Valdai Discussion Club
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๐Ÿฐ๐Ÿ’ป The era of technoeconomic blocs is coming, which means that high technology is moving into the geopolitical plane and taking on a strategic dimension.

Protectionism, the pandemic and the sanctions wars that we have been witnessing over the past few years have contributed to the curtailment of globalisation as we knew it.

The international division of labour at the global level is narrowing and is being localised in individual regions.

Technological independence and security are becoming critical for the main global politics players, and the EU is no exception.

To mitigate the geopolitical risks in an increasingly divided world, in which established production and supply chains are collapsing, the EU has resolved to master key core technologies in microelectronics, quantum computing, artificiial intelligence and blockchain, and to find reliable supply chains.

In other words, the EU is seeking ways to resolve the technological sovereignty issue.

๐Ÿ“‘ Find out more in the Valdai Paper โ„–119, titled โ€œEU Technological Sovereignty and Its Limitsโ€.

#EconomicStatecraft #EU #technology

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๐Ÿ‡ช๐Ÿ‡บโ›”๏ธ Sanctions against Moscow are one of the most important priorities for the EU

A new position has appeared in the bureaucracy of the European Union - the International Special Envoy for the Implementation of EU Sanctions. This post will be held by David O'Sullivan, who previously was the Ambassador of the European Union to the United States.

The primary task in this area will be to persuade as many countries as possible to formally implement the EU sanctions regime.

First of all, we are talking about diplomatic work with countries that have not implemented the sanctions against Russia, which actively continue to do business with Moscow, thereby undermining its isolation.

What does the appointment mean, what will the new official do, and how effective can his activity be for the political goals of the EU? Writes Ivan Timofeev, Programme Director of the Valdai Discussion Club.

https://valdaiclub.com/a/highlights/what-to-expect-from-the-eu-special-envoy/

#EconomicStatecraft #sanctions #EU

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๐Ÿ‡ท๐Ÿ‡บ๐Ÿ‡ช๐Ÿ‡บ It is very likely that in order to better understand future interaction with Europe, Russia needs to alter its perspective somewhat.

For more than two decades after the end of the Cold War, Russia's policy towards the European Union proceeded from the possibility that in the new conditions, this association of states would be able to restore the positions lost by its leading participants as a result of the two World Wars.

Russia thought that amid the new state of international politics, where there are no clear dividing lines and the factor of brute force is not decisive, Europe would be able to gradually free itself of complete control by the United States. Moreover, such confidence was supported in every possible way by the actions of the Europeans themselves.

Now we are living in a new international reality. It is impossible yet to say with certainty how devastating the consequences of the military-political clash around Ukraine will be for other European states. But even in the event that the conflict remains within the framework of continuing diplomatic interaction and the parties manage to avoid the most dangerous forms of escalation, thoughts regarding the independence of Western Europe have departed for good, writes Valdai Club Programme Director Timofei Bordachev.

https://valdaiclub.com/a/highlights/how-china-can-help-reimagine-europe/

#Asia_and_Eurasia #EU #Russia #China

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๐Ÿฐ๐Ÿšซ The European Union seems irretrievably engaged in a showdown with Russia.

After having rolled out nine successive waves of sanctions since February 22, 2022, without counting the sanctions already implemented since 2014, it is preparing for a tenth wave.

The sanctions did cause a drop in trade between Russia and the EU. This drop was estimated, in October 2022 compared to October 2021, at โˆ’4.5 billion USD. Moreover, it could be seen that the sanctions had above all led to a reorientation of Russian foreign trade, to the benefit of China and India, but also (and this is less well known) Turkey, Belarus and Kazakhstan.

This is an important point, when you remember that the EU was Russiaโ€™s main trading partner, both for imports and for exports. The consequences of Russiaโ€™s economic pivot to Asia will be far-reaching.

While the sanctions imposed by the European Union have had little impact on Russia, they have had an obvious impact on the EU itself, writes Valdai Club expert Jacques Sapir. What are the real consequences? Does this harsh policy, which can even be described as aggressive, against Russia have a chance of producing effects?

https://valdaiclub.com/a/highlights/will-eu-sanctions-produce-a-winner-and-a-loser/

#Valdai_WorldEconomy #EU #sanctions

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๐Ÿ‡ช๐Ÿ‡บ Dangerous, short-sighted, immature foreign policy initiatives are now at the centre of the EU agenda.

Many observers are puzzled about what guides the countries of Europe amid the current European security crisis, the largest in 80 years.

๐Ÿ”น Many of the decisions being made by the EU national governments seem reckless and counterproductive, leading to the threshold of nuclear escalation.

๐Ÿ”น Europe has neglected its own economic interests and put an end to centuries of economic cooperation with Russia.

๐Ÿ”น It seems that the political strategy of the EU is dominated not by calculation, but by the slogans that guide the leaders of Britain, Poland and the Baltic countries. The voices of the more prudent countries in Western Europe are muffled.

This trajectory would be rational if the calculation of the collective West to defeat Russia had some chance of success โ€“ but since it doesnโ€™t, now many in the EU are perplexed over how to get out of the impasse.

A scenario is likely, in which the United States, seeing that Western Europe will no longer come to its senses after a lethargic sleep and "holidays" from strategic thinking, will bet on developing its presence in Eastern Europe, strengthening Polish plans to create the Intermarium project โ€“ to create an antagonist to Russia in the space between the Baltic and Black Seas. This will form a very special strategic situation in Europe, writes Valdai Club programme director Andrey Sushentsov.

https://valdaiclub.com/a/highlights/children-s-crusade-europe-s-strategy

#ModernDiplomacy #EU #Europe

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๐Ÿ‡ช๐Ÿ‡บ๐Ÿšซ The European Union has introduced its eleventh package of sanctions against Russia.

The main intrigue of the package was restrictive measures against foreign countries and organisations that interact with Russia. It pertains to cooperation in those areas that are one way or another under EU sanctions.

Obviously, when developing new mechanisms, the EU was guided by the rich experience of the United States. Americans have been using three tools for a long time โ€“ secondary sanctions, the expansion of export restrictions, and criminal and administrative prosecutions. In the first case, the US Treasury simply imposes blocking sanctions on individuals and entities that are suspected of circumventing sanctions. Such measures were widely used against Russian counterparties abroad under all large packages of US sanctions in 2023.

The question is: how exactly will the European Union achieve the promotion of its export control rules and other sanctions against Russia abroad?

The course towards the economic blockade of Russia continues. Russia itself continues its policy of adapting to new restrictive measures, writes Valdai Club Programme Director Ivan Timofeev.

https://valdaiclub.com/a/highlights/eleventh-package-of-eu-sanctions-what-s-new/

#EconomicStatecraft #EU #sanctions

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๐Ÿงณ Will customs in EU countries undress Russian citizens?

The EU sanctions policy against Russia includes a wide range of measures. These include blocking financial sanctions, sectoral restrictions, transport and visa bans, export controls on a wide range of goods, as well as a ban on the import of a number of goods from Russia. The latter measure can be described as import controls. Its goal is to deprive Moscow of income from the sale of these goods on the markets of EU member countries. Brussels has banned the import of a number of strategic raw materials from Russia, including oil, petroleum products, coal, ferrous metallurgy products, gold, and others.

At the same time, a number of other items were also banned. This norm is postulated in Art. 3i of Council Regulation 833/2014. The direct or indirect import of certain goods from Russia to the EU is prohibited, as well as the related provision of intermediary and financial services. Appendix XXI reveals the list of titles. It is very diverse: you can find products ranging from caviar to cement, chemical products, fertilizers, soap, rubber, paper, pumps, refrigerators, bearings, engines, telephones, cars, cameras and much more. Obviously, shipments of such goods had no chance of passing customs.

But what should be done if a Russian citizen imports this or that product for personal use? The most obvious example is entering the EU in a private car.

Russian tourists are distinguished by courage โ€” they often venture to more extreme jurisdictions, and being deprived of toilet paper or a camera might seem trifling. But if the practice becomes widespread, another nail will be driven into the coffin of human ties between Russia and the EU, writes Valdai Club Programme Director Ivan Timofeev

https://valdaiclub.com/a/highlights/will-customs-in-eu-countries-undress-russians/

#EconomicStatecraft #EU #sanctions

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๐Ÿ‡ช๐Ÿ‡บ The economic consequences of sanctions for Europe are already far-reaching.

๐Ÿ”น EU countries are not able to compensate for the economic losses caused by sanctions against the Russian Federation.

๐Ÿ”น First of all, this concerns the energy and raw materials sectors. The huge increase in prices for these resources is causing serious damage to the industry. European industry is increasingly falling behind global competition.

๐Ÿ”น With the introduction of sanctions against Russia, the process of deindustrialisation of Europe is accelerating.

๐Ÿ”น This combination of inflation and recession is leading to an economic crisis in Europe that will continue for many years.

This will result in a permanent loss of wealth for Western societies, writes Ulrike Reisner, freelance political analyst, lecturer & journalist, based in Vienna, Austria, PICREADI expert.

https://valdaiclub.com/a/highlights/losses-due-to-sanctions-grow-in-the-west/

#EconomicStatecraft #EU #sanctions

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๐ŸŒŽ๐ŸŒ Recent processes, especially the crisis in the Middle East, may open a new chapter in how most countries around the world perceive the policies of the United States and Europe, as well as make it impossible to return to the previous world order.

Israel's confrontational policy does not pose a direct threat to Russia, the United States or China, the main powers of the modern world, and they are not going to cross their swords over what the Middle East region should look like after the events of this fall. But it would be short-sighted to underestimate the detrimental effect that some features of the position chosen by the West have had on the credibility of the United States and its allies among the world community. 

The West is erasing its own previous achievements. A huge part of the world's population has clearly become convinced of the boundless cynicism and duplicity of the political elites, brought to the top of the power hierarchy by the vaunted democratic system.

Due to their obsession with the current election cycle and their own career ambitions, the current leaders of the West arenโ€™t hesitating to jettison the enormous achievements of past years in building trust in international relations and a balance of interests at the global level, writes Timofei Bordachev, Programme Director of the Valdai Discussion Club.

https://valdaiclub.com/a/highlights/how-the-world-majority-sees-the-consequences/

#Asia_and_Eurasia #UnitedStates #EU #WorldMajority

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๐Ÿ‡ช๐Ÿ‡บ The Ukrainian crisis itself was, to a certain extent, the result of the fact that the continental Europe has lost all ability to be strategically independent.

This occurred as part of a gradual process that combined the consequences of the events of the middle of the last century and the failure of attempts to build a genuine political union on the basis of European integration, combining this with the expansion of the membership and the creation of a common economic policy through financial instruments within the Eurozone.

The actual position of Europeans in world politics is increasingly consistent with how we might see it in terms of abstract assessments of the relationship with the United States and their ability to act independently, Valdai Club Programme Director Timofei Bordachev writes.

https://valdaiclub.com/a/highlights/consequences-of-europe-s-strategic-failure/

#Asia_and_Eurasia #EU #Europe

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