Baltimore Bridge Collapse Sparks New Concerns Over Supply Chain Resilience |
The Port of Baltimore in Maryland handles the United States’ largest volume of automobiles and remained closed (CNN) this morning as authorities continue response efforts after a cargo ship collided with the Francis Scott Key Bridge yesterday. They are working to recover the bodies of six workers who fell into the water and are presumed dead. The disaster rerouted deliveries to other ports on the East Coast and placed new strains (WaPo) on the shipping industry at a time when climate change, war, and rising interest rates are already challenging the resiliency of global supply chains.
Investigations are underway to determine the exact cause of the crash, and U.S. President Joe Biden said yesterday that federal authorities will help reopen the port. Companies’ post-COVID-19 pandemic efforts to strengthen supply chains will be tested by the disaster, though industry experts told the New York Times that the effects will be felt much more in the United States than worldwide.
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“It will be expensive, but it is not a supply chain story like the EverGiven (which was stuck in the Suez Canal) because ocean carriers will find alternative routes,” Richard Meade of Lloyd’s List told CNBC. “Logistically, ocean carriers and trucking have the ability to be pretty adaptable and agile.”
“In the wake of the COVID-19 pandemic and Russia’s invasion of Ukraine, policymakers are beginning to appreciate the importance of resilience, which requires weighing polarities such as centralization and decentralization, diversification and concentration, and independence and interdependence,” the Australian National University’s Anthea Roberts writes in Foreign Affairs. “Whereas optimizing for efficiency can create too many risks, optimizing for resilience can generate too few rewards.”
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Western CEOs Meet With Xi in Beijing |
Senior officials from firms including Blackstone, FedEx, and Qualcomm attended the meeting (Reuters) today with President Xi Jinping as China tries to court foreign direct investment following its 8 percent drop last year. The visit underscored how U.S.-China relations have improved since a low point in recent years, though hesitations remain between the two sides over export restrictions.
At this CFR meeting, White House National Security Advisor Jake Sullivan outlines the future of U.S.-China relations.
Thailand: The country’s lower house of congress overwhelmingly approved a bill (Nikkei) to legalize same-sex marriage today, with four hundred votes of approval. The bill now goes to the Senate, where no major opposition bill is expected. If passed, Thailand would be the first Southeast Asian country to extend such rights to same-sex couples.
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India Vows Support for Philippines Amid South China Sea Tensions |
India’s External Affairs Minister Subrahmanyam Jaishankar pledged (The Hindu) to support Philippine sovereignty and help uphold the law of the seas during a visit to Manila yesterday. The Philippines and China have recently clashed over maritime boundaries in the area. In response, China’s foreign ministry called on the two countries to “respect China’s territorial sovereignty.”
U.S./Iran/Pakistan: Washington does not support (VOA) the planned construction of a gas pipeline between Iran and Pakistan, a U.S. State Department spokesperson warned yesterday, saying that those doing business with Iran risk running aground U.S. sanctions. Pakistan’s petroleum minister previously said Islamabad would seek a sanctions waiver for the project.
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Middle East and North Africa |
Cross-Border Strikes Kill Seven in Lebanon, One in Israel |
The deadly strikes overnight followed (AP) a day of attacks between Israel and Iran-backed militant group Hezbollah across the Israel-Lebanon border. A Lebanese paramedics association reported the deaths in Lebanon, while Israeli rescue services reported the death in Israel. In both cases, the attacking force said it was targeting a military facility. The clash was one of the deadliest along the border since the start of the Israel-Hamas war.
This Backgrounder by CFR’s Kali Robinson explains Hezbollah’s role in the region.
Tunisia: A court sentenced (BBC) four people to death and two to life in prison today for the 2013 killing of prominent politician Chokri Belaid in the capital, Tunis. The leftist politician had been an outspoken critic of the ruling party at the time.
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Ghana Due to Start Debt Restructuring Talks With Bondholders Next Week |
The talks due to begin next week cover (Bloomberg) the restructuring of about $13 billion worth of defaulted debt, Ghana’s finance minister said yesterday. Ghana has been working to restructure its sovereign debt for more than a year as it aims to overcome (Reuters) its worst economic crisis in a generation.
South Africa: The chair of the ruling African National Congress party said he does not support (Bloomberg) a proposed motion of no confidence against the speaker of parliament, who faces allegations of corruption. Opinion polls show that corruption is a major concern among voters ahead of the country’s May election.
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Ukraine’s Zelenskyy Replaces Two Top Security Officials |
President Volodymyr Zelenskyy replaced (FT) the head of Kyiv’s national security and defense council as well as the head of foreign intelligence yesterday, saying the changes would improve Ukraine’s strategic capabilities and war effort. The shuffle comes more than a month after Zelenskyy dismissed the commander-in-chief of the armed forces.
Hungary: A recording released yesterday by a former government insider-turned-critic appeared to contain evidence of a graft cover-up in the Hungarian government, prompting (AP) thousands of people to protest in Budapest yesterday. |
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Brazil, France Announce $1.1 Billion Investment Plan for the Amazon |
The plan aims (AFP) to raise public and private investment over the next four years, French President Emmanuel Macron’s office said. Yesterday’s announcement includes a proposal for a carbon market rewarding countries that invest in carbon sinks, such as the Amazon Rainforest, for climate change mitigation. Macron is visiting Brazil this week and will visit a naval base today where France has helped Brazil manufacture submarines.
This Infoguide explores deforestation in the Amazon Rainforest.
Venezuela: The country’s largest opposition coalition was able to register a placeholder (NYT) presidential candidate, Edmundo González, after their chosen candidate, Corina Yoris, was unable to sign up ahead of a deadline earlier this week. Venezuela’s government is under international scrutiny over attempts to tilt the playing field of this year’s presidential election.
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Council on Foreign Relations |
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