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The relations between the United States and Saudi Arabia

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In the period from 2009 to 2013 when Hillary Clinton was US Secretary of State, Saudi Arabia contributed with at least 10 million US dollars to the Clinton Foundation.

Especially in the phases when, incidentally, Hillary Clinton permitted the sale of advanced weapons to Saudi Arabia

As stated by Prince Regent Mohammed Bin Salman in an interview released in 2016 to the Jordanian news agency “Petra”, Saudi Arabia also paid over 20% of Hillary Clinton’s election campaign.

However, it also subsidized the other candidates to the US Presidency, although to a lesser extent.

In the political campaign for the US Presidency, no foreign investor puts all his/her eggs in the same basket – just to follow a typical US piece of advice.

Moreover, like Russia and other countries, also the Saudi Kingdom has always backed both US presidential candidates financially.

During the electoral campaign, Trump theorized the ban on entry into the USA of tourists and migrants from most Islamic States, including Saudi Arabia. He was also harshly criticized by Prince Muhammad Bin Salman and by the famous Saudi multimillionaire, Al Walid bin Talal, the owner of the Kingdon Holding Company of Riyadh, a huge world financial holding, with packages of personal shares in Coca Cola, AOL, Amazon, Apple until 2005, Pepsi Cola, Fininvest, as well as a 5% shareholding in Rupert Murdoch’s media companies, and many other investments that it is even useless to mention here.

After becoming US President, Trump apologized and made his first trip abroad to Saudi Arabia in May 20-22, 2017. It was there that he placed his hands on an illuminated globe that marked the birthof the Global Center for Combating Terrorism in Riyadh.

Once released from his prison in the Ritz Carlton of Riyadh on January 27, Al Walid bin Talal, the nephew of Saudi King Abdullah, paid a 6 billion dollar fine to the winning faction of the royal family, led by Prince Mohammed Bin Salman.

After finally realizing to what extent the Wahabite Kingdom is important for the US economy, also Trump has relented and seen reason with the Al Saud’s dynasty.

In an interview with Fox News Night TV released on October 19 last, the US President said that he was interested in knowing the truth about the assassination of Saudi journalist Kashoggi – who, indeed, was also resident in the USA – recently occurred in his country’s Consulate in Istanbul.  Nevertheless, President Trump has refused to stop all the arms sales to Saudi Arabia for this reason.

At the end of May 2017, during his first trip abroad, precisely to Saudi Arabia, Donald J. Trump also signed a contract for the sale of arms and for other economic transactions with Riyadh – an agreement worth as many as 110 billion US dollars immediately and additional 350 billion dollars over the next ten years, with the political aim of countering Daesh-Isis, in particular.

The purchases include 18 billion dollars for C4 systems (Command, Control, Communications and Computers);  13.5 billion dollars for seven THAAD units (Terminal High Altitude Area Defense), anti-missile defense systems;  6.65 billion dollars for the old Patriot-class anti-missile systems; 25 billion dollars for the recapitalization of the Saudi purchase of the F-35 fighters; 5.8 billion dollars for three KC130J and 20 C130J transport aircraft;  6 billion dollars for 4 coastal battleships and additional 11.5 billion dollars for ships already ordered by Saudi Arabia in 2015 and blocked by former President Obama, although with the interested pressure of his Secretary of State.

Other Saudi investments are aimed at spy planes, fine electronics, troop movement and ground attack vehicles, as well as the purchase of Apache helicopters and M1A2 tanks, and finally for many human and computer-interactive military training programs for all the Saudi Armed Forces.

Clearly Saudi Arabia has turned a blind eye to the technological upgrading of the weapon systems ordered – far more advanced than the level of current purchases – but in view of a strong future bond with the United States.

Saudi official sources also state that until May 2017 the Kingdom suffered over 60 terrorist attacks by Isis-Daesh and Al Qaeda, with over 25 of them over the last two years.

According to the documents of the Saudi Center for Combating Terrorism, over 200 Saudi citizens, including policemen and civilians, have been killed by Islamist terrorism.

It is strange that a deeply Islamic State defines the “sword jihad” as “terrorism”, as if it did not know what the jihad rules and techniques are.

Some terminologies are used only by Western States, which have not yet well understood what is happening in the Islamic religious and political universe.

Furthermore, Saudi Arabia claims to have organized at least 341 air raids against the positions of the self-proclaimed Caliphate in Syria, thus resulting the second counterterrorist power operating in the region after the United States.

Nothing to do, however, with the air raids of the Russian Federation, which the US intelligence services have already counted to thousands.

Reverting to the Saudi Kingdom, the Wahhabi regime has also started to control private donations to the self-proclaimed Caliphate.

A special and semi-secret Counter ISIL Finance Group between Saudi Arabia, the United States and Italy was created in 2015, with a view to countering the financial networks of the Caliphate.

Saudi Arabia alone has also established a Financial Intelligence Unit, which is also member of the Egmont Group, a network of 159 Financial Intelligence Units between EU, “dangerous” countries and Middle East networks.

Moreover, regardless of their being registered in the Kingdom, the Saudi charities can operate only through the Riyadh center of the Saudi Red Crescent and the King Salman Humanitarian Aid. Any autonomous fundraising through mosques and even through the mere charity public centers is forbidden.

Money transfers without a license (accounting for 60% of the total transfers) are also banned, but there are also sanctions against Hezbollah.

Two birds with one stone, of course.

Until September 30, 2017 -that is the end of the last fiscal year available -the United States sold as many as 55.6 billion US dollars of arms worldwide, that is over 33% more than the previous year.

As President Trump has declared openly, he does not want “to stop a 110 billion dollar investment in the United States” – a sum that, however, also includes the 23 billion dollars of Saudi arms purchases, those already granted by the former Obama administration.

At least since 2012, one fifth of all US foreign arms sales has gone to Saudi Arabia.

One third of all arms sales in the world originates from the United States.

Half of US arms sales, however, goes to the whole Middle East and Africa.

With specific reference to the weapon systems, the largest share of US exports is in the aeronautics sector, followed by the missile sector and finally by the ground weapon systems and transport vehicles.

The countries buying more weapons from the USA are Saudi Arabia, Poland, Japan, Romania, Bahrain, Australia, the United Kingdom, the United Arab Emirates, Greece and Singapore.

Reverting to Saudi Arabia, a royal decree of April 22, 2017 appointed Khalid bin Salman Al Saud -the son of the current King and former pilot of fighter aircraft, who demonstrated excellence in dangerous missions against the self-proclaimed Syrian-Iraqi Caliphate – as the new Saudi Ambassador to the United States.

On October 2, 2018, with his usual frankness, President Trump stated that the Saudi Kingdom would collapse in two weeks without the US protection.

It is true and the current Prince and leader of Saudi Arabia knows it all too well. It is not yet certain that the Kingdom will last only two weeks without the United States, but it knows it is at risk.

Hence Prince Muhammad bin Salman is newly recreating the traditional relationship between the United States and Saudi Arabia, in spite of the unfortunate incident of the journalist Khashoggi, by underlining two important factors such as the relevance of the Wahabi Kingdom’s investments for the United States, which are now essential for this country, and the bilateral and strategic relationship with the United States that the Al Saud’s dynasty hopes will become even more stable.

Without America, Saudi Arabia is lost. Without Saudi Arabia the United States would definitely become poorer, and no President can accept this.

This holds true also for Yemen, where, since 2015, the United States has been training, arming and sharing intelligence with the Saudis against the Houthi, the Shiite guerrillas of the seventh Imam, obviously organized by Iran. What if the Saudis were afraid of one thing only, i.e. the uprising of the Shiites who are many in the area of their main oil wells?

It was exactly in 2015, the year when King Salman came to the throne and immediately delegated power to his son Mohammed.

Hence a military exchange on an equal footing between the United States and Saudi Arabia? Let us analyze the oil situation between the two countries more closely. Ultimately this is what really matters. However, we will talk about it at a later stage.

Meanwhile, however, let us see how Saudi Arabia presses the US companies and the economy, not only with the most well-known shareholdings.

At the time of the assassination of journalist Khashoggi in the Saudi Consulate in Istanbul, the Emirates’ Foreign Minister, Sheikh Abdullah Bin Zayed Al Nayhan, immediately expressed his full support for Saudi Arabia.

Even Oman, which had certainly not been a supporter of the Saudi-led anti-Iranian coalition, supported the Kingdom in that harsh situation.

Also the Secretary General of the Gulf Cooperation Council, Abdullatif Al Zayani, supported Saudi Arabia.

Even the Secretary-General of the Arab League, however, has recently expressed his support for Saudi Arabia.

At strategic and economic levels, harshly punishing the Saudi Kingdom for the assassination of journalist Khashoggi in the Saudi Consulate of Istanbul – an assassination which has currently turned out to be premeditated and particularly brutal – leaves no other chance for Prince Muhammad bin Salman than resorting to the usual countermoves.

Some Saudi leaders have openly mentioned the “oil weapon”, which would be used as a hefty club against European oil consumers, and not as it happened after the Kippur war of October 6-25, 1973 – when someone, namely ENI, escaped the grip of the Saudi-led OPEC.

If the oil price increased, also the US economy would suffer inflationary pressures and pressure on interest rates. This would greatly slow the US economic growth down – and the EU one even more.

Europeans should not believe they can use the Russian oil and gas to counteract the rise in Saudi and Sunni OPEC prices.

Russia fully agrees with OPEC and will not give up a general increase in the oil barrel and natural gas prices.

Certainly the increase in the oil barrel price, which is supposed to reach approximately 90 US dollars by next year, would favor the sale of shale oil and natural gas – a production which has doubled in the United States, but with a shorter price cycle: higher prices generate greater supply, which inevitably leads to a subsequent lowering of the oil barrel price.

The less Iranian oil on the market, the greater tension for the price increase – not to mention the reduction of the Russian and OPEC supply and the almost cessation of extraction in Venezuela for the well-known internal political reasons.

All this happens while the demand for oil and gas is increasing rapidly all over the world.

Combining the restriction to the Saudi and Sunni OPEC production with the growth of US production, it is certain that the growth of the North American supply has significantly reduced the Saudi power to exert pressure. In fact, Saudi Arabia can raise prices only in a way not stimulating a further growth of the extractive production in the United States.

Hence the “oil war” that Prince Mohammed bin Salman has in mind – if it were to start – would lead to a great energy crisis, stronger in Europe than in the United States.

Naturally the weak and now demented European Union has said nothing serious in this phase.

If Europe thinks President Trump can pull its chestnuts out of the fire, it is completely wrong.

The US President does not like Europe at all. He will soon put an end to the German trade surplus and he can scarcely bear NATO. Even Israel, however, has no regard for this EU and not even Russia takes it too seriously.

In this framework of isolation, Europe does not even pursue its most immediate interests.

Every day it only deals with pseudo-economic matters and quarrels with its South that some German economists would already like to leave to the fate of a “Southern” Euro to be separated from the “Northern” Euro.

We will see how the monetary competition between the two “Euros” will be structured – a competition which could be fatal for the Northern and Southern versions of the unsuccessful European monetary union.

A currency that would like to be global, but without the characteristics of a lender of last resort it makes us laugh. Nevertheless, the EU leaders still believe in it.

The economy is made up of geopolitics and global strategy, not the other way round.

The old neoclassical handbooks which are read in Strasbourg and Brussels are now antiques.

If the United States or other countries were to apply sanctions on Saudi Arabia, Prince Mohammed Bin Salman – who is in a hurry to relinquish the too oil-led economy which, however, made the huge fortunes of his country – would have very good cards to play.

Certainly, since 2015 Saudi Arabia has had public budgets in the red. For the first time in its financial history it has issued public debt securities. Probably it has also problems of slow depletion of some wells, in addition to the insecurity generated by the essential fact that their maximum extraction area has a very strong Shiite minority, on which Iran is constantly operating – from Bahrain and from Oman, which turns a blind eye.

The Public Investment Fund of Saudi Arabia (PIF)is a sovereign fund which largely operates in the United States, in Europe and in Asia.

The aforementioned Sovereign Fund of Riyadh has a 5% shareholding of Tesla, as well as other stakes in Tesla’s direct competitor, namely Lucid Motors. It has invested 3.5 billion dollars in Uber, the global leader of unlicensed taxis, as well as 20 billion dollars in a US infrastructure fund managed by Blackstone. PIF has built three new cities on the Red Sea coast and invested 45 billion dollars in the Soft Bank. Furthermore, the Prince Regent –  who directly leads PIF – said he wanted to invest additional 170 billion dollars over the next three to four years.

However, Saudi Arabia has also other geoeconomic weapons in its hands: in the United States, PIF owns 70% of Sabic, a large plastics-producing company. There are also the Saudi Telecom Company and the Saudi Electricity, with significant shareholdings in the sector in North America. There is also the aforementioned Blackstone Fund for Infrastructure, as well as a 45% shareholding of the National Commercial Bank, the Saudi Arabian Mining Company, the Entertainment Investment Company and the Fund of Funds.

PIF has also Saudi investments in Europe: the main ones are in Krups, Siemens, Arcelor Mittal and in many other sectors and small and medium-size enterprises.

PIF has also operations in place, of a size comparable to those in the USA, China, Pakistan, Russia, Ukraine and  the Philippines.

In South Africa, the Saudi government is negotiating with the Denel arms factory for cooperation with the Kingdom’s defense industries.

According to the Saudi press sources, the country would already have in mind at least 30 major operations to harshly respond to the possible US sanctions for the Khashoggi case.

They would not be oil sanctions, but rather financial, banking and industrial sanctions.

A “Samson” operation is also planned, with a fast and very significant reduction in oil production, capable of making the oil barrel price jump up to an incredible level of 400 US dollars.

Prince Mohammed bin Salman could also block the purchases of weapons already planned in the USA – and it is worth recalling that the Saudi Kingdom is the second largest importer of weapons in the world.

The Prince Regent has also invested significantly in the Silicon Valley industries, which he is integrating into the Saudi Giga Projects.

Finally, the Saudi investment line could head to countries such as China, Russia and India, instead of the USA and the EU.

Egypt, too, would soon participate in this game, with currently unpredictable consequences in the Maghreb region, and especially in Libya – where Egypt is the major supporter of General Khalifa Haftar – as well as in the United Arab Emirates.

A transition from the West to the East that would probably be the tombstone of Western economic and financial development.

It would also create a structural financial crisis in the United States, which could partly retaliate by unleashing a harsh trade war precisely with the European Union.

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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How terrible the consequences of the Cold War can be

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Image source: kremlin.ru

After World War II, the conflict over superiority between the United States and the Soviet Union began. The US-led NATO and the Soviet-led Warsaw Pact were formed. Apart from this, of course, NAM is also formed. As a result, the world is divided into three parts. NATO and Warsaw Pact are in competition with each other. It caused widespread conflict and violence around the world. In many countries there is a change of power. Most countries increase military power. In this situation, the Soviet Union collapsed in 1991. As a result, America became the sole superpower and imposed arbitrary capitalism, free trade and domination in the world. With China’s unimaginable economic and military progress these days, it has inevitably come to dominate the United States. As a result, the United States considers China as its main rival.

It has already taken steps to suppress China by declaring its main enemy, the main tool of which is sanctions. China is also responding to America’s every move. Yet America did not give up. New President Biden has formed an anti-China military alliance – QUAD and AUKUS.  The QUAD formed on March 12 with the United States, Australia, India and Japan. On September 15, the top leaders of the United States, the United Kingdom and Australia signed the AUKUS Agreement. As a result, Australia will be able to build a nuclear-powered submarine for the first time, much faster than conventional submarines, harder to identify, submerged for months, and capable of launching long-range missiles.

Earlier, the United States gave this technology only to the United Kingdom in 1958. Currently, only six countries have nuclear submarines. Namely: 70 from USA, 40 from Russia, 19 from China, 10 from UK, 9 from France and 3 from India. Australia is going to be associated with it. In addition, there are nuclear bombs in the United States, China, Russia, the United Kingdom, France, India, Pakistan and Israel.

However, many countries, including Russia and China, have strongly opposed AUKUS. Russia says AUKUS is basically a hostile move against China and Russia. The alliance’s infrastructure puts the whole of Asia at risk. China says the deal poses a serious risk of nuclear proliferation. It will also threaten regional peace and stability. This is contrary to the spirit of the Nuclear Non-Proliferation Treaty. Earlier, the two countries had strongly opposed the two QUAD’s. Malaysia has said it will cause tensions in the Indo-Pacific region.

Pakistan says the establishment of AUKUS reflects the mentality of the Cold War. This alliance could bring a cold war to Asia. However, Indonesia has backed AUKUS. Extreme tensions have arisen between China and Australia since the establishment of AUKUS. France is also extremely angry. That’s because France and Australia signed a 90 billion deal in 2016 to build 12 submarines, which Australia scrapped after the establishment of AUKUS. So France is extremely angry with Australia. In this regard, the Foreign Ministers of the European Union have expressed their support and solidarity with France. France is also furious with the United States.

French Foreign Minister says President Biden is pursuing former President Trump’s one-sided policy, short-sightedness, brutality and disrespect for partners. America is trying to resolve this anger of France. After the establishment of AUKUS, it seemed that the QUAD was over. But no it didn’t. The top leaders of the QUAD met at the White House on September 24. In addition to these two alliances, the United States is creating a military zone in the Middle East. The US Fifth Fleet in the Middle East announced on September 8 that the United States was forming a joint naval drone task force in the Persian Gulf with Israel and several Arab countries in the Persian Gulf. It will include airborne, naval ships and underwater drones. Apart from this, America has good relations with some other countries. Notable among them are South Korea and Taiwan.

European countries have been members of NATO since its inception. But due to the unilateral policy of the United States, the EU is now talking about leaving NATO and building its own security system. The president of France said on September 28 that the EU must build its own security system. In addition, the EU countries have good relations with China. Speaking at the 11th China-Europe Strategic Dialogue on September 28, Borel, the EU’s chief security officer, said developing relations with China was an important EU agenda. Maintaining close and smooth communication between Europe and China is very important. In this situation, the EU will not be easily involved in anti-China activities at the instigation of the US. So is Turkey, a NATO member and longtime ally of the United States. Relations between the two countries have recently deteriorated over Russia’s S-400 air defense system. Turkey is importing these weapons from Russia despite US objections.

According to the Turkish president, if the United States had sold the Patriot missile system to Ankara, Turkey would not have bought the S-400 from Russia. In this situation, the presidents of Russia and Turkey met in Russia on September 30. During the meeting, Putin said that Russia-Turkey cooperation is running smoothly. Pakistan has become closer to China by severing its long-standing friendship with the United States. The United States has withdrawn all troops from Afghanistan after losing the war to the Taliban.

In addition, it has decided to withdraw all troops from Iraq this month. The country’s foreign minister has called for the withdrawal of all foreign troops from Syria. There are many American troops there. Iran’s Supreme Leader Khamenei has called for an end to foreign military intervention in the region. On the other hand, the United States is talking about a return to Iran’s nuclear deal. Even so, Iran-US relations will not be good. Because America has done the most damage to Iran. Meanwhile, America’s relations with most countries in South America, North America and Africa are not good. Many countries, including many Muslim countries, are unhappy with the United States for its blind support for Israel’s aggression. Many countries have been hit hard by America’s war on terror since the infernal events of 9/11. Muslim countries have suffered the most.

These countries will not easily forget that. The United States has stockpiled the Coronavirus vaccine. As a result, poor countries have been deprived. So they are extremely angry with America. In terms of global relations, the opposition is heavier than the United States. Second, the war on terror has cost the United States nearly 9 trillion over the past 20 years, in addition to killing and injuring many soldiers. But the result of this war is zero. As a result, the Americans have become extremely angry. That’s why President Biden told the United Nations on September 21, “The US military should not be used as a solution to every problem in the world.” Above all, there is NATO. In fact, President Biden’s comments seem to be deceptive. In fact, America is still pursuing a belligerent policy.

Iran, Russia, China, Syria, Palestine, North Korea, Venezuela, Cuba, Algeria, Angola, Belarus, Bolivia, Cambodia, Eritrea, Laos, Nicaragua, Saint Vincent and the Grenadines Islands have formed an alliance with these 16 countries. The motto of this alliance is equality, peace and prosperity. This alliance is basically anti-US. On the other hand, after the defeat of America by the Taliban, an undeclared alliance has been formed between China, Russia, Pakistan, Iran, Uzbekistan, Turkmenistan and Tajikistan. Apart from China and Russia, other countries are also anti-US. These two anti-US alliances could become one in the future. Other anti-US countries may also be involved. It is pertinent to note that in recent times, China’s activities in the field of relations, investment and trade have increased tremendously in the world. According to a BBC report, China is paying twice as much as the United States and other major world powers for development assistance.

Extremely hostile two-polar military alliances have intensified lobbying to strengthen their sphere of influence. At the same time, the military power is increasing.  According to a report by the Stockholm International Pitch Research Institute, ‘global military spending increased by 2.6% to 1,981 billion in 2020, even in the wake of the Corona epidemic. Military spending continues to rise this year. Above all, the military powers are constantly testing new modern weapons. For example, last month the United States conducted a successful test of a hypersonic missile, which is five times faster than sound. That is 6,200 km per hour.

Earlier in July, Russia said it had successfully tested a Zircon hypersonic cruise missile, which has no rival in the world, the country’s president said. China last month unveiled its state-of-the-art air defense technology, the CH-6 drone, which is used in intelligence and military operations. In addition, WZ-7 drones and J-16D fighter jets used in border surveillance and sea patrol have been flown. The J-16 aircraft is capable of creating jams in enemy electronic equipment. China has already prepared its troops to lead the global cyber war. North Korea, Iran and Turkey have occasionally conducted successful tests of sophisticated missiles.

North Korea recently conducted four successful missile tests in a week, which is a hypersonic. Greece signed a 5.8 billion arms deal with France on October 2. Turkey says the deal will pose a threat to regional stability. The Iranian military conducted a military exercise in Sanandaj province on October 1. The lawmakers called it an “extreme warning” against the presence of Zionist Israel in neighboring Azerbaijan. Recently, China has been increasing the number of troops on the Line of Control (LoC) in Ladakh.  Indian Army Chief Naravane said the matter was a matter of concern.

So far, however, four US-led military alliances and one Sino-Russian-Iranian military alliance have emerged. In addition, an alliance initiated by the EU could be a peace alliance. Countries that are reluctant to join a military alliance can join it. After all, NAM is still there. The current trade and regional alliances may be broken by the push of these alliances. The current Cold War could turn into a world war in the future. It is difficult to say who will win then. However, Russian President Vladimir Putin has said that no one will survive to see the consequences of a future world war. That is why the UN Secretary-General has warned the United States and China about the “Cold War” and called on the two countries to rebuild their relations.

Whether it is the Cold War or the World War, it is necessary to abandon that path and focus on the solution of the current global crisis such as the rise of the atmosphere, the Corona epidemic, the global recession and the increase in poverty, and peace and prosperity. Last year, a global conference was held at the initiative of the United Nations, involving more than one million people from 193 countries. In it, 90 percent of the negotiators called for resolving the current common crises in the world through multilateralism. In the interest of world peace and security, world leaders need to pay attention to this.

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The U.S. Might Finally Be Ready to Back Down, to Avoid WW III

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Recently, tensions have been rising between, on the one hand, America, and on the other, both Russia and China. A nuclear war that includes the United States would destroy the entire world, because it would be not only nuclear, but major-power nuclear, which would entail so many nuclear explosions (perhaps all within less than an hour), so that nuclear winter would extend over not only all of the northern hemisphere, but probably also over all of the southern hemisphere (though more slowly there). Unfortunately, no scientific study has been published analyzing what the result would be of such a war, but studies have been published of likely outcomes from minor-power nuclear wars, and the results have indicated nearly as catastrophic outcomes as I’ve summarily indicated here for a major-power nuclear war.

The culminating public event displaying that a U.S. backdown has occurred would be Biden’s granting Putin’s bottom-line red line (which, if not granted but instead crossed, would precipitate a Russian attack against the U.S.), committing the U.S. to never crossing that line, and this back-down would consist of a mutually accepted and implemented agreement regarding Ukraine and its two break-away regions (the currently independent Donbas, and Russian Crimea). In the case of China, Biden would also need to grant Xi’s bottom-line red line, which would be for Biden publicly to accept the 28 February 1972 U.S.-China agreement called the “Shanghai Communique”, in which the U.S. Government agreed with China to the promise and commitment that “The United States acknowledges that all Chinese on either side of the Taiwan Strait maintain there is but one China and that Taiwan is a part of China. The United States Government does not challenge that position. It reaffirms its interest in a peaceful settlement of the Taiwan question by the Chinese themselves.” However, there would also need to be an addendum made to the Shanghai Communique, to the effect that if the Government of Taiwan refuses to publicly and officially acknowledge that it is part of China — no longer a colony of Japan, such as it had been during 1895-1945 (and it had been a province of China during 1683-1895), and also not a separate (i.e., independent) nation — then the United States will not oppose a militarily imposed restoration of Taiwan as being a Chinese province.

The Shanghai Communique goes considerably further than that, however, to commit the U.S. Government to never doing some other things that, during the past decade, the U.S. Government has increasingly blatantly violated (done); and, so, the three most crucial Shanghai Communique commitments regarding Taiwan will be specifically quoted here (and one of them has just been quoted but will be quoted again, in the context of the other two, so that readers may more clearly recognize the blatancy with which the U.S. Government has recently been violating the Shanghai Communique):

“the two sides agreed that countries, regardless of their social systems, should conduct their relations on the principles of respect for the sovereignty and territorial integrity of all states, nonaggression against other states, noninterference in the internal affairs of other states, equality and mutual benefit, and peaceful coexistence.”

“Both sides are of the view that it would be against the interests of the peoples of the world for any major country to collude with another against other countries, or for major countries to divide up the world into spheres of interest.”

“The U.S. side declared: The United States acknowledges that all Chinese on either side of the Taiwan Strait maintain there is but one China and that Taiwan is a part of China. The United States Government does not challenge that position. It reaffirms its interest in a peaceful settlement of the Taiwan question by the Chinese themselves. With this prospect in mind, it affirms the ultimate objective of the withdrawal of all U.S. forces and military installations from Taiwan.”

For the United States to accept either of those two red lines — Russia’s and/or China’s — (i.e., to agree that the U.S. accepts it, and will not oppose it), would be for the U.S. to back down in order to avoid a WW III. In other words: it would display the U.S. Government’s current decision that its #1 national-security goal isn’t to expand its current empire, but to avoid any WW III (avoid any U.S. war against either Russia or China).

This now seems likely to happen regarding Russia’s red line, as was indicated by Russia’s RT News on October 13th, under the headline “Kremlin says US & Russia agree Ukraine must give Donbass special autonomous status”. That would be Biden’s granting compliance with Putin’s bottom-line red line regarding Donbass. The next day, RT headlined “Strained relations between US & Russia could soon be on mend, Moscow says”. It stated that, after meeting with Kremlin officials in Moscow, “Victoria [Nuland] took with her to Washington a rather long list of those issues that were identified by the Russian side for the need to resolve them as soon as possible.” Nuland is the queen of the neoconservatives (or U.S. imperialists, or “super-hawks,” or “MIC darlings”), and had been sent to Moscow in order to push as hard as possible to get concessions from Russia. She was previously instrumental in the 2014 U.S. coup against Ukraine that captured Ukraine for military training and aid, and potential inclusion in the EU and in NATO — which coup (that she principally organized) actually sparked the current active restoration of the U.S.-Russia Cold War. This is probably why Biden chose her for that assignment. (It’s like sending a victim’s torturerer to find out what what the victim needs.) Whether Biden will decide in accord with her recommendations is unknown. If he does, then he will be continuing with President Obama’s plan (that she had designed) to ultimately place U.S. missiles on Ukraine’s border with Russia, so as to achieve “Nuclear Primacy”: the ability for the U.S. to destroy Moscow within less than ten minutes — too short a time for Russia to launch any retaliation. This would also indicate that China likewise is in severe jeopardy; it would warn China that it needs to presume the worst about the U.S. Government’s intentions.

If the United States will not comply, then one possible result would be that Russia and China will, then, jointly, and publicly, announce that any invasion against either, will be dealt with as constituting an invasion against both.

On the other hand, if Biden caves regarding Russia, then China, too, would likewise be much safer. For him to cave would be for him to accept not only that Ukraine must comply with the Minsk accords regarding Donbass, and that Crimea (which the Soviet Union’s dictator had arbitrarily transferred from Russia to Ukraine in 1954) is a province of Russia, but also that Taiwan is a province of China. (If Biden were to comply with Russia’s demand but not with China’s, then his subsequently invading China would almost certainly be met by Russian forces, and not only by Chinese ones, and thus America will likely experience yet another defeat — or else the entire world will, by means of a nuclear war between superpowers.) If he won’t agree with at least those three requirements (red lines), then avoiding WW III will be unlikely, if not impossible. That refusal would indicate the U.S. Government’s placing higher priority upon expanding yet further its empire, than upon avoiding a global nuclear war. 

Neither Russia nor China will accept being a part of the U.S. empire. The question now is whether or not the U.S. Government will finally accept that fact. For it to do so would violate all U.S. international policy since FDR died on 12 April 1945. This would be a turning-point in world history — the apogee of the American empire, which was first imposed by Truman and Eisenhower (mainly via coups). But, so, too, would Biden’s continuing forward with the Nuland-led Obama policy on Ukraine produce the apogee, which then would mean WW III (effectively, the end of human history). The American empire might end by the U.S. Government’s accepting that it’s downhill from here on, and the empire’s gradually fading away. Or else, it will end with WW III. This is the choice that now faces Biden. That decision will probably come under this President — and maybe very soon.

On October 15th, the highly informed and extraordinarily honest analyst of geostrategic diplomatic affairs, Alexander Mercouris, headlined “Nuland’s Moscow Trip Ends with Disagreement on All issues, Russia Considers Freezing Relations with US”, and he provided an extensive description of the results from Nuland’s negotiations this past week in Moscow with the Kremlin (and of the U.S. news-media’s virtual blacking-out of even the fact that she was there — and the little U.S. coverage that there was, was mocking Russia, and presented nothing of what the Russian negotiators had said, but only what Russia’s enemies were saying, such as “Apparently, Moscow’s misogynists would rather not deal with a woman at all”). Mercouris’s take on the matter was that Biden will likely continue doing what Nuland and other extreme neoconservatives against Russia want to be done. If Mercouris is correct, then we’re now at the brink of WW III. But whether that war would start against Russia, or against China, one can only guess.

If this sounds crazy, WW I also started as being crazy, and the publics in the respective combatting countries were kept in the dark about everything except the propaganda. The publics overwhelmingly believe the propaganda, no matter how consistently it has subsequently become documented to have been based on lies. For example: this news-report is being simultaneously submitted to virtually all news-media in the U.S. and allied countries. Let’s see how many of them publish it. After all: it’s definitely not propaganda. Everything in it is documented via the links, all of which are to extraordinarily relevant and reliable sources. Propaganda does not do that. But few people even notice this. That’s how imperialists routinely get away with mass-murders, such as in Iraq, Syria, and Ukraine.

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How The West Subdue Us: An Approach of Colonial and Development Discourse

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Talking about development and colonial discourse, I am reminded the story of John Perkins in his book “Confessions of an Economic Hit Man”. This book was written in 1982 when the tension between the west and east blocks is heating up. Two blocks are vigorously fighting to get influence over third world countries. The book contains a dramatic confession. He told how the financial donors institutions together with America conspired, regulated, and designed in order to control the resource in third world countries. John Perkins himself worked at one of these institutions. He was tasked with seducing leaders to accept debt loans through the World Bank, USAID, and other foreign aid organizations. This mission was carried out with a group called as the Economic Hit Man.

Further, the Economic Hit Man (EHM) have to ensure the targeted countries fall into the debt trap. After they owed were no longer able to pay the debts, it were obliged to surrender the concession of their natural resources. The trap which EHM uses to capture prey include: by making misleading financial reports through economic calculations and predictions, manipulating fraudulent elections by supporting candidates Pro-American interests, bribery, extortion, sex, and even murder. The last case happened to Jaime Roldos, the former President of Ecuador who was nicknamed “Castro” in his country. He was killed in a helicopter accident that he was riding. The helicopter crashed and caught fire on May 24, 1981. Many media at that time accused the CIA behind the murder.

Besides Ecuador, other countries that finally entered America’s debt trap were Indonesia. After the crisis hit Indonesia’s finances between 1997-1998, inevitably it signed a new IMF debt pact with various provisions and conditions were detrimental to the country. The pact which reflected on the Washington Consensus is an American strategy to subjugate troubled economic countries.

Ecuador and Indonesia case is only a small example of how the world condition after colonialism ended. It does not mean they reached independence as a whole since the occupation is no longer focused on exploitation and physical violence rather through structural hegemony and various infiltration. To understand how hegemony works comprehensively, there are two discourses framing the history of subjection namely colonial and development discourse.

Understanding Discourse

Discourse is a term created by Foucault. Foucault defines it as a way and means to uncover what is not visible with the naked eye. In the discourse, there are knowledge and strength which form a shared power. The hidden power in it was unconscious to hegemony the subject for how they act as expected. Discourse itself does not come from a vacuum, it exists and is produced, organized, deliberately controlled by the authorities and disseminated as an instrument of subjugation (Arturo Escobar, 1984). It was spread by the west to the third world countries through forced civilization. Western try to place the third world as a slave over their prevails values and knowledge imposed since the colonialism period. So that many countries in the third world fall into the western grip. Then its image becomes an elegant illustration in the mind people of the third world. From here, discourse appears as a tool for hegemony and it was intensively launched along with the colonial and post-colonial period.

How Do Colonial and Developmet Discourse Run

Gradually, discourse topic was inspired many scholars to examine and uncover the hidden interests of such submission processes. One of them is Edwar Said. Edwar Said wrote about what he called in the colonial discourse as Orientalism. For him, Orientalism is a study about eastern world carried out by western people (Europe) with a focus not only on their history and culture but also to a phenomenon political epistemology that contains broader historical consequences ( Eiman Osman, Postcoloniality and Development: Development as a Colonial Discourse). In short, colonial discourse is an extension of the narrow meaning of oppression. Colonial is not just physical exploitation rather attacks and deprivation of the cultural, political, economic and institutional values towards the colonized countries where local values are replaced by the new one brought and instilled by western. They lose their identity. Then they were born with a new “western” identity. It was considered as a strategy to perpetuate the power relations of western state over third world countries. This is clearly illustrated for example in the process of institutionalizing English language education in India and South Africa and it was a part of colonial government politics, as examined by Gauri Viswanathan (1990) and David Johnson (1996).

While colonial discourse emphasizes aspects of attack on culture, ideas, value systems in society – which go hand and become an inseparable part of physical violence, development discourse is a prolongation of new style of occupation beyond physical coercion. It was a new form of conquest. The expansion of this kind of discourse is rife after the cold war in which the West turned to focus on providing economic stimulus to third world countries, as well as a counter to communism.

Explicitly, development discourse is a western manipulation strategy that frames their good intentions by pretending to participate and help the third world in post-colonialism. The debt bondage which occurred in Ecuador and Indonesia that described above is a simple model of how development discourse works. It is a new imperialism under development guise.

Therefore, to understand a whole about development discourse is the best way to realize how western perceives the third world or vice versa. In fact, the perception as most civilized country had encouraged western to be a patron to control economic, political, social, and cultural systems within these countries. Its aim is not only to degrade the progress of development but also to shape the reality and self-image of the third world according to western will. Escobar neatly defines development discourse as follows: In this way, development will be seen, not as a matter of scientific knowledge, a body of theories and programs concerned with the achievement of true progress, but rather as a series of political technologies intended to manage and give shape to the reality of the Third World (Arturo Escobar, 1984).

Dismantling Development Discourse

According to Escobar, there are three important factors to analyze and dismantle development discourse in third world countries. First, through historical conditions, second, restructure of discourse, and third, the deployment of development.

Historical conditions lead us to the portrait of the world at the end of the cold war where capitalism holds control of the course of the global economy. The third countries which are now adopting the same political system (imposed by the west) were initially given the hope that they would be assisted by international institutions that would deal with development issues in their country. Economic studies in newly independent countries are actively carried out. This is the initial phase of transition control in a more subtle direction. In this stage, many of them volunteered to receive program and debt assistance offered by international financial institutions before finally entering the trap of their power.

While restructure of discourse is operated not only to change the old structure that applies in third world countries as well as to focus on the economic structure but to touch all aspects, including social and politics so that these aspects will become institutionalized which perpetuate and sustain western domination over the lives of third world. This happens at all levels, from rural to urban, local-regional, national-international.

In the deployment of development, there are several main strategies. First, through a variety of labeling. Initially by perceiving that the third world is backward, uneducated, abnormal, and embedding other negative terms. Second,  through the formation of professional fields. Here various types of specialization are formed which are directed at their respective fields. Specialization in the field of science, including economics, politics, is intended to make science look neutral so the course of development which is much assisted by elements of science is not deemed politically. The third is through the institutionalization of development. As Escobar calls it “This process took place at various levels, ranging from the international organizations and national planning bodies to local level development agencies. These institutions became the agents of the deployment of development, the network of new sites of power which, taken as a whole, constituted the apparatus of development “(Arturo Escobar, 1984).

In short, everything that we believe so far is the fruit of our past and the cultivation of western values. So do not be surprised if some of us still consider the west as the center of civilization orientation.

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