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The talks held in September 2018 between Kim Jong-Un and Moon Jae-In

Giancarlo Elia Valori

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In less than one year three meetings have been held between the North Korean Leader and the South Korean President, Moon Jae-In.

In the initial meeting the two leaders had decided to put an end to the state of war between their two countries. They had also reaffirmed the goal of denuclearization of the entire peninsula, with the consequent destruction of the nuclear potential of South Korea and of the United States, in particular. They also decided to create an inter-Korean Liason Office between the two sides of the Demilitarized Zone and to bring together the families dispersed between the two Koreas. Finally, the idea was to create new communication infrastructure – railway lines, in particular – a project by which Russia has always set great store.

Indeed, Russia is betting many of its cards on a reunification between the two Koreas, capable of enabling it to keep its excellent relations with South Korea – which are essential for the economy – and to also support North Korea, which is Russia’s unavoidable strategic goal.

Now the two Koreas are dealing on their own, without the US brokerage and intermediation with respect to South Korea, although President Donald J. Trump has recently stated that President Moon Jae-In is his official “delegate” for the denuclearization of the Korean peninsula.

The United States is scarcely interested in the internationalization of the North Korean economy. It only wants denuclearization, while Kim Jong-Un wants denuclearization to develop his country’s economy and maintain its geopolitical and national autonomy.

A serious problem – both in talks and in the final or working documents – is also to define an effective mechanism to check denuclearization.

Indeed, between September 17 and 19, 2018, the signing of the Joint Declaration of Pyongyang has not fully clarified the mechanism of checks on the denuclearization of the Korean peninsula. Kim Jong-Un’s idea is to organise these checks with a series of “experts” appointed by the friendly powers, while the South Korean idea is to accept the maximum possible denuclearization to start the long process of reunification.

The two respective Defence Ministers, however -namely Song Young Moo for South Korea and Rho Kwang Chul for North Korea – have just signed a separate document from the rest of agreements.

In that text confidence-building measures between the parties are put first, with North Korea’s acceptance of dismantling a launch pad and a site for checking jet engines, with the presence of yet unspecified, but friendly international experts. From IAEA? We have some doubts, in this case.

Subsequently North Korea could also dismantle the Nongbyon site, if the United States does the same in South Korea.

It should also be recalled that most North Korean missiles are built to be launched by mobile vehicles, not from fixed bases.

In short, North Korea wants the United States to remove the nuclear umbrella protecting South Korea and Japan while, in the recent talks with North Korea, the United States thinks of a bilateral treaty regarding only the Korean peninsula and, at most, some classes of North Korean missiles.

In the US mind, the planned reduction of North Korean long-range missiles could be even equivalent to a nuclear and conventional decrease of its troops stationed in Guam.

On the basis of a new future agreement, both Koreas (and God only knows how and to what extent the North Korean conventional military potential would be useful for a South Korea unified with North Korea) would also define maritime and land buffer zones, as well as a no-fly zone over the old border, with a view to avoiding clashes or accidental air battles.

This is already partially clear, but much work shall be done to define all the details.

There would also be plans to cover or reduce artillery batteries along the coast.

Obviously, should these talks run aground, the only concrete political result would be the progressive divergence between South Korea and the United States, precisely on the problem of the peninsula’s denuclearization.

Furthermore, over and above the aforementioned sites, North Korea will dismantle the site of Dongchang-ri, in addition to the site of Yongbyon, while Kim Jong-Un is also very interested in the building of fast railway links between South and North Korea.

The two Koreas will get the industrial site of Kaesong back in shape and the old tourist project concerning Mount Kumgang back in track, besides planning new joint economic and tourist areas.

The inter-Korean agreement regards also collaboration for medical and environmental issues, as well as for the protection from epidemics.

In other words, both Koreas think of an economy of compensation between them, which could also develop at a later stage and become a need for the development of both countries.

An economic-political symbiosis that could get the United States out of play and later reinstate Russia, which is increasingly interested in the South Korean economy, as well as finally favour China, which has no intention of leaving the Korean peninsula to the hegemony of North Korea alone.

At the end of the Treaty, there is also the project of a joint participation in the Tokyo 2020 Olympic Games and a joint candidature for the 2032 Olympics.

A few days ago, North Korea also expressed its intention to join the International Monetary Fund and the World Bank – a sign that the internationalization of the North Korean economy is now a certainty.

Hence it is a de facto peace treaty between the two Koreas.

If North Korea continues along this line, it is very likely that South Korea will gain a tactical advantage over the sea while, if the relations between South Korea and the United States remain as they currently are, there should be no significant changes in bilateral relations between the USA and South Korea.

However, what is the current state of relations between the United States and North Korea?

In fact, while the inter-Korean relations are all in the framework of effective confidence-building measures, the clear purpose of the fourth round of talks between the two Korean leaders is to preserve a strong US engagement in the whole negotiation process.

Kim Jong-Un wants to engage the United States for his global economic projection and he certainly does not want to remain tied to a regional economy, albeit open and “reformed” according to China’s rules.

For North Korea, the procedure is simple: at first, bilateral talks with the US support for South Korea; later peace between the two Koreas and finally what is only interesting for the USA, namely denuclearization.

It is not even unlikely that the United States does not accept this timing, but it is also unlikely that it realizes the strategic and economic aspects of this timing.

North Korea wants a fundamental agreement with South Korea because: a) it is an unavoidable asset for the modernization of its economy; b) it is the fundamental strategic factor to have the support of both Russia and China, who want to avoid North Korea’s hegemony over the peninsula, but also want to keep it as a rampart for US forces in South Korea; c) it is only through South Korea that North Korea will eventually be in a position to be connected to the Chinese maritime economic and strategic system and reach up to the Mediterranean.

In fact, if the relations between the United States and North Korea improve further, the site of Yongbyon could be dismantled definitively.

Hence currently Kim Jong-Un wants to thoroughly test the US goodwill, rather than South Korea’s goodwill, in developing a long or very long-term peace policy.

In Kim Jong-Un’s mind, there is in fact a key factor: the US behaviour in the phase in which Muammar Gaddafi accepted its proposal to dismantle his nuclear project.

Kim Jong-Un thinks that not even the story of Saddam Hussein is a guarantee for the US long-term reliability and for the stability of its leaders’ word of honour.

This is the real important factor in the strategy of the North Korean Leader.

Moreover, the US immediate reactions to the last meeting between the two Korean leaders have been fast and positive, both by President Trump and by Secretary of State Mike Pompeo.

And North Korea’s autonomous foreign policy has been seen also recently, with the 70th Anniversary military parade.

North Korea’s military parade and its important national celebration, was attended by Li Zhansu, ranking third in the internal power hierarchy of the Communist Party of China (CPC); by Valentina Matviyenko, President of the Russian Federal Council, the third elected office in the Russian Federation; by a very significant figure, Mohamed Ould Abdel Aziz, President of Mauritania, and finally by Hilal al Hilal, deputy-General Secretary of the Syrian Baath Party.

With peace, North Korea will significantly develop its already multiple economic and political relations with Africa, which will be essential for its new economic development.

At the military parade staged on September 9, there were also authorities from Iran, South Africa and Singapore – which is the never forgotten model of the Chinese “Four Modernizations” -as well as other 60 delegations from “friendly” countries.

At economic level, in August, shortly before the big military parade of the 70th Anniversary, there was the International Fair of Razon, which hosted as many as 114 companies of which 52 North Korean ones.

The North Korean product lines mainly included pharmaceuticals, foodstuffs, textiles, electronics and cosmetics.

However, there were many Chinese large companies selling their products in North Korea despite the UN sanctions.

As from September 17, there was also the Autumn Fair which brought together 320 commercial companies from Russia, New Zealand, Australia and China.

This is in fact the new paradigm of North Korea’s foreign policy.

The dollar has also grown in the exchanges with the North Korean currency, both on the official and on the “parallel” markets.

If all goes well at geopolitical level, the North Korean project will be to further improve its light industry, in addition to the diversification and quantity of products, with a view to trying its own autonomous way on the market world, as was the way of the nuclear system.

It should be recalled that this was also Kim Il-Sung’s project.

Advisory Board Co-chair Honoris Causa Professor Giancarlo Elia Valori is an eminent Italian economist and businessman. He holds prestigious academic distinctions and national orders. Mr. Valori has lectured on international affairs and economics at the world’s leading universities such as Peking University, the Hebrew University of Jerusalem and the Yeshiva University in New York. He currently chairs “International World Group”, he is also the honorary president of Huawei Italy, economic adviser to the Chinese giant HNA Group. In 1992 he was appointed Officier de la Légion d’Honneur de la République Francaise, with this motivation: “A man who can see across borders to understand the world” and in 2002 he received the title “Honorable” of the Académie des Sciences de l’Institut de France. “

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East Asia

Emergence of New World Order out of Sino-US clash

Abbas Ali Bughio

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The United States of America and China’s relation has many up and down since the outbreak of Taiwan Strait status issue, Whenever, US Navy lifted than China deployed thousands of soldiers to Quemoy and MatruIsland in Taiwan Strait in August 1955.Later,Beijing was threatened with the Atom bomb, to end the agitation against the US. US president Richard Nixon ascribed Taiwan Strait status with China in 1972. Enduring conflict compelled the US to pass “Taiwan relation Act” from the congress on January 1, 1979, to help and maintain the peace, security and stability in western pacific and foreign policy would help to US authority to support on commercial, cultural and other relations between both countries. Therefore, Washington was lobbying to help Taiwan to get observer status at the World Health Organization (WHO) in the 73rd annual world health assembly while failing to maintain the preservation of the cross-strait status quo. Moreover, on retaliation by Chinese president Xi Jinping about Taiwan as under one-China policy to get and capture at any cost before 2050. However, this conflict would carry both superpowers to close any disastrous war.

Meanwhile, US-China Relation Act of 2000granted permission to China on trade. Firstly, the trade tensions were uprisings due to the US trade deficit with China from $273.1 billion in 2010. Therefore, on fulltime high of $295.5 billion in 2011.Preamble,US was malediction to pay $375.2 billion deficit to China in 2017.That imports increased $550 billion annually before imposing tariffs in which the comprehensive economic dialogue was convened in July 2017, on mutual understandings to adjourn$160 billion tariffs on Chinese goods, after the unfair practices of currency and manipulation of 1988 and 2015 Act of USA had compelled to China on massive tariffs.

Moreover, in March 2019, Trump warned most of the countries do not use Huawei and Telecom giant’s equipment in the battle with China for technological supremacy, and 5G works could use the company of spy. Furthermore, Trump administration-imposed tariffs to increase 10 to 25 percent on Chinese goods. The whole scenario compelled to Beijing to sign a trade agreement with Washington. However, the US blamed on currency manipulation through Act of 1988 under section 3004 against an opponent. It is a lengthy history of China to devalue the currency to gain and capture the market of the world. After the devaluation of Yuan as much weaker, which makes more competitive Chinese exports and buying to foreign currencies. Through, in global trade rules, if the competition among the countries on inflation and deflation currency could not evaluate due to get more foreign currencies though reduce capital inflow significantly hits on jobs sector especially in the USA and Europe. People’s Bank of China is under control by the communist party to let Yuan fall below key in 7.0 level against the US dollar and 8.5 percent depreciation from the exchange rate. However, the US department of treasury reported on January 13, 2020, before a great deal in which semiannual report on microeconomic and foreign exchange policies. This report assured about 20 significant partners of the US are involved with China on currency practices. The first trade deal would lead only $200 billion imports of US production and including $32 billion in agricultural. Moreover, $40 billion would be pasteurized through tariffs on Chinese goods at the end of 2021. Indeed, Trump ensured China all tariffs would be removed after signing the “second plan” trade deal.

The US and China’s relations got a new major twist due to COVID-19. After the breakout of the virus, the US president stretches the misinformation about China called “Chinese virus” and “Wuhan virus”. Moreover, the conspiracy theory lies the ideas about escaped from Wuhan lab. On the other side, China blames on US military persons on the carried virus and spilling in China. Therefore, the political battle of China is intense against adversaries, most of Americans about 66% believe virus divulged as the danger of dependency on China all manufacturing products, infect, the US was unaware from the abrupt global pandemic. It revealed the lack of necessary medical supplies and personal protective equipment’s (PPE) as well. The US must keep in mind the new raising for economic nationalism. The trade war between both countries will create uncertainty and global supply chain. Eventually, some business moved out of China like Apple production and the Tesla factory. If US government forced to leave US business from China through executive orders in which reestablish business in the USA to create jobs for Native Americans and secondly, a business must take ensures as a freeway, on its position. China is the first victim of the virus and reopening with $45 billion more attractive worth of markets. At the same time, senior US officials are proposing a plan to make China responsible for this virus and proposals are prepared to compensate that virus effects that economy of the world.

Furthermore, US state agencies convened a meeting on May 7, 2020, to begin mapping out a strategy as reflationary measurement against China, the whole meeting and planning put out on vanquish or anonymity because they were not authorized to reveal the planning. Trump and some expert have discussed to strip “sovereign immunity” of China. However, legal expert says it would not be easy to put back China even pass the congressional legislation which is extremely difficult for accomplishing and secondly, senior officer advice to Trump to cancel the debt obtain to China or to pay back $1200 billion amount with no interest and to consider levy extreme. Lastly, Trumps thinks about to increase one trillion-dollar tariff on Chinese imports due to damage to US cost. Similarly, coronavirus has killed 106000 Americans with loss of 28 million jobs. However, companies, corporation, oil companies became bankrupt and lost more than $700 billion since the outbreak of COVID-19 that would never easy to let the US boast up the economy after any solution about the virus.

China modernized maritime PLA Navy for the context of the new war. Moreover, this whole region relies on primary of American military presence on different offshores of countries to contain any immediate response from China and allies after intensifying the naval gape would lead the geopolitical competition US commentators towards south Asia. Last three weeks before Washington post published the secret report of CIA “The war with China would lead the major disastrous for the USA” And major superpowers would lead the US capital losses. Therefore, all bases of US in Indo-pacific command region would be at risk, especially US territory Guan might be the first concern. The primary issue of both superpowers on Taiwan Strait land. After pandemic ravaged in the world. Furthermore, the escalation was erupted last month to push back on the major war that would erupt a nuclear war. After publishing the report, the vast difference had been seen between Trump administration and US establishment.

On the other hand, Trump claims super-duper missiles. Moreover, the US wants to test nuclear bomb to deterrence against China. Besides, China is acknowledged throughout the world on economic hegemony. Lastly, after the end of pandemic US will lose her hegemony from the Middle East, South Asia because US pullout all forces from NATO on any stage in recent future, so Trump already withdraw from WHO. Moreover, Black African American George Floyd murder took a new great agitation against white supremacy. However, all about that weaken and isolate the US from rest of world which is beginning of the downfall of the US that could be enduring so on China will take a better position to change new world order on an economic basis.

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East Asia

Post pandemic: US, China and their deteriorating relationship

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In the aftermath of the coronavirus pandemic, there has been an increasing clamor, for reducing imports, especially of essential commodities from China, and for exploring new supply chains.

The US has proposed an ‘Economic Prosperity Network’ consisting of US, India, Vietnam, Australia, New Zealand, Japan, South Korea. US Secretary of State, Mike Pompeo while speaking to the media, reiterated the need for greater cooperation between these countries for pushing forward the global economy, in a post corona world, and also to change existing supply chains.

Similarly, a number of members of the CPTPP (Comprehensive Partnership Trans Pacific Partnership), especially Japan, Singapore and Australia, worked closely, to keep supply chains intact in the midst of covid19 (Japan has also been seeking to expand the CPTPP with the aim of alternative supply chains).

Reducing dependence upon Chinese technologies

Apart from supply chains of essential commodities, steps are being taken to create an alternative to Chinese technologies.  UK has recently proposed, that 10 countries work together to counter China’s technologies – especially 5G. This network, Britain has proposed, should include G7 countries (United States, Italy, Germany, United Kingdom, Japan, Canada, France) + South Korea, India and New Zealand. US President Trump further stated, that G7should be expanded to include India, South Korea, Russia, New Zealand.

Resumption of International travel

While there have been numerous discussions on shifting supply chains from China, another challenge posed by the pandemic is likely to be the resumption of international travel. Interestingly, the US has international flights with China from June 16, 2020. This is in line with the US President’s aggressive stance vis-à-vis China. The reason cited for the US President’s decision was China’s refusal to allow US carriers to fly to China (American companies on the other hand have been lobbying for the resumption of flights). China was then compelled to take back on its decision of US airlines.

China has recently allowed business executives to fly in from Germany and South Korea (China and South Korea have also signed a fast track arrangement to reduce the quarantine period for executives travelling).

Domestic flights within Asia

A number of countries in Asia, including Vietnam and India have opened domestic travel (the latter is likely to resume international flights from June 9 to US and Canada). Vietnam had resumed domestic travel after the easing out of social distancing measures, (since then over 500,000 domestic passengers have flown). The ASEAN nation began by opening out five tourist destinations. India resumed domestic Air travel on May 25, 2020 and between then and June 1, 2020 over 4,000 flights have been operated.

Japan seeking to revive air travel

Apart from China, one more country which is  working towards resuming air connectivity with other countries is Japan (restrictions will remain in place for some time for US, China and South Korea). The countries, with which Japan is exploring the possibility of air travel are; Australia, Vietnam, New Zealand and Thailand. Japan shares close economic linkages with Australia, Vietnam and Thailand(over 1500 Japanese companies operate in the two ASEAN nations, while Japan is dependent upon Australia for farm products). Japan also receives a large number of tourists from these countries. The East Asian nation is focusing on resuming air connectivity with the above countries for kickstarting the economy, but it is likely to do so in a phased manner; international flights will begin first for business men, then students and finally tourists.

Countries like China, India, Japan, Thailand and Vietnam are looking to revive economic activity and air connectivity, both domestic and international, is essential for the same. It is important, not just to resume air connectivity, but also to learn best practices with regard to precautions.

While all the above steps are welcome, the real challenge for governments, globally, is likely to be in the months of August and September 2020, when students from different parts of the world, need to travel to the west (especially, US, UK and Canada) for pursuing higher education.

Conclusion

The efforts of Japan, New Zealand, Vietnam and Australia yet again reiterate the point, that while all eyes have been on the US and China and their deteriorating relationship, a number of countries have been seeking ways to foster cooperation, not just in dealing with the pandemic, but also for giving a boost to economic ties, and resuming air connectivity.

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East Asia

Exposure of Ulterior Motives Behind Stigmatization of China with COVID-19

Sabah Aslam

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As the COVID-19 outbreak continues to rage across the US, the American people are complaining about the White House’s “lack of action” in the critical period of pandemic prevention and control, to which, however, Pompeo and his fellow politicians have kept finding excuses for themselves.

To be fair, these politicians have truly had a full plate since the outbreak, although on their plate is not how to control the pandemic at home, but how to make trouble for other countries.

When China, the country first hit by the virus, was busy containing its spread, the US politicians tried to stick their nose into China’s Xinjiang, Taiwan, and Hong Kong and brazenly interfered in the internal affairs of the country by passing the so-called “acts”. On the other hand, they put out a number of ludicrous assumptions like “China made the virus” and “China covered up its pandemic situation”, in an attempt to stigmatize China in the international community and corner it to a moral predicament. Washington leaves no stone unturned when it comes to the use of these ugly tricks.

This isn’t the first time that politicians like Pompeo are trying to loot a burning house – they always jump at the first sign of sniffing such an opportunity. They rolled out sanctions against Iran during its domestic turbulence; they tried to have it both ways when Qatar was on bad terms with countries like Saudi Arabia; and they, on the pretext of “democracy and human rights”, blatantly backed radical and violent criminals in Hong Kong during the riot and unrest caused by the expatriation law amendment bill.

If we go into their ploys seriously, Pompeo and his like are not only professional looters of burning houses, and they set the fire themselves! They first set the house on fire and flame it up, then loot it while occasionally making a gesture of putting out the fire. They are so good at playing “good cop and bad cop” games and busy putting on their farcical performances.

Just take a look at what the US has done in the Middle East. The wars it waged against Iraq and Afghanistan left the two countries in lasting turmoil; the Arab Spring it much-trumpeted left Egypt and Syria in prolonged instability; and its instigation and flame-fueling have led to the growing escalation of Palestine-Israel conflicts, in which the US had sowed seeds.

Yet certain American politicians have the nerve to reap geopolitical gains where they set fire in the first place. Pompeo and his like even posed as saviors or angels claiming to have brought peace to those areas they left in ruins.

How ridiculous and shameful they are! These politicians are accustomed to being cops in name but thieves in nature, calling “stop thief” on the one hand while being that thief on the other. They beautify hegemony as justice and dress up rumor-mongering as freedom of speech.

Pompeo and his like are doomed to a pathetic end. As an old Chinese saying goes, good and evil will meet their karma one day or another, which has been verified on Pompeo and his like over and over again. In the Middle East, for instance, America’s credibility has been irreversibly destroyed no matter how hard Pompeo and his like are trying to bloat their bubble.

The COVID-19 outbreak wouldn’t and shouldn’t have spread so fast and widely across the US had Pompeo and his like devoted a tiny part of their energy and time into what they should have done. The chaotic disaster of Washington’s epidemic control has made millions of Americans suffer, and a growing number of the righteous people are voicing their questions and protests. In contrast, the US media has named Pompeo one of the worst Secretaries of State ever in American history.

Turning a blind eye to the chaos and loss of lives at home, Mike Pompeo and his like, adamant on making trouble for the world, have kept disrupting international cooperation and undermining peace undertakings. They have become the common enemy of world peace and are doomed for a pathetic end. The burning house looters will eventually get burned themselves.

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