Saturday, January 09, 2021

The labour movement will defend democracy in the USA and around the world


The labour movement will defend democracy in the USA and around the world


7 January, 2021

On 6 January, supporters of Donald Trump stormed the Capitol building and entered the Senate chamber in an attempt to stop Congress from certifying Joe Biden as the next President of the United States. Trump’s supporters attempted to overturn the result of a democratic election, unfavourable to them, with a spectacle of violence and intimidation. This is both a predictable escalation of the violent rhetoric that has flourished under Trump, and a shocking attack on democracy.

IndustriALL Global Union stands in solidarity with all those fighting to defend democracy in the US, and in particular with the US labour movement.

We note that the rightwing protestors – despite openly calling for civil war in the days prior to the incident – were met with little opposition from the police, in stark contrast to Black Lives Matter protestors in June 2020. This gives further impetus to calls by many US unions to reform policing.

Trump’s presidency has been a sustained assault on not just democracy, but on truth itself, along with fundamental human and workers’ rights. His supporters have turned lies into propaganda weapons, highlighted by the spread of conspiracy theories about the election result.

However, Trump’s supporters’ assault on the Capitol failed: Congress confirmed Joe Biden's win, officially certifying the result today.

Attempting to overthrow a democratic election through violence is fascism. The labour movement has always been and remains an implacable opponent of fascism and defender of democracy. As one of the world’s largest democratic organizations, representing more than fifty million manufacturing, energy and mine workers worldwide, IndustriALL Global Union, together with its affiliates and allies, will always defend democracy.

The workers of the world won democracy through their blood. The anti-democratic and post-truth poison spread by Trump has infected democracies around the world. The global labour movement, with IndustriALL as one of its key actors, joins democrats everywhere to unite to push back against this assault on our hard-won rights.

The world needs genuine democracy. For workers and unions, democracy is the environment that enables us to live and survive. Democracy and its institutions must be rebuilt. We also seek to advance democracy into the economic sphere, and by supporting democratic movements in repressive countries.

This Was No Joke—Trump’s Attempted Coup Against Democracy on January 6

 

New article in the International Marxist-Humanist commenting on the 

Trump coup attempt.



This Was No Joke—Trump’s Attempted Coup Against Democracy on January 6

Genuine Marxists, such as Marxist-Humanists, have always been staunch defenders of liberal democracy against rightwing efforts to eviscerate or eliminate it

January 7, 2021 Length:1670 words

Summary: The foiled attack on the Capitol by neo-fascist white nationalists on January 6 marks a potential turning point in combatting the reactionary currents of which Trump is but the mouthpiece and expression – Editors


The storming of the U.S. Capitol on January 6, just as Congress was meeting to acknowledge the results of the 2020 election, was clearly directly provoked by Trump—but not only Trump. And not only by Rudy Giuliani, who exhorted the fascist mob as it was about to start its march from near the White House, “let’s have trial by combat.” It was inspired and fostered by all Republicans who parroted Trump’s nonsense about a “stolen election” and those—whether in power or out of it—who echoed, endorsed, or remained mute about Trump’s persistent efforts since the day he took office to destroy liberal democracy (which is not to be equated with “liberals”) and move the U.S. toward single-party authoritarian rule.

Let’s be clear: this was a fascist, white nationalist, racist mob that descended upon and broke into the Capitol—the first time this has ever happened in U.S. history. In many respects, it represented the “Unite the Right” rally of Charlottesville, Virginia in August 2017 brought home to Washington DC. That in itself is a severe indictment of the Republicans who are now scurrying to distance themselves from Trump, given that they had years to at least pretend that they opposed the racist far-Right—and yet virtually none of them did so. And let’s not forget that virtually all Republicans propagandize about nonexistent voter fraud, which January 6 was an outgrowth of. Accommodating Trump and/or his agenda was more important to them than pushing back against the vile threat that they pose to democracy and innumerable people’s lives.

Even now this tendency to prevaricate and avoid confronting the real issue is seen in the mainstream media’s almost universal refusal to name the mob that broke into the Capitol as “fascist” or “neo-fascist.” Instead, many Democrats as well as Republicans are claiming that “anarchists” were behind the mayhem. It’s to be expected that those who promote the fantasy that Biden stole of the election would also spread this even more ludicrous claim. But that certainly doesn’t explain why liberals in the media tail–end them by saying the rioters were anarchists—as if anarchists wave Confederate flags and salute Trump! They go out of their way to avoid naming the culprit as fascism because they do not want to admit that fascism is not some exceptional case but the expression of the system they adhere to when it plunges into a steep decline. 

Clearly, the effort to disrupt the Senate’s confirmation of Biden as President was the logical and actual outcome of five years of capitulation to Trump by a large swath of the ruling class (and virtually all Republicans) and tens of millions of “ordinary” Americans. To be sure, neo-fascist white nationalist currents have long been part of U.S. society, but Trump enabled them to come to the surface and become acceptable to wide portions of the populace. It will go down as his singular contribution to history. What he reaped for five years (and much longer, going all the way back to his days as a New York real estate magnate) was sown on January 6.

But that is only part of the picture. The more complete picture is that January 6 stands as an indictment of how the entirely of U.S. society is structured along dehumanized racial lines. No one, not even Biden, could avoid noticing the vast difference between the kid-gloves approach against the mob storming the Senate chambers and the brutal police assaults against protesters—Black, Latinx, Asian, and white—in the rallies and marches for racial justice and for Black lives following the police murder of George Floyd on May 25. Truly stunning was how easy it was for the protesters to enter the Senate chamber—in stark contrast to the innumerable protests held by leftists for decades in DC where the massive deployment of police and/or the military made it impossible to get close to such centers of power. Not only was the initial police presence extraordinarily thin, some cops removed barriers to the Capitol grounds, allowing rightists to enter the building. In the end, no more than a few dozen were arrested; the bulk of the crowd was cordially escorted off the grounds once a curfew took effect.

The DC and Capitol Police certainly cannot complain of lack of experience in handling protests—they have corralled and brutalized protesters at events many times larger than the one on January 6. Nor can the city’s administration claim that the violence was totally unexpected: Trump supporters for weeks had been promising on social media a riot in DC if Trump was denied his reversal of the election. There is no way that the DC authorities could have been caught so short-handed and “unprepared” unless a decision was made beforehand to let the mob have as much leeway as possible—since as strong defenders of the police, Trump and his supporters are viewed by the authorities in a sympathetic light. And this in a city with a Black Mayor and Police Commissioner—something that comes as no surprise to those living in cities like Chicago.

Kofi Ademola, a Chicago activist who helped organize some of the protests during the summer, said of the police response in DC: “It’s not any shock that we see this huge contradiction that they can storm a Capitol, break into elected officials’ offices, the chamber, and create other chaos trying to perform a fascist coup, and we see little to no consequences. But Black protesters here in D.C. and Chicago, we’re heavily policed, brutalized, for literally saying, ‘Don’t kill us.’ There were no planned insurrections. We were literally just advocating for our lives. It speaks volumes about the values of this country. It doesn’t care about our lives.”

The fact that the attack fizzled by the time the national guard belatedly appeared on the scene should fool no one that this was the mere act of “clowns” who spent their time in the Capitol taking selfies and stealing souvenirs. Mike Davis’s comment that the “‘sacrileges’ in our temple of democracy…constituted an ‘insurrection’ only in the sense of dark comedy; [it] was essentially a big biker gang dressed as circus performers” completely misses the mark. Hitler’s Beer Hall Putsch of 1923, which crumbled as soon as shots were fired, was also ridiculed at the time as an act of “clowns.” A decade later no one was laughing.

Truth be told, Trump has far more support even after January 6 than Hitler could have dreamed of having in the early 1920s. But now that the ramifications of genuflecting before him for years have blown up in their faces, even Mike Pence and Mitch McConnell have broken with Trump—as if these sordid facilitators aren’t responsible for the chaos on January 6. It is one thing to encourage racist mobs to attack Black Lives Matter protestors, quite another when the same forces suddenly show up trying to kick the doors down to your office. How interesting to see how fast such epigones find religion when the violent forces they have fostered finally come home to roost.

There is no question that Trump—living as always in a mental universe of his own—overplayed his hand, which has forced many of his closest allies to abandon him, like rats off a sinking ship. That there is even discussion of removing him from office by invoking the 25th Amendment to the Constitution is remarkable, given that he obtained 74 million votes only two months ago. He may be dead for now, politically—even if he tries to somewhat clean up his act between now and the time he leaves (or is forced to leave) office. But that’s not the crucial point, because Trump was never the real issue—despite the proclivity of many to act as if the central problem was his distorted personality. He was from the start a mouthpiece for forces that he neither created nor which depend upon him for their existence. These have been living in the bowels of society for some time, and a confluence of objective and subjective factors have brought them to the surface not just in the U.S. but on a global level.

The decadence of U.S. capitalist society will not be cleansed away come January 20. There are plenty of his former enablers and/or supporters who will be more than willing to pick up and advance his reactionary agenda—only this time with more intelligence and sophistication. And they will have a mass base of tens of millions to build from. We can bet that this sugar-coated Trumpism without Trump that suddenly has fallen in love with “peace,” “non-violence,” and “mutual dialog” will at the first opportunity aim their barbs against “violent provocateurs” by going after those on the Left protesting police killings, prison warehousing, and capitalism.

A tremendous opening for the forward movement of the freedom struggles is nevertheless before us. First, the run-off election in Georgia, in which both pro-Trump candidates were defeated, portends a different future, in which Blacks, other people of color, immigrants, women, the working class, progressive whites, LGBTQ people, and environmentalists can self-mobilize in the face of huge obstacles. Second, that the events of January 6 have produced a deep rift in the pro-Trump circles and the ruling class in general is a positive and welcome development. 

The fact that bourgeois democracy remains alive, despite four years of Trump, is a vital accomplishment. Genuine Marxists, such as Marxist-Humanists, have always been staunch defenders of liberal democracy against rightwing efforts to eviscerate or eliminate it—at the same time as advancing a radical anti-capitalist, anti-racist, and anti-sexist perspective that far surpasses it. Let us continue to do so with open eyes and sober senses, and most of all, with a dedication to continuing and deepening the magnificent freedom struggles of the past year that have succeeded in placing American “civilization” on trial.

ABOUT THE AUTHOR


Opinion: Comparing Capitol Hill with Arab unrest is insulting

Comparisons making the rounds of the rioting in front of Capitol Hill with the Arab world uprisings have gone viral on media outlets. That's not just stupid, but offensive, says Aya Ibrahim.

   

Some commentators have lumped together the protests in Washington with the Arab Spring uprisings

 As the world woke up to barbaric images of Donald Trump supporters storming Congress, some US observers were quick to draw parallels between what they saw at home and so-called Third World countries. An ABC reporter exclaimed she felt she was in Baghdad. One CNN commentator said "Where we're headed looks more like Syria than the United States of America."

I understand the temptation to make these comparisons. After all, we are more used to government buildings being raided, riots and states of emergency coming from my part of the world than from the land of the free and home of the brave. But what is happening in the US is the antithesis of what has been happening in the Arab region over the past decade. Making that comparison, regardless of intention, is insulting to us.

Protesting for freedom and the right to vote

DW's Aya Ibrahim

DW's Aya Ibrahim

When my fellow Egyptians took to the streets in 2011, storming a couple of government buildings along the way, they did not do so to overturn the results of a legitimate election. In fact, they did it for the right to vote in fair elections. They did not cause violence to take away the presidency from someone who has legally earned it. They did so in rebellion against an autocrat, Hosni Mubarak, who was ironically in power for so long, at least in part, thanks to US foreign policy in the Middle East.

The same applies to Iraq. For over a year, young people there have risked their lives on the streets for a chance to end the decadeslong cycle of violence perpetrated, in part, by the US invasion in 2003. The comparison to Syria is just as tone deaf. As activist Omar Alshogre points out, when people in his home country started protesting there it was for freedom. In my reporting for DW, I have met many protesters from my generation in places like Sudan and Lebanon. My conversations with them could not be more distant from what we have heard Trump supporters say over the past couple of days.

America should take a long, hard look at itself

These comparisons also falsely suggest that violence is somehow exclusive to the Middle East. They frame unrest as an inherent quality to these sad, distant, troubled people in that sad, distant troubled part of the world. The reality is, this unrest is sadly very American and utterly unsurprising.

This is a country that still suffers from racism, endemic inequality and voter suppression. This is a country that has been marinating in hateful rhetoric coming from its highest office for the past four years. Drawing comparisons to the Middle East is an inappropriate and infuriating distraction from where America is right now.

Friday, January 08, 2021

South Korean court orders Japan to pay damages to 'comfort women'

It's the first civilian legal case in South Korea regarding so-called "comfort women" who were forced into sexual slavery for Japanese troops during World War II. The unprecedented ruling is likely to spark ire in Japan.



Some historians estimate as many as 200,000 women were forced into Japanese military brothels in WWII


A South Korean court ordered the Japanese government on Friday to compensate 12 victims who were forced into sexual slavery during World War II, according to several media reports.

South Korean news agency Yonhap and Japanese news agency Kyodo first reported on the ruling.

The Seoul Central District Court ruled the victims and their families should receive 100 million won ($91,000; €74,000) each.

"I am deeply moved by today's ruling," said Kim Kang-won, the women's lawyer. "It is the first such verdict for victims who suffered at the hand of Japanese troops."


Lawyer Kim Kang-won (c) was happy with the outcome

Kim Dae-wol, from the House of Sharing which cares for victims, said reparations were not the most important issue.

"Rather, their wish is to have the Japanese government inform its citizens of the atrocities it committed," said Kim, reported news agency AFP.

What happened in the case?


The victims filed a petition for dispute settlement in August 2013, claiming they were cheated or tricked into sexual slavery. The case was referred to a court in January 2016 as Japan did not officially respond to the court's correspondence.

Only five of the 12 plaintiffs were still alive for Friday's ruling.

"Evidence, relevant materials and testimonies show that the victims suffered from extreme, unimaginable mental and physical pain due to the illegal acts by the accused. But no compensation has been made for their suffering," said the court in a verdict.


The issue surrounding comfort women has been intense on the Korean Peninsula, with several protests demanding apologies and compensation for victims

Who are the victims?


Before and during World War II, the Japanese military held Asian women, primarily Korean, in brothels that they owned. The term "comfort women" is a Japanese euphemism for the sex abuse victims.

Historians have estimated that up to 200,000 women were held in these brothels during wartime and suffered physical and sexual abuse. There are 16 surviving victims in South Korea that are registered with the government.

Watch video 02:49 Korean 'comfort women' memorial in Berlin angers Japan

How does this affect Japan-South Korea relations?

Japanese media reported that Japan has summoned South Korea's ambassador to the country to the Foreign Ministry on Friday to protest the court order for compensation.

Japan boycotted the proceedings and has insisted all compensations for affected women were determined through a 1965 treaty. The Japanese government has denied that it was directly responsible for abuses, insisting that the brothels were commercially operated.

The women's lawyer argued that at the time of the 1965 treaty, "the issue of comfort women was not discussed at all."

The issue surrounding comfort women affected South Korea deeply for decades and strained ties with Japan.

South Korea and Japan reached a deal in 2015 to "finally and irreversibly" resolve the issue with a formal Japanese apology and a 1 billion yen ($9.6 million, 7.9 million euros) fund for survivors. But then-South Korean President Moon Jae-in said the agreement was faulty and effectively nullified it.

The end of the agreement led to a bitter diplomatic dispute that affected trade and security issues between the two countries. Friday's decision is likely to further strain ties between the two countries.

The same court is expected to rule on a similar case against Japan brought forward by victims and their families next week.

kbd/rs (AFP, Reuters)
CRIMINAL CAPITALI$M

Deutsche Bank handed $124 million in bribery fines by US court


Germany's biggest lender has agreed to the payout to settle allegations that it broke US anti-bribery and commodities trading laws.




Deutsche Bank is trying to reorganize its business operations and repair its reputation after several scandals

Deutsche Bank agreed Friday to pay fines and penalties of more than $124 million (€1.02 million) to avoid criminal prosecution in the United States on charges it participated in a bribery scheme to win business in Saudi Arabia.

The settlement is the latest blow for Germany's biggest lender, which has been trying for years to restore its image after a series of scandals, including the FinCEN files that implicated the bank in over $1 trillion dollars of suspicious transactions.

During a teleconference with a federal judge in New York City, lawyers for the bank waived its right to face an indictment on conspiracy charges linked to the bribery of intermediaries.

It also faced a commodities fraud charge arising from precious metals futures traders, who were accused of placing fraudulent trades, known as spoofing, to induce other traders to buy and sell futures contracts at prices they otherwise would not have.

Deutsche Bank is also resolving related civil charges brought by the US Securities and Exchange Commission, court papers show.

"We take responsibility for these past actions, which took place between 2008 and 2017," the bank said in a statement.

"Our thorough internal investigations, and full cooperation with the DOJ and SEC investigations of these matters, reflect our transparency and determination to put these matters firmly in the past."

Watch video 26:06 Money laundering, oligarchs, terrorists: How corrupt are the banks?

Deutsche paid 'referral fees'


Federal prosecutors didn't reveal at the hearing which nations were involved.

However, court papers alleged that Deutsche Bank bribed intermediaries to make deals in Saudi Arabia, labeling the payments of up to $1.1 million as "referral fees."

Other intermediaries demanded financing for a yacht and for a house in France as compensation, the papers said.

Previously, the bank has agreed to a Securities and Exchange Commission fine of $16 million to resolve separate allegations of corrupt dealings in Russia and China.

Deutsche Bank has repeatedly asserted that it has turned a corner after several other scandals almost brought the lender to its knees.

The company is in the middle of a major overhaul as it tries to return to profitability after five years of losses.

Some 18,000 job cuts have already been announced and the bank has announced plans to exit some businesses.

Watch video 04:13 David Enrich on Trump and Deutsche Bank


Trump connection probed

Friday's resolution comes in the waning days of the presidency of Donald Trump, who had a longtime personal business association with the bank.

Deutsche was one of the few banks willing to lend to Trump after a series of corporate bankruptcies starting in the early 1990s.

Separate investigations underway in New York and Manhatten are considered a potential legal threat to Trump after he leaves office later this month.
Links to Epstein scandal

The Frankfurt-based lender has also agreed to pay the state of New York $150 million to settle claims that it broke compliance rules in its dealings with sex offender Jeffrey Epstein.

The wealthy financier killed himself last August in a Manhattan federal jail while awaiting trial on sex trafficking charges.

There also were reports last year that the bank gave expensive gifts to senior Chinese officials and others to establish itself as a major player in China's financial industry.

In 2019, Deutsche Bank agreed to pay more than $16 million to the SEC to settle charges that it violated US corruption laws by hiring relatives of foreign government officials in order to win or retain business.

But it isn't the only financial services giant to face the wrath of US regulators.

In 2016, JPMorgan Chase & Co agreed to pay US authorities $264 million to resolve allegations it hired the relatives of Chinese officials to secure banking deals, while Credit Suisse paid $77 million to settle a similar case last year.


mm/nm (AP, Reuters)

CRIMINAL CAPITALI$M
Boeing to pay $2.5 billion to settle US criminal probe over 737 MAX crashes

The plane model was involved in two major crashes that killed hundreds of people in less than one year. The plane was grounded worldwide for months as updates were made on the model.



The Boeing 737 MAX was involved in two deadly crashes in 2018 and 2019

Boeing has been ordered to pay $2.5 billion (€2.04 billion) in fines to settle charges that the company defrauded regulators over its 737 MAX model, the US Justice Department said on Thursday.

The Boeing 737 MAX 8 model was involved in two major crashes that killed more than 340 people in total: Lion Air Flight 610 in Indonesia in October 2018 and Ethiopian Airlines Flight 302 in March 2019.

The settlement includes a criminal monetary penalty of $243.6 million, compensation to Boeing 737 MAX airline customers totaling $1.77 billion, and the establishment of a crash-victim beneficiaries fund of $500 million to relatives and legal beneficiaries of those killed on the crashed flights.

Watch video 42:36 Boeing - Deadly Assumptions

"Boeing's employees chose the path of profit over candor by concealing material information from the FAA," said acting assistant attorney general for the Justice Department's criminal division David Burns. He added that the two crashes "exposed fraudulent and deceptive conduct" by one of the largest airplane manufacturers in the world.

Boeing CEO David Calhoun said in a statement that settling the charge "is the right thing for us to do — a step that appropriately acknowledges how we fell short of our values and expectations."

Faults in plane software

Boeing admitted in court filings that two of its technical pilot experts deceived the FAA about the Maneuvering Characteristics Augmentation System (MCAS) on the 737 MAX. This system can dramatically change the angle of attack of an airplane's takeoff and was not mentioned in airplane manuals.

Watch video 01:41 Grounded Boeing 737 MAX set to fly again

On both Lion Air Flight 610 and Ethiopian Airlines Flight 302 the MCAS system on the MAX 8 model forced the airplane's nose down due to a faulty reading from a single sensor during takeoff. The pilots were unable to regain control before impact.
Grounding lifted

All Boeing 737 MAX models were grounded soon after the Ethiopian Airlines crash. During the grounding, Boeing changed the MCAS so that it requires two sensors to allow the system less powerful and easier for pilots to override.


American Airlines Flight 718 in December 2020 was the first US flight with a Boeing 737 MAX plane in 20 months

The grounding forced the resignation of chief executive Dennis Muilenburg and Boeing's largest financial hit in its 104-year history. The FAA approved Boeing's changes in November 2020. The plane returned to US skies in December.

kbd/rs (AFP, AP, dpa, Reuters)
Rare snowfall hits Spain due to Storm Filomena

Parts of Spain have been covered by a rare snowfall, causing traffic disruption and canceling flights, as the country records the lowest temperature in its history.



The snow in Spain is expected to last until Sunday

Madrid and other parts of Spain were blanketed in snow on Thursday as the southern European country witnessed record low temperatures due to Storm Filomena, forecasters said.

"If the forecasts are confirmed, we could be facing one of the most extensive snowfalls in recent years," said Ruben del Campo, spokesman for Spain's AEMET weather agency.

Snow fell heaviest in the northern and central parts of Spain. AEMET issued a code orange warning for most Spanish regions and a code red for three provinces in central Spain.

Storm Filomena also hit the Canary Islands and the southwestern coast of the peninsula, bringing unusually intense winds and rain, according to AEMET.

The rare snowfall caused traffic disruption on at least 200 roads and delays in public transportation.

Authorities canceled at least 30 flights in the Canary Islands due to intense weather conditions, Spanish airport operator AENA said on Twitter.



Record low temperature

Spain on Thursday recorded the lowest temperature in its history at -35.8 degrees Celsius (-32.44 degrees Fahrenheit) in Leon, about 400 kilometers (about 250 miles) north of Madrid, according to regional meteorological institute Noromet.

The temperature on Wednesday at the Clot de la Llanca ski station in Catalonia, in the central Pyrenees mountain range, had reportedly reached -34.1 degrees Celsius.

fb/sms (AFP/DPA)
DAS FORDISM IN AFRIKA
German car industry doubles down on Africa

The continent is witnessing rapid urbanization and improving economies, prompting experts to dub it the final frontier for global carmakers. The German auto industry is switching gears with billions at stake.



German carmaker Volkswagen is boosting presence in fledgling African car markets like Rwanda and Ghana


In August last year — just when the global auto industry was beginning to spot green shoots of recovery following the worst carnage caused by the coronavirus — German carmaker Volkswagen unveiled its first vehicle assembled in Ghana, a Tiguan SUV, in the presence of Ghanaian President Nana Addo Dankwa Akufo-Addo.

The event marked the official opening of VW's first vehicle assembly facility in the West African country and the fifth in sub-Saharan Africa; the other locations are in South Africa, Kenya, Nigeria and Rwanda.

"Although the African automotive market is comparatively small today, the sub-Saharan region has the potential to become an automotive growth market of the future," Volkswagen said in a statement.

Africa has been touted as the final frontier for the global auto industry, which is eager to get the continent's fast-growing middle class to buy its vehicles amid rapid urbanization as demand falters in traditional European and US markets.

There are currently 45 vehicles for every thousand inhabitants in Africa against a global average of 203, with the continent's more than a billion people, or 17% of the world's population, accounting for just a little over 1% of cars sold worldwide.

Watch video 03:21 German, African carmakers to boost cooperation


German-African auto partnership


The German Association of the Automotive Industry (VDA) has joined hands with AAAM, the Association of African Automotive Manufacturers, hoping to improve those stats.

"Every large market started out small and that's why it's important to adapt to market conditions early on, to be present at an early stage," VDA's Kurt-Christian Scheel told DW."Africa is a continent with very good growth prospects, with a potential that is still very little tapped."

China offers a promising precedent. When VW entered the Chinese market in the 1980s, very few people owned cars in the Asian country. Today, China accounts for nearly 40% of VW's global sales.


The VDA expects the cooperation, which is part of the German government's efforts to help industrialize Africa and create sustainable jobs, to improve access for German firms to "sometimes difficult markets."

German auto majors such as VW, Mercedes-Benz owner Daimler and BMW are among the biggest car companies in Africa. They accounted for over 90% of the total passenger cars produced and more than a third of the cars sold in the key South African market in 2019.


While many of the German cars produced in Africa have been destined for European markets, companies are now beefing up their presence to meet the yet untapped demand from Africa, which has seen consumer spending rise at an annual rate of 10% over the past few years.


AAAM expects new vehicle sales in Africa to grow to 3 million by 2035 from 1.1 million in 2019.

"Today if one just dropped all tariff barriers, one hasn't created the demand. So, it might be Morocco and South Africa that will benefit because they have industrialized but one needs to develop Africa. Create an ecosystem that creates the demand and therefore will support the industrialization," AAAM's Dave Coffey told DW.

The German auto industry is betting on a rapidly growing pool of local workforce to power its African facilities. The continent's working-age population is expected to grow by 450 million people, or close to 70%, by 2035, according to the World Bank.



Challenges galore in Africa

Global auto majors like VW and Toyota have been waking up to Africa's potential for years but the continent's small and fragmented markets and political uncertainty have discouraged them from committing huge investments in local production and assembly.

Poor fuel quality, lack of vehicle financing schemes and a huge demand for imported used cars have also had a role to play. New car ownership remains rare across Africa, where in most countries 8 out of 10 vehicles are second-hand cars.

Some governments like Ghana have imposed restrictions on used car and offer tax incentives to global carmakers to encourage them to set up local plants. But experts say increased tariffs on second-hand cars would not make new cars any more affordable, especially in the absence of auto loans, let alone cheap ones.

Robert Kappel, an Africa expert at the University of Leipzig, says much of the 300 million-strong African middle class can be categorized as lower middle class, which can't afford new cars, especially those produced by German carmakers.

"If you consider that a Volkswagen Jetta costs €25,000 ($31,000), that is beyond the means of the average middle-class income," he told DW. "The middle class is growing and will continue to grow in the long term. But the markets will not grow exponentially."

The carmakers have so far directed a bulk of their investments to South Africa and Morocco, the biggest auto manufacturing hubs by some distance in Africa. While the two countries mainly make cars for foreign markets, they also have big domestic markets, making long-term commitments there worthwhile.


Elsewhere in Nigeria, Kenya, Rwanda and Ghana, global carmakers are investing in assembly plants — often described as screwdriver plants because of the low manufacturing value addition that takes place in them — instead of full-fledged production units.


AAAM sees investments in these countries as the first steps toward building regional automobile manufacturing hubs — one each in southern, West, East and North Africa, powered by components sourced from other African countries such as Ivory Coast, Uganda, Angola and Senegal. The recently launched African free trade area could further bolster this vision. 

Watch video 01:51 South African car collector proves skeptics wrong


Volkswagen looks to the future

With its cars beyond the reach of most Africans, VW is trialing ride-hailing and car-sharing services in Kigali, the capital of Rwanda. Customers can rent a car or have a driver pick them up through VW's Move app. The company is using cars — Polo, Passat and Teramont — assembled at its $20 million Kigali plant and plans to sell them in the second-hand market after a year or two in service.

The Move app has around 40,000 users. VW is reported to be mulling rolling out a similar service in Ghana.

"The question is whether the one car for the one household is still the solution of the future or whether it is not also about new forms of mobility," Christoph Kannengiesser of the German African Business Association told DW. So, it's not so much a question of whether a person can afford a car, but whether a person can afford automobile mobility, he said.

VW has also partnered with German power equipment firm Siemens to test imported e-cars in Rwanda as part of its ride-hailing service with plans of ultimately making the whole fleet electric. The carmaker is hoping that Africans' now established penchant for leapfrogging technologies would make them cozy up to electric vehicles.

 

UK

Massive rise in Covid rate among schoolchildren underlines teaching union's fears

THE Covid-19 infection rate among secondary school-age children increased massively over the autumn term, according to data released today by the Office for National Statistics (ONS).

The ONS estimates put the infection rate among Years 7 to 11 on January 2 at 2,950 per 100,000 — a huge 74 times the rate of 40 on September 1, and the biggest increase in any age bracket.

National Education Union (NEU) joint general secretary Dr Mary Bousted said that the results showed that the union was right to stand up for safety in schools, “a massive public health issue on which this government has been consistently behind the curve.”

“The government can’t seem to decide whether schools are safe or unsafe. Let this data end their confusion,” she said.

“Schools are clearly driving infection among children, and then on to the wider community.

“This peaked on Christmas Day, with one in every 27 secondary-age children and one in 40 primary-age children infected.

“This is truly shocking and entirely the result of government negligence.”

Organizer of U.S. election result protest in Red Deer charged

The person who organized a protest in Red Deer Wednesday has been charged under the Public Health Act
.
© Supplied to rdnewsNOW A rally in Red Deer on Wednesday, Jan. 6, 2021.


RCMP said officers were called to a demonstration near City Hall Park at around noon.

"Approximately 30 individuals were gathered to demonstrate the U.S. elections result at the corner of Ross Street and 49 Ave.," RCMP said in a news release Thursday.


Pro-Trump supporters gather in downtown Vancouver


Read more: Premier Kenney, Alberta’s Opposition leader condemn storming of U.S. Capitol by Trump supporters

The Red Deer RCMP Downtown Patrol Unit responded.

"The gathering was found to be in contravention of current public health guidelines and the group organizer was subsequently charged under the Public Health Act," RCMP said.

Many people then left the rally, RCMP said, and the event ended at 3 p.m.

Photos from the rally show people gathered together, not wearing masks, holding signs that read: "Volunteers for American Liberty" and "Canadians for Trump. Drain the Swamp."

Read more: 5 charged following weekend anti-mask rally in Calgary

RCMP are not releasing the name of the person charged. They are scheduled to appear in Red Deer Provincial Court on April 28.

Video: Washington, D.C. mayor calls for Trump, rioters who stormed Capitol to be held accountable

Small rallies backing outgoing U.S. President Donald Trump broke out in several Canadian cities Wednesday, as a riotous mob occupied the U.S. Capitol in an effort to disrupt the certification of president-elect Joe Biden’s electoral victory.

In Toronto, more than a dozen vehicles emblazoned with Trump and “stop the steal” flags formed a convoy through the city, driving past the U.S. consulate.

Read more: Small pro-Trump rallies break out in Canada amid chaos at U.S. Capitol

In Vancouver, about two dozen demonstrators with Trump and Canadian flags gathered at the Vancouver Art Gallery North Plaza.

Other demonstrators carried signs attacking the media and calling for an end to the province's COVID-19 restrictions.

Several dozen people gathered outside Calgary City Hall around 2 p.m. on Wednesday.

Protesters carried U.S. and Canadian flags, along with handmade signs reading "Power of the people is stronger than the people in power" and "Freedom is never given, it is always won."

Calgary police were on scene and described the demonstration as peaceful.

Video: Edmonton mayor calls US Capitol riot ‘heartbreaking’

Edmonton Mayor Don Iveson said Wednesday was an extraordinary day in the U.S. in many ways. He said he was still working through his emotions about it on Thursday.

"I've been in that building and I've stood in awe. It's tragic.

"As someone who has run in four elections and who believes deeply that the best way for any community -- whether that's a city, a province or a country -- to decide how it wants to be led and what it wants to stand for is through the democratic process, to see so many people undermining that democracy is just heartbreaking. It really is."

READ MORE: 4 dead after Trump supporters storm U.S. Capitol, delaying electoral vote count

Iveson said that sentiment is voiced north of the border too.

"There is always a group of people who are dissatisfied with their community and their society and act out in a variety of ways.


"Regardless of the politics of it, I think it's the anti-democratic character of the rhetoric that is most disheartening. To hear echoes of it here… is deeply troubling."

Iveson said he believes most people are appalled by what transpired in Washington.

"The good news is the results are certified. I think America will move on. We'll all have something to learn -- not just from yesterday, but in the last four years where this festering discontent has been stoked and stoked and stoked.


"I think it is a stark reminder that democracy is a fragile thing and each one of us must do our part to uphold it… which starts from non-violence and respect."

"Those values were desecrated yesterday."

With files from Simon Little, Global News