MULTILATERAL: EU Tariffs on China & more – 15th Oct 2024

Saluton from BA! This is the Rorshok Multilateral Update from the 15th of October twenty twenty-four. A summary of what's going down in the world's major multilateral institutions.

Kicking off this edition, a NATO senior official cautioned on Saturday the 12th that Kosovo's decision to reopen a bridge between Serbian and Albanian neighborhoods in the city of Mitrovica could potentially incite violence. He stressed that the reopening of the bridge should be handled through political channels, as part of the EU-mediated talks between Kosovo and Serbia, and not a decision unilaterally made by Kosovo. He condemned Kosovo's approach to reopen the bridge and warned that the ongoing deadlock in negotiations aimed at improving Kosovo-Serbia relations continues to present a serious risk of escalating tensions. Even though there has not been a war in the Balkans in over twenty years, deep-rooted ethnic tensions remain, and multilateral organizations like NATO work to reduce the prospects of violent conflict.

Also in Eastern Europe, on Sunday the 13th, Ukraine’s foreign minister called for a strong global response after online reports emerged about the execution of nine Ukrainian soldiers by Russian forces in the Kursk region. He denounced Russia’s treatment of Ukrainian prisoners of war, called the treatment a severe violation of international humanitarian law, and is attempting to persuade the International Criminal Court to take action.

Ukraine’s military surprised much of the world by going on the offensive and taking control of Russian territory in the Kursk region in early August. Russian officials had long said that Ukrainian attacks into Russian territory would prompt retaliation. It remains to be seen whether the reports of the executions can be verified and what multilateral organizations like the International Criminal Court can do.

In other news, following the EU’s decision to impose tariffs on Chinese electric vehicles, the Chinese government announced on Tuesday the 8th that it would introduce an anti-dumping tax on Brandy imported from the European Union. As of Friday the 11th, China's Ministry of Commerce will start collecting security deposits from businesses selling EU-made Brandy, amounting to over 30% of the product’s total value. This move aims to combat dumping, where goods are sold at prices lower than production costs in foreign markets.

China’s government is considering new tariffs on more EU goods, potentially targeting sectors like automobiles, pork, and dairy. At the same time, China has been facing a sharp decline in its cognac and brandy imports, with August figures showing a 40% year-on-year decrease.

Next up, Members of the Association of South East Asian Nations, or ASEAN, called for a prompt agreement on a code of conduct for the South China Sea. They want the new agreement to be anchored in international law, and urged an immediate end to the conflict in Myanmar, alongside inclusive peace talks to address its civil war after a meeting on Friday the 11th.

Tensions in the South China Sea have escalated recently between China and several ASEAN countries. In August twenty twenty-three, the Philippines accused China of using water cannons to block a resupply mission to the Second Thomas Shoal, an area claimed by both nations. Around the same time, Vietnam protested China's placement of buoys in the disputed Paracel Islands, accusing Beijing of violating its sovereignty. Malaysia also raised concerns over Chinese coast guard vessels patrolling near its oil and gas fields, highlighting the ongoing disputes over territory and resources in the region.

Onto the Middle East: A United Nations investigation has accused Israel of deliberately targetting Gaza's healthcare system, alleging that these actions amount to war crimes. In a report released on Thursday the 10th, the UN's Independent International Commission of Inquiry on the Occupied Palestinian Territory, including East Jerusalem, and Israel, stated that Israeli forces are responsible for war crimes such as intentional killings and mistreatment, as well as the crime against humanity of extermination. The inquiry says Israeli security forces deliberately targeted medical personnel, detained and tortured them, and attacked medical vehicles in Gaza.

On Thursday the 10th, the World Trade Organization updated its global trade volume projections. It is anticipating a modest increase this year and a potential growth of 3% in twenty twenty-five, but only if there is more stability in the Middle East. Fears of a broader regional conflict have escalated due to Israel's recent military actions against Hezbollah in Lebanon, coupled with an ongoing conflict with Hamas in Gaza.

A slight increase in global trade volumes can positively impact people's lives by boosting economic growth, creating jobs, and lowering prices on goods due to increased competition. As businesses expand their markets, they can access more resources and technologies, leading to innovation and higher-quality products. Increased trade can also improve living standards in developing countries by providing more economic opportunities and fostering infrastructure development.

On Friday the 11th, the International Monetary Fund, or IMF, approved a significant reduction in borrowing costs for its member countries, lowering them by 36%, which amounts to about $1.2 billion US dollars in savings each year. Currently, many African nations are dealing with heavy debt to the IMF.

Also on Friday the 11th, hundreds of representatives from African member states, stakeholders, the UN system, and the African Union Commission gathered for the second Africa review of the Global Compact for Safe, Orderly and Regular Migration. The participants emphasized the need to overcome obstacles hindering the positive effects of migration by prioritizing the mutual recognition of skills and qualifications between African nations. This would enable the portability of social benefits like pensions and healthcare, and improve the African Continental Free Trade Area to enhance labor mobility.

Speaking of healthcare, on Wednesday the 9th, Dr. Frank Anthony, the Health Minister of Guyana, was appointed as the President of the Pan American Health Organization, or PAHO, Executive Committee for one year. In his new position, he will spearhead efforts to protect and enhance the health and well-being of populations across the Americas. He reaffirmed his commitment to advancing PAHO's objectives, underscoring the necessity of international cooperation to address critical public health issues, including preparedness for pandemics, ensuring equitable access to healthcare, and bolstering health systems.

On Thursday the 10th, Shannon Marie Soni, the Senior Director of Bilateral, Regional, and International Engagement at Immigration, Refugees and Citizenship Canada, announced that the Canadian Government, in partnership with the International Labor Organization, has unveiled a new initiative to help Venezuelan Refugee and Migrant Women in Colombia, Ecuador, and Peru. By enhancing access to quality employment opportunities, the initiative seeks to maximize the contributions of these individuals to the development of their host countries.

In other news, during the 40th session of the Economic Commission for Latin America and the Caribbean, held from Wednesday the 9th until Friday the 11th, global experts and regional authorities came together at a high-level seminar to explore the barriers stalling development in Latin America and the Caribbean. The seminar featured three primary panels: the first examined the region's key development challenges and necessary transformations, the second focused on achieving more resilient, inclusive, and sustainable economic growth, and the third addressed strategies to reduce inequality, boost social mobility, and enhance inclusion.

For our final story, the Organization for Economic Cooperation and Development, or OECD, presented a report on Wednesday the 9th, detailing how nine out of ten online consumers have been scammed with unfair seller tactics. A recent OECD meeting of ministers concluded with an agreement to better protect consumers from these tactics, particularly children and the elderly, who might have more trouble determining if a seller tactic is fraudulent.

Aaand that’s it for this week! Thank you for joining us!

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