Showing posts with label Saudi Arabia. Show all posts
Showing posts with label Saudi Arabia. Show all posts
Wednesday, August 5, 2020
Punishment for Human Rights' Abuses
Like two aspirins for those whose heads ache, because they feel powerless to do anything about unspeakable human rights' violations, the concept of Magnitsky laws is a cure. These laws impact the individuals and organizations responsible for inhuman abuses, who often seem to escape prosecution, to accummulate fortunes by leveraging their high-level contacts and to laundeer and stash their wealth in safe havens throughout the world.
Countries, including the US, UK, Canada, the Baltics and members of the European Union, enact a version of the Magnitsky law to freeze accounts of those responsible for human rights' abuses, thereby preventing them from financing their anticipated luxurious lifestyles.
While the laudible aim of Magnitsky laws and fate of Sergei Magnitsky are well known, some details are disputed. Mr. Magnitsky, a 37-year-old tax expert, sometimes represented as an attorney, worked for Bill Browder's London-based Hermitage Capital Management investment firm. When Browder's Russian investments in state-owned corporations, especially Gazprom, prospered, he appears to have involved Magnitsky in a scheme to limit his tax liability by claiming a discount for employing disabled workers firms did not employ.
In connection with an investigation two Moscow police officers made into Broder's alleged $230 million tax fraud case, Magnitsky ended up in a Russian prison, where a doctor discovered he needed pancreatic surgery he never received. Magnitsky died in prison on November 16, 2009. Mr. Browder effectively tells the story that the two police officers who initiated the tax fraud investigation were responsible for Magnitsky's death.
In any case, the US Department of the Treasury's Office of Foreign Assets Control (OFAC) maintains a list of Specially Designated Nationals (SDN) sanctioned under various laws, including the Global Magnitsky Act of 2012. On Friday, August 7, 2020, the OFAC list added 11 Hong Kong officials for undermining autonomy guarantees and restricting freedom of expression or assembly.
In mid-July, 2020, the UK's Global Human Rights Sanctions Regulations imposed asset freezes and travel bans on:
- 25 Russian officials implicated in Magnitsky's death
- 20 senion Saudi intelligence officials allegedly involved in the murder of journalist Jamal Khashoggi
- 2 Myanmar generals connected to ethnic Rohingya autrocities
- 2 North Korean organizations that run the concentration camps for political prisoners
The UK's sanctions regulations provide review provisions.
Tuesday, October 23, 2018
2018-2019 Struggle for Human Rights
No struggle for human rights around the world is ever complete. The record that I began in the earlier post, "Hope for the Future," needs to be updated with some positive and negative developments.
Archbishop Oscar Romero, who was murdered by a military death squad in 1980 because he spoke out for unions and poor peasant groups against the grip of prosperous coffee growers and capitalism in El Salvador, was declared a saint of the Catholic Church in 2018.
Vietnam released and exiled "Mother Mushroom," Nguyen Ngoc Nhu Quynh, who had been jailed for writing about the country's corruption and pollution.
Boko Haram continues to kill and kidnap innocent victims in Nigeria and the Cameroon.
North Korea has re-education camps for thousands, and China also holds Muslim Uighurs in camps because their religion is said to undermine peace and security. In March, 2019, Kazakhstan would demonstrate an effort to maintain good relations with its Chinese neighbor by arresting Serikzhan Bilash for supporting Uighurs detained in Xinjiang's camps.
Russia tried unsuccessfully to poison a spy in the UK in 2018, and it continues to hold political prisoners, such as Oleg Sentsov and Oleg and Alexei Navalny. In February, 2019, Russia would arrest Michael Calvey, a U.S financier, which is reminiscent of the expulsion of Browder, whose tax expert, sometimes called his lawyer, Sergei Magnitsky, died in a Russian prison.
For criticizing the regime of King Salman and his son, Muhammad bin Salman (MBS), the Saudi Arabian journalist and US resident, Jamal Khashoggi, was murdered at the Saudi consulate in Turkey in October, 2018, but in the same month, a Turkish court released a US pastor, Andrew Brunson, who had been in prison there on false terrorism charges for two years.
Archbishop Oscar Romero, who was murdered by a military death squad in 1980 because he spoke out for unions and poor peasant groups against the grip of prosperous coffee growers and capitalism in El Salvador, was declared a saint of the Catholic Church in 2018.
Vietnam released and exiled "Mother Mushroom," Nguyen Ngoc Nhu Quynh, who had been jailed for writing about the country's corruption and pollution.
Boko Haram continues to kill and kidnap innocent victims in Nigeria and the Cameroon.
North Korea has re-education camps for thousands, and China also holds Muslim Uighurs in camps because their religion is said to undermine peace and security. In March, 2019, Kazakhstan would demonstrate an effort to maintain good relations with its Chinese neighbor by arresting Serikzhan Bilash for supporting Uighurs detained in Xinjiang's camps.
Russia tried unsuccessfully to poison a spy in the UK in 2018, and it continues to hold political prisoners, such as Oleg Sentsov and Oleg and Alexei Navalny. In February, 2019, Russia would arrest Michael Calvey, a U.S financier, which is reminiscent of the expulsion of Browder, whose tax expert, sometimes called his lawyer, Sergei Magnitsky, died in a Russian prison.
For criticizing the regime of King Salman and his son, Muhammad bin Salman (MBS), the Saudi Arabian journalist and US resident, Jamal Khashoggi, was murdered at the Saudi consulate in Turkey in October, 2018, but in the same month, a Turkish court released a US pastor, Andrew Brunson, who had been in prison there on false terrorism charges for two years.
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Saturday, March 10, 2018
China's Plan for World Domination
What developing country could resist participating in China's One Belt One Road (OBOR) and Maritime Silk Road (MSR) initiatives to construct roads, railroads, bridges, and power plants that would enable a rural exodus to jobs in urban centers, employ the unemployed, stimulate manufacturing, and facilitate trade? What developed country could resist participating in the financial enterprise of investing in China's estimated $1 trillion to $8 trillion project?
That's the good news. Students are challenged to activate their critical thinking to anticipate, and even suggest solutions for, the problems that have and will develop along these routes.
Finance: Traditionally, the international financial institutions charged with funding major projects include the World Bank, dominated by the United States; the International Monetary Fund (IMF), whose president comes from Europe; and the Asian Development Bank headed by a president from Japan. Because the funding process of these institutions was considered too slow and the required plan preparation was too costly, a New Development Bank, Asian Infrastructure Investment Bank (AIIB), and Silk Road Fund were established to pick up the pace.
Since then, the Islamic Development Bank has agreed to jointly finance African projects with the AIIB, and Japanese, British, and US banks also are looking into ways to cooperate with China. Japan and the United States did not join the AIIB, because they suspected the bank would lack concern about labor, environmental sustainability, and requirements for democratic reform, since China considers all political systems equal and claims not to interfere with a recipient's sovereignty. As it has turned out, the AIIB is careful to abide by international norms, but the bank seems to retain its image by avoiding involvement with One Belt, One Road (OBOR) projects.
After World War II, the Marshall Plan helped rebuild a Europe that had existed. China's One Belt, One Road plan attempts to build something that never existed before what exits is ready to use it. As a result, Chinese development projects and financing bury recipients, such as Angola and Zambia, in debt. Half the countries in sub-Sahara Africa now have public debt greater than half their GDPs. There is growing concern about the raw materials, state power utilities, and other compensation China might require in case of loan defaults. Sri Lanka already was asked to share intelligence about traffic passing through its now bankrupt and Chinese-seized port. Zambia's default on a Chinese loan repayment resulted in immediate discussions that could lead to seizure of Zambia's electric company, ZESCO. The following eight countries have been singled out as in danger of assuming too great a Chinese debt burden: Laos, Kyrgyzstan, the Maldives, Montenegro, Djibouti, Tajikistan, Mongolia, and Pakistan.
Pakistan's new prime minister, Imran Khan, found out countries cannot escape hard financial realities. Fed up with "hand outs from the West," Pakistan hoped to avoid the scrutiny of loan requests submitted to the IMF. But even China, in the process of using Pakistan to gain access to the mineral riches in Afghanistan's mountains and to encircle India with its OBOR projects, balked at loaning funds to cover the $10 billion Pakistan needs for the next few month's fuel imports and foreign debt repayments. Saudi Arabia only offered to consider investing in the $60 billion China-Pakistan Economic Corridor (CPEC), the part of China's OBOR that includes a deep water port at Gwadar, Pakistan, and a major dam at Karot on the Pakistan-India-Chinese border. Now that the IMF is evaluating Pakistan's loan application, China also faces scrutiny of the secret terms of its CPEC contracts.
Reminiscent of the way Britain achieved control over the Suez Canal, China is creating influence and economic dependency in a wide swath of territory. With complex partnerships, including with the developing countries themselves, and enormous amounts of money at risk, diverse financial instruments handle equity participation, public-private partnerships, insurance, loan guarantees, debt instruments, first-loss equity, challenge funds, grants, and project preparation support. In cases of shared risk, allocating amounts to partners is challenging. Reducing risks also requires staff to monitor project progress and maximize the speed of fixing mistakes. At any time, China can call in loans for non-payment.
Political conflict: Beijing's Maritime Silk Road includes the deep water port China is building at Gwadar, Pakistan, to gain access to the Arabian Sea and avoid shipping oil farther east through the congested Malacca Straight. From Gwadar, China plans a route north and east toward the Karot hydroelectric power plant on the Jhelum River southeast of Islamabad and into China's Xinjiang Uighur Autonomous Region, China, which already uses facial recognition technology to track 2.5 million in its Xinjiang province, also would gain another way to control the restive Uighur Muslim minority that lives among the Chinese Han majority. Since China's President Xi Jinping came to power in 2012, he has pushed the idea that China's atheistic political system should be considered just as valid, especially for maintaining China's peace and security, as the governments of any other countries.
Try as hard as it might, however, the Chinese Communist Party has been unable to squelch Muslim Uighurs, but also Christians and Taoists in Chengdu's panda-breeding city and Buddhists in Tibet (as well as democracy activists in Hong Kong and Taiwan). More than a million Uighurs are said to be confined in re-education camps. Increased surveillance using facial recognition, AI, and computer monitoring systems tries to catch violations. Rather than be shut out of a major market, even Google was poised to develop a "Dragonfly" search engine that would meet China's censorship requirements by excluding keywords, such as Tiananmen, until its employees refused to compromise their ethics in order to work on the project.
A part of the Pakistan to China road also passes through Kashmir, the primarily Muslim site of a territorial dispute between the nuclear powers, Pakistan and Hindu India. For the first time in 30 years, the Kashmir flash point came under a major attack in February, 2019, when a suicide bomber from Pakistan killed 40 of India's security forces. To further complicate border tensions, Saudi Arabia's crown prince, Muhammad bin Salman, who is accused of directing the murder of journalist, Jamal Khashoggi, seemed to challenge China's influence in the area by visiting with a promise to invest in Pakistan and India.
Thus far, India's military buildup, economic shortfalls in the region, and ethnic/religious conflict have prevented Beijing from surrounding India. The two countries, India and China, already needed to resolve a 2017 border dispute by establishing a hotline between them. With the launch of its Arihant submarine in November, 2018, India enhanced its military capability in the area by adding sea-based, short-range nuclear missiles capable of reaching China and Pakistan to its air- and land-based missile systems.
In the south, the Indian Ocean's strategic Maldive Islands ousted China's hand-picked president. Under former President Yameen, Chinese influence had started to replace the protection India provided after the Maldives and India achieved independence from Britain. Millions in low interest Chinese loans began funding construction of a bridge from the Maldive capital in Male to the main airport, as well as housing and a hospital that could support a naval base. Saudi Arabia also has showed interest in the Maldive atolls and constructed a major mosque there.
Beijing's effort to eliminate the need to import oil through the congested Malacca Straight also moves China closer to India in the southeast. China plans to construct a road-rail-pipeline corridor through Myanmar, from its Shan state in the east to a port on the Bay of Bengal in the Rakhine state on the Bangladesh border. The Chinese conglomerate constructing the port is financing 70% of the project, but Myanmar is hard-pressed to fund its 30%, much less the rest of the country-wide project. Myanmar's Buddhist government and military face warring factions: the Muslim Rohingyas; the Arakan Army of Buddhist Rakhine that opposes the Burman-dominated Buddhist government; and the Northern Alliance Brotherhood, a coalition of insurgents from Kachin and Shan states.
In Central Asia, China runs into conflict with Russia, especially in resource-rich Kazakhstan, sometimes called the buckle of the new Silk Road.
The South China Sea finds China challenged by the United States, Japan, the Philippines, Vietnam, Thailand, Malaysia, and Brunei. Of course, there is a chance that rising waters on the overheated planet may swamp the atolls, small islands, and reefs China has militarized there, as well as in the Maldives in the Indian Ocean.
Finally, any country's government can stall, kill, or seize a project on China's land and sea routes. History recalls how France and England struggled to build and finance the Suez Canal only to have Gamal Nasser seize it in the spirit of anti-colonial nationalism. Three months into his new position, after defeating Chinese-backed Najib Razak, Malaysia's new, 93-year-old prime minister, Dr. Mahathir Mohamad, termed Chinese loans Chinese "colonialism." He traveled to Beijing to cancel the previous government's $20 billion agreement to let China build a high speed railway and two oil pipelines. China may have a way to regain these contracts, however. Malaysia is eager to prosecute Jho Low, the Malaysian mastermind behind a plot that misappropriated funds raised by three bond offerings Goldman Sachs underwrote for a Malaysian wealth fund. China could offer to turn over Mr. Low in exchange for the resumption of the cancelled projects. To block a Chinese-financed upscale Malaysian housing project wealthy Chinese investors, but not most Malaysians, could afford, Dr. Mohamad said Malaysia would not grant visas for foreigners to live there. Anwar Ibrahim is expected to replace Mahathir Mohamad, when he resigns as prime minister.
Sierra Leone's new president, Julius Maada Bio, canceled the previous administration's contract for the Chinese-financed Mamamah International Airport. As the country's aviation ministry observed, construction of a new airport would be uneconomical when the existing one is underutilized.
China also experienced opposition, when Nepal referred a Chinese project to review by anti-corruption watchdogs. Feeling overextended, Pakistan shut down projects on the China-Pakistan Economic Corridor Beijing views as its access to the Arabian Sea. It seeks more lending from China instead of an IMF loan. Even at home, Chinese citizens are beginning to view potential defaults on loans, especially to Africa, as foreign aid better used to finance domestic needs.
Environment: Constructing roads, railroads, bridges, and power plants has a major impact on the environment. At the same time cutting trees to make way for roads, rails, and tunnels, and laying thousands of miles of concrete invite flooding by eliminating anchors for soil and ground to absorb rain, increased truck and car traffic and the added heat from burning fossil fuels to generate electricity from power plants will warm the planet and increase the need for trees to absorb greenhouse gases.
Railroad projects in Kenya and seaport construction at Walvis Bay, Namibia, led locals to demand protection for wild life. China remains a major market for the ivory and rhino horn poachers obtain by killing Africa's elephants and rhino.
Infrastructure projects also can be expected to encounter objections from non-governmental organizations (NGOs) with environmental, as well as religious, human rights, and other concerns.
Employment: With a population of 1.4 billion people, China is in a position to provide all the skilled and unskilled labor needed to design, engineer, construct, administer, staff, monitor, and maintain its OBOR and MSR projects. Should governments along these routes expect China to employ their countries' unemployed, China will see no need to pay desirable wages nor to establish exemplary working conditions. Experience in Africa shows China's railroad projects have generated protests over poor pay and treatment. African construction companies even have seen contracts to build government buildings go to Chinese firms instead of local ones. Also, African industries and shop owners that expected to benefit from Chinese-financed roads and rails have found themselves unable to compete with cheaper Chinese imports.
What cannot be ignored is how the hundreds of migrant workers employed on China's widespread infrastructure projects could pose a major threat of disease transmission, especially of AIDS. Despite the attempt of Chinese managers to confine workers to monitored compounds, employees likely will be determined to find ways to meet local women.
Looking at topographical maps will give students an idea of the challenges of constructing routes through mountains, forests, and deserts and over rivers. (The earlier post, "All Aboard for China's African Railroads," describes problems of terrain, as well as financial and other problems, that can arise with projects in developing countries.) All in all, watching the progress along China's One Belt One Road and Maritime Silk Road will give students an interesting learning experience for years to come.
That's the good news. Students are challenged to activate their critical thinking to anticipate, and even suggest solutions for, the problems that have and will develop along these routes.
Finance: Traditionally, the international financial institutions charged with funding major projects include the World Bank, dominated by the United States; the International Monetary Fund (IMF), whose president comes from Europe; and the Asian Development Bank headed by a president from Japan. Because the funding process of these institutions was considered too slow and the required plan preparation was too costly, a New Development Bank, Asian Infrastructure Investment Bank (AIIB), and Silk Road Fund were established to pick up the pace.
Since then, the Islamic Development Bank has agreed to jointly finance African projects with the AIIB, and Japanese, British, and US banks also are looking into ways to cooperate with China. Japan and the United States did not join the AIIB, because they suspected the bank would lack concern about labor, environmental sustainability, and requirements for democratic reform, since China considers all political systems equal and claims not to interfere with a recipient's sovereignty. As it has turned out, the AIIB is careful to abide by international norms, but the bank seems to retain its image by avoiding involvement with One Belt, One Road (OBOR) projects.
After World War II, the Marshall Plan helped rebuild a Europe that had existed. China's One Belt, One Road plan attempts to build something that never existed before what exits is ready to use it. As a result, Chinese development projects and financing bury recipients, such as Angola and Zambia, in debt. Half the countries in sub-Sahara Africa now have public debt greater than half their GDPs. There is growing concern about the raw materials, state power utilities, and other compensation China might require in case of loan defaults. Sri Lanka already was asked to share intelligence about traffic passing through its now bankrupt and Chinese-seized port. Zambia's default on a Chinese loan repayment resulted in immediate discussions that could lead to seizure of Zambia's electric company, ZESCO. The following eight countries have been singled out as in danger of assuming too great a Chinese debt burden: Laos, Kyrgyzstan, the Maldives, Montenegro, Djibouti, Tajikistan, Mongolia, and Pakistan.
Pakistan's new prime minister, Imran Khan, found out countries cannot escape hard financial realities. Fed up with "hand outs from the West," Pakistan hoped to avoid the scrutiny of loan requests submitted to the IMF. But even China, in the process of using Pakistan to gain access to the mineral riches in Afghanistan's mountains and to encircle India with its OBOR projects, balked at loaning funds to cover the $10 billion Pakistan needs for the next few month's fuel imports and foreign debt repayments. Saudi Arabia only offered to consider investing in the $60 billion China-Pakistan Economic Corridor (CPEC), the part of China's OBOR that includes a deep water port at Gwadar, Pakistan, and a major dam at Karot on the Pakistan-India-Chinese border. Now that the IMF is evaluating Pakistan's loan application, China also faces scrutiny of the secret terms of its CPEC contracts.
Reminiscent of the way Britain achieved control over the Suez Canal, China is creating influence and economic dependency in a wide swath of territory. With complex partnerships, including with the developing countries themselves, and enormous amounts of money at risk, diverse financial instruments handle equity participation, public-private partnerships, insurance, loan guarantees, debt instruments, first-loss equity, challenge funds, grants, and project preparation support. In cases of shared risk, allocating amounts to partners is challenging. Reducing risks also requires staff to monitor project progress and maximize the speed of fixing mistakes. At any time, China can call in loans for non-payment.
Political conflict: Beijing's Maritime Silk Road includes the deep water port China is building at Gwadar, Pakistan, to gain access to the Arabian Sea and avoid shipping oil farther east through the congested Malacca Straight. From Gwadar, China plans a route north and east toward the Karot hydroelectric power plant on the Jhelum River southeast of Islamabad and into China's Xinjiang Uighur Autonomous Region, China, which already uses facial recognition technology to track 2.5 million in its Xinjiang province, also would gain another way to control the restive Uighur Muslim minority that lives among the Chinese Han majority. Since China's President Xi Jinping came to power in 2012, he has pushed the idea that China's atheistic political system should be considered just as valid, especially for maintaining China's peace and security, as the governments of any other countries.
Try as hard as it might, however, the Chinese Communist Party has been unable to squelch Muslim Uighurs, but also Christians and Taoists in Chengdu's panda-breeding city and Buddhists in Tibet (as well as democracy activists in Hong Kong and Taiwan). More than a million Uighurs are said to be confined in re-education camps. Increased surveillance using facial recognition, AI, and computer monitoring systems tries to catch violations. Rather than be shut out of a major market, even Google was poised to develop a "Dragonfly" search engine that would meet China's censorship requirements by excluding keywords, such as Tiananmen, until its employees refused to compromise their ethics in order to work on the project.
A part of the Pakistan to China road also passes through Kashmir, the primarily Muslim site of a territorial dispute between the nuclear powers, Pakistan and Hindu India. For the first time in 30 years, the Kashmir flash point came under a major attack in February, 2019, when a suicide bomber from Pakistan killed 40 of India's security forces. To further complicate border tensions, Saudi Arabia's crown prince, Muhammad bin Salman, who is accused of directing the murder of journalist, Jamal Khashoggi, seemed to challenge China's influence in the area by visiting with a promise to invest in Pakistan and India.
Thus far, India's military buildup, economic shortfalls in the region, and ethnic/religious conflict have prevented Beijing from surrounding India. The two countries, India and China, already needed to resolve a 2017 border dispute by establishing a hotline between them. With the launch of its Arihant submarine in November, 2018, India enhanced its military capability in the area by adding sea-based, short-range nuclear missiles capable of reaching China and Pakistan to its air- and land-based missile systems.
In the south, the Indian Ocean's strategic Maldive Islands ousted China's hand-picked president. Under former President Yameen, Chinese influence had started to replace the protection India provided after the Maldives and India achieved independence from Britain. Millions in low interest Chinese loans began funding construction of a bridge from the Maldive capital in Male to the main airport, as well as housing and a hospital that could support a naval base. Saudi Arabia also has showed interest in the Maldive atolls and constructed a major mosque there.
Beijing's effort to eliminate the need to import oil through the congested Malacca Straight also moves China closer to India in the southeast. China plans to construct a road-rail-pipeline corridor through Myanmar, from its Shan state in the east to a port on the Bay of Bengal in the Rakhine state on the Bangladesh border. The Chinese conglomerate constructing the port is financing 70% of the project, but Myanmar is hard-pressed to fund its 30%, much less the rest of the country-wide project. Myanmar's Buddhist government and military face warring factions: the Muslim Rohingyas; the Arakan Army of Buddhist Rakhine that opposes the Burman-dominated Buddhist government; and the Northern Alliance Brotherhood, a coalition of insurgents from Kachin and Shan states.
In Central Asia, China runs into conflict with Russia, especially in resource-rich Kazakhstan, sometimes called the buckle of the new Silk Road.
The South China Sea finds China challenged by the United States, Japan, the Philippines, Vietnam, Thailand, Malaysia, and Brunei. Of course, there is a chance that rising waters on the overheated planet may swamp the atolls, small islands, and reefs China has militarized there, as well as in the Maldives in the Indian Ocean.
Finally, any country's government can stall, kill, or seize a project on China's land and sea routes. History recalls how France and England struggled to build and finance the Suez Canal only to have Gamal Nasser seize it in the spirit of anti-colonial nationalism. Three months into his new position, after defeating Chinese-backed Najib Razak, Malaysia's new, 93-year-old prime minister, Dr. Mahathir Mohamad, termed Chinese loans Chinese "colonialism." He traveled to Beijing to cancel the previous government's $20 billion agreement to let China build a high speed railway and two oil pipelines. China may have a way to regain these contracts, however. Malaysia is eager to prosecute Jho Low, the Malaysian mastermind behind a plot that misappropriated funds raised by three bond offerings Goldman Sachs underwrote for a Malaysian wealth fund. China could offer to turn over Mr. Low in exchange for the resumption of the cancelled projects. To block a Chinese-financed upscale Malaysian housing project wealthy Chinese investors, but not most Malaysians, could afford, Dr. Mohamad said Malaysia would not grant visas for foreigners to live there. Anwar Ibrahim is expected to replace Mahathir Mohamad, when he resigns as prime minister.
Sierra Leone's new president, Julius Maada Bio, canceled the previous administration's contract for the Chinese-financed Mamamah International Airport. As the country's aviation ministry observed, construction of a new airport would be uneconomical when the existing one is underutilized.
China also experienced opposition, when Nepal referred a Chinese project to review by anti-corruption watchdogs. Feeling overextended, Pakistan shut down projects on the China-Pakistan Economic Corridor Beijing views as its access to the Arabian Sea. It seeks more lending from China instead of an IMF loan. Even at home, Chinese citizens are beginning to view potential defaults on loans, especially to Africa, as foreign aid better used to finance domestic needs.
Environment: Constructing roads, railroads, bridges, and power plants has a major impact on the environment. At the same time cutting trees to make way for roads, rails, and tunnels, and laying thousands of miles of concrete invite flooding by eliminating anchors for soil and ground to absorb rain, increased truck and car traffic and the added heat from burning fossil fuels to generate electricity from power plants will warm the planet and increase the need for trees to absorb greenhouse gases.
Railroad projects in Kenya and seaport construction at Walvis Bay, Namibia, led locals to demand protection for wild life. China remains a major market for the ivory and rhino horn poachers obtain by killing Africa's elephants and rhino.
Infrastructure projects also can be expected to encounter objections from non-governmental organizations (NGOs) with environmental, as well as religious, human rights, and other concerns.
Employment: With a population of 1.4 billion people, China is in a position to provide all the skilled and unskilled labor needed to design, engineer, construct, administer, staff, monitor, and maintain its OBOR and MSR projects. Should governments along these routes expect China to employ their countries' unemployed, China will see no need to pay desirable wages nor to establish exemplary working conditions. Experience in Africa shows China's railroad projects have generated protests over poor pay and treatment. African construction companies even have seen contracts to build government buildings go to Chinese firms instead of local ones. Also, African industries and shop owners that expected to benefit from Chinese-financed roads and rails have found themselves unable to compete with cheaper Chinese imports.
What cannot be ignored is how the hundreds of migrant workers employed on China's widespread infrastructure projects could pose a major threat of disease transmission, especially of AIDS. Despite the attempt of Chinese managers to confine workers to monitored compounds, employees likely will be determined to find ways to meet local women.
Looking at topographical maps will give students an idea of the challenges of constructing routes through mountains, forests, and deserts and over rivers. (The earlier post, "All Aboard for China's African Railroads," describes problems of terrain, as well as financial and other problems, that can arise with projects in developing countries.) All in all, watching the progress along China's One Belt One Road and Maritime Silk Road will give students an interesting learning experience for years to come.
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Monday, March 5, 2018
China Stretches a Napoleon-Style Belt
Emperor Xi Jinping gained open-ended power, when China's Communist Party scrapped his two, five-year term limit in February, 2018. He already had launched an ambitious One Belt, One Road (OBOR) Initiative to connect China to Europe and a Maritime Silk Road (MSR) that will join China to Africa. The Silk Road term, not coined until the 19th century by a German, is well suited to the OBOR and MSR initiatives which mimic the ancient variety of land and sea routes that carried silk and other goods, as well as ideas, between Asia, Europe, and Africa. Many have observed, however, that besides a means to facilitate trade, China's port projects could serve as a way to establish worldwide influence and naval bases for China's expanding navy.
In pinyin, the form of Chinese characters described in Roman letters, the One Belt, One Road Initiative is called yidaiyilu. The worldwide use of English and the U.S. dollar rankles China. Beijing's Academy of Contemporary China and World Studies claims globalization is now causing many words, such as xiongmao, the pinyin word for giant panda, to be recognized outside of China.
Ever since Romans built the Appian Way, leaders have recognized how transportation binds an empire together. Yet, China's infrastructure projects will test the tight control Beijing now maintains over its citizens' telecommunication and face-to-face contacts with the outside world. Like the Chinese employees who built the railroad in Kenya, those building the new container terminal and nearby oil storage installation at Walvis Bay in Germany's former African territory of Namibia, are sealed off from the local community. They live in a closely monitored compound of barracks imprisoned by a wall topped by electrified barb wire.
Stretching thousands of miles from Beijing, work on the OBOR and MSR cannot help but require ongoing contacts with local government officials, financial institutions, suppliers, laborers, religions, and academics in the countries the roads pass. Already, the China Democratic League, one of China's eight non-communist parties, submitted a proposal to the advisory body, the National Committee of the Chinese People's Political Consultative Conference, suggesting cultural exchanges along the routes are as important as trade.
Singapore-based Broadcom's failed hostile bid for the San Diego company, Qualcomm, might, however, signal China's determination to maintain control over vast areas by using high-speed optic fiber communications and Smartphone communication and data exchange. The Committee on Foreign Investment in the United States (CFIUS) cited national security issues to block Broadcom from access to Qualcomm's wireless chips and 5G (fifth generation) high-speed mobile network technology and standards. In April, 2018, the U.S. Commerce Department placed a 7-year ban (now lifted) on sales of chips, all from Qualcomm, to China's ZTE, because the company violated a 2017 agreement not to send telecommunications equipment containing Qualcomm chips to Iran and North Korea. In Australia, (and later in the UK and Sweden) China's Huawei telecom companies remain banned from 5G networks. Before its US-blocked acquisition of Qualcomm, Broadcom transferred its headquarters from Singapore to San Jose, California, and later purchased Manhattan-based CA Technologies, a chipmaker in the infrastructure software field. In July, 2018, China would block Qualcomm's acquisition of China's NXP semiconductor company.
Noticeably missing from China's One Belt, One Road initiative was any reference to North Korea. But that was before members of the women's hockey players in North and South Korea agreed to play together in the 2018 winter Olympics; and U.S. President Trump accepted Kim's invitation to meet on June 12, 2018 in Singapore. Suddenly, on March 25, 2018, North Korea's dark green train carried Kim to China for a strategy session prior to the upcoming US-North Korean meeting, from which China was excluded. Subsequently, Beijing agreed to Liaoning province's $88 million plan to build roads on the North Korean side of the Friendship Bridge that connects the two countries at Dandong.
Whether China's strategy in Africa is considered part of the Maritime Silk Road (MSR) or an extended One Belt-One Road-One Continent strategy, China already has shown interest in the Continent by its trade, military base in Djibouti, the dam its Export-Import Bank built in Uganda, and railroad projects in Zambia, Tanzania, Kenya, Ethiopia, Sudan, and Nigeria. Other current and proposed Chinese port, rail, and airport projects ring Africa in the following countries:
In pinyin, the form of Chinese characters described in Roman letters, the One Belt, One Road Initiative is called yidaiyilu. The worldwide use of English and the U.S. dollar rankles China. Beijing's Academy of Contemporary China and World Studies claims globalization is now causing many words, such as xiongmao, the pinyin word for giant panda, to be recognized outside of China.
Ever since Romans built the Appian Way, leaders have recognized how transportation binds an empire together. Yet, China's infrastructure projects will test the tight control Beijing now maintains over its citizens' telecommunication and face-to-face contacts with the outside world. Like the Chinese employees who built the railroad in Kenya, those building the new container terminal and nearby oil storage installation at Walvis Bay in Germany's former African territory of Namibia, are sealed off from the local community. They live in a closely monitored compound of barracks imprisoned by a wall topped by electrified barb wire.
Stretching thousands of miles from Beijing, work on the OBOR and MSR cannot help but require ongoing contacts with local government officials, financial institutions, suppliers, laborers, religions, and academics in the countries the roads pass. Already, the China Democratic League, one of China's eight non-communist parties, submitted a proposal to the advisory body, the National Committee of the Chinese People's Political Consultative Conference, suggesting cultural exchanges along the routes are as important as trade.
Singapore-based Broadcom's failed hostile bid for the San Diego company, Qualcomm, might, however, signal China's determination to maintain control over vast areas by using high-speed optic fiber communications and Smartphone communication and data exchange. The Committee on Foreign Investment in the United States (CFIUS) cited national security issues to block Broadcom from access to Qualcomm's wireless chips and 5G (fifth generation) high-speed mobile network technology and standards. In April, 2018, the U.S. Commerce Department placed a 7-year ban (now lifted) on sales of chips, all from Qualcomm, to China's ZTE, because the company violated a 2017 agreement not to send telecommunications equipment containing Qualcomm chips to Iran and North Korea. In Australia, (and later in the UK and Sweden) China's Huawei telecom companies remain banned from 5G networks. Before its US-blocked acquisition of Qualcomm, Broadcom transferred its headquarters from Singapore to San Jose, California, and later purchased Manhattan-based CA Technologies, a chipmaker in the infrastructure software field. In July, 2018, China would block Qualcomm's acquisition of China's NXP semiconductor company.
Noticeably missing from China's One Belt, One Road initiative was any reference to North Korea. But that was before members of the women's hockey players in North and South Korea agreed to play together in the 2018 winter Olympics; and U.S. President Trump accepted Kim's invitation to meet on June 12, 2018 in Singapore. Suddenly, on March 25, 2018, North Korea's dark green train carried Kim to China for a strategy session prior to the upcoming US-North Korean meeting, from which China was excluded. Subsequently, Beijing agreed to Liaoning province's $88 million plan to build roads on the North Korean side of the Friendship Bridge that connects the two countries at Dandong.
Whether China's strategy in Africa is considered part of the Maritime Silk Road (MSR) or an extended One Belt-One Road-One Continent strategy, China already has shown interest in the Continent by its trade, military base in Djibouti, the dam its Export-Import Bank built in Uganda, and railroad projects in Zambia, Tanzania, Kenya, Ethiopia, Sudan, and Nigeria. Other current and proposed Chinese port, rail, and airport projects ring Africa in the following countries:
- Seychelles
- Mauritius
- Tunisia
- Tanzania
- Uganda
- Rwanda
- South Sudan
- Mozambique
- Namibia
- Gabon
- Cameroon
- Ghana
- Senegal
Labels:
5G,
Africa,
Broadcom,
Dandong,
Egypt,
Germany,
India,
Iran,
Kazakhstan,
North Korea,
Pakistan,
Qualcomm,
Russia,
Saudi Arabia,
Silk Road,
Xi Jinping
Monday, July 24, 2017
Better Cows for Africa
A recent trip to Australia sparked Bill Gates' interest in improving milk production in Africa. He writes about his discoveries, problems, and what might be done at team@gatesnotes.com.
It is staggering to find cows on US dairy farms produce nearly 30 liters of milk every day compared to the 1.69 liters produced by an average Ethiopian cow. While sending Wisconsin cows to Ethiopia would expose them to tropical heat and disease, using artificial insemination to crossbreed an Ethiopian cow with bull semen from a genetic line that produces lots of milk could increase milk output. In the heat of Africa, the required task of keeping frozen semen frozen is not easy, however.
To read more about worldwide milk consumption and production, see the earlier post, "Dairy Cows on the Moove." The magazine, Hoard's Dairyman (hoards.com), published by Hoard's dairy farm in Wisconsin, USA, has been an authority on the dairy industry since 1885. National and international subscribers can choose to receive print or digital copies.
Qatar is showing how, out of necessity and under the right conditions, Holstein dairy cows can be moved successfully from Wisconsin to another country to provide milk and breed. After being accused of financing Muslim extremists, Iran, and the Muslim Brotherhood; and being told to stop broadcasts from its al-Jazeera news network; Saudi Arabia, the United Arab Emerates, Bahrain, and Egypt imposed sanctions on June 5, 2017 that amounted to a blockade of Qatar's imports. Using riches from its natural gas exports, the Irish CEO of Qatar's Baladna farm complex began airlifting 300 cows to a warehouse in the desert north of Doha. Another 14,000 are expected by next year.
Throughout the world, food shortages and poor nutrition are causing countries to search for other new agricultural solutions. Some of these methods are mentioned in the earlier post, "Exotic Farming."
It is staggering to find cows on US dairy farms produce nearly 30 liters of milk every day compared to the 1.69 liters produced by an average Ethiopian cow. While sending Wisconsin cows to Ethiopia would expose them to tropical heat and disease, using artificial insemination to crossbreed an Ethiopian cow with bull semen from a genetic line that produces lots of milk could increase milk output. In the heat of Africa, the required task of keeping frozen semen frozen is not easy, however.
To read more about worldwide milk consumption and production, see the earlier post, "Dairy Cows on the Moove." The magazine, Hoard's Dairyman (hoards.com), published by Hoard's dairy farm in Wisconsin, USA, has been an authority on the dairy industry since 1885. National and international subscribers can choose to receive print or digital copies.
Qatar is showing how, out of necessity and under the right conditions, Holstein dairy cows can be moved successfully from Wisconsin to another country to provide milk and breed. After being accused of financing Muslim extremists, Iran, and the Muslim Brotherhood; and being told to stop broadcasts from its al-Jazeera news network; Saudi Arabia, the United Arab Emerates, Bahrain, and Egypt imposed sanctions on June 5, 2017 that amounted to a blockade of Qatar's imports. Using riches from its natural gas exports, the Irish CEO of Qatar's Baladna farm complex began airlifting 300 cows to a warehouse in the desert north of Doha. Another 14,000 are expected by next year.
Throughout the world, food shortages and poor nutrition are causing countries to search for other new agricultural solutions. Some of these methods are mentioned in the earlier post, "Exotic Farming."
Labels:
Africa,
Bahrain,
Bill Gates,
cows,
cross-breeding,
dairy,
Egypt,
Hoard's Dairyman,
milk,
Qatar,
sanctions,
Saudi Arabia,
UAE,
USA,
Wisconsin
Tuesday, November 22, 2016
Mixed Messages from Saudi Arabia
I like watching CNBC, because a station that follows the stock market has to keep up, not only with economics, but also with political and social trends. Following the U.S. presidential election, Prince Alwaleed bin Talal, chairman and controlling shareholder of Saudi Arabia's Kingdom Holding Company and one of the largest foreign investors in the US, told CNBC host, Jim Cramer, "We look at you (your country) as being the vanguard and being the leaders of the world."
Prince Alwaleed reminded me of the time I began teaching a section on Medieval Italy by asking students to list what they knew about Italy. Roman Empire, pizza, pasta, and home of the Pope helped initiate a discussion of how fragmented the country was before unification in 1870. Now, I asked myself, "What do I know about Saudi Arabia?" Lots of oil, little water, home of 9/11 terrorists, Muslim, women not allowed to drive, considers Iran an enemy. I need to know more.
The Kingdom of Saudi Arabia was not formed until 1932. In the 1950s, the US participated in the country's oil boom through Aramco, the Arabian American Oil Company. US heavy machinery companies also participated in the oil-financed construction boom that transformed a desert into a wealthy country with ports, roads, schools, hospitals, and power plants.
Despite these close US-Saudi connections, some Sunni Muslims in Saudi Arabia, as well as those from the enemy Shi'ite branch of Muslims in Persian Iran, harbored hatred of the US for its support of Israel against the Palestinians and resented the US presence in Saudi Arabia. At present, Iranian-backed rebels in Yemen fire long-range missiles into Saudi Arabia.
Although Osama bin Laden's family came from poor South Yemen, his father won favor with Saudi's king and gained lucrative construction contracts. Bin Laden was born in Saudi Arabia and spent most of his early life there in Jeddah. Due to the Muslim terrorist activities he inspired from his later headquarters in Sudan, including a suspected attempt on the life of Egyptian President, Hosni Mubarak, Saudi King Fahd was pressured to revoke bin Laden's citizenship and passport in March, 1994. He left Sudan for Afghanistan in May, 1996.
Fifteen of the 19 hijackers involved in the September 11, 2001 attacks on the US were Saudi nationals. Senior Saudi officials denied any role in the attacks and the 9/11 commission found no evidence linking the Saudi government with funding for the operation. Nonetheless, in September 2016, the US Congress passed the Justice Against Sponsors of Terrorism Act (JASTA) that gives the families of terrorist victims the right to sue governments suspected of playing a role in a terrorist attack on US soil. Congress overrode President Obama's veto of the bill and JASTA became a law which potentially undermines the close US-Saudi relationship and counter terrorism cooperation between the two countries.
In Saudi Arabia, cuts in salaries and subsidies due to falling oil prices are understandably unpopular with the Saudi public. Saudi's Vision 2030 economic program is designed to reduce the country's dependence on oil revenues. On CNBC, Prince Alwaleed told Cramer that he is a member of a group looking into energy alternatives to oil.
Besides the importance of oil in Saudi Arabia's future economy, succession to the Saudi throne also bears watching. Currently, King Salman of the House of Saud supports both Crown Prince Mohammed bin Nayef, his 57-year-old nephew and minister of interior who is next in the line of succession, and his son, Deputy Crown Prince Mohammed bin Salman, the 31-year-old contender who could leapfrog past his cousin. Speculation heightened when Crown Prince Muqrin bin Aldulaziz resigned his position in April, 2015, to make room for the Deputy Crown Prince.
Prince Alwaleed reminded me of the time I began teaching a section on Medieval Italy by asking students to list what they knew about Italy. Roman Empire, pizza, pasta, and home of the Pope helped initiate a discussion of how fragmented the country was before unification in 1870. Now, I asked myself, "What do I know about Saudi Arabia?" Lots of oil, little water, home of 9/11 terrorists, Muslim, women not allowed to drive, considers Iran an enemy. I need to know more.
The Kingdom of Saudi Arabia was not formed until 1932. In the 1950s, the US participated in the country's oil boom through Aramco, the Arabian American Oil Company. US heavy machinery companies also participated in the oil-financed construction boom that transformed a desert into a wealthy country with ports, roads, schools, hospitals, and power plants.
Despite these close US-Saudi connections, some Sunni Muslims in Saudi Arabia, as well as those from the enemy Shi'ite branch of Muslims in Persian Iran, harbored hatred of the US for its support of Israel against the Palestinians and resented the US presence in Saudi Arabia. At present, Iranian-backed rebels in Yemen fire long-range missiles into Saudi Arabia.
Although Osama bin Laden's family came from poor South Yemen, his father won favor with Saudi's king and gained lucrative construction contracts. Bin Laden was born in Saudi Arabia and spent most of his early life there in Jeddah. Due to the Muslim terrorist activities he inspired from his later headquarters in Sudan, including a suspected attempt on the life of Egyptian President, Hosni Mubarak, Saudi King Fahd was pressured to revoke bin Laden's citizenship and passport in March, 1994. He left Sudan for Afghanistan in May, 1996.
Fifteen of the 19 hijackers involved in the September 11, 2001 attacks on the US were Saudi nationals. Senior Saudi officials denied any role in the attacks and the 9/11 commission found no evidence linking the Saudi government with funding for the operation. Nonetheless, in September 2016, the US Congress passed the Justice Against Sponsors of Terrorism Act (JASTA) that gives the families of terrorist victims the right to sue governments suspected of playing a role in a terrorist attack on US soil. Congress overrode President Obama's veto of the bill and JASTA became a law which potentially undermines the close US-Saudi relationship and counter terrorism cooperation between the two countries.
In Saudi Arabia, cuts in salaries and subsidies due to falling oil prices are understandably unpopular with the Saudi public. Saudi's Vision 2030 economic program is designed to reduce the country's dependence on oil revenues. On CNBC, Prince Alwaleed told Cramer that he is a member of a group looking into energy alternatives to oil.
Besides the importance of oil in Saudi Arabia's future economy, succession to the Saudi throne also bears watching. Currently, King Salman of the House of Saud supports both Crown Prince Mohammed bin Nayef, his 57-year-old nephew and minister of interior who is next in the line of succession, and his son, Deputy Crown Prince Mohammed bin Salman, the 31-year-old contender who could leapfrog past his cousin. Speculation heightened when Crown Prince Muqrin bin Aldulaziz resigned his position in April, 2015, to make room for the Deputy Crown Prince.
Wednesday, October 19, 2016
Hot Topics Presidential Candidates Should Debate
Since tonight is the last presidential debate between the U.S. candidates for President, I turned to the Foreign Policy Association to see what Clinton and Trump should be discussing on TV today.
The topics the organization has selected for their Great Decisions program in 2017 are as follows:
The topics the organization has selected for their Great Decisions program in 2017 are as follows:
- The Future of Europe
- Trade and Politics
- Conflict on the South China Sea
- Saudi Arabia in Transition
- U.S. Foreign Policy and Petroleum
- Latin America's Political Pendulum
- Prospects for Afghanistan and Pakistan
- Nuclear Security
Experts have written short summaries for each of these discussion topics at fpa.org. At the same site, you can sign up to receive Foreign Policy Association updates and to learn how to start a Great Decisions discussion group.
Looking back on the Foreign Policy Association's past discussion topics, such as the rise of ISIS, international migration, and Cuba and the United States, suggests this organization has useful insights on issues the world is likely to face in 2017.
Thursday, June 2, 2016
Exotic Farming
If Xi Jinping, Kim Jong-un, Vladimir Putin, and Bashar al-Assad suddenly planted vegetable gardens in the front yards of their residences, that would be exotic farming. When she was the US First Lady, Mrs. Obama did encourage young people to eat nutritional vegetables by planting a vegetable garden in the White House's backyard, and she invited students from Wisconsin and other States to help harvest the crops.
Looking around the world you can find other examples of exotic farming. Until late in 2018, Pakistan kept eight buffaloes to provide milk for its prime minister. To grow alfalfa for nearly one million cows, Almarai, the largest dairy producer in oil-rich, water-poor Saudi Arabia, paid $31.8 million for 1,790 acres of land in California. Unfortunately, growing alfalfa there diverted water from the Colorado River that was needed by drought prone California. Transporting heavy, bulky animal feed thousands of miles also required burning fossil fuel that emits the greenhouse gases that cause climate change.
Other examples of exotic farming offer better options. A London warehouse has become an aquaponic vertical farm that grows salad greens and herbs and produces fish. On the roof of a former factory in The Hague, Urban Farmers, a Swiss aquaponics system does the same. Berlin's Infarm modular, indoor hydroponic systems grow herbs, radishes, and greens right in Metro Cash & Carry supermarkets.
Look up aquaponics and hydroponics on the internet. These exotic new urban agricultural projects can be near consumers in shops, restaurants, schools, and hospitals. They can provide job opportunities for those trained to find balconies and roof tops with micro climates that have sun and little wind, to decide what crops to plant, to monitor quality, and to find customers.
Looking around the world you can find other examples of exotic farming. Until late in 2018, Pakistan kept eight buffaloes to provide milk for its prime minister. To grow alfalfa for nearly one million cows, Almarai, the largest dairy producer in oil-rich, water-poor Saudi Arabia, paid $31.8 million for 1,790 acres of land in California. Unfortunately, growing alfalfa there diverted water from the Colorado River that was needed by drought prone California. Transporting heavy, bulky animal feed thousands of miles also required burning fossil fuel that emits the greenhouse gases that cause climate change.
Other examples of exotic farming offer better options. A London warehouse has become an aquaponic vertical farm that grows salad greens and herbs and produces fish. On the roof of a former factory in The Hague, Urban Farmers, a Swiss aquaponics system does the same. Berlin's Infarm modular, indoor hydroponic systems grow herbs, radishes, and greens right in Metro Cash & Carry supermarkets.
Look up aquaponics and hydroponics on the internet. These exotic new urban agricultural projects can be near consumers in shops, restaurants, schools, and hospitals. They can provide job opportunities for those trained to find balconies and roof tops with micro climates that have sun and little wind, to decide what crops to plant, to monitor quality, and to find customers.
Labels:
agriculture,
aquaponics,
Assad,
cows,
crops,
farming,
fish,
garden,
Germany,
hydroponics,
Kim Jong Un,
Obama,
Pakistan,
Putin,
Saudi Arabia,
Switzerland,
United Kingdom,
Xi Jinping
Wednesday, September 9, 2015
Falling Commodity Prices Spur Diversification in Emerging Markets
Commodity exporting countries that have depended on the Chinese market have been hard hit by the slide in China's economy. Zambia, for example, relies on copper exports to China, which consumes 40% of the mineral's global output, for 70% of its foreign exchange earnings and 25 to 30% of its government revenue. Like Nigeria, which has depended on petroleum exports that are declining in value, Zambia sees a new need for economic diversification.
Check out countries heavily dependent on commodity exports:
Check out countries heavily dependent on commodity exports:
- Bauxite: Indonesia, Jamaica, Brazil
- Chromite: South Africa, Zimbabwe, Albania
- Coal: Indonesia
- Cobalt: Democratic Republic of the Congo
- Copper: Chile, Kazakhstan, Zambia, Democratic Republic of the Congo, Peru
- Iron Ore: Brazil
- Lithium: Argentina, Chile, Bolivia
- Manganese: South Africa, Gabon, Brazil, Ghana
- Molybenum: Romania, Chile
- Nickel: (Indonesia banned exports to China), New Caledonia, Madagascar
- Petroleum: Saudi Arabia, Algeria, United Arab Emirates, Venezuela, Nigeria
- Platinum: South Africa
- Tin: Indonesia, Myanmar
- Tungsten: Myanmar, Bolivia
- Uranium: South Africa, Namibia, Niger, Kazakhstan
- Vanadium: South Africa
- Zinc: Peru, like Australia, has cut production and jobs
Labels:
Albania,
Algeria,
Brazil,
Chile,
China,
commodities,
Congo,
exports,
Indonesia,
Kazakhstan,
Madagascar,
Nigeria,
Romania,
Saudi Arabia,
South Africa,
UAE,
Venezuela,
Zimbabwe
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