Tag Archives: trade dispute

Five Stories You Might Have Missed

The Nobel Prize Committee sparked considerable debate on Friday when they named President Barack Obama the recipient of the 2009 Nobel Peace Prize. According to the committee, Obama received the award for “his extraordinary efforts to strengthen international diplomacy and co-operation between peoples,” citing in particular his effort to reach out to the Muslim world and his push for nuclear disarmament. FT blogger Gideon Rachman commented, “while it is OK to give school children prizes for “effort” – my kids get them all the time – I think international statesmen should probably be held to a higher standard.” Qari Mohammad Yousof Ahmadi, a senior spokesman for Afghanistan’s Taliban movement said of the award, “Obama should be awarded the war prize, rather than the peace prize.” Daniel Drezner said the decision “cheapens an already devalued prize.” At Foreign Policy, David Rothkopf decried the decision as “the most ludicrous choice in the history of an award that has a pretty dubious history… It’s as if a freshman tailback were handed the Heisman Trophy as he ran onto the playing field along with a hearty pat on the back and the explanation that he’d been selected to encourage him to have a great year to come.”

But most of the criticism of the award seems to be reserved for the Nobel Peace Prize Committee rather than for President Obama. Indeed, while calling the decision a “ludicrous choice,” Rothkoph also praised Obama’s speech regarding the award. He wrote,

Short of deferring his acceptance of the Nobel Prize, President Obama could not have struck a better tone in his remarks this morning accepting the award. From saying he did not deserve it to framing the award as a “call to action” to citing others who merited such an award, he was pitch-perfect. And in reciting some of his key goals — from the elimination of nuclear weapons to combating climate change to bringing a lasting peace between Israel and Palestine — he raised hope that the award might be even further motivation to advance to what are, as noted above, worthy objectives.

In news from outside the Nobel Prize awards:

1. The security situation in Pakistan appears to be in serious decline. Over the weekend, a group of militants stormed the headquarters of the Pakistani military in Rawalpindi, taking hostages and creating a standoff situation. The Pakistani military was able to retake the compound early Sunday, rescuing 42 hostages and killing most of the militants. On Friday, a car bomb exploded near a shopping mall in Peshawar, a city in the northern part of the country. The attack, described by Pakistani security officials as “one of the most daring attacks ever carried out by the Taliban,” killed 49 people and injuring nearly 100. The attack came just one day after a similar bombing outside the Indian embassy in Afghanistan, and may constitute part of a renewed offensive by Taliban elements operating along the Afghan-Pakistan border. Last week, the Pakistani government launched a renewed offensive against the Taliban in the Waziristan region of the country. But so far, the campaign has had few successes, and the increase in recent attacks, particularly the brazen attack against Pakistani military headquarters, cast doubt on the ability of the Pakistani military to effectively address the Taliban threat.

2. Despite reservations that the treaty would erode national sovereignty and transfer too much power to Germany, Lech Kaczynski, the President of Poland, signed the Lisbon Treaty on Saturday. Poland’s accession make the Czech Republic the lone European Union member that has not approved the Lisbon Treaty. Despite Czech resistance, the treaty appears to be headed for adoption and thus a radical restructuring of the European Union. The treaty would make EU decision making more efficient, streamlining the current voting system in the European Council and strengthening the role of the European Parliament.

3. A number of trade disputes intensified last week. On Thursday, the United States announced an investigation into Chinese steel pipes, the culmination of which could result in a 98.7 percent duty on steel pine imports from China. The announcement follows the imposition of a 35 percent duty on Chinese tire imports last month and a longstanding dispute over Chinese currency values.  Meanwhile, the United States filed a complaint against the European Union with the World Trade Organization on Thursday. The complaint alleges that EU restrictions on the importation of chicken meat washed with chlorine and other chemicals constitutes an unfair trade barrier. Canada last week filed a complaint with the WTO alleging US country-of-origin labeling requirements in cattle and hog exports also constitute an unfair trade barrier.

4. Intervention by Secretary of State Hillary Clinton was able to help overcome last minute setbacks to the Armenian-Turkish peace treaty on Saturday. The agreement, which must still be approved by both country’s parliaments, sets out a timeline to restore diplomatic relations and open the border between Amenia and Turkey. While the agreement was difficult to reach, both sides stand to gain. For Turkey, resolving the longstanding dispute could smooth its path to membership in the European Union and increase its influence in the Caucasus. Armenia could see its economy improve access to European Union market. Despite the potential benefits, the agreement could still be derailed due to longstanding tensions between the two countries, which date back to 1915 murder of up to 1.5 million Armenians by the Ottoman Empire, often referred to as the world’s first genocide.

5. On Tuesday, Idelphonse Nizeyimana, a key player in Rwanda’s 1994 genocide, was arrested in Uganda. Nizeyimana was responsible for the organization of the genocide in Butare, a southern province in Rwanda. The arrest was the second high profile detention in a month, following the arrest of Gregoire Ndahimana in the Democratic Republic of the Congo. But the arrests highlight tensions between Rwanda and the United Nations over the handling of charges related to the genocide, in which more than 800,000 ethnic Tutsis and politically moderate Hutus will killed. Both Nizeyimana and Ndahimana have been transferred to Tanzania to stand trial at the International Criminal Tribunal for Rwanda, despite efforts by the Rwandan government to have them tried by the Rwandan government in Kigali.

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Five Stories You Might Have Missed

It’s been a weekend of high-profile political resignations in the United States and China. On Sunday Morning, President Barack Obama’s top environmental policy adviser, Van Jones, reigned after it became public he had signed a petition alleging U.S. government involvement in the September 11th attacks. Jones had also been a key player in the Color of Change group, which has spent considerable money trying to influence the tenor of the health care debate in the United States. His resignation comes at a poor time for the administration, which is simultaneously trying to salvage passage of health insurance reform legislation in the U.S. Congress, address the ongoing economic downturn, and beginning to consider efforts to address climate change and green jobs, Jones’ area of expertise.

On Saturday, the Chinese government fired the top party official in Urumqi, where ethnic unrest has been raging between ethnic Uighurs and the majority Han. Li Zhi, the Chinese Community Party Secretary for the city of Urumqi, was replaced by Zhu Jailun, who had previously served as the head of the regional law-and-order committee. Li’s firing has also raised speculation that regional party boss, Wang Lequan, may also be forced from office. In firing Li, the Chinese government is hoping to quell unrest and prevent another outbreak of violence like that of July, when almost 200 people were killed in ethnic violence.

And on Friday, the head of Google’s China operations, Lee Kai-Fu, resigned. Lee was responsible for the launch of Google.cn, Google’s Chinese-language search engine. But Google’s operations in China have been marred by tensions with the Chinese government and debates over the degree to which the company should allow the Chinese government to censor search results. Lee’s resignation came amid a new round of tensions, with some inside Google arguing that the company should reconsider its efforts to break into the Chinese market.

In other news from the last week:

1. The G20 concluded two days of meetings in London on Saturday with a preliminary outline for tougher regulations on financial institutions. While the final statement stopped short of imposing limits on financial bonuses, it would increase the size of capital reserves and require the development of “living wills” for banks, and require that banks retain a portion of loans they sell as asset-backed securities. But the G20 avoided dealing with some of the most controversial elements of banking reform, choosing instead to forward those issues to the Financial Stability Board, an institution comprised of central bank governors and treasury secretaries from around the world. 

2. The situation in Afghanistan continues to be marred by uncertainty. On Friday, a NATO airstrike against two fuel tankers hijacked by the Taliban killed an estimated 90 people, nearly all of whom were civilians, according to local village elders. The airstrike provoked an angry response among Afghans, and represented yet another setback for the U.S. mission in Afghanistan. On Sunday it became apparent that the NATO airstrike was ordered by German commanders on the ground, a fact which will likely play an important role in upcoming German elections. The European Union issued a statement criticizing the airstrike on Saturday, one day before EU foreign ministers were scheduled to meet to consider efforts to improve stabilization efforts in Afghanistan.

Meanwhile, results from the Afghan election continue to trickle in. By Sunday, the Independent Electoral Commission had tabulated returns from just almost ¾ of country’s polling stations. So far, incumbent President Hamid Karzai leads his closest challenger, Abdullah Abdullah 48.6% to 31.7%. Under Afghan law, the winner must receive an absolute majority of votes cast, so if Karzai is unable to secure at least 50% of the vote, a runoff election would be held in October. But accusations of voting rigging continue to be raised, particularly by Abdullah, who contends that the vote was characterized by widespread fraud. The IEC announced that it had excluded an unknown number of votes from 447 polling stations in which suspicious returns had been found. But the scope of electoral fraud remains unknown.

3. The World Trade Organization issued its preliminary ruling in the U.S. dispute against EU assistance to aircraft manufacturer Airbus. Although the report is still confidential and the final report will not be issued for several months, the WTO panel found that some of the estimated €3 billion offered by the EU to Airbus was an unfair subsidy. Nevertheless, both sides are claiming victory. The WTO panel dismissed 70% of the U.S. claims against the EU and several of its member states, including France, Germany, Spain, and the United Kingdom, which the U.S. had claimed offered as much as $15 billion in illegal loans since the 1970s. Although the United States is celebrating the decision, the European Union is withholding its formal reaction until its case against U.S. subsidies to Boeing is resolved. In a case filed at the WTO several years ago, the European Union accused the United States of offering more than $27 billion in illegal assistance in the form of tax breaks, research contracts, and defense spending. A ruling on that case is expected within the next few months. 

4. Israeli Prime Minister Benjamin Netanyahu is moving forward with a plan to expand settlement activity in the West Bank, offering approval for the construction of hundreds of new homes. The United States government was quick to condemn the move, asserting, according to White House spokesperson Robert Gibbs, “The U.S. does not accept the legitimacy of continued settlement expansion and we urge that it stop.” Netanyahu is under pressure from rightwing member of his coalition to remove restrictions on new settlements in the West Bank. But the status of settlements in the West Bank remains a key stumbling block in negotiations between Israel and Palestine, and Israel’s decision to increase settlement activity will likely undermine hopes for progress in rekindling stalled peace talks when President Obama’s Middle East Envoy, George Mitchell, visits Israel next week.

5. Last week’s presidential elections in the West African state of Gabon sparked violence after the ruling party candidate, Ali Ben Bongo, claimed victory. Bongo’s father, Omar Bongo, had been Africa’s longest serving ruler, presiding over Gabon since 1967. Under his rule, Gabon’s oil and wood resources were used to expand his personal wealth.  At the time of his death, he was under investigation by the French government, which had identified 39 properties, 9 cars, and more than 70 bank accounts owned by the dictator in France alone. Sunday’s announcement that Ali Ben Bongo had won a plurality of the vote to win the presidency sparked unrest by the supporters of his two rivals, former interior minister Andre Mba Obame and opposition figure Pierre Mamboundou, each of whom received approximately 25 percent of the vote. Supporters of Obame and Mamboundou targeted the French embassy and facilities owned by foreign oil companies. But according to the French government, the election “took place in acceptable conditions.”