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Patrick Armstrong

Patrick Armstrong

Sunday, 15 August 2010 14:33

Fires, spies,Glonass and unemployment figures

 

By Patrick Armstrong

Fires. This summer’s exceptional heat sparked hundreds of wildfires in Russia (map here). The response showed many deficiencies in organisation and law. The worst appears to be over now but satellites still show nearly 500 fires. There will be political casualties – possibly even including Moscow’s Mayor who was out of town until Monday. A number of news outlets are trying to spin this into yet another story of the imminent collapse of the “Putin system” – see, for example, the amusing exchange in which a French reporter tries to get Alexandre Latsa to spin it that way. (Google “Latsa dissonance” and go down ‘till you find it).

Monday, 05 July 2010 14:21

Spies or something

Spies or something. We’ve all heard that on Monday the FBI said it had broken up a Russian sleeper ring in the USA. I don’t doubt that it could be true as reported – of course Russia “spies” on the USA and vice versa. But questions remain: the spy craft described – brush off passes, dead letter drops, invisible ink – is ludicrously fustian: is this the SVR’s idea of how to pass information these days? And sleepers who knew each other? And, as so far reported, none of the information they were after seems to have required such clandestine efforts. No doubt we will learn more but I remain sceptical that this was a serious effort by Moscow. There are many plausible (or implausible) theories about the matter and here’s my offering: Gordievskiy tells us that it was not unknown in the old days for KGB officers to invent whole agent networks in order to supplement their incomes; perhaps some enterprising officer strung together a bogus network, this time with actual people in it. Therefore, it is quite possibly true as reported but some questions need answers. Thus far the two capitals are keeping calm.

Meetings. Several meetings last week: G8 and G20 plus Medvedev’s visit to the US. They seem to have gone well from Russia’s perspective but the “spy circle arrests” can complicate matters if either side wants them to.

Russophobic rubbish. This essay by Anatoly Karlin is the best takedown of the commonplace twaddle of the Kommentariat that I have seen for years. Unlike theirs, his essay is based on facts; facts in the whole, not carefully selected factoids. But of course it’s much easier to string together a few current factoids to bolster the everlasting brief for the prosecution than to do the work Karlin has.

Chicken wars. Medvedev and Obama have agreed to resume US poultry exports to Russia – something not insignificant in the US economy. Given that US standards permit carcasses to be washed in a chlorine solution, while EU regulations – which Russia has adopted – do not, the details of the agreement will be interesting.

Privatisation. Medvedev has called for more privatisation of state property (and, as an interesting example, half of the military airfield at Kubinka is for sale). Putin nationalised a number of things but that was not necessarily such a bad idea at the time when there were so many people busy trying to steal them: it is now time to loosen the regulations. Medvedev has already greatly reduced the number of “strategically important companies”. Same team, same plan, different phase.

Other Russia. For some time now, Other Russia, which has been posing as a united – and democratic – opposition, has been staging rallies to provoke the police and get headlines. The Western media has generally fallen for it, despite better informed people saying that the bulk of the participants come from the unsavoury, and not especially “democratic”, National Bolsheviks. Well, the NatBol leader, Eduard Limonov, has made it plain: “In practice, the coalition has fallen apart, and for the past two years has existed on paper or through the work of my followers.” He says he will form a party of that name. And Russia will get another opposition party.

Gas. One of the problems with Russian gas supply to Europe is that many storage facilities are in countries, formally part of the USSR or bound to it, which are no longer under Gazprom’s control. Gazprom has been building facilities in Serbia, the Netherlands, Hungary and the UK; CEO Miller saidthe plan is to create 6.5 billion cubic metres’ worth of storage by 2016.

Customs code. Today Russia, Belarus and Kazakhstan start a regime of free trade among them and a common customs tariff outside them. It’s been a long dreary haul to recreate some of the trade links of Soviet times and this may as far as the effort gets.

Belarus. Lukashenka announced that Azerbaijan had lent Belarus the money to pay its latest bill for Russian gas. I guess the Belarus experiment – a sort of extended USSR – is coming to an end. Taking loans to cover gas consumption – and in the summer too – does not suggest much of a future.

Gori’s favourite son departs. The statue of Ioseb Besarionis-dze Jughashvili, aka Iosef Stalin, was surreptitiously removed from the main square in Gori Georgia Friday night. It will, they say, be replaced by a monument for the victims of the 2008 war. Georgian victims, I dare say, not Ossetians.

Kyrgyz Republic. On Friday the nephew of Bakiyev was arrested and confessed (under interrogation) to a role in organising the rioting in southern Kyrgyzstan. The referendum on a new Constitution which will create a parliamentary republic was held on Sunday and the changes passed comfortably. OSCE observers have expressed themselves as satisfied. It is reported that nearly all refugees have returned from Uzbekistan.

This weekly Situation Report originally appeared in Russia: Other Points  of View http://www.russiaotherpointsofview.com/

Friday, 25 June 2010 21:57

Turn, turn, turn; to everything there is a season

The “third turn”. If we look back over the last couple of decades, we see that the Western image of post communist Russia has gone through two major turns. In the 90s Russia was a sort of younger brother whom we would mould and usher into the light of democracy. That didn’t work out very well: that’s when Russians began to associate the word “democracy” with theft and poverty. Then Russia became “resurgent and “assertive”, or, in other words, it stopped declining away. The obsession with containing and thwarting Russia made Russians come to associate “democracy” with geopolitics. I think that a third turn is underway and, for that, I would thank Saakashvili in part.

Sunday, 20 June 2010 11:14

Russia turns west for arms

Russia turns west for arms

By Patrick Armstrong

Russia IncThe Finance Ministry announced that the budget deficit in 2009 was 2.3 trillion Rubles (US$78 billion – about 25% less than anticipated); GDP declined nearly 8%; the Reserve Fund holds about US$60 billion and the National Welfare Fund about US$95 billion. The IMF has raised its estimate for Russia’s GDP growth in 2010 to 4.25% from 4% and estimates that inflation will be 6%. Rumours of Russia’s economic death have been exaggerated: indeed these numbers look rather better than the IMF’s estimates for either the Euro Area or the USA. Medvedev’s calls for Russia to be treated as a major player in the world financial system don’t look so implausible today.

Monday, 14 June 2010 06:09

Blue buckets deserve attention

by Patrick Armstrong

People power. While the Russian government enjoys a high and constant level of support, that support is, to a degree, rather passive: the population knows that the ruling party will stay in power but appears to be content that it do so. However, things are stirring: I do not refer to the “opposition” so beloved of the Kommentariat but to blue buckets. It is a grass-roots movement, sustained by the new media, and mobilised against the flouting of the law by big wheels.

Sunday, 16 May 2010 18:46

START and ABM

by Patrick Armstrong

 

Despite the general satisfaction in the two capitals over the new Strategic Arms Reduction Treaty signed on 8 April, a potential misunderstanding is visible. As before, it concerns American plans for missile defence. Last month, US Secretary of State Clinton declared “And the treaty places no constraints on our missile defence plans – now or in the future.” Perhaps a finicky reading of the Treaty may lead one to conclude this, but Moscow has made it clear that the missile defence issue could cause it to leave the Treaty. Therefore, US missile defence programs could “constrain” the new Treaty. But Russian statements have also made it clear that they don’t have to. This misunderstanding – and perhaps that is all that it is – must be cleared up if the Treaty is to last for its ten to fifteen years and be succeeded by further reduction treaties.

There is a weird logic to nuclear weapons. The subtext of Einstein’s famous letter to Roosevelt is that we cannot afford to let the other side be the only one with nuclear weapons; from here, step-by-step, the logic builds to the arcane issues of first strikes, secure retaliatory strikes and all the rest. The theory is that, no matter what one side may do, the other side will always have enough weapons left to destroy the other. This is the logic of MAD – mutually assured destruction. Therefore, the theory runs, each side is deterred from ever using the weapons because of the certainty of destruction. The weakness of the theory is that no one knows whether it is actually valid: all that is known is that the USA and the USSR never used the weapons against each other. Will deterrence work against “rogue states”? No one can be sure and that uncertainty is the impetus for attempts to create a missile defence system.

 

ABM systems are a threat to the stability of deterrence. If (in theory) one side can develop a weapon that can reasonably reliably – and it doesn’t have to be 100% or anything very close to 100% – shoot down the other side’s missiles or warheads, in theory (a lot of theory) it can so unbalance the calculations that the other side can no longer be sure that it will have enough weapons left for a retaliatory strike and the delicate balance of MAD would be upset.

On one level, all this is perfectly logical; on another, it is all crazy. If, let us say, Side A, believing that its ABM system is reliable, fires 500 warheads at the other, and 450 of them explode on their targets and Side B launches its 500 and the ABM system destroys 490 of them (a success rate that is very hypothetical at present), Side A will have won because “only” 10 nuclear weapons have exploded on its territory. I suspect that the survivors in Side A would not be very enthusiastic about their “victory”. Nonetheless, this increased level of uncertainty, might, so goes the theory, encourage Side B to make a pre-emptive first strike, on the principle of “use them, or lose them”. Therefore, a strategic missile defence system unbalances the MAD-based deterrence and leaves everyone guessing again.

In the 1960s both the USSR and the USA began work on missile interceptors and were faced with this unfolding logic: uncertainty would be increased and another area for an arms race would be opened. Stepping back from this possibility, the two negotiated the Anti Ballistic Missile Treaty in 1972. It froze developments and prohibited further construction of ABM defences. Washington abrogated the treaty in 2002. Abrogation made some sense because the reality had changed. The threat to the USA, and other countries, was not hundreds of sophisticated missiles, with all their decoys and deception devices, coming from Russia; the threat, in the near future, was a much smaller number of simple missiles and warheads coming from what used to be called “rogue states”.

In 2007 Washington announced a plan to put radars and anti-missile systems into Poland and the Czech Republic. The reason given was that these emplacements would protect Europe and the USA from potential missiles from Iran. Russian experts, however, maintained that these locations could (in theory – but it’s all theory) be used against Russian ICBMs. Not today, of course, but in the future. (For those who are interested, here is an analysis by Theodore Postol arguing that the Russians were correct.) Moscow is not unaware of the potential threat from third parties and is not in principle opposed to some sort of defence against these future possible threats. Prepared to accept a local defence system and following the principle of “trust, but verify”, it first sought involvement in the system and offered a radar station in Azerbaijan which it leased (having secured Baku’s agreement). When this offer received no real answer, Moscow sought verification: it asked to have Russian officers stationed in the proposed bases so that they could see for themselves that the radars were looking south and not east. This also received no response. Russians, who are no less suspicious than anyone else, became more sceptical of the stated purpose of Washington’s scheme. And, as we have seen, the logic of the nuclear balance is that if something might happen, preparations must be made to regain the MAD balance.

But President Obama has cancelled this plan and replaced it with one that does not concern Moscow. At present. Russian Foreign Minister Lavrov said in his press conference on the Treaty about current US plans: “The initial focus is on regional systems, systems that do not prejudice strategic stability, and do not create risks for the Russian strategic nuclear forces. When and if our monitoring of the realisation of these plans shows that they are reaching the level of a strategicmissile defence, and this level will be regarded by our military experts as creating risks for the Russian strategic nuclear forces, it is then that we will have the right to take advantage of those provisions which this Treaty contains.” (My emphasis) Note the clear distinction he makes between regional systems and strategic systems: the latter can destabilise the MAD balance.

Given its concerns about anti-missile defences and their scepticism over mere declarations, Moscow has made it clear, in its statement appended to the Treaty, that unilateral development of anti-ballistic missile defences by the US could cause them to abrogate the treaty. “The Treaty between the Russian Federation and the United States of America on the Reduction and Limitation of Strategic Offensive Arms signed in Prague on April 8, 2010, can operate and be viable only if the United States of America refrains from developing its missile defence capabilities quantitatively or qualitatively.” The statement specifically refers to Art XIV.3 which allows either party to withdraw from the Treaty at any time “if it decides that extraordinary events related to the subject matter of this Treaty have jeopardised its supreme interests”

There should be no doubt that the Russian government means it. Moscow abrogated the Conventional Forces in Europe Treaty in 2007 – one of the very few arms treaties that has actually destroyed weapons, and one very much in Moscow’s interests today – when, after years of complaints, no one else had ratified it and NATO kept adding new conditions to ratification. Contrary to much casual opinion, Moscow does not make threats, it makes statements. If ABM systems on Poland, then Russian anti-ABM systems in Kaliningrad. No ABM systems in Poland, no anti-ABM systems in Kaliningrad. Its appended statement to the Treaty makes it clear: if Washington develops its ABM systems in a way that Moscow believes undermines the strategic nuclear balance, in short develops astrategic missile defence, then Moscow will abrogate the Treaty. Therefore, while Clinton may be correct in a narrow sense, it is clear that she is wrong in a wider sense. There is a constraint on the agreement the US Administration is so pleased with: Moscow will accept tactical or limited defences, and indeed wishes to be part of any such system, but resists strategic missile defence.

But, as was said earlier, the threat to Washington and its allies does not come from hundreds of ICBMs from Russia but from a much smaller number of less sophisticated missiles from somewhere else. This is a threat that Russia also shares and defence against it is an obvious matter of mutual interest. Medvedev in the press conference after the signing made Moscow’s interest in cooperation clear: “We also offered our services to the United States in creating a global missile defence system which should be our concern in light of our world’s vulnerabilities and terrorist threats, including the possibility that terrorists could make use of nuclear weapons”.

It ought to be a no-brainer: if the civilised world is concerned – and it ought to be – about defence against “rogue states” with nuclear weapons and missiles, then it would be idiotic not to include Russia in the defence system. Russia has geography that is much more convenient than anything in eastern Europe and it has technology which is not to be slighted. A defence system against small numbers of not very sophisticated or accurate missiles with nuclear warheads that took in the territories and technologies of North America, Europe, Russia and Japan would be worth having. A defence system excluding Russia and threatening the new START would not be worth having.

So, what is to be done?

1. Take the Russians at their word: no unilateral MAD-eroding strategic ABM systems; Moscow will abrogate the new Treaty if that happens.

2.Take up Medvedev’s offer of cooperation on a defence system appropriate to the actual threat: incorporate Russia’s territory and technology into a defence system for the civilised world.

3. And, it might be a good idea to negotiate a new ABM Treaty that excludes what should be excluded and includes what should be.

The Cold War is over, Russia and the USA are not enemies; they have common enemies. Defend against them, not against the past.

Patrick Armstrong received a PhD from Kings College, University of London, England in 1976 and retired in 2008 after 30 years as an analyst for the Canadian government, specializing in first the USSR and then Russia. He was a Political Counselor in the Canadian Embassy in Moscow from 1993 to 1996. He has been a frequent speaker at the Wilton Park conferences in the UK. This article originally appeared in Russia: Other Points of View http://russiaotherpointsofview.com

 

Tuesday, 11 May 2010 09:04

Long-term planning

by Patrick Armstrong

Charles Heberle has been conducting a training program in a region of Russia for a decade. Based on his successful school program in the USA, the essence is to train subjects to become citizens. As time went on, it became clear to him that not only did Putin fully support his efforts, but that the whole thing had actually been Putin’s idea in the first place. Ten years ago a Russian NGO approached Heberle; convinced that the activities of Western NGOs would only create a new elite that used democratic slogans to disguise their rapacity, they had been searching the world for a better approach and had discovered his program. He accepted their invitation, arrived in Russia and instituted his training program in schools in their city and, eventually, their region. And there has been absolutely no publicity about it; I first heard about it from Heberle a year ago and was flabbergasted: I had no idea that Putin and his team were planning so far ahead. Putin has talked much about the need for a civil society, but I did not realise that he a) understood that such things cannot come by government decree and b) was actually sponsoring an attempt to change the mindset of a new generation, individual by individual. I urge everyone to read Heberle’s account and his description of how he came to realise that Putin was behind the whole idea – it’s a vital insight into what Putin and his team are trying to do.

Russia IncRussia has weathered the international financial crisis reasonably well, but its Reserve Fund has come down from about US$100 billion a year ago to about US$40 billion today. The money has gone to cover the budget deficit; but that was the reason for the fund: so that the fat years would cover the lean years.

Pre-trial detention. A woman, in one of Russia’s awful prisons on pre-trial detention since December, diedlast week. On Tuesday a deputy head of the Moscow Oblast investigation department was fired and his boss disciplined. As is so often the case in Russia, although the law now allows bail, the reality is slow to change.

Parades. May Day saw parades, protests and demonstrations all over the country by every group imaginable. For the most part, they are reported to have passed off without incident. Another illustration of the reality that if demonstrators follow the rules (leaving aside the rules themselves and their application: but who allows anyone to march anywhere at any time?), nothing happens. Other Russia tries to make a big deal out of it. (By the way, what sense does the slogan “Putin is Brezhnev, Putin is Stalin” make? One is the senescence, the other the youth, of totalitarianism; how can Putin be both?)

People power. Members of the ever-inventive Federation of Russian Car Owners are wandering around Moscow with blue buckets on their heads. The ever wooden-headed police, deciding that the inscriptions on the buckets made them posters, which made it an unsanctioned demonstration, arrested a few of them. This is something the police cannot win.

Piracy. Today Russian commandos freed a tanker taken yesterday by Somali-based pirates. One was killed and 10 captured. Now Moscow has to figure out what to do with its prisoners.

Things you won’t hear. Lyudmila Alexeyeva’s attacker was given a year’s suspended sentence at her request and with her approval. The attack was the occasions for some harrumphing about the condition of Russia.

North Caucasus Jihad. Several attacks in the last week: a car bomb in Dagestan; a bomb in Nalchik; and an attack on police in Ingushetia. With their usual indifference to civilian casualties. We go to Paradise, you go to Hell. Today the authorities killed another leader. It is quite absurd that the US State Department stillrefuses to recognise the “Caucasus Emirate” for what it really is: a node in the International Jihad.

Black Sea Fleet agreement. Last Thursday both Presidents signed off on the agreement. Putin grumbled about its cost while Medvedev spoke of its long-term benefits. Which, come to think of it, is an illustration of their roles: the President does the big strategic stuff, the PM has to figure out how to do it and how to pay for it. The agreement is opening the way for others: Moscow and Kiev have signed an agreement on the duty-free import of Ukrainian steel pipes into Russia.

Kyrgyz Republic. The interim government seems determined to have a trial: there have been some arrests;rewards are offered for capture of officials and it wants Bakiyev extradited. The country seems to be calming down but no one can say whether that will last.
Patrick Armstrong received a PhD from Kings College, University of London, England in 1976 and retired in 2008 after 30 years as an analyst for the Canadian government, specializing in first the USSR and then Russia. He was a Political Counselor in the Canadian Embassy in Moscow from 1993 to 1996. He has been a frequent speaker at the Wilton Park conferences in the UK.This post originally appeared on Russia Other Points of View on May 6th.

 

Friday, 30 April 2010 16:08

Ukraine, Kyrgystan, Poland, South Stream

by Patrick Armstrong

 

Ukraine-Russia. The big news is, of course, the cheap gas for base agreement announced last week. Russia/Gazprom (is there a difference?) will knock 30% off the going rate and the Sevastopol lease will be extended to 2042. I don’t think that this is a very good deal for either side: Moscow will pay more than it would cost to build a new base in Russia and Ukraine will have another period of cheap gas that it will probably use no more wisely than it has for the last 20 years. Plus all the complications of a foreign (and sovereign) military base on its territory. (Although apparently forbidden by Art 17 of the Constitution, the Constitutional Court approved it). And, ten years down the road, a differently flavoured government in Kiev may seek to reverse the base agreement. On the other hand, as I suspected, Ukraine has been paying its gas bill with IMF loans and, by all accounts, is pretty close to bankruptcy (this seems to be Yanukovych’sjustification). Another benefit is that the price of gas for Ukraine is known for a long time in the future, so downstream customers of Russian gas should be spared the tense negotiations between Kiev and Moscow. The old base agreement had Moscow give credits; this time it will pay cash (and more). So everything is more transparent. The agreement appears to have opened up other possibilities of mutual trade and cooperation so there may be good effects over time. The Ukrainian opposition is furious, of course, but a poll suggests that the agreement has good support in the country.

 

Poland-Russia. Russia’s sympathetic and transparent response to the tragedy has opened the possibility of better relations. As the Archbishop of Krakow said at the funeral: “The sympathy and help we have received from Russian brothers has breathed new life into a hope for closer relations and reconciliation between our two Slavic nations.” Today Polish PM Tusksaid there will be no “sensational revelations” from the black boxes.

Your weekly smile. The NATO Secretary General criticised Russia’s new military doctrine for “old-fashioned Cold War rhetoric” because “it states that NATO constitutes a major danger, at least, which is not the reality. NATO is fast becoming purely a “rhetorical” organisation in which the only reality is its statements. Oops! new reality: now Russia’s military doctrine is “balanced”. As Humpty-Dumpty said: “When I use a word, it means just what I choose it to mean”.

South Stream. This project appears to be ready to go: Austria has signed on and contracts arebeing issued. The line will carry gas from Russia under the Black Sea to Bulgaria and westwards.

Corruption. An aide to the Ground Forces Commander has been sentenced to 9 years for fraud.

Weaponry. Foreign purchases develop: there is a plan to establish a joint venture with Israel for production of UAVs and it looks as if Russia will buy one or more Mistrals.

History wars. Yanukovych made a historically correct statement on the Holodomor: “The Holodomor was in Ukraine, Russia, Belarus and Kazakhstan. It was the result of Stalin’s totalitarian regime. But it would be wrong and unfair to recognise the Holodomor as an act of genocide against one nation”. PACE agrees. Not a Russian attempt to exterminate Ukrainians, it was a Communist attempt to exterminate independent farmers.

Kyrgyz Republic. Bakiyev is now in Belarus and surrounded by confusion: on the one hand hesays he’s still President, on the other that he won’t be back.  Lukashenka seems to support him but as far as Moscow is concerned Bakiyev resigned). The interim government seems to be determined to put people on trial (the former Interior Minister was picked up in Moscow, flown to the Kyrgyz Republic – to Manas: can we assume Washington’s cooperation? – and promptly arrested), they also want to put Bakiyev on trial. A draft constitution has been produced for a referendum on 27 June. It is designed to reduce the chances of one-man domination and cooked elections. There were some violent protests over the last couple of weeks but they seem to be unconnected with each other. For the last couple of days no disturbances have been reported although today there are reports of a separatism movement in the south. As usual, theories abound: the coup was orchestrated in Moscow, orchestrated in Washington or done by drug barons (roundup); the customary construction of bricks without straw. Certainly the interim government has been very fast off the mark which argues considerable pre-planning by somebody. There is some evidence that Washington was too close to the Bakiyev family’s stranglehold on money; if true, the US star will be setting in Kyrgyz Republic.


This article originally appeared on Russia Other Points of View http://russiaotherpointsofview.com

Patrick Armstrong received a PhD from Kings College, University of London, England in 1976 and retired in 2008 after 30 years as an analyst for the Canadian government, specializing in first the USSR and then Russia. He was a Political Counselor in the Canadian Embassy in Moscow from 1993 to 1996. He has been a frequent speaker at the Wilton Park conferences in the UK.

Tuesday, 27 April 2010 15:14

Russia SitRep test

Kaczynski death. Medvedev’s address to the Polish people; Putin and Tusk (and Sergey Shoygu) at the crash site; RIAN’s roundup of coverage; mourning in Russia. There was a very similar crash in Poland in 2008 in which a lot of the Air Force’s leadership was killed. There are assertions that Kaczynski had failed (or succeeded) in overruling his pilot once before. The joint Polish-Russian investigative team promises a conclusion soon.

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