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    Armenia and Azerbaijan Clash Again

    The on-again, off-again conflict between Armenia and Azerbaijan over the border region of Nagorno-Karabakh became hot again on the weekend of July 11. Skirmishes are common in the contested region, which is known as Artsakh to the Armenian side, but this recent round of deadly attacks is the most serious escalation since the Four Day War in 2016 and is outside the typical point of contact. As usual, international calls for restraint and a diplomatic solution have been voiced, but internal politics between the two sides continue to amplify their serious disagreements. It seems as though the situation will continue to escalate, but the current circumstances are unlikely to spark a full-scale confrontation.

    As in the case of other post-Soviet frozen conflicts — as well as land disputes in the North Caucasus — the dispute over Nagorno-Karabakh is intrinsically linked to the early history of the 20th century. Shifts of power resultant from the loss of the Ottoman Empire in World War I, the collapse of the Russian Empire and the territorial delineations configured in the formative days of the Soviet Union and its subsequent break-up created borders that did not appease all sides of the local populations. Nagorno-Karabakh has an ethnic Armenian majority, but political maneuvering in the 1920s handed its jurisdiction, and thus international recognition, to Azerbaijan. Armenia continued to voice its discontent over this arrangement, but matters of borders and ethnicity remained contained while the territories were part of a wider empire with one central government.

    As the Soviet Union neared its end, the question of Nagorno-Karabakh reemerged as Karabakh Armenians sought the reconnection of the territory with Armenia proper. Subsequent political actions, including an unofficial referendum and a petition to the Supreme Soviet of the USSR to sanction the territorial transfer, infuriated the Azeri public. In 1988, the Nagorno-Karabakh War officially broke out just as inter-ethnic relations deteriorated, killing between 20,000 and 30,000 people. A further referendum in 1991, boycotted by Azerbaijan, quashed the prior plea to join Armenia in favor of the pursuit of independence for Nagorno-Karabakh. Fighting escalated to the point that both Armenia and Azerbaijan accused each other of ethnic cleansing. It was at this point that the international community turned its attention to the regional conflict in the South Caucasus.

    Contemporary Crisis

    In 1994, the Russian Federation mediated a ceasefire between Armenia, Azerbaijan and the Republic of Nagorno-Karabakh (as of 2017, officially the Republic of Artsakh). For the most part, this agreement has kept hostilities contained, minus the ongoing instances of low-level clashes and explicit violations by both sides. For example, the Four Day War in April 2016 witnessed Azerbaijan regain “two strategic hills, a village, and a total of about 2,000 hectares.” Nonetheless, Armenia has not fulfilled concessions required by UN Security Council resolutions, such as the withdrawal of its troops, leaving Azerbaijan perpetually frustrated.

    There has been a continued push for engagement and peace talks by the international community, primarily the Organization for Security and Co-Operation in Europe’s (OSCE) Minsk Group, chaired by Russia, France and the United States, since 1992. Still, there are no official relations between Armenia and Azerbaijan as a result, and it has been difficult to breathe life into peace talks in a decades-long conflict.

    It is unclear what exactly sparked the current round of hostilities between Armenia and Azerbaijan, but both sides blame the other for the escalation. The heightened tensions came only days after Azerbaijan’s president, Ilham Aliyev, declared that peace talks to resolve the conflict had essentially have stalled. One key difference between the current situation and those in the past is that the deadly encounter between forces did not occur directly in Nagorno-Karabakh, but rather in the northern Tavush section of the Armenian border.

    On July 12, the Defense Ministry of Azerbaijan announced that Armenia launched an offensive that consequently killed two Azerbaijani servicemen and left five others wounded. In retaliation, Azeri forces launched a counterstrike, setting the scene for yet another protracted spat. Attacks have continued almost on a daily basis since the outbreak of the current impasse, and there have been numerous reports of shelling, tank movements and the use of combat unmanned aerial vehicles and grenade launchers.

    While actions on the ground may be dramatic, they remain at a low level. On the other hand, authorities in Armenia and Azerbaijan up the ante through heightened threats and verbal tit-for-tats. This is typical of ethnic spats that rely heavily on nationalist rhetoric to amplify cohesive public support for military actions, whether offensive or defensive. In a case of a highly provocative statement that should raise eyebrows, the head of Azerbaijan’s Ministry of Defense press service stated that “The Armenian side should not forget that the latest missile systems, which are in service with our army, allow hitting the Metsamor Nuclear Power Plant with high precision, which can lead to a huge catastrophe for Armenia.”

    A retort by the Armenian Ministry of Foreign Affairs noted that such possible violations of international law are “an explicit demonstration of state terrorism and genocidal intent of Azerbaijan” as well as “leadership of Azerbaijan acts as a menace to all the peoples of the region, including its own people.”

    Too Late for Diplomacy?

    After 30 years of a tense and barely tolerated relationship, it seems unlikely that any political or diplomatic solution will result from this latest round of tensions. Indeed, a significant diplomatic effort has been expended to resolve the Nagorno-Karabakh conflict and wider disputes between Armenia and Azerbaijan to no avail. At this time, it is simply enough that the sides generally adhere to the 1994 ceasefire and engage with the Minsk Group. For instance, the OSCE institution released a press statement that the belligerents of the conflict must “resume substantive negotiations as soon as possible and emphasize the importance of returning OSCE monitors to the region as soon as circumstances allow.”

    International voices have all chimed in and called for restraint by both Armenia and Azerbaijan. Besides being a co-chair for the Minsk Group, Russia is understandably concerned about the clashes in its neighborhood. Deputy Foreign Minister Andrey Rudenko reiterated sentiments similar to the OSCE, calling on “both parties to immediately ceasefire and start negotiations in order to prevent a recurrence of these incidents.” On the other hand, Turkey’s Foreign Minister Mevlut Cavusoglu called on Armenia to “pull its head together” and subsequently expressed that “Whatever solution Baku prefers for the occupied lands and Karabakh, we will stand by Azerbaijan.”

    The Ministry of Foreign Affairs of the Republic of Artsakh consequently slammed the Turkish position, condemned the destabilizing actions of Azerbaijan in the Tavush region, and echoed the need to return to the OSCE table. With numerous political actors and geopolitical interests at play, the fight over such a small but strategically important swathe of land becomes much more complex once compounded by the factors of ethnicity, history and national pride.

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    But it seems unlikely that the current situation will transition into another full-scale war. Rather, it is fair to assume that actions on the ground could escalate for the short term, but any protracted operation would be a serious regional blow to civilian populations and the energy sector. The Nagorno-Karabakh War of 1988-1994 displaced some 860,000 on both sides, and a similar outcome is possible today, with skirmishes occurring in populated areas.

    Secondly, the Armenia-Azerbaijan borderlands are important transit points for oil and gas pipelines. Entities and media that follow energy markets have already raised concerns over the current fighting and how it may influence the flow of hydrocarbons. The ongoing situation around Tavush province is certainly more serious because it is closer to the South Caucasian Pipeline (SCP) that runs from the Azeri capital Baku to Tbilisi, Georgia, and then Erzurum, in Turkey. Furthermore, the SCP is part of the wider Trans-Anatolian Natural Gas Pipeline (TANAP) and Trans Adriatic Pipeline (TAP) — a network set to deliver gas to Europe upon completion later this year. These factors will obviously be taken into consideration by Azerbaijan’s strategists as they move forward with their plans in the region. It would be short-sighted to destabilize this network when diplomatic options are at hand to at least keep the status quo for the sake of business.

    Additionally, the South Caucasus is a busy neighborhood, geopolitically speaking. In the case that the situation escalates and interests are at risk, one could expect greater involvement from Russia and Turkey. Although the Turkish Foreign Ministry gave a statement in strong support of Baku, it does not mean that Ankara would be willing to send forces. Moscow has little taste for engagement in a military operation either. Further, even the Collective Security Treaty Organization (CSTO) — a military alliance composed of countries from the Commonwealth of Independent States, including Armenia and Russia — promote a political solution rather than a military one. The international community and organizations openly promote a return to the Minsk Group’s negotiation table and, ideally, this will be the immediate result of the ongoing skirmishes.

    The clashes between Armenia and Azerbaijan are likely to continue in the short term just as their non-existent diplomatic relations will endure without the political will for an inclusive political solution. Tavush province has taken the spotlight between the foes right now, but the recent occurrences are being widely viewed as the greater Nagorno-Karabakh conflict due to the proximity and the historical antagonism over the border. While it is unfortunate that cross-border shelling and conflict has attracted international interest to the South Caucasus yet again, it is not unexpected as matters never really settle to a level of peaceful monotony in the region.

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    The West’s Middle Eastern Playbook

    Success has many fathers, failure is an orphan, the wise ones say. I would add that failure suddenly gets you dumped like a hot potato in the hands of your benefactors. You don’t believe me? Just ask the Libyan has-been, Khalifa Haftar, at one time considered the best game in town by his foreign backers. The general knows a thing or two about hot potatoes.

    French President Emmanuel Macron has no qualms about claiming that France never supported Haftar. In the era of television and coronavirus social distancing, Macron was saved the embarrassment of looking us in the eye as he insulted our intelligence. Or perhaps he wasn’t. Unlike many of us, but still with a good memory, he was just too young to remember the French military helicopter shot down near Benghazi, killing three French soldiers in July 2016. Clearly, they were not there paying a social visit to Haftar, and not in a war chopper.

    Deeper Fragmentation Looms for Libya

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    Nor would he remember the Javelin missiles discovered in the possession of Haftar’s forces that France procured from the Americans, probably using cash it withdrew from one of the two petrodollar ATMs. But to be fair to France, it did confess ownership of those missiles, explaining, “Those missiles were damaged! Awaiting destruction!” In Haftar’s possession, we may ask? Seriously?

    Granted, torpedoing a political process intended to bring an accountable transparent rule of law is anathema to Haftar’s regional supporters and for Russian President Vladimir Putin too, who, like his colleagues in Cairo, Riyadh and Abu Dhabi has fixed himself with job security until 2036 or eternity, whichever lasts longer. Installing another North African military junta makes sense — for them at least.  

    Ultimate Objective

    But what could possibly drive France to be involved in a destructive war with the ultimate objective to restore a brutal military dictatorship, which goes against everything the French people stand for? Moreover, France’s role in Libya has split the NATO alliance dangerously. French and Turkish warships recently faced each other as adversaries rather than allies in the Mediterranean Sea. Rather than work with a NATO partner who knows the dangers of, and has freed itself from, military rule, Turkey, Macron, in order to help bring a civilian-led political process in Libya, has taken the side of the region’s most ruthless dictatorships, Egypt, the UAE and Saudi Arabia, and also Russia, who must be applauding the NATO split.  

    By what measure of expression and democratic representation of the people does Macron’s policy reflect the will of the French majority? Probably the answer to that and other debacles of the Macron administration might come soon. The next election is in 2022, and the French do not suffer fools.

    Still insulting our intelligence, France insists it is engaged in fighting terrorism — everybody’s cause célèbre for rampage, plunder, death and destruction. From Afghanistan to Iraq and Yemen, to Libya and Syria, one wonders who has become more dangerous, more destructive, more criminal — the terrorists or those claiming to be fighting and saving us from them? 

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    The Soviet occupation of Afghanistan saw the creation of al-Qaeda by the CIA, which funded, trained and armed the group — complete with stinger missiles. Immediately after the Soviets left Afghanistan and America won that Cold War battlefield, the Afghans were dumped, only to be remembered when America itself decided to invade the country. Only this time, it is the Russians who are hitting back at the US there, if the reports on bounty money for dead Americans are to be believed.

    Even before the blood of Afghans and Americans dried up, Washington decided to launch another invasion, this time against weapons of mass destruction, or maybe to bring democracy, or maybe leading an anti-terrorism alliance. It took the maestro himself, Alan Greenspan, to admit what we already knew. In his book, “The Age of Turbulence,” Greenspan writes that “The Iraq war was largely about oil.” He goes on to say, “I am saddened that it is politically inconvenient to admit what everybody knows.” There, so much for WMDs and fighting terrorism and bringing democracy on the backs of war tanks.

    Western Playbook

    There is a playbook in the West, used in every modern-day invasion of the Middle East. In it, loud noises are never the not-so-hidden agendas. Pardon me for stating the obvious. The problem with that short-sighted destructive playbook is its unnecessary cost in blood and treasure.  

    In 2012, at the height of the Arab Spring and our optimism, I attended a conference in Istanbul discussing “rebalancing.” Advocating for the idea of rebalancing Arab-Western relations, I said that  “while we Arabs must refuse to be held hostage by the past, and we will continue to advocate a forward looking new page in our relations. The West must also free itself from its past.” The West tragically was unable to live with the prospects of new realities emerging in the Arab world and went ahead to help cut the knees of the democratic forces.

    Our argument for creating governments that do not rely on foreign powers for protection but on their own electorates to whom they will also be answerable was exactly what was feared. When I said, “The West must realize that the incoming governments of Arabia, unlike the outgoing dictatorships, will be answerable to their people, and therefore have less wiggle room to make decisions that only serve short term external interests over their people’s long-term interests,” a Western friend came to me and said, “That’s exactly why your revolution will not be allowed to succeed.” 

    That kind of shift in the West toward the Middle East would require accepting representative governments created through a transparent, accountable political process and accepting economic exchange based on fair value. An exchange we have always been happy to engage in, no bloody and expensive invasions needed. After all, the Arab world can neither drink its oil nor live in economic isolation.

    But the West has never been used to that type of relationship with us. Not when it was the colonial power nor later, as the protector of proxy regimes it helped create at the end of its colonial presence. That inability to accept a change in the region lies at the center of its policies — supporting the survival of military and other undemocratic regimes in the region whose existence is not protected by the mandate of the people they govern but by foreign powers. The price for that quid pro quo is paid economically and politically and is never at fair value for the people who matter — the growing populations.

    The vicious cycle is perpetuated. The more such arrangements are created at the top, the more unrest is created at the base against the ruling tyrants, which in turn leads to more dependence on foreign protection. Imagining the violent outcome is a no brainer, and it is clear before our very eyes.   

    Whether it is America and Britain in Afghanistan and Iraq, or France in Libya and elsewhere in Africa, that playbook has become more costly not just for the people in whose territories it is played out, but also in the streets of the nations that employ it. Tyranny comes in different shapes and forms. It is also dressed differently, and not just in turbans and military uniforms. Perhaps the worst is the one that comes deceptively in a suit and necktie, controlling the levers that drive the others.  

    *[This article was originally published by the Daily Sabah.]

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    COVID-19 and Populism: A Bad Combination for Europe’s Banks

    As Germany takes over the EU’s rotating presidency, Chancellor Angela Merkel noted that the bloc is facing a triple challenge: the coronavirus pandemic — in retreat but still requiring constant vigilance — the EU’s steepest-ever economic downturn and political demons waiting in the wings, including the specter of populism. With the pandemic somewhat under control, European policymakers’ focus is shifting toward the knock-on effects of months of lockdown.

    Economies in Central, Eastern and Southeast Europe (CESEE) are in a particularly precarious situation, as a number of factors, from bad debt to populist legislation, are cramping the ability of the banking sector —which performs a vital role in stabilizing the economy through loans, payment holidays and other forms of financial support to local businesses in times of crisis  — to withstand a potential economic downturn.

    Bad Loans on the Rise

    A troubling report recently released by the Vienna Initiative (created during the 2008 financial crisis to support emerging Europe’s financial sector) has indicated that CESEE banks are facing a wave of bad loans, or non-performing loans (NPL), caused by the COVID-19 pandemic that could last past 2021. The issue of bad debt is by no means limited to CESEE countries, but the problem is exacerbated by populist political decisions in many nations in the region.

    European banking regulators had previously estimated that EU banks had built up adequate buffers to withstand a certain number of bad loans, with “strong capital and liquidity buffers” that should allow them to “withstand the potential credit risk losses.” But many banks in the CESEE region, operating in more volatile economies and with their reserves already whittled away by populist measures, are uniquely vulnerable if hit by too many NPLs.

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    At the heart of the problem is the fact that an excess of NPLs can drain banks’ capital reserves, making them reliant on support from governments and central banks. If the regulators and politicians don’t then put the necessary measures in place to support banks, the entire economy could be in danger of collapsing.

    Lenders in countries including Hungary, Czech Republic, Croatia, Slovakia and Bulgaria have sought reassurance from national authorities in recent months that they will receive the necessary protections should restrictive COVID-19 measures last much longer, particularly if the continent is hit by a second wave of the virus before a vaccine or an effective treatment is found. At present, it is unclear whether governments across Europe will be willing to continue with the same level of support packages to businesses and employees. 

    It’s not just a matter of renewing special coronavirus provisions. In return for providing additional financial support to businesses, lenders understandably expect reciprocal measures from governments and central banks. These include favorable tax measures, or the relaxation of excessive levies, so that banks are able to maintain their reserve levels, a lowering of countercyclical capital buffers and a guarantee of emergency financial support from central banks if necessary.

    Populist Measures Exacerbate Financial Strain

    In the wake of COVID-19, banking sector outlooks have already been revised to negative in several countries including Poland, Hungary, the Czech Republic and Croatia. These problems are in danger of being intensified by populist political decisions in many CESEE countries, where governments have a tendency to see punitive measures on banks as an easy way of shoring up popular support.

    In particular, many CESEE countries’ financial sectors are still suffering from 2015 decisions to convert loans taken out in Swiss francs into loans denominated in the euro or the local currency. The conversions came in response to a sudden surge in value of the Swiss franc, which had previously allowed lenders to offer low-interest loans. The forced conversions benefited borrowers but left the country’s banks to pick up the tab, making it difficult for them to build up capital buffers.

    While some countries which carried out the forced loan conversions, like Hungary, at least provided lenders with euros from the central bank to ease the blow, others, such as Croatia, left banks to shoulder the full loss. Croatia’s loans conversion, pushed through quickly ahead of the 2015 parliamentary elections, was applied retroactively, foisting a bill of roughly €1 billion on the country’s banks, many of which are subsidiaries of financial institutions from elsewhere in the EU. A pending court ruling on whether or not Croatian borrowers who had taken out Swiss franc loans could apply for further compensation could impose another €2.6 billion in losses on the banks at the worst possible time.

    Nor is the controversial loans conversion the only policy sapping CESEE banks’ capital reserves. As part of its coronavirus recovery plan, the Hungarian government announced a special tax on both banks and multinational retailers back in April. The additional banking tax was worth HUF 55 billion ($176 million). Prime Minister Viktor Orban had already announced the toughest COVID-19 measures of any central or eastern European country, including a suspension of all loan payments until the end of the year. The move ignored a call from Hungary’s OTP Bank for a reduction in taxes to help banks deal with the pandemic’s fallout.

    A number of other countries in the region, including the Czech Republic and Romania — though Romania later eliminated the levy — have raised banking taxes in recent years, making it harder for the financial sectors in these emerging economies to respond to the crisis and has left it in a more precarious position should the effects of COVID-19 continue into 2021.

    The CESEE region’s financial sector suffered greatly in the wake of the 2008-09 global financial crisis, and much work has been done in the intervening years to shield the sector from future downturns. The Vienna Initiative report, however, makes it clear that the region’s banks still face headwinds due to the COVID-19 crisis. Hopefully, policymakers across CESEE will take heed of the report’s findings and realize that trying to scapegoat banks in these uncertain times will only make them more vulnerable, leaving them ill-equipped to deal with the onslaught of loan defaults expected over the next 12 months.

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    The Mount of Autocrats

    Donald Trump would dearly like to add his face to Mount Rushmore as the fifth presidential musketeer. His fireworks-and-fury extravaganza on July 3 was the next best thing. Trump’s dystopian speech was almost beside the point. Much more important was the photo op of his smirking face next to Abraham Lincoln’s.

    More fitting, however, would be to carve Trump’s face into a different Rushmore altogether. This one would be located in a more appropriate badlands, like Mount Hermon in Syria near the border with Israel. There, Trump’s visage would join those of his fellow autocrats, Vladimir Putin and Xi Jinping. To honor the illiberal locals, the stony countenances of Bashar al-Assad and Benjamin Netanyahu would make it a cozy quintet.

    Has Putin Won the Vote on Constitutional Amendments?

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    Let’s be frank: Thomas Jefferson and George Washington are not the company that Trump keeps, despite his “America First” pretensions. His ideological compatriots are to be found in other countries: Jair Bolsonaro of Brazil, Narendra Modi of India, Rodrigo Duterte of the Philippines, Daniel Ortega of Nicaragua, Viktor Orban of Hungary and so on. Alas, this global Rushmore of autocrats is becoming as crowded as a football team pressed together for a selfie.

    But Putin and Xi stand out from the rest. They get pride of place because of their long records of authoritarian policies and the sheer brazenness of their recent power grabs. By comparison, Trump is the arrogant newcomer who may well not last the season, an impulsive sprinter in the marathon of geopolitics. If things go badly for Team Trump in November, America will suddenly be busy air-brushing 45 out of history and gratefully chiseling his face out of the global Rushmore. Putin and Xi, however, are in it for the long haul.

    Leader for Life

    At the end of June, Russia held a referendum on a raft of constitutional changes that President Putin proposed earlier in the year. In front of Russian voters were over 200 proposed amendments. No wonder the authorities gave Russians a full week to vote. They should have provided mandatory seminars on constitutional law as well.

    Of course, the Russian government wasn’t looking to stimulate a wide-ranging discussion of governance. The Russian parliament had already approved the changes. Putin simply wanted Russian voters to rubber-stamp his nationalist-conservative remaking of his country.

    At the same time, a poor turnout would not have been a good look. To guarantee what the Kremlin’s spokesman described as a “triumphant referendum on confidence” in Putin, workplaces pressured their employees to vote and the government distributed lottery prizes. Some people managed to vote more than once. On top of that, widespread fraud was necessary to achieve the preordained positive outcome.

    Instead of voting on each of the amendments, Russians had to approve or disapprove the whole package. Among the constitutional changes were declarations that marriage is only between a man and a woman, that Russians believe in God and that the Russian Constitution takes precedence over international law. Several measures increased executive power over the ministries and the judiciary. A few sops were thrown to Putin’s core constituencies, like pensioners. Who was going to vote against God or retirees?

    But the jewel in the crown was the amendment that allows Putin to run for the presidency two more times. Given his systematic suppression of the opposition, up to and including assassination, Putin will likely be in office until he’s 84 years old. That gives him plenty of time to, depending on your perspective, make Russia great again or make Russia into Putin, Inc.

    The Russian president does not dream of world domination. He has regional ambitions at best. Yet these ambitions have brought Russia into conflict with the United States over Ukraine, Syria, even outer space. And then there’s the perennial friction over Afghanistan. Much has been made in the US press about Putin offering the Taliban bounties for US and coalition soldiers. It’s ugly stuff, but no uglier than what the United States was doing back in the 1980s.

    Did you think that all the US money going to the mujahideen was to cultivate opium poppies, run madrasas and plan someday to bite the hand that fed them? The US government was giving the Afghan “freedom fighters” guns and funds to kill Soviet soldiers, nearly 15,000 of whom died over the course of the war. The Russians have been far less effective. At most, the Taliban have killed 18 US soldiers since the beginning of 2019, with perhaps a couple tied to the bounty program.

    Still, it is expected that a US president would protest such a direct targeting of US soldiers even if he has no intention to retaliate. Instead, Trump has claimed that Putin’s bounty program is a hoax. “The Russia Bounty story is just another made up by Fake News tale that is told only to damage me and the Republican Party,” Trump tweeted.

    Knowing how sensitive the US president and the public are to the death of America soldiers overseas, Putin couldn’t resist raising the stakes in Afghanistan and making US withdrawal that much more certain. Taking the United States out of the equation — reducing the transatlantic alliance, edging US troops out of the Middle East, applauding Washington’s exit from various international organizations — provides Russia with greater maneuvering room to consolidate power in the Eurasian space.

    Trump has dismissed pretty much every unsavory Kremlin act as a hoax, from US election interference to assassinations of critics overseas. Trump cares little about Ukraine, has been lukewarm if not hostile toward US sanctions against Moscow, and has consistently attempted to bring Russia back into the G8. Yet he has also undermined the most important mechanism of engagement with Russia, namely arms control treaties.

    President Trump’s servile approach to Putin and disengaged approach to Russia is the exact opposite of the kind of principled engagement policy that Washington should be constructing. The United States should be identifying common interests with Russia over nuclear weapons, climate, regional ceasefires, reviving the Iran nuclear deal — and, at the same time, criticizing Russian conduct that violates international norms.

    Territory Grab

    China’s Xi Jinping has already made himself leader for life, and he didn’t need to go to the pretense of a referendum on constitutional changes. In 2018, the National People’s Congress simply removed the two-term limit on the presidency and boom: Xi can be on top ‘til he drops. Forget about collective leadership within the party. And certainly forget about some kind of evolution toward democracy. Under President Xi, China has returned to the one-man rule of the Mao period.

    So, while Putin was busy securing his future this past weekend, Xi focused instead on securing China’s future as an integrated, politically homogeneous entity. In other words, Xi moved on Hong Kong.

    Hong Kong once had great economic value for Beijing as a gateway to the global economy. Now that China has all the access to the global economy that it needs and then some, Hong Kong has only symbolic value, as a former colonial territory returned to the Chinese nation in 1997. To the extent that Hong Kong remains an enclave of free-thinkers who take potshots at the Communist Party, Beijing will step by step deprive it of democracy.

    On June 30, a new national security law went into effect in Hong Kong. “The new law names four offences: secession, subversion, terrorism, and collusion with foreign forces,” Matt Ho writes in the South China Morning Post. “It also laid out new law enforcement powers and established government agencies responsible for national security. Conviction under the law includes sentences of life in prison.”

    The protests that have roiled Hong Kong for the past many months, from Beijing’s point of view, violate the national security law in all four categories. So, violators may now face very long prison sentences indeed, and police have already arrested a number of people accused of violating the new law. The new law extends to virtually all aspects of society, including the schools, which now must “harmonize” their teaching with the party line in Beijing.

    What’s happening in Hong Kong, however, is still a dilute version of the crackdown taking place on the mainland. This week, the authorities in Beijing arrested Xu Zhangrun, a law professor and prominent critic of Xi. He joins other detainees, like real-estate mogul Ren Zhiqiang, who was linked to an article calling Xi a “clown with no clothes on who was still determined to play emperor” and Xu Zhiyong, who called on Xi to resign for his handling of the coronavirus crisis.

    Meanwhile, Beijing’s treatment of Muslims in Xinjiang province amounts to collective punishment: more than a million consigned to “reeducation camps,” children separated from their families, forced sterilization. Uighur exiles have charged China with genocide and war crimes before the International Criminal Court.

    Like Putin, Xi has aligned himself with a conservative nationalism that appeals to a large portion of the population. Unlike Putin, the Chinese leader doesn’t have to worry about approval ratings or periodic elections. He is also sitting on a far-larger economy, much greater foreign currency reserves, and the means to construct an illiberal internationalism to replace the Washington consensus that has prevailed for several decades. Moreover, there are no political alternatives on the horizon in China that could challenge Xi or his particular fusion of capitalism and nationalism.

    Trump has pursued the same kind of unprincipled engagement with China as he has with Russia: flattery of the king, indifference toward human rights and a focus on profit. Again, principled engagement requires working with China on points of common concern while pushing back against its human rights violations. Of course, that’s not going to happen under the human rights violation that currently occupies the White House.

    And Trump Makes Three

    Trump aspires to become a leader for life like his buddies Putin and Xi, as he has “joked” on numerous occasions. He has similarly attacked the mainstays of a democratic society — the free press, independent judges, inspectors general. He has embraced the same nationalist-conservative cultural policies. And he has branded his opponents as enemies of the people. In his Rushmore speech on July 3, Trump lashed out against:

    “… a new far-left fascism that demands absolute allegiance. If you do not speak its language, perform its rituals, recite its mantras, and follow its commandments, then you will be censored, banished, blacklisted, persecuted, and punished. It’s not going to happen to us. Make no mistake: this left-wing cultural revolution is designed to overthrow the American Revolution. In so doing, they would destroy the very civilization that rescued billions from poverty, disease, violence, and hunger, and that lifted humanity to new heights of achievement, discovery, and progress.”

    He went on to describe his crackdown on protesters, his opposition to “liberal Democrats,” his efforts to root out opposition in schools, newsrooms and “even our corporate boardrooms.” Like Putin, he sang the praises of the American family and religious values. He described an American people that stood with him and the Rushmore Four and against all those who have exercised their constitutional rights of speech and assembly. You’d never know from the president’s diatribe that protesters were trying to overthrow not the American Revolution but the remnants of the Confederacy.

    Trump’s supporters have taken to heart the president’s attacks on America’s “enemies.” Since the protests around George Floyd’s killing began in May, there have been at least 50 cases of cars ramming into demonstrators, a favorite tactic used by white supremacists. There have been over 400 reports of press freedom violations. T. Greg Doucette, a “never Trump” conservative lawyer, has collected over 700 videos of police misconduct, usually violent, toward peaceful demonstrators.

    As I’ve written, there is no left-wing “cultural revolution” sweeping the United States. It is Donald Trump who is hoping to unleash a cultural revolution carried out by a mob of violent backlashers who revere the Confederate flag, white supremacy and the Mussolini-like president who looks out upon all the American carnage from his perch on the global Rushmore of autocrats.

    *[This article was originally published by FPIF.]

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

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    Has Putin Won the Vote on Constitutional Amendments?

    On July 3, the Russian central election commission announced the results of the nationwide vote on constitutional reforms, the biggest shake-up of the constitution since it was adopted in 1993. According to official data, 77.92% of voters, or 57.7 million people, cast their ballots in favor of the reforms, with a 67.97% turnout. The vote […] More

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    The Circle of History in Radical-Right Symbolism

    Bearing in mind that gaining access to political power remains the focus of all political parties, they not only attempt to acquire political power within government but, more importantly, actively work toward its acquisition and maintenance. In this effort, political parties try to establish a distinct identity in their effort to attract the support of […] More

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    Instagram Is a Strategic Communication Channel

    Communication between governments and citizens has changed over the years. The digital era has provided state actors with new channels to spread their messages. Different channels offer different types of outreach. Nevertheless, successful communication requires consistency and coordination. This is even more important in the current crisis we have witnessed with the coronavirus pandemic. In […] More

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    If a Statue Offends My Sister, It Also Offends Me

    Since the toppling of the statue of slaver Edward Colston in Bristol last month, a stream of articles, many by white writers, have called for such monuments to be placed in museums. These writers argue that, with sensitive curation, such statues can act to educate a public ignorant of the suffering inflicted by abusive systems […] More