In the last installment of the two part “Trading with the Enemy” Series, this blog looked a serious issues of contention affecting Sino-American trade-relations, cyber-espionage and hacking. Now we will examine a little discussed area of discomfort, trade between China and it’s very large northern neighbor, Russia. Over the last two decades, the Sino-Russo “Cold […]
Wednesday, a Liberian-flagged tanker sailed out of Libya’s northeastern port of Marsa al-Hariga carrying one million barrels of oil. At spot prices, this means the cargo is worth $100 million. This represents a significant milestone for the anti-Khadafy forces based in and around Benghazi in the east (formerly known as Cyrenaica). Symbolically, this provides greater […]
On Saturday, Iraq’s new oil minister, Abdul Kareem Luaibi, announced that Iraq will recognize an array of oil deals signed by the Kurds in northern Iraq. Luaibi, who has been at the head of negotiations with the Kurdistan Regional Government also said in his statement that dialog “with our Kurdish brothers will continue in order to reach a resolution […]
Hat Tip to Vincent Wade… Lately, there has been much attention paid to China’s growing control over precious finite resources, with the focus being on China’s punitive export embargo on “rare earth” minerals against Japan as outlined here: Without naming China, 37 leading companies and business groups from the U.S., the European Union, Japan, South […]
Last week the United Nations held a summit on the Millennium Development Goals. This is a set of venerable aims laid out in 2000 and intended to be accomplished by 2015. They include things like improving gender equality and ending extreme poverty. While some people indeed treat them as something to strive for, the goals […]
In another sign of strengthened ties between Venezuela and Russia, Prime Minister Vladimir Putin visited Hugo Chávez on Friday. Together they toured the Kruzenshtern, a Russian ship docked at the Venezuelan port city of La Guiara, and spent time in Miraflores, the equivalent of Venezuela’s White House. While in Caracas the leaders signed agreements to […]
Likely a further sign of his government’s economic woes, President Hugo Chávez’s administration is offering oil contracts to foreign companies. The response to the bidding for concessions was not as strong as it has been in the past, as many companies have been burned by Chávez’s expropriation of assets. Still, Chevron and Repsol (of Spain) […]
The Venezuelan government finally blinked when it came to financial pressures by devaluing its currency on January 8th. The rate of the Bolivar Fuerte had been pegged at 2.15 to the dollar and is now 2.6 for essential supplies and 4.3 for luxury goods. Last week the value of the dollar on the parallel market […]
In February, President Hugo Chávez won a referendum allowing him (and any other public official) to be re-elected indefinitely. A total of 54% of the electorate supported this option, but did this represent a recent peak in the Venezuelan President’s popularity? Over recent months Chávez provoked a diplomatic row with Colombia and sent troops to […]
How is it that Venezuela, awash in energy resources, experiences blackouts? Although it is a global leader in oil production, most of the country’s power comes from hydroelectric dams, including one of the word’s largest, Guri. Unfortunately a combination of drought and failing infrastructure has severely reduced capacity for power-generation. A NYT article gives a […]
Although oil prices recently reached a 1-year high, the Venezuelan economy continues to struggle. Last week the government announced a series of steps intended to promote growth and raise employment, while reducing inflation. More information can be found here. In terms of specifics, the Venezuelan economy grew at 4.8% last year, but GDP declined by […]
On the first anniversary of the financial crash, I have been thinking of the role oil played. Most pundits cite re-setting mortgage rates as the precipitate cause, but I believe the sudden spike in energy prices earlier that summer — and the resulting inflation in food and other prices — acted as the tipping point […]
In the past couple of weeks, the International Crisis Group, which monitors and comments on conflict situations around the world, has been focusing on the African country of Chad. Chad is neighbor to Sudan and starting point of what had been one of the most anticipated oil pipelines in history. ICG’s recommendations ask Chad’s government […]
I know China’s economic philosophy is different than America’s but was it ever so glaring as a week ago, when it was reported that China “loaned” China National Petroleum Corp. $30 billion for yet more overseas projects? Can you imagine Uncle Sam doing this for Exxon? (Okay, maybe GM, but the terms were a lot […]
– Malaysia is often sited as an example for the wider Muslim world of how a moderate pluralistic democracy can be compatible with Islam. An article in Forbes explores how moderate Malaysia actually is. First, the article recants the common outsiders view of Malaysia: …the Southeast Asian nation boasted the world’s tallest building, the iconic […]