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Defense & Security
United States Congress

The US Administration managed to avoid a shutdown several hours before the deadline, however the problem is not solved yet.

by Elina Kirichenko

In the United States, there is a complex process of annual budget adoption for the next fiscal year, which begins on October 1. Budget adoption proceeds according to a certain schedule. Ultimately, by September 30, The House of Representatives and the Senate must introduce 12 appropriations bills of the main government activities for the next fiscal year, and then the president must sign them. In case if all 12 appropriation bills are not passed, an almost complete suspension of the government institutions activities occurs (shutdown). In case if a part of the bills is passed, only those federal agencies that did not receive appropriations will be shut down. Shutdown means that government employees have to take forced leave without pay. Only those institutions that are of critical importance to national security continue to operate. For instance, employees who are responsible for the safety of the US’s nuclear arsenals and monitoring of hydroelectric power plants and energy lines continue to work in the Department of Energy. Also, active military personnel continue to perform their duties. Institutions with special self-financing funds (such as post office, customs) continue to operate in a certain mode. In addition to adoption of annual discretionary spending, the US also has mandatory spending for basic social and several critically needed areas of government activity. This financing is carried out from special off-budget funds and does not depend on annual approval by US Congress, in this way society is protected from the consequences of political struggle to some extent. Social security and healthcare programs, such as Social Security, Medicare and Medicaid, also continue to operate. The US Congress widely uses a tool called a continuing resolutions (CR) for a certain period in the amount that was included in the previous budget to avoid a shutdown. These resolutions become laws after they are signed by the President. Since this kind of resolutions extend appropriations from the previous fiscal year, it interferes with the activities of federal agencies because they have to freeze their spending levels, it also makes it difficult to plan future projects and creates risks for government contractors. A few comments on the history of the issue. Last time when Congress completed the budget approval process on time, before the start of the fiscal year, was in 1997. Since in 1976 Congress transitioned to the modern budget process, based on the 1974 Budget Act, there have been 20 "funding gaps," including cases when funding was not allocated even for a single day. The longest government shutdown in U.S. history lasted 35 days, from December 22, 2018, to January 25, 2019, during the Trump administration. On March 9, 2023, President Joe Biden submitted to Congress the budget proposal for fiscal year 2024, estimating expenses at $6,883 billion (25.3% of GDP) and a budget deficit at $1,846 billion (6.8% of GDP). This year, the budget process became more complicated because in June 2023, lawmakers passed the Fiscal Responsibility Act of 2023 (FRA) to avoid a technical default on the national debt. This law, by suspending the "debt ceiling," established caps on discretionary spending for fiscal years 2024 and 2025. When appropriations for fiscal year 2024 were being discussed in Congress, the provisions of the FRA sparked debates about spending levels. The White House requested an additional $20.6 billion for emergency aid to Ukraine and $12 billion for domestic disaster relief. In August 2023 Joe Biden's administration submitted to Congress a request for additional funding of $40 billion, which included $24 billion for military and humanitarian assistance to Ukraine and other international needs, and $12 billion for domestic disaster relief. The right-wing Republicans in the House of Representatives sought to secure budgetary powers for the administration well below FRA-agreed levels and to include new provisions on border security. The debates continued until Saturday, September 30, when the House of Representatives approved a temporary resolution (335 votes in favor, 91 against, including one Democrat), extending government funding until November 17. The resolution includes disaster relief (a concession to the Democrats) but does not include additional funding for Ukraine (a concession to the Conservatives). The Senate approved the bill on Saturday evening (88 in favor, 9 against). The bill passed through both chambers in just 12 hours, setting a speed record. Joe Biden signed it before midnight, preventing a government shutdown. "It's a total rollercoaster," - Guy Reschenthaler, the Deputy Chairman of the Republican Party in the House of Representatives, commented on the day's events. In the next month and a half, we can expect a new round of struggle over budget expenses. In particular, Senate leadership from both parties issued a joint statement committing to vote for continued funding for assistance to Ukraine in the "coming weeks." On October 3, the House of Representatives for the first time in history voted to remove Republican Kevin McCarthy from his position (initiated by the far-right Republican Matt Gaetz from Florida); members of his own party voted for his removal, accusing McCarthy of seeking support of Democrats to prevent a shutdown. According to official prognosis, the budget deficit is expected to grow relative to GDP. The increasing deficit will significantly increase the federal debt (which has already exceeded $33 trillion) over the next decade, and interest costs to service it will correspondingly increase. Interest payments will jump from $665 billion in 2023 to $1.393 trillion in 2033. The Biden administration and Congress are caught between Scylla and Charybdis: they need to address the problem of a massive budget deficit and national debt while continuing to make budgetary injections to support the economy, socio-economic and defense priorities. All this intensifies the struggle over budget expenditures. The threats of government shutdowns have become a bargaining chip in disputes over budget policy. The decision-making process in the US budgetary sphere is becoming increasingly politicized, undermining trust in the government and does not contribute to solving the problems really facing the country.

Defense & Security
Flags of North Korea and Russia

How North Korea Could Affect the War

by Can Kasapoğlu

As Kim Jong Un arrives in Russia for arms talks with Vladimir Putin, Hudson Institute Senior Fellow Can Kasapoglu offers a defense intelligence assessment of North Korea’s potential to affect Russia’s stumbling invasion campaign. Executive Summary Having failed to quickly conquer Ukraine, the Kremlin now pursues a war of attrition to wear down the will of Kyiv and NATO nations supporting the Ukrainian military. In this attritional fight, Russia enjoys a manpower advantage over Ukraine but faces setbacks in sustaining the necessary firepower. North Korea, which possesses an arsenal compatible with Soviet-Russian systems and the production capacity to augment it, could provide Moscow with the armaments it seeks. Pyongyang could also support Moscow in cyber warfare and training new recruits by dispatching its large special forces detachments. Russia and North Korea, along with Iran, represent an emerging axis that the West should take seriously as a global security threat. 1. North Korean Artillery Systems Could Replenish Moscow’s Stockpiles When it launched its invasion of Ukraine, Moscow anticipated a blitz intervention lasting a few weeks. Its military planners’ intelligence preparation of the battlefield (IPB) reflected this assessment. This is why Russian fighters were afforded generous provisions of artillery at the outset of the war. Available intelligence reports suggest that when the war began, each Russian battalion tactical group possessed up to two batteries of howitzers and a rocket battery. Subsequently, complete artillery brigades engaged Ukraine’s combat formations, unleashing overwhelming firepower at a high tempo to support the main axes of effort in a multifront war. At their heaviest, Russian artillery salvos regularly used 24,000 shells per day, and peaked on some days at 38,000 shells. As the campaign wore on and Russia’s initial intelligence estimates proved faulty, this rate dropped to 10,000 shells per day by the first quarter of 2023. At present, Russia’s artillery salvos utilize between 5,000 and 10,000 rounds daily. This change in fire patterns reflects Russia’s diminution of its own ammunition stockpiles. The Russian military used a total of 12 million artillery rounds in 2022. At its current rate of usage, it is on pace to use close to 7 million rounds in 2023. This means that the Russian military is using an average of 13,600 fewer shells per day this year than it used last year. This is troubling for Moscow since its defense industry can only produce 20,000 rounds per month of the Soviet-remnant 152mm-class weapons that dominate its artillery units. The overall artillery round production rate of the Russian industry falls somewhere between 2 million and 2.5 million shells per year. This is the void that Pyongyang could fill. Artillery and rockets are core assets of the Korean People’s Army (KPA). Open-source intelligence assessments estimate that the KPA operates some 14,000 to 20,000 artillery pieces of all kinds. At least 10,000 pieces of this stockpile are the 122mm-class rocket systems and 152mm-class artillery that are compatible with Russia’s heavily Soviet-era arsenal. Seventy percent of North Korea’s fire systems are forward deployed at high readiness, while some 4,000 are stored in underground networks. In any baseline wargaming scenario, KPA combat formations can volley up to 500,000 shells per hour at the outset of hostilities and sustain that operational tempo for several hours or opt for a prolonged conflict with a reduced artillery tempo of 10,000 shells per day. Worryingly, thirty percent of North Korea’s artillery and rocket deterrent is certified with chemical warfare agents, drawing upon up to 5,000 tons of Pyongyang’s stocks of chemical weapons. Initial assessments have suggested that the Kremlin is interested in North Korea’s 152mm-class artillery shells and its 122mm-class rockets, which the KPA uses as the mid-range artillery in the rear echelons of its combat formations. Pyongyang’s defense industries have been diligent in cloning artillery and rocket systems in these classes—with some added touches of their own. Their M-1974 Tokchon, for example, is simply the derivative of the Soviet 152mm-class D-20 howitzer and the ATS-59 tractor. The KPA operates thousands of 122mm-class MLRS and 152mm-class artillery, along with an enormous arsenal of ammunition certified for these weapons. Even more troublingly for Ukraine and its Western allies, North Korea could provide support to Russia that extends beyond 122mm- and 152mm-class solutions. The KPA’s longer-range fire-support systems—the 170mm Koksan self-propelled gun, with a range of some 60 kilometres, the M-1985/1991 truck-mounted 240mm-class rockets (which are highly mobile and destructive), and the 300mm-class heavy-rocket KN-09 (which has a range of 200 kilometres)—would be incredibly dangerous in Russian arsenals, especially when used in urban and semi-urban settings. Russia could seek to acquire these weapons systems. Should Kim Jong Un sign off on transferring some of these armaments to Moscow, it would not be his first rodeo. In December 2022, the White House revealed intelligence showing that Russia’s infamous Wagner network had received rockets from Pyongyang. 2. North Korean Tactical Ballistic Missiles Could Alter Battlefield Dynamics In a prolonged high-tempo conflict, Russia is running out of advanced tactical ballistic missiles. Its expenditure rate has long surpassed its production capacity of these key armaments. Here, too, North Korea could offer help to Moscow. Although it possesses fewer tactical ballistic missiles than artillery and rocket systems, the missiles it does possess could rain terror onto Ukraine’s population centers, even in small numbers. To grasp this issue, one needs to understand Russia’s missile warfare efforts in Ukraine. In January 2023, the Ukrainian Defense Ministry’s official tracking efforts determined that Russia had unleashed 750 SS-26 Iskander tactical ballistic missile salvos up to that point in the invasion. At that time, Ukrainian sources estimated that Russia had less than 120 Iskanders remaining in its stockpiles. Whether that figure was precise or exaggerated, Moscow, with a flagging production rate of only five Iskander tactical ballistic missiles per month, was quickly depleting its stocks of this vital weapon. Pyongyang could not supply the Russian military with thousands of ballistic missiles, as it could do with its stores of Soviet-compatible artillery and rockets. Nevertheless, transfers of a few hundred ballistic missiles remain within the realm of possibility. Short-range ballistic missiles (SRBMs) are the foundations of North Korea’s missile proliferation efforts. While Pyongyang has a large arsenal of liquid-propellant missiles possessing a Scud baseline, the Armed Forces of the Russian Federation prefer newer, solid-propellant missiles with better accuracy and shortened launch cycles, as these weapons stand a better chance against being hunted down by the Ukrainian military while causing more reliable damage. Unfortunately, Pyongyang also possesses stocks of these solid-fuelled, road-mobile tactical ballistic missiles. According to the US Defense Intelligence Agency, in one single military parade in October 2020, North Korea showcased 52 solid-propellant SRBMs on 6 different wheeled and tracked transporter erector launchers (TELs). In 2021, it was estimated that North Korea possesses some 600 solid-fuelled SRBM variants. Pyongyang’s next-generation tactical ballistic missile systems are menacing weapons. These assets feature a quasi-ballistic trajectory, improved accuracy (especially compared to other North Korean systems in the same range), and broad warhead configurations. All these features would support Russia’s missile warfare campaign. One of Pyongyang’s tactical ballistic missiles is the KN-23. The KN-23 is often portrayed as the North Korean version of the Russian SS-26 Iskander-M, as both projectiles follow a quasi-ballistic, depressed trajectory. The KN-23 is also capable of executing pull-up manoeuvres when homing in on a target. These features put extra stress on missile defense and make the KN-23 a hard-to-intercept threat. Moreover, in missile tests the KN-23 has demonstrated a range of 690 kilometres, with a flight apogee—the highest point in a rocket’s flight path—of 50 kilometres when carrying a lighter payload. It can also deliver a combat payload of one-half ton within a range of 450 kilometres. Should Russia acquire this weapon, it would bode ill for Ukraine’s air defense. Interestingly enough, the KN-23 was on display when Russia’s Minister of Defense Sergei Shoigu paid a recent visit to North Korea. The Russians may also show interest in the KN-24, another quasi-ballistic missile endowed with a powerful warhead. Some writings suggest that the KN-24 is modelled after the American ATACMS. North Korea test-launched the missile in 2019 with a depressed trajectory, showcasing a range of 400 kilometres and an apogee of 48 kilometres, and, in another test, a range of 230 kilometres with an apogee of 30 kilometres. In March 2020, Pyongyang conducted another launch, unleashing two KN-24 missiles that registered a maximum range of 410 kilometres and an apogee of 50 kilometres. The 2020 test reportedly featured missiles that could perform pull-up manoeuvres. Available evidence shows that both the KN-23 and the KN-24 likely deliver two main combat payload configurations—either a unitary warhead with one half ton of high explosives, or a submunition option packed with hundreds of charges. These warheads have a lethality radius of between 50 and 100 meters that expands against soft targets hit by submunition variants. In comparison with North Korea’s legacy, Scud-derivative tactical ballistic missiles, the KN-23 and KN-24 enjoy favourable circular error probable (CEP) rates, indicating that the newer missiles are more accurate weapons than their aged forebears. 3. North Korea Could Assist Russia in More Unconventional Ways While artillery and rockets seem the likely focus of any assistance Pyongyang could provide to Russia, North Korea could also affect the conflict in more unconventional ways. The first of these is cyber warfare. Pyongyang has gradually built a notorious cyber warfare deterrent. In 2016, North Korean agents hacked South Korean Cyber Command, contaminating its intranet with malware, and stealing confidential data. North Korea’s hackers also hacked the Bangladesh Central Bank in 2016, pulling off a notable heist. Alarmingly, the hackers even used the Society for Worldwide Interbank Financial Telecommunications (SWIFT) banking networks to do so. Pyongyang and Moscow had already established collaborative ties in cyberspace well before the invasion of Ukraine. The burgeoning security relationship between North Korea and Russia could push them to target the West in retaliation against sanctions. The second opportunity for unconventional cooperation between the two nations is in special forces and combat training. According to British Defense Intelligence, the Russian military is preparing to recruit 420,000 contract troops by the end of 2023. Understaffed and penurious non-commissioned officers’ corps with inadequate combat training have plagued the Russian military for decades. North Korea employs the largest special forces branch in the world, with some 200,000 servicemen. Thus, one cannot rule out the North Korean military dispatching training missions to help with Russia’s incoming waves of draftees. Plagued by skyrocketing armour losses in Ukraine, the Russian military has begun to put decades-old T-62 tanks onto the battlefield. To do so, Russia has pulled some 800 T-62s from Cold War–era storage and modernized them with 1PN96MT-02 thermal sights and reactive armour. While this upgrade package is less than glamorous, it is the only way to keep a museum piece in the fight. Herein lies another potential area for unconventional cooperation between Moscow and Pyongyang. North Korea has an arsenal of armour some 3,500 units strong, with large numbers of the T-62. Russia could seek to modernize North Korea’s T-62s to acceptable standards in an effort to buttress its own decrepit arsenal. 4. Battlefield Update Following the usual pattern of the conflict, the war zone has seen high-tempo clashes paradoxically married to a static battlefield geometry. There have been no major territorial changes over recent weeks. Marking a tactically important achievement, however, Ukraine’s counteroffensive has managed to incrementally widen and deepen the Robotyne bulge across Novopokrovka in the southwest and Verbove in the southeast. The Russian first lines of defense are stable and have continued to hold the line, stymieing Ukraine’s efforts to attain a breakthrough. Weapons systems assessments on several fronts in the south and northeast indicate that Ukraine is continuing to conduct first-person-view kamikaze drone strikes. Open-source defense intelligence suggests that the Ukrainian Armed Forces are cherry-picking advanced Russian assets, such as T-80BV main battle tanks and 240mm-class Tyulpan heavy mortars, to inflict maximum asymmetric destruction. Ukrainian special forces also conducted a raid in the Black Sea, recapturing the Boika Towers oil and gas drilling platforms situated between Snake Island and occupied Crimea. Regardless of whether the Ukrainian military can hold these facilities, its success in capturing them revealed major gaps in Russia’s real-time intelligence capabilities. Western military assistance programs for Ukraine have also begun to show some progress. The American military reportedly even asked for extra training sessions for the Ukrainian armour crews before combat deploying US-provided Abrams tanks, which Ukraine’s mechanized formations will probably start operating in a matter of weeks. It remains to be seen if they will be immediately sent to the front lines. Ukrainian combat pilots are also set to start their training on the F-16 aircraft, with optimistic and more conservative estimates of the training timeline for basic operational efficiency coming in at 3 months and 9 months. Notably, news stories now report the improving chances of ATACMS tactical ballistic missile transfers to Ukraine. Our previous writings have assessed how important it is for Ukraine to strike the Russian rear. The ATACMS could play a critical role in furthering this objective. In the northeast, the Russian military is conducting frontal assaults with no major progress in the direction of Kupiansk. US-transferred cluster munitions artillery shells reportedly made a difference in preventing Russian advances in this sector. On September 9 and 10, the Russian military unleashed a barrage of Iran-manufactured Shahed-131 and Shahed-136 loitering munitions to pound Kyiv. While Ukrainian air defense intercepted the bulk of these munitions, the volley marks the ability of the Russia-Iran axis to sustain large-scale drone salvos for over a year. Russia’s defense industries have made considerable progress in co-producing the Iranian Shahed-131 and Shahed-136 loitering munitions baselines at home, further enabling Moscow’s high-tempo drone warfare efforts.

Energy & Economics
LADA Sport factory , LADA Granta Drive Active 2

Driving Towards a Brighter Past? A ‘Brezhnevisation’ of Russia’s Internal Market

by Dr. Karel Svoboda , Dr. Giangiuseppe Pili , Jack Crawford

Despite the Kremlin’s rhetoric on Russia’s economic stability and good fortune since its 2022 invasion of Ukraine, several economic indicators belie this narrative and hint at potential domestic turmoil as the country’s economy falters. The legitimacy of President Vladimir Putin’s rule rests upon two pillars: economic wellbeing (the carrot) and political and civil repression (the stick). Putin and his regime consider themselves irreplaceable, boasting a narrative of internal stability contrasted against recent economic turmoil in the West. This propaganda extends to the Russian economy, as the government appears to prefer publishing numbers that it believes reflect favourably upon Russia while concealing more unsavoury statistics from the public. Ironically, however, even some data deemed palatable for publication hints at a difficult situation for Russia’s domestic economy. According to the statistics presented by the Russian authorities, Russia’s GDP only contracted by 1.9% in 2022, following an onslaught of Western sanctions and the war. Furthermore, Russia maintains a record-low unemployment rate of 3.2% as of May 2023, which is notably lower than the EU’s 5.9% and still better than the UK’s 4%. Russia’s 2023 inflation rate is 2.76%, below Western rates like the US’s 3.2%. These numbers, however, do not provide a comprehensive view of Russia’s economic situation. Russia's prioritisation of its wartime industries, rising emigration rates and over-employment all played a role in mitigating any sharp declines in GDP. Additionally, Russia’s economy relies on the sale of raw materials, particularly oil, to withstand sanctions on sophisticated goods. This keeps the country relatively insulated from economic restrictions imposed by its Western neighbours. Maintaining a perception of stability and wealth is crucial for Putin’s domestic legitimacy, and consumer goods are important for this purpose. Putin’s strategy is reminiscent of Leonid Brezhnev’s ‘social contract’, which relied on the relative welfare of citizens in exchange for their political apathy. Any weakening of this contract undermines the system’s ‘immunity’ and increases its vulnerability during a crisis. Parallel imports and the substitution of popular foreign brands with obscure Russian versions (for example, Vkusno i Tochka for McDonald’s and Stars Coffee for Starbucks) attempt to portray an unchanged society in which the ‘special operation’ in Ukraine has not adversely altered Russian life. However, trends in Russia’s automobile industry may disrupt this carefully constructed image. Grinding Gears The automobile industry plays a crucial role in Russia’s projection of a ‘business-as-usual’ economy. For years, Russia has presented its ‘import substitution’ programme as a series of successes towards achieving technological sovereignty. Therefore, when Western automobile manufacturers began pulling out of Russia, Russia attempted to fill the void with domestic replacements, with mixed results. Western automobiles have become scarce in Russian dealerships, which are mainly selling the remaining stock after the brands left Russia. Most Western automobiles now arrive in Russia through parallel imports via third countries. The reduction in the market is reflected not only in quantity but also quality. With limited competition in the market, products tend to be more expensive and lower quality. Producers become accustomed to the prevailing conditions and have less incentive to innovate. Additionally, shortages of spare parts lead to disruptions. For instance, the underwhelming Lada Granta Classic lacks crucial components found in modern automobiles, while the Lada Niva Legend has only very basic equipment. Both automobiles are already technologically outdated, yet they accounted for 35% of the Russian market in 2022. A particularly embarrassing incident occurred at the St Petersburg International Economic Forum when the premium Lada Aura failed to start during an exhibition – a reputational failure for an automobile costing well over RUB 2 million. Lower- and middle-class Russians have been particularly hit by the departure of Western auto manufacturers as the market becomes more exclusive. The average monthly salary in Russia reached almost RUB 73,000 in April 2023, putting most new automobiles outside the price range of an average-salaried citizen. The cheapest automobiles on the market, the Lada Granta and Lada Niva, now cost around RUB 700,000 and 821,000, respectively. The currency exchange rate for the Russian rouble may contribute to a further decline in the affordability of new automobiles, creating room for the growth of the second-hand market. However, with the rouble depreciating to RUB 91 per $1, imports of new automobiles are becoming more expensive. Turning East Nonetheless, Russia continues to search elsewhere for import opportunities. Despite announcements from Iranian and Indian producers about negotiations over automobile production in Russia, the only substitutes appear to have come from Chinese companies. As of July 2023, Chinese imports accounted for 49% of Russia's automobile market – a significant increase from June 2021’s 7% share. Additionally, Russian automobile brand officials tout cooperation with ‘Eastern partners’ when proclaiming the resilience of Russia’s domestic automobile industry in the face of Western sanctions, but these ‘Russian-produced cars’ are often heavily reliant on Chinese parts. Even Chinese producers and import substitution are as yet unable to fill the production gap left by Western companies shunning Russia. Before the invasion, new automobile sales reached approximately 1.66 million automobiles annually, but in 2022, new sales and production plummeted by 60% and 67%, respectively. These numbers still likely benefit from the fact that Western producers only began leaving Russia in 2022, and significant stocks of automobiles remained with dealers. In June 2023, Russia’s Ministry of Industry and Trade claimed that the Russian automobile market grew 6% from January to May 2023 compared to the same period in 2022. Nevertheless, this relative growth is primarily due to the low base of the previous year, when monthly production fell to 3,700 automobiles in May 2022. Stopping Short While parallel imports have partially lessened the supply–demand gap, they have not resolved all problems. As evidenced above, some recent figures suggest a partial market recovery, but growth is modest compared to low sales in 2022. Domestic Russian automobile production is anticipated to continue increasing, mainly through the assembly of Chinese automobiles. AvtoVAZ, part of the Rostec complex and a producer of Lada automobiles, intends to increase production to 400,000 automobiles in 2023. However, even if this plan is achieved, the production volume would still fall short of the necessary levels. Factories assembling Chinese automobiles will also increase production, with the Moskvich factory planning to produce 50,000 automobiles in 2023. While this surpasses previous production rates, it remains below the Renault factory’s production capacity of 190,000 automobiles annually. However, increasing the production of Russian-made automobiles will pose a challenge. Moscow is currently prioritising arms production within its manufacturing industry, and Russia may struggle to close the gap in the foreseeable future due to workforce issues. As a result, the delayed consumer demand will only continue to grow. Those who have refrained from purchasing a new automobile may continue to wait for now, but they will eventually demand new models. A Troubled Road Ahead Russia’s workforce is tied to the country’s economic structure; many entrepreneurial individuals have migrated in search of better opportunities in the West, and the remaining workforce is often specialised but has limited access to higher-paying employment opportunities. Russia’s internal market workforce is sufficient to meet military and economic needs, but there are no significant incentives for comparable development in manufacturing and services to that in the West. In the face of Western sanctions, Russia will continue trying to rely on countries hostile or indifferent to the preferences of Western countries. The economic situation in Russia, as reflected in the automobile market, is unlikely to directly threaten Putin’s regime. However, it does present a significant security concern. The automobile market in Russia is showing signs of a decline reminiscent of the Brezhnev era, characterised by technological backwardness and diminishing quality. Russian automobile producers lack the necessary technologies and expertise to manufacture their own vehicles; most new automobile models introduced recently are essentially Chinese automobiles assembled in Russia. As a result, Putin’s ambitions for ‘technological sovereignty’ are unlikely to be realised soon, and tensions may rise as consumer demand becomes impossible to meet. Domestic complacency with regard to Russia’s wanton belligerence in Ukraine, and indeed, towards Putin’s regime, may be in for a bumpy ride. The views expressed in this Commentary are the author’s, and do not represent those of World and New World Journal or any other institution.

Diplomacy
The Westland Lynx, British military helicopter with Royal Navy ship on the background

The UK’s new direction: Prioritising the Indo-Pacific

by Girish Luthra

The recent steps undertaken by the UK show the growing engagement with the Indo-Pacific and the clear intent to accelerate the same In March 2021, the United Kingdom (UK) released ‘The Integrated Review of Security, Defence, Development, and Foreign Policy’, outlining its vision, priorities, and strategies for ‘Global Britain in a Competitive Age.’ While it covered a broad range of areas aligned with its national objectives, two aspects stood out from a policy-reorientation perspective. One, a departure from its earlier approach of cordiality and accommodation with China; and two, its decision to deepen engagement with and play a more active role in the Indo-Pacific region. It included a separate section ‘The Indo-Pacific Tilt: A Framework’, which stressed that “we will be the European partner with the broadest and most integrated presence in the Indo-Pacific.” The ’tilt’ framework met with scepticism, in some cases with cynicism, because the UK had remained somewhat withdrawn, in general, and peripheral to the Indo-Pacific region, in particular, in the preceding few years. There were questions about the UK’s seriousness and headroom available for resource allocation to follow through with this new strategy. Notwithstanding, the UK government started to take new steps, as well as moving forward with some earlier initiatives related to the Indo-Pacific. The big announcement in September 2021 of AUKUS (Australia, the UK, and the US), an informal security alliance focused on the western Pacific, sent the clearest signal that the ‘tilt’ was more than just a strategy paper. It also indicated that the plans “… to enhance China facing capabilities to respond to systemic challenges it poses to our security, prosperity, and values…” would be realised through partnerships and alliances. The UK seeks to contribute to deterrence against China through the AUKUS, which has taken numerous steps in the last two years to expand defence collaboration in emerging technologies and industrial capabilities. The UK’s ‘tilt’ implementation challenges were compounded by the post-pandemic economic slowdown and the Russia-Ukraine war. At the same time, there were rapid changes in the global and regional strategic environment. For the UK, these implied the continued indispensability of the US, the criticality of the EU, and the importance of the Indo-Pacific. A revised strategy articulation was accordingly done through a comprehensive document titled ‘Integrated Review Refresh 2023: responding to a more contested and volatile world’, published in March 2023. It updated the broad strategic framework across geographies, sectors, and themes and was more explicit about the China challenge. With respect to the Indo-Pacific, it outlined the progress made since the announcement of the ‘tilt’ strategy. These included FTA agreements with Australia, Japan, the Republic of Korea, New Zealand, Singapore, and Vietnam. It highlighted deepening several bilateral relationships, partnership roadmaps with India and Indonesia, dialogue partner status with ASEAN, applying for joining the ASEAN regional forum and ADMM Plus, progressing negotiations to join the CP-TPP, deployments by the Royal Navy to the region, digital partnerships, and working together on green transitions. It pointed out that the Euro-Atlantic would continue to be the overriding priority, followed by the Indo-Pacific. Overall, the ‘Refresh’ document showed that the UK’s engagement with the Indo-Pacific was progressing well and that there was a clear intent to accelerate the same. The last two and a half years have firmly established the UK’s new direction, with emphasis on outcomes that are based on diplomatic and cooperative instruments. This trend is supported by a growing anti-China sentiment, increasing consensus for alignment with the Indo-Pacific framework, and a broader agreement on strengthening resilience against coercion and unforeseen events. A recent report by the UK House of Commons Foreign Affairs Committee, released on 30 August, has brought out a detailed assessment of the evolution and progress of the Indo-Pacific ‘tilt’ strategy. While recognising the steps taken towards implementation, it has made several recommendations. Some of these include a cross-government approach, focus on long-term objectives and outcomes, seeking to join the Quad, inviting Japan and the Republic of Korea to join AUKUS for ‘Strand-B’ activities of defence cooperation, pushing for Japan to eventually join AUKUS, campaigning to admit Taiwan to CP-TPP, dropping overcaution about offending the CCP over Taiwan, and releasing an unclassified version of its China strategy. This stems from a broad assessment that while Euro-Atlantic is the overriding priority, the long-term threat is from China. Another report on China by the Intelligence and Security Committee of the UK parliament, presented in July 2023, has highlighted that the Chinese approach to pursuing its global ambitions makes China a national security threat to the UK. The report covers diverse challenges emanating from espionage, interference, influence operations, and investments (the UK receives the highest FDI from China, compared to any other European country). It concludes that the response and preventive actions have been slow and inadequate, and recommends a proactive approach to counter China, with increased allocation of resources. These reports are indicative of increased political convergence on the need to take forward the plans for the Indo-Pacific and China with a sense of urgency. The coming months are likely to see increased momentum in the implementation of priorities indicated in the ‘Refresh’. In addition, delivering on the India-UK comprehensive strategic partnership and the 2030 Roadmap for India-UK future relations is being accorded high priority. It is important that this joint roadmap, the UK’s integrated review, and its plans for the Indo-Pacific are seen in sum and as mutually reinforcing. While attention is currently focused on the ongoing negotiations for the India-UK FTA—expected to come to fruition soon—it needs to be highlighted that there are many other important lines of action being pursued under the 2030 roadmap. The term ‘Tilt to the Indo-Pacific’ has also been a subject of debate since it was unveiled. To many, it seemed to suggest movement at the cost of some other important region. The ‘Refresh’ document refers to it but appears to somewhat deemphasise the term. The recent Foreign Affairs Committee report also recommends moving away from using it. While the use of ‘tilt’ in official language may fade away, the UK is likely to continue to lean heavily towards the Indo-Pacific. This priority can be expected to become more enduring, and increasingly credible in the coming years.

Diplomacy
President of Croatia Zoran Milanović giving speech

Address by the President of the Republic Zoran Milanović at the 78th Session of the United Nations General Assembly

by Zoran Milanović

Mr. Vice President, Excellences, Ladies and Gentlemen, It is my particular honour to address this august body. I would like to use this opportunity to congratulate you on being elected to your esteemed position and I wish you much success in your work during these challenging times. The world we live in today requires joint, global and concerted efforts as a key to success in addressing serious global crises. We strongly believe that we have to strengthen the multilateral system based on international law, and make sure it is effective and fair, able to endure and deliver results that will serve to achieve our common goals, commitments and a better future for the people and planet. We need to safeguard the role of the United Nations as the centre of global cooperation. We are also hopeful that genuine efforts will be invested in the reform of the Security Council, our main instrument for securing global peace and security. In 2015, we adopted the 2030 Agenda for Sustainable Development also on the basis of the consensus that to transform our world we need to realize that „sustainable development cannot be realized without peace and security; and the peace and security will be at risk without sustainable development.“ In 2023, at the mid-point in the implementation of the 2030 Agenda, the assessments of the Global Sustainable Development Progress Report show that the efforts to achieve that synergy so far have proved insufficient. Time to reinvigorate our political commitments to the full and efficient implementation of the 2030 Agenda and its Sustainable Development Goals is irreversibly running out. In the meantime, the necessary boost came with the UN Secretary-General`s vision offered in “Our Common Agenda” as an overarching roadmap in fighting the multiple crises. The Preparatory process for the next year’s Summit of the Future, along with its outcome the Pact for the Future, represents a unique opportunity to strengthen national and international governance and to make it more sustainable and resilient to future crises and shocks, safeguarding the planet for future generations. The international financial system is increasingly unable to adequately and efficiently respond to the challenges at hand. More needs to be done to update and upgrade the global financial infrastructure so it becomes more adapted to the needs of the world. Most notably, we need to scale up development and climate finance. In this sense, we support the efforts by the international financial institutions to review their structures and operating processes, with a view to reform in order to meet the challenges of the 21st century. Peace is not maintained by itself. Investment in conflict prevention is far more cost effective than investing in conflict resolution and recovery after the fact, post factum. This is why prevention of conflict and sustaining peace should be at the centre of the framework of the New Agenda for Peace, intertwined with a renewed commitment to multilateralism, global solidarity and trust. Croatia, as Chair of the UN Peacebuilding Commission (PBC) for 2023, strongly advocates its strengthening and enlarging of both its geographical and thematic scope. We support the Secretary General’s call for the universality of conflict prevention and sustaining peace, and the development of national conflict prevention strategies. The PBC could review these strategies, helping to mobilize resources for their implementation when needed. The PBC should also work more closely with international financial institutions and regional actors, forming the Sustainable Peace Network. In addition to its advisory powers, the PBC could also be vested with decision-making powers, enabling it to establish UN civilian missions upon the request of countries concerned, helping to address the root causes of instability. In this regard, the 2030 Agenda for Sustainable Development and its Sustainable Development Goals can be an excellent prevention tool by bringing prosperity and inclusion while leaving a safer place for future generations. According to the Sustainable Development Report 2023, Croatia’s performance in implementing the Sustainable Development Goals was assessed among top ranks. However, a lot of work is still in front of us. Croatia has a large natural heritage that it wants to preserve for future generations through the implementation of the SDGs. While accepting the clean energy transition, Croatia is taking a number of measures to alleviate the transition shock in the rejection of fossil fuels, and to ensure a fair transition and prevent energy poverty. With regard to biodiversity, Croatia is committed to work jointly for the development and full implementation of an ambitious and transformational Kunming-Montreal global biodiversity framework. Furthermore, we firmly believe that protecting, restoring and sustainably using biodiversity is essential for pandemic prevention and promotion of the “One Health Approach” which needs to be included in future prevention plans. We are also committed to working together to intensify cooperation in protecting the marine environment and combatting plastic pollution. If we want healthy oceans and seas, our ambition needs to be high and ocean protection stepped up significantly. Croatia welcomes the landmark adoption of the “Treaty of the High Seas” on ocean biodiversity (BBNJ). The successful negotiation of the BBNJ Agreement is the most recent proof of devoted multilateral work and presents not only a milestone in conserving marine biodiversity of nearly two-thirds of the world’s oceans, but also a triumph for multilateralism. Today, Croatia proudly joined the first tier of countries that have signed the Treaty, and commits to ratify it as soon as possible. We call on other countries to do so as well to enable its swift entering into force and to start its effective implementation. As a member State of the EU Croatia has already committed itself politically and legally to contribute in making Europe the first climate neutral continent by 2050. By further pursuing that course and by accelerating development of renewables and increasing green investments, we believe we can turn the current crisis into a new chance for our economies. Here I will mention as an example one such project that can boost new growth of the European economy based on decarbonisation and clean industry. It is the project “North Adriatic Hydrogen Valley,” which encompasses the Italian region of Friuli-Venezia Giulia, Slovenia and Croatia. By putting clean energy transition in the heart of the fight against climate change on the global level, we should not forget that the most vulnerable communities, which have historically contributed the least to climate change, are often the ones most and the worst affected – both by the climate conditions and by the costs of the green energy transition as a remedy. The establishment of a Loss and Damage Fund to help vulnerable countries cope with the destructive impacts of climate change at COP27 marked a historic breakthrough in this respect. How we go about this issue at the Climate Ambition Summit and COP28 will be a true test of trust and solidarity among nations and will impact current and future generations. Creating a world of peace and security that respects human rights and promotes social progress is the very foundation of the United Nations. The amount of human rights violations and humanitarian crises around the world demonstrates that more must be done in terms of atrocity prevention and the operationalization of the responsibility to protect. Croatia is honoured to contribute to this cause by serving as co-chair of the Group of Friends of R2P in New York along with Costa Rica and Botswana. The Croatian Government remains committed to determining the fate of 1806 persons that went missing during our Homeland War in the 90s. Based on such a tragic national experience, we continue to render our unwavering support to all efforts to provide answers to those still suffering the anguish of uncertainty, anywhere in the world. We remain committed to combating hate speech, advancing the rights of women and children, protecting minorities, and the abolition of the death penalty. Gender equality is a foundation of a peaceful, prosperous and sustainable world. In that vein, we highlight the importance of education and equal opportunities for girls and boys. We will continue advocating against discrimination and hate speech, including antisemitism. Croatia continues to attach utmost importance to its immediate neighbourhood in Southeast Europe. Issues of the past and war legacy, like resolving remaining cases of missing persons and engaging in meaningful cooperation in handling war crimes without discrimination and in line with international standards, access to archives, as well as other unresolved and highly sensitive issues must be fully tackled. We actively support the European perspective of our close neighbour Bosnia and Herzegovina and have warmly welcomed the recent EU decision on the granting to B-H the status of EU candidate country. We continue to advocate electoral reforms that would ensure legitimate representation of all constituent peoples, in particular Bosniaks, Croats and Serbs, at all levels of the Government, which is in our view essential for the future stability and prosperity of the country. We are very concerned about the latest developments in Kosovo–Serbia relations and would like to encourage measures for the de-escalation of tensions. Similarly, these two countries need to focus on the normalization of relations and deliver on their commitments and start implementing what was agreed on this year in Brussels and Ohrid. We continue to advocate universal recognition of the Republic of Kosovo and its right to existence as an equal member of the community of nations. It is in our interest to promote stability and further development of this region, as well as the process of European integration, which we believe remains crucial for the future prosperity of our neighbours, and which we are hopeful will be accelerated in the coming years. Thank you.

Defense & Security
Canadian Navy destroyer in Juan de Fuca Strait near British Columbia

Canada Intensifies Its Foreign Policy in the Indo-Pacific Region

by Maria Solyanova

Canada's military and defense policy in the Indo-Pacific region (IPR) is centered around three key objectives: promoting peace, security, and stability, including efforts to deter aggression, respond to crises, and enhance defense capabilities; maintaining trade, investment, and supply chain stability; and promoting diversity and inclusivity, financing educational, cultural, and tourism projects. To achieve these goals, Canada has taken a series of steps to increase its presence in the region, expand its participation in exercises with allies and partners, invest in military capabilities, including long-range maritime patrol aircraft and anti-submarine defense systems, and strengthen its intelligence and surveillance capabilities in the region. Enhancing the country's position in the IPR contributes to protecting national interests and increasing the ability to counter regional threats, particularly: - The growing military presence of China, which is rapidly modernizing its armed forces and increasing its influence. - The proliferation of non-state actors (terrorist groups, piracy). - Climate change, leading to rising sea levels and extreme weather events that threaten coastal communities and infrastructure. For example, a significant event in the country's foreign policy and an expression of its efforts to strengthen security in the Indo-Pacific region was the arrival of three Canadian naval vessels in Yokosuka, Japan, on August 28, 2023. These ships, part of Canada's Pacific Fleet, were the first Canadian military vessels to visit Japan since 2019. The visit occurred against the backdrop of increased tension due to China's growing military influence (e.g., military exercises) and North Korea's series of missile tests, including an intercontinental ballistic missile. The primary goal of the Canadian ships' visit to Japan was to participate in joint exercises with regional partners (the United States, Japan, South Korea, Australia, and New Zealand) aimed at strengthening military alliances, expanding security cooperation, and enhancing regional preparedness. Coordination among the armed forces of allies contributes to improved communication, mutual understanding, and operational compatibility when working collectively. It also allows for knowledge sharing and the development of common strategies to address regional security challenges. Firstly, Canada has traditionally focused its foreign policy on the Atlantic and the Arctic. However, this visit signals Canada's growing interest in the Indo-Pacific region, recognizing its strategic importance, and the country's intention to actively contribute to regional stability. Canadian foreign policy is based on the principles of multilateralism and cooperation. Canada prioritizes building partnership relationships, encouraging dialogue, and participating in regional initiatives. It actively engages in regional and international forums (ASEAN, East Asian Summit). Canada also follows the same multilateral principle in defense and security. Deploying naval forces in the IPR aligns with these principles. Secondly, by joining forces with allies and partners in Southeast Asia, such as Japan, Canada strengthens existing security alliances and signals its readiness to cooperate with like-minded countries to maintain regional peace. Simultaneously, Ottawa sends a clear message to China that it intends to develop military cooperation to deter aggression in the region. Furthermore, the Canadian government places increasing importance on developing bilateral relations, promoting trade and investment growth, strengthening security cooperation on issues such as counter-terrorism and maritime security. The presence of Canadian naval vessels will enhance operational compatibility and coordination between allied fleets, bolstering the defense network in the Indo-Pacific region and deterring China from aggressive actions. Canada's Indo-Pacific strategy, approved in 2022, highlights two key regional factors of instability that increase tension and international concerns. Firstly, it is Beijing's ambition to assert its maritime claims in the South China Sea, including the construction of military facilities on disputed land features. Secondly, it is North Korea's missile tests and the development of nuclear weapons. In response to these threats, Canada is taking steps to strengthen cooperation and partnership relations in the IPR. This includes enhancing military presence, conducting joint exercises (for example, the "Malabar 2023" military exercise in August), and participating in diplomatic dialogues. By deploying naval forces, Canada follows in the footsteps of its key allies - the United States, Australia, and Japan, which are also actively bolstering their presence in the region. By combining diplomatic and defense efforts, these countries aim to ensure freedom of navigation and adherence to international law principles. Thus, Canada demonstrates that the government closely monitors the situation and will make efforts to maintain a regional order based on international legal rules and norms. Its presence serves as a signal to China, North Korea, and other potentially destabilizing actors that Canada is committed to regional security principles and is ready to support its allies and partners in countering any potential threats. Ottawa is not only developing and strengthening ties with allies and other regional players but also emphasizes a proactive, consistent approach in implementing its policy in the IPR, a commitment to maintaining peace and stability. The expansion of Canada's naval presence should serve as a deterrent to potential threats, demonstrate solidarity with like-minded countries, and show regional powers that Canada is a reliable ally. The intensification of regional policy is, in part, related to Canada's desire to balance between China and the United States since tension in their relations continues and influences global processes. The Canadian government's policy in the Indo-Pacific region is based on carefully building relationships with both countries, aiming to maintain a balance while advancing its own interests. Cooperation in security and defense, participation in regional initiatives, military exercises, and dialogues aimed at addressing common security issues are significant components of Canada's Indo-Pacific policy, as the country intends to play a more active role in the region. However, the development of this policy will be influenced by the following factors in the medium and long term, which are important for the national interests of the country and its allies: ● Ensuring maritime security: The Indo-Pacific region hosts some of the busiest maritime routes in the world, which are crucial for global trade. Canada is likely to increase its deployment of ships and aircraft, as well as participate in joint exercises with allies and partners to secure these sea lanes. ● Deepening military and political cooperation with allies and partners: Canada is a member of the "Five Eyes" intelligence alliance and has close security ties with the United States, Japan, Australia, and India. These countries, sharing a common interest in maintaining peace and stability in the Indo-Pacific, will expand their cooperation with Canada through joint exercises, intelligence sharing, and participation in joint military operations. Canada's military and defense policy will largely be shaped by the opportunities presented by its allies and partners. ● Investment in military capabilities and increased defense spending to enhance capabilities to address challenges in the Indo-Pacific. The Indo-Pacific region is becoming increasingly unstable, with a growing risk of conflict. Canada will need to adapt its military policy to changing security conditions.

Diplomacy
Narendra Modi with Secretary Antony Blinken and Vice President Kamala Harris

India and Vietnam are partnering with the US to counter China − even as Biden claims that’s not his goal

by Leland Lazarus

This fall, Senate Majority Leader Chuck Schumer is slated to lead a bipartisan group of U.S. senators to China. The planned trip, like other recent visits to China by high-ranking U.S. officials, is aimed at improving the relationship between the U.S. and China. Such efforts to ameliorate U.S.-China diplomatic relations come amid growing tensions between the two economic giants. They also run parallel to U.S. efforts to strengthen ties with Indo-Pacific countries to limit Beijing’s influence. Take, for example, President Joe Biden’s September 2023 trips to India for the G20 summit and to Vietnam, where U.S. competition with China was a focus of Biden’s discussions. While he was in Asia, Biden made several agreements in science, technology and supply chain security designed to bolster U.S. relations with India and Vietnam. “I don’t want to contain China,” the president told reporters in Hanoi on Sept. 10, 2023, shortly after meeting with Vietnam’s communist party leader. U.S. Reps. Mike Gallagher and Raja Krishnamoorthi echoed similar sentiments during an event held by the Council on Foreign Relations think tank in New York City the following day. But even if the U.S.’s stated goal isn’t to limit China’s global influence, its recent agreements with India, Vietnam and other countries may do exactly that. What US-led G20 deals mean for China The U.S. is actively looking for ways to blunt one of China’s best tools of influence: international loans. During the G20 summit Sept. 9-10 in New Delhi, the U.S. pledged to help reform the World Bank and International Monetary Fund to make them more flexible in lending to developing countries to finance renewable energy, climate mitigation and critical infrastructure projects. Biden committed the first US$25 billion to make those reforms possible and secured additional financial pledges from other countries totaling $200 billion in new funding for developing countries over the next decade. The U.S. also signed onto a deal with the European Union, Saudi Arabia and India that will help connect the Middle East, Europe and Asia through rails and ports. Characterizing it as a “real big deal,” Biden said the rail and ports agreement would help stabilize and integrate the Middle East. These plans are aimed at providing an alternative to China’s Belt and Road Initiative. Commonly referred to as BRI, the initiative is China’s international infrastructure loan program. Over the past decade, Chinese government agencies, banks and businesses have loaned more than $1 trillion abroad, and 60% of the recipient countries are now in debt to these Chinese entities. The U.S. and other countries have long criticized BRI as “debt trap diplomacy.” One study suggests that the trillions of dollars in infrastructure loans to countries by the government and quasi-government bodies in China typically lead to debt problems that the borrowing countries can’t manage. As China grapples with a slowing domestic economy, it may become more difficult for Chinese entities to keep shelling out funding for big-ticket overseas projects. The new U.S.-led agreements that come out of the G20 could fill the coming gap. These G20 plans complement existing Western economic initiatives to compete with the BRI, including U.S. trade pacts for the Indo-Pacific region and the Americas, the EU’s Global Gateway and the G7’s Partnership for Global Infrastructure and Investment. What the US’s agreement with India means for China In their meeting on the sidelines of the G20, Biden and Indian Prime Minister Narendra Modi agreed to deepen collaboration on developing critical and emerging technology, such as quantum computing and space exploration, as well as 5G and 6G telecommunications. This will help India compete with China in the technological arena in the Indo-Pacific. The telecommunications portion of a joint statement by Biden and Modi specifically mentions the U.S.’s Rip and Replace program. It is about helping smaller telecommunications companies rip out technology from Chinese companies like Huawei or ZTE and replace them with network equipment from the West that will protect users’ data. The U.S. has banned Huawei and ZTE equipment from its telecommunication networks, deeming those companies national security risks. The U.S. and India’s pledge to support Rip and Replace is a direct counter to China’s telecommunication technology expansion. What the US’s agreement with Vietnam means for China In Vietnam, Biden elevated the bilateral relationship to a comprehensive strategic partnership, expanding the relationship in everything from economics to education to technology in a country that has long counted China as its top trading partner. The enhanced partnership includes the U.S. providing $2 million to fund teaching labs and training courses for semiconductor assembly, testing and packaging. One company in Arizona and two in California have already pledged to set up semiconductor factories and design centers in Vietnam, and the U.S. artificial intelligence company Nvidia will help Vietnam integrate AI into automotive and health care systems. All these investments will make Vietnam even more attractive to U.S. and Western companies that don’t want China to be the sole source of their supply chain. As Vietnam becomes a key player in the semiconductor market, it will shrink China’s share of the market as well as its regional technological advantage. The U.S. also agreed to provide nearly $9 million to help Vietnam patrol the waters around its borders and beef up port facility security, as well as boost efforts to fight illegal, unregulated and unreported fishing, or IUUF. While not explicitly mentioned, China is the target of this initiative; China and Vietnam continue to be at loggerheads over disputed claims over the Spratly Islands in the South China Sea, and Chinese industrial fishing vessels are the largest culprits of IUUF around the globe. By inking these agreements at the G20 in India and in Vietnam, the U.S. broadened its circle of allies and partners in the Indo-Pacific that can help counterbalance China. Along with similar diplomatic accomplishments by Vice President Kamala Harris at the recent ASEAN summit in Indonesia; security partnerships like AUKUS, between the U.S., Australia and the UK, and the Quad, between the U.S., India, Australia and Japan; increased military sales and training to Taiwan; and the recent Camp David meeting Biden held with Japan and South Korea, the U.S. is building partnerships all across Asia. These actions are aimed at restraining China’s political, economic and military might, even if U.S. leaders don’t explicitly say that is their intention. Regardless of rhetoric, actions speak louder than words.

Diplomacy
North Korean President Kim Jong-un with Vladimir Putin

Russia-North Korea talks

by Vladimir Putin

Vladimir Putin and Chairman of State Affairs of the Democratic People’s Republic of Korea Kim Jong-un held talks at the Vostochny Space Launch Centre. Following the talks with participation of the countries’ delegations, the two leaders held a one-on-one meeting. * * * President of Russia Vladimir Putin: Mr Chairman, I am delighted to see you again and to welcome you to Russia. This time we are meeting at the Vostochny Cosmodrome, just as we agreed. We are proud of the way this sector is developing in Russia, and this is our new facility. I hope that it will be of interest to you and your colleagues. However, our meeting is taking place at a special time. The People’s Democratic Republic of Korea has recently celebrated the 75th anniversary of its founding, and we established diplomatic relations 75 years ago. I would like to remind you that our country was the first to recognise the sovereignty and independence of the Democratic People’s Republic of Korea. This year we mark 70 years since the end of the war for independence and the Korean people’s victory in that war. It is a landmark date because our country also helped our friends in the Democratic People’s Republic of Korea to fight for their independence. Of course, we need to talk about our economic cooperation, humanitarian issues and the situation in the region. There are many issues we will discuss. I would like to say that I am glad to see you. Thank for accepting our invitation to come to Russia. Welcome. Chairman of State Affairs of the Democratic People's Republic of Korea Kim Jong-un (retranslated): I express my gratitude to you for inviting us despite your being busy with state affairs. Our visit to Russia is taking place at a very important time. The Russian side is giving a warm welcome to the delegation from the Democratic People's Republic of Korea. From the moment we arrived in Russia, we could feel the sincerity of our Russian friends. On behalf of the Democratic People's Republic of Korea, I express my gratitude to you and to the people of the Russian Federation. I also thank you for paying so much attention to our visit to Russia. We have been able to see with our own eyes the present and the future of Russia as it builds itself as a space power. Right now, we are having a meeting at a very special moment, right in the heart of the space power which is Russia. As you mentioned, the Soviet Union played a major role in liberating our country and helping it become an independent state, and our friendship has deep roots. Currently, our relations with the Russian Federation are the top priority for our country. I am confident that our meeting will serve as another step in elevating our relations to a new level. As you have just mentioned, we have many issues pertaining to the development of our relations, including politics, the economy and culture, in order to contribute to the improvement of the well-being of our peoples. Russia is currently engaged in a sacred battle to defend its state sovereignty and security in the face of the hegemonic forces that oppose Russia. We are willing to continue to develop our relations. We have always supported and will continue to support every decision made by President Putin, as well as the decisions of the Russian Government. I also hope that we will always stand together in fighting imperialism and building a sovereign state. Once again, I express my gratitude to you for providing us with the opportunity to visit Russia and for paying so much attention to our visit. Vladimir Putin: Thank you. <…>

Defense & Security
Belarus President Alexander Lukashenko, Russia's President Vladimir Putin

Vladimir Putin and Alexander Lukashenko answered media questions

by Vladimir Putin

Following the Russian-Belarusian talks, the two leaders answered questions from the media. Question: Mr Putin, a couple of questions? President of Russia Vladimir Putin: Please, go ahead. Question: Your comment and the one by the Vice-President of Laos [Pany Yathotou], which you made at the EEF plenary session, on the use of cluster munitions, is being widely discussed. The United States is now supplying such munitions to Ukraine. What is the latest information on the use of these weapons in the special military operation zone? Vladimir Putin: They are being used in the broadest possible way. But I have already commented on this, I have nothing to add. The only thing worth mentioning, perhaps, is that this situation, like a drop of water, reflects what is happening in the world as a whole. What I mean by that is that there is one country that thinks it is exceptional, and that country is the United States. That country even thinks it is allowed to do what it considers a crime – it is the United States that uses cluster munitions, using the Ukrainian army in this case. I mean the country considers this a crime, but does it nonetheless, and this is the main problem of today's international relations. This is the reason why the overwhelming majority of participants in international communication have joined us in fighting to create a multipolar world, since no one sees this situation as acceptable. I said almost because even those countries that appear to be allies of the United States, I can assure you, they do not like this situation either, where they are reduced to the role of extras. So yes, unfortunately, they are using them, they call it a crime and are still doing it. Question: If I may, one more question. A broad discussion arose – again at the Eastern Economic Forum – over the possibility of peace talks between Russia and Ukraine and [US Secretary of State Antony] Blinken’s statement that “it takes two to tango” about Russia and Ukraine. How do you assess the prospects for talks? Vladimir Putin: As for the Americans, they do not even know how to tango, they have a tendency to – for all the wonderful, amazing music, and beautiful movements – the United States is trying to approach everything from a position of force: through economic sanctions, or financial restrictions, or threats to use military force, and actually using it. They are lecturing others even though they have no idea how to do it and do not want to. Most likely, they just do not want to. This is the first point. Second, I already said that we have never refused to hold talks. So, please, if the other party wants them, they should say so directly. I am speaking about it but the other side keeps silent. Finally, tango is good, of course… I think Ukraine should not forget about its gopak dance. It is important, otherwise they will keep dancing to someone else’s tune. And by the way, everyone will have to perform the barynya dance or, in the best-case scenario, the kazachok. Alexander Lukashenko: They sort of started dancing and held three rounds of talks in Belarus, then in Istanbul, and then [US Secretary of State Antony] Blinken and [US Secretary of Defence Lloyd] Austin told Zelensky… Vladimir Putin: Gave a command, and that was it. Alexander Lukashenko: Gave a command and he prohibited them to hold talks. The facts are on the table, they are obvious. So, they should not blame anyone. Vladimir Putin: He signed a decree prohibiting talks. Alexander Lukashenko: Exactly, they forbade themselves. Question: The last question relates to Kim Jong-un’s visit. Many in the West believe that the visit will aggravate tensions in the region. They say that Russia all but asked North Korea to send volunteers to take part in the special military operation. What can you say on this matter? Vladimir Putin: I can say that this is complete nonsense. A couple of days ago, I said that 270,000 of our men, our warriors signed contracts with the Russian Armed Forces. But it was old information. This morning it was reported to me that there were 300,000 contracts signed by people who – I want to emphasise this – are ready to sacrifice their lives for the interests of our Motherland, to protect Russia’s interests. Yes, we pay them some money, which is much, much more than the average monthly salary in the country. But can money compensate for a death or a severe injury? Of course not. So first of all, our men who sign these contracts are guided by the most noble patriotic sentiments. It commands respect. This is the first thing. Second, about some kind of provocations, escalations, and creating a threat to anyone. We do not threaten anyone. The largest threats in the world today are created by today’s ruling elites. They themselves say this. Several years ago, a former [US] Defence Secretary Mr [Robert] Gates, I think, said the greatest threat to the United States came from the territory where the Capitol or the White House is located. They talk about it themselves, while looking for a threat outside. Therefore, I want to stress once again that this is complete nonsense: Korea is our neighbour, and we must build good neighbourly relations with our neighbours one way or another. Yes, there are certain specifics associated with the Korean Peninsula. We discuss this openly; we never violate anything; and in this case we are not going to violate anything. But, of course, we will look for opportunities to develop Russian-North Korean relations. Alexander Lukashenko: Mr Putin, the Westerners have to count first how many of their mercenaries they have sent there, and how many are fighting there. There are dark-skinned, Asian, and white Americans, all of whom are fighting on the side of the Ukrainians. Why blame Russia for inviting someone there? So maybe that is why they need to do it. Secondly, this is a dangerous statement on their part, because they dream about seeing their regular military units there, already lined up near the border in Poland. You have also talked about this. Military units have been formed and are ready to enter Ukraine. You need to look at yourself first and not reproach others. Vladimir Putin: I absolutely agree. By the way, we have detected foreign mercenaries and instructors both on the battlefield and in the units where training is carried out. I think yesterday or the day before yesterday someone was captured again. We do not need to invite people from outside for combat operations. Moreover, I want to emphasise this again, 300,000 people signed contracts and came as volunteers. And moreover: the units that are now being formed are equipped with advanced types of weapons and equipment, and some of them are already 85–90 percent equipped. <…>

Diplomacy
Minister of Foreign Affairs of Denmark Lars Løkke Rasmussen

Speech of Danish Foreign Minister Lars Løkke Rasmussen - We will pursue a clear-sighted and realistic China policy

by Lars Løkke Rasmussen

This week I travel to China for the first time as Danish foreign minister. I was there at the end of 2017. At that time, I was prime minister and Xi Jinping had been president for four years. It was clear that there were major political changes underway in China - but also that there was still a desire for engagement and cooperation with the outside world. Here, six years later, the picture is different. China continues to pursue its interests in the world. But now with greater assertiveness and more muscle, and China is trying more directly to change the world order as we know it to China's own advantage. And they go to great lengths to protect their political system from outside influence. We in the West are therefore forced to relate to China in a different way.   And that is exactly why I look forward to setting foot on Chinese soil again. Because even if we disagree politically on a number of things, not least in terms of values, China cannot be avoided. Neither economically nor politically. China is the world's largest economy when adjusted for purchasing power. China's GDP is on par with Europe's combined. China is now and in the coming years indispensable for the value chains of our business life. We also need China to solve the climate crisis. The country accounts for 30% of global emissions of greenhouse gases. Without China, we simply cannot achieve our climate ambitions. Just like China, it is a producer of many – indeed too many – of the technologies and raw materials that form a central part of our own green transition.  Over the past many years, we in the West have become too dependent on China in several critical areas. There is no doubt about that. We have been somewhat naive for a long time. But we cannot react by decoupling ourselves from China now. It is simply not possible. We must be pragmatic idealists, as I call it, and pursue a committed, clear-sighted, and realistic China policy.  This means, first of all, that we must free ourselves from critical dependencies. We must minimize our risk and become more resilient. In plain Danish, we in Denmark and Europe must be able to stand on our own two feet to a greater extent. The time when we perceived the whole world as one big factory is over. We must look after our supply chains at the seams. This applies to energy, critical raw materials, and technology. And then Denmark and the EU must pursue a more robust and strategic trade and industrial policy.  Denmark, the EU, and our allies have significantly tightened their approach to China in recent years. It is wise and necessary. We must continue to address the challenges with China when it comes to interests, values and security with our partners and allies. The latter is important because Denmark cannot cope with Chinese power on its own. No European country can do that alone; for that, the size ratio is too unequal. Therefore, it is alpha and omega that we stand together in the EU on our approach to China in close dialogue with the USA and our allies in NATO.  At the same time, pragmatic idealism means that we must not overrule. Driving from one ditch to another doesn't help. Europe must not become generally protectionist and we must cooperate with China on our common interests.  My trip to Beijing and Shanghai has three purposes. Firstly, to agree a new Danish-Chinese work programme. Secondly, to open doors for Danish business so that they can deliver the green solutions the Chinese demand. And thirdly, to have an honest conversation with the Chinese government about our bilateral relations, about developments in the world and the things we see differently.  There are many issues to discuss with China. Over the past 10 years, China has increased political control over its own population and suppression of fundamental freedoms. In Hong Kong, democracy and freedom of assembly and speech no longer exist. Uighurs are oppressed in Xinjiang. And in Tibet, a slow erosion of ethnic Tibetan culture and identity has long been underway.  There is also the conflict over Taiwan. Half of all the world's containers are sailed through the Taiwan Strait, so the relationship across the strait has consequences for the whole world. Also, for the EU and Denmark. We emphasize that the conflict is resolved peacefully without violence, threats, or coercion. Like the USA and most other countries, Denmark pursues a one-China policy. This does not change the fact that we have strong economic and cultural ties to Taiwan. And many Danes have – like me – sympathy for the democratic governance reform that has been chosen in Taiwan.  In light of Russia's aggression against Ukraine, it is also clear that China's close partnership with Russia is worrying. China has neither condemned the invasion nor demanded that Ukraine's full territorial integrity be restored, just as China is helping to spread Russian disinformation. In return, China has emphasized that it will not support Russia's aggression militarily. It is an important commitment and signal, and we must take them at their word. As a permanent member of the UN Security Council, China has a special responsibility to engage actively in the peace dialogue to end the war in Ukraine.  We look at many things differently. When it comes to human rights, we must continue to hold China to international obligations. At the same time, the trade and climate conditions are such that we have to cooperate in those areas.  Our current work program with China expired in 2020, so it is long overdue for renewal. Several have argued that Denmark should end the cooperation. I don't think that would be in Denmark's interest. At the same time, it would be a significant and wrong political signal not to renew it at all. But we have known for a long time that the program should look different. It used to be quite broad – even too broad, in retrospect. The new program must be more focused. We will cooperate with China on climate, green energy, environment, sustainable food production, green shipping, and health. For example, we can help China reduce its greenhouse gas emissions. It is good for both the climate and for Danish exports.  It is important for us to focus the cooperation on the green areas in particular. If we only want to cooperate and talk with those we completely agree with, then I wouldn't have many places to go as Secretary of State. And that would not be good for either the economy or the climate. And not good for the overall political situation either.  China is constantly seeking cooperation with countries around the world. They have global ambitions. They are not only asserting their influence in Asia, but also in Africa and Latin America. They offer themselves as partners in very specific ways without demands for democracy and human rights. Construction of highways and railways. Expansions of airports. Mining. China has invested billions of dollars in major construction projects across the African continent and created a huge debt burden. That kind of counts. Also, when it comes to votes in the UN.  We in the West have to deal with that. Considered and strategic. We must strengthen existing partnerships and build new alliances based on equality and respect. We need to think more about building relationships. Education. Research. Exchange. We must also be present out there – in Africa, Asia, and Latin America – with offers for concrete collaborations. And get off the moral high horse a little.  China's changed face could perhaps be glimpsed in 2017, when I was in China last. Now the challenge is clear to everyone. We must be critical of a number of China's global ambitions and their political system at the same time as we cooperate on trade and climate. This requires a committed, clear-sighted, and realistic China policy.