Geopolitics and international business: USA, China, Iran and Russia

 

IRAN - USA

Resistance ending in defeat can also demonstrate self-respect?

Nobody wants a foreign master?

Resentment of greater power and historical memories of defeat and outside interference often produce a desire for revenge. The opposite of being respected is a sense of humiliation, not the least important and sometimes irrational motives of international policy.

Iran's Financial Future A Key Issue At Election Polls For Middle Class In Tehran

Elected in 2013, Rouhani was responsible for reaching an agreement with the U.S. and five other countries that led Iran to curb its nuclear program in exchange for the lifting of economic sanctions. The deal has allowed the nation, with the world’s fourth-largest oil reserves, to reboot its international trade.

 

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Iran’s economy, the second-largest in the Middle East,

Iranians are the avatar of ancient Persia, in the 6th century B.C.

the center of the broad evolution of Middle Eastern geopolitics.

Saudi Arabia, the Gulf States, perhaps Turkey as well -- are not as concerned about a possible Iranian nuclear weapons program, which the nuclear agreement delays for many years, as with the expansion of Iran's regional influence.

The same Israel

Iran's increasing geopolitical influence is unquestionable. What Tehran wants from the world's powers, especially the U.S., is some guarantee that regime change is not Western policy and some accommodation of increased Iranian influence, which, as is the case with Russia, is justified by Iran's size and geopolitical importance.

America is reducing its influence in the Middle East but Obama's calculation is that overall reduction of U.S. attempts to control evolution of the Middle East will benefit America's interests so long the U.S. protects its allies (Israel first of all) and underwrites their common interest in pushing back against Iran and Russia.

Also as in the case of Russia, there is the issue of respect of Iran as the inheritor of a civilization and a religious achievement.

Iranians may or may not be convinced. Another reading is that Iran's negotiating team looked more like a misbehaved schoolboy facing a disciplinary committee.

Rouhani and foreign minister Javad Zarif wishing "Jews around the world, especially Iranian Jews" (about 10,000 of them) a "blessed" Jewish New Year.

Iran, Rouhani says, won't forget past U.S. intervention (the U.S.-sponsored overthrow of the Mossadegh government in 1953 and Washington's urging of Saddam Hussein to attack Iran in 1980 after the Khomeini revolution in 1979). But the main thing, he says, is to look ahead rather than let policy be decided by the past.

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USA blocks Iran-Pakistan gas pipeline plans

 

The Iran–Pakistan gas pipeline, also known as the Peace pipeline, or IP Gas,[2] is a 2,775 km (1,724 mi) long underproductionpipeline instruction to deliver natural gas from Iran to Pakistan.

ran has energy. Its neighbour Pakistan wants energy. Their efforts to work out a deal have for years been stymied by foreign powers, but now they are trying a new approach.

Last month, Pakistan proposed an alternative gas import plan from Iran amid the lingering threat of sanctions from the United States against the $7.5 billion Iran-Pakistan (IP) gas pipeline project.

The new plan involves conversion of natural gas into liquefied natural gas (LNG) and use of Oman’s LNG terminal to import gas from Iran.

Under the new plan, Iran would convert natural gas into LNG then export it to Pakistan by using the terminal facility of Oman, which has already signed a deal with Iran for the purchase of about $60bn worth of natural gas over the next 25 years.

The much-delayed IP gas pipeline project has virtually died after Pakistan failed to commission it by the scheduled time period owing to threats of possible sanctions by the US.

Under the IP contract, Pakistan is bound to pay a penalty if it fails to complete the construction of its portion of the pipeline by December 31. Iran has already completed the section of pipeline on its territory.

The alternative project that the US favours for Pakistan is the proposed Turkmenistan-Afghanistan-Pakistan-India (Tapi) gas pipeline.

Although Islamabad believes that the alternative LNG pipeline is a separate project having no links with the IP pipeline, the US wants Pakistan to abandon the IP project and go ahead with the Tapi pipeline.

The IP pipeline is strongly opposed by the US, while it is supported by Russia and China.

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So far, the biggest beneficiaries of Iran’s new financial freedom under Rouhani’s leadership have been the government and state-run companies, some linked to the Iranian Revolutionary Guard Corps (IRGC).

All the major international deals signed in recent weeks have involved state or semistate-backed industries. 

 

 

RUSSIA - USA

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Russia's governments from Peter the Great to Vladimir Putin represent a thousand-year power that began in 9th century Kievan Rus.

Vladimir Putin

“the collapse of the Soviet Union was the greatest political catastrophe of the 20th century”

During the cold war the U.S.S.R. was the second Superpower

Putin wants a Russia that counts, whose voice in international relations must be reckoned with in major international issues.

Gorbachev lost the Soviet state and the international Communist movement, obliged to accept NATO and the EU eastern expansion.

Yeltsin oversaw Russia's economic collapse and NATO's expansion to Russia's own borders.

Putin's aim to reverse Russian geopolitical decline is self-evident.

Taking Crimea, intervening in Ukraine's eastern territory, now allying with Iran in Syria, are geopolitical gains in themselves.

Russian intervention into Syrian territory and its burgeoning alliance there with Iran, are simultaneously a worry for the U.S. and its allies in the region.

That they have occurred despite American and Western opposition is an additional source of satisfaction, both emotional, and in the realism of global chess board strategy, intellectual. Putin clearly enjoys playing the game.

He's showing that Russia may be only a regional power but in its region it can intervene abroad if not with impunity then with success. Russia has new possibilities of alliance if not friendships.

 

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CHINA - USA

Beijing -Washington Business

1949, Mao Zedong

"The Chinese people, comprising one quarter of humanity, have now stood up. The Chinese have always been a great, courageous and industrious nation; it is only in modern times that they have fallen behind. That was due entirely to oppression and exploitation by foreign imperialism."

China's President Xi Jinping

“ the importance of high tech and business in the China-U.S. relationship”

a modestly prosperous society" by 2020; a fully prosperous society by 2050.

about Sino-American relations.

'to construct a new major power relationship,'

"read each other's strategic intentions correctly,"

"the most important thing is to respect each other."

Will Beijing keep its promise not to try to overthrow the international order but revise it in favor in favor of developing countries?

USA has the largest economy, the strongest military and the strongest power of attraction as a society.

A combination of resentment, fear and perhaps hatred, but also respect, alliance and friendship, is the natural condition of great geopolitical power.

What Beijing knows it will be impossible to supplant the U.S. as the world's pre-eminent power and that in strategic terms it would be a waste of resources to try. 

China's opening to the West is a zig-zag that may continue for a while.

America and the geopolitics of respect

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