EIR Daily Alert Service, THURSDAY, JULY 4, 2019

EIR Daily Alert Service

P.O. Box 17390,

Washington, DC 20041-0390

  • The July Fourth Singularity
  • Moon Jae-in: Trump-Kim Handshake Marks an ‘End of Hostilites, Beginning of New Era of Peace’ in Korea
  • In Sanguine Environment, Chinese Entrpreneurs Are Anxious To Invest in North Korea
  • Washington Talk of More ‘Flexible’ Approach to North Korea, Rattling Neocons
  • The Same Incompetents as Before Are Nominated for Top EU Posts
  • Greened Out German Power Grid Collapsing, Could Bring Down European System
  • China Blasts British Imperialists Who Back ‘Color Revolutions’ Everywhere
  • Iran’s President Rouhani Insists JCPOA Can Only Be Saved If All Signers Stick to Its Commitments
  • Why Do Liberal Media Promote Kamala Harris as Big ‘Winner’ of the Democratic Debate?
  • Rosatom Finds Bolivia Can Become a Regional Science Powerhouse

EDITORIAL

The July Fourth Singularity

July 3 (EIRNS)—This Fourth of July is more than just the 243rd celebration of America’s Independence Day, that singularity in world history which marked the emergence of an entirely new form of Mankind’s social organization and government. “Life, liberty and the pursuit of happiness” is a good way to indicate the nature of that revolutionary change—as the Founding Fathers understood those concepts as developed by Gottfried Leibniz.

“Wisdom is the science of felicity, and is what must be studied above all other things,” Leibniz wrote in his 1694 essay Felicity. “One must hold as certain that the more a mind desires to know order, reason, the beauty of things which God has produced, and the more he is moved to imitate this order in the things which God has left to his direction, the happier he will be…. One even advances one’s own good in working for that of others…. Thus the sovereign wisdom has so well regulated all things that our duty must also be our happiness, that all virtue produces its own reward, and that all crime punishes itself, sooner or later.”

This July 4 is also a singularity—a break point between two distinct, and incommensurable systems—in that it marks the moment where all of the existing institutions, parameters, rules, metrics, forms of behavior, and ways of thinking of the Old Paradigm break down and stop working; and where that same moment, at that very instant, is also pregnant with the potential of an entirely New Paradigm, which has different institutions, economic principles, forms of behavior and, above all, ways of thinking.

As for the first, witness the scandalous demise of the European Union’s leading institutions, including the European Central Bank, which is being retrofitted for a vast, hyperinflationary expansion of quantitative easing, including zero-value “green” financial instruments and European Safe Bonds. Witness the moves in the same direction by the U.S. Federal Reserve, under insistent instructions from thoroughly bankrupt London and Wall Street banks.

As for the second, consider the broad, strategic import of President Donald Trump’s surprise meeting three days ago with North Korea’s Kim Jong Un, a meeting which South Korean President Moon Jae-in characterized as “an official beginning to a new era of peace”—and that is true not just on the Korean Peninsula, but planet-wide. Moon correctly emphasized the importance of joint economic development of North and South, East and West, as the only viable basis of such a peace.

There is nothing foreordained about which of these two pathways mankind will choose at this inflection point. Our best compass in these uncharted waters is that of Lyndon LaRouche’s body of ideas, which remain a living force in shaping history, to the degree that they are known, studied and acted upon.

It is for that reason that the LaRouche movement has chosen to celebrate this Fourth of July by redoubling its campaign for LaRouche’s exoneration, including by expanded circulation in both digital and print form of the petition calling for his exoneration, accompanied by the following simple message:

“I think you know that the Fourth of July is not about hot dogs and fireworks—it’s a time to celebrate what it means to be an American patriot. Throughout his entire adult life, Lyndon LaRouche represented true American patriotism. He wasn’t born into an elite social class, he wasn’t born rich—yet, he became a historical figure and leader based on the merit of his ideas, and the strength of his character.  Those ideas represented such a threat to the modern-day oligarchy that LaRouche was slandered, unjustly prosecuted, and illegally thrown into prison. What better way to celebrate America’s independence than supporting the exoneration of the great America patriot, Lyndon LaRouche? Please take two minutes to sign our petition asking President Donald Trump to exonerate LaRouche. If you’re not familiar with the legal atrocity against LaRouche, check out our new documentary, ‘The LaRouche Case—Robert Mueller’s First Hit Job.’ ”

THE NEW GLOBAL ECONOMIC ORDER

Moon Jae-in: Trump-Kim Handshake Marks an ‘End of Hostilities, Beginning of New Era of Peace’ in Korea

July 3 (EIRNS)—South Korean President Moon Jae-in, speaking to his cabinet this morning, said: “Now it can be said that not only South and North Korea but also North Korea and the U.S. have declared the end of their hostile relationship and the true beginning of a new era of peace, not through signatures on a document but through action.” According to Hankyoreh daily, “the first meeting between the leaders of these three countries at Panmunjeom, Moon asserted, meant that the Korean Peninsula could never return to the hostility of past wars.”

Moon also said: “For the first time in the 66 years since the Korean Armistice Agreement was signed, the leaders of North Korea and the U.S. shook hands at the Military Demarcations Line, and the North Korean leader led the American leader over that line and onto North Korean soil without any special security measures. This was also the first time ever that the leaders of both countries visited a guard post on the front lines in a suit and tie, rather than in military fatigues and body armor.”

Hankyoreh quotes Dongguk University’s North Korea Studies Prof. Kim Yong-hyun saying that the meeting of the three leaders at Panmunjeom “can be regarded as effectively being a declaration of the end of the war by South Korea, North Korea, and the U.S. Though it wasn’t formal or official, this basically spells the end of the armistice system that has been in place for 66 years, and it’s in that sense that President Moon personally described this as a historic day on the path toward a peace regime.”

President Moon told his cabinet that the summit planned between himself and Kim would be postponed temporarily in favor of further U.S.-North Korea diplomatic meetings, and that “improving inter-Korean relations and reaching progress in North Korea-U.S. dialogue constitute a virtuous cycle….  We need to constantly exercise creativity in order to achieve the truly challenging historical task of achieving the complete denuclearization of the Korean Peninsula and building a lasting peace regime.”

In Sanguine Environment, Chinese Entrepreneurs Are Anxious To Invest in North Korea

July 3 (EIRNS)—According to the Chinese daily Global Times of July 2, a growing number of Chinese entrepreneurs are traveling to North Korea and looking at the potential for investing in that country. This trend has been increasing over the past year, since the April 2018 speech by North Korea’s Chairman Kim Jong Un in which he indicated that economic development would be his government’s top priority.

On June 27, Global Times had a lengthy article also depicting the changes that have occurred in North Korea since Kim’s 2018 speech, largely seen in diversified economic activity, greater construction activity, new merchandise appearing on store shelves, and development of heavy and light industries.

According to one senior investor, after Kim had announced the policy shift last year, North Korea maximized the potential of its domestic market and comprehensively promoted the “socialist enterprise management responsibility system.” The government plans to attract more foreign funds by setting up more than 20 special economic zones. North Korean companies are anxious to partner with Chinese firms, as this allows them access to both capital and technology. And now, after the historic June 30 meeting between President Donald Trump and Chairman Kim Jong Un, there is hope that peace on the Korean Peninsula is finally at hand, and that the potential for real economic development can be realized.

Chinese businessmen find North Korea a very attractive location for investment, given its rich mineral resources, and stable political and economic environment. Labor costs are low, the education level is relatively high, and the work ethic strong.

Global Times cites the case of a Chinese woman who organizes regular five-day tours for businessmen, usually to Pyongyang, who want to gain first-hand knowledge of investment policies, possible cooperation projects and the business environment. The woman reports that she organized tours every month this year, from February to May, with one planned for July and another for September. Last year, she organized only two all year.

As President Trump has often pointed out, North Korea’s geographical location is a real plus. It is close to China, South Korea, Japan, and the Russian Far East. There are 600 million people living near North Korea within a radius of 1,000 km and 1.5 billion people within a radius of 2,000 km. There’s no question that North Korea is a potential partner in China’s New Silk Road perspective.

Washington Talk of More ‘Flexible’ Approach to North Korea, Rattling Neocons

July 3 (EIRNS)—U.S. Special Envoy for North Korea Stephen Biegun has reportedly said that the Trump Administration may be considering negotiating around a “complete freeze” of North Korea’s nuclear weapons program, rather than demanding its immediate total dismantling. Axios news service reported on July 2 that, during a return trip to the U.S. aboard Secretary of State Mike Pompeo’s plane, Biegun made off-the-record statements to this effect—although the Axios reporter did not personally hear them.

Biegun reportedly said that, while the Trump Administration isn’t prepared to lift sanctions if Pyongyang freezes its weapons program, it could make other concessions to Chairman Kim Jong Un, such as humanitarian relief and improved diplomatic ties. “What we are looking for is a complete freeze of WMD programs,” Biegun was quoted as telling reporters, Axios reported, citing two sources familiar with Biegun’s remarks.

The idea would be to get “a freeze and an idea of an end state,” and then, reportedly in Biegun’s words, “within that we have a discussion of a roadmap” by which Pyongyang would give up its nuclear weapons. Biegun reportedly indicated that he’s open to some “give and take” in the process of reaching that goal, and to making certain concessions to Kim.

On June 30, the New York Times reported that the administration was considering offering Pyongyang a freeze, effectively recognizing it as a nuclear power as a way to jumpstart a new round of talks. This provoked an immediate irate response from National Security Adviser John Bolton, who tweeted July 1 that “neither the NSC staff nor I have discussed or heard of any desire to settle for a nuclear freeze by NK,” and that the report was “a reprehensible attempt by someone to box in the President.”

Bolton was not involved in organizing Trump’s June 30 meeting with Kim at the DMZ. But, as Yonhap News reported today, Biegun was. Late on June 29, Biegun flew to Panmunjeom with an NSC officer to meet secretly with North Korean officials, and, according to this report, Trump alone decided to meet with Kim, reportedly surprising even Biegun. Yonhap also reported that the U.S. and North Korea could resume working-level nuclear negotiations this month on the sidelines of the ASEAN Regional Forum (ARF), July 31-Aug. 3 in Bangkok, Thailand. Pompeo and D.P.R.K. Foreign Minister Ri Yong-ho are both scheduled to attend. On June 30, Pompeo told reporters that talks could resume in mid-July, and that Biegun will lead the negotiating team.

COLLAPSING WESTERN FINANCIAL SYSTEM

The Same Incompetents as Before Are Nominated for Top EU Posts

July 3 (EIRNS)—The EU establishment shows no intent to go for any constructive change of policies: the wheeling and dealing of the EU Council July 1-3 summit over the nominations for the replacement at the top posts of the EU has not generated any sign of reflection about the changing realities. The nominations are: Christine Lagarde for the ECB; Ursula von der Leyen for the EU Commission; Charles Michel (Belgium) for Council President; Josep Borrell Torelles (Spain) for High Representative for Foreign Affairs; a socialist (name not agreed on yet) for European Parliament President.

It is particularly noteworthy that the German business dailyHandelsblatt welcomed the nomination of IMF Managing Director Lagarde as European Central Bank president, on the condition that the bank’s chief economist Philip Lane play a leading role in shaping its future orientation. Lane, who is Irish, is a vocal advocate of the ECB promoting climate-related financial markets, which are thorough boondoggle, and of the so-called European Safe Bonds, another hyperinflationary boondoggle.

All of the new EU leader candidates stand for the disorientation and degeneracy that is so characteristic for “Europe.” It is like plundering Madame Tussaud’s salon, not for the prominents in wax but only for their costumes. Von der Leyen’s two vice presidents will be Frans Timmermans (Dutch) and Margarete Vestager (Danish).

Whether these candidates are approved by the European Parliament in its session July 15 or 16, however, is up in the air, because the fact that neither the results of the European Parliament elections nor the views of the different groups in the newly-elected Parliament have played a role—instead the nominations have been decreed by the EU leaders—is causing discontent among MEPs. From the side of the German Greens and the German Social Democrats, Von der Leyen is already rejected.

Greened Out German Power Grid Collapsing, Could Bring Down European System

July 3 (EIRNS)—Usually, news about the situation in Germany’s electrical power, which is becoming more and more incalculable under the regime of “renewables first,” are not made public in the mainstream media, which are accomplices to this idiocy. But now, as the Federal Grid Agency has issued a warning after a series of very grave threats of power outages during June, the media all of a sudden are alarmed. Frankfurter Allgemeine Zeitung reported that on three days in June, the supply of control energy for urgent intervention to keep the German power grid stable was not there, with repercussions for the entire European power grid that connects all member countries. The agency states that the “security of the system” was put at the risk of a total blackout. In other words, the German problem can bring down the entire European system.

Before the era of “renewables,” the base load was always guaranteed by the combination of nuclear, coal, and gas, vacillations being really very rare; now, with the emphasis put on unreliable and incalculable solar and wind, a stable base load often can only be secured with huge imports of power from Germany’s neighbors. This also happened during the three days in June. Even worse: Since German electricity prices are fixed at the power exchange in Leipzig, they are vulnerable to unregulated speculation, which at the peak of critical undersupply on June 29 reached a sky-rocketing €37,856/megawatt-hour, against €10 on June 22. On June 30, the price was still at €3,900, and on July 1, it had dropped to €400. Providers that supply industry, institutions, and private households with electricity will have to increase end-user prices in order to compensate for the insanity on June 29.

Experts still have the chutzpah to claim that inaccurate weather forecasts led traders to bring less power to the market than required; the fact is, that the market is not oriented toward securing the base load but is dominated by the greed for maximum profit. There are hints that, on top of the physical cuts in the base load, speculators arranged the critical shortage in order to make greater gains, resembling the days of Enron et al.

There were some 100 power outages in 2018, not as serious as in June 2019, but still forcing numerous large industrial facilities, such as aluminum and steel plants, to go off the grid for a certain time. Should what happened in June, take place again, it will be much worse—and it will happen again, unless Germany decides to return to nuclear and scrap the coal exit decrees. Hopefully, these recent incidents are a wake-up call to stop the march backward into the dark, cold era of “renewables.”

STRATEGIC WAR DANGER

China Blasts British Imperialists Who Back ‘Color Revolutions’ Everywhere

July 3 (EIRNS)—While British Prime Minister wannabe Boris Johnson and lame duck Theresa May continued today to praise violent demonstrators in Hong Kong and demanded that China respect their “human rights,” Chinese Foreign Ministry spokesman Geng Shuang blasted Britain’s shameless insistence that it should have some say in how China manages affairs in Britain’s former Crown Colony, which ended with its return to China on July 1, 1997.

Geng particularly took aim at Foreign Secretary Jeremy Hunt, who demanded on July 1 that China keep its “hands off” the violent protesters and “respect” democratic values.

It seems that Hunt, Geng said, “is still basking in the faded glory of colonialism and obsessed in the bad habit of condescendingly criticizing other countries’ affairs and keeping talking sheer nonsense without showing any repentance at all.

“The U.K. has no sovereignty and no right to rule or supervise Hong Kong after the handover, not to mention any so-called responsibility. It has been flattering itself that it’s a guardian for Hong Kong, which is nothing more than wishful thinking.” Moreover, “it’s simply shameless to say that the freedoms of the Hong Kong people were negotiated for them by the U.K.” Geng pointed out that under the British Empire, Hong Kong’s citizens had few democratic rights, and that these were only guaranteed by China after Britain handed over the colony.

Add to this, on July 2 the Global Times editorial slams forces in the West for trying to foment a “color revolution” and “riots” in Hong Kong.

“The storming and vandalizing of the Hong Kong Legislative Council building by some extremists has sent a shock wave. It has sounded the alarm for Hong Kong society that such a deplorable scene, in which rule of law was trampled upon, happened in the international financial center.” It strikes the hypocrisy of Western nations that crack down on violent demonstrations at home, but abroad “back almost all riots and even color revolutions that go against their governments. The West has been lending strong spiritual support to violent protests around the world. On many occasions, non-governmental organizations, diplomats and intelligence agencies of the West have acted behind the curtain to escalate riots.”

In its editorial today, China Daily makes the appropriate point that “ideologues in Western governments never cease in their efforts to engineer unrest against governments that are not to their liking, even though their actions have caused misery and chaos in country after country in Latin America, Africa, the Middle East, and Asia.”

Iran’s President Rouhani Insists JCPOA Can Only Be Saved If All Signers Stick to Its Commitments

July 3 (EIRNS)—Iranian President Hassan Rouhani made clear, in remarks at a cabinet meeting this morning, that Iran will take the next steps to reduce its commitments under the 2015 Joint Comprehensive Plan of Action (JCPOA), but at the same time, those steps are reversible, should the other parties to the agreement return to their commitments.

“The Americans started the fire in the region a year ago, but they are saying that playing with fire is dangerous, while they are after sparking fire,” Rouhani said, according to the report posted on the Iranian presidential website, referring to the U.S. unilateral withdrawal from the 2015 JCPOA. “The only way to put out this fire is to return to commitments and United Nations’ resolutions; but if they do not want to return to these commitments, the Islamic Republic of Iran will start the next step exactly after 60 days,” he said. “So far, the Americans have been saying that JCPOA was a bad deal, but they are very upset about Iran distancing itself a bit from this deal.” He continued: “If this agreement is good, then why Europe and the U.S. do not live up to their commitments under the deal, and if it is bad, then why, when Iran wants to reduce a part of its commitments, they respond strongly?”

Rouhani stressed that “Iran’s move to reduce its commitments is not aimed at undermining the JCPOA, but also an attempt to save it; because we believe that if we don’t do anything, the deal will be lost.” He said that Iran has exceeded the 300 kg enrichment limit to save the deal, adding, “As we have said before, if the other sides return to their commitments, Iran will swiftly return to the terms of the agreements, and if we produce high amounts, we will sell it to other countries like Russia and get yellow cake instead in a short time.”

As Iranian officials have been doing all along, Rouhani expressed dissatisfaction with INSTEX, the trading mechanism set up by the EU to bypass U.S. sanctions on Iran. “Today, INSTEX is only a mechanism without money, and an empty INSTEX is not useful at all, but if INSTEX is activated and Iran gets its oil money, it can be acceptable to some extent despite its shortcomings,” he said.

As for what steps Iran will be taking beginning July 7, when its 60-day deadline for Europe runs out, Rouhani indicated that Iranian enrichment will go up from 3.67% to the level “we need,” though he didn’t specify what level that will be. “If the other side does not live up to its commitments, the Arak Reactor will return to its previous state, which they claimed that was dangerous, able to produce plutonium,” he said. He also said that “Iran advises the United States and Europe to return to the negotiation table,” and that “Everybody must act based on the JCPOA.”

U.S. POLITICAL AND ECONOMIC

Why Do Liberal Media Promote Kamala Harris as Big ‘Winner’ of the Democratic Debate?

July 3 (EIRNS)—“Kamala Harris Surges in Three Polls,” New York Times reported. “Kamala Harris Will Be the 2020 Democratic Nominee,” Newsweek asserted. So what or who is behind the Kamala Harris presidential campaign—besides support from her long-time pal Barack Obama?

Maybe it has something to do with the fact that earlier this year she hired as her general counsel Marc Elias, of the Perkins Coie law firm, who was previously general counsel to Hillary Clinton and was the person who paid Fusion GPS to make up dirt against then-candidate Donald Trump. It was those lies and dirt which then morphed into the infamous Steele dossier.

SCIENCE AND INFRASTRUCTURE

Rosatom Finds Bolivia Can Become a Regional Science Powerhouse

July 3 (EIRNS)—In commentary to Sputnik published July 1, Evgeny Pakermanov, president of Rusatom Overseas, enthusiastically predicted that the construction of the Nuclear Technology Research and Development Center in the city of El Alto, Bolivia, can potentially transform that country into a regional center of scientific excellence. Rusatom Overseas is the subsidiary of Russia’s atomic energy agency, Rosatom, and is responsible for overseas operations.

Bolivian President Evo Morales will be travelling to Moscow and meet with President Vladimir Putin July 11, precisely to discuss strengthening bilateral cooperation in many areas, including in science and technology.

For Bolivia, Pakermanov said, the new center will open the “door for reaching another level of scientific capabilities and the possibility of carrying out scientific activities at a regional level.” The center will have a 200 kw research reactor, and several laboratories for research in a variety of fields “with regional implications,” Pakermanov told Sputnik. It will also have a food irradiation capability, which will “make possible the development of exports and increase agricultural yields,” Pakermanov explained, stating it will also make possible an expertise in nuclear medicine for treatment of cancer.

Pakermanov also reported that several other Ibero-American countries are interested in building similar centers, and that “we’ve had discussions in various countries.” Rosatom has built more than 120 such centers, 20 of them abroad. Zambia has recently signed a contract for one, and talks are taking place with Serbia, Rwanda, Vietnam, and other countries, according to the Rosatom executive.

Reach us at eirdailyalert@larouchepub.com or call 1-571-293-0935

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