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ARTICLES OF THE DAY

December 03, 2021

P. MICHAEL MCKINLEY, FOREIGN AFFAIRS ....................................................................................................... 2

NICCOLO W. BONIFAI, IRFAN NOORUDDIN, AND NITA RUDRA, FOREIGN AFFAIRS .......................................... 5

SHANNON TIEZZI, THE DIPLOMAT .................................................................................................................... 9

JENNIFER HILLMAN, CFR ................................................................................................................................ 11

RAMSHA NOSHAB, DAILY TIMES .................................................................................................................... 13

MODERN SLAVERY IN GLOBAL SUPPLY CHAINS, EXPRESS TRIBUNE ............................................................... 15

TOM FOWDY, RUSSIA TODAY ........................................................................................................................ 17

BRADLEY BLANKENSHIP, RUSSIA TODAY ........................................................................................................ 19


Afghanistan’s Looming Catastrophe

P. Michael McKinley, Foreign Affairs

I
n December 1, a United have shown little sign of spending. Yet even with this
Nations official said that changing their behavior. support, per capita income
Afghanistan may be remained one of the very
Confronted with this impasse,
facing the most rapid lowest in the world, declining
Western governments and
economic collapse in modern from $642 in 2012 to $509 in
international organizations are
history. Since the Taliban 2020. Then, large parts of the
being forced to reconsider
takeover in late August, country were stricken by one
how they can deliver
government revenues have all of the worst droughts in years
assistance more effectively.
but disappeared and the as well as deteriorating
Doing so requires broadening
country’s cash-based security, and, by mid-2021,
the definition of basic
economy has shrunk at almost half the population, or
humanitarian activities that
dizzying rates. The World 18.4 million people, required
are permitted under the
Food Program estimates that humanitarian assistance. The
sanctions regime and
up to 23 million Afghans— UNDP is now estimating
addressing the all-consuming
more than half the annual per capita income
question of cash liquidity for
population—may not have could drop further to a
emergency operations. The
enough to eat by the end of the disastrous $350 by next year,
time for decision is now: the
year. Public-sector workers which would place
window is closing for millions
have not been paid in months, Afghanistan at or near the
of Afghans as the
and three million children bottom of the World Bank
humanitarian emergency on
under the age of five face low-income country rankings.
the ground intensifies by the
acute malnutrition, an almost
day. A DIFFERENT KIND In the three months since the
unfathomable number. As
OF CRISISIn contrast to the Taliban took power, these
winter begins, Afghanistan is
Taliban takeover, problems have dramatically
on the brink of a humanitarian
Afghanistan’s humanitarian escalated. Millions more now
catastrophe.
situation has unfolded with far require humanitarian
The challenge is providing less media attention, in part assistance. And with
relief on the necessary scale to because there are not millions international aid flows cut off
meet the unprecedented needs of refugees fleeing across the and the banking system
of the Afghan people. The country’s borders; there is no largely frozen, the
United States and its allies raging civil war; the country International Monetary Fund
rightly seek to deny the on the surface appears to be estimates that the economy
Taliban government any relatively peaceful; and some will shrink by as much as 30
legitimacy or funding until it members of the former percent by the end of the year.
provides guarantees for the political elite are still inside The financial collapse is
rights of women, girls, and the country. compounded by a Taliban
minorities and unequivocally government that seems to
The view from the ground,
cuts its ties to international have no coherent plan for
however, is very different.
terrorism. The U.S. Treasury, running the economy and has
Even before Kabul fell on
international donors, and devoted much of its sparse
August 15, the Afghan
organizations have frozen revenues to paying Taliban
economy was precarious.
billions of dollars of Afghan fighters, as a recent report by
Under the democratically
assets and seek to channel the Afghanistan Analysts
elected government, Western
humanitarian aid through UN Network has suggested. At the
governments and aid agencies
relief agencies and the same time, the regime has
provided billions of dollars in
nongovernmental been unwilling to make
humanitarian and
organizations (NGOs) still concessions on human rights
development assistance, funds
operating, with difficulty, and security to receive
that amounted to more than 40
inside the country. international assistance.
percent of the country’s GDP
Meanwhile, despite the Afghanistan’s financial links
and 75 percent of public
growing crisis, the Taliban to the world have been
severed, almost literally from Afghans without making room for international aid
one day to the next. concessions to Afghanistan’s efforts to operate in the
new rulers. The pledges spheres that affect them most.
The effects on the population
already made by donors to UN Some donors, such as the
have already been stark.
agencies and NGOs are World Bank, Germany, and
Noting that “food security has
important to ensuring the Netherlands, have
all but collapsed,” a recent
humanitarian operations can suggested waivers that would
World Food Program report
proceed. Given the outsize allow workers in the health
finds that millions of Afghans
dimensions of the crisis, sector to be paid, with the
will have to choose this winter
however, these organizations World Bank reportedly
between migration or
will need clearer authorization considering releasing up to
starvation. Across
and guidance from the $500 million in funding. The
Afghanistan, there is a high
international community if lack of salaries for medical
risk of famine, both in cities
they are to respond quickly personnel has deeply
and in the countryside. In
and effectively to the hampered the most basic
large urban centers such as
country’s urgent and multiple health services, a problem that
Kabul, and in provincial
needs. has had a particularly direct
capitals, hundreds of
impact on vulnerable children.
thousands of civil servants, To address these challenges,
teachers, and health workers the existing international In such a new resolution, the
are no longer being paid, framework for dealing with “carve out” language could
leaving their families with the Taliban needs to be authorize UN agencies and
little or no basic income; in adjusted. UN Security NGOs to work in these
rural areas, drought, the lack Council Resolution 1988, defined sectors as well as
of cash and markets, and now which established the Afghan providing more traditional
the onset of winter threaten sanctions regime, was passed humanitarian relief. Without
disaster. in 2011, but built on over a such specified areas in which
decade of measures targeting to operate, relief organizations
MAKING ROOM FOR
the Taliban and their finances. and the World Bank will be at
RELIEF In responding to the
In current circumstances, with continual risk of the
crisis, Western governments
the Taliban now in control of application of sanctions to
and international
the country, the UN could their activities in Afghanistan.
organizations are faced with
make it clearer that UNSC As the humanitarian strategist
difficult choices. Any
1988, although still in effect, and former senior U.S. official
expanded assistance to
does not apply to Sue Eckert proposed in her
Afghanistan risks the charge
humanitarian work. recent testimony to the U.S.
that it is consolidating the
Discussions at the Security Senate Banking Committee,
Taliban in power and
Council are currently the Department of the
weakening leverage to
underway, and the creation of Treasury also has tools—
influence their behavior,
a humanitarian exception to General License Nos. 14 and
thereby provoking a likely
the 1988 sanctions regime 15—that could provide
political backlash in the
may soon emerge. But to be broader authorizations for
United States and elsewhere.
effective, it must allow relief humanitarian operations in
There is also the risk of
organizations to address the this situation. The Treasury
inadvertent sanctions
collapse of the country’s Department has previously
violations as international
health services and the used this approach in Yemen,
organizations provide
Taliban’s systematic Ethiopia, and Venezuela,
emergency relief inside
restrictions on female defining humanitarian relief to
Afghanistan.
education and women in the include working in multiple
Of course, diplomatic and workforce, which have added sectors such as education and
political preconditions on another terrible dimension to the provision of health
engagement with the Taliban the crisis. Such action, services.
can and should remain in however, would require these
CREATING CASH FLOWS
effect. But it should also be organizations to deal with the
But it is not enough to broaden
possible for the United States Taliban regime in these areas.
the scope of emergency relief.
and its international partners To reach the girls and women
Getting funds into
to augment their emergency who are most vulnerable in the
Afghanistan has become
response to help ordinary current crisis, there must be
extremely challenging in part William Byrd and former A CHANCE TO ACT—
because financial institutions Treasury official Alex Zerden BEFORE IT IS TOO LATE
themselves are fearful of stand out. have both Given the deep and justified
running afoul of sanctions. suggested, for example, concerns about the Taliban
Humanitarian operations working through private deriving benefit from
require a regular cash flow to banks that still operate in international assistance,
sustain themselves: to pay for Afghanistan. expanding the scope for
transport; to pay for shelter; to assistance will not be easy.
Although not all their
pay the salaries of those who The Taliban’s long—and
proposals may be feasible,
work with relief agencies or in recent—record of repressive
they suggest creative
the education and health-care actions, their affiliation with
approaches to bring funds into
sectors; to pay for the international terrorist groups,
the country by working
establishment of distribution and the presence of sanctioned
through the private sector
centers; to pay for fuel and terrorists in their government
banks and companies that still
medicine. Yet in the current cannot be waved away. For
operate in Afghanistan,
situation, it has been tough for the United States and its allies,
introducing Afghan
aid operations to access and which only recently evacuated
banknotes, using digital
distribute such funds. their troops, embassies, and
transfers to individual
citizens from Kabul, there is a
The challenge remains households, and facilitating
strong sense that a
daunting. Afghanistan’s $9 the commercial imports of
humanitarian response to
billion in reserves will and essential goods under the
Afghanistan’s crisis must
should remain frozen for the Treasury Department’s
coincide with corresponding
foreseeable future. General License No. 15. The
pressure on the Taliban.
Transferring any currency into Afghan-American Chamber
the country faces numerous of Commerce has also Without immediate action,
difficulties, and engaging with proposed that the United however, there is the risk of a
what remains of the private States and the International humanitarian disaster of
banking system is highly risky Monetary Fund unfreeze $1 historic proportions by mid-
for correspondent banks. And billion in assets belonging to winter. Such an outcome
flying in U.S. currency is Afghan private citizens. would not only cause great
neither a safe nor a sustainable suffering to the Afghan people
Whichever approach is taken,
option. but also heighten the
the United States and other
contradictions of the 20-year
Cash could be brought in donors must act quickly. In
international engagement in
through Afghanistan’s private late November, the UN
Afghanistan. We should not
sector. There are, however, warned that the breadth of the
wait for that disaster to
short-term options that could Afghan crisis—the lack of
respond to the challenges that
promote emergency currency and inability to
are evident now. The United
assistance for humanitarian access private accounts, take
States and its allies cannot
relief through the winter. Safe out loans, or pay for the
undo the failures that led to the
payment mechanisms to imports that the economy
fall of Kabul in August. But
ensure the transfer of funds for depends on and that were
they can ensure that ordinary
humanitarian operations are previously financed by
Afghans know we will not
necessary. Among recent external aid money—will lead
turn our backs on them at a
proposals to address the cash- to a complete collapse of the
time of extraordinary need.
flow problem, those made by country’s financial system
former World Bank economist within months.
The Hidden Threat to Globalization

Niccolo W. Bonifai, Irfan Nooruddin, and Nita Rudra, Foreign Affairs

G
lobalization has lost election, declared during her policymakers promised that
its shine in wealthy 2017 campaign that trade with trade and international
countries, particularly developing economies “has investment would provide
among low-skilled workers. been devastating to the French widespread upward mobility
From 2002 to 2018, for and European industries” and in developing countries, only
instance, support for free trade has “led to the destruction of a fraction of low-skilled
fell significantly in Japan, the millions of European jobs.” workers have actually seen
United States, and many their earnings meaningfully
It is true that trade agreements
European countries, driven increase, and the disparity
have generated economic
largely by rising hostility between what these workers
opportunities in poor
toward free trade among the expected and what actually
countries and have sometimes
poor and working classes. happened has generated
created pockets of economic
Among low-skilled workers in growing disappointment. In
loss within wealthy states in
Italy, opposition to free trade some cases, it has bred
the process. But there is
grew from nine percent to 28 outright resentment. So far,
something ironic about
percent during that period, and the anger has been most
Western populists’ complaints
it more than tripled among the pronounced in wealthy
that globalization has hurt
same group in France. countries, such as the United
their countries and helped
Disapproval among this States. But if globalization
poorer ones. If these leaders
demographic more than continues to
seriously examined how
doubled in Japan and in the disproportionately help the
people in developing states
United States, causing overall rich, the fierce backlash will
felt about globalization, they
support for free trade to fall by inevitably spread to poorer
would encounter a familiar
more than ten percentage states. This is an outcome that
situation. As we have
points in those countries. The all countries should work to
illustrated in a new study,
rising opposition to free trade avoid. Irrespective of what
differences between support
has fueled successful, inward- Trump, Le Pen, and other
for globalization among high-
looking populist movements, populists may claim, workers
skilled and low-skilled
most strikingly in the United in rich economies have greatly
workers—and gaps in the
Kingdom and the United benefited from globalized
optimism the two groups feel
States. markets. By raising
about their prospects for
manufacturing employment
The reasons for the growing upward mobility—have
and wages over the last eight
hostility vary, but the most grown in poor countries as
decades, trade fueled the
politically potent charge is well as rich ones. As a result,
United States’ rise to global
that globalization has hurt overall backing for economic
hegemony in the first half of
workers in rich countries in integration is eroding. What
the last century and allowed
order to help those in poorer accounts for the decline in
European states to rebuild
ones. Donald Trump, for support for globalization and
their economies after two
example, won the U.S. free trade even in countries
world wars. And despite their
presidency in 2016 in part by that seem to have the most to
failure to distribute wealth
arguing that Americans were gain from them? The answer
broadly, policies that favor
losing their jobs to workers in is straightforward: even in the
trade and international
China, India, and Mexico— developing world, high-
investment are helping many
what he termed the “greatest skilled employees have
poorer countries establish
job theft in the history of the benefited disproportionately
middle classes and build
world.” Marine Le Pen, from globalization, whereas
robust domestic economies.
currently polling second in much of the working class has
To keep this system in place,
France’s coming national missed out. Although
however, countries will have social insurance; and allow in Fresh foreign funds in
to make it more inclusive of more international developing countries created
low-skilled workers competition. India is a relatively well-paying jobs for
everywhere—and especially canonical case in point: a a younger generation.
in developing states. balance-of-payments crisis in Factories, information
1991 forced the country to technology offices, and call
UNKEPT PROMISES The
adopt harsh austerity centers began opening across
global economic system was
measures in exchange for IMF the developing world. And
not designed with poor
funding. although not everyone gained
countries in mind. In the
right away, workers still
aftermath of decolonization, To advance these difficult
trapped in poverty could
most newly independent states reforms, leaders cultivated
reasonably dream that they
preferred protectionist support from poor and
would soon find better
policies to economic working-class citizens, who
employment. In the meantime,
integration with the rest of the had been largely excluded
they could enjoy foreign-
world. Following its from secure government
branded consumer goods,
independence in 1947, for employment and pensions.
which had become
instance, India raised tariffs Globalization, policymakers
increasingly affordable and
and instituted capital promised, would mean more
available in local stores.
restrictions to promote local jobs, better wages, and greater
production. Several countries consumer power for this silent Developing countries are
in Latin America adopted majority. In 2001, responding willing to restrict access to
import substitution to IMF demands, Indian Prime their markets. But as time has
industrialization policies in Minister Atal Bihari Vajpayee passed, optimism has begun to
the 1960s and the 1970s, proposed labor reforms that he fade. Support for free trade
hoping that high tariffs and argued would make it easier among the developing world’s
protectionism would create for companies to lay off low-skilled workers remains
homegrown champions that workers but would ultimately high, but it is clearly
could compete globally. In the “protect Indian industries and decreasing. Among
1970s, East Asia’s then businesses by enabling them respondents in South Africa,
industrializing countries, such to become more competitive, for example, support dropped
as South Korea, adopted more profitable, grow faster, from 88 percent to 76 percent
similar measures under an and, hence, employ more between 2002 and 2018. In
export-oriented people both directly and Brazil, it went from 84 percent
industrialization paradigm indirectly.” (The reforms to 68 percent. And in Mexico,
with more success, creating never went through then, but it fell by a sizable 20
domestic powerhouses that some are being put in place percentage points—from 89
spearheaded rapid, export-led passed now.) Nearly two percent to 69 percent. Support
growth. decades later, Zimbabwean also dropped in India,
President Emmerson Pakistan, and other
The pressure to lower tariffs
Mnangagwa echoed that claim developing states.
and open borders for Western
while selling his own painful
capital, goods, and services The story behind this
agreement. To help secure
came from Washington. disillusionment will be
over $3 billion in foreign
Mired in debt and currency familiar to anyone who has
investment in early 2018,
crises, developing countries read about left-behind
Mnangagwa enacted a variety
had little choice but to ask the manufacturing towns in the
of austerity measures,
U.S.-dominated International United States. The
including cuts to fuel and
Monetary Fund for financial mechanisms are different: the
electricity subsidies. Many
assistance. Help did not come angst in “middle America” is
residents protested, but the
cheap. To get foreign for the factories that left,
president pledged that the
investment, governments in whereas in Brazil and Nigeria,
tradeoff would be worth it.
developing countries had to it is for the factories that never
“We want this country to
swallow painful conditions, arrived. But the process is the
move forward,” he said. “We
pledging to divest from same. In both places, low-
want jobs for our children.”
public-sector enterprises; skilled workers have observed
reduce government spending, Initially, globalization globalization without fully
especially on employment and delivered on these promises. experiencing its gains. The
longer this bait and switch those who closely followed rights, penalizing companies
persists, the more likely it is Trump’s rise, are well aware when they violate
that protests will erupt, that an angry working class environmental and social
societal trust will drop, and can threaten globalization’s obligations, and making
frustrated citizens will elect gains. To avoid drifting innovative investments in
opportunistic populists who further into isolationism, education and training so that
offer protectionism as a many have argued that the workers can compete for
panacea. United States must find new better jobs—and, in so doing,
ways to share the upsides of enjoy larger shares of the
Indeed, there are already signs
trade with its low-skilled benefits that come from
that developing countries are
workers. Some Europeans foreign investment.
willing to restrict access to
have issued similar calls for Developing countries should
their markets. Poor states are
their own countries. But to also avoid protectionism,
acting aggressively to protect
safeguard globalization, rich including by not walling off
their digital interests; India,
countries can’t just take action their economies to outside
for example, is considering
at home. They must also make technology businesses. Digital
data localization laws that
sure that trade and foreign technology and data will help
would force companies to
investment help poor workers drive economic growth during
store and process all data
across the developing world. the next several decades, and
gained from Indians within
developing countries should
the country. Multiple states In some instances, that will
not be left out.
are passing laws that require require developed countries to
multinational companies to provide greater access to their Fixing globalization requires
invest in domestic brick-and- markets. Protectionism in international collaboration.
mortar operations in exchange agriculture among rich None of this will be easy.
for access to their consumer countries, for instance, has Global democratic
markets. The political logic of long made it challenging for backsliding means that an
such policies is obvious, but less-skilled workers in poorer increasingly large number of
the economic logic is states to move up the politicians cannot be held
unsound. Barriers to the flow economic ladder. The same publicly accountable, and
of capital, goods, and services goes for protectionism in many of the world’s leaders
across these borders digital services and the are minimally interested in
ultimately undermine growth. intellectual property rights helping the poor. Many
regimes in rich countries that countries are controlled by
If developing states do pull
lock in the advantages of U.S. elites who actively
back from the global
and European pharmaceutical redistribute wealth upward to
economic order, it could have
giants. Both are areas in which the powerful, including into
disastrous consequences. A
developing countries are their own pockets and those of
withdrawal, for example,
becoming increasingly their cronies. And even when
would make today’s supply
competitive, and rich policymakers have the right
chain nightmares seem
countries could lift millions of institutional incentives, asking
miniscule: without access to
people out of poverty at home countries to further open their
low-cost labor and materials,
and abroad if they did not markets is daunting in an era
product prices would sharply
prevent these sectors from of nationalist backlash. Rich
increase, fueling worsening
experiencing healthy countries will especially
inflation. Decoupling the
competition from lower-cost struggle to expose their
world’s economies would also
producers. agricultural systems to
slow job growth by making it
international competition
more difficult for businesses But policymakers in the
given the political power of
to expand their operations. “global South” also need to
the farm lobbies. Poor
This would, in turn, decrease act. Many developing states
countries fear the wrath of
productivity, hinder have economic systems that
small- and medium-sized
innovation, and lower overall do far too little to help their
enterprises threatened by
economic growth in both rich low-skilled workers, and their
foreign competition.
and poor nations. governments must make
serious reforms. That means Yet today’s international
IF YOU CAN KEEP IT
enacting and enforcing community has proved that it
Plenty of U.S. scholars and
policies that bolster employee is capable of taking bold steps
policymakers, especially
to counteract inequality. All firms receiving government countries commit to difficult
20 of the world’s largest contracts honor collective- economic reforms and public
economies, for example, have bargaining rights throughout investments even at the cost of
now endorsed a minimum their supply chains. vested domestic interests.
corporate tax—a once Otherwise, decades of
Ultimately, the future of
unthinkable act of policy economic gains could melt
globalization may come down
coordination that shows how away, as billions of the
to whether leaders can
countries can work together to world’s poorest citizens watch
recognize the stark
create a fairer society. States their patient dreams of
consequences of failing in this
should make a similar effort prosperity evaporate.
fight and, hence, the necessity
across a range of other policy
of action. Fixing globalization
domains, especially worker
requires international
protections. Policymakers
collaboration. It demands that
could begin by requiring that
China in the WTO, 20 Years Later

Shannon Tiezzi, The Diplomat


China’s embrace of an open,

O
n December 11, 2001, much of the negotiation
China officially process in the lead-up to market-oriented trade regime.
became the 143rd China’s admission, called
It should come as no surprise
member of the World Trade “China’s entry into the
that China used its WTO
Organization (WTO). WTO… the most significant
membership to advance its
opportunity that we have had
“This is an historic moment own interests. Why else would
to create positive change in
for the WTO, for China and China join? Even at the time,
China since the 1970s, when
for international economic that intention was clear:
President Nixon first went
cooperation,” Mike Moore, Beijing was not looking to
there.”
the WTO’s director-general, blindly follow the rules of the
said at the time. “The WTO agreement will WTO but to reshape them
move China in the right from within. Shi Guangsheng,
“China, one of the fastest
direction. It will advance the then China’s minister of
growing economies in the
goals America has worked for foreign trade, said of China’s
world, has made tremendous
in China for the past three admission to the WTO, “We
progress in the last decade in
decades,” Clinton said. need to invite all members to
reducing poverty thanks to an
formulate the international
economic system increasingly Today, those remarks look
trade rules of the new century
open to trade and foreign downright pollyannaish. On
through equal participation
investment. Now this the contrary, China’s WTO
and consultation.”
economy will be subjected to accession is held up as Exhibit
the rules-based system of the A in the supposed failure of From China’s perspective, its
WTO, something which is the U.S. “engagement” policy WTO membership has
bound to enhance global toward China. Certainly the worked like a charm. Its trade
economic cooperation,” former Trump administration has ballooned in the 20 years
Moore added. thought so, as evidenced by a since, both in terms of raw
2017 report from the U.S. size and in terms of global
That was the prevailing
Trade Representative Office share. According to the WTO,
sentiment in the West at the
on China’s WTO compliance, “In 2000 China was the 7th
time: The idea that bringing
which stated: leading exporter and 8th
China into the WTO would
largest importer of
encourage its slow evolution China largely remains a state-
merchandise trade,” with
toward a market economy – led economy today, and the
exports worth $249.2 billion
and perhaps even a full- United States and other
(3.9 percent of global exports)
fledged democracy – by trading partners continue to
and imports worth $225.1
forcing adherence to WTO encounter serious problems
billion (3.4 percent of global
rules. China would be with China’s trade regime.
imports).
required to open its markets Meanwhile, China has used
and roll back state control the imprimatur of WTO In 2020, China was the
over its economy according to membership to become a world’s largest exporter,
the terms of its WTO dominant player in accounting for 14.7 percent of
accession, which were international trade. all exported goods at a value
negotiated under a drawn-out of $2.59 trillion. It was the
Given these facts, it seems
process stretching nearly 15 world’s second-largest
clear that the United States
years. importer, accounting for 11.5
erred in supporting China’s
percent of imported goods ($2
In a March 2000 speech, then- entry into the WTO on terms
trillion). China’s GDP has
U.S. President Bill Clinton, that have proven to be
soared as well, going from
whose administration oversaw ineffective in securing
$1.3 trillion in 2001 to $14.9 previously restricted to SOEs would have either.
trillion in 2020. and foreign firms located in Meanwhile, with China in the
special economic zones, was WTO, complainants have an
China’s growing wealth,
broadened to all firms, avenue to seek redress,
however, is precisely what
including private Chinese however limited.
irks critics in the West, who
enterprises. Beijing
argue that China somehow That dynamic describes
substantially improved legal
took advantage of the rest of China’s WTO membership in
protections for and reduced
the world by joining the WTO. a nutshell. Whatever problems
administrative burdens on
China used its membership to current analysts have with the
businesses. Foreign
get rich without actually outsized influence of the state
investment surged once more
undertaking the promised over China’s economy, it’s
into China, after having
reforms, or so the narrative hard to argue that WTO
plateaued during the Asian
goes. accession made the problem
financial crisis in the late
worse. Evidence strongly
But while China may not have 1990s.
suggests, in fact, that it did
reformed its economy as
It’s easy to say that China’s have the intended effect of
much as critics would like, it
WTO-linked reforms did not incentivizing reform, if only
did make undeniable changes,
go far enough, but we for a few years.
particularly in the first few
shouldn’t overlook what they
years following WTO “Membership in the WTO, of
did accomplish. As Tan noted,
admission. China used the course, will not create a free
“By 2003, roughly 70 percent
WTO’s requirements to jump- society in China overnight or
of U.S. firms surveyed in
start reforms that its leaders at guarantee that China will play
China reported that Chinese
home saw as necessary. As by global rules,” Clinton said
domestic reforms had
former President Hu Jintao in 2000. “But over time, I
improved their business
put it in his reflection on the believe it will move China
climate ‘to a great extent’ or
10th anniversary of China’s faster and further in the right
‘to a very great extent.’ Those
WTO membership, “To join direction, and certainly will do
measures would not have
the WTO was a major that more than rejection
occurred without the external
strategic decision… in order would.”
impetus of entry into the
to push forward China’s
WTO.” It’s all too easy to ridicule part
reform and opening-up and
of his statement – signs today
socialist modernization Still, developed countries are
are not encouraging for
drive.” far from satisfied with China’s
anyone hoping China will
progress, particularly as the
As Yeling Tan, a professor at move “faster and further”
state has retrenched its role in
the University of Oregon, toward a Western-style
the economy under Xi
noted in an award-winning market economy, much less a
Jinping. China has been the
analysis for Foreign Affairs, liberal democracy. But those
target of 47 complaints at the
“China accepted far more who deride the engagement
WTO, ranging from
stringent terms than any other policy, and China’s WTO
accusations of politically-
new [WTO] member before or membership in particular,
motivated tariffs and other
since.” And Beijing largely should have to answer
trade barriers, to state
delivered on those promises: Clinton’s final point: Would
subsidies, to forced
rejecting China’s bid, and
China did fulfill the majority technology transfers and
keeping it locked outside the
of the terms of its WTO inadequate IP protections. But
larger community of nations,
accession within a few years. even these complaints have a
really have been better for
Tariff rates on foreign imports silver lining: While
either China or the world?
were slashed, and a multitude membership in the WTO
of nontariff barriers were clearly didn’t halt such
eliminated. The authority to behaviors, it’s unlikely that
engage in foreign trade, being excluded from the WTO
The Transatlantic Relationship Could Make or Break Biden’s
Summit for Democracy

Jennifer Hillman, CFR

U .S. President Joe


Biden’s Summit for
Democracy will bring
together representatives from
their citizens, a reflection of
Biden’s assessment that
“Democracy doesn’t happen
by accident. We have to
democracy? Since the end of
World War II, European
countries have been among
the United States’ most
108 countries in a virtual defend it, fight for it, important partners. The
meeting intended to help forge strengthen it, renew it.” The transatlantic relationship
a common agenda to lead-up has not been free of formed the backbone of the
strengthen democratic controversy. Invitations to the liberal international order with
institutions. Getting the U.S.- summit have been extended to the creation of institutions
European Union (EU) leaders accused of violating such as the United Nations,
relationship right will be democratic norms, including the World Bank, and the
central to global efforts to Philippine President Rodrigo General Agreement on Tariffs
support democracy, as Duterte. Some analysts have and Trade—the precursor to
strengthened transatlantic ties suggested that the summit’s the World Trade
could help embolden goals are too vague and the Organization. Today, similar
democratic allies around the gathering too big to deliver cooperation will be required
world. Set to begin on results. to restore confidence in
December 9, the summit is democracy.
Perhaps the most
organized around three
controversial issue, however, Delivering broad-based
themes—defending against
is the summit’s relationship to economic growth will be
authoritarianism, fighting
growing U.S.-China crucial to that effort. Doing so
corruption, and promoting
competition. Although the means getting the economics
respect for human rights. The
agenda is not formally about right and there is no broader or
Biden administration hopes to
China, Washington’s anxiety deeper economic relationship
use it as an opportunity to
about Beijing’s economic and among democracies than that
convene like-minded leaders
political power and Biden’s between the United States and
and secure commitments in
calls to build a coalition the EU. The sheer size of the
support of democratic values
capable of competing with transatlantic relationship
and human rights. Biden
China are clearly in the makes it central to economic
initially pledged during his
background. Some experts growth. The United States and
2020 presidential campaign to
have expressed concern that the EU are each other’s largest
hold such a summit. Arguing
by defining geopolitics as a sources and destinations of
that confidence in democratic
clash between democratic and foreign direct investment,
systems has declined with the
authoritarian blocs, the with nearly $4.5 trillion
rapid rise of authoritarianism
summit could alienate annually in transatlantic
and nationalism, as well as
potential allies and undermine investments supporting
amid global disruptions from
the United States’ ability to millions of jobs. A poorly
climate change and the
cooperate with Russia and managed relationship
COVID-19 pandemic, Biden
China in other areas. In a joint featuring retaliatory tariffs
presented the summit as a way
op-ed, the Chinese and and regulatory squabbles
to “strengthen our democratic
Russian ambassadors to the could create economic drag,
institutions, honestly confront
United States criticized the while a well-coordinated
nations that are backsliding,
gathering, calling it evidence relationship that takes
and forge a common agenda.”
of Washington’s “Cold-War advantage of each partner’s
It is part of the
mentality.” economic heft could offer
administration’s broader
Europe and the United States
effort to prove that democratic Why does the transatlantic
the opportunity to shape
systems can still deliver for trade relationship matter for
policy on pressing issues such administration should build on transatlantic relationship not
as climate and global its successes. The recently come at the expense of other
technology standards. reached agreement between partners. Cooperation from
the United States and EU to many democratic nations,
The Biden administration has
resolve a dispute over trade in particularly those in the Asia-
taken important steps to
steel and aluminum could help Pacific, will be crucial. Efforts
rebuild this relationship
decarbonize global production to develop technology
through the resolution of long-
of these materials, if properly standards to promote
standing trade disputes and
followed up on. The democratic values and make
the establishment of the U.S.-
administration should stay technological supply chains
EU Trade and Technology
committed to the TTC and more resilient, for instance,
Council (TTC), a body
other venues that could allow will have to include Japan,
intended to address shared
the United States and Europe South Korea, and Taiwan.
concerns such as the
to coordinate standards on Follow-through from Japan
semiconductor supply chain
new technologies. In addition and South Korea on their
and standards for online
to bolstering the transatlantic commitments to end overseas
privacy and emerging
relationship, recently coal financing will be
technologies. But the Summit
developed global similarly critical for
for Democracy offers an even
infrastructure initiatives such combating climate change. In
greater opportunity to
as the Group of Seven’s Build all these areas, strong, well-
strengthen ties and
Back Better World or the coordinated action from the
demonstrate to potential
EU’s Global Gateway could United States and EU can help
partners what working with
highlight the benefits of embolden democracies
Europe and the United States
aligning with democratic around the world.
can look like.
states.
What’s the aim of the Summit
What steps can Washington
It is important, however, that for Democracy?
take to strengthen this
the effort to revitalize the
relationship? The Biden
Can Pakistan mitigate its smog calamity?

Ramsha Noshab, Daily Times

S
ince the last few years, growing intensity of smog. are often introduced just
Lahore has regularly The Pakistan Clean Air before or after the onset of
topped the US Air Network was first introduced smog. Another connected and
Quality Index (AQI)—closely in Pakistan in 2005 to improve dire issue is the
followed by other cities—in air quality. Thereafter, revised implementation of devised
air pollution rankings of the plans were introduced in 2020 policies and regulatory
world’s major global cities. and 2021. The Punjab mechanisms. Despite
More recently, Lahore was Government’s Environmental imposition of fines on
declared the most polluted Protection Department issued vehicular and industrial
city in the world, with a policy on controlling smog emissions and their
pollution concentrations in 2017. It imposed a complete impounding and sealing
rising to extremely hazardous ban on open burning of rice respectively for violations,
levels. In spite of measures stubble, solid waste and other inspection standards and
being introduced by the hazardous materials. Steel overall regulation,
federal and provincial furnaces and other industrial unfortunately, remain lax. The
administrations, deteriorating units working without problem is further
air quality and smog have emission control equipment or compounded by a lack of
engulfed the country since using sub-standard fuels were coordination between the
years. Even public concerns to be shut down by the different concerned
over the subject only gained Environmental Protection departments; environment,
traction in recent years. Smog Agency. Similarly, the Punjab transport and agriculture.
is not only a public health Disaster Management Moreover, publicly available
emergency that threatens to Authority (PDMA) banned all government data remains
reduce life expectancy of activities that could intensify absent with only a network of
residents but also a socio- smog due to climate change, citizen-operated sensors
economic concern. In the past, including vehicular and monitoring fine particulate
the authorities have been industrial smoke, and solid matter and reporting data in
forced to shut down schools, waste disposal, especially real-time. The Federal
and hospitals declared residual crop burning. The Government recently
emergency. Airports have Punjab Local Government announced a “five-pronged”
regularly faced flight delays Act, 2019 was also enacted, plan to tackle smog that
and suspensions while which directs municipal includes urban forestry,
commuters on motorways and authorities and waste installing smog filtration
highways were severely management companies to towers, regulating automobile
impacted, with many losing ensure water sprinkling on and industrial emissions,
their lives in road crashes due roads, streets and construction limiting thermal power plants,
to low visibility as a result of sites producing dust. The and preventing stubble
smog. Many citizens, Punjab Government has burning. Nevertheless, it is
particularly manual labourers, notified district anti-smog easier said than done. While
are risking permanent damage committees under Deputy trees may alleviate air
to their lungs. In recent years, Commissioners to enforce all pollution to a degree, they
increasing warnings are now necessary preventive would be of limited help in
issued to citizens in Punjab to measures. Nevertheless, the removing industrial and toxic
wear masks and avoid outdoor progressively worsening pollutants. Likewise, smog
exposure. In this regard, the smog has led to questions over and air filtration towers have
federal and provincial the performance of provincial limited capacity to remove
governments have introduced governments. The biggest hazardous air particles and
policy and regulatory concern is the lack of timely pollutants, apart from the huge
measures to address the action since policy measures areas to cover. Moreover,
such curative and preventive Pakistan must revise its hazardous pollutants while the
measures notwithstanding, the national standards for smog has persisted unabated
underlying problem is with industrial emissions and for far too long. Though it has
the implementation of laws. ensure industry compliance in not been one of our priorities
Improvement in air quality line with prevailing in the past, it must certainly be
demands an enormous international standards. so now. It is high time that we
investment of time, resources Pakistan must also ensure all do our part in adopting and
and political will. It is inter-departmental and complying with strict policies
necessary that Pakistan is regional cooperation in air to alleviate air quality.
committed to achieving pollution mitigation Otherwise, our cities shall
results and learning from strategies. It is unfortunate continue to top the charts of
other countries. Quality data that the nation has been cities with bad air quality.
from air monitoring remains bearing smog as it continues
essential in formulating and to impact economic activity
assessing efficacy of policy and daily standards of living.
mechanisms. Further, The citizens are breathing in
Modern slavery in global supply chains

Modern slavery in global supply chains, Express Tribune

W hile slavery is million people in the world are when they buy a burger from a
illegal the world estimated to be trapped in fast-food chain, or drink a
over, our current varied forms of coercive branded beverage, no matter
global production system has labour relations. Many of in which country they
created newer forms of human these labourers are being purchase these products from.
subjugation which are no less exploited by global supply This level of consistency does
distressing. We live in a world chains, others are trafficked to not occur automatically.
where obscene accumulation other parts of their own There is a lengthy chain of
and glaring deprivation countries, or to neighbouring quality assurance processes
coexist side by side. These countries, to work in used to ensure product
inequalities manifest unregulated or shadowy consistency. If product quality
themselves within rich and sectors such as the sex can be ensured, why don’t big
poor countries alike. While trafficking industry. brand names also assure that
the elite capture of wealth and Alarmingly, instead of the products sold by them also
problems of destitution are decreasing, this number of confirm to basic labour and
evident in rich countries as exploited people is suspected environmental standards, no
well, the way in which these to be increasing due to the matter where their products
inequalities manifest further consolidation of profit are sourced from?
themselves in poorer countries maximising supply chains,
Enhancing accountability of
is even more brutal and alongside other threats such as
both domestic and
blatant. lingering conflicts, climate
multinational businesses to
change, and now the Covid-19
Despite its promises of take effective steps to
pandemic.
prosperity for all, the advent eradicate forced labour from
of globalisation has worsened Trade Ministers of the richest within their own supply
inequality. As supply chains countries — the G7 — have chains is not easy. Besides the
have become increasingly recently issued a communiqué serious pushback from local
flexible, multinational to cooperate and eradicate elites and multinationals, the
corporations increasingly rely forced labour in global supply task of ensuring that a supply
on outsourcing and use of chains. But achieving this goal chain is exploitative-free is
varied intermediaries to via rhetorical statements or much more challenging than
source their products from the loosely defined aspiration will merely ensuring product
most ‘efficient’ sources to not suffice. Civil society quality. This is because labour
maximise profits for their organisations are rightly exploitation not only takes
shareholders. The desperation demanding that G7 members place in factories but also at
of poorer countries to obtain need to not only prohibit the several other stages of the
foreign investment has led to a import or sale of products supply chain, including the
so-called ‘race to the bottom made by forced labour, but sourcing of raw materials, and
of the barrel’. Governments of also hold multinational within the informal sector
resource-constrained companies within their which is closely linked to
countries often outbid each jurisdiction responsible for factories producing goods for
other to entice foreign ensuring labour rights and both domestic and the
companies and to encourage environmental diligence international market.
local exporters even at the cost across their supply chains.
Unless due emphasis is placed
of neglecting labor rights and
Anyone in the world who on the use of exploitation of
environmental consequences.
purchases an article of free labour inputs instead of
Given this broader context, it branded clothing can expect it just focusing on product
should not be surprising to to be of the same quality and quality and price of the
find use of forced labour design, no matter where it was finished products being sold at
across major industries and manufactured. Consumers can the tail-end of retail chains,
supply chains. Around 25 have similar expectations poor people will continue to
remain oppressed, and
curbing global inequality will
not be possible.
Why EU will never out-build China's Belt and Road

Tom Fowdy, Russia Today


he European Union’s answer put simply is, ‘no’.

T
and control system of state-
bid to compete with The European Union is, owned banks and engineering
China’s Belt and Road collectively speaking, the and construction enterprises,
Initiative is doomed to failure single most poorly positioned which work in near perfect
because Brussels is incapable and ill-suited actor in this unison with China’s Foreign
of cajoling its members into grand “scramble for Ministry. When China wants
singing from the same hymn infrastructure” going. For a something done from the top,
sheet. plethora of reasons, this it gets done, and the task
project will never ever live up jumps through all bureaucratic
On Wednesday the European
to its promises, let alone hoops. For example, building
Commission revealed a
compete with the monolithic, a functional hospital in 10
proposed €300 billion Euro
highly organized mantra of days. On the other hand, the
fund to take on China's Belt
the Belt and Road Initiative. European Union is a
and Road Initiative, titled “the
Why so? The answer is not so bureaucratic ensemble of 26
global gateway”. The project
much structural, as political. different countries existing in
strives for member states and
It’s a matter of “how” as a supranational organization
private sector financiers to
opposed to “if” or “why”. that has limited collective
come together and invest in an
Ideally speaking, why would sovereignty and attempts to
“alternative” for infrastructure
any countries turn down function by establishing
needs across the developing
increased infrastructure points of unity and consensus
world. It comes at a time when
spending from Europe? No amongst its members.
Western nations are all
matter where you stand on the Institutions such as the
proposing new brands to
China spectrum, it’s a good European Commission
“counter” China’s massive
opportunity. Germany is attempt to guide and induce
spree of overseas
particularly famed for its legislation, but ultimately act
infrastructure financing,
engineering prowess. France as referees and have little
including America’s “Build
is also a successful country power to entice, let alone
Back Better” as well as the
when it comes to compel, states to act.
UK’s much smaller scheme
infrastructure, there’s a reason
announced under Liz Truss. It The European Union is not a
why China participates with
seems to be the Western “state” and cannot function as
them in their own nuclear
agenda of the time is a a coherent body on the global
energy initiatives at home.
multilateral, yet individual, stage without setting the bar
Europe has quality,
gamut of projects all designed very low. This makes it
experience, and success. But
to counter Beijing. extraordinarily more
that isn’t the same thing as
Incidentally, they also seem to challenging to coordinate
trying to singlehandedly
give the impression that they large transnational finance
organize a visionary global
wouldn't really care about projects, with a separate
infrastructure scheme applied
developing countries if it private sector, in the way
to developing countries, is it?
weren’t for that. China can. They rely on the
And given how Europe is
goodwill and presumed
As set out in the BBC report, politically and economically
cooperation of companies and
even though it does not name organized, and how they plan
banks, who will be interested
China directly, it is a naked to implement these projects, it
in some things, but will
battle for influence and there’s is bound to run into trouble.
ultimately consider many
no effort to hide that. But of
China is a single party, countries China has dived
course, the jury is out, is it
hierarchic Communist state headfirst into as undesirable,
truly an “alternative”? And
which coordinates its mega high risk or financially
can they pull off their grand
Belt and Road Initiative (BRI) unpalatable. The EU can't
vision successfully? The
through an almost command “force” companies to invest
and nor can they so readily widespread problems at home the first quarter of 2020, the
jump through all the hoops remain? Is this fair? These value of belt and road projects
whilst insisting on internal divisions are real. We exceeded US$4 trillion for the
“standards”. This not only see the scale of the struggle first time. Among these, 1,590
means projects are less likely over even the most important projects – valued at $1.9
to materialize but will take things, such as the EU trillion – were BRI projects,
significantly longer to come recovery fund last year in the while 1,574 other projects
about too. midst of Covid, how one of its with a combined value of $2.1
most important member states trillion were classified as
Secondly, you might be
literally quit, and how a new “Projects with Chinese
mistaken thinking the
wave of economic damage is involvement". By 2019 at
European Union is a union of
surely on its way with least $519 billion worth of
prosperous equals, it is not.
Omicron and the growing projects had been completed,
The EU is suffering myriad
number of lockdowns across showing the EU is offering too
economic problems, it is in a
the continent. Then you have little, and too late,
state of stagnation and has a
dissenting states such as
huge north-south and west- The EU are jumping headlong
Poland and Hungary, who
east divide in wealth. It cannot into a pie-in-the-sky grand
may seek to upend, delay and
even address its own scheme which, though they
block the entire thing as part
infrastructure needs, let alone would bring tangible benefits
of wrestling their sovereignty
those of other countries. Last on paper, is ultimately and
away from the institution.
week on a trip to Greece, a fatally devoid of realism. A
Doesn’t it speak volumes that
country that has lost 50% of its loose gathering of states mired
Budapest is getting China to
entire GDP since 2007 thanks with all kinds of problems
build its high-speed railways?
to European financial wants to try and compete with
Where is Brussels amidst all
mismanagement, I discovered the engine-like unity of a
this? In many aspects, the EU
the grim reality of Athens Communist economic giant.
can barely keep itself together,
Central Railway station, What we see today is little
let alone coordinate this. It
which does not even have a more than a public relations
wants to compete with the
working information screen, stunt which very well could be
BRI but can’t actually keep
and only has aging, graffiti doomed from the start, simply
the BRI out of its own
covered rolling stock. How because Europe is bad, and
territory.
can some EU states be content will continue to be bad, at
to cough up €300 billion, Finally, whilst €300 billion making things happen.
across seven years, into an sounds like a lot, it is only a
ambitious geopolitically fraction of the BRI in real
motivated overseas terms. As a report from the
infrastructure race, when such Silk Road briefing sets out: in
Australia has to realize who's actually undermining it

Bradley Blankenship, Russia Today


s Joe Biden’s

A
Free Trade Agreement This was not an escalation
administration (ChAFTA), which ensured that China wanted or sought;
accuses China of increased exports to China it was initiated by Australia,
launching an economic war and more Australian jobs. and now Canberra has to deal
against Canberra, guess who with the consequences of its
is raking in vast profits from Whether it be raw material own actions.
this Washington-fuelled spat? exports or middle-income
According to the White consumer goods like lobsters But it also needs to be said
House’s Indo-Pacific and wine, trade relations with that Canberra wasn’t acting
coordinator, Kurt Campbell, China have greatly benefited alone but was obviously
China is conducting “dramatic the Australian economy, with carrying water for
economic warfare” against China now sitting as the Washington in its escalating
Australia. country’s top trading partner. New Cold War against China.
“China's preference would The irony of this decision-
have been to break Australia. However, things changed making from Canberra is that
To drive Australia to its because of decisions by the it’s objectively against its own
knees,” Campbell said in a Australian government, such interests to do so. Another
speech in Sydney on as its politically-motivated level to this irony is that the
Wednesday. decision to bar Huawei from United States is actively
building its 5G network or the benefiting from and
This take from the Biden
Morrison government’s economically exploiting the
administration is totally
apparent endorsement of the breakdown between
ahistorical and obfuscates the
actual causes of the “lab leak” Covid-19 Canberra and Beijing.
breakdown between China conspiracy theory. According to data from the US
and Australia. It also omits the In response to these actions, Energy Information
fact that the US is itself the Chinese government Administration, the US
cashing in on the breakdown exported 5.4 million tons of
came to the conclusion, as
between the two, showing coal to China in the first half
Foreign Ministry Spokesman
once again that Washington is of 2021, compared to 531,000
a very unreliable partner. For Zhao Lijian said, that no
country will be allowed “to tons for the same period a
starters, there is no Chinese
reap benefits from doing year ago – an absurdly high
aggression against Australia.
business with China while 920% year-on-year increase.
Australian media and various
officials have tried to paint the groundlessly accusing and In the same period in 2019,
current situation as one where smearing China and the US exported just over
Australia is valiantly undermining China’s core 771,000 tons to China.
defending its sovereignty interests.” It hasn’t been just This has helped Beijing fill the
against perceived Chinese the Chinese government’s gap left after it imposed its
aggression, using all the retaliatory trade policies that
familiar Yellow Peril tactics retaliatory ban on importing
have impacted Australia’s Australian coal last year.
we’re familiar with, when this economy, but also regular
is simply not true. Canberra shipped 35m
Chinese consumers and tonnes of thermal coal to
The reality is that China has business people that lost China in 2020, and around
always wanted closer ties interest in the country thanks 50m tonnes in 2018 and
with Australia. In 2014, for to the Australian 2019,. After November 2020,
example, President Xi Jinping government’s harmful its coal exports dropped to
visited Australia and agreed actions.
to sign the China-Australia
zero, according to industry speaking, for Washington’s exists between their country
experts. interests, why does that and China – but is actually,
relationship not go both verifiably, the case between
So while there has been an ways? Australia and America. Time
effective ban on Australian and time again, Washington
coal going to China, the US Easy. Because the pressures allies like Australia
was certainly more than relationship between into taking hardline stances
willing to fill this vacuum – Australia and America is not that inevitably backfire,
even as it treats China like its an equal one. It is not a hurting their national
sworn enemy. relationship of mutual interests and security.
respect; it is a relationship of Enough is enough. Australia
The question is, why does subservience and
Australia ignore this? If has to come to its senses and
domination. That is the exact realize that allowing
Australian officials are willing kind of relationship that the
to put their country on a Washington to dictate its
Australian media and the foreign policy only makes it
chopping block, economically Morrison government claim less safe and prosperous.

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