control of oil

Multiple flashpoints threaten to ignite East Asia

It was the South Korean government that attempted on Oct. 22 to halt the planned balloon-drop of some 200,000 anti-North Korea pamphlets across the border into the DPRK by activists (similar to the parachute-drop of teddy bears into Belarus earlier this year). North Korea had threatened military action if the South Korean activists carried out their plan. In a post to its official Korean Central News Agency site, North Korean authorities stated that the plan "was directly invented by the group of traitors and is being engineered by the [S]outh Korean military," pledging that if any leaflets were detected on the north side of the border to respond with a "merciless military strike." So South Korean police closed roads and evacuated residents from the border zone—but activists nonetheless were successful in releasing the balloons, and no military response from the North has been initiated (yet).

Petro-oligarchs play presidential candidates —again

In case you were wondering, the oil and energy industry are hedging their bets by funding both candidates (gee, what a surprise)—but not equally. Politico noted back in April that BP has favored Obama: 

BP and its employees have given more than $3.5 million to federal candidates over the past 20 years, with the largest chunk of their money going to Obama, according to the Center for Responsive Politics. Donations come from a mix of employees and the company's political action committees — $2.89 million flowed to campaigns from BP-related PACs and about $638,000 came from individuals.

Kazakhstan sentences opposition leader to prison

A court in Kazakhstan on Oct. 8 sentenced an outspoken political activist to seven-and-a-half years in jail for allegedly colluding with a fugitive billionaire to overthrow the government. Specifically, Judge Berdybek Myrzabekov found Vladimir Kozlov, head of the unofficial Alga! partyguilty of inciting dissent among striking oil workers in what became a series of violent clashes between police and workers that left 15 people dead last December. The judge declared that Kozlov had turned a labor dispute into a politicized strike on orders from billionaire Mukhtar Ablyazov, a rival of Kazakhstan President Nursultan Nazarbayev. Koslov, however, has consistently denied the charges and proclaimed that his case was an attempt by the President to quell civil protests within the country.

Third-party candidates marginalized ...in Venezuela

Venezuela's populist President Hugo Chávez of the United Venezuelan Socialist Party (PSUV) was re-elected by 54.42% of the vote, with 90% of the ballots counted as results of the hard-fought race came in the night of Oct. 7. Young opposition candidate Henrique Capriles of the Primero Justicia coalition had 44.97%. Over 80% of Venezuela's 19,119,809 registered voters participated in the election. As the results were announced, Chávez supporters poured into the streets, with a massive and spontaneous party breaking out in front of the Miraflores presidential palace in Caracas. (VenezuelAnalysisReuters, AVN, Aporrea, Oct. 8)

Japan, Taiwan ships clash with water cannon

Well, it finally came to an actual clash—albeit, thank goodness, with water cannon, not actual munitions—over the contested East China Sea islands, and it was not China but Taiwan that provoked the escalation. On Sept. 25, some 40 Taiwanese fishing vessels accompanied by 12 patrol boats dispatched by Taipei entered waters off the islets that the Chinese call Diaoyu, the Japanese call Senkaku, and the Taiwanese call Diaoyutai or Tiaoyutai. When a Japanese Coast Guard ship fired a water cannon to disperse the fishing boats, a Taiwanese patrol ship fired its own water cannon at the Japanese ship. The Taiwanese ships were apparently given a warning to clear off but refused, asserting that they had the right to be in their own territorial waters. Many of the Taiwanese ships were flying banners declaiming their national right to the islands. The Taiwanese fleet, which approached the islands at around 8 AM, departed by midday, according to Japanese authorities. (Japan Times, Sept. 26; The Telegraph, Sept. 25)

Pacific FTAs advance amid Sino-Japanese tensions

It was pretty surreal to hear Leon Panetta warning of an actual war between China and Japan, arriving in Tokyo just as the two Asian powers are facing off over contested islands in the East China Sea. What made it so incongruous is that despite the obvious lingering enmities from World War II (which for China really started in 1937, or maybe even 1931), in the current world conflict that we call World War 4, warfare is explicitly portrayed even by Pentagon planners as an instrument of globalization—bringing the light of "free markets" and "integration" to benighted regions of the globe that continue to resist their lures. Warfare is now "asymmetrical," posing a single superpower and its allies against "terrorists" and insurgents, or at the very most against "rogue states." The old paradigm of war between rival capitalist powers has seemed pretty irrelevant for the past generation. In the Cold War with the Russians, the superpowers manipulated proxy forces while the US aimed for strategic encirclement of the rival power. In the New Cold War with China that is now emerging, the US again seeks strategic encirclement, and while there aren't any proxy wars being waged (no contemporary equivalent of Vietnam or Angola or Nicaragua), Japanese and South Koreans should beware of their governments being entangled in Washington's containment strategy—as Panetta's own comments acknowledge, games of brinkmanship can get out of control. And, as we noted, even as he made his warning, he was in Japan to inaugurate a new anti-missile radar system, ostensibly designed to defend against North Korea, but certain to be perceived in Beijing as a part of the encirclement strategy...

Mexico's prez-elect broaches oil privatization —almost

At least 26 are dead, 50 injured and seven still missing after a Sept. 18 explosion at a Petróleos Mexicanos  (Pemex) gas pipeline distribution center on the outskirts of Reynosa, on the Texas border in Tamaulipas state. The dead include four Pemex employees and 22 private contractors. The pipeline serves wells in northern Mexico's Burgos basin, which have been repeatedly attacked for pilfering by criminal gangs such as Los Zetas. Last month, Pemex said the amount of petroleum products stolen in the first half of this year is up 18% compared to 2011, totalling more than 1.8 million barrels. But the company denied that criminal activity was linked to the Reynosa blast. (Brownsville Herald, Sept. 19; OilPrice, Aug. 21)

East China Sea flashpoint for Sino-Japanese war?

The prospect of an actual shooting war between China and Japan got a little realer this week as both sides raised the stakes in the showdown over the barren East China Sea chain known as the Diaoyu Islands to the Chinese and as the Senkaku Islands to the Japanese. Over the weekend, angry anti-Japan protests spread to 85 cities across China. In Beijing, protesters besieged the Japanese embassy, hurling rocks, eggs and bottles. Police fired tear gas and used water cannon on thousands of protesters occupying a street in Shenzhen, Guangdong province. Protesters broke into a Panasonic plant and several other Japanese-run factories as well as a Toyota dealership in Qingdao, Shandong province, ransacking and torching. In Shanghai, hundreds of military police were brought in to break up protesters outside the Japanese consulate, who chanted: ''Down with Japan devils, boycott Japanese goods, give back Diaoyu!'' (China Digital Times, SMH, Kyodo, Sept. 17)

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