News Politics

Donald Tump has raised an order for investigation on the planned taxation of tech giants, which would seriously affect the American tech companies. This could be a move that results in retaliatory tariffs.

Robert Lighthizer, the US representative said, “The United States is very concerned that the digital services tax… unfairly targets American companies”.

The unfair trade practices could pave the way for Washington to impose punitive tariffs. Trump had repeatedly done this since taking office.

The parliament of France would be approving the tax implementations on Thursday.

Reports said that the tech giants like Google and Facebook will be charged with a 3% levy on revenue made inside France.

An estimated amount of around half-a-billion euro a year would be brought in with the new tax rule.

The new tax rule insists that any digital company with a revenue of more than €750m – of which at least €25m is generated in France – would be subject to the tax.

Republican Senate Finance Committee Chairman Chuck Grassley and Senator Ron Wyden, the senior Democrat on the panel have welcomed the latest inquiry.

In a joined statement, they said, “The digital services tax that France and other European countries are pursuing is clearly protectionist and unfairly targets American companies in a way that will cost US jobs and harm American workers”.

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International Relations News

The US President Donald Trump hosted Jair Bolsonaro, the Brazilian president, at the White House on Tuesday. Trump had pledged to give more U.S. support to Brazil’s global ambitions.

Trump said in a joint news conference in the White House Rose Garden that he told Bolsonaro he would designate Brazil a major non-NATO ally and possibly go further by supporting a campaign to make Brazil “maybe a NATO ally”.

Bolsonaro said, “Brazil and the United States are tied by the guarantee of liberty, respect for the traditional family, the fear of God our creator, against gender identity, political correctness and fake news”.

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News

Antonio Guterres, the UN Secretary General launched a new global strategy to combat whatever the global body considers hate speech, a growing scourge he said “poisoned” debate on crucial issues. In a speech at the opening of the council’s 40th session, he said ““Hate is moving into the mainstream — in liberal democracies and authoritarian systems alike” .

Governments across the world have watched with concern as racist and other hate speech have coarsened the political climate. France and Germany have raised particular alarm in recent weeks over resurgent anti-Semitism.

Guterres targeted his rebuke at widespread criticism of the UN’s Global Compact on Migration, a non-binding text that is said to set out best practices for managing refugee and migrant flows. The UN chief marked the campaign “failed”.

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Global Climate News

The prime crude oil conglomerates show no interest to reduce their production capacity, despite repeated calls that demand the reduction of their production capacity to bring the pollution rate, especially the carbon emission rate, under the safe limit prescribed by scientists.

ExonMobil

An oil production conglomerate based in the United States, ExonMobil, is set to increase its oil production by at least 25 per cent in the year 2025. Other major oil producers, such as Chevron, Royal Dutch Shell, BP and Total, are also on the similar path. It is the growing demand for oil that prompts the conglomerates to consider that path. Each year, the demand for oil increases by one to two per cent in the global market.

The aforesaid figures indicate that only the conglomerates are not to be blamed for the raise of carbon in the atmosphere. The world’s reluctance to reduce the usage of oil is also needed to be criticised.

Some of these oil production conglomerates have assured that they would invest in the renewable energy sector.

The past experiences have already taught that the assurances made by conglomerates should not be believed until those enter the phase of implementation.

The world must reduce its oil production by at least 20 per cent by 2030 if it wants to bring the global temperature under the safe limit prescribed by scientists.

The US decision to step out from the Paris climate accord is the biggest mistake that country has ever committed.

A framework like the one formed in Paris several years ago to address the issue of climate change is not to be discarded by any of its founding members until and unless it comes up with another equally applicable framework.

Vignesh. S. G
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International Trade News

Venezuela’s oil economy has almost died due to the US sanction. Now, it relies almost solely on its gold trade for its sustenance. The United Arab Empire, Russia and Turkey are the biggest importers of the Venezuelan gold. Of these three, Turkey’s trade with the socialist Latin American is the one which worries the European Union and the United States the most. It is alleged that the gold reaches Turkey from Venezuela ostensibly for the purpose of refinement is shipped to Iran. The US is of the belief that the network of the Venezuela-Turkey-Iran gold trade is what enables the embattled Venezuelan President, Nicolas Maduro, who is on an ultimatum, to keep the loyalty of his country’s soldiers intact. The west now knows that the best way to topple the aggressive Venezuelan socialist is to cut off his revenue channels. The EU and US’ latest combined attempt to force Turkey to stop its engagements with Venezuela, particularly its gold trade, is regarded as the part of that strategy. The US has reportedly served an ultimatum to Turkey to cease its gold trade with Venezuela.

If Russia and the others does not increase their gold and oil import with Venezuela, Mr Maduro will be toppled as soon as the EU and the US find success in forcing Turkey to withdraw its backup –by all possibility that would not take more than few weeks.

It is not clear from where Iran has come to the picture. There is evidence that Turkey has brought in several tonnes of gold from Venezuela in the name of refinement and none of the imported has been returned. But, there is nothing to assume that what has been imported by Turkey has been exported to Iran. The possibility that Iran has been purposefully brought into the narrative to increase the strength of those against the Venezuelan trade cannot be ruled out blindly.

Vignesh. S. G
Photo Courtesy: Google/ images are subject to copyright

International Trade News

The three major western powers, such as Germany, the UK and France, have established a new payment channel to evade the United States’ economic sanction on the Middle Eastern country of Iran.

The new payment channel, the Instrument for Supporting Trade Exchanges (INSTEX), shares no links with the US-linked payment channels the west presently uses widely.

It is this detachment from the popular payment channels that helps the new channel evade the sanction imposed by the US on Iran.

Iran is one of the most important trading partners of the three major European powers. The countries see the Shia-dominated nation not only as a source of cheap oil but also as a potential market for their goods and services.

It was the US’ belief that Iran involved in the destabilisation of some of its prime allies in the region such as Israel and Saudi Arabia that promoted the world’s most powerful country to impose an economic sanction against the Arab country.

The three important western countries were not in the favour of the sanction. It even urged the US to withdraw the sanction.

The latest move is capable to provoke the US. The US’ present regime is already unhappy with the European powers’ attitude against its long standing demand that the European countries should step up their defence spending to pay justice to their financial obligation to the NATO force.

Vignesh. S. G
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News Politics

The longest shutdown in the US history comes to an end. U.S. President Donald Trump announces a deal with congressional leaders to temporarily reopen the government for three weeks, ending the longest shutdown in U.S. history. The shutdown over the president’s demand for the the border wall finding is now into its 35th day. Trump spoke regarding the deal from White house.

“We have reached a deal to end the shutdown and reopen the federal government” – Donald Trump

Trump warns of emergency if no border deal with democrats. Donald Trump on Friday signed bill to reopen the government. The government is opened by Trump for 3 weeks. An estimate of 800,000 federal employees will return to work now. Trump had demanded congress to give him money for building border wall. Trump says that he will resume discussion after February 15th.

Sunaya Paison
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Crime News

The European Court of Human Rights has ordered the Italian government to pay a huge sum of 18,400 Euro as compensation to Amanda Knox, the US citizen mistakenly arrested for the murder of her collage mate Meredith Kercher with whom she shared her room when she reached Italy as part of a student exchange program several years ago.

The court has not been completely convinced that she suffered ill-treatment when she was in the custody of Italian police, but it has found that the lady was not allowed to contact her lawyer and not granted the service of an interpreter.

Her main allegation is that she was badly beaten by the police officials in the initial days of the interrogation and was subjected to extreme mental and physical stress.

During the course of the trial, the case has gone through several twists and turns: initially, she was convicted; while she was servicing her third year in prison, she was acquitted and deported to her home country; within a year post her acquittal, a higher court found her acquittal wrong; anyway, when the final judgment of the top court came in the year 2015, she was acquitted of all charges related to the murder.

It was a few months ago that she was allowed by the ECHR to approach them against Italy. Then, there was allegation that it was the pressure from the US that forced the court to accept the lady’s case against Italy.

Most US citizens consider her as the victim of the improper judicial system of Italy. The world media has closely followed each and every development in the case.

Meanwhile, the other part of the story is that the international interference has badly affected the case. Though a person has been arrested in connection with the case, the police have not found answers to all questions necessary to unfold the mystery of the case.

Vignesh. S. G
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News Politics

In a blow to US president Donald Trump, the Senate has rejected two bills to end the US shutdown. Trump demands down payment for wall to end shutdown. The US shutdown enters almost 34 days with no end in sight. This is the longest partial government shutdown in the US history.

About 800,000 of federal workers struggle to cover their bills. The senate rejects the bills to open Government. On Monday, the Senate has released a bill flashing an offer that Trump had made to reopen the unfunded quarter of the government. As the chamber plans to take up the measure later this week, it will definitely fail to meet the 60-vote threshold.

The chamber desides to take up that proposal on Thursday afternoon. If this fails, Senate will take up a Democratic-backed bill to fund the government through February.

Sunaya Paison
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News Politics

From Italy and Spain to the Brexit-affected UK, many European countries have already succumbed to the destructive wave of populism. The economic principle of protectionism, which has come as a part and parcel of the political ideology of modern populism, has clandestinely infiltrated into the economic structure of the populism-affected countries, weakening their present economic structure rooted in the economic principle of liberalism.

Definitely, the European Union is worried about this development. It has almost lost one of its arms to this development. It may not sustain another loss.

It is in this backdrop that Germany and France have come together to act. The role they play is the role of a defender, the defender of an economic structure which once gifted life breadth to the embattled European continent.

The latest agreement both has signed means that henceforth Germany and France will not think differently in their internal and external security, economic and political affairs.

Their decision to develop a European army is capable to irritate many, especially the United States and the United Kingdom. To them, the more irritating one will not be the agreement for economic corporation, political corporation and/or defence corporate, but the understanding for cultural corporation.

It is noteworthy that the measures for the increased cultural corporation has been doubled by Germans and France at the time many of their friends are researching on how to segregate people on the basis of culture.

The developments indicate that the France-Germany agreement attempts to launch attacks on the concepts of protectionism and populism from all the four fronts –political, economic, security and cultural- on which these dangerous concepts are pivoted.

Will the new European defenders of liberalism win? How better they execute their plan decides what answer the aforesaid question deserves.

Vignesh. S. G
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