable global databases. The facts are clear: the Global North’s percentage of world GDP fell from 57.3 per cent in 1993 to 40.6 per cent in 2022, with the US’s percentage shrinking from 19.7 per cent to only 15.6 per cent of global GDP (by PPP) in the same period – despite its monopoly privilege. In 2022, the Global South, without China, had a GDP (by PPP) greater than that of the Global North.

    The West, perhaps because of its rapid relative economic decline, is struggling to maintain its hegemony by driving a New Cold War against emergent states such as China. Perhaps the single best evidence of the racial, political, military, and economic plans of the Western powers can be summed up by a recent declaration of the North Atlantic Treaty Organisation (NATO) and the European Union (EU): ‘NATO and the EU play complementary, coherent and mutually reinforcing roles in supporting international peace and security. We will further mobilise the combined set of instruments at our disposal, be they political, economic, or military, to pursue our common objectives to the benefit of our one billion citizens’.

    Why did BRICS welcome such a disparate group of countries, including two monarchies, into its fold? When asked to reflect on the character of the new full member states, Brazil’s President Luiz Inácio Lula da Silva said, ‘What matters is not the person who governs but the importance of the country. We can’t deny the geopolitical importance of Iran and other countries that will join BRICS’. This is the measure of how the founding countries made the decision to expand their alliance. At the heart of BRICS’s growth are at least three issues: control over energy supplies and pathways, control over global financial and development systems, and control over institutions for peace and security.

    A larger BRICS has now created a formidable energy group. Iran, Saudi Arabia, and the UAE are also members of OPEC, which, with Russia, a key member of OPEC+, now accounts for 26.3 million barrels of oil per day, just below thirty per cent of global daily oil production. Egypt, which is not an OPEC member, is nonetheless one of the largest African oil producers, with an output of 567,650 barrels per day. China’s role in brokering a deal between Iran and Saudi Arabia in April enabled the entry of both of these oil-producing countries into BRICS. The issue here is not just the production of oil, but the establishment of new global energy pathways.

    The Chinese-led Belt and Road Initiative has already created a web of oil and natural gas platforms around the Global South, integrated into the expansion of Khalifa Port and natural gas facilities at Fujairah and Ruwais in the UAE, alongside the development of Saudi Arabia’s Vision 2030. There is every expectation that the expanded BRICS will begin to coordinate its energy infrastructure outside of OPEC+, including the volumes of oil and natural gas that are drawn out of the earth. Tensions between Russia and Saudi Arabia over oil volumes have simmered this year as Russia exceeded its quota to compensate for Western sanctions placed on it due to the war in Ukraine. Now these two countries will have another forum, outside of OPEC+ and with China at the table, to build a common agenda on energy. Saudi Arabia plans to sell oil to China in renminbi (RMB), undermining the structure of the petrodollar system (China’s two other main oil providers, Iraq and Russia, already receive payment in RMB).

    Both the discussions at the BRICS summit and its final communiqué focused on the need to strengthen a financial and development architecture for the world that is not governed by the triumvirate of the International Monetary Fund (IMF), Wall Street, and the US dollar. However, BRICS does not seek to circumvent established global trade and development institutions such as the World Trade Organisation (WTO), the World Bank, and the IMF. For instance, BRICS reaffirmed the importance of the ‘rules-based multilateral trading system with the World Trade Organisation at its core’ and called for ‘a robust Global Financial Safety Net with a quota-based and adequately resourced [IMF] at its centre’. Its proposals do not fundamentally break with the IMF or WTO; rather, they offer a dual pathway forward: first, for BRICS to exert more control and direction over these organisations, of which they are members but have been suborned to a Western agenda, and second, for BRICS states to realise their aspirations to build their own parallel institutions (such as the New Development Bank, or NDB). Saudi Arabia’s massive investment fund is worth close to $1 trillion, which could partially resource the NDB.

    BRICS’s agenda to improve ‘the stability, reliability, and fairness of the global financial architecture’ is mostly being carried forward by the ‘use of local currencies, alternative financial arrangements, and alternative payment systems’. The concept of ‘local currencies’ refers to the growing practice of states using their own currencies for cross-border trade rather than relying upon the dollar. Though approximately 150 currencies in the world are considered to be legal tender, cross-border payments almost always rely on the dollar (which, as of 2021, accounts for 40 per cent of flows over the Society for Worldwide Interbank Financial Telecommunications, or SWIFT, network).

    Other currencies play a limited role, with the Chinese RMB comprising 2.5 per cent of cross-border payments. However, the emergence of new global messaging platforms – such as China’s Cross-Border Payment Interbank System, India’s Unified Payments Interface, and Russia’s Financial Messaging System (SPFS) – as well as regional digital currency systems promise to increase the use of alternative currencies. For instance, cryptocurrency assets briefly provided a potential avenue for new trading systems before their asset valuations declined, and the expanded BRICS recently approved the establishment of a working group to study a BRICS reference currency.

    Following the expansion of BRICS, the NDB said that it will also expand its members and that, as its General Strategy, 2022–2026 notes, thirty per cent of all of its financing will be in local currencies. As part of its framework for a new development system, its president, Dilma Rousseff, said that the NDB will not follow the IMF policy of imposing conditions on borrowing countries. ‘We repudiate any kind of conditionality’, Rousseff said. ‘Often a loan is given upon the condition that certain policies are carried out. We don’t do that. We respect the policies of each country’.

    In their communiqué, the BRICS nations write about the importance of ‘comprehensive reform of the UN, including its Security Council’

    In their communiqué, the BRICS nations write about the importance of ‘comprehensive reform of the UN, including its Security Council’. Currently, the UN Security Council has fifteen members, five of whom are permanent (China, France, Russia, the UK, and the US). There are no permanent members from Africa, Latin America, or the most populous country in the world, India. To repair these inequities, BRICS offers its support to ‘the legitimate aspirations of emerging and developing countries from Africa, Asia, and Latin America, including Brazil, India, and South Africa to play a greater role in international affairs’. The West’s refusal to allow these countries a permanent seat at the UN Security Council has only strengthened their commitment to the BRICS process and to enhance their role in the G20.

    The entry of Ethiopia and Iran into BRICS shows how these large Global South states are reacting to the West’s sanctions policy against dozens of countries, including two founding BRICS members (China and Russia). The Group of Friends in Defence of the UN Charter – Venezuela’s initiative from 2019 – brings together twenty UN member states that are facing the brunt of illegal US sanctions, from Algeria to Zimbabwe. Many of these states attended the BRICS summit as invitees and are eager to join the expanded BRICS as full members.

    We are not living in a period of revolutions. Socialists always seek to advance democratic and progressive trends. As is often the case in history, the actions of a dying empire create common ground for its victims to look for new alternatives, no matter how embryonic and contradictory they are. The diversity of support for the expansion of BRICS is an indication of the growing loss of the political hegemony of imperialism.

    This article was published earlier in tricontinental.org and is republished under the Creative Commons.

     

  • Migrant or native, we are all out of Africa

    Migrant or native, we are all out of Africa

    No human group can make a concerted claim as regards nativism and try to make an ‘other’ an immigrant, foreigner or outsider

    Why, and how, does Mizoram get involved in the ongoing ethnic (and religious) strife that has been on for over three months in Manipur? The Kukis and Zomis in Manipur are ethnically related to the Mizos, the dominant community in Mizoram. The Mizos, in turn, are ethnically related to the Chins in Myanmar and the Kuki-Chins in Bangladesh.

    Together they all belong to the greater Zo community, speak a similar language, have common ancestry and parallels as regards their cultures and traditions. These latter groups are predominantly Christian and hence have a strong bond with the Mizos in Mizoram, a ‘Christian state’, like Nagaland. The Chief Minister of Mizoram, Zoramthanga, is a Mizo.

    In Manipur, the Meiteis, a Hindu community, are the majority and overwhelmingly numerically dominant. But it is interesting that the Meiteis are found in small numbers in Mizoram too, and many have started fleeing from the state. A similar fleeing of the Kukis from Manipur to Mizoram has happened. Also, there are the Naga groups in different pockets of Manipur. The neighbouring state of Nagaland has 17 officially recognised Naga groups.

    It is exasperating, and quite disquieting, to note the presence of ethnic groups that are dominant in one state, being minorities in a neighbouring state. Such existence has given rise to very foreboding situations and added to the already prevailing ethnic conflicts in India’s North-East.

    It is not just that the Indian states in the region share common borders. There are international borders too in the area, as Bangladesh and Myanmar adjoin the Indian states. Different communities/tribes/groups of people have lived in the regions that are the focus of our discussion for aeons. Such inter-state and international habitations of ethnic groups across states/countries are come across elsewhere in the world too.

    One of the most interesting and classic instances of a single ethnic group, who regard themselves as a single nation, and inhabit more than one country, is that of the Bedouin (found in Syria, Algeria, Morocco, Libya, Egypt, Israel, and so on). Such situations come about because free-ranging groups of people, or partially or fully settled groups of people, got divided into different states or countries because of the coming in of boundaries and division of territories.

    What would have been the scenario if these borders between states and countries had not come up? We would undoubtedly have diverse groups living in enclaves, either quite separated or adjoining each other either as small groups or larger ones, but sans the borders dividing them; the question of majority/minority or dominance/subservience would not, probably, have had the same kind of meaning or effect as has happened due to the drawing of borders between states and countries.

    Borders that formed between enclaves of diverse inhabitants and made groups of people dominant and/or majority groups have resulted in hegemony, where the traditions, customs, practices, and mores of that group have gained significance. These traditions and customs prevail extensively when compared to the practices of the smaller groups in that same area. Invariably, the dominant group makes claims to being the ‘original inhabitants’ and the ‘natives’ of the state/country concerned.

    Quite often co-habitants develop similar institutions and social and cultural practices despite the differences and diversity between them, and this is quite apparent in multicultural societies. Amitav Ghosh argues that “it is … the vitality of the place itself that creates commonalities between the people who dwell in it, no matter what their origin” (The Nutmeg’s Curse, page 221). But sadly, it is the differences that often come to the fore, and similarities remain latent.

    Here, it is pertinent for us to dwell on the facets of claims that groups make as regards being the autochthons and natives of a given state/country. By extension, the non-dominant groups are labelled ‘immigrants’, ‘foreigners’, and ‘outsiders’. Prior to ‘Out of Africa’, and the spread of Homo sapiens to the different parts of the world, somewhere between 80,000 and 50,000 years ago, there were no fully evolved human beings in any part of the world. Subsequent to a group of them leaving Africa, different parts of the Earth got populated gradually.

    All the physiognomic and phenotypical differences that we find among humans today, including skin colour, hair texture, and colour of the eyes came about as a result of where people settled.

    To put it tersely, no human group can make a concerted claim as regards nativism and try to make an ‘other’ an immigrant, foreigner or outsider. Ghosh endorses this when he says “Except for one small part of Africa, nowhere on Earth can people be said to be truly native, in the sense of having come into being on that soil” (The Nutmeg’s Curse, page 221).

     

    This article was published earlier in Deccan Herald.

    Feature Image:Kuki women leave after attending a protest against the alleged sexual assault of two tribal women, in Churachandpur district in Manipur. Credit: Retuers Photo

     

  • India’s rocky path to establishing joint theatre commands

    India’s rocky path to establishing joint theatre commands

    The Indian military has been seeking to build jointness among its services for decades, including through proposals to establish regional joint theatre commands with responsibility for different areas of the subcontinent and beyond. But those efforts hit a roadblock earlier this year when the Indian Air Force (IAF) objected to its capabilities being split across commands and relegated to providing tactical support to land operations. A truly joint Indian military may still be a long way off.


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