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Offline gladius_veritatis

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Russia's New Rules
« on: June 18, 2022, 04:07:13 PM »
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  • https://tomluongo.me/2022/06/17/russia-new-rules/

    POLITICS
    Russia’s New Rules

    Date: June 17, 2022Author: Tom Luongo1 Comment

    Russia is done with the West. The divorce is nearly complete. In the past few days we’ve heard from all major Russian leaders the same thing, “The West will play by our rules now.”
    You can decide for yourselves whether Russia is writing checks they can’t cash, but in the words of Foreign Minister Sergei Lavrov telling the BBC bluntly, “We do not care about the eyes of the West.” Lavrov has always been the soul of politeness and discretion when dealing with European media.
    His open hostility towards his BBC interviewer was not only palpable, it was hard to argue with. He followed that up with:
    Quote
    “I don’t think there’s even room for maneuver left anymore,” Lavrov replied.
    “Because both [Prime Minister Boris] Johnson and [Foreign Secretary Liz] Truss say publicly: ’We must defeat Russia, we must bring Russia to its knees. Go on, then, do it.”
    Russia’s leadership never talks in such openly blunt terms. It’s almost like Lavrov was channeling comedian Dennis Miller who used to say, “Feeling froggy, take that leap.”
    See where it gets you.
    Russia knows it has the West on the ropes. We need what they produce and now they are determined to set the rules on who gets them and for what price. It knows that European leaders are puppets with Klaus Schwab’s hand up their asses.
    And it knows Davos has zero leverage over Russia’s actions from here on out.
    Which brings me to the statements linked above by Gazprom CEO Alexei Miller, speaking at a panel at the St. Petersburg Economic Investment Forum (SPEIF) who just put the situation in the starkest terms there is.
    Quote
    “The game of nominal value of money is over, as this system does not allow to control the supply of resources. …Our product, our rules. We don’t play by the rules we didn’t create.”
    Miller’s statement should be thought of as a statement of principle across all theatres of operation for Russia. This doesn’t just apply to natural gas or oil. This is everything, all of Russia’s dealings with the West from here on out will be on its terms not the West’s.
    This is clearly the biggest geopolitical middle finger in the post WWII period.
    Miller is clearly laying out the rules for a new, commodity-centric monetary system, one based on what Credit Suisse’s Zoltan Poszar called ‘outside money’ — commodities, gold, even bitcoin — rather than the West’s egregious use of ‘inside money’ — debt-based fiat and credit — to perpetuate old colonialist behavior well past its use-by date.
    I laid out the basic problem in an article from March after Russia soft-pegged the ruble to gold.
    Quote
    Today’s “Inside Money” standard, known colloquially as the Dollar Reserve standard, is actually what I like to call “Milton Friedman’s Nightmare.” It is nothing more than a system of competitively devalued and inflated debt-based scrips running around drinking each other’s milkshakes until everyone’s glass is empty.
    Miller is definitely a glass full kinda guy now.
    These comments came after Gazprom began cutting gas flows to Europe through the Nordstream 1 pipeline using the cover story of repaired gas turbines trapped in fascist Canada which couldn’t be shipped back to Siemens because of sanctions.
    Now Germany and Canada are trying to figure out how to circuмvent the sanctions to get these turbines back.
    At the same time Miller pledged more gas to China (up 67% yoy through May) because Russia is interested in energy stability for its friends, while its enemies can starve.
    Quote
     Reuters is reporting that “Russia’s Gazprom increased gas supplies to China by 67% in the first five months of this year, the company’s CEO Alexei Miller said on Thursday.”
    It was also on Wednesday that Russian President Vladimir Putin and Chinese President Xi Jinping held their second phone call since the Ukraine war began. Xi told Putin that China is “willing to continue to offer mutual support (to Russia) on issues concerning core interests and major concerns such as sovereignty and security,” as quoted in state broadcaster CCTV.
    The arrogance of EU commissars never ceases to amaze me. These people all but declare war on Russia and then act shocked (Shocked, I say!) that Russia then treats them like that.
    On the same day that four members of the EU Commission — France, Italy, Germany and Romania — approve fast-tracking Ukraine’s membership application, France’s Emmanuel Macron urges Ukrainian President Volodymyr Zelenskyy to go to the bargaining table with Russia.
    Even if Zelenskyy were to make those overtures to Russia, given his public statements on what his terms are, there would be absolutely zero chance that Russia would agree to show up for talks.
    At this point I see nothing more than Russia continuing to grind out the Ukrainian army, taking what territory they want and then shepherding through local elections by the conquered territory to either become independent states or part of Russia.
    It’s likely the latter at this point since Russia is now issuing Russian passports in regions they’ve taken from Ukraine, which the EU, of course, will refuse to honor until no one cares what they think anymore.
    The rules are changing rapidly. Looking ahead there is a real danger that what Russia has set in motion leads to something no one wants to contemplate. Of course the West helped create this situation by forcing Putin’s hand to invade Ukraine, so who’s to blame about where this all leads to may, ultimately, be an irrelevant point.
    Let’s hope the noises coming from the West about the sanctions having gone too far and the chest-beating of the worst US and British neocons is no longer being taken seriously by anyone with their fingers anywhere near the launch codes.
    If that’s the case than these new rules will be grudgingly accepted only after a lot of borders have been redrawn, new alliances formed and a different world order established.
    This morning at the President Putin declared the old world order dead. He finished his speech where he detailed how the West was committing ѕυιcιdє to suit the wishes of The Davos Crowd with the following definitive statement:
    Quote
    “Russia is entering the coming era as a powerful sovereign country. We will definitely use the enormous new opportunities that time opens up for us. And we will become even stronger.”
    Putin is correct here. Russia is getting stronger by the day. The West took their best shot at destroying Russia and missed the mark. He clearly identified the real culprits for Europe’s and the US’s problems, subservience to an oligarch class who feel entitled to rule the world.
    When the war started I wrote about what I thought Putin’s intentions were. Then it was speculation:
    Quote
    Russia held all the cards in the negotiations over Ukraine and we recklessly pursued a policy of insults and amateurish propaganda, refusing to believe Russia wouldn’t make her final stand.
    By putting boots on the ground, planes in the air and missiles up the ass of every Ukrainian military installation across the country, Russia turned the ‘might makes right’ argument of the US and Europe on its head.
    The game has changed because the rules have changed. It’s no longer a game of rhetorical chicken and virtue signaling.
    Today it is fact. When Putin made his move on Ukraine the ultimate goal was the end of Russia treating the West as an equal and leading the Global South out of what he has called “vassalage.” The reason Putin is hated is because he realizes there are two types of countries, “sovereigns” and “vassals.”
    It’s been his life’s work to make Russia into a ‘sovereign’ state free from the West.
    From Russia’s perspective their military operation in Ukraine was their Declaration of Independence from the old ‘rules-based order’ of the post-WWII era. Justified or not, we are now in a new age.
    The question is now, how many will survive into it.
    "Fear God, and keep His commandments: for this is all man."


    Offline SeanJohnson

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    Re: Russia's New Rules
    « Reply #1 on: June 18, 2022, 04:35:46 PM »
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  • Outstanding article!

    ”It [Russia] knows that European leaders are puppets with Klaus Schwab’s hand up their asses.  And it knows Davos has zero leverage over Russia’s actions from here on out.”

    And some people on this forum still insist Putin is an NWO puppet?

    :facepalm:


    Rom 5: 20 - "But where sin increased, grace abounded all the more."


    Offline SeanJohnson

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    Re: Russia's New Rules
    « Reply #2 on: June 18, 2022, 04:42:36 PM »
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  • Meet the New Boss; Putin Reroutes Critical Hydrocarbons Eastward Leaving Europe High-and-Dry !

    https://www.globalresearch.ca/meet-new-boss-putin-reroutes-critical-hydrocarbons-eastward-leaving-europe-high-dry/5783617 

    -

    “Rejection of Russian energy resources means that Europe will become the region with the highest energy costs in the world. This will seriously undermine the competitiveness of European industry which is already losing the competition to companies in other parts of the world…. Our Western colleagues seem to have forgotten the elementary laws of economics, or simply prefer to ignore them.”

    On Tuesday, Russia announced a 40% reduction in the flow of natural gas to Germany through the Nord Stream pipeline. The announcement, that was made by Gazprom officials, sent tremors through the European gas market where prices quickly soared to new highs. In Germany—where prices have tripled in the last three months—the news was met with gasps of horror. With inflation already running at a 40-year high, this latest reduction in supply is certain to tip the German economy into recession or worse. All of Europe is now feeling the impact of Washington’s misguided sanctions on Russia. Here’s more from Oil Price website:

    “Russia’s Gazprom said on Tuesday that it would limit natural gas supply via the Nord Stream pipeline to Germany by 40 percentcompared to planned flows because of a delay in equipment repairs… The lower supply of gas via Nord Stream to the biggest European economy, Germany, sent Europe’s gas prices surging by double digits...Russian gas deliveries to Europe… have already been down after Ukraine stopped last month flows from Russia to Europe at … one of the two transit points… thus supply was cut off for a third of the gas transiting Ukraine onto Europe.” (“[color=var(--link-fg, #1a73e8)]Europe’s Gas Prices Surge 13% As Russia Reduces Nord Stream Flow[/color]“, Oil Price)

    The United States and its European allies have imposed more sanctions on Russia than any country in history. But Tuesday’s announcement helps to illustrate who is actually suffering from the sanctions and who is not. Russia is not suffering, in fact, Russia does not seem particularly perturbed at all. It has calmly brushed aside Washington’s attacks as one would whisk-away a fly at a family picnic. Even more surprising is the fact that the sanctions have strengthened the ruble, increased revenues from raw materials, sent Russia’s trade surplus into record territory, and pushed gas and oil profits into the stratosphere. By every objective standard, the sanctions appear to be benefiting Russia which, of course, is the opposite outcome that was expected.

    Washington’s Economic Sanctions on Russia: Success or Failure?

    The Russian currency (the Ruble) has rallied to a five-year high.

    Russia’s commodities are raking in windfall profits

    Russia’s trade surplus is projected to hit a record high this year

    Russia’s oil and gas sales have risen sharply

    There’s no evidence that Washington’s sanctions have achieved the objective of “weakening” Russia or damaging its economy.

    There is, however, considerable proof that the sanctions have backfired and inflicted a heavy toll on their supporters and their people.

    And while it’s hard to quantify how much damage has actually been done, we’ve tried to identify specific categories where the impact has been most dramatic. The sanctions have:

    Triggered a sharp rise in food and energy prices. (soaring inflation)

    Caused major disruptions in global supply-lines (Deglobalization)

    Greatly increased food shortages and the likelihood of famine

    Precipitated a severe slowdown in the global economy

    So far, Russia has withstood these attacks patiently and without any retaliatory response. But we must assume that the sudden 40% reduction in gas flows to energy-dependent Germany is intended to send a message. Keep in mind, Nord Stream 2 was a massive multi-year, $10 billion project to which Russia was fully committed until Germany ‘pulled the rug out from under Putin’ at the eleventh hour.

    Germany proved that—when push comes to shove—Berlin will always march in lockstep with Washington rather than fulfill its business agreements or act in the interests of its own people. What Germany is discovering now, however, is that acting as Washington’s poodle comes at a very high price indeed. Here’s more from Reuters:

    “Gazprom said on Tuesday it has curbed supplies via the Nord Stream 1 undersea pipeline to Germany to up to 100 million cubic metres (mcm) per day, down from 167 mcm, citing the delayed return of equipment that had been sent for repair….

    Gazprom no longer exports gas westwards through Poland via the Yamal-Europe pipeline following Russian sanctions against EuRoPol Gaz, which owns the Polish section. Flows via Yamal-Europe continue eastwards from Germany to Poland.

    “Due to the delayed return of gas compressor units from repair by Siemens … and technical engines’ malfunctions, only three gas compressor units can currently be used at the Portovaya compression station,” Gazprom said..

    “Due to the sanctions imposed by Canada, it is currently impossible for Siemens Energy to deliver overhauled gas turbines to the customer. Against this background we have informed the Canadian and German governments and are working on a viable solution,” the company said.” ([color=var(--link-fg, #1a73e8)]“Nord Stream gas capacity constrained as sanctions delay equipment[/color]“, Reuters)

    Naturally, the media is going to point to a maintenance snafu as an excuse, but how credible is that? How often is supply of a vital resource cut by nearly half due to a compressor malfunction?

    Not often. Russia is sending a simple but poignant message to Germany: “You made your bed, now sleep in it.” Russia’s reaction is perfectly normal after having been “stabbed you in the back.”

    And, Germany’s travails are just beginning because it has no way to make up for the energy shortfall it will face in the near future; a shortfall that will precipitate rolling blackouts, freezing homes, and a relentless strangulation of its domestic industry.

    As the German government is discovering, there is no viable substitute for Russian hydrocarbons which is neither readily available nor does the quality fit Germany’s particular requirements. In other words, the US has led Germany down the primrose path believing that they could simply switch to other energy suppliers and everything would be just dandy. That is certainly not the case.

    As it happens, Germany and all of Europe are going to pay more for their energy than any region in the world which will severely undermine the EU’s competitiveness. This, in turn, will lead to a sharp decline in living standards as well as growing social unrest. Here’s more from the Wall Street Journal:

    “For decades, European industry relied on Russia to supply low-cost oil and natural gas that kept the continent’s factories humming.

    Now Europe’s industrial energy costs are soaring in the wake of Russia’s war on Ukraine, hobbling manufacturers’ ability to compete in the global marketplace. Factories are scrambling to find alternatives to Russian energy under threat that Moscow could abruptly turn off the gas spigot, bringing production to a halt.

    Europe’s producers of chemicals, fertilizer, steel and other energy-intensive goods have come under pressure over the last eight months as tensions with Russia climbed ahead of the February invasion.

    Some producers are shutting down in the face of competition from factories in the U.S., the Middle East and other regions where energy costs are much lower than in Europe. Natural-gas prices are now nearly three times higher in Europe than in the U.S.” ([color=var(--link-fg, #1a73e8)]“Some European Factories, Long Dependent on Cheap Russian Energy, Are Shutting Down;[/color] Industrial energy costs are soaring in the wake of Russia’s war on Ukraine, hobbling European manufacturers’ ability to compete globally”, Wall Street Journal)

    The Wall Street Journal would like you to believe that Russia is responsible for Europe’s poor choices, but, it’s not true. Putin didn’t raise prices. Prices rose in response to the EU’s increased demand due to shortages brought on by the sanctions. How is that Putin’s fault?

    It’s not. And the same goes for the EU officials who accused Putin of “blackmail”, a claim for which there was no basis whatsoever. When that accusation was made, the price of gas in the EU was one-third of its price today. Is that how blackmail works, by charging less than the market price?

    Of course, not. It’s ridiculous. Europe was getting a great price on a scarce resource until they decided to take Uncle Sam’s bad advice and ruin it for themselves. Now they’re paying through the nose, and they can only blame themselves.

    Did you know that EU leaders are already making plans to ration energy this winter?

    It’s true. Europe has agreed to become another basket-case US lapdog in order to faithfully execute Washington’s ambitious global strategy. Here’s the story:

    “Europe could be forced to start rationing energy this winter, starting with industrial uses of natural gas, especially if the winter is cold and China’s economy rebounds, the Executive Director of the International Energy Agency (IEA), Fatih Birol, told the Financial Times in an interview.

    “If we have a harsh winter and a long winter . . . I wouldn’t exclude the rationing of natural gas in Europe, starting from the large industry facilities,” Birol told FT.

    The world faces a “much bigger” energy crisis than the one of the 1970s, Birol told German daily Der Spiegel last month.

    “Back then it was just about oil,” Birol told the news outlet. “Now we have an oil crisis, a gas crisis and an electricity crisis simultaneously,” said the head of the international agency created after the 1970s shock of the Arab oil embargo.” ([color=var(--link-fg, #1a73e8)]“IEA: Europe Could See Energy Rationing This Winter[/color]“, Oil Price)

    She’s wrong, isn’t she? We don’t have “an oil, gas and electricity crisis”. What we have is a political crisis. All of these shortages can be easily traced back to the foolish choices that were made by incompetent politicians doing the bidding of neocon fantasists who think they can turn the clock back to the heyday of American global primacy. But those days are over, and everyone seems to know they’re over except the insulated group of self-deluded fanatics at the Washington think tanks and their political spawn at 1600 Pennsylvania Avenue.

    Bottom line: We all would have been much better off listening to Kissinger who advised his pals at the World Economic Forum (WEF) to wrap up the Ukrainian war pronto before Russia made changes that could not be reversed.

    Unfortunately, Kissinger’s appeal fell on deaf ears and Putin has already started redirecting his energy flows eastward. Check out this eyepopping excerpt from an article at oilprice.com:

    “The biggest reshuffle of oil trade flows since the Arab oil embargo of the 1970s is underway—and things may never return to normal. The Russian invasion of Ukraine and the sanctions on Russian oil exports are changing global oil trade routes. Over the past nearly five decades, oil flowed more or less freely from any supplier to any customer in the world…

    This free energy trade is now over, after …. the Western sanctions that followed, plus Europe’s irreversible decision to cut off its dependence on Russian energy at any cost…

    By the end of this year, Europe expects to have effectively banned 90% of all its imports of Russian oil before the war… For oil going to Europe, crude from the Middle East will now travel longer distances to European ports compared to the shorter routes to India and China…For Europe, the choice of oil supply is now political, and it will be willing to pay a premium to procure non-Russian oil. This will tighten supply options and continue to support elevated oil prices for months to come.

    Commenting on the EU’s embargo on Russian seaborne oil imports, Fitch Ratings said last week:

    “This ban will have a significant impact on global oil trade flows, with about 30% of EU’s imports needing replacement from other regions, including the Middle East(Saudi Arabia and the UAE have sustained production spare capacity of about 2MMbpd and 1MMbpd, respectively), Africa and the US.” ([color=var(--link-fg, #1a73e8)]“The Biggest Reshuffle Of Oil Flows Since The 1970s”[/color], Oil Price)

    What does it mean?

    It means that inflation will continue to rise as Russia’s prodigious crude supplies are redirected eastward. It means that Washington has abandoned its 30 year-long ‘pet project’, Globalization, and splintered the world into rival blocs. It means that the dollar, the bond market, the western financial system and the so-called “rules-based order”—all of which are inseparably linked to economic growth that depends almost-entirely on the availability of cheap energy—will begin to creak-and-groan beneath the weight of feather-headed policy decisions that have brought certain ruin to the nations of the west and their people.

    We’re going to pay a heavy price for Washington suicidal power-grab.
    Rom 5: 20 - "But where sin increased, grace abounded all the more."

    Offline gladius_veritatis

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    Re: Russia's New Rules
    « Reply #3 on: June 18, 2022, 06:24:34 PM »
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  • Glad you like the article, Sean, and thanks for posting the additional item. 

    Thanks are due, as well, to the gutless Turd-burglar whose self-appointed, useless mission is to Down-Thumb anything I (or Sean, Lad, the Sane CI Establishment) post.  I will soon be proposing an antidote to the CI Cancel Brigade and their childish, cowardly tactics.  I may not be able to undo a single Down-Thumb, but you can bet your gutless, brainless ass I can take action to negate the rotten fruit of yours, even though, in your cowardice, you hardly ever reply like sentient, rational beings.

    "Fear God, and keep His commandments: for this is all man."

    Offline SeanJohnson

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    Re: Russia's New Rules
    « Reply #4 on: June 18, 2022, 06:48:11 PM »
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  • Rom 5: 20 - "But where sin increased, grace abounded all the more."


    Offline cassini

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    Re: Russia's New Rules
    « Reply #5 on: June 19, 2022, 10:59:30 AM »
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  • Great articles lads, thanks. I enjoyed every word of them because they are so true. Here in piddly little Ireland we actually refused to unload a tanker of oil because it came from Russia. Yesterday, thousands of people went on marches around Ireland because the ordinary people (not the well paid politicians who are responsible for the huge price rises in everything) cannot afford to live anymore. yet, a lot of them were on for sanctions against Russia and blue and yellow flags can be seen everywhere. They are all on for Ukraine to fight against Russia, a war that kills ordinary people in Ukraine, not them, not politicians. the only ones happy with the rising prices of oil and gas here are the Green party.