Tag Archives: France

Time to break free from America

The Chinese smartphone company ZTE employs 75,000 people and last year sold $17 bn of products. Yet, despite being a booming and profitable concern, this week ZTE shut down its operations. Why? Because the United States has ‘banned American companies from exporting technology’ to it. ZTE phones contain a number of US-made components, as well as US-designed software. Thanks to the ban, the phones can no longer be made. ZTE is out of business, and 75,000 people will lose their jobs – just like that.

The ZTE ban follows American complaints that the company had been circumventing US sanctions against Iran and North Korea. ZTE admitted this and paid a $890 million fine to the US government, but American regulators maintained that it was still not being honest about its dealings – thus the sanctions imposed against it.

Meanwhile, following the US withdrawal from the nuclear deal previously agreed between the USA, Iran, and several other countries, American officials have been warning European companies that they must stop doing business with Iran. The European company Airbus had signed an agreement to sell Iran billions of euros worth of passenger aircraft. More than 10% of those aircraft, however, consists of American parts. Conseqently, the US has now prohibited Airbus from selling them to Iran because of sanctions re-imposed on Iran following the US withdrawal from the nuclear deal. Airbus could, of course, sell the planes anyway, but it would then find itself being fined huge sums of money in the USA and, like ZTE, have its American supplies cut off.

Any other non-American companies who rely on US components or software, and who are considering doing trade with Iran are now going to have to seriously reconsider their position. European governments and the European Union are none too happy with this. French Foreign Minister Jean-Yves Le Drian complained that, ‘We feel that the extraterritoriality of their [American] sanction measures are unacceptable. The Europeans should not have to pay for the withdrawal from an agreement by the United States, to which they had themselves contributed.’ Meanwhile, French Finance Minister Bruno de Maire asked yesterday, ‘Do we want to be vassals who obey decisions taken by the United States while clinging to the hem of their trousers? Or do we want to say we have our economic interests?’

European politicians are now considering what measures they can take to protect themselves from American efforts to force them to comply with American sanctions policies. According to de Maire, the EU is considering various avenues. One of these, he says, involves ‘looking at Europe’s financial independence – what can we do to give Europe more financial tools allowing it to be independent from the United States?’ Connected with this is a ‘proposal is to set up a purely European finance house to oversee euro-denominated transactions with Iran’

For some time now, a number of Russians who disagree with their government’s economic policy have been complaining that by seeking to integrate Russia more and more into the world economy, the government has undermined national sovereignty and made it vulnerable to financial pressures from potential enemies, notably the United States of America. Economists such as Sergei Glazyev have for a while been urging the Kremlin to increase Russia’s financial independence by, for instance, ‘the creation of a system of exchanging information between banks, analogous to SWIFT but independent of the USA and the EU,’ the establishment of ‘our own rating agencies,’ pricing exported goods in rubles rather than dollars, and so on. For very good reasons, the Russian government has resisted going down this route. Economic autarky tends not to turn out well. Integration into the global economy has its benefits. Having said all that, it seems to me that examples like those above are going to add to the pressure not only on Russia but also on other countries around the world to go in the direction the likes of Glazyev are suggesting, albeit gradually and with caution. Looking at the fate of ZTE and Airbus, any senior manager of an international company worth his or her salt is going to have start thinking about how to reduce the company’s dependence on US suppliers. Politicians are also going to have to put more thought into how to strengthen their economic sovereignty. This is not something which is going to happen overnight, but the impulse to move in that direction must be stronger this week than last.

Some steps have already been taken. We see new financial structures outside US control beginning to emerge, such as the Asian Infrastructure Investment Bank and the petro-yuan. Already financial journalists are speculating that the US decision to renege on the Iranian nuclear deal will strengthen the latter. I tend to the view that such developments are an inevitable part of the global shift in economic power. As the US declines in relative economic terms, its grip on international institutions is bound to weaken. But decisions such as that concerning Iran can only accelerate this process. Very gradually, but nonetheless more and more perceptibly, other countries are going to want to distance themselves from the United States.

The Americans are like a man sinking in quicksand.: the more he struggles in an effort to get out, the faster he sinks. As their relative power declines, the Americans are fighting with all their might to retain their hegemony, striking out in sometimes rather peculiar directions. But the very act of struggling just sucks them down further. In the aftermath of Trump’s decision on Iran, the sound of the sand sucking America under can be heard louder and clearer than ever before.

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Playing at war

So, the Americans, British, and French have done their bit, and fired off 100 or so missiles at Syria. After all the fears expressed by pundits that this could be the start of World War III, it’s turned out to be a bit of a nothing-burger. That’s not to downplay the symbolic significance of the Western states’ assault on Syria, in which they acted as judge, juror, and executioner while the investigation into the alleged misdemeanour was still ongoing and chemical weapons inspectors were on their way to the site of the supposed incident. But, if early reports are to be believed, nobody was killed in the attack and the physical damage is fairly minimal. The Brits fired a mere 8 missiles; the French only 12. Those are hardly significant numbers. Given that the Brits and Americans have been meddling in the war in Syria for several years now, arming and training various groups, and bombing targets on their behalf (including occasionally bombing the Syrian Arab Army), this doesn’t really constitute much by way of escalation. Tomorrow, the Syrians will brush off the dust, and things will go back to the way they were. Russia (along with Iran) will continue to back the Syrian government, and the latter’s forces will continue to advance and regain more and more territory. It is most unlikely that this assault will have any meaningful impact on the outcome of the struggle in Syria.

What stands out for me is the choice of weapons in this attack: long-range missiles. The Brits, for instance, fired their missiles from close to their airbase on Cyprus. They didn’t come close to Syria. It seems that they were afraid of Syrian and Russian air defences, and they weren’t prepared to go to the effort of suppressing them, which would have required a long and costly campaign and would have run the danger of getting them into a war with the Russians. The Russian Ministry of Defence says that its own air defences didn’t get involved but that those of the Syrian army shot down 71 of the 103 missiles fired. The Syrian Observatory for Human Rights (not normally noted for promoting pro-Assad propaganda) claims that 65 were shot down. The Americans are currently denying this. The truth is hard to determine. It may be that the Western allies are right to be fearful of the Syrian/Russian air defence system. Or maybe not. What is clear, though, is that they don’t seem to be willing to take the chance. They also don’t want to get too deeply involved. So, they have limited themselves to firing a few missiles in an utterly pointless manner, while making some wild claims that this would ‘set back Syrian chemical weapons programme for years.’

This is playing at war. Unfortunately, it is symptomatic of how the Americans and the Brits wage war nowadays. They can’t resist getting involved, but the outcome doesn’t matter to them enough for them to commit the resources, and make the sacrifices, required for a successful outcome. So, in Afghanistan they committed themselves enough to stir up the locals, to flood the country with money which boosted corruption and filled the coffers of the Taliban, and generally to make everything worse, but not enough to win (which would  have required a simply enormous amount of resources). In Libya, they did just enough to push the country into chaos, but not enough to put it back together again. In Syria, they’ve pumped in enough weapons and money to thoroughly mess the place up (and in the process supply a whole bunch of people who really aren’t their friends), but not enough to overthrow Assad. And so on.

Now, to be fair, it’s a sign of some intelligence that they haven’t gone any further than they have. It would have been completely disproportionate to have done so. We must welcome the fact that in attacking Syria, they limited themselves to a symbolic gesture and stayed well clear of Russian targets. As I said in my last post, achieving the objective of regime change would require enormous destruction. It’s a good thing that our leaders aren’t prepared to go that far. The problem is, though, is that if they want to succeed that’s how far they have to go. If they’re not prepared to do so, they shouldn’t get involved at all in the first place. Unfortunately, they just can’t stop themselves. Consequently, they end up playing at war, failing time after time, while causing a lot of death and destruction in the process

These endless wars allow politicians to claim that they are being ‘strong’, or more precisely fend off complaints that they are ‘weak’. But they don’t make Britain, America, or France any safer, while those at the receiving end of Western militarism suffer greatly because of it. As far as Syria and Russia are concerned, I suspect that the net result of the latest assault will be to reinforce Russian perceptions that the West is hell-bent on a policy of military and political aggression in which Syria is the front line. They will conclude that Russia must see the war in Syria through to a successful conclusion, and also that the Western states, despite all their bluster, don’t possess the will to stop it. One can therefore expect Russia to press on, and because it has the superior will, it will most likely succeed.

God and Joan of Arc

On 5 August 1914, just a few days into the First World War, the Supreme Commander of the Russian Army, Grand Duke Nikolai Nikolaevich, met the French ambassador to St Petersburg, Maurice Paléologue, and promised him that the Russians would come to France’s aid by attacking Germany. According to the Frenchman, the Grand Duke finished their conversation with a flourish, announcing, ‘God and Joan of Arc are with us! We shall win.’

The Franco-Russian alliance dated back to 1892, and by 1914 had become an extremely tight one. The Russians fulfilled their promise and attacked German East Prussia in August 1914, an assault which ended in catastrophic defeats at Tannenberg and the First Battle of the Masurian Lakes. ‘We are happy to make such sacrifices for our allies’, the Grand Duke told the French military attaché, General de la Guiche.

1893 political cartoon depicting the Franco-Russian Alliance
1893 political cartoon depicting the Franco-Russian Alliance

Today, Russia and France are getting back together again. According to RT:

The Russian president has issued orders for Russia’s Moskva cruiser, covering the Russian base in Latakia from the Mediterranean Sea, to work together with a French naval group led by flagship Charles De Gaulle, a 26 fighter-jet aircraft carrier, which is departing for Syria this week. ‘The French naval group, led by the air carrier, will soon reach your area of operations. We need to establish direct contact with it, and treat it as an ally,’ the Russian president said. ‘We need to develop a joint action plan for both sea and air operations.’ The Kremlin said that the parameters for a joint mission had been agreed upon by Putin and French President Francois Hollande, following a personal phone call. ‘The two leaders focused their attention on bilateral and multilateral cooperation in combating terrorism,’ a Kremlin statement said. ‘This includes closer ties and joint operations between the military command and intelligence services of Russia and France in Syria.’

‘Russia is shifting because today Russian cruise missiles hit Raqqa,’ French Defense Minister Jean-Yves Le Drian told TF1 television channel on Tuesday evening, ‘Maybe today this grand coalition with Russia is possible.’

As these quotations testify, Vladimir Putin’s decision to intervene militarily in Syria is already reaping diplomatic dividends. It is no longer possible to talk of Russia being ‘isolated’. If Franco-Russian efforts to coordinate their military campaigns bear fruit, then the West will find it increasingly hard to portray Russia as a dangerous threat to Western security. With many economists predicting that the Russian economy will come out of recession in 2016, anti-Kremlin activists who had hoped that a combination of diplomatic isolation and economic collapse would lead to the rapid fall of the ‘Putin regime’ are going to be very disappointed.

Nevertheless, I would caution against making too much of the possible new Franco-Russian Entente. Military cooperation in Syria does not equate to a formal alliance. At best it is a temporary matter of mutual convenience. It breaks the diplomatic ice, but doesn’t do much more than that. Although in the long term it may contribute towards a broader thaw in relations, I consider it unlikely that it will do so in the shorter term. Russia will probably not receive any quid pro quo for cooperating with France in the form of a relaxation of economic sanctions. I expect that European powers will refuse to link Syria with Ukraine.

Perhaps more importantly, gaining the favour of the French is not the same as gaining the favour of the Americans. Franco-Russian military cooperation might lead to some coordination of political objectives in Syria, in terms of seeking a peace settlement which avoids the defeat of the current government, but although the Russians might be able to persuade France of the value of such an objective, I consider it less probable that they will able to persuade the United States. Washington will more probably continue to pursue its policy of supporting anti-Assad forces. In short, while some sort of Franco-Russian entente is possible, a truly ‘grand coalition’ involving not only Russia and France, but also the United States and other Western states, remains a distant dream.