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The Middle Eastern Metternichs of Riyadh

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Gaming the demise of the Saudi monarchy has been a flourishing industry on the think-tank circuit for the past dozen years. Not long ago I sat in private conclaves of US national security officials with a sprinkling of invited experts where the head-shaking, chin-pulling consensus held that the Saudi royal family would be gone in ten years.

A premise of the “realist” view that American policy in the region should shift towards Iran was that the Saudi monarchy would collapse and Sunni power along with it. All of us misunderestimated the Saudis.

Now the Saudis have emerged at the top of a Sunni coalition against Iran–limited for the moment to the Houthi insurgency in Yemen, to be sure, but nonetheless the most impressive piece of diplomacy in the Sunni world since Nasser, and perhaps in modern times. That attributes a lot of importance to a coalition assembled for a minor matter in a small country, but it may be the start of something important: the self-assertion of the Sunni world in response to the collapse of American regional power, the threat of Sunni jihadist insurgencies, and the Shi’ite bid for regional hegemony.

The standard narrative held that the Saudi royal family would fracture after the death of King Abdullah, leaving a sclerotic and senile generation of princes to preside over the demise of a colonial relic. After the so-called Arab Spring of 2011, the smart money bet on the Islamists, with their fusion of religious fundamentalism and modern political techniques. “Given the awfulness of post-World War II Arab lands, where even the most benign regimes had sophisticated, torture-happy security services, Islamists who braved the wrath of rulers and trenchantly critiqued the moral breakdown of their societies were going to do well in a postsecular age. What is poorly understood in the West is how critical fundamentalists are to the moral and political rejuvenation of their countries. As counterintuitive as it seems, they are the key to more democratic, liberal politics in the region,” wrote Reuel Marc Gerecht in 2012.

Writing premature obituaries for the Saudi monarchy wasn’t a Western monopoly. Late last year a well-regarded Chinese analyst told me, “Isn’t it ironic–we modern Chinese and you modern Americans are trying to prop up this medieval monstrosity!”

Compared to the White House foreign-policy camarilla–McBama and his Weird Sisters–the Saudis turn out to be Middle Eastern Metternichs. The 10-nation coalition that Riyadh assembled to counter Iranian intervention in Yemen has a broad mandate to contain Iran throughout the region. As Zvi Har’el comments in Ha’aretz: “On the diplomatic side, Saudi Arabia was able to get Sudan to break its traditional ties with Iran; Sudanese President Omar al-Bashir, who is wanted by the International Court for crimes against humanity, was received with great pomp and fanfare by King Salman, and at the end of his visit announced that his country was joining the coalition. He also ordered the expulsion of all the Iranian delegations from his country, handing Saudi Arabia another important asset in the balance of power against Iran. Qatar also joined the coalition despite being considered an Iranian ally. More importantly, Saudi Arabia and its allies gave themselves free license to operate in any other Arab country that chooses to join the Iranian sphere.”

More importantly, the Saudis have enlisted the help of two Sunni neighbors of Iran with armies far more powerful than the Tehran’s, Turkey and Pakistan. “Iran is trying to dominate the region,” Turkish President Tayyip Erdogan told a press conference March 26. “Could this be allowed? This has begun annoying us, Saudi Arabia and the Gulf countries. This is really not tolerable and Iran has to see this.” That is a drastic shift the position of Turkey, which in the past sought to balance relations with all of its neighbors. Turkish support for the Muslim Brotherhood in Egypt against the Saudi-backed government of Gen. Fatah al-Sisi also was a source of contention with Riyadh, not least because the Muslim Brothers want to overthrow and replace the Saudi monarchy. Pakistan, heavily dependent on Saudi aid, initially rejected Saudi requests for a troop presence on its border with Yemen but now has military assistance “under consideration.”

Turkey has over $320 billion in hard-currency debt, virtually all of it accumulated since 2008, and a currency that has lost 30% of its value against the dollar since mid-2014, leaving Turkish debtors with correspondingly higher debt service costs. A great deal of its foreign currency borrowing was conducted through banks, and most of the money came from the Saudis and other Gulf states. Turkey’s debt constraints have pushed its economy into near-recession, with manufacturing output down by more than 2% year-on-year. Erdogan’s political standing, which depended on easy credit and populist public spending, is in jeopardy. It seems likely that the Saudis have exercised the Erdogan option for which they paid a high premium over the past several years.

It isn’t only that the Saudis acted without the help of the United States, but that they acted in direct contravention of a prime American objective, namely to bring Iran into the regional security architecture as an important and responsible player. The US was led along, but not informed of the particulars of the operation.

“At a Senate Armed Services Committee hearing on Thursday, General Lloyd Austin, head of the U.S. Central Command, said he did not learn the Saudis were actually going attack Yemen until an hour before the operation was launched. Austin, whose theater includes Yemen, would normally expect to be given more than an hour’s heads-up before such a military operation. Another official with Centcom, who asked not to be named, told us Thursday evening that Austin had “indications” over the weekend that something might happen but got no final confirmation until Wednesday,” Eli Lake and Josh Rogin reported today in Bloomberg News.

This is the second time in a few months that the Saudis have taken the world by surprise. The first was last September, when they initiated a plunge in oil prices by declining to reduce production in the face of a surge in US oil output. That had killed two birds with one stone, namely competition from higher-cost US shale producers, and the Iranian government budget. No one saw that coming. For those of us who enjoy surprises, Riyadh has been a welcome source of them in recent months. We look forward to more.

Source: Middle East Forum

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Middle East

US-Iran Tension: Avert any big disaster to humanity

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US-Iran tension is growing to a dangerous level. Irrespective of who is right and who is wrong, but everyone agrees that it is leading toward a big disaster. Human life and natural resources are at stake. Irrespective, who will suffer more and who will suffer less, but it is human life, which is the most precious thing in this world, is at stake.

Middle-East is an oil and gas-rich area and meets the major portion of world energy demand. Any disturbance in this region will have a severe impact on the global economy. Whether one is right or wrong, will be the victim of this crisis directly or indirectly.

This war will be not like the Iraq war or the Libya War. As at that time, there was only one superpower and the world was unipolar. There was no resistance from any corner of the world. US and allies, without any resistance, conducted the war and achieved their desired results. But a lot of resistance was witnessed in case of Syrian War. The whole scenario has been changed, the calculated results were not achieved yet. Finally, the US has decided to pull back its troops. Similarly, Afghanistan case is not ideal, after spending trillion dollars, and fighting for 17 years, not gains on the ground and finally has to pull back.

It may not be limited to only US-Iran but may engulf the whole region. As traditional rivals are waiting for an appropriate opportunity to settle their old disputes. Whether, it is Arab-Iran, or Israel-Iran, or Arab-Israel enmity, may it spread to a much wider sphere than expected. It is in control of a few countries to start or refrain the escalation, but once it has been broken, it may be beyond the control of either country.

Especially, Russia and China are not sleeping at this time. They are in a strong position to offer resistance. It should not be taken an easy task like Iraq or Libya war. It is difficult to predict the exact reaction of Russia or China, but anticipated resistance.

If we expect, US or Iran to avert this foreseeable war will be not a realistic approach. As if they were to avoid any disaster, they should not have created so hype and should not have moved to this stage. They may not accept total hegemony of the US in this part of the world. They have heavy stakes in the middle-East and cannot be spectators only.

Geopolitics has been changed, regional alliances have emerged, and nations have re-aligned themselves. Much more complex changes have been witnessed after the war on terror. Public awareness has been enhanced, maybe some of the governments in this region have a different outlook, but public opinion is much more realistic and may play a vital role in the days to come. Old time’s friends may stand on the other side of the table. Some radical changes may be visible on grounds.

UN role was ineffective in the past and a little is expected in the future. In fact, the UN has been hijacked and curtailed to a very limited role practically. While one of its major mandates was to resolve the disputes among nations and avoid wars or war-like situations.

Under this serious scenario, there is a hope that all peace-loving nations and individuals, may peruse the UN and International Community do something to avert this bid human disaster.  We all share one world, we have the responsibility to save this world. Any loss of human life in any part of the world is considered the loss to the whole of humanity. And the destruction of natural resources may be considered a loss to humanity. Any damage to Environment or ecology or biodiversity may be a net loss to humanity. We all are son and daughter of ADAM and share a common world, common environment, common resources. We need to protect humanity, environment and natural resources.

It is strongly appealed to the UN, International Community and all individuals who believe in Peace, must act, and must act now, and must act strongly, to avert any bid disaster to humanity.

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Chinese purchases of Iranian oil raise tantalizing questions

Dr. James M. Dorsey

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A fully loaded Chinese oil tanker ploughing its way eastwards from two Iranian oil terminals raises questions of how far Beijing is willing to go in defying US sanctions amid a mounting US military build-up in the Gulf and a US-China trade war.

The sailing from Iran of the Pacific Bravo takes on added significance with US strategy likely to remain focused on economic rather than military strangulation of the Iranian leadership, despite the deployment to the Gulf of an aircraft carrier strike group as well as B-52 bombers and a Patriot surface-to-air missile system.

As President Donald J. Trump, backed by Secretary of State Mike Pompeo, appears to be signalling that he is not seeking military confrontation, his administration is reportedly considering a third round of sanctions that would focus on Iran’s petrochemical industry. The administration earlier this month sanctioned the country’s metals and minerals trade.

The sailing raises the question whether China is reversing its policy that led in the last quarter of 2018 to it dramatically reducing its trade with Iran, possibly in response to a recent breakdown in US-Chinese trade talks.

“The question is whether non-oil trade remains depressed even if some oil sales resume, which I think it will. That’s the better indicator of where Chinese risk appetite has changed. Unfortunately Iran‘s reprieve will be limited—but better than zero perhaps,” tweeted Esfandyar Batmanghelidj, head of Bourse & Bazaar, a self-described media and business diplomacy company and the founder of the Europe-Iran Forum.

A Chinese analyst interviewed by Al Jazeera argued that “China is not in a position to have Iran’s back… For China, its best to stay out” of the fray.

The stakes for China go beyond the troubled trade talks. In Canada, a senior executive of controversial Chinese telecommunications giant Huawei is fighting extradition to the United States on charges of violating US sanctions against Iran.

Reports that Western companies, including Kraft Heinz, Adidas and Gap, wittingly or unwittingly, were employing Turkic Muslims detained in re-education camps in China’s north-western province of Xinjiang, as part of opaque supply chains, could increase attention on a brutal crackdown that China is struggling to keep out of the limelight.

The Trump administration has repeatedly criticized the crackdown but has stopped short of sanctioning officials involved in the repressive measures.

Bourse & Bazaar’s disclosure of the sailing of the Pacific Bravo coincided with analysis showing that Iran was not among China’s top three investment targets in the Middle East even if Chinese investment in the region was on the rise.

The Pacific Bravo was steaming with its cargo officially toward Indonesia as Iranian foreign minister Mohammad Javad Zarif was touring his country’s major oil clients, including China, in a bid to persuade them to ignore US sanctions.

A second tanker, the Marshal Z, was reported to have unloaded 130,000 tonnes of Iranian fuel oil into storage tanks near the Chinese city of Zhoushan.

The Marshall Z was one of four ships that, according to Reuters, allegedly helped Iran circumvent sanctions by using ship-to-ship transfers in January and forged documents that masked the cargoes as originating from Iraq.

The unloading put an end to a four-month odyssey at sea sparked by buyers’ reticence to touch a cargo that would put them in the US crosshairs.

“Somebody in China decided that the steep discount this cargo most likely availed … was a bargain too good to miss,” Matt Stanley, an oil broker at StarFuels in Dubai, told Reuters.

The Pacific Bravo, the first vessel to load Iranian oil since the Trump administration recently refused to extend sanction exemptions to eight countries, including China, was recently acquired by China’s Bank of Kunlun.

The acquisition and sailing suggested that Bank of Kunlun was reversing its decision last December to restrict its business with Iran to humanitarian trade, effectively excluding all other transactions.

The bank was the vehicle China used in the past for business with Iran because it had no exposure to the United States and as a result was not vulnerable to US sanctions that were in place prior to the 2015 international agreement that curbed Iran’s nuclear program.

China’s willingness to ignore, at least to some extent, US sanctions could also constitute an effort to persuade Iran to remain fully committed to the nuclear accord which it has so far upheld despite last year’s US withdrawal.

Iran recently warned Europe that it would reduce its compliance if Europe, which has struggled to create a credible vehicle that would allow non-US companies to circumvent the sanctions, failed to throw the Islamic republic an economic lifeline.

In a letter that was also sent to Russia and China, Iran said it was no longer committed to restrictions on the storage of enriched uranium and heavy water stocks, and could stop observing limits on uranium enrichment at a later stage.

Russian president Vladimir Putin warned in response to the Iranian threat that “as soon as Iran takes its first reciprocal steps and says that it is leaving, everyone will forget by tomorrow that the US was the initiator of this collapse. Iran will be held responsible, and the global public opinion will be intentionally changed in this direction.”

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The Iran Question

Dr. Arshad M. Khan

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Will there be war with Iran?  Will there not be war with Iran?  The questions are being asked repeatedly in the media even though a single carrier task force is steaming up there.  The expression is old for the latest carriers are nuclear powered.  Imagine the mess if it was blown up.

There are two kinds of weapons in the world … offensive and defensive.  The latter are cheaper, a fighter plane compared to a bomber.  If a country does not (or cannot afford to) have offensive intent, it makes sense to focus on defense.  It is what Iran has done.  Moreover, its missile centered defense has a modern deadly twist — the missiles are precision-guided. 

As an Iranian general remarked when questioned about the carrier task force:  some years ago it would’ve been a threat he opined; now it’s a target.  Iran also has a large standing army of 350,000 plus a 120,000 strong Revolutionary Guard and Soviet style air defenses.  In 2016 Russia started installation of the S-300 system.  It has all kinds of variants, the most advanced, the S-300 PMU-3 has a range similar to the S-400 if equipped with 40N6E missiles, which are used also in the S-400.  Their range is 400 km, so the Iranian batteries are virtually S-400s.  The wily Putin has kept trump satisfied with the S-300 moniker without short-changing his and China’s strategic ally.  The latter continuing to buy Iranian oil.

Iran has friends in Europe also.  Angela Merkel in particular has pointed out that Iran has complied fully with the nuclear provisions of the UN Security Council backed Joint Comprehensive Plan of Action i.e. the Iran nuclear deal.  She is mustering the major European powers.  Already alienated with Trump treating them as adversaries rather than friends, they find Trump’s bullying tiresome.  President Macron, his poll ratings hitting the lowest, is hardly likely to engage in Trump’s venture.  In Britain, Theresa May is barely able to hold on to her job.  In the latest thrust by senior members of her party, she has been asked to name the day she steps down.

So there we have it.  Nobody wants war with Iran.  Even Israel, so far without a post-election government does not want to be rained upon by missiles leaky as its Iron Dome was against homemade Palestinian rockets.

Topping all of this neither Trump nor Secretary of State Pompeo want war.  Trump is as usual trying to bully — now called maximum pressure — Iran into submission.  It won’t.  The wild card is National Security Adviser John Bolton.  He wants war.  A Gulf of Tonkin type false flag incident, or an Iranian misstep, or some accident can still set it off. 

In Iran itself, moderates like current President Hassan Rouhani are being weakened by Trump’s shenanigans.  The hard liners might well want to bleed America as happened in Iraq and Afghanistan.

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