EIR Daily Alert Service, WEDNESDAY, NOVEMBER 7, 2018

WEDNESDAY, NOVEMBER 7, 2018

Volume 5, Number 222

EIR Daily Alert Service

P.O. Box 17390, Washington, DC 20041-0390

The Well Being of Humanity is the Single Biggest Driving Force
                  For Scientific Innovation
Trump Confirms G20 Meeting With Putin in Buenos Aires,
               Paris Meeting to Be Brief
Lavrov Emphasizes, Trump Wants Good Relations With Russia,
               But Is Constrained By Domestic Policies
High-Level Talks Between China and U.S. in Wake of
               Xi-Trump Call
Japan's Fukuda Writes, Japan and China Together to Build 
               Community of Shared Future
Czech President Makes Official Visit to China,Attends CIIE
               Expo in Shanghai
Chinese Media Consider International Import Expo a 
               'Milestone' For China and the World
China, World Bank Co-Host International Forum on
               Poverty Reduction, Right Before CIIE
Kentucky Governor in China to Boost Economic Relations
London Guardian Moots Civil War For U.S. Post Mid-Terms

EDITORIAL

‘The Well-Being of Humanity Is the Biggest Driving Force for Scientific Innovation’

Nov. 6 (EIRNS)—Three major strategic developments are underway today, Nov. 6, 2018, which are conjointly decisive for mankind’s emerging future.

1) The U.S. mid-term elections are occurring, with the future of the British attempted coup d’état against the Trump administration at stake. At issue is the crucial question of U.S. relations with Russia and China, including Trump’s determination to hold personal summit meetings with Presidents Putin and Xi in the immediate future. War and peace, and the economic reconstruction of the planet around the Belt and Road Initiative, hang in the balance.

2) The Schiller Institute held a seminar in Paris today to present the just-published French-language version of “The New Silk Road Becomes the World Land-Bridge” special report, featuring Lyndon LaRouche’s scientific approach to physical economy. Before a high-level audience of over 100, including diplomats, other VIPs and media, Helga Zepp-LaRouche delivered the keynote presentation, followed by short reports from Karel Vereycken, Sébastien Périmony and Odile Mojon. Mrs. Zepp-LaRouche just recently returned from a high-profile visit to Russia on the eve of the U.S. elections, where her in-depth discussion of what is actually at stake in those elections, and the global policy solutions to the crisis provided by Lyndon LaRouche, continues to resonate deeply both in Russia and internationally.

3) The China International Import Expo (CIIE) in Shanghai continued into its second day, where business and political leaders from across the planet assembled to build the Belt and Road alternative to the collapsing trans-Atlantic financial system. China’s own development, and its commitment to “a shared future for humanity,” continue to inspire other nations and leaders into action. Exemplary are the words of Japan’s former Prime Minister Yasuo Fukuda, who expressed admiration over the way that “China has helped Africa build plentiful infrastructure and improve people’s livelihood. If Japan can join China in assisting Africa’s development, it would greatly benefit the African people. It is beneficial not only to Africa’s economy, but also to world peace and development.”

The guiding approach to that ongoing CIIE meeting was provided in yesterday’s keynote address by President Xi Jinping, whose economic views, as far as the dying British Empire is concerned, are sounding more and more like “Lyndon LaRouche with Chinese characteristics”:

“It is important for all countries to pursue innovative growth and speed up the transformation of growth drivers,” Xi stated. “Innovation is the premier engine for development. Only with bold innovation and reform can we break the bottlenecks in global growth. The world economy has just emerged from the shadow of the international financial crisis and recovery is still unstable. There is an urgent need for concerted efforts of countries in the world to promote scientific innovation and foster new growth drivers. The well-being of humanity is the biggest driving force for scientific innovation…. We need to seize the opportunities presented by the new round of technological and industrial revolution, strengthen cooperation in frontier sectors … and work together to foster new technologies, new industries, and new forms and models of business.”

STRATEGIC WAR DANGER

Trump Confirms G20 Meeting with Putin in Buenos Aires, Paris Meeting To Be Brief

Nov. 6 (EIRNS)—Before leaving Washington yesterday for his final campaign rallies in Ohio, Indiana and Missouri, President Trump was asked about his plans to meet with Russian President Vladimir Putin while both are in Paris on Nov. 11 for the Armistice Day centenary celebrations. He said: “Well, we haven’t set anything up yet. We don’t know that that’s going to be the right place. I’m going to be in Paris for other reasons. But we will be meeting at the G20 [in Buenos Aires at the end of November]. And probably we’ll have meetings after that—probably plenty of meetings. Getting along with Russia, China and all of them would be a good thing. I’ve said it for a long time. So we’ll have plenty of meetings. But I’m not sure that we’ll have a meeting in Paris—probably not.”

Kremlin spokesman Dmitry Peskov stated, after the above Trump remarks were reported, that in Paris the two Presidents “will have a brief meeting and agree between themselves on when to hold a full meeting.” He added, according to TASS, that “In this case, it is not due to disagreements; it is rather due to the format of the multilateral events dedicated to the 100th anniversary of the First World War. This format does not allow the two Presidents to meet in the full format. That’s why it was decided that they will have a brief meeting and agree between themselves on when to hold a full meeting.”

Peskov declined to comment on a report in the Russian daily Kommersant that it was actually French President Emmanuel Macron who spiked the Trump-Putin Paris meeting, on the grounds that he didn’t want it to “overshadow” the World War I ceremonies.

Lavrov Emphasizes, Trump Wants Good Relations with Russia, But Is Constrained by Domestic Politics

Nov. 6 (EIRNS)—Russian Foreign Minister Sergey Lavrov gave an interview to the Spanish daily El País, on the eve of his Nov. 6 visit to Spain to meet with Foreign Minister Josep Borrell, in which he elaborated on what he has said repeatedly about U.S. President Donald Trump’s approach to Russia:

“Donald Trump has repeatedly said in public comments and in bilateral contacts that he wants to normalize Russian-U.S. relations. I think he really wants to change the atmosphere for the dialogue for the better, to find common ground on different issues, and this is not because he has some special feelings for our country.” Trump understands that “stable and predictable cooperation with Russia is undoubtedly more in the interests of Americans than continuing a pointless confrontation,” Lavrov stated.

He continued: “The ‘Russian card’ is actively used in political clashes in Washington; Russophobic attitudes are artificially fanned. We want to hope that U.S. elites will sort it out amongst themselves at some point, and their disagreements will stop poisoning Russian-U.S. ties.” Lavrov commented that the U.S. withdrawal from the INF Treaty was timed with the U.S. midterm elections, and that, “Unfortunately, even disarmament treaties between our countries, which are important for maintaining global stability, become hostage to them [domestic problems in the U.S.].”

The problem is “the U.S. political establishment, which is stubbornly refusing to accept the reality that the multipolar world order is being shaped,” and clings to the idea that they are “a world hegemon which orders the others how to behave…. In this connection, unilateral economic sanctions, other means of restraint are vigorously employed against us, starting from a military build-up next to our borders and finishing with an unprecedented scale of the anti-Russian information campaign.”

The EU is suffering from all of this, Lavrov stated. “Objectively, sanctions are not beneficial to either Russia or the EU. It is important that this understanding finally comes to European politicians.”

Lavrov concluded: “For our part, we have been and are still open to holding a constructive and pragmatic dialogue, and to develop relations based on principles of international law, mutual respect and regard for interests of one another.”

High-Level Talks between China and U.S. in Wake of Xi-Trump Call

Nov. 6 (EIRNS)—The second round of the China-U.S. Diplomatic and Security Dialogue will meet in Washington, D.C. later this week, the U.S. State Department and Chinese Foreign Ministry announced this morning. According to Foreign Ministry press spokeswoman Hua Chunying, Secretary of State Michael Pompeo, Defense Secretary James Mattis and Chinese Politburo Member and Director of the Office of Foreign Affairs of the Communist Party of China Yang Jiechi will co-chair the dialogue, which China’s Minister of National Defense Gen. Wei Fenghe will also attend, for “an in-depth exchange of views on China-U.S. relations and other issues of mutual interest.”

The State Department’s release was similar, adding that the two Presidents “launched this framework for negotiation in Mar-a-Lago in 2017 to expand areas of cooperation while narrowing differences on key diplomatic and security issues.”

Hua cited the phone call between Presidents Donald Trump and Xi Jinping, when asked by a reporter at the daily briefing if the announcement means ties between China and the U.S. are improving. She added, however, a statement similar to those issued by Russian officials expressing their wish that people in the Trump Administration would act on the basis of President Trump’s clear intentions to establish normal, working relations with their country.

Hua reported that in their Nov. 1 phone call, Presidents Xi and Trump “both said that it is very important for China-U.S. relations to maintain healthy and stable development. The economic teams of both sides should strengthen contacts, maintain communication, and conduct consultations on issues of mutual concern in a bid to reach an arrangement on the trade issue that is acceptable to both sides…. We hope that the economic teams on both sides will faithfully implement the consensus reached by the two heads of state, strengthen contacts and maintain communication, and hold consultations on issues of mutual concern with a view to reaching a mutually acceptable plan.”

THE NEW GLOBAL ECONOMIC ORDER

Japan’s Fukuda Writes, China and Japan Together To Build Community of Shared Future

Nov. 6 (EIRNS)—Former Japanese Prime Minister Yasuo Fukuda, who has long championed cooperation between Japan and China, posted an article in People’s Daily titled “Reform and Opening Up, a Great Journey Forward,” which fulsomely praises China and promotes cooperation in Africa and elsewhere. Fukuda is still active diplomatically, and visited China early last month to prepare for Shinzo Abe’s historic visit Oct. 25-27.

Fukuda writes that he met Deng Xiaoping as a young man, and has visited China 30 times since then. “In 2000, China’s GDP was approximately a quarter of that of Japan,” he says, “but China surpassed the latter and became the world’s second largest economy 10 years later. At present, the Chinese economy is about 2.5 times of the Japanese economy. Such a rapid development is rare even in the entire human history.”

He states that since 1964 Japan has built 3,000 km of high-speed rail, while in ten years China has built 25,000 km.

He further writes that the two nations have a different style of government, but that “Under the strong and sound leadership of the Communist Party of China (CPC), the Chinese people have found a suitable development path for China based on the country’s national conditions, and worked hard and diligently, which greatly contributes to China’s remarkable achievements made through reform and opening up.” He says that development requires “political stability and well-ordered society,” which both nations have achieved, although through different paths.

He particularly points to China’s role in Africa. “The massive colonies built by many European countries on the [African] continent also caused huge agony to the people there, which turned Africa into a continent with weak economy, insufficient technology and inadequate development experiences. Xi’s visit to Africa aimed at common development and building a community of shared future with the African people. It is good to see that China has helped Africa build plentiful infrastructure and improve people’s livelihood. If Japan can join China in assisting Africa’s development, it would greatly benefit the African people. It is beneficial not only to Africa’s economy, but also the world peace and development.”

He states that this year marks the 40th anniversary of both China’s reform and of the Treaty of Peace and Friendship between Japan and China, concluding: “I hope that the two countries can carry out close cooperation, so as to make contribution to the building of a community of shared future for mankind.”

Czech President Makes Official Visit to China, Attends CIIE Expo in Shanghai

Nov. 6 (EIRNS)—Czech President Milos Zeman, who is on a three-day official visit to China, met on Nov. 5 with President Xi Jinping for talks dominated by business, and discussed China’s New Silk Road project. The Czech head of state, who is leading a large business delegation, said he would like to see at least one branch of the New Silk Road lead through the Czech Republic.

President Zeman also attended the Nov. 5 opening of the China International Import Expo (CIIE) in Shanghai, guiding his host President Xi Jinping through the Czech pavilion, where Moser Glassworks, Petrof piano manufacturing, and Tatra truck are three of the many Czech firms represented. Skoda Auto will be presenting its new model Kodiaq GT coupe, which will be sold only in China.

Hungary’s Prime Minister Viktor Orbán is also attending, one of 12 guests of honor at the CIIE. Orbán reiterated his commitment to strengthening the 16+1 platform between the Central and East European Countries and China.

Among otherwise rare constructive views shown by West Europeans, Irish Economics Minister Heather Humphreys gave an interview to Global Times in which she stresses that the Belt and Road is a big opportunity for Ireland to open up deals in other countries along the New Silk Road in cooperation with China.

Chinese Media Consider International Import Expo a ‘Milestone’ for China and the World

Nov. 6 (EIRNS)—China Daily yesterday published an editorial emphasizing that the Nov. 5-10 first China International Import Expo (CIIE) in Shanghai will mark a “milestone” of China’s already remarkable positive impact on the world economy.

“China now has more than 300 million middle class consumers, and the number will double in a decade or two,” the paper wrote, “which will be twice that of the United States, and threefold that of the European Union. Last year, China contributed 30% of the world’s economic growth. That China increases imports to meet people’s demands and propel its continued development—it expects to import more than $10 trillion worth of goods and services in five years—will benefit companies from around the world and help stoke the global economy.”

The editorial also stated that “Many enterprises from countries along the Silk Road Economic Belt and the 21st Century Maritime Silk Road are taking part in the expo, with some from the least-developed African countries showing their exports for free, [which] also makes the event a window by which the world can see the world. History will tell that this expo was a milestone signaling that China was on the way to becoming the world’s largest import and consumer market, and that countries around the world would share the dividends of China’s continued reform and opening-up.”

Global Times emphasized the strategic thinking behind China’s policy in its editorial, “Import Expo Highlights China’s Wisdom.” “When facing the pressure of a trade war, whether to close the door or persist in opening-up is a comprehensive test for China. Compared with countries that plunged into full confrontation with U.S. sanctions, China has taken totally different countermeasures. At the Boao Forum for Asia in April, Xi unveiled new measures for expanding reform and opening-up. CIIE was held as scheduled and with meticulous organization. This reflects China’s resolution to open wider, regardless of changes in the international situation.”

The editorial continued: “China has been outstandingly resilient and persistent under U.S. trade pressure, with ample rationality and strategic wisdom. China is a unique country that has its own development plan and the capacity to properly adjust the execution of that plan…. What the West says about us doesn’t matter. How fast China pushes forward reform and opening-up should be determined by the actual condition and has to meet public expectations. Policy proclamations have to be done to make people and international society feel the benefit.”

China, World Bank Co-Host International Forum on Poverty Reduction, Right Before CIIE

Nov. 6 (EIRNS)—The Chinese government and the World Bank jointly sponsored the International Forum on Reform and Opening-Up and Poverty Reduction, which was held in China on Nov. 1-2. There was participation by delegations from countries around the world, as well as major institutions such as the Asian Infrastructure Investment Bank (AIIB), the BRICS New Development Bank, the UN, etc., which toured various parts of China “to explore and gain poverty relief wisdom first hand,” according to Xinhua.

At the close of the event, a Consensus Document was issued, which stated that “China follows the principles of extensive consultation, joint contribution, and shared benefits, to promote international cooperation under the Belt and Road framework. It is committed to developing an open economy of higher standards, actively participating in global governance reform, and building a community of shared future for mankind. Through reform and opening-up, as well as large-scale poverty reduction efforts, China blazed a trail in poverty reduction with Chinese characteristics, enabling more than 700 million rural people to lift themselves out of poverty, which accounts for more than 70% of global poverty since the early 1980s. China wrote a new chapter in mankind’s fight against poverty … and offers Chinese wisdom and approach for global poverty reduction.”

K.V. Kamath, president of the BRICS New Development Bank, issued a statement emphasizing five key elements behind China’s success in poverty reduction:

“First, China’s emphasis on basic agricultural reforms and associated investments in agriculture, animal husbandry, fisheries, water and flood management that were followed by measures to boost the rural non-farm economy was critical in reducing poverty.

“Second, China has invested enormously in building infrastructure across the country, and not just in the developed coastal provinces. Massive investments in roads, railways, telecommunications and electricity have contributed to improving access of the poor to new and more distant markets, thereby enhancing economic opportunity and reducing poverty.

“Third, China focused on the development of manufacturing and other industrial sectors. Between 1978 and 2015, the number of people in non-farm jobs as a share of total employment increased from 29% to 70%. And low-income rural households have benefitted enormously from the changes in the country’s employment patterns engendered by the dual processes of rapid industrialization and urbanization.

“Fourth, China is now using technology to develop its services sector. Local governments have helped agriculture leapfrog to modern practices using digital technology to ensure improved access to critical information on plant and animal diseases, better production techniques, and quality standards. Thanks to tech-giants such as Alibaba, e-commerce now connects more remote areas to the markets, contributing to improved incomes. Villagers in remote areas are now able to consult doctors through video chats in local clinics, eliminating the need to travel to a large city.

“And fifth, China’s systems of compulsory education, rural medical cooperatives, and social pension for rural residents, and a minimum living allowance scheme have played major roles in helping low-income households secure a share of the benefits of China’s overall growth.

“Of course, the importance of strong leadership and sustained dedication in achieving these outcomes cannot be underestimated. Few other countries have made the kind of consistent and unequivocal policy choices aimed at poverty reduction as China has done. This strong political commitment has been effectively translated into policies that are implemented at all levels of government and supported by society.”

U.S. POLITICAL AND ECONOMIC

Kentucky Governor in China To Boost Economic Relations

Nov. 6 (EIRNS)—Kentucky Gov. Matt Bevin left for China today, heading a delegation in his administration’s first economic development and trade mission to the People’s Republic of China, for a week-long trip to build business and diplomatic connections, according to the Lane Report, a Kentucky business newsletter. His trip to China follows numerous international trips during the Bevin administration, which included a trip to England, Japan and South Korea earlier this year. In August China’s Ambassador Cui Tiankai visited Kentucky and met with Governor Bevin and various government and business leaders, said the Lane Report.

He and his delegation will include the first China International Import Expo in Shanghai on their trip, as well as a visit to Chongqing, reported China Daily. “We currently have eight Chinese-owned facilities operating in our state. The Chinese companies currently employ about 8,700 employees in Kentucky. Our goal is always to try to increase that footprint,” said Erran Persley, executive director of international business affairs and business development at the Kentucky Cabinet for Economic Development.

“Chinese-owned companies are already substantial employers in Kentucky, and we are excited to build upon these strong sub-national relationships with our visit to China this week,” Governor Bevin said. “Chinese companies are emerging as economic powerhouses in a wide range of markets and, as we prove Kentucky to be a ready and willing business partner, that will mean even more jobs and foreign direct investment flowing into our state. We want Kentucky to be the first state that countries around the world think of when they choose to locate in the U.S., and we are confident that this trip will significantly further our goal.” Bevin is accompanied by Kentucky Cabinet for Economic Development executive officer Vivek Sarin and Erran Persley.

London Guardian Moots Civil War for U.S. Post-Midterms

Nov. 6 (EIRNS)—Senior foreign affairs commentator at London’s Guardian, Simon Tisdall, while worrying that the Democrats may not win the U.S. midterms after all, implicitly suggests that a big Democratic win could lead the way for a new American civil war. Tisdall wrote in his Nov. 4 article:

“Historically speaking, the party of a first-term President has lost seats on all but two occasions since 1789—sometimes disastrously, as happened to the Democrats in 1994 during Bill Clinton’s first term. In 1858, President James Buchanan’s Democrats were crushed by Abraham Lincoln’s newly formed Republicans, a fracture that opened the way for the American civil war.

“While opinions differ over the prospect of a civil war #2 under Trump, there are other, objective reasons for believing he and the Republicans are heading for a drubbing,” Tisdall continued.

The victory of Lincoln’s Republicans did not lay the way for the Civil War; as no American should ever forget, it was Great Britain’s instigation, financing and arming of the Confederacy which “opened the way for the American civil war.” And it was Great Britain which organized the assassination of President Abraham Lincoln five days after its defeated Confederacy surrendered.

Tisdall does worry about the possibility that President Trump’s 2016 election was not an “aberration,” but that “large numbers of Americans really meant it when they backed Trump then, and want more of the same now.”

This British journalist concludes that “the results of the midterms could widen America’s divisions. If the Republicans win, the question will be: how on Earth can the Democrats prevent a second Trump term? If the Democrats win, take over Congress, and Robert Mueller’s expanding FBI investigation proceeds unhindered, the question will be: What might a desperate, sinking Trump do to save himself? The mind boggles.”

 

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