Showing posts with label Arms sales. Show all posts
Showing posts with label Arms sales. Show all posts

Wednesday, 27 November 2024

US to supply more arms to Israel

Just hours after a cease-fire between the Israeli government and Lebanese group Hezbollah took effect, the Financial Times revealed, "US President Joe Biden has provisionally approved a US$680 million weapons sale to Israel," which has also spent the past nearly 14 months decimating the Hamas-governed Gaza Strip.

Citing unnamed people familiar with the matter, the British newspaper reported, "US officials recently briefed Congress on the plan to provide thousands of additional joint direct attack munition kits to Israel, known as JDAMS, as well as hundreds of small-diameter bombs."

The Biden administration's decision to advance the sale was subsequently confirmed by Reuters, which reported, "the package has been in the works for several months. It was first brought to the congressional committees in September then submitted for review in October."

Human rights advocate critical of Israel's assaults on Lebanon and Gaza—which has led to a genocide case at the International Court of Justice and International Criminal Court (ICC) arrest warrants for Israeli Prime Minister Benjamin Netanyahu and former Defense Minister Yoav Gallant—responded with alarm to the new reporting.

"If these reports are true, it's heartbreakingly devastating news," said Amnesty International USA. "These are the weapons that our research has shown were used to wipe out entire families, without any discernible military objective."

Amnesty highlighted a trio of resolutions from Sen. Bernie Sanders that would have halted some arms sales to Israel. Although they failed to pass the Senate last week, the group was among several that noted over the course of three votes, 17, 18, and 19 senators supported halting weapons sales, "sending a clear signal that US policy must change."

"Yet, the Biden administration seems to be ready and willing to keep piling more and more, despite Gaza descending into what President Biden just yesterday described as 'hell,'" Amnesty added Wednesday. "Sending more weapons that have been used to maim and kill with impunity doesn't just put in jeopardy Palestinian lives and the elusive cease-fire the president is seeking, but also President Biden's own legacy."

The Institute for Middle East Understanding Policy Project declared Wednesday, "President Biden is spending the final days of his presidency going against the will of most Americans, US law, and international law."

"The weapons included in this package have been used by Israel in numerous apparent war crimes," the organization noted. "On July 13, 2024, Israel attacked a so-called 'safe zone' in al-Mawasi, in which internally displaced Palestinians were sheltering, killing at least 90 people and injuring hundreds more. A CNN investigation found that Israel carried out this attack with at least one JDAM."

John Ramming Chappell, an adviser on legal and policy issues at the Center for Civilians in Conflict, similarly stressed, "these are the very same weapons that for months Israeli forces have used to kill Palestinian civilians and violate international humanitarian law."

"Continuing arms transfers risks making the United States and US officials complicit in war crimes," he said. "These arms sales are unlawful as a matter of both US and international law. They are immoral. The congressional committees of jurisdiction can and must place a hold on the sales."

Sarah Leah Whitson, executive director of Democracy for the Arab World Now, pointed out, "aiding and abetting war crimes and crimes against humanity is itself a crime for which US officials may (and should) face prosecution at the ICC."

Neither the US nor Israel is a state party to the Rome Statute of the ICC, though Palestine is. Both the Biden administration and President-elect Donald Trump's pick for national security adviser have attacked the warrants for Israeli leaders.

In a speech to Israelis on Tuesday, Netanyahu said that one of the reasons for the cease-fire in Lebanon "is to give our forces a breather and replenish stocks. And I say it openly, it is no secret that there have been big delays in weapons and munitions deliveries. These delays will be resolved soon. We will receive supplies of advanced weaponry that will keep our soldiers safe and give us more strike force to complete our mission."

The Times of Israel reported that Biden's State Department declined to confirm the advancement of the package but said that US support for Israel in the face of Iran-backed threats is "unwavering" and all weapon transfers are carried out in line with federal law.

"We have made clear that Israel must comply with international humanitarian law, has a moral obligation and strategic imperative to protect civilians, investigate allegations of any wrongdoing, and ensure accountability for any abuses or violations of international human rights law or international humanitarian law," the State Department said.

 

Thursday, 22 June 2023

Biden welcomes Modi with splashy White House ceremony

President Joe Biden rolled out the White House red carpet for Indian Prime Minister Narendra Modi on Thursday as part of his effort to jump start a stronger US-India relationship and counter China's global influence with a series of defense and trade agreements.

Biden treated Modi to a colorful White House South Lawn arrival ceremony before some 7,000 people in the morning, followed by Oval Office talks and a glittering state dinner in the evening. The two leaders held a private, intimate dinner at the White House on Wednesday night.

"The challenges and opportunities facing the world in this century require that India and the United States work and lead together, and we are," Biden said.

Modi said the visit honored the people of his country and the entire Indian diaspora.

"This grand welcome ceremony at the White House today is an honor and pride for the 1.4 billion people of India," he said, speaking partly in English and partly in Hindi. "This is also an honor for more than 4 million people of Indian origin living in the US. For this honor, I express my heartfelt gratitude."

The festival-like opening ceremony featured violinist Vibha Janakiraman and a cappella group Penn Masala performing renditions of songs by the American group Maroon 5 as well as from movies by the Bollywood superstar Shah Rukh Khan.

In a rare gesture, Modi has agreed to take questions from reporters with Biden at the White House on Thursday. Modi has not conducted a news conference since becoming prime minister nine years ago and his visit has drawn attention to concerns over human rights in India.

Washington wants India to be a strategic counterweight to China and sees India as a critical partnership, although some analysts and former officials question India's willingness to stand up collectively to Beijing over issues such as Taiwan. Modi is seeking to raise the influence that India, the world's most populous country at 1.4 billion, has on the world stage in the wake of strained ties with neighboring China.

Senior Biden administration officials said the sweeping agreements to be announced on semiconductors, critical minerals, technology, space cooperation and defense cooperation and sales will ring in a new era in relations between the two countries.

Some of the deals are aimed at diversifying supply chains to reduce dependence on China. The United States has also sought to address China's rising influence in the Indo-Pacific region by bolstering defense ties with countries like India and Australia.

The two leaders will sign off on what one official called a "trailblazing" deal to allow General Electric to produce jet engines in India to power Indian military aircraft. GE said on Thursday it signed a memorandum of understanding with Hindustan Aeronautics to produce the engines.

In addition, US Navy ships in the region will be able to stop in Indian shipyards for repairs under a maritime agreement reached between the two governments.

The leaders will also announce India's plan to procure US-made armed MQ-9B SeaGuardian drones, the US officials said. "We have now entered really a 'next generation' defense partnership," said one US official.

The agreements will include US chipmaker Micron Technology's US$2.7 billion plan for a new semiconductor testing and packaging unit, to be built in Modi's home state of Gujarat. The US will also make it easier for skilled Indian workers to get and renew US visas.

India also agreed to join the US-led Artemis Accords on space exploration and to work with NASA on a joint mission to the International Space Station in 2024.

The flurry of agreements comes as some lawmakers have raised serious concerns about democratic backsliding in India.

Biden is under pressure from his fellow Democrats to discuss human rights with Modi. Three progressive Democrats - US Representatives Alexandria Ocasio-Cortez, Ilhan Omar and Rashida Tlaib - have said they would boycott Modi's address to Congress on Thursday.

"I encourage my colleagues who stand for pluralism, tolerance and freedom of the press to join me in doing the same," Ocasio-Cortez said in a Twitter post on Wednesday.

Biden will bring up concerns about press freedoms, religious freedoms and other issues in a respectful way without "hectoring, lecturing or scolding," one U.S. official who briefed reporters said.

Rights advocates, who plan to protest during Modi’s visit, on Wednesday said Biden should publicly call out the prime minister's rights record. They say the approach of US administrations of raising issues in private with the Indian leader has not stemmed what they described as deteriorating human rights in India.

Meanwhile, Republican US House of Representatives Speaker Kevin McCarthy told reporters he and the chamber's Democratic leader, Hakeem Jeffries, would lead a bipartisan congressional delegation to India in October, Punchbowl News reported on Thursday.

Modi has been to the United States five times since becoming prime minister in 2014, but the trip will be his first with the full diplomatic status of a state visit.

Biden and his wife Jill were set to give Modi gifts including a vintage American camera, a print of George Eastman's patent of the first Kodak camera, a book of American wildlife photography and a signed first edition of Robert Frost poems.

Modi will address US CEOs at a reception on Friday, as American companies plan new investments in India.

On Tuesday, he met with Tesla chief Elon Musk in New York. Musk said afterwards he plans to make the vehicles available in India as soon as possible.

Musk said Modi was pushing the car maker to make a "significant investment" in the country, adding that such an announcement was expected soon.

 

 

Friday, 21 October 2022

Modi turning Indian nonalignment policy into a business model

Subrahmanyam Jaishankar is the first career diplomat to serve as India's external affairs minister. Unlike many of his predecessors, he has also had experience in the private sector, serving as president of global corporate affairs for the Tata Group for about a year just before taking up his current role.

His unique background, coupled with the "Make in India" and "Atmanirbhar Bharat" driven by the administration of Prime Minister Narendra Modi to promote foreign investment and self-reliance, respectively, are reshaping Indian foreign policy.

Indian neutral position on Russian invasion of Ukraine has been the subject of considerable debate and discussions in media and policy circles. Many experts have attributed India's stance to its Cold War-era policy of nonalignment and its bonhomie with Russia, which dates back to those days.

The Indian government has justified its position as serving the country's national interests, rather than being a consequence of ideology. Its real geo-economic considerations go beyond realpolitik.

Unlike preceding administrations, the Modi government is not seeking to have one foot with the global South and one with the West in deference to the principle of nonalignment, nor is it motivated by what its developed-country partners call shared values.

Rather, behind the veneer of India's balancing act are trade and economic interests, particularly in terms of energy, defense, pharmaceuticals and high technology.

India is now poised to be the fastest-growing major economy this year, with the International Monetary Fund last week forecasting a gross-domestic product rise of 6.8%. This would be more than double the pace of China or the world as a whole at a time when developed countries look poised to enter recession.

Many economists have attributed India's strong growth to rising domestic consumption and its relative success at controlling inflation. But notably, the Indian finance ministry credits purchases of discounted Russian oil as a key factor in the country's strong macroeconomic performance.

Beyond cheap oil, India is also taking advantage of the growing geopolitical fractures to sell more arms abroad, increase space cooperation and develop markets for its pharmaceuticals.

Latin America has been a particular new area of focus, with the government setting up new consulates in Paraguay and the Dominican Republic and a state-owned fuel retailer looking to Brazil's Petrobras for supplies.

Visiting Argentina last month, Jaishankar pointedly used that country's name for the Falkland Islands, Islas Malvinas. This was not just a show of solidarity with a fellow member of the global South but part of a sales pitch for the Tejas fighter jet made by state-owned Hindustan Aeronautics.

Buenos Aires aims by year-end to finalize a decision between competing models, including offers for the US F-16, Russia's MiG-35, and the JF-17 made jointly by China and Pakistan.

The Tejas is billed as an affordable alternative to the F-16 and other Western fighters, and even to the JF-17. Priced at US$42 million a plane with an operating cost of around US$4,000 an hour, the Tejas is the cheapest lightweight combat aircraft available.

Indian Defense Minister Rajnath Singh promoted the Tejas on a visit to Egypt last month and other ministers have been traveling to the country as well. Hindustan Aeronautics is preparing to open its first overseas marketing office in Malaysia and considering adding others.

The Philippines, meanwhile, earlier this year finalized a US$375 million deal to buy supersonic BrahMos missiles from the Defence Research and Development Organisation (DRDO), another Indian state-owned arms producer. Vietnam is also a target market for Indian defense companies.

Indian arms makers have other advantages besides price over their established American rivals in pitching to countries in the global South. US arms makers are handcuffed by Washington's alliance policies, which fracture the world into camps. Thus the DRDO is working on a deal to sell Pinaka Mark-II guided missile systems to Armenia, a longtime Russian ally.

India's participation in the new I2U2 grouping with Israel, the US and the United Arab Emirates also shows how economic interests are taking precedence over past ideological priorities, in this case, support for the Palestinian cause.

That effort now yields little economic benefit for New Delhi while the I2U2 in July set plans for a US$2 billion series of food-sector industrial parks in India and a US$330 million renewable energy project in Modi's home state of Gujarat.

Modi's vision of "Make in India, make for the world" still faces many hurdles, including the country's aversion to free trade deals and other protectionist policies, but turning top government officials into business development managers charged with cultivating foreign markets is one way to advance the effort.

Indian concept of a multipolar world can be more than geopolitical balancing between global powers but also a geoeconomic endeavor carefully crafted to take advantage of different opportunities in each country.

 

 

Tuesday, 11 October 2022

Biden re-evaluating US relationship with Saudis

Reportedly, President Joe Biden is launching a review of the US relationship with Saudi Arabia after OPEC Plus announced last week that it would cut oil production over US objections.

The announcement came a day after powerful Democratic Senator Bob Menendez, chairman of the Senate Foreign Relations Committee, said the United States must immediately freeze all aspects of US cooperation with Saudi Arabia, including arms sales.

White House Press Secretary Karine Jean-Pierre said a review will be forthcoming but gave no timeline for action or information on who would lead the re-evaluation. The United States will be watching the situation closely over the coming weeks and months, she said.

OPEC Plus announced plans for an oil production cut last week after weeks of lobbying against one by US officials. The United States accused Saudi Arabia of kowtowing to Russia, which objects to a Western cap on the price of Russian oil spurred by the Ukraine invasion.

US officials had been quietly trying to persuade its biggest Arab partner to nix the idea of a production cut, but Saudi Arabia's de factor ruler, Crown Prince Mohammed bin Salman, was not swayed.

Bin Salman and Biden had clashed during Biden's visit to Jeddah in July over the death in 2018 of Washington Post journalist Jamal Khashoggi.

US intelligence says the crown prince approved an operation to capture or kill Khashoggi, a Saudi insider-turned-critic, who was murdered and dismembered by Saudi agents inside the kingdom's consulate in Istanbul.

The prince, son of King Salman, 86, has denied ordering the killing but acknowledged it took place under my watch. Biden said in July he told the prince he thought he was responsible.

John Kirby, the White House National Security Spokesperson, said Biden would work with Congress to think through what that relationship ought to look like going forward.

"And I think he's going to be willing to start to have those conversations right away. I don't think this is anything that's going to have to wait or should wait, quite frankly, for much longer," Kirby added.

State Department Spokesperson Ned Price also said on Tuesday the Biden administration would not overlook Iran, a US adversary and a bitter regional rival of Saudi Arabia, in the review. Much of US arms sales to Saudi Arabia have been made with Iran's threat in the region in mind.

"There are security challenges, some of which emanate from Iran. Certainly, we won't take our eye off the threat that Iran poses not only to the region, but in some ways beyond," Price said.

 

Friday, 11 March 2022

United States and Britain pushed Ukraine into war to serve their vested interests

Sayyed Hassan Nasrallah, Secretary General of Hezbollah says the United States and Britain pushed Ukraine into war, as Washington ditches its plan to send Polish fighter jets to Ukraine after Warsaw finally agreed to the idea. 

According to experts, the next few days will be critical for the tide of the conflict between Russia and Ukraine. Experts have noted Moscow will advance on its goals soon while Washington is looking to prolong the war, with observers highlighting it is not in the US interest to end at this moment now. 

In what had been a long thought out plan, Poland finally agreed to provide all its MiG-29 fighter jets (28 planes in total) to the US, which in turn was supposed to hand them over to Ukraine and replace the Polish fleet with American made fighter jets. This was a strong request by the Ukrainian government. 

Ukraine’s embattled armed forces desperately need warplanes. However, any new jets need to be ones that Ukrainian pilots have been trained to operate, which means they have to be Russian-made MiG-29 fighter jets. 

Western countries have been increasingly supplying arms to Ukraine to avoid a swift Russian victory. But so far all the anti-tank and anti-aircraft missiles transferred have only helped slow down the Russian advance.

Analysts say what is left of Ukraine’s air force will sustain further losses and it will soon reach the point where it is unable to defend itself from attack in the skies. A new fleet of warplanes would ensure (at least for a limited period) the air space above Ukraine remains contested, and would perhaps make Russia think twice about airstrikes on the capital Kyiv.

However, Washington appeared stunned by Poland’s announcement and the Pentagon has now dismissed the whole operation citing ‘logistical challenges’. 

Was the whole idea just to boost Ukraine’s morale after Kyiv voiced its anger at its allies for lack of support? 

Referring to the abandonment of Ukraine, Sayyed Hassan Nasrallah, affirmed that the wounded who fought the Israeli occupation are the witnesses in a time of denial, and evidence of the continuation of the resistance."

Nasrallah, who made the remarks during a speech on the annual Lebanese occasion ‘Day of the Wounded’ indicated that the events in Ukraine are very important in terms of lessons and lessons learned from them, and said, "Washington calls on Russia not to target civilians, so what does it have to say about the victims of American wars?"

Nasrallah recalled that American planes bombed Afghan weddings, and claimed that they were training centers for militants”, despite later acknowledging women and children had been killed. 

In related context, the Secretary-General of Hezbollah asked, "What about the Israeli massacres and war crimes in occupied Palestine, and the siege of Gaza?" He added, "And what about the massacres of the Saudi coalition against civilians in Yemen? Why is the world silent about the siege of Yemen?"

Sayyed Nasrallah stressed that those who belong to the world of the white man are just a commodity and a tool for the Americans, adding that thousands of trial sessions must be held for the American and European armies because of their crimes all over the world.

He explained that the world was silent about the Takfiris' targeting of Friday prayers in Pakistan last week, stressing that Washington is not satisfied with not condemning the Israeli crimes in Palestine, but rather prevents the world from condemning them as well.

Sayyed Nasrallah declared that there is daily evidence in the world that trusting the Americans is stupidity, foolishness, ignorance, and neglect of the nation and the homeland, adding, we have all seen how the United States left Afghanistan and abandoned those who trusted it there."

He pointed out that several European countries, including Germany, did not want things in Ukraine to reach the point where they are now, and stressed that the United States and Britain pushed Ukraine into war.

He added, "Washington stresses daily that it will not send American planes and soldiers to Ukraine, despite the fact that it pushed the region to war”. He says Washington is effectively telling the Ukrainians “you fight [against Russia], we are not ready to fight for your sake.. the most we can do is impose sanctions because we have a goal to weaken Russia, the reality is your problems are not our problems.”

The Hezbollah Chief stressed that there is a feeling of betrayal and disappointment among Ukrainian officials, and Ukrainian President Volodymyr Zelensky has backed down, he is now ready to discuss Moscow's demands, if the US allows him because he knows clearly that those who promised to stand beside him and support him.. abandoned him."

On the level of humane treatment of refugees fleeing armed conflict, Sayyed Nasrallah clarified that dealing with refugees exposes discrimination based on religion, race, and color. Is this Western civilization? 

Nasrallah addressed the Lebanese officials, saying that submission to American dictates will not save Lebanon, but rather will increase its problems.

The Hezbollah Secretary-General indicated that Lebanon voted against Russia at the United Nations, although it could have chosen to abstain from the vote, explaining that Lebanon is required to tell the Americans that the Lebanese are not slaves to it, as this is what sovereignty dictates.

Sayyed Nasrallah said, "The statement issued by the Lebanese Foreign Ministry regarding Ukraine was written in the US embassy," and asked, "Where is the disassociation that the government calls for? Why did the advocates of neutrality remain silent in front of the Lebanese statement?"

He added, "All the talk we heard about neutrality and disassociation is just an excuse to evade responsibilities towards the Palestinian cause and the war on Syria and Yemen," noting that "when it comes to the Americans, the talk about neutrality and disassociation disappears."

Nasrallah clarified, "The Foreign Ministry's statement regarding the Russian operation in Ukraine drops the lie and delusion that Hezbollah dominates the decisions made by the Lebanese state."

He asked, "If Hezbollah had dominated the state's affairs, would the Ministry of Foreign Affairs have issued a statement of this kind?"

On the issue of Lebanon's energy problems, Nasrallah revealed for the first time that a Russian company submitted to Lebanon an offer over the establishment of an oil refinery with Russian financial backing.

He added that the Russian company announced its readiness to secure all Lebanon's need for oil derivatives, and added that the company confirmed that it is able to sell oil derivatives in the Lebanese currency, not in US dollars.

Nasrallah said, "So far, Lebanon has not issued a response, after negotiations that lasted for a year and a half with the Russian company," noting that "the American embassy is preventing the Lebanese response to the Russian offer."

He explained that "the Americans are preventing Lebanon from moving towards the option with Russia without presenting an alternative."

Nasrallah reiterated that "if Hezbollah had dominated the decisions of the Lebanese state, the Russian offer would have been accepted a year and a half ago and the energy shortage problems would have been solved," calling on "Lebanese officials to take the decision and accept the proposal because the queues have returned in front of the gas stations."

The Secretary-General of Hezbollah concluded his speech by calling on the Lebanese state to "save all the Lebanese stranded in Ukraine, and to take care of those who managed to get out and reach Lebanon," and demanded that it "a minimum level of freedom, independence and patriotism, and to think about the country's interest."

 

 

Saturday, 20 November 2021

An attempt to block US$650 million US arms sale to Saudi Arabia

According to the reports, a group of senators in the United States is opposing the Biden administration’s first major arms sale to the Kingdom of Saudi Arabia over Riyadh’s involvement in the conflict in Yemen.

A joint resolution of disapproval to block a proposed US$650 million in US arms sales to the Kingdom of Saudi Arabia was introduced by Republicans Rand Paul and Mike Lee, as well as Bernie Sanders who caucuses with Democrats.

While many US lawmakers consider Saudi Arabia an important partner in the Middle East, they have criticized the country for its involvement in the war in Yemen, a conflict considered one of the world’s worst humanitarian disasters. They have refused to approve many military sales for the kingdom without assurances US equipment would not be used to kill civilians.

Activists have said Saudi Arabia has lobbied heavily against extending a mandate of United Nation investigators who have documented possible war crimes in Yemen by both the Riyadh-led coalition and the Houthi movement.

The package which was approved by the State Department would include 280 AIM-120C-7/C-8 Advanced Medium Range Air-to-Air Missiles (AMRAAM), 596 LAU-128 Missile Rail Launchers (MRL) along with containers and support equipment, spare parts, US government and contractor engineering and technical support.

In a statement Paul said, “This sale that could accelerate an arms race in the Middle East and jeopardize the security of our military technologies.”

 “As the Saudi government continues to wage its devastating war in Yemen and repress its own people, we should not be rewarding them with more arms sales,” said Sanders in the joint statement.

The Biden administration has said it adopted a policy of selling only defensive weapons to the Gulf ally.

When the State Department approved the sale a spokesman said the sale “is fully consistent with the administration’s pledge to lead with diplomacy to end the conflict in Yemen.” The air-to-air missiles ensure “Saudi Arabia has the means to defend itself from Iranian-backed Houthi air attacks,” he said.

State Department approval of a sale is not necessarily the indication of a signed contract.

Sunday, 15 September 2019

Who has attacked Saudi oil facility?


Western media controlled by those having vested interest was prompt in spreading the disinformation about attacks on Saudi oil facilities. It has used following pointers: 1) Yemen’s Iran-aligned Houthi group has claimed responsibility of attacks, 2) Kingdom’s output will be knocked out more than half, 3) oil prices will surge and 4) tension will rise in the Middle East.
This is exactly what western media has been doing for ages, only the operators have been changing. One must not forget that these attacks have come in the aftermath of earlier cross-border attacks on Saudi oil installations and on oil tankers in Gulf waters, which have failed in skyrocketing oil prices.
Mike Pompeo, Secretary of State of United States was prompt in accusing Iran of the attacks. In the same breath he ruled out Yemeni involvement and denounced Tehran for engaging in false diplomacy. He claimed “Tehran is behind nearly 100 attacks on Saudi Arabia. He accused Iran’s President Hassan Rouhani and Foreign Minister Mohammed Javad Zarif for pretending to engage in diplomacy.”
Apparently the Zionists were happy when US President Donald Trump withdrew his country from a 2015 pact and imposed a series of sanctions that could cripple Iran’s economy. But in recent weeks they were annoyed when Trump said he would be open to meeting with Rouhani on the sidelines of the United National General Assembly in New York later this month. Pompeo had also said such talks could take place without any preconditions.
Let us review the immediate response of the US which alleges Iran for the attack. The sole purpose is to diminish any and every possibility of reconciliation with Iran and keep it out of oil trade. The ultimate beneficiary of high crude price is United States as 1) its Shale oil producers remain competitive and 2) it keeps on selling arms to Saudi Arabia.
One could also recall that President Trump has often said “Saudis can’t survive without their (US) help.” As the Kingdom was going for IPO of Aramco, its production has to be suspended to make the IPO a big failure. The attack is also aimed at proving that Saudis can’t protect their assets and must ask the US to provide security. Interestingly, it is beyond comprehension how a Houthi drone attack could curtail Saudi crude production to half?
The sole purpose of spreading disinformation is to jack up crude price. Certainly, if output is curtailed by 5.7 million barrels per day the price could raise up to US$10/ barrel on Monday. Since the US has the largest surplus production capacity, it will be the only beneficiary. The attack is also aimed at reducing the importance of newly appointed Saudi Oil Minister.
To create uncertainty and make crude price volatile, the news have started pouring in. “Abqaiq is the nerve center of the Saudi energy system. Even if exports resume in the next 24-48 hours, the image of invulnerability has been altered,” Helima Croft, global head of commodity strategy at RBC Capital Markets, told Reuters.
A Saudi-led coalition battling Yemen’s Houthi group said it was investigating drone attacks against Saudi oil installations and would confront terrorist threats to global energy security. “Investigations are ongoing to determine the parties responsible for planning and executing these terrorist attacks,” said coalition spokesman Colonel Turki al-Malki. Analysts can’t rule out putting the entire blame on Iran.
Iranian foreign ministry spokesman Abbas Mousavi dismissed the US allegation as pointless. A senior Revolutionary Guards commander warned that the Islamic Republic was ready for full-fledged war. He went to the extent of saying, “All the US bases and its aircraft carriers in a distance of up to 2,000 kilometers around Iran are within the range of our missiles.”
While the probability of any attack on Iran remains low, the US will be able to achieve its prime objective, jacking up crude oil prices. Western media has already started saying, “Aramco has given no timeline for output resumption, but return to full oil capacity could take weeks, not days.” Traders and analysts say crude price may spike to as high as US$100/barrel if Riyadh fails to quickly bring back supply.

Friday, 22 June 2012

US – The biggest Arm Seller


Civilian Suffurings in Syria
I am one of the millions of people who fail to understand why conflicts are created and allowed to grow that often lead to anarchy, civil war and war among the countries.
One of the hypotheses is that when conflicts between rulers and being ruled grow the story starts with peaceful demonstration, when often get violent and soon it becomes ‘free for all’.
Lately, the uprising in the Middle East and North Africa (MENA) has become a thorn as super powers are taking active part in dethroning or consolidating the positions of rulers. Whatever is happening in Bahrain is being condoned but arms and funds are being supplied to rebel groups in Syria, the same was done in Libya in the recent past. Earlier efforts were made to develop rebel groups in Iran.
One of the conspiracy theories is proxy wars of the super powers is fought by smaller countries, the most notorious being Afghanistan. The United States prepared Taliban to defeat USSR and the war continued for nearly a decade because warlords started claim in booty.
According to one of the latest reports during 2012 the United States will make a record sale of armaments to the world but Saudi Arabia has emerged the biggest buyer. Is this the preamble of another attack on Iran? People still have in their memories that when Iraq attached Iran, Kuwait and Saudi Arabia supported his war mania.
I have read somewhere a quote that over the next five years, seven Muslim countries may come under attack, the most probable top two being Pakistan and Iran. The saga is likely to start once withdrawal of Nato solider from Afghanistan starts in 2014. It is believed that military hardware will be kept in Afghanistan and can be used against these two countries.