World Biz
US, Canada, Mexico Leaders show unity despite friction
US President Joe Biden, Mexican President Andrés Manuel López Obrador and Canadian Prime Minister Justin Trudeau sought to downplay their frustrations with one another on migration and trade as they met for the near-annual North American Leaders Summit.
The leaders offered a unified front on Tuesday (10 January) despite tensions that have put a strain on their relationships even as Biden has made repairing alliances a cornerstone of his foreign policy agenda.
The tensions were front and center when Biden and López Obrador met on Monday (9 January) with the Mexican president complaining of “abandonment” and “disdain” for Latin America.
But as they closed Tuesday’s summit in Mexico City with a joint news conference, the leaders offered an optimistic outlook.
“We’re true partners the three of us,” said Biden, adding that they had “genuine like” for one another. “We share a common vision for the future, grounded on common values.”
López Obrador, for his part, thanked Biden for not building “even one meter of wall,” a not so subtle dig at Biden’s Republican predecessor, Donald Trump. The warmth during their joint press conference stood in stark contrast to the more brusque exchange a day earlier.
Still, López Obrador prodded Biden to “insist” Congress regularize undocumented Mexican migrants who work in industries where American employers are struggling mightily to find enough workers.
The three-way gathering is held most years, although there was a hiatus while Trump was president. It’s often called the “three amigos summit,” a reference to the deep diplomatic and economic ties among the countries.
However, the leaders have found themselves at odds, especially as they struggle to handle an influx of migrants and to crack down on smugglers who profit from persuading people to make the dangerous trip to the United States.
In addition, Canada and the U.S. accuse López Obrador of violating a free trade pact by favoring Mexico’s state-owned utility over power plants built by foreign and private investors. Meanwhile, Trudeau and López Obrador are concerned about Biden’s efforts to boost domestic manufacturing, creating concerns that U.S. neighbors could be left behind.
Trudeau emphasized in a one-on-one meeting with Biden the benefits of free trade and warned against Buy America policies that the U.S. administration has promoted, according to the prime minister’s office. Nearly 80% of Canada’s exports go to the U.S., so avoiding protectionism remains a priority for Canada.
The key takeaways from the summit revolve around better connections among the three nations and a shared goal of a stronger North America on energy and in particular semiconductors, climate and a pledge to cut methane emissions, an agreement to manage large waves of migrants coming to the region and a more cohesive regional strategy on dealing with future pandemic-related health threats.
In their talks on Monday, López Obrador challenged Biden to improve life across the region, telling him that “you hold the key in your hand.”
“This is the moment for us to determine to do away with this abandonment, this disdain, and this forgetfulness for Latin America and the Caribbean,” Lopez Obrador said.
Biden responded by pointing to the billions of dollars that the United States spends in foreign aid around the world.
Biden and Trudeau also discussed their countries’ efforts to support Ukraine nearly 11 months after Russia’s invasion. Canada announced Tuesday that it would buy an American-made National Advanced Surface to Air Missile System, or NASAMS, to be donated to Ukraine. The medium-range ground-based air defense system, which protects against drone, missile and aircraft attacks, costs about $406 million and brings Canada’s contribution to Ukraine to more than $1 billion since the start of the war.
The White House said in a statement that the leaders also discussed “the generational opportunity to strengthen supply chains for critical minerals, electric vehicles, and semiconductors.” The U.S. administration also announced that Biden will make his first visit to Canada as president in March.
“There’s a lot of reasons to be optimistic, especially for those of us in our countries,” Trudeau said. “But it’s going to take a lot of work, something neither you or I or most our citizens have ever been afraid of.”
Biden and López Obrador haven’t been on particularly good terms for the past two years. The Mexican leader made no secret of his admiration for Trump, and last year he skipped a Los Angeles summit of the Americas because Biden didn’t invite the authoritarian leaders of Cuba, Venezuela and Nicaragua.
But despite the tension, there’s been cooperation. The U.S. and Mexico have also reached an agreement on a major shift in migration policy, which Biden announced last week.
Under the plan, the U.S. will send 30,000 migrants per month from Cuba, Nicaragua, Haiti and Venezuela back across the border from among those who entered the U.S. illegally. Migrants who arrive from those four countries are not easily returned to their home countries for a variety of reasons.
In addition, 30,000 people per month from those four nations who get sponsors, background checks and an airline flight to the U.S. will be able to work legally in the country for two years.
The number of migrants crossing the U.S.-Mexico border has risen dramatically during Biden’s first two years in office. There were more than 2.38 million stops during the year that ended Sept. 30, the first time the number topped 2 million.
López Obrador spoke at length about Mexico’s efforts to control the flow into the United States of fentanyl, the synthetic opioid that has become a scourge for many American communities. He noted that his government gave the military control of sea ports to help with the interdiction of precursor chemicals coming from Asia.
“We are battling fentanyl, these chemicals, and we are doing it because we care. No human is foreign to us,” he said. “It really matters to us to be able to help with what is happening in the United States, the deaths from fentanyl. But also as we discussed today, it is not only an issue for the United States, because if we don’t confront this problem, this scourge, we are going to suffer it, too. So we have to act in a coordinated way.”
Canada is being nudged by the U.S. and other allies to lead an international mission to Haiti to help solve the ongoing humanitarian and security crisis.
Haitian Prime Minister Ariel Henry and the country’s Council of Ministers sent an urgent appeal Oct. 7 calling for “the immediate deployment of a specialized armed force, in sufficient quantity” to stop the crisis caused partly by the “criminal actions of armed gangs.” But more than three months later, no countries have stepped forward.
Trudeau on Tuesday called the situation “heartbreaking.” Both he and Biden said they will work with the United Nations Security Council to assist the Caribbean nation but also expressed caution about direct intervention.
“We need to make sure that the solutions are driven by the people of Haiti themselves,” Trudeau said.
Economy
Biden Pledges US Support to Yunus-Led Interim Government in Historic Meeting
US President Joe Biden has expressed his nation’s full backing for Bangladesh and the interim government led by Muhammad Yunus during a bilateral meeting held on the sidelines of the United Nations General Assembly (UNGA) in New York. This marks the first time in Bangladesh’s history that a US president has met with the country’s head of government at a UNGA session, as confirmed by a statement from the Chief Adviser’s Office.
In this unprecedented encounter, Chief Adviser Prof Yunus briefed President Biden on the significant sacrifices made by students who fought against the previous government, leading to the opportunity to rebuild the country. Prof Yunus underscored the importance of succeeding in this national rebuilding effort, calling for US cooperation in the process.
President Biden praised the students’ dedication, stating that their sacrifice calls for further commitment from all, including the US. During the meeting, Prof Yunus presented Biden with a copy of The Art of Triumph, a book featuring wall paintings by students and young revolutionaries.
Prof Yunus, on his first visit to the US as head of Bangladesh’s government, is attending the 79th UNGA, which runs from September 19 to 30. The theme of this year’s debate is “Leaving no one behind: acting together for the advancement of peace, sustainable development, and human dignity for present and future generations.”
Rare Diplomatic Meeting Signals Strengthened US-Bangladesh Ties
Speaking on the significance of the meeting, Chief Adviser’s Press Secretary Shafiqul Alam highlighted the rarity of such an engagement, noting that the US and Bangladesh already enjoy strong relations. “This meeting elevates our relationship to a new level,” Alam stated, as reported by local media.
Observers suggest that the bilateral meeting, which is uncommon for US presidents during the UNGA, signals Washington’s intention to support Bangladesh through its transitional period. Dhaka is hopeful that the encounter will lead to a new strategic partnership that enhances cooperation on multiple fronts.
Yunus Receives Warm Reception from Global Leaders
Earlier in the day, Chief Adviser Muhammad Yunus was welcomed by several world leaders at a reception hosted by UN Secretary-General Antonio Guterres. Held at the North Delegate Lounge in the UN headquarters, the event served to greet the leaders participating in the 79th session of the UNGA.
During the reception, Yunus exchanged greetings with Brazilian President Luiz Inacio Lula da Silva, Mauritian President Prithvirajsingh Roopun, and UN High Commissioner for Human Rights Volker Turk, among others.
Yunus Meets Canadian Prime Minister Trudeau
On the sidelines of the UNGA, Chief Adviser Yunus also met with Canadian Prime Minister Justin Trudeau. The two leaders discussed ways to enhance Bangladesh-Canada relations, focusing on fostering freedom, institution-building, and youth development in Bangladesh.
Prime Minister Trudeau commended Prof Yunus for taking on the leadership role and reiterated Canada’s willingness to support Bangladesh in strengthening its institutions. Prof Yunus, in turn, praised Canada for its enduring friendship and requested increased visa allocations for Bangladeshi students.
The chief adviser also gifted Trudeau The Art of Triumph, further highlighting the contributions of young revolutionaries. In addition to Trudeau, Yunus is scheduled to meet with the managing director of the IMF, the Italian prime minister, and will speak at the Clinton Global Initiative and Friends of Bangladesh events.
World Biz
Environmental groups urge EU ‘high risk’ label for Sarawak
Environmental and rights groups urged the European Union Tuesday to label Malaysia’s Sarawak region “high risk” under controversial new anti-deforestation rules to be implemented from the end of December.
The EU’s deforestation regulation (EUDR) is due to come into force at the end of the year, although Germany and Brazil have recently joined a string of countries urging that implementation be delayed.
Environmentalists and rights groups have, however, called on the EU to move forward with the regulation.
It will bar imports of a vast range of goods — from coffee to cocoa, soy, timber, palm oil, cattle, printing paper and rubber — if they are produced on land that was deforested after December 2020.
It also requires exporters to assess the risk of rights violations associated with production of the commodity.
In a joint statement, a group of Malaysian and international organisations said Sarawak in Malaysian Borneo should be considered “high risk” under the new rules.
Such a designation would mean closer scrutiny of timber and palm oil imported from the region — an unwelcome prospect for Malaysia, which is already pushing back against EUDR.
The NGOs argue Sarawak’s government plans to convert hundreds of thousands of hectares of natural forest to timber plantations, and is granting companies operating leases in areas that have not been surveyed for protection purposes.
Earlier this year RimbaWatch, one of the signatory groups, warned that around 15 percent of Malaysia’s natural forest is at risk because of concessions granted to companies.
Tuesday’s statement also alleges routine violations of Indigenous land rights, including limits on the amount of land that can be legally recognised, and the unilateral revocation of existing land titles.
“Logging companies are still bulldozing Indigenous peoples’ forests in Sarawak without consultation or consent from communities, which should translate into a ‘high risk’ classification,” said Celine Lim, managing director of SAVE Rivers, an Indigenous organisation from Sarawak.
– Vocal opponents –
Sarawak’s forestry department, and Malaysia’s plantation and commodities ministry did not respond to AFP’s request for comment on the claims.
Malaysia and Indonesia have been among the most vocal opponents of EUDR, arguing domestic anti-deforestation standards should be sufficient, and warning the rules will disproportionately harm smallholder producers who cannot meet onerous documentation requirements.
Environmental and rights groups have pushed back against these claims, including at talks in Brussels earlier this month between EU, Indonesian and Malaysian officials.
“Calls from EU governments to delay enforcement of the law are a deplorable abdication of leadership in the face of a climate emergency,” said Luciana Tellez Chavez, senior
environment and human rights researcher at Human Rights Watch.
World Biz
Marxist Dissanayake wins Sri Lanka’s presidential election as voters reject old guard
Marxist lawmaker Anura Kumara Dissanayake won Sri Lanka’s presidential election, the Election Commission announced Sunday, after voters rejected the old political guard that has been widely accused of pushing the South Asian nation toward economic ruin.
Dissanayake, whose pro-working class and anti-political elite campaigning made him popular among youth, secured victory over opposition leader Sajith Premadasa and incumbent liberal President Ranil Wickremesinghe, who took over the country two years ago after its economy hit bottom.
Dissanayake received 5,740,179 votes, followed by Premadasa with 4,530,902, Election Commission data showed.
The election held Saturday was crucial as the country seeks to recover from the worst economic crisis in its history and the resulting political upheaval.
“This achievement is not the result of any single person’s work, but the collective effort of hundreds of thousands of you. Your commitment has brought us this far, and for that, I am deeply grateful. This victory belongs to all of us,” Dissanayake said in a post on X.
The election was a virtual referendum on Wickremesinghe’s leadership of a fragile recovery, including restructuring Sri Lanka’s debt under an International Monetary Fund bailout program after it defaulted in 2022.
Dissanayake, 55, had said he would renegotiate the IMF deal to make austerity measures more bearable. Wickremesinghe had warned that any move to alter the basics of the agreement could delay the release of a fourth tranche of nearly $3 billion that is crucial to maintaining stability.
Neither candidate received more than 50% of the vote. Under the Sri Lankan election system that allows voters to select three candidates in the order of their preference, the top two are retained and the ballots of the eliminated candidates are checked for preferences given to either of the top two vote-getters. The one with the highest number of votes is declared the winner.
It was a strong showing for Dissanayake, who won just over 3% of votes in a previous presidential election in 2019, and suggests voters are fatigued with the old guard.
Dissanayake’s National People’s Power coalition is led by the Janatha Vimukthi Peramuna, or People’s Liberation Front, a Marxist party that waged two unsuccessful armed insurrections in 1970s and 1980s to capture power through socialist revolution. After its defeat, the JVP entered democratic politics in 1994 and mostly played a key role in the opposition. However, they have supported several presidents and been part of governments briefly.
The NPP grouping also includes academics, civil society movements, artists, lawyers and students.
Dissanayake was first elected to Parliament in 2000 and briefly held the portfolio of agriculture and irrigation minister under then-President Chandrika Kumaratunga. He ran for president for the first time in 2019 and lost to Gotabaya Rajapaksa, who was ousted in a public protest over the economic crisis two years later.
Political analyst Jehan Perera said Dissanayake represented the spirit of the 2022 uprising during which angry Sri Lankans ousted Rajapaksa and called for a “system change” and “new faces in politics.”
Dissanayake’s immediate challenge would be to steady the economy “in the face of anxieties felt by business and financial groups about his Marxist and revolutionary background,” Perera said.
Wickremesinghe’s Foreign Minister Ali Sabry congratulated Dissanayake and said he hopes he will “lead with a commitment to transparency, integrity, and the long-term good of the country.”
The government announced Thursday that it passed the final hurdle in debt restructuring by reaching an agreement in principle with private bond holders. At the time of its default, Sri Lanka’s local and foreign debt totaled $83 billion. The government says it has now restructured more than $17 billion.
Despite a significant improvement in key economic figures, Sri Lankans are struggling with high taxes and living costs.
Sri Lanka’s economic crisis resulted largely from excessive borrowing on projects that did not generate revenue. The impact of the COVID-19 pandemic and the government’s insistence on using scarce foreign reserves to prop up the currency, the rupee, contributed to the economy’s free fall.
The economic collapse brought a severe shortage of essentials such as medicine, food, cooking gas and fuel, with people spending days waiting in line to obtain them. It led to rioting in which protesters took over key buildings including the president’s house, his office and the prime minister’s office, forcing Rajapaksa to flee the country and resign.
The outgoing President Wickremesinghe was elected by a parliamentary vote in July 2022 to cover the remainder of Rajapaksa’s five-year term.