Showing posts with label Trade. Show all posts
Showing posts with label Trade. Show all posts

Saturday, October 20, 2012

Panama protests against free trade zone land sales (PHOTOS)


 
A police officer runs as a photographer lies on the street as police opened fire during a massive protest against a new government law, which allows for the sale of land in Panama's free trade zone of Colon, in Colon City October 19, 2012 (Reuters / Carlos Jasso)

Source: Russia Today
http://rt.com/news/panama-protests-trade-zone-843/

The Panamanian government’s decision to sell land in the free-trade zone at the Caribbean entrance to the Panama Canal has sparked violent protests. Clashes with police the streets of the sea-port of Colon reportedly left 15 people wounded.

According to Venezuelan state TV channel Venezolana de Televisión, there have been at least 25 protesters detained by police. Information about a 15-year-old person killed in clashes has found no confirmation.

Curfew has been enacted in Colon immediately after the clashes when protesters were burning tires to block the streets.

­Facts about Panama Canal:

Panama Canal was constructed between 1880 and 1914.

Between 1904 and 1913, a total of 56,307 persons were employed during the construction of the Panama Canal. Nearly 20,000 French and 6,000 American workers died during the completion of the Panama Canal.

The length of the Panama Canal is 80 kilometers (50 miles) from the deep waters of the Atlantic to the deep waters of the Pacific.

A ship takes an average of eight to 10 hours to transit the Panama Canal.

At the end of fiscal year 2011, 1,015,721 vessels had used the waterway since its opening on August 15, 1914.

Between 12,000 and 15,000 ships About 40 ships cross the Panama Canal every year.

The Canal transports 4 per cent of world trade
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Demonstrators in Colon believe the government’s decision to sell state-owned land in the Colon Free Zone (CFZ) will hit those who work in the free-trade zone and affect the income of many citizens of the country. The protesters insist the law is unconstitutional.

The head of the Colonense Broad Movement, Felipe Cabezas, told the AP news agency,"We do not want the land to be sold because these are assets that belong to Colon."

President Ricardo Martinelli said those instigating protests are protecting “small-minded interests” of their own and that sale of state-owned land will benefit the country.

The law supposes creation of a “social investments” trust that would manage 35 per cent of the revenues received from the sale of the land just outside the former Panama Canal Zone.

The larger, 65 per cent, share will go to the country’s central government.

he free trade port of Colon is one of the largest in the world. In operation for over half a century now, the port hosts over 2,000 companies doing business in the profitable free-trade zone.

In 1999, the United States passed control over the Panama Canal to the Panamanian state. Since then the waterway linking Atlantic and Pacific oceans is the principal source of the revenues for Panama.

It is expected that in 2014 the works on expansion of the waterway will be over just ahead of the Panama Canal’s centenary.

 
People take part in a massive protest against a new government law, which allows for the sale of land in Panama's free trade zone of Colon, in Colon City October 19, 2012 (Reuters / Carlos Jasso)

 
A family runs for shelter after tear gas was shot by riots police during a massive protest against a new government law, which allows for the sale of land in Panama's free trade zone of Colon, in Colon City October 19, 2012 (Reuters / Carlos Jasso)

 
A police officer positions his gun during a massive protest against a new government law, which allows for the sale of land in Panama's free trade zone of Colon, in Colon City October 19, 2012 (Reuters / Carlos Jasso)

 
A riot policeman fires tear gas during a massive protest against a new government law, which allows for the sale of land in Panama's free trade zone of Colon, in Colon City October 19, 2012 (Reuters / Carlos Jasso)

 

Tuesday, June 12, 2012

China’s Iranian crude imports remain in US firing line


Oil tanker Qi Lin Zuo of China (Reuters/Lucas Jackson)

Source: Russia Today
http://www.rt.com/news/sanctions-iran-oil-imports-614/

Washington has granted waivers to sanctions on Iranian oil imports to several countries, leaving China the only major oil importer subject to US penalties. Chinese oil giant Sinopec announced it will not raise imports in an effort to allay sanctions.

The US government added India, South Korea and four more nations to the list of countries exempt from the sanctions on Monday.

Ten EU nations and Japan were granted waivers in March to US financial penalties.

The US considers that these countries have made a considerable effort to lower imports of Iranian crude with a view to stifling the Islamic Republic’s lucrative oil industry and curtailing its nuclear program.

US supporters of the sanctions against Iran say China has been receiving clandestine cargoes of Iranian oil which have had their tracking signals disabled.

Iran maintains that its nuclear research program is purely for civilian purposes, but the US and Israel insist the country is in the process of developing atomic weapons.

A new set of heavy sanctions may be introduced on June 28 by the US aimed at putting further pressure on Iran.

"By reducing Iran's oil sales, we are sending a decisive message to Iran's leaders: until they take concrete actions to satisfy the concerns of the international community, they will continue to face increasing isolation and pressure," said US state secretary Hilary Clinton in a press release on Monday.

China currently imports over a fifth of the oil produced in Iran and does not support sanctions against the country.

Spokesman for the Chinese embassy in Washington Geng Shuang said that China’s government seeks a diplomatic solution to the nuclear issue and "opposes unilateral sanctions imposed by one country on others.”

China’s biggest buyer of Iranian crude Sinopec has announced it will not be increasing its imports in the next year in an effort to sidestep US financial penalties.

China made significant cuts to its imports during the first quarter, but the US suspects it will not be able to resist reduced prices when Iran attempts to sell off crude that no one else will buy.

Sinopec has already received several offers from Iran but has turned them down, a Beijing official told Reuters.

China is the world’s second-largest oil consumer and is currently bolstering its stores to compensate for countrywide power cuts


Monday, May 28, 2012

Biden vows to confront rising power of China


US Vice President Joe Biden speaks at West Point during the graduation ceremony for the class of 2012 in New York, May 26, 2012

Source: Press TV
http://www.presstv.ir/detail/2012/05/27/243310/china-rise-poses-challenge--us/

The US Vice President Joe Biden says Washington has devised a new policy in a bid to counter the rising power and influence of China.

Joe Biden on Saturday addressing cadets of the US Military Academy during a graduation ceremony in West Point, New York, spoke about the United States’ shift in policy-making.

Biden said the United States will continue to take charge internationally and focus on Asia, particularly China which he called ‘the most critical relationship to get right.’

His remarks were in line with President Barack Obama’s newly announced military strategy that would focus US attention on Asia. Obama delivered the speech at the US Air Force Academy last Wednesday.

The US vice president focused said US combat troops have returned home from Iraq, the conflict in Afghanistan is winding down and American commandos killed al-Qaeda terrorist leader Osama bin Laden in May 2011.

Obama earlier this year unveiled a new military strategy that would "pivot" US attention to Asia.

Biden’s remarks come nearly ten days after the Pentagon said it believes China spent up to $180 billion on its military buildup last year, a far higher figure than acknowledged by Beijing, and it accused "Chinese actors" of being the world's biggest perpetrators of economic espionage.

"Chinese actors are the world's most active and persistent perpetrators of economic espionage," the report said.

"Chinese attempts to collect US technological and economic information will continue at a high level and will represent a growing and persistent threat to US economic security."

The report was the first by the Pentagon since President Barack Obama last year launched a policy "pivot" to reinforce US influence across the Asia-Pacific, even as planned belt-tightening shrinks the size of the US military in many other parts of the world.


Friday, February 24, 2012

Russia's Putin pledges to block foreign interference



A man holds a sign with a picture of Russian presidential candidate Vladimr Putin during a rally of his supporters in Saint Petersburg on February 18, 2012

Source: Press TV
http://www.presstv.ir/detail/228184.html

Russian Prime Minister Vladimir Putin has pledged not to allow any country to interfere in Russia's internal affairs before a mass rally in support of his Kremlin bid.

"We will not allow anyone interfere in our internal affairs," Putin said in an address to more than 100,000 people packed into a Moscow stadium and its grounds on Thursday.

Addressing his supporters ahead of March 4 presidential elections, the Russian prime minister also vowed to win the ongoing battle for Kremlin’s top job.

“The battle for Russia continues, victory will be ours,” said Putin, who is widely expected to win the presidential race.

Russians are taking to the streets with increasing regularity ahead of the March 4 election as the opposition and pro-Putin camp seek to outdo each other with competing rallies.

The opposition, however, has accused authorities of using state resources to encourage people to show up at Putin rallies.

The opposition has also planned a rival rally set on February 26 in the Capital Moscow, hoping for a turnout of tens of thousands to form a human chain around the capital's inner ring road.

Polls suggest that Putin will easily win the presidential elections as his four registered opponents have failed in staging a significant challenge.

Russian President Dmitry Medvedev is reportedly due to become prime minister under a prospective Putin presidency in March 2012 -- a job swap bitterly criticized by the opposition.

Putin's presidency ended in 2008 after two consecutive terms because the Russian constitution banned him from running for a third consecutive term.

Monday, January 23, 2012

Putin warns of attempts to break Russia


Russia's Prime Minister, Vladimir Putin (File Photo)

Source: Press TV
http://www.presstv.ir/detail/222628.html

Russian Prime Minister Vladimir Putin has warned against attempts by nationalist parties to stir up ethnic discord and disintegrate the country, as he stepped up his presidential campaign.

"We've lived together for centuries. And we will live together in the future. And to those who want or are trying to divide us, I can say just one thing -- keep waiting," Putin wrote in an article published on Monday.

Putin added that such attempts would have the potential to bring the destruction of the Russian folk - and the Russian state

"If a multi-ethnic society is hit by bacteria of nationalism it loses its strength and durability. Connivance with attempts to foment ethnic strife and hatred towards people of another culture or faith can trigger far-reaching consequences," he added.

Putin comments comes after Nationalist groups, who have joined the growing protest movements across Russia, called for a withdrawal from the North Caucasus where Russia has fought two wars against Chechen separatists in the past 20 years.

Tens of thousands took to the streets of Russia in a wave of protest unseen during the prime minister's 12-year rule to denounce the allegedly fraudulent parliamentary elections held on December 4.

“Attempts to advocate the construction of a Russian 'national,' monotonic state contradicts our thousands of years old history,” Putin added.

Russian President Dmitry Medvedev is reportedly due to become prime minister under a prospective Putin presidency in March 2012 -- a job swap bitterly criticized by the opposition.

Putin's presidency ended in 2008 after two consecutive terms because the Russian constitution prevented him from running a third term, however he will be free to run again on March 4 presidential election.

Saturday, November 19, 2011

US military pact raises tensions with China


Source: Press TV
http://www.presstv.ir/usdetail/210811.html

The Chinese premier has warned against external interference in a dispute over the South China Sea, fuelled by Australia's new military pact with the U.S., as world leaders prepare to discuss the issue in Bali.

Under the plan, announced in Canberra on Wednesday, up to 250 U.S. marines will train for six months at a time in the Northern Territory, just 800 kilometers from Indonesia, rising to a full 2500-strong Marine Air Ground Task Force by 2016. AAP

HIGHLIGHTS

In a ratcheting up of tensions on Friday, Chinese Premier Wen Jiabao issued a warning against U.S. involvement in the South China Sea dispute. AAP

"External forces should not use any excuse to interfere," he said. AAP

China has saved some of its strongest rebukes for Australia for its part in agreeing to the plan. The state-run People's Daily newspaper lambasted the scheme, warning Australian leaders against getting in the middle of a conflict. globalpost

"Australia surely cannot play China for a fool. It is impossible for China to remain detached, no matter what Australia does to undermine its security," the paper wrote in an editorial. "If Australia uses its military bases to help the U.S. harm Chinese interests, then Australia itself will be caught in the crossfire." globalpost

"The placement of 2,500 U.S. mariners in Darwin would create new tension in ASEAN which has been known as peace zone, not a conflict zone," said TB Hasanuddin, vice-chairman of Indonesian parliament's Commission I that oversees security and foreign affairs policy. chinadaily.com

FACTS & FIGURES

Darwin, nicknamed the "Pearl Harbor of Australia" after a World War Two Japanese raid dropped more bombs on the city than those on Pearl Harbor, will give the U.S. military open access to East Asia sea lanes and the Indian Ocean. News24

Australia says hosting U.S. troops and the pre-positioning of U.S. supplies in Darwin is not the precursor to a U.S. base, but analysts say rotating more than 2,000 U.S. marines in and out of the northern port city, and more frequent U.S. naval visits, will give Washington a de facto base. News24

The winding down of wars in Afghanistan and Iraq has opened the door to greater U.S. attention to simmering tension over the South China Sea, a shipping lane for more than $5 trillion in annual trade that the United States wants to keep open. News24

Thursday, August 18, 2011

'NATO cooperation unpopular in Russia'


Source: Press TV
http://www.presstv.ir/detail/194552.html

A recent poll shows that majority of the population in Russia believe that Moscow's cooperation with the North Atlantic Treaty Organization (NATO) jeopardizes their national interests.

According to the poll taken by Moscow-based Yuri Levada Analytical Center between June 23 and 27, 2011, with a sampling of 1,600 people, representative of the Russian adult population, 42 percent of those questioned oppose Moscow's cooperation with the Western military alliance while 27 percent support it.

Thirty-one percent of those questioned said they had no opinion.

The NATO-Russia Council approved an “ambitious” working plan to "deepen and broaden" military cooperation for the year 2011 during a meeting in Brussels, Belgium, on January 27.

The plan covers six main areas of partnership, including the fight against terrorism and piracy, logistics, joint search and rescue operations at sea, as well as theatre missile defense and military academic exchanges.

However, Russian and NATO military officials failed to make headway in resolving their differing views on the deployment of missile systems in Europe.

Speaking at press conference in Norway on August 9, Russia's ambassador to NATO, Dmitry Rogozin, slammed the alliance's failure to guarantee that American warships equipped with anti-missile systems would not be deployed in the waters of north Europe.

"The very fact of deploying US military missile infrastructure in the northern seas is a real provocation with regard to the process of nuclear disarmament," said Rogozin.

"Why is no one giving guarantees that a US fleet equipped with Aegis interceptor systems won't be deployed in the northern seas?" he added.

Moscow fears that the anti-missile system would undermine its nuclear deterrent, and thus has been seeking legally binding guarantees to check it.

 

Thursday, August 11, 2011

'Russia mulls visa ban on US officials'


The Russian Foreign Ministry

Source: Press TV
http://www.presstv.ir/detail/193321.html

Russia says it has drawn up a list of US officials to be barred from entering the country amid growing tension between Moscow and Washington.

"In the case of the United States we will simply put a cross next to the names of those who are not wanted. When a person applies for a visa at a Russian consulate he will be rejected," said a Russian Foreign Ministry source, Reuters reported on Wednesday.

The move came after the US placed visa ban on Russian officials suspected of role in the 2009 death of a lawyer named Sergei Magnitsky as the victim was awaiting trial in a Russian prison.

If confirmed, Moscow's decision could endanger the push for the 'reset' of the Russo-American ties initiated by Washington under US President Barack Obama.

Russia's Interfax news agency, however, quoted a ministry source as saying that "the issue is still being worked on."

The ban from entering the United States, which has been issued by the State Department, has affected 60 Russian officials.

Last month, the Russian Foreign Ministry warned that "such actions could introduce a serious irritant to Russian-US relations."

"We will not leave such unfriendly steps unanswered and we will take adequate measures, protecting the sovereignty of our country and rights of Russian citizens against unjustified moves by foreign states," it noted.

Relations between the two sides are already strained over Washington's plans to install a missile shield in Europe. Moscow as well opposes the deadly US-led attacks in Libya, which are carried out with the so-called aim of forcing Libyan dictator Muammar Qaddafi out of power.

China navy carrier begins maiden voyage



Source: Press TV
http://www.presstv.ir/detail/193322.html

China's first aircraft carrier has begun its inaugural sea trial, a mission that can pave the way for ending the US dominance in the Asia-pacific region.

The Chinese defense ministry says the carrier's first sailing will be brief, and that it will then return to the northeastern port of Dalian for more refit and test work.

Beijing recently confirmed it was revamping an old Soviet ship as its first carrier, saying it will mainly be used for training and research.

China reportedly bought the armored hull which is 300 meters long from Ukraine in 1998.

Beijing had announced it would increase its military spending by more than 12 percent this year to almost 92 billion dollars.

China is also reportedly developing game-changing stealth aircrafts and advanced naval missiles.

A powerful military could also revolutionize China's role in the Pacific balance of power and would make it risky for the US to intervene in any potential dispute over Taiwan or North Korea.

Experts say it could also deny US ships' safe access to international waters near China's 18,000-kilometer-long coastline.

China has already reduced its military cooperation with the Pentagon over the USD 6.4-billion US arms sales to Taiwan, which China considers as part of its territory.

Beijing has in response imposed unspecified sanctions on US firms selling weapons to Taiwan.

Monday, August 8, 2011

China to boost Russian military ties


Chief of the General Staff of the People's Liberation Army of China Chen Bingde

Source: Press TV
http://www.presstv.ir/detail/192878.html

A senior Chinese military officer has expressed the Asian country's interest in further expanding military ties and mutual build-up of armed forces with Russia.

China's Chief of the General Staff of the People's Liberation Army Chen Bingde said on Sunday that Beijing intends to step up its military cooperation with Moscow and engage in a bilateral promotion of force build-up and exchange of “achievements in military reforms,” China's official Xinhua news agency reported.

Chen, who was on a three-day official tour of Russia, visited several military units of its northern neighbor as well as the Kuznetsove aircraft carrier and the Akula-class K-317 Pantera nuclear attack submarine in the northern Russian city of Murmansk.

The Chinese official' visit came at the invitation of Russian Chief of the General Staff and First Deputy Defense Minister Nikolai Makarov and it is part of Chen's three-nation tour which will also take him to Ukraine and Israel.

Friday, August 5, 2011

China slams Japan defense comments



Japan and China are in dispute over eight small islands in the East China Sea, including Uotsuri Island in Okinawa Prefecture

Source: Press TV
http://www.presstv.ir/detail/192289.html

China has lashed out at Japan for publishing a report on Beijing's military build-up, claiming it depicts the country as a military threat.

In its annual defense report earlier this week, Japan expressed concern over China's growing assertiveness around Japan's waters, and what it called the "opaqueness" of Beijing's military budget, AFP reported.

"Opaqueness in its defense policies and military movements are concerns for the region, including Japan, and for the international community, and we need to carefully analyze them," it said.

Japan and China are in a long-running dispute over ownership of parts of the East China Sea.

Chinese Foreign ministry spokesman Ma Zhaoxu on Thursday described the report as “irresponsible.”

"The Japanese 2011 defense white paper made irresponsible comments on China's national defense construction. China expresses its strong dissatisfaction," he said in a statement published late Wednesday.

The spokesperson said that his country's drive to modernize its forces was "entirely for safeguarding its national sovereignty" and was "not targeting any other country.”

China's defense ministry also expressed "strong opposition" to the paper and said that it deliberately depicted China as a threat and had ulterior motives.

Sunday, July 17, 2011

Iran urges expanded China trade ties


Iranian President Mahmoud Ahmadinejad (R) meets with He Guoqiang, a senior official of the Communist Party of China, in Tehran on July 16.

Source: Press TV
http://www.presstv.ir/detail/189438.html

Iranian President Mahmoud Ahmadinejad has called for more trade ties with China, saying there is no limit for expanding bilateral relations.

President Ahmadinejad also urged closer collaborations in energy, space technology and tourism spheres in a Saturday meeting with He Guoqiang, a senior official of China's Communist Party , IRNA reported.

The president noted that Tehran and Beijing aim to increase their trade exchanges in near future, saying, "The main objective pursued by both countries is to quickly bring our economic and trade exchanges to $100 billion.”

“Today we should join hands and move in line with the progress of our nations because future belongs to our nations,” he went on to say.

Guoqiang said in turn that the Islamic Republic of Iran is one of China's most important trading partners, emphasizing that China seeks to strengthen its cooperation with Iran.

He also added that further expansion of relations with Tehran is in the interest of both nations as well as regional countries.

Earlier in the day, Iranian Vice President Mohammad-Javad Mohammadizadeh and Guoqiang signed a series of agreements worth $4 billion for infrastructure projects as part of plans to increase the volume of trade transactions between the two Asian countries.

Iran and the People's Republic of China established diplomatic relations on August 16, 1971.

Iran is currently China's third largest supplier of crude oil, providing China with roughly 12 percent of its total annual oil consumption.

The volume of Iran-China trade stood at about $30 billion in 2010.

Thursday, July 14, 2011

Iran, Nigeria stress need to boost ties


Iranian Foreign Minister Ali Akbar Salehi

Source: Press TV
http://www.presstv.ir/detail/188990.html

Iran and Nigeria have called for expansion of their bilateral ties in different economic and industrial fields.

Iranian Foreign Minister Ali Akbar Salehi, who is in the Nigerian capital to attend a Group of Eight Developing Countries (D8) summit, met on Wednesday with his Nigerian counterpart Olugbenga Ashiru, IRNA reported.

During the meeting, which hinged on finding ways to boost Iran-Nigeria relations, the two ministers discussed increasing the volume of trade between the two countries.

Expansion of cooperation in the fields of industry, energy, construction and infrastructure were among the issues addressed in the Wednesday talks.

Salehi and Ashiru also discussed the sharing of technology and expertise between the two sides, and called for a more active role for the private sector in Tehran-Abuja cooperation.

They also called for more visits by expert delegations to help explore further capacities for bilateral cooperation.

The ministers also discussed an expansion of cooperation on regional and international issues, namely in the United Nations, the Organization of Petroleum Exporting Countries, the Organization of Islamic Cooperation and the D8.

Salehi also invited his newly appointed Nigerian counterpart to visit Iran.

The Iranian minister is scheduled to take part in the 14th ministerial meeting of D8 member countries in Abuja on Thursday.

The Group of Eight Developing Countries, established in Istanbul, Turkey, in June 1997, includes Iran, Turkey, Malaysia, Pakistan, Nigeria, Egypt, Bangladesh and Indonesia.

The group seeks to improve the position of developing countries in the world economy, diversify and create new opportunities in trade relations, enhance participation in decision-making at the international level, and provide better standards of living.

Tuesday, July 5, 2011

Russia's Evolving Leadership


Source: STRATFOR Global Intelligence
(link at bottom of Article)
Russia has entered election season, with parliamentary elections in December and presidential elections in March 2012. Typically, this is not an issue of concern, as most Russian elections have been designed to usher a chosen candidate and political party into office since 2000. Interesting shifts are under way this election season, however. While on the surface they may resemble political squabbles and instability, they actually represent the next step in the Russian leadership’s consolidation of the state.

In the past decade, one person has consolidated and run Russia’s political system: former president and current Prime Minister Vladimir Putin. Putin’s ascension to the leadership of the Kremlin marked the start of the reconsolidation of the Russian state after the decade of chaos that followed the fall of the Soviet Union. Under Putin’s presidential predecessor, Boris Yeltsin, Russia’s strategic economic assets were pillaged, the core strength of the country — the KGB, now known as the Federal Security Service (FSB), and the military — fell into decay, and the political system was in disarray. Though Russia was considered a democracy and a new friend to the West, this was only because Russia had no other option — it was a broken country.

Perceptions of Putin

Putin’s goal was to fix the country, which meant restoring state control (politically, socially and economically), strengthening the FSB and military and re-establishing Russia’s influence and international reputation — especially in the former Soviet sphere of influence. To do so, Putin had to carry Russia through a complex evolution that involved shifting the country from accommodating to aggressive at specific moments. This led to a shift in global perceptions of Putin, with many beginning to see the former KGB agent as a hard-nosed autocrat set upon rekindling hostilities and renewing militarization.

This perception of Putin is not quite correct. While an autocrat and KGB agent (we use the present tense, as Putin has said that no one is a former KGB or FSB agent), he hails from St. Petersburg, Russia’s most pro-Western city, and during his Soviet-era KGB service he was tasked with stealing Western technology. Putin fully understands the strength of the West and what Western expertise is needed to keep Russia relatively modern and strong. At the same time, his time with the KGB convinced him that Russia can never truly be integrated into the West and that it can be strong only with a consolidated government, economy and security service and a single, autocratic leader.

Putin’s understanding of Russia’s two great weaknesses informs this worldview. The first weakness is that Russia was dealt a poor geographic hand. It is inherently vulnerable because it is surrounded by great powers from which it is not insulated by geographic barriers. The second is that its population is comprised of numerous ethnic groups, not all of which are happy with centralized Kremlin rule. A strong hand is the only means to consolidate the country internally while repelling outsiders.

Another major challenge is that Russia essentially lacks an economic base aside from energy. Its grossly underdeveloped transportation system hampers it from moving basic necessities between the country’s widely dispersed economic centers. This has led Moscow to rely on revenue from one source, energy, while the rest of the country’s economy has lagged decades behind in technology.

These geographic, demographic and economic challenges have led Russia to shift between being aggressive to keep the country secure and being accommodating toward foreign powers in a bid to modernize Russia.

Being from groups that understood these challenges, Putin knew a balance between these two strategies was necessary. However, Russia cannot go down the two paths of accommodating and connecting with the West and a consolidated authoritarian Russia at the same time unless Russia is first strong and secure as a country, something that has only happened recently. Until then, Russia must switch between each path to build the country up — which explains shifting public perceptions of Putin over the past decade from pro-Western president to an aggressive authoritarian. It also explains the recent view of Putin’s successor as president, Dmitri Medvedev, as democratic and agreeable when compared to Putin.

Neither leader is one or the other, however: Both have had their times of being aggressive and accommodating in their domestic and foreign policies. Which face they show does not depend upon personalities but rather upon the status of Russia’s strength.

Putin’s Shifts

Putin, who had no choice but to appeal to the West to help keep the country afloat when he took office in 2000, initially was hailed as a trusted partner by the West. But even while former U.S. President George W. Bush was praising Putin’s soul, behind the scenes, Putin already was reorganizing one of his greatest tools — the FSB — in order to start implementing a full state consolidation in the coming years.

After 9/11, Putin was the first foreign leader to phone Bush and offer any assistance from Russia. The date marked an opportunity for both Putin and Russia. The attacks on the United States shifted Washington’s focus, tying it down in the Islamic world for the next decade. This gave Russia a window of opportunity with which to accelerate its crackdown inside (and later outside) Russia without fear of a Western response. During this time, the Kremlin ejected foreign firms, nationalized strategic economic assets, shut down nongovernmental organizations, purged anti-Kremlin journalists, banned many anti-Kremlin political parties and launched a second intense war in Chechnya. Western perceptions of Putin’s friendship and standing as a democratic leader simultaneously evaporated.

Russia was already solidifying its strength by 2003, by which time the West had noticed its former enemy’s resurgence. The West subsequently initiated a series of moves not to weaken Russia internally (as this was too difficult by now) but to contain Russian power inside its own borders. This spawned a highly contentious period between both sides during which the West supported pro-Western color revolutions in several of the former Soviet states while Russia initiated social unrest and political chaos campaigns in, and energy cutoffs against, several of the same states. The two sides were once again seriously at odds, with the former Soviet sphere now the battlefield. As it is easier for Russia to maneuver within the former Soviet states and with the West pre-occupied in the Islamic world, Moscow began to gain the upper hand. By 2008, the Kremlin was ready to prove to these states that the West would not be able to counter Russian aggression.

By now, however, the Kremlin had a new president, Medvedev. Like Putin, Medvedev is also from the St. Petersburg clan. Unlike Putin, he was lawyer trained to Western standards, not member of the KGB. Medvedev’s entrance into the Kremlin seemed strange at the time, since Putin had groomed other potential successors who shared his KGB background. Putin, however, knew that in just a few years Russia would be shifting again from being solely aggressive to a new stance that would require a different sort of leader.

Medvedev’s New Pragmatism

When Medvedev entered office, his current reputation for compliance and pragmatism did not exist. Instead, he continued on Russia’s roll forward with one of the boldest moves to date — the Russia-Georgia war. Aside from the war, Medvedev also publicly ordered the deployment of short-range ballistic missiles to the Russian enclave of Kaliningrad, on the Polish border, and to Belarus to counter U.S. plans for ballistic missile defense. Medvedev also oversaw continued oil disputes with the Baltic states. Despite being starkly different in demeanor and temperament, Medvedev continued Putin’s policies. Much of this was because Putin is still very much in charge of the country, but it is also because Medvedev also understands the order in which Russia operates: security first, pragmatism to the West after.

By 2009, Russia had proven its power in its direct sphere and so began to ease into a new foreign and domestic policy of duality. Only when Russia is strong and consolidated can it drop being wholly aggressive and adopt such a stance of hostility and friendliness. To achieve this, the definition of a “tandem” between Putin and Medvedev became more defined, with Putin as the enforcer and strong hand and Medvedev as the pragmatic negotiator (by Western standards). On the surface, this led to what seemed like a bipolar foreign and domestic policy, with Russia still aggressively moving on countries like Kyrgyzstan while forming a mutually beneficial partnership with Germany .

With elections approaching, the ruling tandem seems even more at odds as Medvedev overturns many policies Putin put into place in the early 2000s, such as the ban on certain political parties, the ability of foreign firms to work in strategic sectors and the role of the FSB elite within the economy. Despite the apparent conflict, the changes are part of an overall strategy shared by Putin and Medvedev to finish consolidating Russian power.

These policy changes show that Putin and Medvedev feel confident enough that they have attained their first imperative that they can look to confront the second inherent problem for the country: Russia’s lack of modern technology and lack of an economic base. Even with Russian energy production at its height, its energy technologies need revamping, as do every other sector, especially transit and telecommunication. Such a massive modernization attempt cannot be made without foreign help. This was seen in past efforts throughout Russian history when other strong leaders from Peter the Great to Josef Stalin were forced to bring in foreign assistance, if not an outright presence, to modernize Russia.

Russia thus has launched a multiyear modernization and privatization plan to bring in tens if not hundreds of billions of dollars to leapfrog the country into current technology and diversify the economy. Moscow has also struck deals with select countries — Germany, France, Finland, Norway, South Korea and even the United States — for each sector to use the economic deals for political means.

However, this has created two large problems. First, foreign governments and firms are hesitant to do business in an authoritarian country with a record of kicking foreign firms out. At the same time, the Kremlin knows that it cannot lessen its hold inside of Russia without risking losing control over its first imperative of securing Russia. Therefore, the tandem is instead implementing a complex system to ensure it can keep control while looking as if it were becoming more democratic.

The Appearance of Democracy

The first move is to strengthen the ruling party — United Russia — while allowing more independent political parties. United Russia already has been shifted into having many sub-groups that represent the more conservative factions, liberal factions and youth organizations. Those youth organizations have also been working on training up the new pro-Kremlin generation to take over in the decades to come so that the goals of the current regime are not lost. In the past few months, new political parties have started to emerge in Russia — something rare in recent years. Previously, any political party other than United Russia not loyal to the Kremlin was silenced, for the most part. Beyond United Russia, only three other political parties in Russia have a presence in the government: the Communist Party, Just Russia and the Liberal Democratic Party of Russia. All are considered either pro-Kremlin or sisters to United Russia.

While these new political parties appear to operate outside the Kremlin’s clutches, this is just for show. The most important new party is Russia’s Right Cause launched by Russian oligarch Mikhail Prokhorov. Right Cause is intended to support foreign business and the modernization efforts. The party at first was designed to be led by Medvedev’s economic aide, Arkadi Dvorkovich, or Finance Minister Alexei Kudrin. However, the Kremlin thought that having a Kremlin member lead a new “independent” political party would defeat the purpose of showing a new democratic side to Russian’s political sphere. Prokhorov has rarely shown political aspirations, but he has a working relationship with the Kremlin. He clearly received orders to help the Kremlin in this new display of democracy, and any oligarch who survives in Russia knows to follow the Kremlin’s orders. The Kremlin now will lower the threshold to win representation in the government in an attempt to move these “independent” parties into the government.

The next part of the new system is an ambiguous organization Putin recently announced, the All Russia’s Popular Front, or “Popular Front” for short. The Popular Front is not exactly a political party but an umbrella organization meant to unite the country. Popular Front members include Russia’s labor unions, prominent social organizations, economic lobbying sectors, big business, individuals and political parties. In short, anything or anyone that wants to be seen as pro-Russian is a part of the Popular Front. On the surface, the Popular Front has attempted to remain vague to avoid revealing how such an organization supersedes political parties and factions. It creates a system in which power in the country does not lie in a political office — such as the presidency or premiership — but with the person overseeing the Popular Front: Putin.

So after a decade of aggression, authoritarianism and nationalism, Russia has become strong once again, both internally and regionally, such that it is confident enough to shift policies and plan for its future. The new system is designed to have a dual foreign policy, to attract non-Russian groups back into the country and to look more democratic overall while all the while being carefully managed behind the scenes. It is managed pluralism underneath not a president or premier, but under a person more like the leader of the nation, not just the leader of the state. In theory, the new system is meant to allow the Kremlin to maintain control of both its grand strategies of needing to reach out abroad to keep Russia modern and strong and trying to ensure that the country is also under firm control and secure for years to come. Whether the tandem or the leader of the nation can balance such a complex system and overcome the permanent struggle that rules Russia remains to be seen.


Russia's Evolving Leadership is republished with permission of STRATFOR.

'Russia planning new N-bomb shelters'



Nuclear reactors in Russia (file photo)

Source: Press TV
http://www.presstv.ir/detail/187699.html

Russia is reportedly planning to construct nearly 5,000 new nuclear bomb shelters in the capital, Moscow, by the end of 2012 to protect the residents against a possible nuclear strike.

Russian authorities believe more shelters are needed because the current nuclear bomb shelters can hold about half of Moscow's population, Russia Today TV channel reported.

Architects have been given a task to construct a typical model of an easy-to-build shelter that will be located all over the city, 10 to 15 meters underneath the apartment blocks, shopping centers, sport complexes and parks, so that people would reach them within a minute in case of an attack.

Moscow saw its first mass building of nuclear bomb shelters in the 1930s, since then 7,000 of them have been constructed.

Some of Russia's metro stations have also been built very deep underground so that they could be used as air raid shelters.

However, in the early 1990s, many shelters were privatized by commercial firms that used them as warehouses, parking lots, and even restaurants.

Meanwhile, China announced similar plans of building nuclear bomb shelters a few years ago.

Shanghai's Civil Defense Office has announced the completion of a massive underground shelter, which can accommodate up to 200,000 people at a time.

Key Russian generals resign



Russian Chief of Staff Army General Nikolai Makarov

Source: Press TV
http://www.presstv.ir/detail/187682.html

Several senior Russian army generals have reportedly submitted their resignations to protest against military reforms implemented by the country's General Staff head.

The generals have not yet publically announced their reasons for resigning, but one senior officer said their departures were tied to their disagreement with Chief of Staff Army General Nikolai Makarov's advances towards military reforms, RIA Novosti reported.

According to the report, Chief of Main Directorate of Operations Lt. Gen. Andrei Tretyak, Chief of the Main Staff of Land Forces Lt. Gen. Sergei Skokov and Chief of General Staff's Radio-electronic Warfare Directorate Maj. Gen Oleg Ivanov are among those who have submitted their resignations.

The resignations have not yet been confirmed by the Russian defense ministry.

The Russian officer denied media reports that Defense Minister Anatoly Serdyukov is playing a role in the recent resignations, arguing that the minister had been "an effective manager" and supplied troops with new equipment.

Instead, the officer accused Makarov of bringing about a situation in which the Russian military is indefinitely running into a state of “temporary experimentation.”

The Russian government plans to rearm troops with up-to-date weaponry and cut the number of service personnel to 1 million, increasing the number of professional soldiers instead as part of efforts to transform the military into a modern fighting force, RIA Novosti reported.

On July 1, Serdyukov announced that Russia's current 180,000 contract soldiers would increase to 425,000 professional troops by 2017.

As a result of such reforms in the Russian army, President Dmitry Medvedev has expelled several generals in the past month.

Saturday, July 2, 2011

Russia gives bank record bailout



A building of VTB, Russia's second largest financial institution, in the capital Moscow (file photo).

Source: Press TV
http://www.presstv.ir/detail/187142.html

Russia's Bank of Moscow has received the country's largest bailout package ever worth USD 14.2 billion, following the bank's hostile takeover by a state-controlled financial institution.

The rescue package was bigger than had been expected and followed the takeover by VTB, Russia's second largest financial institution, Russia's central bank said on Friday.

By giving a bailout to Bank of Moscow, the Russian government aimed to keep the country's fifth-largest banking group afloat.

Under the bailout, Russia's central bank will fund a 10-year loan of 295 billion rubles (USD 10.6 billion) to Bank of Moscow from the Deposit Insurance Agency (DIA) at a rate of 0.51 percent, according to the Wall Street Journal.

VTB will [also] donate 100 billion rubles to recapitalize Bank of Moscow, the central bank said in a statement.

"We are certain that, thanks to the joint actions of VTB and the state, Bank of Moscow will resolve its temporary problems and reach a qualitatively new level," VTB said in a statement.

Analysts believe the move also indicates the Russian government's desire to help state-controlled VTB with its takeover of a weaker company.

Friday, June 24, 2011

Iran, Russia discuss bilateral energy ties


A view of Moscow International Oil and Gas Exhibition (file photo)

Source: Press TV
http://www.presstv.ir/detail/186001.html

Iranian and Russian officials have held a meeting on the sidelines of 11th International Oil and Gas exhibition in Moscow to discuss ways to expand energy cooperation.

The visiting Iranian delegation, including lawmakers and energy officials, and the Russian authorities stressed on expansion of joint investment and cooperation in oil and gas sectors of both countries, IRIB reported.

"Russian companies are eager to invest in Iran's oil and gas projects and that Russia will be a reliable partner for Iran in its oil and gas fields," said Talyat Aliev, the deputy director of International Department of Russian Energy Ministry.

He noted that the two countries are cooperating in the Gas Exporting Countries Forum (GECF).

The Russian officials also criticized the US-led unilateral sanctions imposed on Iran over its civilian nuclear activities, IRIB reported.

Western powers -- led by the United States -- have been making attempts to cripple Iran's energy sector in a bid to dissuade it from carrying on with its peaceful nuclear program.

On June 9, 2010, the UN Security Council approved a US-engineered resolution imposing a fourth round of sanctions on Iran, particularly targeting its energy and financial sectors over unverified allegations that the country is pursuing a clandestine nuclear weapons program.

Shortly after the UN sanctions, the US imposed fresh unilateral sanctions against Iran's financial and energy sectors, and then pressured the EU, Japan, Canada, and Australia to impose similar sanctions on Tehran.

"We are ready to expand our cooperation in Iran's oil and gas fields by removing the obstacles," Aliev said.

Iranian lawmaker Mohammad Karim Shahrzad also said that the Moscow exhibition "is a good opportunity" for development of Iran-Russia energy cooperation.

More than thousand companies from Russia and 36 other countries are taking part in the 11th International Oil and Gas exhibition in Moscow which was opened on Tuesday.

Iran, which is the world's fourth largest oil producer, sites on the world's second largest natural gas reserves after Russia.

Sunday, June 12, 2011

US cruiser in Black Sea angers Russia



US Navy officers at the Black Sea port of Constanta, Romania (file photo)

Source: Press TV
http://www.presstv.ir/detail/184326.html

Russia has protested against the presence of a US Navy cruiser in the Black Sea which is preparing for joint naval exercises with Ukraine.

On Sunday, Russia criticized the deployment of the Monetary cruiser, which is equipped with a ballistic missile system, in the Black Sea, saying its presence is a threat to Russia's national security, AFP reported.

“We have a number of questions regarding the arrival in the Black Sea of the US Navy cruiser Monterey to participate in the Ukrainian-US Sea Breeze 2011 exercises,” a Sunday statement by Russia's foreign ministry said.

Russia announced that it would not ignore “the appearance of elements of US strategic infrastructure in the immediate proximity to our borders and will see such steps as a threat to our security.”

Moscow has failed to reach an agreement with the West on a missile system project for Europe, saying the Washington did not provide guarantees that its missile system was not aimed at Russia.

The US has rejected Russia's call for a shared control of the missile system.

The US and Romania agreed in May on the deployment of parts of the missile system in the European country.

Tuesday, May 24, 2011

Russian minister cancels visit to Israel



Russian Emergencies Minister Sergei Shoigu

Source: Press TV
http://www.presstv.ir/detail/181407.html

Russian Emergencies Minister Sergei Shoigu has delayed a visit to Israel following Moscow's expulsion of Tel Aviv's military attachƩ to the country for 'espionage.'

Shoigu informed his Israeli counterpart Matan Vilnai about the indefinite postponement of his trip, saying the decision was made because of a 'change in his schedule,' AFP reported on Monday.

He had been scheduled to visit Tel Aviv on Sunday to sign cooperation accords.

Israeli Air Force Colonel Vadim Leiderman was arrested during a May 12 meeting with Russian officials. Tel Aviv's military attachƩ was then questioned and told to leave the country immediately.

On Friday, the Russian Foreign Ministry said that he had been 'caught red-handed' trying to receive 'secret information' on Russia's arms deals with Arab states.

However, Leiderman's diplomatic immunity has prevented Moscow from leveling charges against him.

Ynetnews, the website of the Israeli daily Yedioth Ahronoth, recently referred to "hectic efforts by Israel to appease Moscow and stop the already-grave diplomatic incident from escalating further.”

"Israel has substantial political and security interests in Russia and is now concentrating on damage control," the report said.

ICJ delivers ruling in favour of South Africa

South Africa's Closing Argument Against Israel for Genocide at the ICJ