I have said since February 2014 that should Russia feel even slightly inconvenienced by the US/EU sanctions or restrictive attitudes, off to the East they go. I pointed out that the immediate and sweeping result of any Western anti-Russian sanctions will be Russia’s decisive turning away from Europe and West in general, and focusing on Asia. I also warned that Europe will eventually start feeling the pinch, not to mention, the US dollar’s demise will be expedited.
And here it is!
Since May 2014, Putin already signed mega-deals with China, including the Holy Grail multi-year gas deal and various trade, transportation, and tourism deals. Eurasian Union with Belarus and Kazakhstan (Armenia, Kyrgyzstan, Tadzhikistan on the standby) was officially formed. Eurasian Union will be gradually expanding and it will be interesting to see when the stampede to join the EAU starts. I have some predictions about that, which I may share with all eventually. Add to that all the trade deals Putin signed in Latin America – another region symbolizing the ‘global South’ and the alternative to the US; the increasing drive by various coutries to ditch US dollar in bi-lateral trade and the formation of the BRICS Bank to counter IMF; Russia developing its own credit system + joining the Chinese credit system, while phasing out Visa and MC (also as predicted).
The latest:
1. Putin and China’s First VP have inaugurated the largest pipeline in the world «Сила Сибири» – the POWER OF SIBERIA. This pipeline will send gas to China from Russia starting 2019. This is the largest construction project in the world. Video link. 3:23 Putin signs the pipeline
2. Yesterday, Vladimir Putin also visited Mongolia – see the video below.
2. Yesterday, Vladimir Putin also visited Mongolia – see the video below.
Some quotes and my thoughts: “Putin was greeted in Mongolia by the crowds gathered along the entire length of his route from the airport to the capital, Ulan-Bator. Putin and Mongolian president Elbegdorzh met as old friends – this is their third meeting this year. Discussed were: the possibility of the Power of Siberia pipeline going through Mongolia, which is the shortest distance to China.”
Therefore, Mongolia may become the Russian gas transit country! Can you imagine the volume of gas to China? The gas transit fees will really boost Mongolia’s tiny GDP!
“The visa regime between Mongolia and Russia is being cancelled. Russian Railways will be modernizing the Mongolian railroads.”
Railroads are very important in these parts and they have to stay very much “up to speed” as they constitute the best way to get around most of Asia, including Siberia, Mongolia and China.
“In addition, the Mongolian president asked Russia to remove restrictions on agricultural produce imports from Mongolia.”
These restrictions have been put in place when US attempted to make Mongolia its semi-colony. However, this trend has now been reversed, as it’s being reversed elsewhere on post-Soviet space. It appears Russia will again allow Mongolian agricultural products provided they adhere to the Russian health codes/norms.
Sure enough – exactly as I predicted in my earlier articles about Russian agricultural sanctions and re-orientation to the East and Latin America, there is a stampede to take over the food/agricultural shelf space lost by Europeans in Russian super-markets. Take a number – now interviewing candidates…
Mongolians still remember very well how the Red Army and the still young Russian commander Zhukov (future Marshall Zhukov, credited primarily with winning WWII) demolished Japanese troops in the battle of Khalkhin Ghol, thus saving the unprepared Mongolia from Japanese invasion. In 1937-45, China wasn’t this lucky.
See Ulan-Bator city footage – 2:30; monument to Marshall Zhukov considered a national hero of Mongolia/veterans/ Zhukov house memorial – 2:45. Mongolian military singing Russian song Den Pobedi (Victory Day) – 3:32.
On a more personal note: Mongolia is a country with a spacious territory and small population that for as long as I can remember had very strong and close ties with Russia. Mongolians always spoke Russian well, and they still do. When I started school, we had several Mongolian students in my class who were sent to Russia to study foreign languages. They spoke Russian practically with no accent whatsoever. One of them was very upset that she was told by her government to study Spanish, instead of her preferred English. Her Russian was awesome though. As soon as she graduated, she became her government’s interpreter from Russian, making a pretty good career. I was living in the West by then and I lost touch with my former classmates, but once in the 1990s I was watching TV news from Russia and I noticed her translating for the Mongolian president who was meeting in the Kremlin with Boris Yeltsin. Not bad for a little girl from Mongolia! I can only boast of translating in a meeting with Fidel Castro. ;)