In Geopolitics Today: Thursday, December 22nd
In Geopolitics Today: Thursday, December 22nd
Vietnam’s Foreign Ministry Held Culpable in Corruption Scandal, Azerbaijan Consolidates Power in Nakhchivan, and other stories.
Vietnam’s Foreign Ministry Held Culpable in Corruption Scandal
The Central Inspection Committee of the Vietnamese Communist Party has found the county’s Ministry of Foreign Affairs culpable for the 2021 repatriation flight scandal. Foreign Minister Bui Thanh Son will be “disciplined,” while ambassadors posted in Angola, India, Japan, Malaysia and Russia have been expelled from the party and face prosecution.
The Committee's findings will cause some disruption in foreign relations, active relationships and strategic policy for Vietnam. A change in personnel may also bring divergences in policy from the work of the previous ministry to strengthen ties with key international partners. The culpability of the entire ministry adds to a number of other high-profile arrests related to the scandal, and is a part of the Vietnamese Communist Party’s campaign to reduce internal corruption.
Read more about this story here.
Indonesia to Cease Bauxite Exports in June 2023
Indonesian President Joko Widodo has confirmed that his country's export ban on raw bauxite will go into effect in June 2023. The government in Jakarta has already banned exports of raw nickel ore and is expected to announce more export bans on raw materials in 2024.
Almost all bauxite is used to create aluminum oxide, which in turn is then mostly used to make aluminum metal. The bauxite ban is therefore likely to affect China’s aluminium manufacturers the most as they source 15% of their bauxite from Indonesia. This also means certain industries that rely on aluminum may experience shortages elsewhere beyond China. Indonesia's government may be hoping the ban on bauxite will incentivize foreign companies to invest in bauxite processing facilities in Indonesia.
Read more about this story here.
WTO Rejects US Labelling Requirements on Hong Kong Goods
The World Trade Organization has ruled that the United States is in violation of the trade body’s rules by requiring products from Hong Kong to be labeled as “Made in China”.
A WTO dispute panel found the US has violated its obligations and rejected Washington’s argument that exemption due to “essential security interests” allowed for such labeling. The panel disagreed with Washington’s interpretation of the situation and argued that there was no “emergency” that justifies such an exemption be made under the trade body’s rules.
Read more about this story here.
Azerbaijan Consolidates Power in Nakhchivan
The leader of Azerbaijan’s Nakhchivan region, Vasif Talibov, has abruptly resigned from his position, effectively ending his rule after 27 years. Nakhchivan is physically separated from the rest of Azerbaijan by a stretch of territory administered by Armenia and it also is the only part of Azerbaijan with a land border crossing with its close ally Turkey.
Talibov’s downfall will consolidate Baku’s rule over the Nakhchivan Autonomous Republic, with powers over security already transferred to the government in Baku. Last month, Azerbaijan’s State Security Service arrested a senior customs official in Nakhchivan and President Ilham Aliyev has since ordered the local customs committee dismantled. Baku has now assumed the duties of border security after taking control of the region’s security services earlier this year.
Read more about this story here.
Evaluating the US-Africa Leaders Summit
As part of the US-Africa Leaders Summit, Washington attempted to assuage concerns in Africa about US commitment to the continent and sought to present a more lucrative counterweight to China’s investment offers. As the summit ended, Wasihgton made promises to improve the US bilateral and multilateral relationship with Africa.
The US-Africa Leaders Summit included delegates from forty-nine countries and the African Union. The summit focused on deepening and expanding the US-Africa trade and political ties. The summit addressed issues like climate change and food security, and offered a number of deliverable goals to move the relationship forward. The most important outcomes of the summit involved US support for the African Union to become a member of the G-20 and a promise of $55 billion in aid to Africa over the next three years.