Daily News Brief

July 17, 2023

Top of the Agenda

Russian President Vladimir Putin’s spokesperson said today that Russia will no longer cooperate (FT) with a deal to allow Ukraine to export grain from its Black Sea ports. The decision has sparked fears of a further strain on global markets as tens of millions of tons of food exports are put at risk. Since the deal was brokered last year, Moscow has said that Western sanctions were hurting its ability to export agricultural products. Turkish President Recep Tayyip Erdoğan, who helped broker the deal, said Ankara is pushing for its renewal.

Separately, an explosion damaged a bridge (Reuters) linking Crimea to mainland Russia just hours before Moscow halted its participation in the deal. The bridge is a major passageway for Russian troops into Ukraine. Moscow blamed the attack on Kyiv. Kyiv did not immediately comment, while an unnamed Ukrainian security official told CNN that Ukrainian forces were responsible.

Analysis

“The [Russian pullout of the deal] jeopardizes a key trade route from Ukraine, one of the world’s top grain and vegetable oil shippers, just as its next harvest kicks off,” Bloomberg’s Megan Durisin and Aine Quinn write.  

“As Ukraine’s offensive to reclaim occupied lands has run into stiff Russian resistance, Kyiv has increasingly focused on disrupting Russian logistics and hitting Russia’s weapons depots, command centers and transport nodes in the rear,” the Wall Street Journal’s Yaroslav Trofimov writes.

Pacific Rim

John Kerry’s visit this week resumes climate negotiations between the two countries after they stalled last year following then House Speaker Nancy Pelosi’s trip to Taiwan. The two sides will discuss (SCMP) the upcoming UN climate conference in December, the State Department said.

China: The unemployment rate for people ages sixteen to twenty-four in urban areas reached a record 21.3 percent (BBC) last month amid slow overall economic growth in the second quarter, according to government figures. The urban youth unemployment rate has been increasing for several months.

South and Central Asia

U.S. Treasury Secretary Janet Yellen is visiting India (Economic Times) for a two-day meeting of Group of Twenty (G20) finance ministers. During a press conference ahead of the meeting, she praised cooperative efforts to provide developing countries with debt relief and promoted U.S.-India ties. 

In this episode of The President’s Inbox, Ashley J. Tellis discusses U.S.-India relations.

India/UAE: The Indian and Emirati central banks signed two memoranda of understanding (Business Standard) to support bilateral trade in their local currencies.

Middle East and North Africa

Tehran said its morality police will resume patrols (FT) enforcing a requirement that women wear headscarves in public or face criminal prosecution. Such patrols largely stopped after a young woman’s death under police custody sparked mass protest last September. 

This In Brief by CFR’s Kali Robinson looks at other countries besides Iran that have morality police.

Japan/Saudi Arabia: Japanese Prime Minister Kishida Fumio and Saudi Crown Prince Mohammad bin Salman agreed to start a strategic dialogue (Nikkei) between their foreign ministers during Fumio’s visit to Saudi Arabia on Sunday. They are expected to announce partnerships in decarbonization efforts, including ammonia production and the development of rare earth mines.

Sub-Saharan Africa

In addition to declaring a state of emergency, President Bola Tinubu announced new funding (BBC) and the removal of a fuel subsidy to combat rising food costs and food shortages and support farmers and households.

U.S./Mali: Millions of U.S. military emails have mistakenly reached Mali’s government (FT) through a repeated typo leak that has exposed several sensitive messages. A Dutch entrepreneur who manages Mali’s internet domain said the unintended leaks “could be exploited by adversaries of the U.S.,” while a Department of Defense spokesperson said the military is aware of the issue and has taken steps to control it.

Europe

Erdoğan is traveling (Bloomberg) with more than one hundred businesspeople on a trip to Saudi Arabia, the United Arab Emirates, and Qatar this week to try and attract foreign investment, according to Turkey’s trade ministry. To address economic strains at home, the government hiked fuel taxes by almost 200 percent over the weekend. 

Americas

During the summit between the European Union (EU) and the Community of Latin American and Caribbean States (CELAC), European Commission President Ursula von der Leyen said European countries are planning to invest more than $50 billion (Reuters) in Latin America through its Global Gateway initiative. Leaders are also expected to discuss the war in Ukraine.

Haiti: As talks on international intervention in Haiti’s security crisis hit a deadlock, the UN Security Council asked Secretary-General António Guterres (FT) to present options for the country within thirty days, including a peacekeeping operation or a non-UN multinational force.

This video by CFR’s Diana Roy and James Long looks at instability in Haiti.

United States

Heavy rains in the northeast region over the weekend caused flooding (NYT) in the New York metropolitan area and in the suburbs north of Philadelphia, where five people died.

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