Latest Weapon of US Imperialism

Federico Pieraccini

The United States of America resorts to everything to preserve its already numbered imperialism. Federico Pieraccini, independent freelance writer specialized in international affairs, has dealt with the issue in his essay titled, "Latest Weapon of US Imperialism: Liquefied Natural Gas".

One of the most important energy battles of the future will be fought in the field of liquid natural gas (LNG). Suggested as one of the main solutions to pollution, LNG offers the possibility of still managing to meet a country’s industrial needs while ameliorating environmental concerns caused by other energy sources. At the same time, a little like the US dollar, LNG is becoming a tool Washington intends to use against Moscow at the expense of Washington’s European allies.

From 1990 to today, the world has grown from 220 million tons per annum (MTPA) to around 850 MTPA of regasification capacity. The volume of trade increased from 20-30 MTPA to around 300 MTPA. Likewise, the number of LNG-importing countries has increased from just over a dozen to almost 40 over the course of 15 years, while the number of producers has remained almost unchanged, except for a few exceptions like the US entering the LNG market in 2016.

There are two methods used to transport gas. The first is through pipelines, which reduce costs and facilitate interconnection between countries, an important example of this being seen in Europe’s importation of gas. The four main pipelines for Europe come from four distinct geographical regions: West Asia, Africa, Northern Europe and Russia.

The second method of transporting gas is by sea in the form of LNG, which in the short term is more expensive, complex and difficult to implement on a large scale. Gas transported by sea is processed to be cooled so as to reduce its volume, and then liquefied again to allow storage and transport by ship. This process adds 20% to costs when compared to gas transported through pipelines.

Less than half of the gas necessary for Europe is produced domestically, the rest being imported from Russia (39%), Norway (30%) and Algeria (13%). In 2017, gas imports from outside of the EU reached 14%. Spain led with imports of 31%, followed by France with 20% and Italy with 15%. The construction of infrastructure to accommodate LNG ships is ongoing in Europe, and some European countries already have a limited capacity to accommodate LNG and direct it to the national and European network or act as an energy hub to ship LNG to other ports using smaller ships.

"All of Europe’s LNG terminals are import facilities, with the exception of (non-EU) Norway and Russia which export LNG. There are currently 28 large-scale LNG import terminals in Europe (including non-EU Turkey). There are also 8 small-scale LNG facilities in Europe. Of the 28 large-scale LNG import terminals, 24 are in EU countries and 4 are in Turkey, 23 are land-based import terminals, and 4 are floating storage and regasification units (FSRUs), and the one import facility in Malta comprises a Floating Storage Unit (FSU) and onshore regasification facilities.”

The countries currently most involved in the export of LNG are Qatar, Australia, Malaysia, the US, Nigeria and Russia. Europe is one of the main markets for gas, given its strong demand for clean energy for domestic and industrial needs. For this reason, Germany has for years been engaged in the Nord Stream 2 project, which aims to double the transport capacity of gas from Russia to Germany. Currently the flow of the Nord Stream is 55 billion cubic meters of gas. With the new Nord Stream 2, the capacity will double to 110 billion cubic meters per year.

The South Stream project, led by Eni, Gazprom, EDF and Wintershall, should have increased the capacity of the Russian Federation to supply Europe with 63 billion cubic meters annually, positively impacting the economy with cheap supplies of gas to Bulgaria, Greece, Italy, Serbia, Hungary, Austria and Slovenia. Due to the restrictions imposed by the EU on Russian companies like Gazprom, and the continuing pressure from Washington to abandon the project and embrace imports from the US, the construction of the pipeline have slowed down and generated tensions between Europe and the US. Washington is piling on pressure on Germany to derail Nord Stream 2 and stop the construction of this important energy linkage.

Further tension has been added since ENI, an Italian company that is a leader in the LNG sector, recently discovered off-shore in Egypt one of the largest gas fields in the world, with an estimated total capacity of 850 billion cubic meters. To put this in perspective, all EU countries demand is about 470 billion cubic meters of gas in 2017. ENI’s discovery has generated important planning for the future of LNG in Europe and in Italy.

Problems have arisen ever since Donald Trump sought to oblige Europeans to purchase LNG from the US in order to reduce the trade deficit and benefit US companies at the expense of other gas-exporting countries like Algeria, Russia and Norway. As mentioned, LNG imported to Europe from the US costs about 20% more than gas traditionally received through pipelines. This is without including all the investment necessary to build regasification plants in countries destined to receive this ship-borne gas. Europe currently does not have the necessary facilities on its Atlantic coast to receive LNG from the US, introduce it into its energy networks, and simultaneously decrease demand from traditional sources.

This situation could change in the future, with LNG from the US seeing a sharp increase recently. In 2010, American LNG exports to Europe were at 10%; the following year they rose to 11%; and in the first few months of 2019, they jumped to 35%. A significant decrease in LNG exports to Asian countries, which are less profitable, offers an explanation for this corresponding increase in Europe.

But Europe finds itself in a decidedly uncomfortable situation that cannot be easily resolved. The anti-Russia hysteria drummed up by the Euro-Atlantic globalist establishment aides Donald Trump’s efforts to economically squeeze as much as possible out of European allies, hurting European citizens in the process who will have to pay more for American LNG, which costs about a fifth more than gas from Russian, Norwegian or Algerian sources. Projects to build offshore regasifiers in Europe appear to have begun and seem unlikely to be affected by future political vagaries, given the investment committed and planning times involved:

“There are currently in the region of 22 large-scale LNG import terminals considered as planned in Europe, except for the planned terminals in Ukraine, Russia, Albania and Turkey. Many of these planned terminals, including Greece, Italy, Poland, Turkey and the UK. LNG import terminal for Albania, Croatia, Cyprus, Estonia, Germany, Ireland, Latvia, Romania, Russia and Ukraine. In addition, there are numerous plans for expansion of existing terminals, including in Belgium, France, Greece, Italy, the Netherlands, Poland, Spain, Turkey and the UK.”

Washington, with its LNG ships, has no capacity to compete in Asia against Qatar and Australia, who have the lion’s share of the market, with Moscow’s pipelines taking up the rest. The only large remaining market lies in Europe, so it is therefore not surprising that Donald Trump has decided to weaponize LNG, a bit as he has the US dollar. This has only driven EU countries to seek energy diversification in the interests of security.

The European countries do not appear to be dragging their feet at the prospect of swapping to US LNG, even though there is no economic advantage to doing so. As has been evident of late, whenever Washington says, “Jump!”, European allies respond, “How high?” This, however, is not the case with all allies. Germany is not economically able to interrupt Nord Stream 2. And even though the project has many high-level sponsors, including former chancellor Gerhard Schröder, the project constantly seems to be on the verge of being stopped – at least in Washington’s delusions.

Even Eni’s discovery of the gas field in Egypt has annoyed the US, which wants less competition and wants to be able to force its exports onto Europeans while maintaining the price of the LNG in dollars, thereby further supporting the US dollar as the world’s reserve currency in the same manner as the petrodollar.

The generalized hysteria against the Russian Federation, together with the cutting off of Iranian oil imports at Washington’s behest, limit the room for maneuver of European countries, in addition to costing European taxpayers a lot. The Europeans appear prepared to set whatever course the US has charted them, one away from cheaper gas sources to the more expensive LNG supplied from across the Atlantic. Given the investments already committed to receive this LNG, it seems unlikely that the course set for the Europeans will be changed.

What Future for the EU?

Scapegoating the “other” will not set aright irresponsible governance

By Tahir Mahmoud

 

With all the shortcomings of the EU, the Western part of the European continent is the most successful socio-political project that has prevented war among these powers since the end of the Second World War. Of course, the wars have been exported elsewhere: Africa, Latin America, and the Muslim East. Once Washington subverted the EU into a military/security project following the collapse of the Soviet Union, the EU lost its original orientation. The US began utilizing European institutions to mask NATO’s expansion toward the Russian border. The EU’s approval of this US policy created major headaches for the alliance, as witnessed in Ukraine.

Today, the EU is a declining mega project. The presence of the camouflaged fascists on the European political scene was always a norm, but it is a new political reality of having these forces run government institutions in various European countries. On its own, even this would not be such a tragedy. The worrying factor is that when the Western secular civilization malfunctions, it turns into utter barbarity and extremism.

It is the Western secular system (US) that utilized a nuclear weapon and it is Western secular governing systems that back the most brutal dictators worldwide. There were two world wars; both were “gifted” to humanity by Western European powers. Trouble among Western European imperialists was never civil and always destabilized the rest of the world. The problem now is that the European continent is in economic distress. Even this would not be so problematic were it not ruled by regressive forces as the ones in power in Austria, Hungry, Italy, and Britain, combined with the intellectual and spiritual crises of the European ruling classes.

The rise of the alt-right forces to power is a symptom of the EU’s eroding confidence in being able to project global influence and create soft-power appeal. As secular liberalism’s philosophical inconsistencies are beginning to manifest themselves politically in the form of Brexit and the Yellow Vests movement, the EU brand is no longer as appealing as it used to be. The system is marginalizing itself using nationalism and state sovereignty as a copout.

As this continues, differences between European powers themselves will continue to grow. Why? One of nationalism’s intellectual flaws is that it must cultivate conflicts with other nations to thrive, preferably the ones with whom borders are shared. As nationalism continues to assume a virulent form in Europe, it is natural to see the European regimes begin to cannibalize themselves.

Now that the EU is experiencing major economic problems combined with political and ideological ones, it is a deadly cocktail for a system with barbaric historical precedents as Europe. The red flags of Europe relapsing to pre-EU internal strife are everywhere. On February 6, France warned Italian Deputy Prime Minister Luigi Di Maio not to interfere in France’s internal politics, after he met French “Yellow Vest” protesters. On the same day, France recalled its ambassador from Italy. This is one of the major post-WWII spats among European imperialist regimes.

With this in mind, it is important to remember that EU’s ethnic minority politics, purposefully directed toward assimilating ethnic minorities rather than integrating them is another deadly mixture to the currently developing crisis in the EU. Historically, Europe has tried to prevent internal strife by directing fire toward the “other.” At one point it was Africa, then Jews and now it is Muslims.

Contemporary secular European/Western civilization is highly materialistic and defines success primarily within the materialistic paradigm. Thus, EU policymakers will opt for all sorts of Machiavellian tricks to save the mega-political project as the Western world continues to spiral downward economically. Since the technocratic leadership of the EU has not shown the intellectual ability to tackle its myriad problems, looking for econometric solutions with no alteration of EU’s philosophy and intellectual foundations will always be a short-term solution.

On the positive note for Europeans, Donald Trump’s presidency provides a unique opportunity for the EU to distance itself from the US and formulate an independent economic, social, and foreign policy not tied to Washington’s neoliberal vision for humanity. Currently this possibility seems bleak.

Considering the EU’s lukewarm actions to maintain the nuclear agreement (aka JCPOA) with Islamic Iran, its inability to properly deal with the legitimate Yellow Vests movement and its bandwagoning with the US to topple the elected president of Venezuela, the EU is proving resistant to reforming itself.

The chances of the EU completely unraveling are increasing. However, because its collapse most probably would mean some sort of war on the continent, all parties involved will attempt to extend the lifespan of the alliance. This might change if the US — the empire in decline — pushes the EU to further irritate Russia in the regions of the former Soviet Union.

Should that happen, Moscow can easily activate its leverage in the Balkans and Ukraine to destabilize the EU on several fronts. At the moment, as before, Moscow is highly interested to keep its most profitable petrochemical market as stable as possible.

Judging from the armies of expat workers from Western countries in the Muslim East, Southeast Asia and other parts of the developing world, the EU’s demise might come not from minorities, Russia, or China, but from the growing inequality gap among its own citizens. As wisely summarized by Hafsa Kara for the American Herald Tribune in December 2018, “this is a major protest that whatever direction it takes will have a long-lasting effect on the establishment and its sense of impunity. With their bright yellow vest and their frank discourse French protesters have shown that ultimately it is about power to the people by the people.” It appears the French ruling establishment is not willing to recognize the reality articulated in the American Herald Tribune.

The EU political establishment’s reaction toward the Yellow Vest movement partly resembles the shocked reaction of America’s political elite to the selection of Donald Trump as president. Just as Trump’s presidency is a symptom of Washington’s imperial decline, the misreading of the Yellow Vest protests by the EU’s elite is a sign of its potential decline. Its biggest symptom yet, is the open political spat between Italy and France.

Trump’s ‘MAGA’ misses the Eurasia train

By Pepe Escobar

While China and Russia solidify their economic and political alliance, the US is missing an historic chance to join a multilateral world, clinging instead to military empire, argues Brazilian investigative journalist Pepe Escobar in his article for ‘Consortium News’, titled: “Trump’s‘MAGA’ Misses the Eurasia Train.”

We should know by now that the heart of the 21st Century Great Game is the myriad layers of the battle between the United States and the partnership of Russia and China.

Donald Trump’s bombastic slogan “Make American Great Again” (MAGA) is a disastrous failure.

Even the US National Defense Strategy says so: “The central challenge to US prosperity and security is the reemergence of long-term, strategic competition by revisionist powers.” The recently published assessment on US defense implications of China’s global expansion says so too.

The clash will frame the emergence of a possibly new, post-ideological, strategic world order amidst an extremely volatile unpredictability in which peace is war and an accident may spark a nuclear confrontation.

The US vs. Russia and China will keep challenging the West’s obsession in deriding “illiberalism,” a fearful, rhetorical exercise that equates Russian democracy with China’s one party rule, Iran’s system of popular religious rule, and Turkey’s neo-Ottoman revival.

It’s immaterial that Russia’s economy is one-tenth of China’s. From boosting trade that bypasses the US dollar, to increasing joint military exercises, the Russia-China symbiosis is poised to advance beyond political and ideological affinities.

China needs Russian know-how in its military industry. Beijing will turn this knowledge into plenty of dual use, civilian-military innovations.

The long game indicates Russia and China will break down language and cultural barriers to lead Eurasian integration against American economic hegemony backed by military might.

One could say the Eurasian century is already upon us. The era of the West shaping the world at will (a mere blip of history) is already over. This is despite Western elite denials and fulminations against the so-called “morally reprehensible,” “forces of instability” and “existential threats.”

Standard Chartered, the British financial services company, using a mix of purchasing power exchange rates and GDP growth, has projected that the top five economies in 2030 will be China, the US, India, Japan and Russia. These will be followed by Germany, Indonesia, Brazil, Turkey and Britain. Asia will extend its middle class as they are slowly killed off across the West.

A case can be made that Beijing’s elites are fascinated at how Russia, in less than two decades, has returned to semi-superpower status after the devastation of the Yeltsin years.

That happened to a large extent due to science and technology. The most graphic example is the unmatched, state-of-the-art weaponry unveiled by President Vladimir Putin in his March 1, 2018 speech.

In practice, Russia and China will be advancing the alignment of China’s New Silk Roads, or Belt and Road Initiative (BRI), with Russia’s Eurasia Economic Union (EAEU).

There’s ample potential for a Trans-Eurasia Express network of land and maritime transport corridors to be up and running by the middle of next decade, including, for instance, road and railway bridges connecting China with Russia across the Heilongjiang River.

Following serious trilateral talks involving Russia, India and Iran last November, closer attention is being paid to the International North-South Transportation Corridor (INSTC), a 7,200-km long lane mixing sea and rail routes essentially linking the Indian Ocean with the Persian Gulf through Iran and Russia and further on down the road, to Europe.

Imagine cargo transiting from all over India to the Iranian ports of Chabahar and Bandar Abbas, then overland to Bandar Anzali, an Iranian port on the Caspian Sea, and then on to the Russian southern port of Astrakhan, and after that to Europe by rail. From New Delhi’s point of view, that means shipping costs reduced by up to 40 percent, and Mumbai-to-Moscow in only 20 days.

Down the line, INSTC will merge with BRI – as in Chinese-led corridors linked with the India-Iran-Russia route into a global transport network.

This is happening just as Japan is looking at the Trans-Siberian Railway – which will be upgraded throughout the next decade – to improve its connections with Russia, China and the Koreas. Japan is now a top investor in Russia and at the same time very much interested in a Korea peace deal. That would free Tokyo from massive defense spending conditioned by Washington’s rules. The EAEU free trade agreements with ASEAN can be added to that.

Especially over these past four years, Russia has also learned how to attract Chinese investment and wealth, aware that Beijing’s system mass-produces virtually everything and knows how to market it globally, while Moscow needs to fight every block in the book dreamed up by Washington.

While Washington remains a bipartisan prisoner to the Russophobic Platonic cave – where Cold War shadows on the wall are taken as reality – MAGA is missing the train to Eurasia.

A many-headed hydra, MAGA, stripped to the bone, could be read as a non-ideological antidote to the Empire’s global adventurism. Trump, in his non-strategic, shambolic way, proposed at least in theory the return to a social contract in the US MAGA in theory would translate into jobs, opportunities for small businesses, low taxes and no more foreign wars.

It’s nostalgia for the 1950s and 60s before the Vietnam quagmire and before “Made in the USA” was slowly and deliberately dismantled. What’s left are tens of trillions of national debt; a quadrillion in derivatives; the Deep State running amok; and a lot of pumped up fear of the so-called ‘evil Russians’, ‘devious Chinese’, the troika of tyranny, the Belt and Road, Huawei, and illegal aliens.

More than a Hobbesian “war of all against all” or carping about the “Western rules-based system” being under attack, the fear is actually of the strategic challenge posed by Russia and China, which seeks a return to rule by international law.

MAGA would thrive if hitched to a ride on the Eurasia integration train: more jobs and more business opportunities instead of more foreign wars. Yet MAGA won’t happen – to a large extent because what really makes Trump tick is his policy of energy dominance to decisively interfere with Russia and China’s development.

The Pentagon and the “intel community” pushed the Trump administration to go after Huawei, branded as a nest of spies, while pressuring key allies Germany, Japan and Italy to follow. Germany and Japan permit the US to control the key nodes in the extremities of Eurasia. Italy is essentially a large NATO base.

The US Department of Justice requested the extradition of Huawei CFO Meng Wanzhou from Canada recently, adding a notch to the Trump administration’s geopolitical tactic of “blunt force trauma.”

Add to it that Huawei – based in Shenzhen and owned by its workers as shareholders – is killing Apple across Asia and in most latitudes across the Global South. The real the battle is over 5G, in which China aims to upstage the US, while upgrading capacity and production quality.

The digital economy in China is already larger than the GDP of France or Britain. It’s based on the BATX companies (Baidu, Alibaba, Tencent, Xiaomi), Didi (the Chinese Uber), e-commerce giant JD.com and Huawei. These Big Seven are a state within a civilization – an ecosystem they’ve constructed themselves, investing fortunes in big data, artificial intelligence (AI) and the internet. American giants – Facebook, Instagram, Twitter and Google – are absent from this enormous market.

Moreover, Huawei’s sophisticated encryption system in telecom equipment prevents interception by the NSA. That helps account for its extreme popularity all across the Global South, in contrast to the Five Eyes (US, Britain, Canada, Australia, New Zealand) electronic espionage network.

The economic war on Huawei is also directly connected to the expansion of BRI across 70 Asian, European and African nations, constituting a Eurasia-wide network of commerce, investment and infrastructure able to turn geopolitical and geo-economic relations, as we know them, upside down.

Whatever China does won’t alter the Deep State’s obsession about an aggression against what it claims ‘our vital interests’, as stated by the National Defense Strategy. The dominant Pentagon narrative in years to come will be about China “intending to impose, in the short term, its hegemony in the Indo-Pacific region, and catch the United States off-guard in order to achieve future global pre-eminence.” This is mixed with a belief that Russia wants to “crush NATO” and “sabotage the democratic process in Crimea and Eastern Ukraine.”

During my recent travels along the northern part of the China-Pakistan Economic Corridor (CPEC), I saw once again how China is upgrading highways, building dams, railways and bridges that are useful not only for its own economic expansion but also for its neighbors’ development. Compare it to U.S. wars – as in Iraq and Libya – where dams, railways and bridges are destroyed.

Russian diplomacy is all but winning the New Cold War — as diagnosed by Prof. Stephen Cohen in his latest book, War with Russia: From Putin and Ukraine to Trump and Russiagate.

Moscow mixes serious warnings with diverse strategies, such as resurrecting the South Stream gas pipeline to supply Europe as an extension of Turk Stream after the Trump administration also furiously opposed the Nord Stream 2 pipeline with sanctions on Russia. Meanwhile, Moscow ramps up energy exports to China.

The advance of the Belt and Road Initiative is linked to Russian security and energy exports, including the Northern Sea Route, as an alternative future transportation corridor to Central Asia. Russia emerges then as the top security guarantee for Eurasian trade and economic integration.

Last month in Moscow, I discussed Greater Eurasia– by now established as the overarching concept of Russian foreign policy – with top Russian analysts. They told me Putin is on board. He referred to Eurasia recently as “not a chessboard or a geopolitical playground, but our peaceful and prosperous home.”

Needless to say, US think tanks dismiss the idea as “abortive”. They ignore Prof. Sergey Karaganov, who as early as mid-2017 was arguing that Greater Eurasia could serve as a platform for “a trilateral dialogue on global problems and international strategic stability between Russia, the United States and China.”

As much as the Beltway may refuse it, “The center of gravity of global trade is now shifting from the high seas toward the vast continental interior of Eurasia.”

Beijing is realizing it can’t meet its geo-economic goals on energy, security, and trade without bypassing the US dollar.

According to the IMF, 62 percent of global central bank reserves were still held in U.S. dollars by the second quarter of 2018. Around 43 per cent of international transactions on SWIFT are still in U.S. dollars. Even as China, in 2018, was the single largest contributor to global GDP growth, at 27.2 percent, the yuan still only accounts for 1 percent of international payments, and 1.8 per cent of all reserve assets held by central banks.

It takes time, but change is on the way. China’s cross-border payment network for yuan transactions was launched less than four years ago. Integration between the Russian Mir payment system and Chinese Union Pay appears inevitable.

Russia and China are developing the ultimate nightmare for those former shamans of US foreign policy, Henry Kissinger and the late Zbigniew “Grand Chessboard” Brzezinski.

Back in 1972 Kissinger was the mastermind – with logistical help from Pakistan – of the Nixon moment in China. That was classic Divide and Rule, separating China from the USSR. Two years ago, before Trump’s inauguration, Dr. K’s advice dispensed at Trump Tower meetings consisted of a modified Divide and Rule: the seduction of Russia to contain China.

The Kissinger doctrine rules that, geopolitically, the US is just “an island off the shores of the large landmass of Eurasia.” Domination “by a single power of either of Eurasia’s two principal spheres – Europe or Asia – remains a good definition of strategic danger for America, Cold War or no Cold War,” as Kissinger said. “For such a grouping would have the capacity to outstrip America economically and, in the end, militarily.”

The Zbig doctrine ran along similar lines. The objectives were to prevent collusion and maintain security among the EU-NATO vassals; keep tributaries pliant; keep the barbarians (a.k.a. Russians and allies) from coming together; most of all prevent the emergence of a hostile coalition (as in today’s Russia-China alliance) capable of challenging US hegemony; and submit Germany, Russia, Japan, Iran, and China to permanent Divide and Rule.

Thus the despair of the current National Security Strategy, forecasting China displacing the United States “to achieve global preeminence in the future,” through BRI’s supra-continental reach.

The “policy” to counteract such “threats” is sanctions, sanctions, and more unilateral sanctions, coupled with an inflation of absurd notions peddled across the Beltway – such as that Russia is aiding and abetting the re-conquest of West Asia by Persia. Also that Beijing will ditch the “paper tiger” “Made in China 2025” plan for its major upgrade in global, high-tech manufacturing just because Trump hates it.

Once in a blue moon a US report actually gets it right, such as in Beijing speeding up an array of BRI projects; as a modified Sun Tzu tactic deployed by President Xi Jinping.

At the June 2016 Shangri-La Dialogue in Singapore, Professor Xiang Lanxin, director of the Centre of One Belt and One Road Studies at the China National Institute for SCO International Exchange and Judicial Cooperation, defined BRI as an avenue to a “post-Westphalian world.” The journey is just beginning; a new geopolitical and economic era is at hand. And the US is being left behind at the station.

Europe on the Brink of Collapse?

by Peter Koenig 

The Empire’s European castle of vassals is crumbling. Right in front of our eyes. But Nobody seems to see it. The European Union (EU), the conglomerate of vassals – Trump calls them irrelevant, and he doesn’t care what they think about him, they deserve to be collapsing. They, the ‘vassalic’ EU, a group of 28 countries, some 500 million people, with a combined economy of a projected 19 trillion US-dollar equivalent, about the same as the US, have submitted themselves to the dictate of Washington in just about every important aspect of life.

The EU has accepted on orders by Washington to sanction Russia, Venezuela, Iran – and a myriad of countries that have never done any harm to any of the 28 EU member states. The EU has accepted the humiliation of military impositions by NATO – threating Russia and China with ever more and ever more advancing military basis towards Moscow and Beijing, to the point that Brussels’ foreign policy is basically led by NATO.

It was clear from the very get-go that the US sanctions regime imposed on Russia and all the countries refusing to submit to the whims and rules of Washington, directly and via the EU, was hurting the EU economically far more than Russia. This is specifically true for some of the southern European countries, whose economy depended more on trading with Russia and Eurasia than it did for other EU countries.

The ‘sanctions’ disaster really hit the fan, when Trump unilaterally decided to abrogate the “Nuclear Deal” with Iran and reimpose heavy sanctions on Iran and on “everybody who would do business with Iran”. European hydrocarbon giants started losing business. That’s when Brussels, led by Germany started mumbling that they would not follow the US and – even – that they would back European corporations, mainly hydrocarbon giants, sticking to their contractual arrangements they had with Iran.

Too late. European business had lost all confidence in Brussels EU Administration’s feeble and generally untrustworthy words. Many breached their longstanding and, after the Nuclear Deal, renewed contracts with Iran, out of fear of punishment by Washington and lack of trust in Brussel’s protection. Case in point is the French-British petrol giant, Total, which shifted its supply source from Iran to Russia – no, not to the US, as was of course, Washington’s intent. The damage is done. The vassals are committing slow suicide.

The people have had it. More than half of the European population wants to get out of the fangs from Brussels. But nobody asks them, nor listens to them – and that in the so-called heartland of ‘democracy’ (sic). That’s why people are now up in arms and protesting everywhere – in one way or another in Germany, France, the UK, Belgium, the Netherlands, Italy, Hungary, Poland – the list is almost endless. And it can be called generically the ‘Yellow Vests”, after the new French revolution.

The latest in a series of the US attacking Germany and German business – and German integrity, for that matter – are the US Ambassador’s, Richard Grenell, recent threats to German corporations with sanctions if they work on Nord Stream 2, the 1,200 km pipeline bringing Russian gas to Europe, to be completed by the end of 2019. It will virtually double the capacity of Russian gas supply to Europe. Instead, Washington wants Europe to buy US shale gas and oil, and especially keeping Europe economically and financially in the US orbit, avoiding in any way a detachment from Washington and preventing the obvious and logical – an alliance with Russia. This attempt will fail bitterly, as various German Ministers, including Foreign Minister Heiko Maas, have loudly and with determination protested against such US hegemonic advances. Well, friends, you have bent over backwards to please your Washington Masters for too long. It’s high time to step out of this lock-step of obedience.

In France, this past weekend of 12 / 13 January, the Yellow Vests went into round 9 of protests against dictator Macron, his austerity program and – not least – his abject arrogance vis-à- vis the working class. A recent public statement of Macron’s is testimony of this below-the-belt arrogance: «Trop de français n’ont pas le sens de l’effort, ce qui explique en partie les ’troubles’ que connait le pays» – Translated: “Too many French don’t know the meaning of ‘effort’ which explains at least partially the trouble this country is in.”

The Yellow Vests and a majority of the French population want nothing less than Macron’s resignation. Protesters are consistently and largely under-reported by Christophe Castaner, the French Interior Minister. This past weekend the official figure was 50,000 demonstrators, countrywide, when in reality the figure was at least three times higher. The official French version would like the public at large, inside and outside of France, to believe that the Yellow Vest’s movement is diminishing. It is not. To the contrary, they are demonstrating all over France, and that despite the Macron regime’s increasing violent repression.

RT reports, on Macron’s orders the police are becoming more violent, using military suppression to control protesting French civilians. Thousands have been arrested, and hundreds injured by police brutality. Nevertheless, the movement is gaining massive public support and the ‘Yellow Vests” idea is spreading throughout Europe. This spread is, of course, hardly reported by the mainstream media.

In fact, 80% of the French back the Yellow Vests and their idea of a Citizen Initiated Referendum (RIC for “Référendum d’initiative citoyenne”), under which citizens could propose their own laws that would then be voted on by the general public. The RIC could effectively bypass the French Parliament, and would be enshrined in the French Constitution. A similar law exists since 1848 in Switzerland and is regularly applied by Swiss citizens. It is a way of Direct Democracy that any country calling itself a “democracy” should incorporate in its Constitution.

The UK is in shambles. Thousands are taking to the streets of London, organized by the People’s Assembly Against Austerity”, calling for general elections to replace the failing Tory Government. They are joined by the French Gilets Jaunes (Yellow Vests), out of solidarity. Many of the UK protesters are also wearing high-visibility yellow vests.

This is in direct correlation with the ever-growing louder debacle over BREXIT – yes, or no and how. At this point nobody knows what Britain’s future is going to be. Propaganda and counter-propaganda is destined to further confuse the people and confused people usually want to stick to the ‘status quo’. There is even a movement of pro “remain” propaganda, organized by some members of the European Parliament. Imagine! – Talking about sovereignty, if Brussels cannot even leave the Brits alone decide whether they want to continue under their dictate or not.

Hélas, the Brits are largely divided, but also past the stage of being swayed by foreign propaganda, especially in this delicate question of leaving the EU – which a majority of Brits clearly decided in June 2016. Prime Minister, Theresa May, has screwed-up the BREXIT process royally, to the point where many Brits feel that what she negotiated is worse than “no deal”. This has likely happened in close connivance with the unelected EU ‘leadership’ which does not want the UK to leave and under strict orders from Washington which needs the UK in its crucial role as a US mole in the European Union.

On 15 January 2019, the UK Parliament will vote on whether they accept the negotiated BREXIT conditions, or whether they prefer a ‘no deal’ BREXIT, or will request an extension for further negotiations under Article 50 of the “Treaty of Lisbon” (which was imposed by the heads of state of the 28 members, without any public vote, and is a false stand-in for a EU Constitution). Other options include a general election – and let the new leadership decide; or a second referendum which after two years is legally possible. The latter would likely cause severe public unrest, followed by atrocious police oppression – as already often witnessed in the UK – in which case, let’s just hope civil war can be avoided.

For weeks, the Yellow Vest movement has spread to Belgium and The Netherlands. For similar reasons – public discontent over austerity, EU dictatorship over Belgian and Dutch sovereignty. Last Friday, one of the Belgian Yellow Vests was overrun by a truck and killed. Authorities reported it as an accident.

Greece – The MS-media report all is ‘donkey-dory’, Greece is recovering, has for the first time in many years a positive growth rate and is able to refinance herself on the open capital market. Greece is no longer dependent on the irate and infamous troika (European Central Bank – ECB, European Commission and IMF). Reality is completely different, as about two thirds of the Greek population are still hovering around or below the survival level – no access to public health care, affordable medication, public schools – umpteen times reduced pensions, most public assets and services privatized for a pittance. Nothing has fundamentally changed in the last years, at least not for the better and for the majority of the people. The troika has allowed the Greek to go to the private capital markets – to boost falsely their, the Greek’s, image among the international public at large, basically telling the brainwashed populace, “It worked, we, the troika, did a good job”.

Nothing worked. People are unhappy; more than unhappy, they are indignant. They demonstrated against Angela Merkel’s recent visit to Athens, and their protests were violently oppressed by police forces. What do you expect – this is what has become of Europe, a highly repressive state of spineless vassals.

On Wednesday, 16 January, the Greek Parliament may hold a Vote of Confidence against or for Prime Minister Alexis Tsipras. The official and make-believe reason is supposedly the controversy over the name of Macedonia, which in fact has long been settled. The real reason is the public’s discontent about the continuous and increasing blood-letting by never-ending austerity, sucking the last pennies from the poor. According to Lancet, the renowned British health journal, the Greek suicide rate is soaring. Nobody talks about it. – Will Tsipras survive a possible Vote of Confidence? -If not – early elections? – Who will follow Tsipras? – Don’t be fooled by the term ‘democracy’. – The elite from within and without Greece will not allow any policy changes. That’s when people à la Gilets Jaunes(Yellow Vests) may come in. Civil unrest. Enough is enough.

In Italy the coalition of the 5-Star Movement and the small right-wing brother, Lega Norte, is pulled to the far right by Lega’s Matteo Salvini, Deputy Prime Minister and Interior Minister. Mr. Salvini is clearly calling the shots – and his alliance is firing strongly against Brussels and with good reason, as Brussels is attempting to impose rules on Italy’s budget, while the same rules do not apply equally to all EU member states. For example, Macron, France’s Rothschild implant, has special privileges, as far as budget overrun margins are concerned. Mr. Salvini’s anti-Brussels, anti-EU stance is no secret, and he has a lot of Italians behind him. An Italian Yellow Vest movement cannot be excluded.

The empire’s vassal castle is crumbling – and not even silently.

Then there are the former Soviet satellites, Hungary and Poland, turned right wing – don’t appreciate Brussels meddling with Hungary’s anti-immigration policy and in Poland over a controversial overhaul of the Judiciary system. Never mind whether you agree or not with individual country actions, both cases are clear interferences in these nations’ sovereignty. Though upon the European Court of Justice’s strong warning, Poland indeed blinked and reinstated the judges fired in the judiciary reform process. Poland’s love for NATO, and Brussels use of the NATO leverage, may have played a role in Poland’s reversal of decision. Nevertheless, discontent in Poland as in Hungary among the public at large remains strong. Migration and the Judiciary are just the visible pretexts. The legendary tip of the iceberg. Reality is on a deeper level, much deeper. These countries are both reminded of what they considered the Soviet Union’s handcuffs. “Freedom” is not being dictated by Brussels.

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The triad of systematic and willful destabilization and destruction of what we know as the Greater Middle East and western world is what we have to be aware of. The east, mostly Russia and China, is a challenge being tackled simultaneously, impressively for the brainwashed westerner, but rather meekly for those who are informed about Russia’s and China’s military might and intelligence capacity.

This drive of destabilization cum destruction comes in three phases. It started with the Middle East which for the most part has become a hopeless hell-hole, a source of indiscriminate killing by the western allies, say, the emperor’s puppets and mercenaries, resulting in millions killed and in an endless flood of refugees destabilizing Europe – which is the second phase of the triad. It’s in full swing. It happens right in front of our eyes – but we don’t see it.

It’s the Yellow Vests, austerity, increasing inequality, unemployment, social sector’s being milked to zilch by the financial system, popular uprisings’ oppression by police and military forces; it’s reflected by the dismal powerlessness of the people – that leads to “enough is enough” in the streets. That’s the way it’s all wanted. The more chaos the better. People in chaos are easily controlled.

Now comes phase three of the triad – Latin America. It has already started three or four years back. Countries that have struggled for decades to eventually break loose with some form of ‘democracy’ from the fangs of empire, are gradually being subdued with fake elections and ‘internal’ parliamentary coups, back into the emperor’s backyard. The Southern Cone – Argentina, Chile, Brazil, Uruguay, Paraguay – is ‘gone’, except for Bolivia. Peru, Colombia, Ecuador all the way to Guyana are governed by neoliberal, even neonazi-shaded Lords of Washington. But there is still Venezuela, Cuba, Nicaragua and now also Mexico that have not caved in and will not cave in.

In an extraordinary analysis, Thierry Meyssan describes in “The Terrible Forthcoming Destruction of the Caribbean Basin” – http://www.informationclearinghouse.info/50911.htm, how the Pentagon is still pursuing the implementation of the Rumsfeld-Cebrowski plan. This time, aiming at the destruction of the “Caribbean Basin” States. There is no consideration for friends or political enemies, Thierry Meyssan observes. He goes on predicting that after the period of economic destabilization and that of military preparation, the actual operation should begin in the years to come by an attack on Venezuela by Brazil (supported by Israel), Colombia (an ally of the United States) and Guyana (in other words, the United Kingdom). It will be followed by others, beginning with Cuba and Nicaragua, the ‘troika of tyranny’, as per John Bolton.

Only the future will say to what extent this plan will be implemented. At the outset, its ambitions exceed the crumbling empire’s actual capacity.

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When it comes all down to one single denominator, it’s the current western financial system that must go. It is private banking gone berserk. We are living in a financial system that has gone wild and running havoc, uncontrolled – a train of endless greed that is loosely speeding ahead and doesn’t know when it will hit an unyielding steel-enforced brick wall – but hit it will. It is a mere question of time. People are sick and tired of being milked no end by a fraudulent pyramid system – constructed by the US and her dollar hegemony and maintained by globalized private banking.

We are living in a private banking system that has nothing to do with economic development, but everything with a greed-driven domination of us, consumers, sold on debt and on money that we don’t control, despite the fact that we earned it with our hard labor; despite the fact that it is our added value to what we call the economy. No – this system is totally disrespectful of the individual, it is even ready to steal our money, if it needs to survive – our banking system. It takes the liberty of “administering” it and basically appropriating it. Once our money is in a private bank, we have lost control over it. And mind you and get it into your brains, private banks do not work for you and me, but for their shareholders. But through hundreds of years of indoctrination, we have become so used to it, that being charged interest for borrowing our own money, through an intermediary who does nothing, absolutely nothing but wait for profit to fall into its lap – has become the ‘normality’.

It isn’t. This system has to be abolished, the faster the better. Private banking needs to be eradicated and replaced by local public banking that works with local currencies, based on local economic output, way removed from globalized concepts that help steel resources, empty local social safety nets – all under the guise of austerity for progress. We should know better by now. There is no austerity for progress – has never been. This fraudulent IMF-World Bank concept has never worked, anywhere.

We have to de-dollarize our money, de-digitize our money and pool it through a public banking system for the purpose of people’s growth, hence a society’s or nation’s growth. There is currently one good example, the Bank of North Dakota. The BND has helped the US State of North Dakota through the 2008 and following years crisis, with economic growth instead of economic decline, with almost full employment, versus skyrocketing unemployment in the rest of the US and the western world. We need to build our common wealth with sovereign money, backed by our sovereign economies.

As the empire and its vassals are crumbling badly, they are shaking in their foundations, it is time to rethink what we have been taking for granted and for ‘normal’ – a fraudulent and deceptive monetary system, backed by nothing, no economy, not even gold – we are living on sheer fiat money, made by private banking by a mouse-click – and by letting us be enslaved by debt.

Enough is enough. The Yellow Vests have understood. They want to get rid of their “Macron” who keeps propagating the fraud. It is time to rethink and restart, as the crumbling is getting louder and louder. Empire’s European vassal state is falling apart and will pull Washington and its hegemonic war and money machine along into the abyss.

Peter Koenig is an economist and geopolitical analyst. He is also a water resources and environmental specialist. He worked for over 30 years with the World Bank and the World Health Organization around the world in the fields of environment and water. He lectures at universities in the US, Europe and South America. He writes regularly for Global Research; ICH; RT; Sputnik; PressTV; The 21st Century; TeleSUR; The Vineyard of The Saker Blog, the New Eastern Outlook (NEO); and other internet sites. He is the author of Implosion – An Economic Thriller about War, Environmental Destruction and Corporate Greed – fiction based on facts and on 30 years of World Bank experience around the globe. He is also a co-author of The World Order and Revolution! – Essays from the Resistance.

Peter Koenig is a Research Associate of the Centre for Research on Globalization.