E.I.R.STRATEGIC ALERT WEEKLY NEWSLETTER Volume 33, No. 24, June 13, 2019

E.I.R.STRATEGIC ALERT
WEEKLY NEWSLETTER

Volume 33, No. 24, June 13, 2019

The Potential of the G20 Summit
to End Trade Wars and Cold Wars
In just over two weeks, leaders of the world’s major powers
will come together in Osaka, Japan, for the G20 summit. It
could turn out to be a decisive turning point toward the New
Paradigm of win-win cooperation in international relations.
Much will depend on the policies of U.S. President Donald
Trump, who has already indicated he would use the occasion

to meet Chinese President Xi Jinping and Indian Prime Minis-
ter Narendra Modi and hopefully, he will also hold a meeting

with Russian President Vladimir Putin. This is the “four power”

combination that Lyndon LaRouche had long identified as nec-
essary to defeat geopolitics and introduce a new world order.

Last week, while the Chinese President was in Moscow for a
state visit, he and Vladimir Putin consolidated a comprehensive
strategic partnership, with both leaders stressing that bilateral
relations have reached an historic high point. The following day,
June 7, they both attended the Saint Petersburg International
Economic Forum, which had a record attendance this year, with
China sending by far the largest delegation.

The dangers, however, remain tremendous, as Putin under-
lined in his comments to representatives of the world’s leading

news agencies on June 6. In reference to the U.S. violation of the
INF treaty, he warned: “Everyone is pretending to be deaf, blind
or dyslexic. We have to react to this somehow, don’t we?”
However, he went on to call for dialogue and cooperation

among the leading nuclear powers, adding that “the most re-
cent conversation I had with President Trump, I must say, in-
spires certain optimism, because Donald told me that he, too

was concerned about this.”
Similarly in China, the government is attempting to get
trade and economic relations with the U.S. off their current
confrontation course, while proceeding to develop China’s
own sovereign scientific and technological capabilities, which
is “non negotiable” for Beijing. But government and political
circles in China are also openly discussing possible “worst-case
scenarios” in the current trade war, and are preparing for that
eventuality.
From the U.S. side, Treasury Secretary Steven Mnuchin, in a
CNBC interview on June 9, commented that the future of the

talks will very much depend on the meeting between Presi-
dents Trump and Xi on the sidelines of the G20 summit, as

they have developed “a very close relationship”. Mnuchin also
pointed out that the trade negotiations are separate from the
Huawei controversy as such, which is linked to national security

issues. In his view, Trump might be willing to compromise on
Huawei if provided sufficient guarantees from China. But for
that, we would add, he will have to confront even harder the
neocons in the United States.
In fact, Washington’s ban on Huawei components is unlikely
to hold, given the overwhelming advantages of China’s 5G
technology. On June 6, the first commercial use licences were
granted to three Chinese telecom operators. During Xi’s visit
to Moscow, the Chinese high tech giant signed a contract with
the Russian telecom company MTS to develop a 5G network
in Russia over the next year. In late May, Huawei had signed a
deal with the African Union on information and communication
technologies and rolling out the 5G networks. In Latin America

too, major nations have opted for the Chinese company. In Eu-
rope, the fight is still on.

President Trump and the “Not So Special”
Relationship with the British

With Donald Trump demanding a full investigation into the in-
stigators of the coup attempt against him, there has been an

increasing focus on the role of the British in launching “Rus-
siagate”. In that context, it is not surprising that a major public

relations effort was undertaken, starting from the Queen herself,
to convince the Trump that the so-called “Special Relationship”
between the U.S. and the U.K. is as strong, and as important, as
ever. That explains the pageantry, the “pomp and circumstance”,
which characterized his visit last week to London.

One should not be fooled by comments from Trump him-
self, extolling the “unique bond” between America and Britain.

At the same time he expressed admiration for the Queen, and
responded mildly to a lengthy lecture from Prince Charles on

“global warming”, his focus on the British role in the coup at-
tempt is causing great nervousness in London.

On May 8, he tweeted about the former British MI6 agent
who compiled the infamous anti-Trump dossier, “This British

spy, Christopher Steele tried so hard to get this (the Fake Dos-
sier) out before the election. Why?” The tweet referred to a

recently declassified memo from a top State Department offi-
cial, Kathleen Kavalec, which discredited Steele and his dossier.

The memo was delivered to top FBI officials ten days before

they relied on the dossier to obtain a FISA surveillance war-
rant against the Trump campaign (cf. SAS 20/19). This not

only demonstrated criminal action by FBI Director Comey, but

placed Steele at the center of the criminal conspiracy to over-
turn Trump’s election.

EIR STRATEGIC ALERT 2 WEEKLY NEWSLETTER n° 24 / 2019
During Trump’s visit to the British capital, the London Times
ran an article on June 5 titled “Christopher Steele: MI6 Agent to
Face Questions on Trump Russia Dossier”. It reported that Steele

finally agreed to testify, within certain conditions, on his relation-
ship with the FBI. Most important, it indicates that the British

government is disavowing any relationship with the former MI6
agent, quoting a “senior official” who said that the government
was not involved in this decision, “as this relates to issues arising
many years after he left government employment.”
Such sophistry is unlikely to divert U.S. Attorney General

William Barr’s team from looking at other leads while question-
ing Steele, such as investigating coordination between Britain’s

GCHQ (the equivalent of the U.S. National Security Agency),
and former CIA Director John Brennan, in launching Russiagate
months prior to the release of the Steele dossier; the role of
“Five Eyes” spying; and the coordination between the MI6 and
FBI in using shared operatives, such as Josef Mifsud, Stephan

Halper and Alexander Downer, to set in motion the lie of “Rus-
sian hacking” in the 2016 election.

Prior to Trump’s departure, Republican Congressman Nunes
formally suggested he ask Prime Minister May whether the
British government was aware of, or took part in surveillance
efforts against the Trump campaign. It is not known whether
Trump followed through on that request. But one indication
that he may not be so committed to the “special relationship”
as it emerged, after being first described as such by Winston
Churchill was his quoting the prayer from President Franklin
Roosevelt, pronounced as U.S. troops were preparing to storm
the French beaches on D-Day. It is well-known that FDR was at
odds with Churchill when they were allied in World War II, with
the American repeatedly telling the Brit that the U.S. would not
support the restoration of the British Empire after the war.
Is a Return to Nuclear Power
in Germany Becoming Thinkable?
A discussion on the need of nuclear energy has re-emerged in
Germany, although from the limited pragmatic standpoint of

offering the best way to meet the proclaimed climate protec-
tion targets. Nonetheless, the 8-year ban on any discussion of

nuclear technology has been broken, and none too soon, since
all nuclear energy plants are scheduled to be shut down by the
end of 2021.
The government’s energy strategy was strongly criticized in

an interview published May 8 in the tabloid, with Wolfgang Re-
itzle, chairman of the board of Linde, a leading producer of in-
dustrial gases. “Here, under the impact of the Tsunami-caused

reactor damage in the Fukushima nuclear power plant, 9000
km away, an epochal decision was quickly taken -- without any
fact-based analysis and evaluation of the overall context. In
Germany, the Geiger counters were sold out at the time, while

in Japan’s capital Tokyo near Fukushima, no increase of radio-
activity could be monitored.”

Today, on certain days, electricity is imported from the neigh-
boring countries, Reitzle noted, while Germany is surrounded

by nuclear power plants that are less safe than the ones turned
off in here. The safety of the population has not been improved
by any of this. His conclusion: “Nuclear power should remain a
component of our energy policy, because it is the only one that
can provide the base load, it’s cheap and CO2-free.”
On June 4, Bild ran an exclusive interview with 84-year old
Reinhold Würth, an eminence grise of German entrepreneurial

culture, who made similar remarks to Reitzle. Then, in the con-
text of several national congresses of industrial and entrepre-
neurial associations held in Berlin last week, the same tabloid

covered more favorable comments on nuclear power on June
6. Volkswagen CEO Herbert Diess demanded an accelerated
exit from coal, but longer lifetimes for nuclear power plants:
“If we view climate protection as important, the nuclear power
plants should remain in service for longer periods.”
The energy expert of the CDU Klaus-Peter Willsch said: “If
you are for energy generation with less CO2, and at the same

time want a secure supply of energy, you can’t get around nu-
clear power. In terms of climate protection, nuclear power is

is the cleanest way to produce energy. Even Greta understood
that, before she was called to order by her campaign manager.”
Willsch was referring to Swedish teenager Greta Thunberg,
the new star of international pro-climate protests particularly
among the youth, who wrote several weeks ago that nuclear
power might also contribute to climate protection.
The debate in Germany is still very much in the early stages,
but could gain momentum. It also needs to address the simple
fact that even if the remaining 7 nuclear power plants are kept
running beyond 2021, the accelerated exit from coal power
makes it all the more urgent to build new gas and nuclear
plants to secure the energy supply. And to do so under a crash

program, something which is almost unthinkable today in Ger-
many, with its excessive bureaucratic procedures that prohibit

any large infrastructure projects, be it for environmental or
financial reasons.
Italy vs. the EU Commission:
The Next Round in the Making

As expected, the European Commission found that Italy’s defi-
cit and debt in 2019 and 2020 will be higher than allowed,

and is demanding immediate implementation of an austerity
program, otherwise it will ask the Ecofin Council of EU Finance

ministers to start a violation procedure against Italy. The Com-
mission decision, announced by Commissioners Moscovici and

Dombrovski on June 5, was accompanied by the usual Italy-
bashing in international media.

While several elements of the puzzle are still missing (a new
Commission will be elected soon, as well as a new president of
the European Parliament, and there could be a reshufflement
in Rome), the Italian government has announced that it will not
deviate from its anti-austerity line.
The Italian position was outlined by the head of the Senate
Finance and Treasury Committee Alberto Bagnai in an article in
the June 6 Financial Times. He called for “a radical change of
course” in EU economic policy and in particular for the abolition
of the disastrous rules of the Stability and Growth Pact (SGP).
Growth and employment, rather than price stability, should be
the target of economic policy, argues Bagnai.

The SGP “made the rules increasingly complicated, with ex-
tensive reference to potential output.” The result was a disas-
ter: “in an effort to make the rules less rigid, they were made

more procyclical. Potential output cannot be measured because
it does not exist: it is a complicated estimate based on past
economic performance. If a country goes into a deep recession,
either it immediately and greatly violates the 3 per cent rule
(as France did in 2009), or any expansionary budget policy in
subsequent years is rejected by Brussels as inflationary, on the
grounds that it will bring demand above potential output.”
As a result of procyclicality, the divide among EU member
countries is growing. In addition, there can be no “democratic
scrutiny of rules that even professional economists find difficult
to understand”, while ordinary voters don’t understand “what
they perceive as a double standard in how the rules are applied
and why their national governments are prevented from using

EIR STRATEGIC ALERT n° 24 / 2019 WEEKLY NEWSLETTER 3
spending to stimulate growth when inflation is close to 1 per
cent. This leads to distrust in the European project.
“The Italian government is committed to addressing this
problem. This requires a radical change of course in economic
policy. At a time of low inflation, we must stop making price
stability the yardstick of success. Growth and employment
must (cautiously) replace it.”
Bagnai also proposed adoption of a “golden rule”, under
which capital investment, both physical and human capital,

should not be countedas part of the deficit. (Under current ac-
counting rules, investment in human capital is absurdly labelled

as government consumption.)

In a Raiuno national talkshow June 6, Bagnai denied that It-
aly is planning to leave the euro, contrary to rumors in reaction

to a non-binding motion in Parliament suggesting the introduc-
tion of a parallel currency/non-currency, called mini-BOT.

EIR Interviews Head of Italian OBOR
Institute on Belt and Road
Dr. Michele de Gasperis, chairman of the OBOR Italian Institute
(Istituto Italiano OBOR), emphasized in a recent talk with EIR
the stabilizing effect of China’s Belt and Road Initiative while
rejecting allegations of Chinese “debt diplomacy.”
De Gasperis, who organized a successful three-day OBOR
Exhibition 2019 at the Fiera di Roma trade fair venue on May
15-17, says, among other things, that “the concept of ‘debt
diplomacy’ is generally presented in a fully distorted way; or,

better, it is an argument pushed by incompetent political lead-
ers who underwrite a debt, often beyond their real capacity

for repayment, leaving the burden to the next government.
In this scenario, I hardly see a fault on the creditor’s side, but
rather, as I said, the managerial incompetence of those who
underwrite the debt. Therefore, we must insist on knowledge:
Our institute has an active think-tank aimed at providing small
and medium-sized firms with these tools, and is also available
to concerned institutions.”
Asked to comment on Schiller Institute President Helga

Zepp-LaRouche’s depiction of the BRI as a politically stabiliz-
ing factor, a “New Paradigm,” De Gasperis replied: “I agree,

because in my view the BRI, before being a system of eco-
nomic cooperation, is a system of cultural and peace-bringing

cooperation among peoples. I personally participated in many
meetings with colleagues from other countries involved in the
program, and I can confirm that eliminating cultural barriers
and favoring mutual knowledge have been a major facilitator
in business activities. As always, people anticipate government
choices, and independent of momentary political expediency,
persons, culture, and the economy have already moved. Many

things between Italy and China had been set into motion un-
wittingly beforehand. The notoriety recently acquired by the

program in Italy is further evidence of the need to promote and
better know the project.”
D-day Celebrations: History Taken Hostage
by Short-Sighted Politicians

Vladimir Putin was not invited to the 75th commemoration cer-
emonies in England or in France of the Allied landing in France

on June 6, 1944,. The explanation given by the Elysée Palace,
namely that the Russians are only invited every ten years, and
not in those years ending in the number 9, was not convincing
given the rampant Russophobia of this year. A poll in Le Figaro
shows that 81% of those polled think that Vladimir Putin should
have been invited. And historians have considered the exclusion
to be an inexcusable humiliation of the Russian people..

Vladimir Putin himself took things in stride, declaring:”Why
should they invite me everywhere? Am I a wedding general? I
have enough things to do here, this is not at all the problem.”
It was understood by everyone that the Russian President was
referring to the meetings he was having at the same time with

Chinese President Xi Jinping in Moscow and then in St. Peters-
burg (cf. above).

The spokeswoman for the Russian Foreign Ministry Maria
Zakharova commented for her part that “the contribution of
the Allies in the final victory against the Third Reich is clear.
It should of course not be exaggerated. And especially not at
the same time as diminishing the Soviet Union’s titanic efforts,
without which this victory simply would not have happened.”
Indeed, the Normandy landing was preceded by the victories
of the Soviet Army in Stalingrad in early 1943 and in Kursk in
mid-1943.

But Emmanuel Macron and French leaders decided to sacri-
fice historical reality to short-term political expediency. In the

same way, for the 70th anniversary of the victory over fascism
in Russia, on the May 9, 2015, Vladimir Putin had invited all

western leaders to attend, but next to none showed up, sup-
posedly to “punish” Russia for having annexed Crimea....

As for Queen Elizabeth, in her speech at Portsmouth, she
made a point of thanking the heroes of that time in the name
of the “Free World”. As former French Presidential candidate

Jacques Cheminade commented, that shows that the celebra-
tion was “a meeting among western partners who wish to re-
main among themselves”.

Mexico and United States Reach Migration
Agreement, Tariffs “Indefinitely Suspended”

After three days of negotiations, the U.S. and Mexican gov-
ernments reached an agreement on June 7 to address the

unprecedented flow of undocumented migrants who are tra-
versing Mexican territory from Central America to reach the

U.S.-Mexican border. As a result, Donald Trump annnounced

the indefinite suspension of the tariffs scheduled to be imple-
mented on June 10.

Under the agreement, Mexico will toughen enforcement
measures on its southern border with Guatemala, and take a

number of other steps to curb illegal migration across its ter-
ritory, as well as crack down on the illicit financial and drug-
trafficking apparatus which is at the center of the operation.

The agreement also addresses the crucial issue of promoting
Central American economic development to fight the poverty
and violence causing so many to flee despite the dangers.

Throughout the tense days of negotiations, Mexican Presi-
dent López Obrador had insisted that the situation called for

calm, asserting that Mexico did not seek confrontation with
the U.S., but rather wished to maintain its friendship with the

American people and with President Trump. He had empha-
sized, however, that Mexico would remain firm in “defending

our dignity.”
While the usual purveyors of fake news, such as CNN, the

New York Times, and the Washington Post, claimed that noth-
ing new was agreed to in last week’s intense negotiations, Mex-
ico’s Foreign Minister Marcelo Ebrard and other government

spokesmen debunked that line.

Thousands of Mexicans gathered in the border city of Ti-
juana on June 8, answering the call of Lopez Obrador to ex-
press national unity and friendship with the United States. In

his 30-minute speech to them, the Mexican President offered
a panoramic review of U.S.-Mexican relations, going back to
the period of Mexican independence, and referenced such high

EIR STRATEGIC ALERT 4 WEEKLY NEWSLETTER n° 24 / 2019

points as the “invaluable aid” that President Benito Juárez re-
ceived from Abraham Lincoln, as well as the “exemplary rela-
tions” maintained by Presidents Franklin Roosevelt and Lazaro

Cárdenas “despite [Mexico’s] oil expropriation of 1938.” He
also documented how the imposition of neoliberalism in Mexico
in the 1990s had deindustrialized the country and forced tens
of thousands of Mexicans to emigrate.
López Obrador was optimistic about U.S. collaboration with

Mexico to develop southern Mexico and Central America. Clos-
ing borders and using coercive measures don’t work, he said.

“We’ve said we’ll resove the migration problem by attacking
its profound causes: that is, through promoting development
and fortifying well-being and peace. We’re already doing this in
Mexico, but to do this in the nations of Central America and the
Caribbean, the cooperation of the United States, Canada and
other developed countries is indispensable.”
Climate Hysteria and Media Manipulations
Global Warming Skeptic Trump Unimpressed by
Prince Charles’s Advice. During his recent trip to London,
Donald Trump’s meeting with Prince Charles went on for one
an half hours, with the Prince doing “most of the talking”,
because, according to Trump, he was so “passionate” about
climate change. However, when asked on the Good Morning
Britain show if he agreed with the Prince of Wales’ views, the
US President stated “I believe that there is a change in weather,
and I think it changes both ways,” referring to both natural and
human forces. He elaborated, as reported by Environment &

Energy News agency: “Don’t forget, it used to be called glob-
al warming; that wasn’t working, then it was called climate

change, and now it’s actually called extreme weather, because
with extreme weather, you can’t miss. Look, we have a thing
now with tornadoes. I don’t remember tornadoes in the U.S. to
this extent. But then, when you look back 40 years ago, we had
the worst tornado binge that we’ve ever had. In the 1890s, we
had our worst hurricanes, and I say we’ve had some very bad
hurricanes.”
A Study in Psywar Language. The Guardian of London
reported on May 24 that it has changed its Style Guide for its

“journalists,” when it comes to global warming. Those jour-
nalists are now to use the words “climate emergency, crisis

or breakdown” instead of “climate change”, “global heating”

instead of “global warming,” and “wildlife” instead of “biodi-
versity”. The purpose? to better scare more people into be-
lieving that life is about to end on Earth because of human

activity. Editor-in-chief Katharine Viner argues that the phrase
climate change “sounds rather passive and gentle” compared
to catastrophe.
The Guardian’s Style Guide has circulated around the world.
The standards editor of Canadian Broadcasting Corp. (CBC),
sent a memo to his staff approving use of the British daily’s

changes. The Washington Post’s health, science and environ-
ment editor Laura Helmuth told the Guardian that their guide-
lines have not changed as yet, but that the Guardian story

is being circulated to “our reporters and copy desk for inspi-
ration.” The Los Angeles Times is “also reviewing our style

guide,” managing editor Scott Kraft reports.

The Greta Thunberg Phenomenon. Thanks to a well-
financed and carefully orchestrated international campaign,

the young Greta Thunberg has become the icon of the climate
change lobby, after pioneering the youth protests (“Fridays
for Future”), which are full of apocalyptic warnings about the
imminent “end of the world” due to global warming. One of

Thunberg’s key advisers and fact-checkers, she herself has said,
is British radical climatologist Kevin Anderson, a former deputy
director of the Tyndall Center for Climate Research.
He argues that the IPCC is much too soft in its predictions
and that global warming could actually reach 4° C or even by
6°, which would wipe out most of mankind. Just one week

before the huge get-together of world leaders for the Copen-
hagen Climate Summit, he was quoted by Jenny Fyall in The

Scotsman of Nov. 29 2009 as saying he believes that “only
around 10 per cent of the planet’s population -- around half a
billion people – will survive if global temperatures rise by 4C.”
The consequences of such a rise would be “terrifying”, he
said. “For humanity it’s a matter of life or death. We will not
make all human beings extinct, as a few people with the right
sort of resources may put themselves in the right parts of the
world and survive. But I think it’s extremely unlikely that we
wouldn’t have mass death at 4C. If you have got a population
of nine billion by 2050 and you hit 4C, 5C or 6C, you might
have half a billion people surviving.”

By the way, the mother of Greta, Malena Ernman, has writ-
ten a book titled Scenes from the Heart, which Danish journal-
ist Mikael Jalving calls “horrifying reading,” as it reveals how

Greta and her sister have been victims of their mother’s psy-
chological abuse. Jalving commented to the Danish newspaper

BT, that Greta in the past has been diagnosed with depression

and an eating disorder, and currently suffers from obsessive-
compulsive disorder (OCD) and Asperger’s Syndrome, a form

of autism.
The Triumph of the Vision
of Lyndon H. LaRouche, Jr.

The living memory of Lyndon H. LaRouche, Jr. was cel-
ebrated in the United States on June 8, in a beautiful, historic

Memorial to his ideas, policies and specific programs and the
fight to implement them today. The main event took place in
Manhattan and was livestreamed to gatherings in a number of
other U.S. cities.
Helga Zepp-LaRouche, Schiller Institute chairwoman, said
at one point to the Manhattan gathering, that, “Lyn’s vision
of a fully developed world becoming a reality in the form of
the World Land-Bridge is now happening: Of a new form of

international relations among nations, of a dialogue of Clas-
sical cultures replacing confrontation, and of the vision of an

international cooperation of colonizing the Moon and a joint
Mars mission.

“His enemies, who are the enemies of humanity and the hap-
piness of the people, may prevail in the short term. But they’re

already haunted by the Erinyes. They may have been able to
cover up their crimes for a short while, but there is this higher
power of natural law, which will bring their crimes to the light
of day.”
Our newsletter will provide more ample coverage of the
event in our next issue.

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