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Diplomacy
Casa Rosada (Pink House), Argentine Presidential Palace - Buenos Aires, Argentina

Remarks by the President of the Nation, Javier Milei, at the Global Peace Summit for Ukraine

by Javier Milei

한국어로 읽기Leer en españolIn Deutsch lesen Gap اقرأ بالعربيةLire en françaisЧитать на русском Good afternoon, everyone. It is an honor for me and for Argentina to participate in this Peace Summit organized by President Zelenski, with whom we have established a close relationship. We Argentinians are fully aware of the value of peace and democratic coexistence as guiding principles of life in society, and that is why I want to especially thank you for the invitation to this event. I want to express, on behalf of the Argentinian people, our utmost support for the people of Ukraine and our friend, President Zelenski, as defenders of the idea of freedom, we condemn any form of violence, whether between individuals, but particularly, we repudiate war as an illegitimate mean of resolving conflicts between nations. War, tragic by nature, can never be the answer to problems that should be resolved in the political sphere. War is not a legitimate tool for resolving conflicts; it is the last resort of a people who must defend themselves, nothing more, nothing less. We are defenders of the idea of freedom. Liberalism, as we understand it, is the respect and protection of the life projects of others, based on the principle of non-aggression, in defense of the right to life, freedom, and private property. As defenders of freedom, we can advocate for nothing other than peace among free peoples and nations. When we say that the guiding principle of our doctrine is the defense of individuals' lives, liberty, and property, we are expressing that there is a direct relationship between peace, commerce, and prosperity. There is no economic prosperity without free trade, and there is no free trade without peace. Free trade naturally promotes peace, because as Bastiat said, "where trade enters, bullets do not," or as Milton Friedman said, "I may hate my neighbor, but if he doesn't buy my product, I go bankrupt." As a fervent believer in the philosophical consciousness found in liberalism and peace, I make this brief defense of these principles today, as they seem to have gone out of fashion. I believe it is an important step for Argentina to be present first at the G7 Summit and now here at this Peace Summit. It is part of the great shift we are undertaking as a country after decades of turning our back on the world. There is a new Argentina that is once again embracing the ideas that, 150 years ago, made it one of the most prosperous countries in the world. There is a new Argentina that also seeks to reclaim the prominent role in the concert of nations that it once held and never should have abandoned. Know that Argentina will always be committed to defending the ideas that made great the West, and that for us, peace among free nations is not only a moral duty but also a necessary condition for prosperity. Thank you all very much.

Energy & Economics
Skyline of La Habana, Havanna, Cuba, Carribean, Central Amerika

Thirsty in paradise: Water crises are a growing problem across the Caribbean islands

by Farah Nibbs

한국어로 읽기Leer en españolIn Deutsch lesen Gap اقرأ بالعربيةLire en françaisЧитать на русском In the popular imagination, the Caribbean is paradise, an exotic place to escape to. But behind the images of balmy beaches and lush hotel grounds lies a crisis, the likes of which its residents have never experienced. Caribbean islands are in a water crisis, and their governments have warned that water scarcity may become the new norm. Within the past five years, every island in the region has experienced some sort of water scarcity. For example, Trinidad is experiencing its worst drought in recent memory, and residents are under water restrictions through at least the end of June 2024, with fines for anyone who violates the rules. Dominica, considered the nature island of the Caribbean for its mountain rain forests, is seeing a significant decrease in freshwater resources and increasingly frequent water shortages. In Grenada, known as the spice isle, drought has affected water systems throughout the island. Jamaica is also facing water restrictions and has had to resort to water shutoffs in recent years, limiting water availability to a few hours per day in some areas. St. Vincent and St. Kitts have had to ration water. Barbados has experienced several water bans in recent years. In fact, recent data shows that the Caribbean is one of the most water-stressed regions in the world. I study the intersection of critical infrastructure and disasters, particularly in the Caribbean. Safe water is essential for all human activity and public health. That’s why it is important to understand the root causes of the water crises and to find effective, affordable ways to improve water supply systems. 3 reasons water demand is outstripping supply Changing precipitation patterns and droughts are straining Caribbean water supplies, but water demand has also been outstripping supply for a number of reasons. 1. Rapid urbanization and industrialization The Caribbean is one of the most rapidly urbanizing regions in the world. About three-quarters of its population lives in cities, and that percentage is rising, adding pressure on public water systems. At the same time, increased industrialization and commercialization of agriculture have degraded water quality and in some cases encroached on sensitive water catchment areas, affecting the soil’s capacity to retain water. This competing demand for limited fresh water has reduced stream flows and led to water being drawn down from sensitive sources. In Dennery North, a major farming community in St. Lucia, water shortages have left residents collecting water from rivers and other sources for their homes and farms. Unregulated extraction of groundwater can also worsen the problem. Many islands depend on groundwater. For example, 90% of water supply in Barbados comes from groundwater, while in Jamaica it is 84%. However, increasing demand and changes in annual rainfall patterns are affecting the ability of aquifers or groundwater to recharge. As a result, supply isn’t keeping up with demand. This is a huge problem for the island of Utila, located off the coast of Honduras, where the current rate of aquifer recharge is only 2.5% annually. For comparison, Barbados has a recharge rate of 15% to 30% of annual rainfall. 2. Water-intensive tourism industry It’s no secret that the Caribbean is a popular tourist destination, and tourist economies depend on vast quantities of water. Even during water rationing, water is diverted to hotels and other tourist-dependent sites first. That can leave local residents without water for hours or days at a time and facing fines if they violate use restrictions. Tourism not only increases the consumption of water but also the pollution of water resources. Building golf courses to attract more tourists further increases tourism’s water demand and runoff. 3. Weak water infrastructure governance Another problem water systems face is weak governance that leads to excessive loss of treated water before it even reaches the customer. A well-performing water utility will usually have water losses – known as nonrevenue water – below 30%. In the Caribbean, the average nonrevenue water is 46%, with some as high as 75%.   The reasons range from lack of appropriate management practices to metering inaccuracies, leaks and theft. Climate change and extreme weather worsen water insecurity These troubled water systems can struggle on good days. Worsening extreme weather, such as hurricanes and flooding, can damage infrastructure, leading to long outages and expensive repairs. The Caribbean is the second-most disaster-prone region in the world. The islands face frequent earthquakes, landslides, devastating hurricanes and other destructive storms. As global temperatures and sea levels rise, the risk of extreme weather and storm surge causing erosion, flooding and saltwater contamination increases.   Three months after Hurricane Maria hit in 2017, well over 14% of the Caribbean population was still without potable water. Hurricane Dorian in 2019 left Grand Bahama Utility Co. and the country’s Water and Sewerage Corp. with U$54 million in damages. A year after Dorian, WSC was “still working on restoring operations to pre-Hurricane Dorian levels.” How hybrid rainwater harvesting can help Improving water access in the Caribbean means working on all of those challenges. Better governance and investment can help reduce water loss from theft and leaks. Government and social pressure and educating tourists can help reduce waste at hotels and resorts. There are also ways to increase water supply. One involves being more strategic about how the islands use a practice the region has relied on for centuries: rainwater harvesting. Rainwater harvesting involves capturing rainwater, often from where it runs off rooftops, and storing it for future use. It can replace irrigation, or the water can be treated for household uses. Right now, rainwater harvesting is not managed as part of the islands’ centralized water management system. Instead, households bear the cost to finance, build and maintain their own systems. Finding technical support can be difficult, leaving households to contend with seasonal variations in water quantity and quality. That makes risks to drinking water safety difficult to identify. If rainwater harvesting were instead combined with central water systems in a managed hybrid water model, I believe that could help expand safe rainwater harvesting and address water issues in the region. It’s a relatively new concept, and integrating decentralized sources can be complex, including requiring separate pipes, but it has potential to reduce water stress. Decentralized sources, such as rainwater harvesting, groundwater or recycled gray water, could serve as backup water sources during shortages or provide water for nonpotable purposes, such as flushing toilets or irrigation, to reduce demand for treated water. Engineers in Australia are weighing the potential of hybrid water systems to help face the challenges of delivering secure, safe and sustainable water in the future. Fulfilling a human right in the islands The World Health Organization has declared that access to a sufficient, safe and reliable water supply is a fundamental human right, and that to accomplish this, water suppliers have a responsibility to provide adequate quantities of potable water. Hybrid water systems could help ensure water safety and security for island communities and improve the water systems’ resilience amid the human and environmental pressures facing the Caribbean.

Diplomacy
Election word Venezuela or Venezuela with election sign showing the parliamentary election of Venezuela

Explainer: Venezuela's 2024 Presidential Elections

by Chase Harrison

한국어로 읽기Leer en españolIn Deutsch lesen Gap اقرأ بالعربيةLire en françaisЧитать на русском Publication credits to AS/COA and Chase Harrison.Nicólas Maduro keeps stacking the deck to win come July 28, but polls favor opposition candidate Edmundo González. The big question for Venezuela’s July 28 elections may not be who voters prefer but whether their preference will be respected. The previous presidential election, which took place in 2018, was marked by irregularities. The reelection of Nicólas Maduro was considered illegitimate by the EU and countries around the world. Now, Maduro is seeking to extend his already decade-long reign with another six-year term. But will this race be free and fair? The fact that Venezuelans will even have the chance to go to the polls was not a given just a few months ago. The framework for this election was established in through the Barbados Accords, signed in October 2023 by the Maduro government and an alliance of opposition parties known as the Unitary Platform. The agreement set out conditions for the election, including that it must take place in the second half of this year, electoral reforms must be made, and international observation must be allowed. It also covered guarantees for the opposition’s participation and primary election process. The United States, which was not party to the accords, agreed to drop some sanctions to get Maduro to stick to his Barbados pledges. A few conditions have been met. The opposition did have its primary in October 2023. And, Maduro set the date for July 28—his deceased predecessor Hugo Chávez’s birthday, marking a date that is early but within the promised range. But other promises have been violated, with one key example being the January disqualification of presidential candidate Maria Corina Machado, who won the opposition primary with 93 percent of the vote. This prompted international outcry and the resumption of some sanctions. Now, the Unitary Platform has a new candidate, former diplomat Edmundo González Urrutia, and polls suggest he has a commanding lead of as much as 50 points over Maduro. What is González proposing? And how might Maduro undercut his rivals? AS/COA Online covers the electoral context and the candidates. Electoral context Venezuela’s election is being overseen by the country’s Electoral Council (CNE). While the body once included members seen as part of the opposition, in June 2023, the government-controlled constituent assembly replaced all 15 members to create an unanimously pro-Maduro council. So far, the CNE has undertaken several moves that watchdogs and foreign observers view as anti-democratic, such as the disqualification of opposition parties and candidates. Under the Barbados Accords, the CNE was tasked with updating the electoral registry. Currently, the roll includes about 21.6 million of Venezuela’s 28.8 million citizens. Of the about 8 million Venezuelans who live outside the country, only about 228,000 are registered abroad. That’s because the rules for absentee voting in Venezuela are onerous, requiring voters to be registered at a foreign address for at least three years and living in that place legally. Those seeking refugee or asylum status are banned from participating. Moreover, registered voters must go to a consulate to cast their ballots. But in many countries, such as the United States, Venezuelan government buildings have been shuttered, leaving no available voting sites. Meanwhile, the October 2023 opposition primary, which was independently organized and had more relaxed registration rules, attracted 2.4 million voters from abroad. Even for those living in the country, registration remains difficult, as it must be performed at official buildings in state capitals. In 2023, it was estimated that there are 3.5 million potential new voters who remain unregistered in the country. The CNE is also in charge of facilitating the participation of international electoral observers. Under the Barbados Accords, the Maduro regime promised that missions from bodies like the EU, the UN, the African Union, and the Carter Center would be able to observe the election. However, the regime revoked the EU’s invitation in May. Other groups, like the Carter Center and the African Union, are still slated to observe with small missions. Aside from the CNE, the Venezuelan military plays a role in overseeing the elections. Historically, the military has been loyal to Maduro, helping him stay in power. However, the military might be key to guaranteeing that the will of the voters is respected. “They will see and they will know if a major fraud is committed,” explained AS/COA Senior Director Guillermo Zubillaga. “The military will be the deciding factor.” Machado has already called for the military to guarantee a democratic transition. Nicólas Maduro, United Social Party of Venezuela Maduro took over the reins of the country after the death of his mentor, Chávez, in 2013 and he has overseen the acceleration of the country’s democratic and economic collapse ever since. From 2014 to 2021, Venezuela’s GDP shrank nearly three-quarters. The country has seen a small amount of growth since then, but it remains bogged down by hyperinflation, a debt load of $154 billion, mass emigration, and a crippled oil sector. His career grew in Chávez’s shadow. After working as a bus driver and trade unionist, he was elected to the National Assembly in 2000. From there, he served as minister of foreign affairs (2006-2012), vice president (2012-2013), and acting president once Chávez passed. He declared himself victorious in a 2013 presidential special election with 1.6 percent more of the vote than his closest rival. The opposition protested against vote-rigging and Maduro’s unfair use of state resources to campaign. As president, Maduro’s ideological commitment to Chávez’s Bolivarian Revolution has seen him stack institutions with allies, advance economic policies that maximize state control, and pursue a foreign policy agenda in opposition to the United States. In turn, Venezuela has sunk to the bottom of global indexes focused on freedom and democracy amid shrinking checks and balances; chavistas control the country’s judiciary and electoral courts. The opposition did control the National Assembly after 2015 elections but, in 2017, the country’s top court dissolved the legislature. That same year, Maduro called for the election of a constituent assembly in a contest boycotted by the opposition. The constituent assembly has now usurped the National Assembly to become the de facto legislating body. Maduro has used his control of the courts and the legislature to tilt the playing field in his favor in this year’s elections. He’s jailed more than 270 dissenting voices, stacked the members of the electoral court, and disqualified presidential candidates. Despite these maneuvers, Maduro polls with as little as 8 percent of the vote in the July elections. How might he still win? He’s hoping the strong chavista party structure can aid his campaign. He also might leverage clientelist networks. Already, Maduro has increased public spending by 80 percent from January to May and raised the monthly income for public workers. But waning enthusiasm and state resources might hamper the chavistas’ electoral abilities. “In the past, they’ve been able to mobilize the party members and loyalists, before and on the day of the election. This year, that ability is in question,” said Zubillaga. Maduro maintains a prolific media presence in the country, appearing across television and radio. Opposition figures, meanwhile, are barred from appearing on most radio and TV stations. And, Maduro is tapping into Tik Tok, expanding his use of social media to portray himself as charismatic, to appeal to youth voters. Polling shows that this group continues to be the most supportive of the opposition. Edmundo González, Unitary Platform The 73-year-old former diplomat and academic did not intend to become the presidential hopeful for the Venezuelan opposition. Originally a placeholder, González was affirmed as the official nominee after substitutes for Machado, like academic Corina Yoris, were disqualified. But even if he was not so well known a few months ago, González now leads polls and, alongside Machado, headlines large rallies across the country. Pitching himself as a reconciliation candidate, his platform articulates a transition back to a pluralistic democracy, touching on themes of amnesty for the Maduro regime and rebuilding institutions. Outside of a focus on facilitating a democratic transition, González defers to the political program of Machado, noting that she, not him, was the primary voters’ choice. She has championed stabilizing the country’s macroeconomics by developing its energy reserves, as well as promoting nearshoring, and investment in infrastructure. González also references his long tenure in Venezuela’s foreign service to divorce himself from any particular political ideology. He highlights that he served successive administrations during posts in Algeria, Argentina, Belgium, El Salvador, and the United States. In an interview with El Pais, he described himself “as a democrat, a moderate person, far from extreme positions.” Still, even if González is voters’ top choice, worries persist that he will be disqualified before or, should he win, after the election. Four members of his team have already been detained on charges of instigating hate and conspiracy. Other candidates Eight other candidates will appear on the ballot for president. While there was potential for some of these candidates to split opposition votes, so far none of them poll above 2 percent in the May 2024 Meganalisis poll. Still, they are muddling an already confusing ballot. Candidates appear under each party they represent, meaning there are 38 headshots even though there are ten candidates. Maduro appears in 13* places; Gónzalez just three times. Many of the other candidates—such as evangelical pastor Javier Bertucci, lawyer Antonio Ecarri, and comedian Benjamin Rauseo—are trying to present themselves as a third way, rebuking chavismo but criticizing the Unitary Platform for either its strategy or its policies. *Editor's note: The original version of this article stated that Maduro appears 14 times on the electoral ballot.

Diplomacy
Kenyan President William Ruto

Kenyan president will receive White House praise over troops-to-Haiti move − but lack of action across Americas should prompt regional soul-searching

by Jorge Heine

한국어로 읽기Leer en españolIn Deutsch lesen Gap اقرأ بالعربيةLire en françaisЧитать на русском Kenyan President William Ruto will attend a rare U.S. state reception for an African leader on May 23, 2024 – but much of the chat will be about a third country: Haiti. Kenyan troops are preparing to deploy to the Caribbean nation as part of a U.N.-backed mission aimed at bringing stability to a country ravaged by gang violence. The White House event is in part a recognition by Washington of Kenya’s decision to step up to a task that the Biden administration – and much of the West – would rather outsource. Indeed, Haiti has seemingly become a crisis that most international bodies and foreign governments would rather not touch. The U.S., like other major governments in the Americas, has repeatedly ruled out putting its own troops on the ground in Haiti. As someone who has written a book, “Fixing Haiti,” on the last concerted outside intervention – the United Nations’ stabilizing mission known as MINUSTAH – I fear the lack of action by countries in the Americas could increase the risk of Haiti transitioning from a fragile state to a failed one. MINUSTAH was the first U.N. mission formed by a majority of Latin American troops, with Chile and Brazil taking the lead. The outsourcing of that role now to Kenya has sparked concerns from human rights groups. It should also lead to soul-searching questions in capitals from Washington to Brasília, as well as at United Nations headquarters in New York. At the mercy of gangs Haiti’s descent into chaos began almost three years ago with the murder of President Jovenel Moïse in July 2021. Lawlessness in the nation has seen gangs take control of an estimated 80% of the capital Port-au-Prince and thousands killed in the spiraling violence. Today, the country is not only the poorest in the Americas but is also among the most destitute in the world. About 87.6% of the population is estimated to be living in poverty, with 30% in extreme poverty. Life expectancy is just 63 years, compared with 76 in the United States and 72 in Latin America and the Caribbean as a whole. Recipe for disaster International intervention in Haiti has been long overdue. Yet, until now, the attitude of the international community has, from my perspective, been largely to look away. From a humanitarian perspective and in terms of regional security, to allow a country in the Americas to drift into the condition of a failed state controlled by a fluid network of criminal gangs is a recipe for disaster. Yet governments and international organizations in the region are unwilling to step up to confront the crisis directly despite pleas from Haiti and the U.N. The Organization of American States, which in the past played an important role in Haiti and for which I served as an observer to the country’s 1990 presidential elections, and the Community of Latin American and Caribbean States have been criticized over their slow response to the Haitian crisis. The Caribbean Community, or CARICOM, has made a significant effort, holding a number of meetings on the Haitian crisis; several member states, such as the Bahamas, Barbados and Jamaica, have committed to sending police forces to Haiti, albeit in small numbers. The United States, in turn, having left Afghanistan in 2021 after a tumultuous 20-year occupation, appears reluctant to send troops anywhere. Rather, Washington would prefer that others take up the role of peacekeeper this time. In response to the offer from Kenya, the State Department said it “commends” the African nation for “responding to Haiti’s call.” Part of this reluctance in the Americas could also be related to the perception – in my view, a misperception – of how past interventions have played out. The United Nations mission from 2004 initially managed to stabilize Haiti after another rocky period. In fact, the country made significant strides before it was hit by a devastating earthquake in 2010. There were bad missteps, for sure, after 2010. A cholera outbreak brought to Haiti by infected troops from Nepal resulted in more than 800,000 infections and 10,000 deaths. Sexual misconduct by some of the U.N.’s blue helmets further tarnished the mission. But the notion that MINUSTAH was a failure is, in my view, quite wrong. And the end of the mission in 2017 certainly didn’t see improved conditions in Haiti. Indeed, after the mission ended, criminal gangs had the run of the country once again and proceeded accordingly. Yet the perceived failure of the U.N. mission has become the basis of a view held by some Haiti watchers that international interventions are not only unsuccessful or misconceived but also counterproductive. Such a view forms the backbone of the notion of Haiti as an “aid state” – as opposed to a “failed state.” In this view, international interventions and the inflow of foreign funds have created a condition of dependency in which the country gets used to having foreigners make key decisions. This, the argument goes, fosters a cycle of corruption and mismanagement. There is no doubt that some previous interventions left much to be desired, and that any new initiative would have to be conducted in close cooperation with Haitian civil society to avoid such pitfalls. But I believe the notion that Haiti, in its current state, would be able to lift itself up without the help of the international community is wishful thinking. The nation has moved too far down the direction of gang control, and what remains of the Haitian state lacks the capacity to change that trajectory. A duty to intervene? Moreover, there is an argument to be made that the international community bears responsibility for the Haitian tragedy and is duty bound to try to fix it. To use one example from the relatively recent past: Haiti, until the early 1980s, was self-sufficient in the production of rice – a key staple there. Yet, pressured by the United States in the 1990s, the country lowered its agricultural tariffs to the bare minimum and, in so doing, destroyed local rice production. Former U.S. President Bill Clinton later apologized for the policy, but its legacy still lasts. Haiti today has to import most of the rice it consumes, largely from the United States. And there isn’t enough of it to go around for all Haitians – the U.N. estimates that nearly half of Haiti’s population of 11.5 million is food insecure. Indeed, from its very beginning as an independent nation in 1804, Haiti has suffered the consequences of its unique place in history: It was simply too much for white colonial powers to see Haiti thrive as the first Black republic resulting from a successful slave rebellion. France retaliated over the loss of what was once considered the world’s wealthiest colony by exacting reparations for a century and a half. Payments from Haiti flowed until 1947 – to the tune of US$21 billion in today’s dollars. The United States took 60 years to recognize Haiti and invaded and occupied the nation from 1915 to 1934. Any thoughts of atoning for past actions, however, seem far from the minds of those looking on as the chaos in Haiti spirals. Rather, many appear to have the kind of mindset expressed in 1994 by current U.S. President Joe Biden when, as a senator discussing the rationale for various interventions, he noted: “If Haiti just quietly sunk into the Caribbean, or rose 300 feet, it wouldn’t matter a whole lot for our interests.”

Diplomacy
Paris, France, 25-04-2024 : Visit of the President of the Republic, Emmanuel Macron, for a major speech on Europe at the Sorbonne.

2024 Election Watch: France, the European Union, Germany, and Mexico

by Collin Chapman

한국어로 읽기Leer en españolIn Deutsch lesen Gap اقرأ بالعربيةLire en françaisЧитать на русском Elections in Europe demonstrate the growing popularity of far right parties as key outsiders gain on critical votes. In France, President Emmanuel Macron has moved to dampen Marine Le Pen’s success in the European Parliament with a snap national election. The election calendar for June has already thrown up some surprises, particularly in the northern hemisphere. To be sure, Prime Minister Narendra Modi was re-elected, though with a much-reduced majority which will place limits on his power. But the biggest shock is in Europe where French President Emmanuel Macron decided to call a snap election for 30 June after his most notorious far-right rival, Marine Le Pen, pulled off a decisive victory in the French election for the European Parliament. Macron is taking a massive gamble—that in a national election he can recover some of the popularity he has lost since his re-election as president in 2022, squashing Le Pen’s challenge to his leadership. The initial reaction of the commentariat is that Macron will manage a return to the Élysée palace, largely because the centrist parties holding the middle ground were the overall winners and the Left and the Greens failed to increase, or lost, shares of the vote. “I’ve decided to give you back the choice,” Macron said in an address to the electorate from the Elysée palace. In France, the Rassemblement National (RN) party led by Le Pen won 31.5 percent of the country’s vote, according to early results. In Germany, the three parties in Olaf Scholz’s fragile coalition—the Social Democrats (SPD), Greens, and the liberal FDP—were all overtaken by the far-right Alternative for Germany (AfD), which came in second behind the conservative CDU-CSU opposition. Significant gains by nationalist and ultra-conservative parties were also anticipated by exit polls in Austria, Cyprus, Greece, and the Netherlands. In Italy, prime minister Giorgia Meloni cemented her position in her governing coalition, and potentially her hand in negotiations with other European leaders, with her hard-right Brothers of Italy party taking over 28 percent of the vote in the European parliamentary elections. Attention will now turn to the campaign by Ursula von der Leyen, president of the European Commission, to win another five-year term in office. She has a good record and currently no obvious challenger. Nonetheless, her re-election will hinge on her ability to make uncomfortable choices and deals, taking into account the EU’s clear shift to the right in parliamentary elections on 9 June. Though her centre-right European People’s party won the election, securing 189 seats in the 720-strong assembly, von der Leyen’s allies fared worse and the hard right surged from a fifth to nearly a quarter of seats. Her fate is likely to be decided at an EU summit on 27 June when she will seek the personal backing of the EU’s 27 leaders and aim to demonstrate to them that she has the required support in the European Parliament. Mexico Another remarkable election result this month was in Mexico where the ruling left-wing Morena party won a landslide victory in presidential, congressional, and state elections. While president-elect Claudia Sheinbaum and Morena’s victory on 2 June was not a surprise, the scale of it was. Sheinbaum won more votes than the centre-right Xochiti Galvez across genders, age groups, and in every state bar one, coming in 31 points clear of her rival. After decades of high poverty, glaring inequality, and low wages, the ruling Morena party more than doubled the minimum wage and expanded social programs, endearing itself to Mexico’s long-neglected have-nots. The result has left Mexico’s conservative elite struggling to understand the left’s landslide win, living as they do in gated communities far removed from the lives and feelings of average Mexicans. There are unlikely to be any surprises in the other major election this month—that of Iran on 28 June. Iranian authorities have disqualified prominent moderates as candidates in the snap presidential election, called following the helicopter crash that recently claimed the life of Ebrahim Raisi, the country’s president, and other senior ministers. The field of candidates has been narrowed to five hardliners and one mid-ranking reformist. The United Kingdom has seen a frenzy of election activity this month following Prime Minister Rishi Sunak’s surprise decision to call an early election on 4 July. Polls show that there is likely to be a change of government to the opposition Labour party, which is currently holding a 22 percent lead, after 14 years’ Conservative government.

Energy & Economics
Curitiba, Paraná, Brasilien, Bolsonaro gadgets in Independent Day in Curitiba, 09.07.2022

The Bolsonarism could return to power

by Valerio Arcary

한국어로 읽기Leer en españolIn Deutsch lesen Gap اقرأ بالعربيةLire en françaisЧитать на русском Political loyalty to PT-led governments has garnered support among the poorest. However, the Brazilian center-left has lost its hegemony over its social base. Can Bolsonaro return to power in 2026? Yes, he could. We must consider the existence of powerful objective and subjective factors to explain the resilience of the far right, even after the defeat of the semi-insurrection in January 2023. But, first of all, it is wise to recognize the international context of the phenomenon, in which the far right plays an instrumental role: (a) the turbulence in the system of states with the strengthening of China and the strategy of U.S. imperialism to preserve the supremacy of the Troika, for which a tougher protectionist orientation is useful; (b) the disputes caused by the emergence of the environmental crisis and the energy transition, which temporarily disadvantage those who decarbonize more quickly; (c) the shift of bourgeois factions towards the defense of authoritarian regimes that face popular protest and embrace a national-imperialist line; (d) the trend towards economic stagnation and the impoverishment and rightward shift of the middle classes; (e) the faltering crisis of the left, among others. But there are Brazilian peculiarities in the political fragmentation of the country. These are essentially five: (i) the hegemony among the military and the police; (ii) the gravitation of the vast majority of Pentecostal evangelicals towards the far right; (iii) the weight of the Bolsonarism in the most developed regions, the Southeast and South of the country, especially among the new middle-class property owners, or those with very high levels of education who hold executive positions in the private and public sectors; (iv) the leadership of the neo-fascist current within the far right; (v) the support base of the far right among the salaried middle classes with wages between three and five or even up to seven minimum wages. The first four peculiarities have been widely researched, but the last one less so. Studying it is strategic because it may be the only one possible to reverse in the context of a very unfavorable situation of still reactionary social power relations. There are objective factors that explain the distancing, division, or political separation between parts of the working class and the poorest, such as the inflation of private education and health plans, and the increase in income tax, which are threats to a model of consumption and living standard, and subjective factors, such as social resentment and moral-ideological rancor. Both are intertwined and may even be indivisible. But that was not the case when the final phase of the struggle against the dictatorship began, forty-five years ago. The PT was born, supported by metalworkers, public school teachers, oil workers, bankers, and other categories who, compared to the reality of the masses, had more education and better salaries. Lulism, or political loyalty to the experience of PT-led governments, allowed for support among the poorest. However, the left, although it maintains its positions, has lost hegemony over its original mass social base. This tragic reality, due to the fracture of the working class, requires that we analyze it from a historical perspective. The post-war period (1945-1981) of intense growth, during which GDP doubled every decade, and which favored absolute social mobility in Brazil, accompanying accelerated urbanization, seems to have irretrievably passed. Full employment and increased schooling, in a country where half of the active population was illiterate, were the two key factors in improving the lives of this layer of workers. But they no longer exert the same pressure as in the past. It is clear that in the last decade, Brazilian capitalism has lost momentum. It lost 7% of its GDP between 2015/17 and, after the Covid pandemic in 2020/21, it took three years to return to the 2019 levels. Despite all the anti-social counter-reforms - labor, social security - aimed at reducing production costs, the investment rate did not exceed 18% of GDP in 2023, despite the authorization of the Transitional Proposed Constitutional Amendment (PEC) to breach the Public Spending Ceiling. Brazil, the largest industrial park, and consumer market for durable goods in the periphery, has become a nation of slow growth. The increase in schooling has ceased to be such a powerful driving factor. Improving life has become much more difficult. The Brazil of 2024 is a less poor country than in the 20th century, but not less unjust. Of course, there is still a lot of poverty: tens of millions or even more continue suffering from food insecurity, despite the ‘Bolsa Familia’, depending on the economic cycle. But there has been a reduction in extreme poverty without a qualitative reduction in social inequality. The functional distribution of income between capital and labor has experienced variations in the margin. The personal income distribution improved between 2003 and 2014, but it has increased again since 2015/16, following the institutional coup against Dilma Rousseff's government. Extreme poverty has decreased, but half of the economically active population earns no more than two minimum wages. A third of wage earners earn between three and five minimum wages. Inequality has remained almost intact because, among other reasons, the position of middle-income wage earners with higher levels of education has stagnated with a downward bias. Numerous studies confirm that the increase in average schooling is not related to employability, and IBGE surveys paradoxically confirm that unemployment is higher as schooling increases. Most of the millions of jobs created since the end of the pandemic have been for people earning up to two minimum wages, with very low educational requirements. To assess the greater or lesser social cohesion of a country, two mobility rates are considered: absolute and relative. The absolute rate compares the occupation of the parent and the child, or the first activity of each one with their last job. The relative mobility rate checks to what extent the obstacles to accessing jobs - or opportunities for study - that favor social advancement could or could not be overcome by those in a lower social position. In Brazil, both the absolute and relative mobility rates were positive until the 1980s, but the former was more intense than the latter. In other words, we experienced intense social mobility in the post-war period due to the pressure of urbanization and internal migration, from the Northeast to the Southeast, and from the South to the Midwest. But this is no longer the case. This historical stage ended in the 1990s when the flow from the agrarian world was exhausted. Since then, poverty has decreased, but middle-class workers have experienced a more hostile reality. What explains this process is that the social mobility trajectories of the last twenty years have benefited millions of people who lived in extreme poverty, but very few have ascended significantly. Many have improved their lives, but they have only ascended to the step immediately above to the one occupied by their parents. Relative social mobility has remained very low because the material incentives to increase schooling have been lower in the last forty years than they were for the generation that reached adulthood in the fifties or sixties. The rewards that families receive for keeping their children out of work for at least twelve years until they finish high school have decreased compared to the previous generation, despite the greater ease of access. A country may start from a situation of great social inequality, but if social mobility is intense, social inequality should decrease, increasing social cohesion, as happened in post-war Italy. Conversely, a country that had low social inequality compared to its neighbors occupying a similar position in the world may see its situation deteriorate if social mobility becomes regressive, as is evident in present-day France. In Brazil, contrary to what is commonly thought, most of the new jobs in the last ten years have not benefited the most educated sector of the population. Studying more has not reduced the risk of unemployment. In the forty-five years since 1979, average schooling has increased from three to over eight years. But two transformations have occurred that have had a lasting impact on the consciousness of the working youth. The first is that Brazilian capitalism is no longer a society of full employment, as it had been for half a century. The second is that, even with the sacrifices made by families to keep their children studying and delaying their entry into the labor market, employability has concentrated in activities that require little schooling and offer low wages. For the first time in history, children have lost hope of living better than their parents. Unemployment among those with higher education is proportionally higher than among those with lower education, and if the inequality of personal incomes has decreased in the last fifteen years, it is because the average salary of those with middle and higher education has been decreasing. The dizzying expansion of uberization is not surprising. The monthly employment surveys by IBGE in the São Paulo metropolitan region indicate a very slow evolution that, at best, only approximates the recovery of inflation. Nearly forty years after the end of the military dictatorship, the economic and social balance of the liberal democracy regime is discouraging. The reforms carried out by the regime, such as expanding access to public education, implementing the SUS (Unified Health System), the ‘Bolsa Familia’ for the extremely poor, among others, were progressive but insufficient to reduce social inequality. The hypothesis that a more educated population would gradually change the political reality of the country, driving a sustainable cycle of economic growth and income distribution, has not been confirmed. One form of gradualist illusion in the perspective of social justice within the limits of capitalism was the hope that a more educated population would gradually change the social reality of the country. This brings us to the limits of the coalition governments led by the PT, which bet on conciliation with the ruling class to regulate “wild" capitalism. Although there are long-term correlations between schooling and economic growth, no direct effects that are incontrovertible have been identified, even less so if we include the variable of reducing social inequality, as confirmed by South Korea What is incontrovertible is that the Brazilian bourgeoisie was united in 2016 to overthrow the government of Dilma Rousseff, despite the moderation of the reforms carried out. It should not surprise us that the ruling class had no qualms about going to the extreme of manipulating the impeachment, subverting the rules of the regime to take power for their direct representatives, such as Michel Temer. The challenge is to explain why the working class was not willing to fight to defend it. At the beginning of the 1990s, wages represented more than half of the national wealth, and in the last thirty years, they fell to just over 40% in 1999. Despite the recovery between 2004 and 2010, they still remain below the 50% level of 2014. This variable is significant for an assessment of the evolution of social inequality because Brazil in 2024 is a society that has already completed the historical transition from rural to urban (86% of the population lives in cities), and the majority of those under contract, 38 million with labor contracts and 13 million civil servants, receive salaries. Another ten million have an employer but no contract. It is true that there are still 25 million Brazilians who live off self-employment, but they proportionally fewer than in the past [ii]. In summary, the functional distribution of income between capital and labor has not improved. The bourgeoisie has no reason to complain about the liberal regime. Nevertheless, a fraction of the bourgeoisie, such as agroindustry and others, supports neo-fascism and its authoritarian strategy. The data indicating that social inequality has decreased among wage earners is convincing. But not because injustice has decreased, although misery has. This process has occurred because there have been two opposing trends in the labor market. One is relatively new, and the other is older. The first was the rise in wage floors for less skilled and less organized sectors. The minimum wage has been increasing above devaluation slowly but steadily since 1994 with the introduction of the real, accelerating during the years of the Lula and Dilma Rousseff governments. This is a new phenomenon, as the opposite had occurred in the previous fifteen years. The minimum wage is a key economic variable because it is the floor for INSS pensions, which is why the bourgeoisie demands it to be delinked. The economic recovery favored by the global cycle of increased demand for commodities allowed unemployment to fall from the second half of 2005, culminating in 2014 in a situation of almost full employment. The widespread distribution of the ‘Bolsa Familia’ also appears to have exerted pressure on the remuneration of manual labor, especially in less industrialized regions. The second trend was the continued decline in the remuneration of jobs that require middle and higher education, a process that had been occurring since the 1980s. In conclusion, the available data suggest that increasing schooling is no longer a significant factor in social upward mobility, as it was in the past. The political loyalty of the popular masses to Lulism is an expression of the first phenomenon. The lives of the poorest improved during the years of PT governments. The division among wage earners earning more than two minimum wages expresses a social resentment that has been manipulated by Bolsonarism. If the left does not regain confidence in this sector of the workforce, the danger for 2026 is significant. Jacobinlat The article was translated and licensed under CC BY-NC-SA 3.0 ES (Atribución-NoComercial-CompartirIgual 3.0 España).

Diplomacy
Mexico City, Mexico Septembr 17th 2019. Claudia Sheinbaum Pardo, Mexico City Mayor presents her first report to the city congress.

From AMLO to Claudia Sheinbaum: Mexicans entrust power to a woman with the challenge of improving democratic quality

by Carmen Beatriz Fernández

한국어로 읽기Leer en españolIn Deutsch lesen Gap اقرأ بالعربيةLire en françaisЧитать на русском  With this Instagram post, Claudia Sheinbaum announced her overwhelming victory, which doubled the numbers of her main contender, in a gender perspective. The fact that one of the most macho countries in the Americas has chosen a female president among two female engineers reflects the historic change experienced. Sheinbaum, candidate of the Morena party and the popular leader Andrés Manuel López Obrador, was the clear favorite to win the elections. The cards seemed to be laid out. It was reminiscent of the 2018 election, where the leftist AMLO remained ahead in the polls, at least two years before the electoral appointment. Regardless of what happened during the campaign, AMLO, like Sheinbaum now, was always the front-runner during the contest. The big difference between the 2024 scenario and that of 2018 is that the change is not a massive ambition this time. At that time, traditional Mexican political parties had bet on fear of AMLO as their main message, but in an environment of significant system discredit, the electorate's biggest fear in 2018 was continuity. Transfer of popularity from the president to the candidate Throughout the entire government term, President López Obrador enjoyed significant stability in his popularity, according to the polling firm Mitofski. Based on those high levels of popularity, he managed to fully endorse his candidate, Sheinbaum, and his party, Morena.   Including Sheinbaum, only ten women have been heads of state in Latin America through the popular vote. Several of them have done so on the shoulders of prominent male figures who endorsed their votes. Today, Sheinbaum comes to power with the popularity of AMLO, just as happened before with Dilma Rousseff in Brazil, victorious with Lula's endorsement, or those who received the endorsement of their husbands, like Violeta Chamorro in Nicaragua, the Honduran Xiomara Zelaya, or the Argentinian Cristina Fernández de Kirchner. Sheinbaum’s campaign strategy unequivocally acknowledged that her formula was one of continuity with López Obrador. She reaffirmed this after the victory:    It will be from now on when we see how much Sheinbaum separates herself from those shoulders, or if her presidency will bear the stamp of AMLO's tutelage. Mexico excels in political equality but falls short in economic equality Despite being a country where machismo is caricatured as part of Mexican culture, and where one in every four Mexican men believes that being male guarantees better political performance, Mexico has positioned itself relatively well in terms of gender equality, ranking 33rd out of 146 countries evaluated according to the Global Gender Gap Report 2023 (GGG). Among countries in Latin America and the Caribbean, Mexico ranks sixth out of 22. Regarding access to education and health, it has virtually achieved gender parity since 2006. It is in the realm of political empowerment (the third of the sub-indices measured in the report's methodology) where the most progress towards gender equality has been made in the country. In 2023, Mexico ranked 15th out of 146 countries evaluated, representing a significant leap forward in recent years. There are parity laws in Congress with gender quotas implemented in 2014 that guarantee political participation and representation. The greatest challenge facing the new president Sheinbaum in this regard is gender equality in the economic sphere. According to the GGG, the country ranks among the lowest globally in this sub-index. While 76% of men participate in the workforce, only 44% of women do so. In terms of average income and wage equality, Mexico ranks among the worst positions. Two challenges for the new president: security and democratic quality But challenges exist in other areas as well. Far beyond the gender issue, Mexican democracy and governance are plagued by serious problems that Sheinbaum will have to address. The issue of security is grave. Violence ran rampant during the campaign, setting records. The pressure of social programs is also significant. Democratic quality, according to V-DEM data on the liberal democracy index in Mexico, reached its peak after the alternation in 2000, during Vicente Fox's government. However, since then, the indicator has been declining.   This indicator is based on Robert Dahl's concept of "polyarchy," which emphasizes the importance of protecting individual rights and those of minorities against the tyranny of the state and the tyranny of the majority. The liberal model takes a negative view of political power insofar as it values the quality of democracy more if there are limits and checks on the government. This is achieved through constitutionally protected civil liberties, a strong rule of law, an independent judiciary, and effective checks and balances that, together, limit the exercise of executive power. For this to be a measure of liberal democracy, the index also takes into account the level of electoral democracy. The Mexican election of 2000, which made Vicente Fox, the PAN candidate, president, can be considered a critical election as it ended 70 years of uninterrupted PRI governments. Fox won with a historically strong and well-institutionalized party, but his campaign platform included significant innovations in terms of volunteerism and mobilization that came from outside the party structure. The first PAN president was a businessman who had chaired the Latin American division of Coca-Cola. He brought different ideas about organization and marketing possibilities, both for the campaign and for the government. From there, healthy reforms were made in democratic and electoral institutions. However, the index has been declining during López Obrador's administration. Presidential efforts to make changes in electoral institutions have raised alarms. During his tenure, AMLO has questioned the independence of the National Electoral Institute (INE), he has announced plans to dismantle the INAI (official transparency body) before leaving the Presidency, and delegitimize judicial instances, acknowledging his direct influence over Supreme Court justices. One step away from the qualified majority and constitutional reforms The scope of Sheinbaum's victory, AMLO's, and, in general, Morena's is notable, not only in the presidential chapter. Perhaps more impact is what it implies at the parliamentary level. Pending the final scrutiny, the ruling alliance could have a qualified majority, both in the Chamber of Deputies and in the Senate, paving the way for constitutional changes. The necessary balances are at stake. The system of checks and balances in the parliament and in the states of the Republic has been greatly weakened, which identifies clear dangers for Mexican democracy. The relative stability of Mexican political parties during the 21st century contrasts with that of other Latin American countries. Unlike the rest of the countries in the region, where new parties have proliferated at a dizzying pace, only seven new parties have emerged in Mexico in these two decades, and three of them are linked to Andrés Manuel López Obrador's candidacy in 2018. Three periods after Fox's rise to power, AMLO's victory in 2018 showed, live and direct, the implosion of the Mexican party system. Weakness of opposition parties It is possible to foresee, given López Obrador's institutional behavior during his presidency, that the judiciary and electoral authority will continue to be under pressure, to levels hitherto unknown. Claudia Sheinbaum will need to quickly put an end to this if she wants to demonstrate a democratic attitude. The underlying problem in 2024 lies in the weakness of political parties to address these new times ahead. Electoral losers need a thorough analysis, with a good dose of self-criticism, and a solid strategy for the immediate future.

Energy & Economics
Chinese Yuan on the map of South America. Trade between China and Latin American countries, economy and investment

Ahead of the curve: Why the EU and US risk falling behind China in Latin America

by Ángel Melguizo , Margaret Myers

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском As Beijing’s investment approach to Latin America focuses on industries of strategic importance, the EU and US will need to contend with growing Chinese competition China is pouring less foreign direct investment (FDI) into Latin America. But while this may seem like a sign of Beijing’s disinterest in the region, data suggests that Chinese companies are simply recalibrating, not retreating. In doing so, they are becoming important players in sectors key to Western interests: critical minerals, fintech, electric vehicles, and green energy. While the European Union and the United States have long been top investors in Latin America, increased competition with Chinese investment now jeopardises their interests in the Latin American industries that will become most crucial to the digital and green transitions. The number of Chinese projects in Latin America grew by 33 per cent from 2018-2023, compared with the previous five-year period of 2013-2017, even as the total value declined. In other words, Chinese companies are making more investments in the region but are pursuing smaller-scale projects on average. These investments are also more focused on what China calls “new infrastructure“ (新基建), a term which encompasses telecommunications, fintech, renewable energy, and other innovation-related industries. In 2022, 60 per cent of China’s investments were in these frontier sectors, a key economic priority for the country. Beijing also views smaller projects in these industries as incurring less operational and reputational risk, especially compared to some of the large-scale infrastructure investment projects often associated with the Belt and Road initiative. Like China, the investment priorities of the G7 grouping – particularly the US and the EU – are centring on critical minerals, fintech, electric vehicles, and green energy as they aim to grow and reinforce existing economic and political partnerships in Latin America. However, both the US and the EU risk falling short of China’s investment strategy in the region. The US has signalled want for greater economic engagement with the region, especially in sectors of strategic interest. However, to date, US efforts to compete with China remain largely focused on building US domestic capacity in these strategic sectors, even as some US companies, such as Intel, are increasingly focused on including regional partners in their supply chains. Some see opportunity for Latin America in Joe Biden’s landmark legislation, the Inflation Reduction Act (IRA), which is aimed at incentivising the energy transition while also de-risking critical supply chains. For example, certain countries in the region may benefit from preferential market access for their lithium or other key inputs to new energy and technology supply chains. However, the reach of the IRA – which remains a largely domestic policy – does not stretch as far as China’s current investment reshuffle. The Americas Act, announced by members of Congress in March could generate promising new investment opportunities for the region, as it encourages US companies and others to move their operations out of China, to which Latin America stands as a promising replacement. But Americas Act reshoring would primarily incentivise textiles and potentially medical equipment manufacturing, with less overall focus on the range of “new infrastructure” industries that China is prioritising. Chinese interests in information and communication technologies reveal a similar story. While the US has focused its policy on 5G equipment sales, China is undertaking a process of vertical integration in Latin American tech sectors that will dramatically boost its competitiveness. For instance, Chinese company Huawei is rapidly expanding its focus to include data centres, cloud computing, cybersecurity, and other services, especially in Argentina, Brazil, Chile, Colombia, Mexico, and Peru. (Computing accounted for a sizable 41 per cent of total Chinese information technology investment in the region between 2018 and the first half of 2023.) At the same time, Global Gateway, the EU’s proposal for a global investment initiative is yet to reach its potential in the region. Brussels is looking to be Latin America’s partner of choice by building local capacity for making batteries and final products like electric vehicles, as European Commission president Ursula von der Leyen noted last year. Yet even as the EU signals renewed commitment, China is becoming increasingly dominant in the electric vehicle market in Latin America and other regions. China surpassed the US in electric vehicle sales in 2023, with Chinese companies accounting for 45 per cent of total global sales and three times that of Germany’s. What is more, China has invested $11 billion in lithium extraction in the region since 2018, as part of a bid to control a third of global lithium-mine production capacity. Meanwhile the EU has secured some access to lithium as part of trade deals with Chile, alongside other nations, but this pales in comparison to what will be required to fuel the future of EU battery production. Latin America as a whole accounts for an estimated 60 per cent of the world’s lithium reserves. Based on its current levels of engagement in the region, the EU risks falling short of lithium, stalling its battery production and subsequently, its electric vehicle sales, just as China advances in this field. The window is closing for the EU, the US, and other partners looking to both maintain market share and compete with China in these Latin American industries, despite still-high rates of US and EU investment in and trade with the region. Indeed, US automakers increasingly see Chinese competition across the globe as an “extinction-level event.” Ensuring competitiveness in “new infrastructure” and related sectors will require a continuous commitment by partners to building and supporting project pipelines, and to delivering products and services at price points that can compete with China’s subsidised offerings. Both the EU and the US remain critical economic partners for Latin America and are contributing in ways that China is not. Still, complacency risks allowing China to take the lead in emerging industries in the region, some of which weigh heavily in the EU’s green and digital transformation. To protect their own future industries, the EU and the US need to first take a longer look at Latin America’s – especially as China vies for a dominant position.

Diplomacy
Main img

Press statement on the occasion of the visit of French President Emmanuel Macron

by Luiz Inácio Lula da Silva

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском Press statement on the occasion of the visit of French President Emmanuel Macron Full statement to the press by the President of the Republic, Luiz Inácio Lula da Silva, following the visit of French President Emmanuel Macron in Brasília (DF), on March 28, 2024 It is a great joy to reciprocate the hospitality with which my delegation and I were received in Paris when I participated in the Summit for a 'New Global Financial Pact' last June. Over the past three days, we have carried out an extensive agenda that included stops in Belém, home to COP30; Itaguaí, where we have Prosub; and now Brasília, for a State visit. This true marathon gives a sense of the breadth of the cooperation and friendship ties between France and Brazil. Among traditional powers, none are closer to Brazil than France. And among emerging powers, you tell me if any are closer to France than Brazil. In today's highly complex international landscape, the dialogue between our nations serves as a vital bridge connecting the Global South to the developed world, fostering efforts to overcome structural inequalities and achieve a more sustainable planet. Brazil and France are committed to collaborating in advancing a shared global vision through democratic dialogue. A vision grounded in the priority of production over unproductive finance, solidarity over selfishness, democracy over totalitarianism, and sustainability over predatory exploitation. President Macron was able to personally witness that our commitment to the environment is not merely rhetorical. In the past year, we have reduced illegal deforestation in the Amazon by 50%, and we aim to eliminate it entirely by 2030. As a symbol of the revitalization of our partnership, today we embraced a New Action Plan, broadening our collaboration into new arenas. These include financing the ecological and energy transition, advancing in bioeconomy, agriculture, public administration, digital issues, artificial intelligence, and reinforcing human rights and gender equality on our bilateral agenda. This range of topics is reflected in the more than 20 agreements we celebrate today. We discussed the success of the Brazil-France Economic Forum, held yesterday in São Paulo, which had not convened presentially since 2019. We explored ways to expand and diversify trade, which reached 8.4 billion dollars last year and has the potential to grow even further. France is the third-largest investor in Brazil, with a strong presence in sectors such as hospitality, energy, defense, and high technology, which generate employment and income in our country. I presented to President Macron the new investment opportunities in infrastructure and sustainability facilitated by the Growth Acceleration Program (Programa de Aceleração do Crescimento - PAC) and the Neoindustrialization Program. I presented our commitment to combating inequalities as the cornerstone of Brazil's G20 Presidency. Within this context, we are launching a Global Alliance Against Hunger and Poverty. As we mark the 80th anniversary of the Bretton Woods institutions this year, President Macron and I concur on the imperative for the G20 to send a clear message advocating for global governance reform and the reinforcement of multilateralism. We also agree that it is time for the super-rich to pay their fair share of taxes, in line with the proposal for fair and progressive international taxation that Brazil advocates within the G20. As strategic partners, we exchanged views on the major dilemmas facing humanity. Across the globe, democracy is under the shadow of extremism. The denial of politics and the dissemination of "hate speech" are growing and concerning. For this reason, Brazil joined, in 2023, the French initiative Partnership for Information and Democracy and will continue to work to promote and protect the circulation of reliable information. It is time to promote a truly multilateral debate on the governance of artificial intelligence. It is unacceptable for a new divide to emerge, segregating wealthy nations, possessors of this technology, from developing countries where basic internet access remains precarious. I reiterated to President Macron Brazil's unwavering belief in dialogue and the defense of peace. My administration will continue working diligently to ensure that Latin America and the Caribbean remain a conflict-free zone, where dialogue and international law prevail. The Security Council's paralysis in response to the conflicts in Ukraine and Gaza is both alarming and inexplicable. The arguments questioning the obligation to comply with the recent ceasefire directive in Gaza during the month of Ramadan once again undermine the authority of the Council. Discussing a world governed by rules that are not collectively agreed upon signifies a regression of centuries, reverting back to the law of the jungle. Brazil categorically condemns all forms of anti-Semitism and Islamophobia. We cannot permit religious intolerance to gain ground among us. Jews, Muslims, and Christians have always lived in perfect harmony in Brazil, contributing to the construction of the modern nation we see today. Dear friend Macron, the Strategic Partnership with France embodies our joint endeavor to modernize and invigorate our economies, prioritizing sustainability and upholding human rights. I am convinced that, even after three intense days, there is still much work ahead of us. The future holds countless possibilities for our countries to cooperate, develop, and create together I look forward to seeing you again soon at the G20 Summit in Rio de Janeiro. Thank you very much.

Diplomacy
Ecuador - Mexico flags

Mexico-Ecuador: Coordinates of a diplomatic crisis foretold

by Rafael Velazquez Flores

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском President López Obrador's announcement of the rupture of diplomatic relations with Ecuador marks a turning point in Mexico's foreign policy. Since 1979, the country had not interrupted such a relationship with another nation. In recent years, breaking relations had not been a common practice by Mexico. In the 19th century, Benito Juárez suspended ties with countries that recognized Maximilian's Empire. In the 20th century, the government severed links with the Soviet Union in 1930 for promoting communist ideology; with Spain in 1936 during its Civil War; with the United Kingdom in 1938 after the oil expropriation; with Germany, Japan, and Italy in 1941 after the attack on Pearl Harbor; with Guatemala in 1958 after Guatemalan planes fired on Mexican vessels in the Pacific; in 1974 with Chile after the coup against Salvador Allende, and in 1979 with Nicaragua due to the Somoza dictatorship. But in the last 45 years, the country had not resorted to this practice. The recent announcement was somewhat surprising because Mexico is known for projecting friendly relations with Latin America and is recognized for its defense of peace. Additionally, President López Obrador had proposed to have friendly relations with Latin American countries and adhere to the principle of Non-Intervention. Prior to the rupture with Ecuador, Mexico had been involved in some diplomatic crises with certain Latin American countries. During Vicente Fox's presidency, Mexico expelled the Cuban ambassador in 2004, and later a similar incident occurred with Venezuela, but ties were not broken. In both cases, the level of interaction shifted from Ambassador to Chargé d'affaires. In the current administration, Bolivia and Peru had declared Mexican ambassadors ‘personas non gratas’ and they were recalled. Moreover, Peru announced the same status against President López Obrador. However, in both cases, there was no outright rupture of relations. On the other hand, Mexico has been a generous actor in granting diplomatic asylum to political refugees. For example, the country hosted Leon Trotsky in the 1930s and a significant number of Spaniards fleeing the civil war in that nation. In the 1960s and 1970s, Mexico received hundreds of asylum seekers from South America after military coups in those countries. Even López Obrador granted this status to Evo Morales and offered it to Pedro Castillo, former presidents of Bolivia and Peru respectively. Partly, the origin of the diplomatic crisis between Ecuador and Mexico stemmed from Mexico hosting Jorge Glas, former vice president of Ecuador, accused of corruption, since December 2023. Since the beginning of 2024, the Ecuadorian government requested Mexico to extradite Glas to serve his sentence as he had already been convicted. When the Mexican Ministry of Foreign Affairs refused and López Obrador criticized Ecuadorian President Daniel Noboa's government, the Ecuadorian Ministry of Foreign Affairs declared Mexican Ambassador Raquel Serur ‘persona non grata’. In response, the Mexican government granted political asylum to Jorge Glas. Fearing a possible escape, the Ecuadorian government decided to forcibly enter the Mexican embassy in Quito to arrest Glas. The incident constituted a flagrant violation of the Vienna Convention on Diplomatic Relations, which states in Article 22 that "the premises of the mission shall be inviolable. The agents of the receiving State may not enter them without the consent of the head of the mission." The incident set a negative precedent in inter-American interactions. In response to this action, President López Obrador decided to sever diplomatic relations with Ecuador. The measure represented a milestone in Mexico's foreign policy, but it was consistent with Ecuador's actions. Although Mexico had other options, severing diplomatic relations was the appropriate decision given the gravity of the situation. The possible alternatives the Ministry of Foreign Affairs (SRE) had—without the need to completely sever ties—were: 1) sending a protest note to the Ecuadorian government; 2) recalling the Ecuadorian ambassador to Mexico; 3) presenting the case to the Organization of American States (OAS); 4) suing Ecuador to the International Court of Justice (ICJ) of the UN; 5) breaking diplomatic relations but maintaining consular relations. The first option was too soft from a foreign policy standpoint and might have been ineffective. The second was feasible but not highly impactful. The third is appropriate because the OAS serves to resolve differences among its members. The fourth is the best alternative without the need to sever diplomatic relations. The fifth option could be feasible to avoid leaving the Mexican community in Ecuador unprotected and to not affect the economic and tourism relationship between the two countries. Specifically, a suitable decision was to combine some of the mentioned alternatives; for example: presenting the case to the OAS, suing Ecuador in the ICJ, and maintaining consular relations. However, severance was the decision made due to the gravity of the situation. But it's also important to consider the domestic context. In part, AMLO made that decision for domestic political reasons. Defending sovereignty strengthens his popular support base. His followers see him as the president who defends the nation's sovereignty. Additionally, the measure aids MORENA and Claudia Sheinbaum's electoral campaign by bolstering Mexico's position abroad and domestically. For example, there was broad consensus among the Mexican public. Even the opposition candidate, Xóchitl Gálvez, supported the decision. Moreover, the majority of Latin American nations condemned the act and showed solidarity with Mexico. The UN, OAS, and European Union also condemned the violation of international law. Additionally, the United States and Canada expressed displeasure with Ecuador's action. Not all public opinion supported López Obrador's decision. Some criticized Mexico for granting political asylum to a criminal. Similarly, there was an opinion that AMLO's statements – criticizing the Ecuadorian government – constituted a violation of the principle of Non-Intervention and were the cause of the diplomatic crisis between the two countries. In other words, from this perspective, Mexico also bore responsibility for the conflict escalating to the severance of diplomatic relations. Indeed, the Caracas Convention on Diplomatic Asylum of 1954 establishes that a government cannot grant political asylum to a person with a criminal conviction. However, the same instrument states that "it is up to the granting State to qualify the nature of the offense or the reasons for persecution." In other words, Mexico was applying this criterion and decided to grant asylum to Glas. Therefore, there is a divergence on this point. For Ecuador, Mexico could not grant asylum because Glas was a convicted criminal. However, for Mexico, Glas is a politically persecuted individual and, therefore, has the right to asylum. The most appropriate course would have been for Ecuador not to invade the embassy, not to grant Glas safe passage, and to present the case to the ICJ for this body to decide whether he was a criminal or a politically persecuted individual. What factors explain the escalation of the crisis between these two countries—the embassy assault and the rupture of relations? Understanding these decisions requires first knowing the context in Ecuador. Firstly, Daniel Noboa is a young president with little political experience. He is a right-wing businessman who came to power when the previous president established the "cross death," a mechanism that allows for the removal of the Ecuadorian president and the dissolution of the National Assembly. In this context, Noboa is filling the remainder of the former president's term and must leave office in 2025 to call for new elections. Additionally, in recent months, Ecuador experienced a period of intense insecurity when some inmates took over prisons and held the guards as hostages. Drug trafficking, linked to Mexican cartels, has increased in the country. Last year, a presidential candidate was even assassinated. Faced with this situation, President Noboa needed strong actions to consolidate his power and gain legitimacy. However, some groups within Ecuador have criticized the invasion of the Mexican embassy and are calling for his resignation due to his inability to govern. The opposition party criticizes the foreign minister for her lack of diplomatic experience and the minister in charge of the operation, who is of Mexican origin. Both the president and the foreign minister have justified the action based on the possibility of Glas's escape; the consideration that he was a convicted criminal and that the asylum request was illegal; and the defense of Ecuador's dignity. On the other hand, in Mexico, President López Obrador has developed an inconsistent foreign policy towards Latin America. If governments are aligned with his ideology, then there is an amicable treatment. But if they are opposed to his way of thinking, then he criticizes those governments, which constitutes a violation of the principle of Non-Intervention in the internal affairs of another country. In other words, the president applies principles in a discretionary manner. Furthermore, the president has appointed ambassadors in Latin America without diplomatic experience, which contributes to generating conflict in some cases. AMLO's often improvised statements do not contribute to maintaining stable relations with right-wing governments in Latin America. In this administration, three ambassadors were declared ‘personas non gratas’, which represents a failure in the foreign policy strategy. The consequences of the diplomatic relations rupture are broad and negative. For instance, nationals of each country will lack diplomatic protection. In the near future, obtaining visas for travel and trade between both countries may become difficult. Ecuador was exploring the possibility of joining the Pacific Alliance. With what happened, that option is now canceled. Therefore, strengthening Latin American integration may encounter obstacles. The embassy invasion and the diplomatic relations rupture can affect inter-American relations and generate polarization in the region. Cooperation for combating drug trafficking between Mexico and Ecuador may likely halt. Potential joint solutions to Latin American migration to the United States may face obstacles if the incident creates divisions. Ecuador's prestige in the region may be affected by the clear violation of international law. Perhaps not all countries will support Mexico, but they will defend the principle of embassy inviolability. In summary, both parties contributed to the escalation of the conflict. Both Ecuador and Mexico made wrong decisions. However, nothing justifies a country storming an embassy and violating one of the most respected principles of international law. Therefore, Mexico's decision to sever diplomatic relations with Ecuador is justified by the gravity of what happened.