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From Patrick Bond.


(Great to have Lula on record!

    To me, with my broken-record biases, these bullets below, in *bold, *are what might be the most important woulda-coulda-shoulda takeaway revelations. They deserve a great deal more introspection than leading Third Worldist strategist Pepe Escobar had time for below... but hopefully he follows up soon:

  * /"A huge pact giving the Chinese part of what they wanted, which was
    Brazil’s capacity to produce food and energy and also the capacity
    to have access to technological knowledge. Brazil needed a lot of
    infrastructure. We needed high-speed rail, many things. //*But in
    the end that did not happen.”*/

  * Lula defined his top priorities as he supported the creation of
    BRICS: *economic autonomy,* and uniting a group of nations capable
    of *helping what the Washington consensus describes as LDCs – least
    developed countries*. He emphasized: /“BRICS was not created to be
    an instrument of defense, but to be an instrument of attack. So we
    could //*create our own currency*//to become independent from the US
    dollar in our trade relations; to create a development bank, which
    we did – but //*it is still too timid*//– to create something strong
    capable of helping the development of the poorest parts of the
    world.” /Lula made an explicit reference to the United States’ fears
    about a new currency: /*“This was the logic behind BRICS, to do
    something different*//and not copy anybody. The US was very much
    afraid when I discussed a new currency and Obama called me, telling
    me, ‘Are you trying to create a new currency, a new euro?’ I said,
    ‘No, //*I’m just trying to get rid of the US dollar. I’m just trying
    not to be dependent.’”*/

  * the leadership of the Workers’ Party was caught totally unprepared
    by a conjunction of sophisticated hybrid-war techniques. One of the
    largest economies in the world was *taken over by hardcore
    neoliberals, practically without any struggle.* Lula confirmed it in
    the interview, saying: /“We should look at where we got it wrong.”/

  * Lula also hit a note of personal disappointment. *He expected much
    more from BRICS. /“I imagined a more aggressive BRICS, more
    proactive and more creative./*/‘The Soviet empire has already
    fallen; let’s create a democratic empire.’ I think we made some
    advances, but we advanced slowly. BRICS should be much stronger by
    now.”/

  * /“I want the Chinese at the negotiating table, //*not outside.*//Is
    there any discord? Put them //*inside the WTO, let’s legalize
    everything.’*//I know that [Chinese President] Hu Jintao was much
    pleased."/

  * on climate change, at Copenhagen,/"who is going to//*pay for the
    historical pollution you perpetrated before China polluted? *//Where
    is the history commission to analyze English industrialization? ...
    they are going to blame Brazil, China, India, Russia. We need to
    find a solution. Then I proposed that Celso call the Chinese and set
    up a parallel meeting. That was between Brazil, China, India and
    perhaps South Africa. Russia, I think, was not there... in this
    meeting we amassed a great deal of credibility, because we refused
    to blame the Chinese...”/

Ah, but from that appalling moment in December 2009 - the devil's deal with Obama, Hillary Clinton and Todd Stern, a deal that is still, via Durban in 2011 and Paris in 2015, amplifying the climate catastrophe - it all went downhill very fast indeed... for discussion next time.

    But what an excellent opportunity Escobar offers us all, to review the three big pre-Trump analytical frameworks and strategic choices of the last decade: 1) those advocating a "/centripetal"/ world economy based on win-win globalisation, as articulated repeatedly from Beijing; 2) "/multipolar/" promoters like Lula and Escobar, seeking to break dependency on the West - but with gradualism and cooperation; and 3) those arguing that the "/centrifugal <https://s3.amazonaws.com/academia.edu.documents/57260497/Garcia_Bond_final.pdf?response-content-disposition=attachment%3B%20filename%3DAMPLIFYING_THE_CONTRADICTIONS_THE_CENTRI.pdf&X-Amz-Algorithm=AWS4-HMAC-SHA256&X-Amz-Credential=AKIAIWOWYYGZ2Y53UL3A%2F20190902%2Fus-east-1%2Fs3%2Faws4_request&X-Amz-Date=20190902T042534Z&X-Amz-Expires=3600&X-Amz-SignedHeaders=host&X-Amz-Signature=c93cf0c8cbcff033ec4b13dec6ee5b66c5f7eea944bfa5785acfd5e6c90e772f>/" reality of crisis-prone neoliberal globalisation now means the centre cannot hold, and everything starts spinning/apart/. The late Immanuel Wallerstein offered that kind of analysis, way below, worth recalling, as is so much of his work.)

https://www.asiatimes.com/2019/08/article/brics-was-created-as-a-tool-of-attack-lula/*
*

*Lula Jail interview*
Geopolitics
August 29, 2019


  BRICS was created as a tool of attack: Lula

Former Brazilian leader wishes emerging economies were closer, recalls Obama ‘crashing’ Copenhagen climate meet

ByPepe Escobar, Curitiba, Brazil

In a wide-ranging, two-hour-plus, exclusive interview from a prison room in Curitiba in southern Brazil, former Brazilian president Luis Inacio Lula da Silva re-emerged for the first time, after more than 500 days in jail, and sent a clear message to the world.

Amid the 24/7 media frenzy of scripted sound bites and “fake news”, it’s virtually impossible to find a present or former head of state anywhere, in a conversation with journalists, willing to speak deep from his soul, to comment on all current political developments and relish telling stories about the corridors of power. And all that while still in prison.

The first part <https://www.asiatimes.com/2019/08/article/lula-from-jail-tells-world-hes-back-in-the-game/> of this mini-series focused on the Amazon. Here, we will focus on Brazil’s relationship with BRICS and Beijing. BRICS <https://en.wikipedia.org/wiki/BRICS> is the grouping of major emerging economies – Brazil, Russia, India and China – that formed in 2006 and then included South Africa in their annual meetings from 2010.

My first question to Lula was about BRICS and the current geopolitical chessboard, with the US facing a Russia-China strategic partnership. As president, from 2003 to 2010, Lula was instrumental in formatting and expanding the influence of BRICS – in sharp contrast with Brazil’s current President, Jair Bolsonaro, who appears to be convinced that China is a threat.

Lula stressed that Brazil should have been getting closer to China in a mirror process of what occurred between Russia and China: “When there was a BRICS summit here in Ceará state in Brazil, I told comrade Dilma [Rousseff, the former president] that we should organize a pact like the Russia-China pact. A huge pact giving the Chinese part of what they wanted, which was Brazil’s capacity to produce food and energy and also the capacity to have access to technological knowledge. Brazil needed a lot of infrastructure. We needed high-speed rail, many things. But in the end that did not happen.”

Lula defined his top priorities as he supported the creation of BRICS: economic autonomy, and uniting a group of nations capable of helping what the Washington consensus describes as LDCs – least developed countries.

He emphasized: “BRICS was not created to be an instrument of defense, but to be an instrument of attack. So we could create our own currency to become independent from the US dollar in our trade relations; to create a development bank, which we did – but it is still too timid – to create something strong capable of helping the development of the poorest parts of the world.”

Lula made an explicit reference to the United States’ fears about a new currency: “This was the logic behind BRICS, to do something different and not copy anybody. The US was very much afraid when I discussed a new currency and Obama called me, telling me, ‘Are you trying to create a new currency, a new euro?’ I said, ‘No, I’m just trying to get rid of the US dollar. I’m just trying not to be dependent.’”

One can imagine how this went down in Washington.

Obama may have been trying to warn Lula that the US ‘Deep State’ would never allow BRICS to invest in a currency or basket of currencies to bypass the US dollar. Later on, Vladimir Putin and Erdogan would warn President Dilma – before she was impeached – that Brazil would be mercilessly targeted. In the end, the leadership of the Workers’ Party was caught totally unprepared by a conjunction of sophisticated hybrid-war techniques.

One of the largest economies in the world was taken over by hardcore neoliberals, practically without any struggle. Lula confirmed it in the interview, saying: “We should look at where we got it wrong.”

Lula also hit a note of personal disappointment. He expected much more from BRICS. “I imagined a more aggressive BRICS, more proactive and more creative. ‘The Soviet empire has already fallen; let’s create a democratic empire.’ I think we made some advances, but we advanced slowly. BRICS should be much stronger by now.”


        Lula, Obama and China

It’s easy to imagine how what has followed went down in Beijing. That explains to a great extent the immense respect Lula enjoys among the Chinese leadership. And it’s also relevant to the current global debate about what’s happening in the Amazon. Let just Lula tell the story in his own, inimitable, Garcia Marquez-tinged way.

“One thing that the Chinese must remember, a lot of people were angry in Brazil when I recognized China as a market economy. Many of my friends were against it. But I said, ‘No, I want the Chinese at the negotiating table, not outside. Is there any discord? Put them inside the WTO, let’s legalize everything.’ I know that [Chinese President] Hu Jintao was much pleased.

“Another thing we did with China was at the COP-15 [Conference of Parties to the UN Framework Convention on Climate Change] in Copenhagen in 2009. Let me tell you something: I arrived at COP-15 and there was a list of people requesting audiences with me – Angela Markel, Sarkozy, Gordon Brown; Obama had already called twice – and I didn’t know why I was important. What did they all want? They all wanted us to agree, at COP-15, that China was the prime polluting evil on earth. Sarkozy came to talk to me with a cinematographic assembly line, there were 30 cameras, a real show: Lula accusing China. Then I had a series of meetings and I told them all, ‘Look, I know China is polluting. But who is going to pay for the historical pollution you perpetrated before China polluted? Where is the history commission to analyze English industrialization?’’

“Then something fantastic happened. An agreement was not in sight, I wanted Sarkozy to talk to Ahmadinejad – later I’ll tell you this thing about Iran [he did, later in the interview]. Ahmadinejad did not go to our dinner, so there was no meeting. But then, we were discussing, discussing, and I told Celso [Amorim, Brazil’s Foreign Minister], ‘Look,  Celso, there’s a problem, this meeting will end without an agreement, and they are going to blame Brazil, China, India, Russia. We need to find a solution.’ Then I proposed that Celso call the Chinese and set up a parallel meeting. That was between Brazil, China, India and perhaps South Africa. Russia, I think, was not there. And in this meeting, imagine our surprise when Hillary Clinton finds out about it and tries to get inside the meeting. The Chinese didn’t let her. All these Chinese, so nervous behind the door, and then comes Obama. Obama wanted to get in and the Chinese didn’t let him. China was being represented by Jiabao [Wen Jiabao, the prime minister].

Lula and US President Barack Obama, on left, attend a meeting with Chinese and other leaders in Copenhagen in December 2009 at the COP15 UN Climate Change Conference. AFP / Jewel Samad

“Then we let Obama in, Obama said, ‘I’m gonna sit down beside my friend Lula so I won’t be attacked here.’ So he sat by my side and started to talk about the agreement, and we said there is no agreement. And then there was this Chinese, a negotiator, he was so angry at Obama, he was standing up, speaking in Mandarin, nobody understood anything, we asked for a translation, Jiabao did not allow it, but the impression, by his gesticulation, was that the Chinese was hurling all sorts of names at Obama, he talked aggressively, pointing his finger, and Obama said, ‘He is angry.’ The Brazilian ambassador, who said she understood a little bit of Mandarin – she said he used some pretty heavy words.

“The concrete fact is that in this meeting we amassed a great deal of credibility, because we refused to blame the Chinese. I remember a plenary session where Sarkozy, Obama and myself were scheduled to speak. I was the last speaker. When I arrived at the plenary there was nothing, not a thing written on a piece of paper. I told one of my aides, please go out, prepare a few talking points for me, and when he left the room they called me to speak; they had inverted the schedule. I was very nervous. But that day I made a good speech. It got a standing ovation. I don’t know what kind of nonsense I said [laughs]. Then Obama started speaking. He didn’t have anything to say. So there was this mounting rumor in the plenary: He ended up making a speech that no one noticed. And then with Sarkozy, the same thing.

“What I had spoken about was the role of Brazil in the environmental question. I’ll get someone from the Workers’ Party to find this speech for you. The new trend in Brazil is to try to compare policies between myself and Bolsonaro. You cannot accept his line that NGOs are setting fire to the Amazon. Those burning the Amazon are his voters, businessmen, people with very bad blood, people who want to kill indigenous tribes, people who want to kill the poor.”

***

*In a chaotic world, whose interests are served by the BRICS?*

Immanuel Wallerstein

(excerpt from his Commentary series, republished in /BRICS: An anti-capitalist critique <https://www.plutobooks.com/9780745336411/brics/> /in 2015)

The world-system is in serious trouble and it is causing pain to the vast majority of the world’s population. Pundits and politicians grasp at straws. They magnify every momentary, and usually transitory, occurrence of slight improvements in the various measures we are accustomed to using...

The world system is self-destructing. It is in what the scientists of complexity call a bifurcation. This means that the present system cannot survive, and that the real question is what will replace it. While we cannot predict what kind of new system will emerge, we can affect the choice between the substantive alternatives available. But we can only hope to do this by a realistic analysis of existing chaotic swings and not hide our political efforts behind delusions about reforming the existing system or by deliberate attempts to obfuscate our understanding.

In this context, what role do the BRICS play?

In 2001, Jim O’Neill, then chair of Goldman Sachs Assets Management, wrote an article for their subscribers entitled ‘The World Needs Better Economic BRICs’. O’Neill invented the acronym to describe the so-called emerging economies of Brazil, Russia, India, and China, and to recommend them to investors as the economic ‘future’ of the world-economy.

The term caught on, and the BRICs became an actual group that met together regularly and later added South Africa to membership, changing the small ‘s’ to a capital ‘S’. Since 2001, the BRICS have flourished economically, at least relative to other states in the world system. They have also become a very controversial subject. There are those who think of the BRICS as the avant-garde of anti-imperialist struggle. There are those who, quite to the contrary, think of the BRICS as sub-imperialist agents of the true North (North America, western Europe and Japan). And there are those who argue that they are both.

In the wake of the post-hegemonic decline of US power, prestige, and authority, the world seems to have settled into a multipolar geopolitical structure. In this current situation, the BRICS are definitely part of the new picture. By their efforts to forge new structures on the world scene, such as the interbank structure they are seeking to create, to sit alongside and substitute for the International Monetary Fund, they are certainly weakening still further the power of the United States and other segments of the old North in favour of the South, or at least of the BRICS themselves. If one’s definition of anti-imperialism is reducing the power of the United States, then the BRICS certainly represent an anti-imperialist force.

However, geopolitics is not the only thing that matters. We will also want to know something about the internal class struggles within BRICS countries, the relations of BRICS countries to each other, and the relation of BRICS countries to the non-BRICS countries in the South. On all three issues, the record of the BRICS is murky, to say the least.

How can we assess the internal class struggles within the BRICS countries? One standard way is to look at the degree of polarisation, as indicated by Gini measures of inequality. Another way is to see how much state money is being utilised to reduce the degree of poverty among the poorest strata. Of the five BRICS countries, only Brazil has significantly improved its scores on such measures. In some cases, despite an increase in the GDP, the measures are worse than, say, 20 years ago.

If we look at the economic relations of the BRICS countries to each other, China outshines the others in rise in GDP and in accumulated assets. India and Russia seem to feel the need to protect themselves against Chinese strength. Brazil and South Africa seem to be suffering from present and potential Chinese investing in key arenas.

If we look at the relations of BRICS countries to other countries in the South, we hear increasing complaints that the way each of these countries relates to its immediate (and not so immediate) neighbours resembles too much the ways in which the United States and the old North related to them. They are sometimes accused of not being ‘sub-imperial’ but of being simply ‘imperial’.

What makes the BRICS seem so important today has been their high rates of growth since, say, 2000; rates of growth that have been significantly higher than those of the old North. But will this continue? Their rates of growth have already begun to slip. Some other countries in the South – Mexico, Indonesia, (south) Korea, Turkey – seem to be matching them.

However, given the world depression in which we continue to exist, and the low likelihood of significant recovery in the next decade or so, the possibility that, in a decade, a future Goldman Sachs analyst will continue to project the BRICS as the (economic) future is rather dubious. Indeed, the likelihood that the BRICS will continue to be a regularly meeting group with presumably common policies seems remote.

The world system’s structural crisis is moving too fast, and in too many uncertain ways, to assume sufficient relative stability to allow the BRICS as such to continue to play a special role, either geopolitically or economically. Like globalisation itself as a concept, the BRICS may turn out to be a passing phenomenon.


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