https://www.youtube.com/watch?v=7gdxv37E3Qc
President Joe Biden officially announced the White House’s intentions to ban Russian oil and gas from being imported into the United States. This latest economic war action against Russia follows a list of sanctions and cancellations from American corporations, European states, and European corporations.
The move raises the stakes on Russia needing to secure a victory to secure a safe home for Putin, whose individual personality is the driving force in the decision-making process of the entire Russian state.
Rather than ending the war in the Ukraine, it might well be that the draconian moves to cut Russia off from the ‘Western’ world are pushing the world towards a type of war that will fundamentally end all that we have today, nuclear war.
The United States and Europe seem prudently willing to avoid having nuclear-powered nations’ troops clash in armed conflict, but have they considered that an economic war aimed at crippling, even destroying the Russian state could produce the same type of potential existential response?
The efforts by corporations to aggressively sanction a state far above and beyond what their own states asked of them could be the moment the cancel culture method of governance becomes cemented in the hearts and minds of the casuals, or it could be the peak of a power that is soon to be destroyed. The prospect of the former leaves me hesitant to cheer on the massive cancellation of an entire state.
Russia will not sit still, and the entire world is not cut off from Russia. The moves we are making right now are driving India into the Russia orbit, which means, given Russia and China’s increasing growing needs for one another, that India and China might soon have to mostly make nice, at least for the cameras. As usual, alliances are filled with contradictions and conflict, and this alliance will be no less contradictory or conflict-filled.
The American media, the DNC media de facto, is vilifying Russia every day in every way they can. Anti-Russianism is becoming a social pressure, and it looks more and more openly racist and bigoted every day. There is little time that anyone pauses to say, “By Russia, I mean the government, not the people.” In these hate diatribes, the Russian people are explicitly the targets of hate.
They are being sjw’d before our very eyes, and the right is cheering it on, for some reason.
Russia is run by a totalitarian killer who, to serve his own interest, invaded a nation of 40 million and proceeded to bomb their cities, their homes, even their schools. Russia, though, is doing what many of these same self-righteous nations have been doing themselves, with America being one of the clearest examples.
The actors on this stage are all ruthlessly serving their own interests, and yours aren’t theirs. Right now, they need to move to hurt Russians, to hurt Americans, to hurt Ukrainians, etc., to settle which of the concentrations of power in the world have the advantage going into the next few decades, nothing more.
Ukraine could have been a neutral buffer, but the West, with America in the lead, pushed it to be a threat to Russia. Russia could have been content with what she had, but seeing the West gain power in Ukraine prompted them to want to take it for themselves.
What follows is how the media is covering this economic war, with headers added to help you better understand the patterns that are emerging in this war. It starts with the first announcement of the US’s intention to block Russian oil and gas and ends with an analysis of what the new normal post-cancel-Russia looks like in trade.
Russia Gets Cancel Cultured for Invading the Wrong State
Biden Blocks Russian Oil, Gas
US To Block Russian Oil As Millions Flee Putin’s Invasion
From talkingpointsmemo.com
2022-03-08 15:22:41
Matt Shuham
Excerpt:
It’s thirteen days since Putin invaded Ukraine, meeting a level of resistance that’s shocked the world while isolating Russia and its people from much of the global economy.
The consequences — and battles — are continuing to play out. President Biden is expected to announce on Tuesday that the U.S. will ban imports of Russian oil and liquefied natural gas; the EU is expected to announce a plan to reduce its reliance on Russian gas.
It’s a strike at the hydrocarbon core of Russia’s economy, but one that is limited by its nature. The Europeans remain reliant on Russian oil and gas for energy, and Russia on them for foreign currency….
EU Follows Biden’s Lead
EU to phase out Russian gas, oil, coal imports
From uk.investing.com
2022-03-07 18:45:00
Excerpt:
BRUSSELS (Reuters) – European Union leaders will agree at a summit this week to phase out the EU’s dependency on imports of Russian gas, oil and coal, a draft statement showed, marking a turning point in its policy towards Moscow prompted by Russia’s invasion of Ukraine.
EU leaders will meet in Versailles on Thursday and Friday to discuss boosting their joint defence capability and Ukraine’s bid to become a member of the 27-nation bloc. [L8N2V445U]
Burned by the experience of supply shortages in microchips and pharmaceuticals during the COVID-19 pandemic, the leaders will also discuss how to make the EU more strategically independent of global suppliers in these sectors and food.
Immediate Costs
Analysts say alternative supplies wouldn’t be able to fully replace Russian oil
From www.cnbc.com
2022-03-08 07:47:00
Excerpt:
While there are alternatives to Russian oil, they would be insufficient or difficult logistically if the U.S. and its allies were to ban Russian energy imports, analysts said Tuesday.
“There’s just no way even OPEC+ and even combined Iran and Venezuela could make up for it,” Vandana Hari, founder of energy intelligence firm Vanda Insights, told CNBC’s “Squawk Box Asia.”
Russia’s war in Ukraine shows no sign of abating as the U.S. and its allies weigh banning Russian oil and natural gas imports. Oil prices spiked to highs not seen since 2008, though later pared those gains. There was also concern that Russia could retaliate by cutting natural gas supplies to Europe.
To be sure, some Russian capacity could be replaced, Hari said.
Russia exports about 5 million barrels of crude oil per day, according to the International Energy Agency. Of that, Hari said about 2 million could be replaced if OPEC members Saudi Arabia, Iraq, Kuwait and the United Arab Emirates “were able to simultaneously…
Domestic Oil Opportunities?
From governor.utah.gov
2022-03-08 02:31:46
Excerpt:
SALT LAKE CITY (March 7, 2022) — Gov. Spencer Cox sent a letter to President Joe Biden today encouraging him to eliminate any barriers to increasing U.S. domestic oil and gas production. Read the letter in its entirety below.
Dear Mr. President,
I appreciate many of the actions you’ve taken over the past two weeks to isolate Russia and provide support to Ukraine, and I encourage you to consider additional measures, including eliminating any barriers to increasing U.S. domestic oil and gas production. This request won’t surprise you. I have consistently urged your administration, including long before this current crisis, to end your battle against developing American energy on public lands. It is more important now than ever that the United States and our allies produce the resources that will allow the world to move away from…
Buying Oil from Other Authoritarian States?
Biden turns to countries he once sought to avoid to find help shutting off Russia’s oil money
From localnews8.com
2022-03-08 13:14:13
Excerpt:
President Joe Biden’s urgent global search for help shutting off Russia’s oil revenues is leading, in some instances, to regimes he once sought to isolate or avoid.
Biden administration officials traveled to Venezuela over the weekend for talks on potentially allowing the country to sell its oil on the international market, helping to replace Russian fuel. Biden may travel to Saudi Arabia as the US works to convince the kingdom to increase its production. And a looming nuclear deal could bring significant volumes of Iranian oil back to the market.
Caracas, Riyadh and Tehran would have been unlikely sources of relief for a Biden-led Western alliance before the start of the war in Ukraine. But Russia’s invasion has upended international relations, forcing the US and other nations to seek out solutions in places they’d previously shunned.
In deciding the next steps, Biden administration officials are weighing a host of factors. Russia’s invasion of its neighbor, which has left scores of civilians dead, has generated immense pressure on Western nations to cut their energy ties to Moscow, including from both Democrats and Republicans in Congress. In a videoconference call with American lawmakers Saturday, Ukrainian President Volodymyr Zelensky pleaded for a ban on Russian energy.
US imports from Russia make up a small slice of the energy universe — roughly 8% in 2021, of which only about 3% was crude oil. White House economic officials have been engaged for more than a week in how to manage any decision to cut off those imports, officials say.
Russia, Ukraine Key Semiconductor Resource Providers
Will the Russia/Ukraine crisis impact semiconductor recovery?
From capital.com
2022-03-08 02:02:17
Excerpt:
The semiconductor industry is among sectors that said it will ban all sales to Moscow. The decision may impact the industry’s recovery. Ninety percent (90%) of US semiconductor grade neon supplies come from Ukraine and chipmakers are sourcing at least 35% of palladium, which is used in semiconductors, from Russia, MarketBeat reported.
There has been a shortage of semiconductors since 2020 that has had a knock-on effect on the automobile and technology industries. Both use semiconductors to manufacture their products.
So how will the conflict impact the semiconductor industry? Experts believe that the industry’s recovery may be somewhat stunted due to the conflict in Ukraine.
“The main issue here is that Russia and Ukraine are major suppliers of palladium and neon respectively which are vital commodities for the chip industry….
Biden Piles on Russia
From www.jdsupra.com
2022-03-07 16:46:42
Excerpt:
The United States, in coordination with global allies, continues to introduce sanctions and trade restrictions targeting the Russian government and its allies for their aggression in Ukraine. With these new measures and related guidance, the U.S. government is expanding its efforts to isolate Russia from the global financial system, cut off its defense and technology capabilities, and penalize President Putin and his inner circle.
The latest moves by the U.S. government include the following:
- Cutting Off the Central Bank of Russia, the National Wealth Fund of Russia, and the Ministry of Finance. Directive 4 Under EO 14024 (Russia-related Sovereign Transactions Directive), effective February 28, 2022, prohibits U.S. persons from all direct or indirect transactions involving the Central Bank of…
Shipping Russia banned goods may lead to blacklisting, U.S. warns companies | The Mighty 790 KFGO
From kfgo.com
2022-03-07 20:15:03
Excerpt:
By Karen Freifeld and Alexandra Alper
NEW YORK/WASHINGTON (Reuters) – The Biden administration is threatening to add companies to a trade blacklist if they skirt new export curbs against Russia, as it ramps up efforts to keep a vast array of technology out of the country after it invaded Ukraine last month.
The U.S. Department of Commerce, which oversees export controls, is mobilizing staff around the globe to halt illicit shipments of computers, aircraft parts, marine equipment and other technology to Russia, partnering with allied countries and U.S. law enforcement agencies like the FBI and the Department of Homeland Security to crack down on the newly illegal trade, according to U.S. officials.
The goal is to enforce sweeping new restrictions on shipments to Russia of both U.S. and foreign commodities, technology and software, if produced with U.S. equipment, technology or software. The restrictions also apply to Belarus.
Matthew Axelrod, the Commerce Department’s Assistant Secretary for Export Enforcement, told Reuters in a statement on Monday the United States will “bring the full force of the law to hold accountable those that knowingly violate the new rules, including by placing additional parties on the Entity List,” a U.S. trade blacklist.
Already some of the biggest names in tech, like Microsoft Corp and Intel Corp, have announced they will halt shipments to Russia.
U.S. exports to Russia were under $5 billion in 2020, according to the Commerce Department but, a senior official has said, multilateral cooperation means more than $50 billion in key inputs to Russia may be curbed.
Axelrod said the Commerce Department has begun “robust engagement with U.S. exporters and other partners to ensure they understand the new rules,” which aim to keep chips and other items made at home and abroad from Russia.
He also noted that 91 parties in 10 countries were added to the Commerce Department’s Entity List last week for supporting Russian military,…
Russia Severs Citizens from Digital Outside World
Russia, Blocked From the Global Internet, Plunges Into Digital Isolation
From www.nytimes.com
2022-03-07 19:48:17
Adam Satariano and Valerie Hopkins
Excerpt:
“For the moment I do plan to work in Russia,” he said. “How this may change in the future, especially if YouTube will be blocked, I don’t know.”
Unlike China, where domestic internet companies have grown into behemoths over more than a decade, Russia does not have a similarly vibrant domestic internet or tech industry.
Protests in Russia. Amid antiwar rallies across Russia, the police said more than 3,000 people were arrested Sunday, the highest nationwide total in any single day of protest in recent memory. An activist group that tracks arrests reported detentions in 49 different Russian cities.
So as it is cordoned off into its own digital ecosystem, the fallout may be severe. In addition to access to independent information, the future reliability of internet and telecommunications networks, as well as the availability of basic software and services used by businesses and government, is at risk.
Already, Russian telecom…
Twitch streamers in Russia lose livelihoods as sanctions hit home
From www.washingtonpost.com
2022-03-07 19:49:54
Nathan Grayson
Excerpt:
Twitch informed affected Russian streamers of its plans via email. (Twitch is owned by Amazon, whose founder, Jeff Bezos, owns The Washington Post.)
“Payouts to the financial institution associated with your Twitch account have been blocked as a result of sanctions,” read the email. “Twitch complies with economic sanctions imposed by the United States and other governments, and is complying with those imposed in response to the situation in Ukraine. These sanctions may limit or impact your access to payouts, ability to monetize your stream, and/or financially support other creators.”
The email from Twitch went on to add that “we appreciate how frustrating and difficult this is and would like to reassure you that if you can’t provide an alternative financial institution, we will do our best to pay
Cancel Culture American Corps Cancel Russia
Yale professor lists companies not boycotting Russia: McDonald’s, Starbucks and Coca-Cola
From www.washingtonpost.com
2022-03-08 14:16:00
Excerpt:
Sonnenfeld, who founded the nonprofit Chief Executive Leadership Institute, said he has fielded calls from CEOs asking “why we didn’t have them on the right list, and what they needed to do to either clarify or actually take a more strong stance.”
On top of skyrocketing inflation and a plummeting ruble, Russians have been left with a dwindling marketplace: Prada stores have shuttered, TikTok has suspended operations in their country, and car companies including Rolls-Royce, Toyota and Volkswagen have stopped shipping vehicles to Russia. Even WWE, the wrestling entertainment company, said it would halt operations there.
The gutting of the Russian economy has shattered the image that President Vladimir Putin had created, portraying himself as an all-powerful leader with things under control, Sonnenfeld said in a phone interview Monday with The Washington Post.
And with Russian state media echoing Putin’s framing of the war as a “special…
Amazon sells clothes with Russian military ‘Z’ symbol | News
From www.thetimes.co.uk
2022-03-08 15:45:00
Excerpt:
Amazon has been selling clothing and other merchandise marked with a “Z” that supports Russia’s war in Ukraine, The Times has found.
The symbol, used by the Russian army in Ukraine to avoid friendly-fire incidents, has gone viral in Russia and among the country’s supporters around the world.
T-shirts, sweaters and phone accessories with the symbol “Z” and explicitly advertised as “RUSSIAN Z SYMBOL MILITARY ARMED FORCES TANKS” were for sale on the tech giant’s site today. The description of items said they were sold and dispatched by Amazon.
Amazon was selling T-shirts with a Russian military Z today
Russians around the world have been daubing the white letter on black backgrounds to denote support for their army fighting in Ukraine. The adoption of the “Z” as a symbolic expression of support is viewed
Netflix Stops Streaming In Russia As Companies Flee The Country
From www.entrepreneur.com
2022-03-07 17:14:00
Excerpt:
Netflix Inc (NASDAQ:NFLX) has decided to suspend its streaming services in Russia over the country’s war with Ukraine. The move comes almost a week after the entertainment giant refused to air state TV channels and comply with a propaganda mandate on large streamers.
As reported by The Verge, Netflix cited the war as a reason behind the decision, with spokesperson Emily Feingold saying in a statement: “Given the circumstances on the ground, we have decided to suspend our service in Russia.”
Netflix has stopped its streaming services after refusing a Russian mandate to air state TV channels such as Channel One and NTV last week. The government had ordered the airing of 20 state-backed channels displaying war propaganda.
The company has around 1 million subscribers in Russia, and also announced it would…
Apple ‘blocks today’s huge iPhone event livestream in Russia over Ukraine invasion’
From www.the-sun.com
2022-03-08 15:41:00
Excerpt:
APPLE fans in Russia will have a hard time watching the firm’s latest iPhone launch when it kicks off later today.
According to MacRumors‘ Sami Fathi, the tech titan has blocked its live stream of the event on the Russian versions of YouTube and Apple.com.
2
The online broadcast is blocked on the Russian version of YouTube
It comes days after Apple announced that it was halting sales of iPhones and other products in the country in response to the invasion of Ukraine.
The firm is expected to unveil new models of the iPhone SE and iPad Air at its March 8 event, which it has titled “Peek Performance”.
As with previous product launches, Apple is live streaming the showcase to fans across the globe.
Broadcasts are already live on the firm’s website and YouTube channel, showing a dark screen before things kick off in earnest at 6 p.m. UK time (1 p.m. EST).
However, it appears Russians won’t have the option to watch through official means as new gadgets and software are announced.
“Apple…
Rockwell Automation Suspends Business in Russia
From www.businesswireindia.com
2022-03-08 07:30:50
Excerpt:
Rockwell Automation, Inc. (NYSE: ROK) announced today that the company is suspending operations and sales in Russia and Belarus, effective immediately.
“Rockwell joins the U.S. government and the global community in condemning Russia’s attack on Ukraine and its citizens,” said Blake Moret, Chairman & CEO of Rockwell Automation, emphasizing that the company supports all U.S. sanctions.
Rockwell has made a financial contribution to Project HOPE to provide humanitarian relief to refugees in Ukraine and neighboring countries and is encouraging employees to help in a variety of ways. Rockwell will match employee donations made to Project HOPE and is offering paid time off to support local volunteer efforts.
Sales to Russia and Belarus represent less than 0.5% of Rockwell’s total revenue. The company will continue to pay salaries and…
The West Joins in the Cancel Culture Cancelling of Russia
France’s L’Oreal to close stores, e-commerce sites in Russia
From www.reuters.com
2022-03-08 16:17:00
Excerpt:
PARIS, March 8 (Reuters) – L’Oreal, the world’s largest cosmetics group, said on Tuesday it would temporarily close its own stores, its directly operated counters in department stores and its e-commerce sites in Russia, in reaction to Moscow’s invasion of its neighbour Ukraine.
The French company, which strongly condemns Russia’s military action, also said it would also suspend all industrial and national media investments in Russia.
EY Joins Other Big Accounting Firms Exiting Russia
From www.nytimes.com
2022-03-07 16:03:54
Excerpt:
EY, one of the world’s largest accounting firms, announced on Monday that it would pull out of Russia. It is the third of the so-called Big Four firms to exit Russia after the invasion of Ukraine: KPMG International and PricewaterhouseCoopers said on Sunday that they would quit the country. The other firm is Deloitte, which could come under pressure to do the same.
These groups are structured as partnerships of local firms, so the businesses in Russia can continue to operate, the three accounting firms said, but will no longer be a part of their umbrella networks.
“The EY global organization will no longer serve Russian government clients, state-owned enterprises or sanctioned entities or individuals anywhere in the world,” EY said in a statement. It has more than 4,700 workers in its network in Russia, it said. KPMG said it had more than 4,500 people working in Russia and Belarus, while PwC said it had 3,700 workers in Russia.
The moves by the accounting firms are the latest of…
How Russian Institutions are Buckling
Explained: How sanctions by the West have impacted Russia’s aviation industry
From indianexpress.com
2022-03-08 12:09:04
Excerpt:
Effective Tuesday, Russia’s flag-carrier Aeroflot is cancelling all international flights — except to Minsk — given the restrictions by Europe and the United States on the country, which includes constraints on use of airspace and economic sanctions. However, the decision to ground international flights is layered — both in terms of the causes and effects.
Since the beginning of Russia’s military operations in Ukraine, western countries including EU member states, the UK, the US and Canada have imposed severe economic sanctions on Russia. This includes preventing companies from doing business in Russia and restricting use of airspace for Russian aircraft. While the airspace restrictions, which were also reciprocated by Russia, translated into more arduous flight durations, the economic sanctions led to…
Russia’s AI industry faces collapse- POLITICO
From www.politico.com
2022-03-08 15:00:00
Excerpt:
“If that includes third-party sales, even that door is closed,” Rasser said.
— Draining (human) capital: Konaev said the broader exodus of tech firms from Russia will leave any company pursuing advanced AI research high and dry when it comes to financing. “It’s impossible to overstate how much they’re going to lose in terms of access to the investment you need to advance technological innovation,” she said.
That will likely lead to an outflow of human capital from Russia, too. Crushing sanctions and tightening authoritarianism are likely to lead Russian mathematicians and programmers to emigrate in the coming weeks and months (provided the Kremlin lets them leave).
“The opportunities are going to be outside of Russia,” said Lewis. “And that’s going to limit them on technology across the board — except in cybercrime.”
Russia Begins to Adapt
Russian banks to use UnionPay after US providers exit · TechNode
From technode.com
2022-03-08 09:47:30
Ward Zhou
Excerpt:
Several Russian banks are planning to use China’s bank card service UnionPay as US services Visa and Mastercard suspend services in Russia, according to Reuters. Russia-issued credit cards using the Visa and Mastercard systems will stop functioning after March 9, part of a broader global economic backlash over the ongoing Russia-Ukraine war.
Why it matters: China could face more geopolitical pressure from the US. The country has toed a diplomatic line since the conflict began in late February, advocating for peaceful resolutions (in Chinese).
- US card operators Visa and Mastercard handle 90% of all debit and credit card payments outside China. Another US operator American Express said on March 6 that it will stop services for internationally-issued cards in Russia.
- Founded in 2002, UnionPay now has more than 1 billion users serving 180 countries and regions, providing cross-border payment services to cardholders and merchants.
- Some Russian banks have already <a…
The Potential Lasting Fallout
How Russia’s Invasion of Ukraine Could Reshape Trade, Starting With Cars
From www.nytimes.com
2022-03-07 19:15:01
Excerpt:
The auto assembly lines going quiet in Germany, Britain and Austria are more than just another example of how fragile supply chains have become. The shutdowns may foreshadow a fundamental reordering of the global economy that Russia’s invasion of Ukraine will accelerate.
The conflict has underlined the risks of doing business in authoritarian countries — not just Russia but also China — raising questions about the growing dependence of the automobile industry on the Chinese market.
China’s support for Russia has further strained relations between Beijing and the United States and Europe, which were already at loggerheads over trade. In Berlin, the conflict has strengthened members of the new coalition government who argue that Europe — especially Germany and its car industry — has become overly dependent on trade with China.
Automakers, with their global reach, complex supply chains and millions of employees, are a prime example of how the war in Ukraine could reshape…
