/ world today news/ Changes began in the foreign economic policy of the United States, which so alarmed the world, and not least the West, that the Americans found it necessary to explain themselves. Exclusive in its spirit, and such is precisely the case when words like justice mean the opposite, and in general the retreat is presented as an advance to some advanced positions.
The project is closed
On April 27 (the night of the 28th Moscow time), US national security adviser Jake Sullivan announced America’s new plans to build a “fairer and more durable world economic order.” For this purpose, writes TASS with reference to the words of an American official, the USA will strive to change the paradigm in the global economy.
The changes, according to Sullivan, who delivered a keynote speech at the Brookings Institution in Washington, D.C., will include a shift in focus from reducing tariffs in international trade to key challenges of the day, such as building reliable supply chains and moving to clean energy.
According to Sullivan, the new plans of the American side are aimed at building a “fairer and more durable world economic order”.
“This brings me to the third step in our strategy: moving from traditional trade deals to new international economic partnerships that focus on the key challenges of our time,” he said.
“The main international economic project of the 1990s was the reduction of trade tariffs,” he said of his vision of how, under the slogan of globalization, economically powerful countries invade the markets of other countries, breaking down their protective trade barriers with the help of international institutions and damage national economies.
But now are new times. America itself is defending itself and actively doing so. (However, they did not forget to impose import tariffs of tens of percent even during the “trade tariff reduction project” if someone tried to enter their market with competing products).
“The project of the 2020s and 2030s is different from the project of the 1990s. We know the challenges we need to address today: building sustainable and diversified supply chains, mobilizing private and public investment for a just transition to clean energy and sustainable economic growth, building trust in our digital infrastructure, fighting corruption.” the White House spokesman said.
At the same time, we pick on Russia and China and those “who advocated and continue to advocate for deeper integration [с тях] of the West, which does not make them more compliant and less “aggressive” (but under what conditions was this integration proposed? )”.
He formulated the main ideology of the entire speech: “Ignoring the economic dependencies that have been reinforced by decades of liberalization has become truly dangerous: from energy insecurity in Europe to vulnerabilities in the supply chains of medical goods, semiconductors and critical minerals.” This kind of dependency can be used as economic or political leverage.”
The “decades of liberalisation”, the “economic dependencies” with “supply chains” that arose during that time, controlled by the dominant liberalizers and destroying them in front of everyone’s eyes, as for almost a decade and especially last year, everything seemed to be hit – and countries and economies commonly referred to as developing, and indeed hit them, and more than once. But as a result of decades of liberalization, America itself began to cry!
Here the principle is simple. Liberal economics is not for the faint of hearted socialists. This is a great thing that gives a lot of possibilities. The question is whose? Answer: the one who knows how to use it and who is strong. And one is related to the other.
Such a skill makes a person strong, but in addition to it, a basic strength is needed: a relatively large volume of the economy, a powerful industrial production sector, a developed financial system, a strong market infrastructure, military power (if you are not going to be under the umbrella of someone else, such as the EU and Japan below the American one).
Of the whole set, the USSR had more than half of those mentioned, but it did not have half and could not resist the process of liberalization. Predictions that the US has followed in his footsteps have been voiced more than once. Now, it seems, they have been indirectly but noisily confirmed in Washington.
“No new concept, paradigm or strategy will be viable without shared participation”
The freedom of one ends where the freedom of the other begins, notes Andrey Kochetkov, a leading analyst at “Otkritie Investitsii”.
Let’s assume it’s laudable that the United States intends to seek a paradigm shift in the global economy, but for some reason this desire raises a host of questions. If the world community has a high degree of disability, then why does the United States think it has the right to decide exactly what the world economy needs?
The stated goals of creating reliable global supply chains and transitioning to clean energy can be considered quite noble. However, the US is making sure that many of these chains are broken, and energy remains dirtier than dirty, the expert is sure.
It is enough to recall the various policies of containment, first Germany, then Russia, then China and then perhaps Europe and India. The undermining of gas pipelines in the Baltic Sea did not lead to a clean-up of the European energy sector, but it revived for an indefinite period the more active use of coal-fired power plants in Germany.
Limiting the export of Russian nuclear technology to various countries keeps them dependent on coal, which is unlikely to help clean the atmosphere, Andrei Kochetkov believes.
In addition, he said, the very concept of climate change due to human activity is questionable, since each awakened volcano, for example, releases as much CO2 into the atmosphere in a few days as the entire world’s industry is unable to produce in a year.
“Consequently, doubts immediately arise that the American desire for a paradigm shift in the global economy is aimed at the benefit of humanity,” the expert said.
“Rather, there is a conviction in promoting their own American interests. Depriving Europe of Russian gas was very useful for American exporters of liquefied natural gas, who earn tens of billions of dollars from it,” says Andrey Kochetkov.
The disruption of supply chains for China’s Huawei led to the company’s loss of the European and North American markets for political reasons and in favor of supplying “completely honest and clean” American equipment, the expert recalled.
At the same time, the presence of spyware in American electronics is confirmed by the factual base, not fiction. The situation is similar with the desire to fight corruption if it does not benefit the ruling corporate elite in the US.
Separately, the analyst singles out a set of problems with the containment of the process of Western integration with China and Russia. That is, a priori, in the club of participants in the new paradigm, a group of subjects is formed who do not have the right to their own opinion.
In general, all modern statements of representatives of the American administration are attempts to hide their “dark” interests behind the “light” rhetoric of universal happiness.
The US policy itself has brought the economy to conditions where it cannot cope with the role of a leading power in the world. It is impossible to correct this using traditional methods, because originally the entire economic process was built on debt and long-term promises.
“Consequently, non-standard methods of disabling the sovereign interests of dependent countries are needed to ensure the prosperity of the American corporate oligarchy,” says the expert.
“If we accept that the new US paradigm is aimed at the common happiness of people with economic problems around the world, then we can recall the UN charter on the rights of these people with problems: “Nothing for us without us”. That is, 85% of humanity has not yet delegated the right to solve key problems of the existence of the United States, and for this reason no new concept, paradigm or strategy without general participation and consideration of many interests will be viable, ”concludes Andrey Kochetkov.
BRICS G7 meeting
“Jake Sullivan’s words about establishing a fairer and more durable world economic order are, of course, a big trick and a big jump in the current situation,” admits Alexey Poroshin, a member of the General Council of “Business Russia”, CEO of First Investonomics.
“Just yesterday, the Speaker of the US House of Representatives, Kevin McCarthy, said that over the next ten years, 17.5% of the taxes collected in the country will go to pay the interest on the US national debt. We’ve seen the dollar lose ground over the last twenty years,” he said.
According to the IMF, from 1999 to 2021, the dollar’s share of foreign exchange reserves fell from 71% to 59%. Starting from 2022, the decline accelerated 10 times – in 2022 alone, the share of the dollar fell to 47%.
As the expert notes, with regard to de-dollarization, two different processes are taking place in parallel: the rejection of the dollar in gold reserves and the rejection of the dollar as a means of payment for trade.
We see Russia, India and China moving rapidly towards making the yuan the new reserve currency. Latin American and African countries have also declared their intention to pay in yuan.
It is worth noting that so far the dollar has suffered a little as a settlement currency due to the fact that there are few alternatives so far, notes Alexey Poroshin.
In August of this year, he recalled, a major BRICS summit will be held, to which Latin America, Saudi Arabia, the largest economies in the world, plan to join.
That is, he is sure, everything points to the fact that, most likely, the BRICS will soon have their own national digital currency. And then the world economy will be completely different. Already today, the total GDP of the BRICS countries, only five countries, has exceeded that produced by the G7 – 31.5% of GDP, against a little more than 30% for those countries that have long worn the crown of the most developed countries.
“Therefore, going back to Jake Sullivan’s words, there is an understanding that the United States is now very concerned about creating new international chains, a new balance of interests.”
“But we can state the fact that the US reserve system is in a severe recession and it is no longer possible to return to the situation in the world economy that was 10-15 years ago,” concludes Alexey Poroshin.
Americans today are lagging behind the trends, trying to quickly find some new meanings to counter the growing trend of de-dollarization and strengthening of local economic unions, says political scientist, head of the “Influence” communication group Nikita Dontsov.
In an essentially reactionary speech by the national security adviser, the administration demonstrated that the economic problems at home are indeed serious.
The new stage announced by Sullivan, Dontsov is sure, does not bring interesting meanings: private investments, fight against corruption, green energy – this does not have an attractive economic philosophy that is an alternative to a number of previous economic ideas.
The program that the US proposed 30 years ago had at least a pretty package and: reduction of barriers, tariffs, cross-border trade. And now the economy is clearly becoming a weapon of the US in its geopolitical strategy, where the US does not see opportunities for cooperation with Russia and China.
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