Showing posts with label saudis. Show all posts
Showing posts with label saudis. Show all posts

Friday, October 13, 2017

US Petrodollar Threatened by Chinese-Saudi Oil Deals

(ANTIMEDIA)  Saudi Arabia’s king, Salman bin Abdulaziz Al Saud, recently met with Russian President Vladimir Putin in what amounts to more than just a symbolic blow to the United States. While the two discussed a number of issues, including Syria and Iran, according to CNN it was oil that dominated most of the discourse.



Something geopolitically relevant — though it fails to garner widespread attention in the mainstream media — is the fact that Saudi Arabia and Russia “are engaged in an intense battle over who will be the top supplier to China, a major energy importer with an insatiable appetite for crude,” as CNN explained.







But what would make China side with Saudi Arabia’s oil over that of their longtime strategic ally Russia? Or, to phrase that question differently, what would make China consider Saudi oil at all, given it can always turn to Russia and Iran for its oil needs?


According to Carl Weinberg, chief economist and managing director at High-Frequency Economics, China will “compel” Saudi Arabia to trade oil in Chinese yuan instead of U.S. dollars. Now that China has surpassed the U.S. as the “biggest oil importer on the planet,” these direct attacks on the U.S. dollar will have huge implications for the dollar’s current world reserve status.


“I believe that yuan pricing of oil is coming and as soon as the Saudis move to accept it — as the Chinese will compel them to do — then the rest of the oil market will move along with them,” Weinberg stated, as quoted by CNBC.







Iran is already trading oil with China in return for Chinese yuan, and Qatar has conducted billions of dollars’ worth of transactions in yuan, as well. Just recently, the Times of Israel reported that a Chinese state-owned investment firm has provided a $10 billion credit line to Iranian banks, which will specifically use yuan and euros to bypass U.S.-led sanctions.


The implication is that if a country like Saudi Arabia were also to begin conducting these transactions in yuan, the rest of the world would be days away from following suit.


For example, Venezuela, a country that sits on the world’s largest oil reserves, also recently announced it had abandoned the U.S. dollar in response to American-imposed sanctions. It has now begun publishing its oil prices in yuan, instead.



Weinberg explained further.


“Moving oil trade out of dollars into yuan will take right now between $600 billion and $800 billion worth of transactions out of the dollar… (That) means a stronger demand for things in China, whether it’s securities or whether it’s goods and services. It is a growth plus for China and that’s why they want this to happen.”


Russia is more than likely already on board with these proposals, as China and Russia have been chipping away at the dollar for some time now. Earlier this year, the two nuclear giants signed a 68 billion yuan ($10 billion) investment fund to ease ruble-yuan settlements.


Further, China is set to launch a crude oil futures contract priced in Chinese yuan that will be completely convertible into gold. As reported by the Nikkei Asian Review, analysts have called this move a “game-changer” for the oil industry. Whether or not Saudi Arabia will be on board remains to be seen, but it will definitely be in the cards for the near future as the global tectonic plates begin to shift out of Washington’s favor.


As Anti-Media has previously explained, Saudi Arabia is integral to what is known as the petrodollar system. Saudi Arabia may be a crucial American ally and has relied upon American military support for decades, but if they want to continue exporting as much oil as possible to maintain their status as a regional power, then they may not have any choice but to succumb to China’s wishes. The alternative, of course, is that it will lose out on a very lucrative oil market and watch as Iran and Russia reap all the rewards. The Saudis also just recently learned that should the U.S. snub the Islamic Kingdom, they may be able to rely on Russian military support, instead.


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Tuesday, August 8, 2017

Saudis Turn Shia Town to Rubble

Saudis Turn Shia Town to Rubble | saudi-arabia-1024x768 | World News [image: AFP]Awamiyah in eastern Saudi Arabia is a Shia town with an estimated population of about 25,000, bordering the Persian Gulf.


In early May, Saudi forces launched attacks, heavy weapons used against defenseless civilians.


The town is blockaded. Targeted areas are being systematically destroyed, essentials to life in short supply.


Clashes continue in the old city, residents dispossessed from their homes, mainly around the historic Almosara district, private companies seizing properties for development projects.



Saudi mistreatment of Shia Muslims is longstanding. Prominent Shia cleric Sheikh Nimr Baqir al-Nimr came from the area.


Targeted for his activism in 2014, he was beaten, shot, arrested, tortured, and denied vitally needed medical treatment for expressing his views freely.


Last year he was executed for nonexistent sedition, authorities falsely claiming he was involved in “foreign meddling in (Saudi affairs), disobeying its rulers, and taking up arms against the security forces.”


Not a shred of evidence proved it. He justifiably criticized Saudi repressive rule, calling it “particularly reactionary.”


He opposed violence and “murder in the name of God.” He called for open, free and fair elections, advocating governance “based on justice and liberty” – entirely absent in the kingdom.


He publicly denounced Saudi oppression of Shia Muslims, enjoyed widespread popularity for his views, so he had to be eliminated – part of Riyadh’s campaign to crush dissent.


Many dispossessed Awamiya residents are homeless. Saudi activist Ameen Nemer described “forced displacement,” calling it “collective punishment” against Shia residents.


He believes dispossessing town residents is politically motivated, unrelated to redevelopment, a pretext for removing them – “punishing this town for being vocal…calling for rights (and) reforms since 2011.”


Area residents reported Saudi forces using live fire against defenseless civilians, numbers killed, wounded or arrested unclear.


Video circulating online showed much of the town reduced to rubble, residents victimized by regime state terror, what’s going on ignored by Western media scoundrels.


The Trump administration and Congress are silent, focused on punishing Russia, Iran and North Korea over nothing – while continuing economic and political war on Venezuela, along with US-orchestrated street violence.


Since 2011, Awamiyah residents have been protesting for fundamental freedoms, release of political prisoners, and an end to brutal regime treatment.

Monday, May 22, 2017

Military-Industrial Complex Gets Rich off Trump’s Record Saudi Arms Deal

(ANTIMEDIA) In news that should surprise no one, the stock prices of top defense contractors soared on Monday after Donald Trump signed the largest arms deal in United States history with Saudi Arabia over the weekend.





That deal, hailed by the White House as a “significant expansion of…(the) security relationship” between the U.S. and Saudi Arabia, is worth $350 billion over the next ten years. However, $110 billion of it will take effect immediately.



Much like with East Asia, where the United States government cites the North Korean nuclear weapons program as justification for its military buildup in the region, Washington, D.C. claims the “Iranian threat” and continuing hostilities in the Middle East are the reasons behind the unprecedented deal.







“This package of defense equipment and services support[s] the long-term security of Saudi Arabia and the Gulf region in the face of Iranian threats,” the White House said in a statement, “while also bolstering the kingdom’s ability to contribute to counter terrorism operations across the region, reducing the burden on the U.S. military to conduct those operations.”


News of the deal certainly “bolstered” the market value of stock prices for companies within the military-industrial complex. From CNBC:


“Shortly after market open, Lockheed Martin was up about 2 percent, Raytheon was up more than 1.4 percent, Northrop Grumman climbed 1 percent and General Dynamics was up about half a percent. All four stocks reached new highs.”







But the defense sector wasn’t the only winner in the U.S. leader’s trip to Saudi Arabia. While the president and his family were quite literally being given the red carpet treatment over the weekend, it was reported that Saudi Arabia and the United Arab Emirates will donate $100 million to a World Bank fund that was “the brainchild” of Donald Trump’s daughter, Ivanka.


It’s also worth noting that after the Trump administration waged airstrikes on Syria following a chemical attack in the country in April, stocks in military companies also spiked.


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Friday, May 5, 2017

Saudis Hire Controversial PR Firm To Push Legitimacy Of 34 Nation ‘Muslim NATO’

Saudis Hire Controversial PR Firm To Push Legitimacy Of 34 Nation ‘Muslim NATO’ | king-salman-saudi-arabia-1024x576 | Special Interests World News King Salman of Saudi Arabia, right, welcomes Kuwaiti Prince Sabah Al Ahmed Al Sabah upon his arrival to Riyadh Airbase before the opening of Gulf Cooperation Council summit in Riyadh, Saudi Arabia,, May 5, 2015. (Saudi Arabian Press/AP)

By: Whitney Webb, Mint Press News |


An infamous PR firm that specializes in damage control during “crisis situations” has been hired by Saudi Arabia to improve the image of the Wahhabist military alliance that is led by the Gulf state. But the firm will likely find itself defending the country’s ongoing war in Yemen as well.


NEW YORK– With plans to step up its grotesque war in Yemen and the first major meeting of defense ministers for the 41-nation military alliance it leads fast approaching, it’s no wonder the Saudi government has called upon public relations firm Burson-Marsteller for its services.



The New York-based company, known as one of the world’s most controversial public relations firms, has now become the latest Western PR firm to land on Saudi Arabia’s payroll. They’ve been hired with the specific intent of improving the image of the so-called Islamic Military Alliance to Fight Terrorism – an alliance occasionally referred to by the nickname “Muslim NATO,” as it is modeled after the North Atlantic Treaty Organization.


The alliance, founded in late 2015, was created by the Saudis in partnership with 34 Muslim majority nations with the intention of sharing information and training, equipping and providing forces needed to combat Daesh (ISIS) militants who are active in Iraq and Syria, as well as fighting “any terrorist group that appears in front” of the alliance. The move was welcomed by the Obama administration, which had been seeking greater regional involvement in the U.S.-led campaign to fight Daesh.


The praise bestowed upon the alliance by Obama administration officials was unusual, given that the Obama State Department was aware at the time that Saudi Arabia provides “clandestine financial and logistic support” to Daesh and other extremist terrorist groups that are active in Syria and Iraq.


In addition, according to a leaked memo authored by former Secretary of State Hillary Clinton, Saudi Arabia is known to the State Department to be the world’s largest funder of Wahhabi militant groups worldwide, including al-Qaeda and the Taliban. Other members of the Islamic military alliance – Kuwait, Qatar and the United Arab Emirates – were also listed as countries known to be funding Wahhabi terrorists.


Many of the alliance’s member nations are also known for their sordid human rights records, an inconvenient truth that some have argued is being hidden by the peddling of a “terrorist-fighting” military alliance. As Husain Abdulla, executive director for Americans For Democracy & Human Rights in Bahrain, told Middle East Eye: “Saudi Arabia, Bahrain and many other members of this coalition are masterful at diverting attention from their systematic human rights abuses. Their participation in the Islamic Military Alliance is a clear example of how they use the fight against terrorism to distract from abuse and repression.”


Saudis Hire Controversial PR Firm To Push Legitimacy Of 34 Nation ‘Muslim NATO’ | headlineImage.adapt_.1460.high_.saudi_troops_bahrain_032814.1396352732213-768x433 | Special Interests World News Saudi troops arrive in Bahrain on, March 14, 2011. A Saudi-led military force crossed into Bahrain to prop up the monarchy against widening demonstrations, launching the first cross-border military operation to quell pro-democracy protests since the Arab world’s rebellions began in 2010. (Photo: APA/Landov)

Notably, the alliance fails to include Muslim-majority nations like Iran and Syria – countries that have a proven track record of fighting the Wahabbist terror groups that the Saudi-led alliance claims to fight but is actually funding. As Middle East Eye noted, the exclusion of Iran and Syria, among others, has prompted concern from Iran that the alliance is a sectarian force with ulterior motives.


While the organization’s official name may paint the alliance as being inclusive of all Muslims and focused on fighting extremism, the Saudis – in addition to being internationally recognized as the world’s largest state sponsor of terrorism –  are well-known for spreading sectarianism via the exportation of Wahhabist ideology.


As political analyst and writer Catherine Shakdam noted in 2015:



“Wahhabism is merely the misguided expression of one man’s political ambition – Mohammed Abdel-Wahhab, a bigot who was recruited by the British Empire to erode the fabric of Islam and crack the armor of the then-Ottoman Empire by breeding sectarianism and dissent. It is Abdel-Wahhab’s alliance to the House of Saud that ultimately unleashed this now seemingly unstoppable evil we know today under the tag of Islamic radicalism. If not for the Al Saud Royals’ billions and the silence of Western powers, Wahhabism would never have crossed the deserts of Saudi Arabia. If not for the kingdom’s lavish sponsoring of the Wahhabi school of thought, extremism would never have come to be in the first place.”



Thus, the assertion that this alliance represents Islam as a whole is misleading, as a majority of Muslim practitioners are viewed as “unbelievers” and deserving of death through the lens of Wahhabism.


Now, less than two years later, alliance members are suggesting that they will be targeting not Daesh terrorists, but a Yemeni resistance movement led by Houthi rebels who have been actively fighting al-Qaeda in Yemen, as well as fighting the influence of Saudi Arabian colonialism in the country. Last week, Saudi Major General Ahmed Asiri, a major player in the alliance who is currently being investigated by British authorities regarding alleged war crimes, told the Wall Street Journal that the alliance’s scope could be extended to include fighting against the Houthis.


The Houthis have been targeted by the Saudis since early 2015 in a war that has crippled the nation, killing thousands of civilians and provoking a massive humanitarian crisis that is estimated to claim the life of one child every ten minutes. Much of the death and destruction in Yemen owes to the Saudi-led coalition’s repeated bombings of hospitals and civilian infrastructure, leading many in the international community to accuse the Saudis of war crimes.



In addition, Saudi Arabia has weaponized humanitarian aid that is being provided to Yemen by blocking shipments of medical aid and food from humanitarian organizations.


Calm in crisis: Burson-Marsteller’s damage control track record


Saudis Hire Controversial PR Firm To Push Legitimacy Of 34 Nation ‘Muslim NATO’ | Part-of-the-press-conference-that-was-held-in-Dubai-on-Tuesday-to-announce-the-results-of-the-Arab-Youths-Survey | Special Interests World News A press conference held in Dubai on to announce results of a Burson-Marsteller Arab Youth Survey funded by Gulf Arab countries.

The Saudis, worried about bad PR from their campaign in Yemen right before the alliance’s first major conference, have enlisted the services of the world’s premier PR firm for corporations and authoritarian governments in crisis.


Burson-Marsteller, while offering a range of PR services, is best known for its “crisis capabilities.” In other words, corporations – ranging from ExxonMobil to Blackwater – enlist the firm’s services when they find themselves in hot water and are in desperate need of damage control.


Burson-Marsteller rose to prominence in the 1980s, when it was hired by Johnson & Johnson in the aftermath of the Chicago Tylenol murders. Seven people died after taking Tylenol that had been contaminated with cyanide by an unknown suspect who was never apprehended.


Other notable cases taken by the firm include representing the builders of the Three Mile Island nuclear station following the station’s near-meltdown, as well as Union Carbide (now Dow Chemical) after a chemical disaster at one of its plants killed thousands in India and tobacco giant PhillipMorris after the Environmental Protection Agency warned about the dangers of second-hand smoke.


In addition to its work in the corporate world, Burson-Marsteller has also worked on behalf of several governments with questionable human rights records. Among their past clientele include Argentinian dictator Jorge Videla in the late 1970s and Romanian dictator Nicolae Ceausescu, as well as the governments of Nigeria and Indonesia after those governments were accused of genocide.


The firm has also had several lucrative contracts with the U.S. government, including a $4.6 million contract with the Department of Homeland Security in 2005. The firm’s leadership is also deeply connected to the Clinton family, with former CEO Mark Penn serving as a key “behind-the-scenes” figure in the Clinton White House, as well as chief strategist for Hillary Clinton’s failed 2008 presidential campaign. Current CEO Don Baer has also worked for the Clintons, having served as a senior adviser to the Clinton White House, as well as its director of communications and top speechwriter.


Saudi Arabia has employed Burson-Marsteller in the past, most notably just days after the Sept. 11 attacks, when it hired the firm for its crisis management expertise. Working in connection with Prince Bandar bin Sultan, the former Saudi Arabian ambassador to the United States, the firm launched an advertising campaign in newspapers across the country seeking to distance Saudi Arabia from the attackers, 15 of whom were Saudi nationals.


Burson-Marsteller is not the only Western PR firm the Saudis have employed in recent years. The Saudis recently came under fire for their use of U.S.-based lobbying firms in order to convince Congress to repeal or rewrite the Justice Against Sponsors of Terrorism Act, also known by its acronym JASTA, or simply as the “9/11 bill.”


Some of the firms employed for this particular purpose have included Edelman PR, the Podesta Group, DLA Piper, Pillsbury Winthrop Shaw Pittman, Qorvis MSLGROUP and the Capitol Media Group. The latter two are especially controversial for the exploitation of veterans that played a role in their anti-JASTA lobbying efforts.


With Saudi Arabia having recently been appointed to the UN’s women’s rights commission, it seems that the Gulf Kingdom’s use of western PR firms is paying off.

Tuesday, January 31, 2017

Saudi Arabia, Yemen, and What You’re Not Being Told About Trump’s Travel Ban

January 31, 2017   |   Alice Salles




(ANTIMEDIA) President Donald Trump’s decision to bar nationals from seven predominantly Muslim countries from entering the United States for 90 days prompted one of the largest protests America has seen since anti-Iraq war sentiment compelled thousands to hit U.S. streets in 2003.


Moved by the ban’s inclusion of green card holders who were suddenly left stranded at U.S. airports, protesters flooded airports nationwide, demanding U.S. officials let foreigners who were lawful residents in. On Sunday evening, Secretary of Homeland Security John Kelly declaredthe entry of lawful permanent residents to be in the national interest,” making the “lawful permanent residence status” of foreign nationals “a dispositive factor in our case-by-case determinations.”



While many have pointed out that the precedent that allowed Trump to impose the 90-day ban came from a bill signed into law by President Barack Obama, known as the Visa Waiver Program Improvement and Terrorist Travel Prevention Act, others pointed out the list’s omission of countries such as Saudi Arabia, “home of 15 of the 19 terrorists involved in the 9/11 attacks.” But while these same publications claim these countries were spared because of Trump’s business ties, countries listed in the current ban mirror the list of countries present in the bill signed into law by Obama. So why did both Obama and Trump choose to spare travelers from Saudi Arabia, Qatar, and United Arab Emirates from extra scrutiny?


The answer may lie somewhere in the past, long before both Obama and Trump were considering running for president.



U.S. presidents are often judged by how the economy fares during their terms, leading many to take credit for sudden upticks while others blame everybody else for downfalls.



In a carefully written piece from 2014, founder, president, and Executive Director of the Carl Menger Center Paul-Martin Foss explains that in 1971, when President Richard Nixon “[closed] the gold window,” unilaterally canceling the convertibility of the U.S. dollar to gold, Saudi Arabia entered the picture.


Striking a deal with the Saudi Kingdom, Nixon established the oil-rich nation as its partner. From then on, Saudi Arabia became the “anchor of the petrodollar system,” making the kingdom’s demise unthinkable if the dollar were to remain a reserve currency.


Fearing the dollar would lose its value due to his economic policies regarding gold reserves, Nixon made the Saudis promise to “denominate oil sales in dollars” in exchange for America’s endless military protection. Being one of the world’s top oil producers and exporters, Saudi Arabia’s promise meant that foreign nations “seeking to purchase oil on international markets needed to purchase dollars and maintain dollar reserves.” By establishing a demand for the dollar “as an international reserve currency that counteracted the desire of countries to move away from the dollar due to the [U.S.] government’s inflationary policies of the 1960s and 1970s,” Nixon was able to protect the value of the U.S. dollar despite the obliteration of the only system that had kept the currency strong all through the years: the gold standard.



Since then, this relationship has kept the U.S. dollar relatively strong despite the U.S. Federal Reserve’s follies, which have accelerated inflation. This adds an extra burden on the poor, who have continued to see the purchasing power of their cash decline over the decades. But who cares about the poor when the U.S. government can keep printing more money without worrying about having the currency lose its power?


Over the years, other oil-rich nations joined the pact, with Gulf Arab countries like the UAE, Qatar, Bahrain, and Kuwait maintaining large dollar reserves.


According to a 2016 Bloomberg article, Saudi Arabia still holds $289 billion of U.S. Treasury debt. But aside from that, Foss continues in his piece, “the estimated sizes of the Arab countries’ sovereign wealth funds” totals almost $2.5 trillion. These wealth funds invest their oil revenues across the globe, holding America in a special place in their hearts.


As America’s top U.S. military hardware purchaser, Saudi Arabia also helps keep the U.S. dollar strong through a vibrant war market while benefitting from the 1971 deal with President Nixon.



As a new president takes office, we can only guess what the learning process might look like. We’re not sure who approached Obama to let him know of the U.S. special relationship with the Saudi royals. We’re also not sure how this happened under Trump. All we know is that under Obama’s watch, the Saudis purchased $115 billion worth of weapons from America, totalingmore than any previous administration and were intended to replenish arsenal after war in Yemen.”


In the Yemen files, the database “of more than 500 documents from the United States embassy in Sana’a, Yemen” released by WikiLeaks, the staff at the whistleblower hub writes that “Yemen is of significant strategic interest as [the country] controls a narrow choke-point to the Red Sea and the Suez Canal through which 11% of the world’s petroleum passes each day.” With Saudi Arabia seeking to “control a port in Yemen to avoid the potential constriction of its oil shipments by by Iran along the Strait of Hormuz or by countries, which can control its other oil shipment path along the Red Sea,” it’s suddenly clear why America has been so invested in the Yemen war. The U.S. government must keep the promise made by President Nixon if it wants to keep the dollar strong without reforming or putting an end to the Federal Reserve’s grip on the U.S. dollar.


President Trump has only been in office for a little over a week, and he’s already following the lead of his predecessors.


Understanding the background of the special relationship between America and Saudi Arabia gives us an idea of why economic policies of the past are so entwined with wars being waged today — and why Saudi Arabia and others were left out of the list of countries under the watch of the U.S. government under Obama and Trump.


As over seven million people starve to death in Yemen while America presses on, aiding its number one partner in the region. But this is not because they care about the war itself, but because American presidents care about the strength of the dollar — at least, that’s what it looks like once you analyze the background of this special relationship.


Without oil-rich nations using the U.S. dollar to trade their product — and without the gold standard — there’s nothing keeping the dollar’s worth from crashing. And if that occurs, world markets would feel the boom with only America truly hurting since its currency would lose its worth, boosting other world powers.


Will there ever be a president who will challenge that? If so, reform should start first by ending the Federal Reserve.



This article (Saudi Arabia, Yemen, and What You’re Not Being Told About Trump’s Travel Ban) is free and open source. You have permission to republish this article under a Creative Commons license with attribution to Alice Salles and theAntiMedia.org. Anti-Media Radio airs weeknights at 11 pm Eastern/8 pm Pacific. If you spot a typo, please email the error and name of the article to edits@theantimedia.org.