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Chinese Officials Plan To Ease Covid Restrictions Across iPhone City

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Chinese Officials Plan To Ease Covid Restrictions Across iPhone City

Update (1134ET): 

After Chinese health officials announced an accelerating move to vaccinate older people against Covid-19, a sign the world’s second-largest economy could be reopening after disastrous zero Covid policies, a new report says the metro area around the world’s largest iPhone plant is set to loosen Covid restrictions. 

Bloomberg reported Foxconn’s massive iPhone factory in Zhengzhou, central China, is set to ease Covid control measures. 

We noted last week that Zhongzhou authorities posted a statement on its WeChat page about mobility restrictions around the city due to rising infections. Now it appears restrictions are being lifted. 

Also last week, a combination of Coivid restrictions at the iPhone plant and city, along with pay disputes among new workers at the factory, led to massive unrest that is set to cause supply woes for Apple.

On Monday, there was speculation by Bloomberg that disruptions at the factory could result in a 6 million iPhone Pro production shortfall by the end of the year.  

The headline was enough to send Apple shares plunging from session highs. 

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Hong Kong markets and Chinese stocks listed in the US surged in premarket trading as Chinese government health experts made an unscheduled overnight announcement in which they not only vowed to speed up Covid shots for the elderly but to avoid excessive restrictions, fueling a new round of bets that Beijing is bending to the pressure of an economic reopening.

“The vaccination rate of the first dose of the vaccine for people over 60 years old has exceeded 90%, but it is still necessary to continue to do a good job of full vaccination and to strengthen immunization for people aged 60-79, especially those over 80 years old,” the National Health Commission wrote in a statement. An official told reporters that vaccination is the best way to prevent severe illness and death, and the elderly benefit the most. The low elderly vaccination rate was viewed as a significant roadblock in reopening the economy, like the rest of the world.

The Hang Seng China Enterprises Index soared over 6%, because as Bloomberg’s Sofia Horta e Costa put it, we got “plenty of signaling” on the road to reopening, to wit:

  • Vaccinations: There was a focus on the vaccination of the elderly. This may seem obvious but it’s one of the major obstacles to China’s reopening. While there was nothing about a vaccine mandate, we heard strong words urging older residents to take responsibility for their own health.
  • Virulence: One spokesperson detailed the science showing omicron and its sub-variants aren’t as dangerous. Lowering the population’s fear of the virus is an important step toward a panic-free reopening. There was also a bit of self-congratulatory talk around China’s low death rate — claiming victory over the pandemic also plays into how Beijing will clear the path to move on.
  • Inconvenience: Health officials said it was paramount to minimize the impact caused by the Covid outbreak. This is somewhat of a reiteration but to investors it suggests the government is concerned about the anxiety caused by its pandemic response.
  • Excessive measures: The spokespeople said some local governments are taking lockdowns too far, imposing measures without prior approval from the central government. Restrictions should be limited in scale and length, and local authorities must respond quickly to “reasonable” requests from residents. If not they will be named and shamed.

As Horta e Costa put it, “the key to tracking shifts in China’s Covid Zero policy will come from official tone, language and signaling — reading the tea leaves might be a high-risk bet but investors seem happy with what they got today.”

What could come next is further details on China’s reopening plans, but officials fell short of announcing those steps as the economy is stuck in a perpetual state of harsh zero Covid curbs. The pledge to bolster vaccination is seen as a step towards reopening.  This all comes after unrest erupted over the weekend across cities from Beijing to Shanghai and Chengdu. People are frustrated with zero Covid policies that have disrupted business activity and slowed economic growth. 

“We do not expect China policy to publicly shift away from the Zero Covid stance, however, we could see some easing of the policy privately and in localized areas,” Jefferies analyst Mohit Kumar told clients in a note.

Market sentiment has been whipsawed since Monday’s setbacks when investors dumped Chinese stocks as lockdown protests worsened. Sentiment has done a complete 180 degrees. Kumar said, “markets are in a happy state and are comforted by the expected reduction in the pace of rate hikes from central banks.”

The exchange-traded KraneShares CSI China Internet Fund, which holds about 40 Chinese stocks, jumped 6% in premarket trading. 

Today’s gains in US-listed Chinese stocks will add to the Nasdaq Golden Dragon China Index’s 23% advance this month, heading for the largest monthly gain on record, even if there is still a long way to go to recover recent losses as chart below shows. The gains started with a social media rumor about Beijing moving towards a zero Covid exit early this month. 

Shares in mainland China and Hong Kong rebounded. Hong Kong’s Hang Seng Index closed up 5.24%, and mainland China’s CSI 300 was up 3%.

Tyler Durden
Tue, 11/29/2022 – 11:35

Oil Dips After OPEC+ Headlines

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Oil Dips After OPEC+ Headlines

Next week’s much-anticipated OPEC+ meeting in Vienna has now been moved to a virtual meeting but, as Amena Bakr noted, this does not mean its a nothingburger…

Reuters is reporting that, according to five sources among the delegates, OPEC+ is “likely to stick with the existing oil output policy” but also noted that the group “could consider further reducing oil-output”.

The reaction by the market is negative for now, suggesting the focus is on the ‘existing policy’ rather than “more cuts” as we note that out of 16 traders and analysts surveyed by Bloomberg this week, 10 anticipated a new supply cutback, with estimates ranging from 250,000 to 2 million barrels a day.

…so will we see a production cut now that OPEC+ has tested market reaction to maintaining current policy?

Tyler Durden
Tue, 11/29/2022 – 11:22

Israel, US Holds Aerial Drill Simulating Attack On Iran Nuclear Sites

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Israel, US Holds Aerial Drill Simulating Attack On Iran Nuclear Sites

The Israeli Air Force has unveiled that this week it will conduct its largest joint aerial drills in years with the US Air Force, which involves a highly provocative mock mission to take out Iranian nuclear sites

The Jerusalem Post details based on military statements, “The drill will take place from Tuesday until Thursday over the Mediterranean Sea and Israel. It will include long-range flights such as those that Israeli pilots might need to make in order to reach the Islamic Republic.”

Israeli Air Force file image

Aerial refuelers from both sides will also assist, in addition to fighter jets – given the militaries will simulate operations that would theoretically reach all the way across the Middle East into the Islamic Republic. 

The US and Israel have meanwhile lately pledged closer military and intelligence cooperation, with Washington vowing to assist the Jewish state with missile defense if it ever came under attack. 

IDF Chief of Staff Lt.-Gen. Aviv Kohavi told CENTCOM Commander Gen. Michael Kurilla during the former’s visit to Washington last week, “We are operating together on all fronts to gather intelligence, neutralize threats, and prepare for various scenarios in either one or multiple arenas.”

All of this comes as Prime Minister-designate Benjamin Netanyahu is forming a government and will soon once again be commander-in-chief. The well-known anti-Iran hawk has in the past routinely warned that Israel won’t hesitate to conduct a preemptive attack on the Islamic Republic if Tehran gets close to developing a nuclear bomb. 

The only question that would remain if whether the Biden administration would greenlight such a preemptive strike. It must be remembered too that Israel reportedly assisted in some manner (likely on the intelligence front) with Trump’s January 2020 assassination strike on IRGC Quds Force Gen. Qasem Soleimani, which occurred during Netanyahu’s prior term.

Tyler Durden
Tue, 11/29/2022 – 05:45

London Mayor Unveils “Crippling” Vehicle Emission Charge For All Of London, Despite 80% Opposition

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London Mayor Unveils “Crippling” Vehicle Emission Charge For All Of London, Despite 80% Opposition

Authored by Thomas Brooke via Remix News,

The low-emission zone in central London, within which motorists are charged £12.50 (€14.56) per day for driving the most polluting vehicles, is set to be extended to cover the whole of London, the city’s left-wing mayor, Sadiq Khan, announced on Friday.

From Aug. 29 next year, the Ultra Low Emission Zone (ULEZ), which currently covers the heart of London will be extended to the Greater London Authority boundary, a move that will increase the costs of hundreds of thousands of commuters and residents who drive non-compliant vehicles.

Khan described the decision to extend the zone as “one of the toughest decisions” he’s taken as mayor, but claimed the move will see 5 million more people benefit from cleaner air.

“The ULEZ so far has been transformational, reducing harmful pollution levels by almost a half in central London,” Khan said.

“But there is still far too much toxic air pollution permanently damaging the health of young Londoners and leading to thousands of early deaths every year, with the greatest number of deaths in the outer London boroughs,” he added.

The diagram outlines the new boundary for the ULEZ which comes into effect on Aug. 29 next year

The extension has been agreed despite overwhelming opposition from Londoners. The BBC reported that a public consultation on the extension plans, which Khan insisted was a genuine consultation and would factor into his decision, showed 80 percent of people in the affected area opposed the plan.

London Assembly member Emma Best said the announcement came following “a sham consultation from a sham Mayor.”

The move will mean that an estimated 200,000 motorists of non-compliant vehicles producing higher carbon emissions will be slapped with a daily £12.50 levy for driving their vehicle within the Greater London Authority boundary.

The charge applies all day, every day, with the exception of Christmas Day, and those with non-compliant cars residing in the affected area are not exempt.

At the same time, Transport for London (TfL) has announced the penalty charge for non-payment of the ULEZ fee will increase from £160 (€186) to £180 (€209), a charge that is halved if paid within 14 days.

The London Assembly Conservative group tweeted: “Londoners face paying a £12.50 daily cost of living charge if driving a non compliant vehicle in a London-wide expanded ULEZ zone. Despite a majority of Londoners opposing the scheme.”

The Federation of Small Businesses (FSB) opposed the move, insisting many of its members in Outer London will be badly hit, while the Alliance of British Drivers claimed the move was clearly designed to fill the coffers of Transport for London.

“His whole basis for extending the ULEZ zone on the basis of public health doesn’t stand up to scientific scrutiny,” said Brian Gregory, the alliance’s policy director.

“TfL has an enormous hole in its budget, and Mayor Khan is looking to fill that hole by any means that he can,” he added.

Nicholas Lyes, head of roads policy at vehicle service company RAC, said the announcement will be “a hammer blow for desperate drivers and businesses already struggling with crippling fuel costs.”

Tyler Durden
Tue, 11/29/2022 – 05:00

UK Power Prices Skyrocket As Wind Generation Collapses

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UK Power Prices Skyrocket As Wind Generation Collapses

Good thing the UK recently “war gamed” emergency plans to deal with energy shortfalls because a collapse in wind power has skyrocketed electricity prices, and network operator National Grid Plc might ask homes and businesses to reduce power use on Tuesday. 

Some hourly power contracts for Tuesday jumped above £1,200 ($1,445.92) a megawatt-hour on Epex Spot SE as wind generation is set to come to an abrupt halt, reported Bloomberg

Britain has one of the largest offshore wind farms in the world but is prone to energy shortfalls when the wind doesn’t blow — making this type of renewable energy not so reliable.

For the first time, tight power supplies could force National Grid to deploy a new measure that pays households to reduce power consumption during peak demand hours. 

Thousands of households with smart meters have signed up for the demand reduction program that has been pilot-tested. It could be used for the first time, according to a warning issued by National Grid. 

National Grid had initially warned blackouts are possible this winter due to natural gas supply cuts following Russia’s war in Ukraine. 

The collapse in wind power this week could be a perfect storm as temperatures are expected to be colder than average in the first half of the week, which will send electricity demand higher. The grid operator expects peak power consumption of around 41.1 gigawatts this evening and 42.4 gigawatts on Tuesday, indicating spare capacity would tighten as the grid struggles to produce enough electricity to satisfy demand. 

Bloomberg said the UK would need to fire up fossil fuel power generators due to the gap in wind power that will persist through Thursday. 

It’s not even the middle of winter, and the UK’s grid is already at risk of failure. This doesn’t bode well over the coming months if winter is harsh. 

Tyler Durden
Tue, 11/29/2022 – 04:15

Watch: Moroccan Fans Celebrate World Cup Win By Rioting In European Cities

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Watch: Moroccan Fans Celebrate World Cup Win By Rioting In European Cities

Authored by Paul Joseph Watson via Summit News,

Moroccan football fans celebrated their World Cup win over Belgium by staging chaotic riots in numerous different European cities.

Diversity continues to be a strength.

Morocco beat Belgium 2-0 in Group F yesterday, which many regarded as a shock result given the quality of the Belgian team.

Whereas some would expect the result to have prompted friendly and good-natured celebrations, Moroccans used it as an excuse to loot shops, burn vehicles and attack police stations in Belgium and neighboring Holland.

Multicultural Belgium is home to around 500,000 Moroccans, some of whom reacted to their team victory by rampaging through the streets.

“Police deployed tear gas to disperse fans following the victory, but rioting went on into the evening, resulting in a number of additional vehicles being set on fire,” reports ReMix News.

Eight people were arrested in Antwerp, while police in Brussels were forced to deploy water cannons and tear gas in an attempt to quell the rioting.

However, the unrest was not limited to Belgium. Over the border in the Netherlands, vehicles were torched in Amsterdam and rioters in Rotterdam attacked police with fireworks, causing multiple injuries.

“I condemn in the strongest terms the incidents of this afternoon,” said Brussels’ mayor, Philippe Close.

“The police have already firmly intervened. I therefore advise against fans coming to the city center. The police are doing all they can to maintain public order. I have ordered the police to carry out arrests of the troublemakers,” he added.

Another clip shows a violent mob attacking an ambulance.

“This was not a party,” said Claire Martens, VVD party chairman in Amsterdam. “These are guys who think they are in charge of the streets and not the police. We cannot accept that. Why did the (authorities) intervene so late? How are we going to prevent this next week?”

As we previously highlighted, migrant youths also reacted to the lockdown in Belgium by staging riots.

The most popular name for newborn babies in the de facto EU capital of Brussels is Mohamed, with Islamic names making up 43 per cent of total registrations in the Belgian city.

Earlier this year, Belgian leftist leader Conner Rousseau caused alarm amongst his own political allies after admitting that multiculturalism had failed.

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Tyler Durden
Tue, 11/29/2022 – 03:30

“There Is Growing Annoyance With The Polish Position”: EU Fails To Agree On Russian Oil Price Cap As Full Ban Looms

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“There Is Growing Annoyance With The Polish Position”: EU Fails To Agree On Russian Oil Price Cap As Full Ban Looms

In its relentless pursuit of virtue-signaling hills that it is willing to die on within minutes, several months ago the EU had a brilliant idea: let’s implement a toothless oil price cap on Russian oil exports, one which actually has zero impact on deeply discounted Russian oil and thus doesn’t lead to any more European energy shocks, but because of the optics and the much “lower” permitted transaction price, it will make for great headlines and show the world just how powerful the EU is.

Well, the plan almost worked… until Poland the Baltics forgot to read the fine print, thought that Europe actually does mean business, and blew up the deal.

Recall on Friday, negotiations on the Russian oil price cap were suspended – despite a willingness by most European nations to just cross the checkmark and move on – as Poland and the Baltic states objected to a proposed ceiling of $65.

There was some hope that this opposition was just for show, and that come Monday the Poles would relent after some “closed door” negotiations, Europe would slap a $65 price cap, Russia would continue to sell its oil to China and India, and – quietly – to Europe, and gradually renormalize a fractured oil market where India and China pay a 25% discount for oil while the rest of the world has to pay a premium as an offset.

However, it was not meant to be, and on Monday European Union governments again failed to agree on a price cap on Russian seaborne crude oil, as Poland again insisted that the cap had to be set lower than proposed by the G7 to cut Moscow’s ability to finance its invasion of Ukraine, diplomats told Reuters.

“There is no deal. The legal texts have now been agreed, but Poland still can’t agree to the price,” one diplomat said. No new date for talks has been set yet, diplomats said, even though a far worse outcome may await Europe in just one week: as a reminder, the price cap mechanism is to enter into force on Dec. 5. And if there is no agreement on the G7 price cap idea by next Monday, the EU would implement harsher measures agreed at the end of May – a ban on all Russian crude oil imports from Dec. 5 and on petroleum products from Feb. 5, Polish diplomats said.

That would be a truly catastrophic scenario, and one which could promptly send the price of oil into the stratosphere as JPMorgan explained not too long ago.

To be sure, it’s not too late for Poland to fall in line: Hungary and two other landlocked central European states secured exemptions from that ban for the pipeline imports they rely on. Meanwhile, even the G-7 group of nations has proposed a softer version of the EU ban to keep oil supply to the global economy steady, because Russia supplies 10% of the world’s oil (see, it was all theater, everything – from day one – and politicians knew it as soon as they did the math).

It proposed that the EU and other global customers keep buying Russian crude, but only if its price is at or below a G7 agreed level. That would cut the Kremlin’s revenues. The G7 has proposed a cap of $65-70 per barrel, but Poland and some others argue this will not hurt Moscow because Russian crude is already trading below that range at $63.50, and after today’s oil price rollercoaster, the “Russian” price briefly dipped below $60.

With Russian production costs estimated at around $20, Moscow has a very large profit from its oil exports. Poland, Lithuania and Estonia have been pushing for a price cap of $30 per barrel.

And yet, despite consensus that Polish opposition would be overturned, the country’s resolve has only hardened: “The Poles are completely uncompromising on the price, without suggesting an acceptable alternative,” the EU diplomat said. “Clearly there is growing annoyance with the Polish position.”

Which is hilarious because only Poland is adhering to the principle of what the price cap was supposed to achieve – namely choke off Russian oil profits; and yet for all the pompous rhetoric by G-7 nations, everyone is happy to keep the spectacle going knowing full well that this is just one giant virtue-signaling scheme. Everyone, except Poland that is… and as a result the “annoyance” is not with Putin but with the “Polish position” which is keeping fat European technocrats away from their well-deserved 3-star meals for a fake job well done.

Unlike Poland, other countries quickly fell in line when some money transfers were made: Malta, Cyprus and Greece were worried the G7 cap proposal was too low, hitting their large shipping industries, but diplomats said they got some “concessions” in the legal texts and were no longer an obstacle to a deal. Translation: the three countries would be the primary beneficiaries of Russian ship-to-ship transfers, which then flow through to the rest of Europe.

The idea to enforce the G7 cap is to prohibit shipping, insurance and re-insurance companies from handling cargoes of Russian crude around the globe, unless it is sold for less than the price set by the G7 and its allies.

As Reuters concludes, “because the world’s key shipping and insurance firms are based in G7 countries, the price cap would make it very difficult for Moscow to sell its oil for a higher price”; what Reuters meant is that only Poland is doing everything in its power to sell its oil for a higher price, when the rest of the EU and G7 have already decided to turn the page on this matter.

Tyler Durden
Tue, 11/29/2022 – 02:45

Escobar: Operation Claw-Sword – Erdogan’s Big New Games In Syria

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Escobar: Operation Claw-Sword – Erdogan’s Big New Games In Syria

Authored by Pepe Escobar,

There’s another Special Military Operation on the market. No, it’s not Russia “denazifying” and “demilitarizing” Ukraine – and, therefore, it’s no wonder that this other operation is not ruffling feathers across the collective West.

Operation Claw-Sword was launched by Turkey’s President Recep Tayyip Erdogan as revenge – highly emotional and concerted – for Kurdish terrorist attacks against Turkish citizens. Some of the missiles that Ankara launched in this aerial campaign carried the names of Turkish victims.

The official Ankara spin is that the Turkish Armed Forces fully achieved their “air operation objectives” in the north of Syria and in Iraqi Kurdistan, and made those responsible for the terror attack against civilians in Istanbul’s Istiklal pedestrian street pay in “multitudes.”

And this is supposed to be just the first stage. For the third time in 2022, Sultan Erdogan is also promising a ground invasion of Kurdish-held territories in Syria.

However, according to diplomatic sources, that’s not going to happen – even as scores of Turkish experts are adamant that the invasion is needed sooner rather than later.

The wily Sultan is caught between his electorate, which favors an invasion, and his extremely nuanced relations with Russia – which encompass a large geopolitical and geo-economic arc.

He well knows that Moscow can apply all manner of pressure levers to dissuade him. For instance, Russia at the last minute annulled the weekly dispatch of a joint Russo-Turkish patrol in Ain al Arab that was taking place on Mondays.

Ain al Arab is a highly strategic territory: the missing link, east of the Euphrates, capable of offering continuity between Idlib and Ras al Ayn, occupied by dodgy Turkish-aligned gangs near the Turkish border.

Erdogan knows he can’t jeopardize his positioning as potential EU-Russia mediator while obtaining maximum profit from bypassing the anti-Russian embargo-sanctions combo.

The Sultan, juggling multiple serious dossiers, is deeply convinced that he’s got what it takes to bring Russia and NATO to the negotiating table and, ultimately, end the war in Ukraine.

In parallel, he thinks he may stay on top of Turkey-Israel relations; a rapprochement with Damascus; the sensitive internal situation in Iran; Turkey-Azerbaijan relations; the non-stop metamorphoses across the Mediterranean; and the drive towards Eurasia integration.

He’s hedging all his bets between NATO and Eurasia.

‘Close down all of our southern borders’

The green light for Claw-Sword came from Erdogan while he was on his presidential plane, returning from the G20 in Bali. That happened only one day after he had met US President Joe Biden where, according to a presidential Erdogan statement, the subject had not come up.

“We held no meeting with Mr Biden or [Russian President Vladimir] Putin regarding the operation. They both already know that we can do such things at any moment in this region,” the statement said.

Washington not getting briefed on Claw-Sword mirrored Erdogan not getting invited to an extraordinary G7-NATO meeting in Bali, on the sidelines of the G20.

Then-US vice president Joe Biden (L) speaks with Turkish President Recep Tayyip Erdogan at Beylerbeyi Palace in Istanbul. Photo: AFP / Bulent Kilic

That meeting was called by the White House to deal with the by-now notorious Ukrainian S-300 missile that fell in Polish territory. At the time, no one at the table had any conclusive evidence about what happened. And Turkey was not even invited to the table – which profoundly incensed the Sultan.

So it’s no wonder Erdogan, mid-week, said that Claw-Sword was “just the beginning.” Addressing AKP party lawmakers in Parliament, he said Turkey is determined to “close down all of our southern borders … with a security corridor that will prevent the possibility of attacks on our country.”

The ground invasion promise remains: It will begin “at the most convenient time for us” and will target the regions of Tel Rifaat, Mambij and Kobane, which the Sultan called “sources of trouble.”

Ankara has already wreaked havoc, using drones, on the main headquarters of the US-backed Syrian Democratic Forces, whose commanders believe the main target of a potential Turkish ground invasion would be Kobane.

Significantly, this is the first time a Turkish drone targeted an area extremely close to a US base. And Kobane is highly symbolic: the place where the Americans sealed a collaboration with Syrian Kurds to – in theory – fight ISIS.

And that explains why the Syrian Kurds are appalled by the American non-response to the Turkish strikes. They blame – who else? – the Sultan for stoking “nationalist sentiments” ahead of the 2023 elections, which Erdogan now stands a great chance to win despite the catastrophic state of the Turkish economy.

As it stands, there is no Turkish troop buildup near Kobane – just airstrikes. Which brings us to the all-important Russian factor.

Manbij and Tel Rifaat, west of the Euphrates, are much more important for Russia than Kobane, because they are both vital for the defense of Aleppo against possible Salafi-jihadi attacks.

What may potentially happen in the near future makes the situation even murkier. Ankara intel may use Hayat Tahrir al-Sham jihadis – which have already taken over parts of Afrin – as a sort of “vanguard” in a ground invasion of Syrian Kurd territory.

Selling stolen Syrian oil to Turkey

The current fog of war includes the notion that the Russians may have sold out the Kurds by leaving them exposed to Turkish bombing. That does not hold – because Russia’s influence over Syrian Kurd territory is negligible compared with the US’s. Only the Americans could “sell out” the Kurds.

The more things change, the more they remain the same in Syria. It could all be summarized as a monumental impasse. This gets even more surrealist because, in effect, Ankara and Moscow have already found the solution for the Syrian tragedy.

The problem is the presence of American forces – essentially protecting those shabby convoys stealing Syrian oil. Russians and Syrians always discuss it. The conclusion is that the Americans are staying by inertia. They do it because they can. And Damascus is powerless to expel them.

The Sultan plays the whole thing with consummate cynicism – in geopolitics and geo-economics. Most of what is unresolved in Syria revolves around territories occupied by de facto gangs that call themselves Kurds, protected by the US. They traffic Syrian oil to resell it mostly to … Turkey.

And then, in a flash, armed gangs that call themselves Kurds may simply abandon their “anti-terrorist” fight by … releasing the terrorists they apprehended, thus increasing the “terrorist threat” all over northeast Syria. They blame – who else? – Turkey. In parallel, the Americans increase financial aid to these armed gangs under the pretext of a “war on terror.”

The distinction between “armed gangs” and “terrorists” is of course razor thin. What matters most of all to Erdogan is that he can use the Kurds as a currency in trade negotiations linked to bypassing anti-Russian embargoes and sanctions.

And that explains why the Sultan may decide to bomb Syrian territory whenever he sees fit, despite any condemnation by Washington or Moscow. The Russians once in a while retake the initiative on the ground – as happened during the Idlib campaign in 2020 when Russians bombed the Turkish military forces that were providing “assistance” to Salafi-jihadis.

A view of the site after attacks carried out by Assad regime in Syria on the city center of Idlib on September 7, 2021. Photo: Izzeddin Kasim / Anadolu Agency

Now a game-changer may be on the cards. The Turkish Army bombed the al-Omar oilfield north of Deir ez-Zor. What this means in practice is that Ankara is now destroying no less than the oil infrastructure of the much-lauded “Kurdish autonomy.”

This infrastructure has been cynically exploited by the US when it comes to the oil that reaches the border with Iraq in Iraqi Kurdistan. So in a sense, Ankara is striking against Syrian Kurds and simultaneously against American robbery of Syrian oil.

The definitive game-changer may be approaching. That will be the meeting between Erdogan and Bashar al-Assad, (Remember the decade-long refrain “Assad must go”?)

Location: Russia. Mediator:  Vladimir Putin, in person. It’s not far-fetched to imagine this meeting paving the way for those Kurdish armed gangs, essentially played by Washington as useful idiots, to end up being decimated by Ankara.

Tyler Durden
Tue, 11/29/2022 – 02:00

China: The World’s First Technate – Part 1

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China: The World’s First Technate – Part 1

Authored by Iain Davis via Off-Guardian.org,

We are being rapidly transitioned into a new system of centralised, authoritarian global governance. This system is designed to be a technocracy and it is truly totalitarian.

Totalitarianism is a form of government that attempts to assert total control over the lives of its citizens. It is characterized by strong central rule that attempts to control and direct all aspects of individual life through coercion and repression. It does not permit individual freedom. Traditional social institutions and organizations are discouraged and suppressed, making people more willing to be merged into a single unified movement. Totalitarian states typically pursue a special goal to the exclusion of all others, with all resources directed toward its attainment, regardless of the cost.

That “special” goal is sustainable development and no cost, either financial or humanitarian, is too great to tackle the alleged “climate crisis.” In reality, climate change is simply the excuse for sustainable development and it is through the global policy commitment to “Sustainable Development Goals” (SDGs) that technocracy is being installed.

A technocratic society is called a Technate and the world’s first Technate has emerged in China. In this two part exploration we will look at how this system was constructed, who was behind it and why technocracy is now being foisted upon all of us.

These articles are drawn largely from my 2021 publication Pseudopandemic. It is free to subscribers to my blog.

GLOBAL TECHNOCRATIC GOVERNANCE

In order for global technocracy to be rolled-out, authority needs to be centrally controlled at the global level. Governments, intergovernmental organisations and multinational corporations have collaborated to form a global public-private partnership  (G3P) for this purpose.

Throughout the 20th and 21st century the G3P network has sought to construct global governance. In turn, global governance enables the worldwide distribution of the technocracy that governments then convert into national policy commitments. Many components of global technocratic governance have already been established.

The World Heath Organisation (WHO) delivers global governance of public health; global access to technological development is meted out through the World Intellectual Property Organization; the Organisation for Economic Co-operation and Development (OECD) works to coordinate economic policies between nation-states and global trade is monitored and controlled through the trade agreements overseen by the World Trade Organisation.

The Bank For International Settlements (BIS) coordinates global monetary policy and the flow of capital; the direction of education, academia, the sciences and cultural development is steered through the U.N Educational, Scientific and Cultural Organization (UNESCO) and the seizure of the global commons and the “financialisation” of nature—through natural asset companies and other mechanisms—is nearing completion.

Sustainable Development Goals (SDGs) are centrally controlled through global governance, primarily by the U.N Development and Environmental programs (UNDP & UNEP). The necessary global scientific consensus on climate change is centrally administered and the appropriate research funding streams allocated, by the U.N’s Intergovernmental Panel on Climate Change (IPCC).

The powerful individuals, pushing the G3P project forward, are a collective of mass polluters, robber barons, land grabbers and the world’s leading exponents of worker exploitation, market manipulation, monetary extortion (usury) and oppression. They form what would otherwise be considered a criminal cartel but have greenwashedtheir reputations through their commitment to so-called “sustainable development.”

Often referred to as the elite, a more fitting description is “the parasite class.”

The G3P has managed to convince billions that it is committed to sustainable, net zero, environmentalism and wants to “save the planet.” It is actually determined to empower global governance and enforce technocracy upon humanity through SDGs and the associated policy Agendas. Regardless of what you think about the causes of climate change or the level of risk it presents, SDGs do nothing to address it and are designed to serve no-one and nothing other than the G3P and its interests.

In order to requisition, commodify, audit and ultimately divide up the Earth’s resources among themselves, the stakeholder capitalists, at the heart of the G3P, also need technocratic control. Once humanity figures out what has happened, technocracy will enable the G3P to shutdown resistance through literal population control.

Every human being will be individually monitored by Artificial Intelligence (AI) networks which will punish or reward them, depending upon their behaviour. Biosecurity and environmental concerns are set to provide the justification for this enslavement.

Much like the quack pseudo-science of eugenics, which many G3P “thought leaders” seem to believe, Technocracy was the social science certainty of its day. Like eugenics, while it has subsequently faded from public consciousness, it is still avidly pursued by the G3P’s compartmentalised hierarchy.

TECHNOCRACY

In 1911, arguably the worlds first management consultant, Frederick Winslow Taylor, published The Principles of Scientific Management. His publication came at the culmination of the Progressive Era in the United States.

This was a period marked by the political activism of the US middle class who mainly sought to address the underlying social problems, as they saw them, of excessive industrialisation, immigration and political corruption. So-called “Taylorism,” fixated with the imminent exhaustion of natural resources and advocating efficient “scientific management systems,” was in the spirit of the age.

Taylor wrote:

In the past the man has been first; in the future the system must be first. [. . .] The best management is a true science, resting upon clearly defined laws, rules, and principles. [. . . ] The fundamental principles of scientific management are applicable to all kinds of human activities, from our simplest individual acts to the work of our great corporations.

Taylorism advocated science driven efficiency reforms across society. An efficient system should not be run by politicians or religious leaders but by “experts,” such as engineers, scientists, logistical experts, economists and other academics. The focus should always be on systemic efficiency and the proper use of precious resources, including labour.

Though Taylor’s ideas were influenced by Social Darwinism he wasn’t a eugenicist. However, his ideas were adopted by eugenicists. It “fitted” with their belief in their unassailable right to rule.

Just as they could optimise and control the human population, so they could employ the right experts to make socioeconomic and industrial systems more efficient. They could promote this as being for “the public good” while at the same time consolidating their own power and reaping a greater financial harvest from a more efficient industrialised society.

Taylor’s Principles of Scientific Management chimed with the theories of economist and sociologist Thorstein Veblan. He proposed that economic activity wasn’t just a function of supply and demand, utility, value and so forth, but rather it evolved with society and was thus shaped by psychological, sociological and anthropological influences.

Both Taylor and Veblan were focused upon improving the efficiency of industrial and manufacturing processes. However, they also recognised that their theories could be extended to the wider social context. It was the more expansive application of their ideas that beguiled the parasite class.

Veblan famously spoke about “conspicuous consumption” to describe how the affluent displayed their social standing through their ability to engage in pursuits and buy items that were essentially purposeless and wasteful. This “conspicuous leisure” and “consumption” cascaded down through the class structure, as those aspiring to signal their own status emulated the wealthy.

He argued that this was a major contributory factor toward unacceptable resource waste and inefficiency. Consumer society ultimately produced more goods and services than it needed simply to meet the artificial demand created for, in his view, avoidable and unnecessary social demand.

Veblan was strongly opposed to this inefficient use of resources which he blamed on the “business classes” and financiers. He valued their contribution to the industrial age but felt they were no longer capable of managing modern industrial society.

Initially, Veblan argued that the workers must therefore be the architects of the necessary social change that would create economic and industrial reform. Later, in the Engineers and the Price System he shifted his focus away from workers, as the drivers of change, towards technocratic engineers.

Thorsten Veblan

He called for a thorough analysis of the institutions which maintained social stability. Once understood, he opined, those with technological expertise should reform the institutions and thereby engineer society and improve efficiency. Veblan referred to these social change agents as a “soviet of technicians.”

In 1919 Veblan was among the founders of the John D. Rockefeller funded private research university in New York called the New School for Social Research. This soon led to the creation of the Technical Alliance as Veblan joined a small team of scientists and engineers, notably Howard Scott, to form a fledgling technocratic organisation.

Howard Scott

Scott didn’t like Veblan’s description of a soviet of techniciansreportedly calling it “a cockeyed thing.” The clear association with communism probably wasn’t welcome from a PR perspective, and Scott felt it undermined what he was trying to achieve with the technocracy movement.

Veblan’s involvement with the Technical Alliance was relatively brief and some have suggested that his contribution to technocracy was minimal, accrediting Scott as the great mind behind it. Regardless of the extent of Veblan’s personal involvement in the movement, his socioeconomic theories permeate technocracy.

In 1933 the Technical Alliance reformed after an enforced hiatus, prompted by Scott’s exposure as a fraudster—he falsified his engineering credentials. The group renamed themselves Technocracy inc.

Despite his public humiliation, Scott was a skilled orator and remained the spokesman for Technocracy inc. He worked with, among others, M. King Hubbert who would later become globally renowned for his vague and generally inaccurate “peak oil” theory.

Scott and Hubbert collaborated to write The Technocracy Inc study course to formerly introduce the world to technocracy. At the time, the proposed technocracy was technologically impossible and sounded pretty crazy. However, we are certainly more familiar with these ideas today.

Hubbert wrote:

Technocracy finds that the production and distribution of an abundance of physical wealth on a Continental scale for the use of all Continental citizens can only be accomplished by a Continental technological control, a governance of function, a Technate.

The Technate, a technocratic society initially envisaged to encompass the North American continent, would be administered by a central planning body formed of scientists, engineers and other suitably qualified technocrats. Technocracy would require a new monetary system based upon a calculation of the Technate’s total energy usage. People would be allocated an equal share of the corresponding “energy certificates” (as a form of currency) denominated in units of energy (Joule):

[I]ncome is granted to the public in the form of energy certificates. [. . .] They are issued individually to every adult of the entire population. [. . .] The record of one’s income and its rate of expenditure is kept by the Distribution Sequence, [the envisaged ledger of transactions]. [. . .] so that it is a simple matter at any time for the Distribution Sequence to ascertain the state of an unknown customer’s balance. [. . .] Energy Certificates also contain the following additional information about the person to whom issued: whether he has not yet begun his period of service, is now performing service, or is retired [where service to the Technate is rewarded with Energy Certificates] [. . .] sex, [. . .] the geographical area in which he resides, and [. . .] job at which he works.

A new price system was envisaged with all commodities and goods priced according to the energy cost of their production. Purchases made with “energy certificates” would then be reported back to the appropriate department of the technocratic central planning committee. The transactions would be catalogued and analysed, enabling the central planners to precisely calculate the rolling energy balance, between energy production and consumption, for the entire Technate.

In order for this system to work, all consumer’s energy expenditure (including all daily transactions) would need to be recorded in real time; the national inventory of net energy production and consumption would have to be constantly updated, around the clock; a registry of every commodity and product needed to be scrupulously maintained, with every individual living in the Technate allocated a personal energy account. This would be updated to record their energy usage and personal net energy balance.

Hubbert & Scott made it clear that, for technocracy to work, an all pervasive energy surveillance grid would be required. All citizens would be individually identified on the grid and every aspect of their daily lives monitored and controlled by the technocratic central planners.

Technocracy is a totalitarian form of surveillance based, centralised authoritarian governance which abolishes national sovereignty and political parties. Freedoms and rights are replaced with a duty to behave in the interest of a common good, as defined by the technocrats. All decisions about production, allocation of resources, all technological innovation and economic activity is controlled by a technocracy of experts (Veblan’s “soviet of technicians”).

In 1938 in Technocrat Magazine vol. 3 No. 4 (to give it its technocratic specification) technocracy was described as:

The science of social engineering, the scientific operation of the entire social mechanism to produce and distribute goods and services to the entire population.

For the parasite class, and their G3P stakeholder partners, technocracy was an irresistible idea. Technocracy potentially enables the precise engineering of society through the control of resources and energy through the mechanism of a linked, centrally planned and monitored, economic and monetary system.

The Technocracy inc Study Course claims:

The significance of this, from the point of view of knowledge of what is going on in the social system, and of social control, can best be appreciated when one surveys the whole system in perspective. First, one single organization is manning and operating the whole social mechanism. This same organization not only produces but distributes all goods and services. Hence a uniform system of record-keeping exists for the entire social operation, and all records of production and distribution clear to one central headquarters.

In order to control everything all the parasite class would need to do is whisper in the ear of a few hand-picked technocrats. There would be no need to corrupt politicians or orchestrate international crisis anymore. While in the 1930’s the Technate was an impracticable proposition, it was still something to inspire the G3P and a goal to work towards.

Scott Speaking at a Technocracy inc. Rally

THE TECHNOCRATIC OPPORTUNITY

Understanding that technological development would eventually enable the Technate to be realised, in 1970 Professor Zbigniew Brzezinski (1928 – 2017) wrote Between Two Ages: America’s Role In The Technetronic Era. At the time, he was a professor of political science at Columbia university, where Scott had first met Hubbert in 1932. He had already been an advisor to both the Kennedy and Johnson campaigns and would later become National Security Advisor to US President Jimmy Carter (1977 – 1981).

Brzezinski was a significant influence on late 20th Century US foreign policy, far beyond his years in the Carter administration. The Democrat counterpart to Republican Henry Kissinger, he was a centrist and his deep dislike of the Soviet Union often placed him on the right of Kissinger on related issues. He supported the Vietnam War and was instrumental in “Operation Cyclone which saw the US arm, train and equip Islamist extremists in Afghanistan.

He was a member of numerous policy think tanks including the Council on Foreign Relations, The Center For Strategic & International Studies, Le Cercle and was a regular attendee at the annual parasite class soiree, the Bilderberg conference. In 1973 he and David Rockefeller formed the Trilateral Commission policy think tank. Brzezinski was very much part of the Deep State milieu and the G3P.

Zbigniew Brzezinski (March 28, 1928 – May 26, 2017)

Between Two Ages is a geopolitical analysis and practical set of policy recommendations born from Brzezinski’s view that digital technology would transform society, culture, politics and the global balance of political power. It also provides us with a clear view of the mindset of the parasite class.

Brzezinski didn’t reference technocracy directly, perhaps wary of its rather sketchy reputation following Scott’s disgrace. However, he did describe it in detail throughout the book:

Technological adaptation would involve the transformation of the bureaucratic dogmatic party into a party of technocrats. Primary emphasis would be on scientific expertise, efficiency, and discipline. [. . .] the party would be composed of scientific experts, trained in the latest techniques, capable of relying on cybernetics and computers for social control.

He theorised about, what he called, the “Technetronic Age” and offered a vision of the near future, from the perspective of the 1970’s. Brzezinski predicted that this Age would arise as a result of the Technetronic Revolution. This would be the “third revolution” to follow the industrial revolution. Klaus Schwab, founder of the World Economic Forum, would later call this the Fourth Industrial Revolution.

Brzezinski wrote:

The post industrial society is becoming a ‘technetronic’ society: a society that is shaped culturally, psychologically, socially, and economically by the impact of technology and electronics—particularly in the area of computers and communications.

He then went on to describe what he thought life in the Technetronic Age would be like for ordinary men, women and their families. He foretold how political and industrial control would be replaced by psychological control mechanisms, such as the cult of personality, steering us towards behaviour change. Our lives would be managed through computing power and, in the parlance of today, led by science:

Both the growing capacity for the instant calculation of the most complex interactions and the increasing availability of biochemical means of human control augment the potential scope of consciously chosen direction. [. . .] Masses are organized in the industrial society by trade unions and political parties and unified by relatively simple and somewhat ideological programs. [. . .] In the technetronic society the trend seems to be toward aggregating the individual support of millions of unorganized citizens, who are easily within the reach of magnetic and attractive personalities, and effectively exploiting the latest communication techniques to manipulate emotions and control reason.

He also explained how technology would enable extensive behaviour modification and manipulation of the population. He foresaw (suggested) how this could be weaponised:

It may be possible—and tempting—to exploit for strategic political purposes the fruits of research on the brain and on human behavior. [. . .] one could develop a system that would seriously impair the brain performance of very large populations in selected regions over an extended period.

Zbigniew Brzezinski wrote enthusiastically, through a paper-thin veil of caution, about how a “global scientific elite” could not only use extreme, all-pervasive propaganda, economic and political manipulation to determine the direction of society, but could also exploit technology and behavioural science to genetically alter and brainwash the population.

Describing the form of this society and the potential for technocratic control, he wrote:

Such a society would be dominated by an elite whose claim to political power would rest on allegedly superior scientific know-how. Unhindered by the restraints of traditional liberal values, this elite would not hesitate to achieve its political ends by using the latest modern techniques for influencing public behavior and keeping society under close surveillance and control.

He claimed that the “Technetronic Age” he described was inevitable. Therefore he asserted that the future of the United States (and the planet) must be centrally planned. These planners would eventually displace “the lawyer as the key social legislator and manipulator.”

As is so often the excuse, warning that others—he meant the Soviet Union—wouldn’t hesitate to embark on this dark social engineering path, this therefore necessitated the urgent need for US geopolitical strategists to develop this network of planners (technocracy) first. This would be done by fusing government with academia and private corporations (the G3P).

He stated that political parties would become increasingly irrelevant, replaced by regional structures pursuing “urban, professional, and other interests.” These could be used to “provide the focus for political action.” He understood the potential for this localised, technocratic administrative system:

In the technetronic age the greater availability of means permits the definition of more attainable ends, thus making for a less doctrinaire and a more effective relationship between ‘what is’ and ‘what ought to be.

He also suggested a redefinition of freedom. Liberty would be achieved through centrally planned public commitment to social and economic equality. The “public good” thus defined by the technocrats.

The positive potential of the third American revolution lies in its promise to link liberty with equality.

Brzezinski recognised that it would be impossible to impose world government directly. Rather it should be gradually constructed through a system of global governance comprised of treaties, bilateral agreements and intergovernmental organisations:

Though the objective of shaping a community of the developed nations is less ambitious than the goal of world government, it is more attainable. [. . .] It [global governance] attempts to create a new framework for international affairs not by exploiting these divisions [between nation-states] but rather by striving to preserve and create openings for reconciliation.

One “opening” that he was particularly interested in was China. Tensions between Russia and China had continued to rumble on and, as Brzezinski wrote Between Two Ages, they had spilled over into a border conflict. He saw that the Sino-Soviet split had created an opportunity to shape China’s modernisation:

In China the Sino-Soviet conflict has already accelerated the inescapable Sinification of Chinese communism. That conflict shattered the revolution’s universal perspective and—perhaps even more important— detached Chinese modernization from its commitment to the Soviet model. Hence, whatever happens in the short run, in years to come Chinese development will probably increasingly share the experience of other nations in the process of modernization. This may both dilute the regime’s ideological tenacity and lead to more eclectic experimentation in shaping the Chinese road to modernity.

These ideas were firmly in Brzezinski’s mind when he and committed eugenicist David Rockefeller, whose family had been bankrolling technocratic initiatives for more than 50 years, first convened the Trilateral Commission. They were eventually joined by other so called “thought leaders” like population control expert Henry Kissinger, Club of Rome environmentalist Gro Harlem Brundtland, US presidents like Bill Clinton, and the president of the Council on Foreign Relations Richard Haass, who more recently wrote World Order 2.0.

CONSTRUCTING THE TECHNATE IN CHINA

Mao Zedong’s “great leap forward” saw 40 million people brutalised and starved to death in just three horrific years (1959 – 1961). Apologists claim this was all a terrible mistake but it was nothing of the kind.

In the certain knowledge that food supplies were running out, in 1958 Mao said “to distribute resources evenly will only ruin the Great Leap Forward” and later the same year:

When there is not enough to eat, people starve to death. It is better to let half the people die so that others can eat their fill.

In his zeal to create a communist utopia, Mao presided over a system that seized food from starving millions and exported it to fund his political reforms and determination to rapidly industrialise the economy. It wasn’t an error or an unfortunate oversight. While many were so terrified that they submitted fake reports of surpluses that didn’t exist, it is clear that the leadership of the People’s Republic of China (PRC) knew exactly what the human costs were. They just didn’t care.

Mao and Rockefeller’s view of the Great Leap Forward

Nor did David Rockefeller, as evidenced by his 1973 op-ed for the New York Times. He and his Chase Group banking empire delegation had visited Maoist China. In his account of the trip, Rockefeller dismissed the mass murder of millions as “whatever.” It was the product of genocide that Rockefeller was interested in:

One is impressed immediately by the sense of national harmony. [. . .] There is a very real and pervasive dedication to Chairman Mao and Maoist principles. Whatever the price of the Chinese revolution it has obviously succeeded, not only in producing a more efficient administration, but also in fostering. [. . .] a community of purpose.

The Trilateralist Rockefeller could see the opportunity the Chinese dictatorship presented the parasite class. In full agreement with Brzezinski, he wrote:

Too often the true significance and potential of our new relationship with China has been obscured. [. . .] In fact, of course, we are experiencing a much more fundamental phenomenon. [. . .] The Chinese, for their part, are faced with altering a primarily inward focus. [. . .] We, for our part, are faced with the realization that we have largely ignored a country with one-fourth of the world’s population.

The “we” Rockefeller referred to was not us. He meant the G3P and his fellow “stakeholder capitalists” and Trilateralists.

The totalitarian order in China impressed him as he hoped it would. He wasn’t the first Trilateralist to see the technocratic possibilities in China. The sheer scale of the market was an enticing prospect and the promise of the “Technetronic Age” raised the real potential to build the world’s first Technate.

Completely discounting the appalling loss of human life, Rockefeller wrote:

The social experiment in China under Chairman Mao’s leadership is one of the most important and successful in human history. How extensively China opens up and how the world reacts to the social innovation. [. . .] is certain to have a profound impact upon the future of many nations.

The Great Leap Forward

The G3P’s task was to crack open the Chinese market while supporting ongoing totalitarian rule. China would need help with its economic development and technical support to build the technological infrastructure necessary for technocracy to work. This process had already begun, but with Rockefeller, Brzezinski, Kissinger and others committed to the cause, the target of constructing a Technate was firmly in the Trilateral Commission’s sights.

The Trilateralists set about assisting China to develop both economically and technologically, while remaining careful to avoid applying too much pressure for political reform. Totalitarianism was a system they supported and wanted to exploit. In their 1978 Paper No. 15 on East-West Relations they suggested:

To grant China favourable conditions in economic relations is definitely in the political interest of the West.. there seems to exist sufficient ways for aiding China in acceptable forms with advanced civilian technology.

In the same paper the Trilateralists announced that they weren’t entirely averse to helping China modernise their military capability, though they stressed this should only be for defensive purposes.

They accepted that a modern, militarised China might turn to expansionism and seek to regain territory it historically claimed as its own, in particular Taiwan. They judged this was a reasonable risk to take.

They were playing the great game. Human lives were of no concern.

In Part 2 we will look at how they set about constructing the world’s first Technate in China.

Tyler Durden
Mon, 11/28/2022 – 23:40

Police Bust “Super Cartel” Behind One-Third Of Europe’s Cocaine Trade

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Police Bust “Super Cartel” Behind One-Third Of Europe’s Cocaine Trade

Law enforcement agents across six countries joined forces to bust a “super cartel” of drug traffickers controlling about one-third of cocaine flows into Europe, the European Union crime agency stated Monday.

Europol said a series of raids (dubbed “Operation Desert Light”) between Nov. 8 and 19 in multiple countries led to the arrest of 49 suspects and the seizure of 30 tons of drugs. The raids were in Spain, France, Belgium, the Netherlands, and the UAE. 

“The drugpins, considered as high-value targets by Europol, had come together to form what was known as a ‘super cartel’ which controlled around one-third of the cocaine trade in Europe,” Europol said.

“The scale of cocaine importation into Europe under the suspects’ control and command was massive and over 30 tons of drugs were seized by law enforcement over the course of the investigations,” the law enforcement agency said, adding cartel members used a super encrypted communication network to arrange drug shipments. 

The Netherlands had the most arrests, with 14 suspects in 2021 and six “high-value targets” in Dubai. Shipments of cocaine were imported from Panama in Central America. 

“This coordinated clampdown sends a strong message to criminals seeking sanctuary from law enforcement,” Europol said. 

Tyler Durden
Mon, 11/28/2022 – 23:20