Thursday, November 07, 2024

HOW THE US SUSTAINS ISRAEL’S WAR CRIMES

The financial and military support that America has offered to Israel for decades is the reason why the Zionist state is able to



DAWN/EOS
Ejaz Haider 
November 3, 2024

“For generations to come, all will be told of the miracle of the immense planes from the United States bringing in the materiel that meant life to our people.”
— Israeli Prime Minister Golda Meir on the United States airlift during the 1973 War

“Things did not go particularly well for Israel over the next couple days, but as Israel started to push back the daily advances, the Nixon administration initiated Operation Nickel Grass, an American airlift to replace all of Israel’s lost munitions. This was huge — planeload after planeload of supplies literally allowed munitions and materiel to seemingly re-spawn for the Israeli counter effort. 567 missions were flown throughout the airlift, dropping over 22,000 tons of supplies. An additional 90,000 tons of materiel were delivered by sea.”

— How Richard Nixon Saved Israel from Nixonfoundation.org

PREAMBLE

The above quotes are facts about Operation Nickel Grass, a United States (US) airlift that was bigger than the Berlin Airlift of 1948-49, and about how Israel found itself fighting for its survival. Since the United Nations Partition Plan for Mandatory Palestine under Resolution 181 of November 29, 1947, the US has been a major ally and supporter of Israel. However, the 1973 War helped change the entire dynamic of that relationship. Since that airlift, the US has committed itself fully and unequivocally to Israel’s defence.

Even when there have been differences about Israel’s conduct, the US has, for the most part, ensured that there must be “no daylight” between the two sides, a phrase attributed to the outgoing US President Joe Biden who self-describes himself as a “proud Irish-Christian Zionist.”

Two days after the publication of this article, the US will be electing a president. Among many other policy concerns, including domestic, a burning question for many Arab and Muslim American voters is which of the two candidates will be a better fit for bringing peace to the Middle East and force Israel to stop its savage genocidal war.

That concern, while totally justified, is largely, if not wholly, misplaced for structural reasons — the US system, which represents the current power relationships, is controlled by what political scientists John Mearsheimer and Stephen Walt called “the Israel Lobby” in a 2007 book, The Israel Lobby and US Foreign Policy.

Mearheimer and Walt call the US-Israel relationship and the US support for Israel a “unique” relationship unparalleled in US history. They also argue that this relationship is not really “based on shared strategic interests or compelling moral imperatives”, as is normally assumed, but “is due almost entirely to US domestic politics, and especially to the activities of the ‘Israel Lobby’.”

There is a lot of literature on how the Israel lobby works. Organisations such as the American Israel Public Affairs Committee (AIPAC) and the Anti-Defamation League (ADL), in combination with big money, Christian Zionists and Israeli hasbara [public diplomacy techniques], work towards damaging politicians, activists and even scholars who are critical of Israel and its policies.

An October 24 report in The Intercept by Akela Lacy, ‘How Does AIPAC Shape Washington: We Tracked Every Dollar’ says AIPAC has “embraced a new strategy” — “It would use its vast funds to oust progressive members of Congress who have criticised human rights abuses by Israel and the country’s receipt of billions of US dollars in military funding.”

Lacy says that “AIPAC’s approach to electoral spending is bipartisan.” The strategy is to support candidates that are pro-Israel and defeat those who are not. Anyone familiar with how Washington DC works knows how legislation and actions by any administration can be influenced if the right people are available in the power corridors.

In addition to financial and military support, the US has lent Israel unqualified diplomatic support since 1972. Globalaffairs.org has estimated that “The US has vetoed resolutions critical of Israel more than any other council member — 45 times as of December 18, 2023, according to an analysis by Blue Marble.” Thirty-three of these resolutions “pertained to the Israeli occupation of Palestinian territories or the country’s treatment of the Palestinian people.”


The financial and military support that America has offered to Israel for decades is the reason why the Zionist state is able to carry out the ongoing genocide in Palestine and war crimes in Lebanon. Regardless of whether Donald Trump or Kamala Harris wins the election on November 5, this US support for its client state will continue, making the US and its Western allies as culpable for Israel’s crimes against humanity

It is instructive to contrast the US’ actual behaviour with its platitudes about a two-state solution as an imperative for peace. The US has also, as I have noted in this space previously, consistently vetoed the push for Palestine’s statehood and full membership of the UN, because statehood bestows on Palestine sovereignty and the right to self-defence. That is not acceptable to either Israel or the US.

COROLLARY

Before proceeding with further details, I want to put the proposition already proved upfront: Israel could not have sustained itself, its unending wars in the Middle East and the structured violence against the Palestinian people without the unique support it gets from the US and some Western allies of the US.

That support spans the entire gamut of diplomatic, financial and military. This is also true of the current iteration of the Palestinians’ generational war against Zionism. Israel could not have sustained its continuing war without the full and unconditional diplomatic, financial and military support of the US.

That fact gives us a simple reality: the US is not an honest broker and cannot be expected to work towards an equitable resolution of the Palestine problem. It is complicit in everything Israel does and, by shielding it from the consequences of its crimes against humanity, the US is answerable for those crimes. This is also true of the ongoing war.

This also means what I have previously said in this space: this war will continue with its many ebbs and flows. It can only end with the end of Zionism.

ISRAEL’S DESPERATION: A PAGE FROM HISTORY


An American Patriot missile defence system on display during a joint US-Israel military exercise on March 8, 2018: Israel has privileged access to the most advanced US military platforms and technologies | AFP

At 1400 hours on October 6, 1973, Egypt and Syria launched a coordinated surprise attack against Israel, along the Golan Heights and across the Bar Lev Line on the eastern bank of Suez Canal. Egyptian forces overran the presumably invincible Bar Lev line in just two hours, even though Israeli defence minister Moshe Dayan had famously called it “one of the best anti-tank ditches in the world.”

In the months leading up to the War, the Egyptians and Syrians had modernised their forces by purchasing Scud Surface-to-Surface Missiles from the Soviet Union to offset Israel’s air superiority. The first few days of the war saw dozens of Israeli fighter jets, tanks and APCs destroyed.

The US Department of State archives have a Memorandum of Conversation from October 9, 1973 between Israeli ambassador to the US, Simcha Dinitz, his military attaché Gen Mordechai Gur, and US Secretary of State Henry Kissinger and Gen Brent Scowcroft, deputy assistant to the US president for national security affairs. The contents of that conversation give a clear sense of Israeli losses and the panic that was setting in:

Dinitz: “We got a message which sums up our losses until 9am Israeli time. In planes, 14 Phantoms, 28 Skyhawks, 3 Mirages, 4 Super Mysteres — a total of 49 planes. Tanks — we lost something like 500 tanks. Some were lost on the way.”

Kissinger: “500 tanks! How many do you have? [to Scowcroft:] We should get Haig here. Well, we can give him the figures….

Kissinger: Explain to me, how could 400 tanks be lost to the Egyptians?“

Gur: “We were in a very big hurry to bring them to the front line. That’s why we say some were lost on the way to the battle.”

Dinitz: “Some got out of commission because of moving so fast.”

Scowcroft: “Do you know how many were battle losses?”

Gur: “Some were hit by artillery fire on the Suez Canal. They have heavy artillery fire. We don’t know the exact numbers. I assume the biggest number were put completely out of action.” [Gen Gur then pulls out a map and sits beside Kissinger.]


According to the Stockholm International Peace Research Institute (SIPRI), Israel is spending much more per month on the military — from $1.8 billion before October 7, 2023, to around $4.7 billion by the end of last year. According to several Israeli economists, the Gaza war alone has cost the Israeli economy over $67.3 billion.

This conversation also coincided with the October 9 Israeli counterattack that failed. Kissinger was concerned that an Israeli defeat would increase the prestige and footprint of the Soviets in the Middle East. This was also Nixon’s concern, though he also, initially, did not want to antagonise the Gulf monarchies.

The US secretary of defence, James Schlesinger, who went along with the decision, was not particularly in favour of US support to Israel. As the October 6 ‘Minutes of Washington Special Actions Group Meeting’ show, Schlesinger said, “We can delay on this. Our shipping any stuff into Israel blows any image we may have as an honest broker.”

Schlesinger also sent a memorandum to President Nixon on November 1. Subject-lined ‘Impact of the Mideast War’, Schlesinger wrote, “This memorandum provides my initial reaction to the recent Mideast crisis and to the transfer of military equipment to Israel… I am concerned… by the degradation of our conventional deterrent due to the loss of critical materiel.” [Emphasis added]

Kissinger was very unhappy with Schlesinger’s objections and told the White House Chief of Staff, Alexander Haig, “They [Israelis] are anxious to get some equipment which has been approved and which some SOB in [the Department of] Defence held up which I didn’t know about.” Golda Meir had made a panicked phone call to President Nixon. That call became the basis for the massive US airlift of materiel to resupply Israel to offset its losses in the first few days of the war.

Kissinger would bring in other arguments, particularly the broader strategic concerns about the Soviet Union but, in the end, it was about Israel itself and America’s pledge to defend it. The dialogue in the Golda biopic about Kissinger (Liev Schreiber) telling Golda (Helen Mirren) that he is an American first, secretary of state second and a Jew only third, and Golda telling him that, in Israel, “we read from right to left”, was not just for dramatic purposes. It was an actual conversation that Kissinger would often narrate.

That support has continued. But how does it work?

HOW DOES THE US SUPPORT ISRAEL MILITARILY?


President Richard Nixon with Israeli prime minister Golda Meir at the White House in Washington on Sept 25, 1969: following Meir’s panicked phone call to Nixon, the US airlifted materiel to resupply Israel to offset its losses in the first few days of the Yom Kippur War|AP

The two countries do not have a mutual defence pact, but Israel has privileged access to the most advanced US military platforms and technologies. In cumulative terms, Israel has been the largest recipient of US foreign aid since its founding and has received over $300 billion in economic and military assistance.

According to a Council on Foreign Relations (CFR) report, “The United States provided Israel considerable economic assistance from 1971 to 2007, but nearly all US aid today goes to support Israel’s military, the most advanced in the region. The United States has provisionally agreed, via a memorandum of understanding (MOU), to provide Israel with $3.8 billion per year through 2028.”

As Mearsheimer and Walt have noted, “This largesse is especially striking when one realises that Israel is now a wealthy industrial state with a per capita income roughly equal to South Korea or Spain.”

The CFR report also mentions that, since October 7, 2023, the US “has enacted legislation providing at least $12.5 billion in military aid to Israel, which includes $3.8 billion from a bill in March 2024 (in line with the current MOU) and $8.7 billion from a supplemental appropriations act in April 2024.”

The yearly military aid is actually grants under the Foreign Military Financing (FMF) programme. While Israel must use these funds to purchase US military equipment and services, it can use about 25 percent of these funds to buy equipment from Israeli defence firms. It also buys US equipment outside of the FMF facility. Until last October, as per the Biden administration, “Israel had nearly 600 active FMF cases, totalling around $24 billion.”

Separately, an annual $500 million fund is slated for Israeli and joint US-Israeli missile defence programmes. These programmes involve joint collaboration “on the research, development and production of these systems used by Israel, including the Iron Dome, David’s Sling, and Arrow II. Iron Dome was solely developed by Israel, but the United States has been a production partner since 2014.”

While transfers of US military equipment to Israel are subject to relevant US laws and scrutiny by the Congress, in reality Israel gets a clear pass from US administrations. For instance, during the ongoing war, multiple rights organisations, UN bodies and the International Court of Justice have determined constant violations by Israel of International Law and International Humanitarian Law. Despite clear evidence, the Biden administration has continued to shield Israel, including from the application of US laws such as the Leahy Law.

US State Department official Stacy Gilbert quit last May and told the media that her resignation was precipitated by an administration report to Congress that, she said, falsely stated Israel was not blocking humanitarian aid to Gaza. The true picture would have brought the Leahy Law into action and prevented further US military aid to Israel.

Just days ago, Maryam Hassanein, a political appointee at the US Department of the Interior, quit over the war on Gaza, saying, “I saw a policy that was really harming Palestinians through this kind of blind, destructive support of Israel and its occupation.”

While the US Congress can block a sale through a joint resolution, this has never happened in the case of Israel. In fact, since this war, as with special cases, Biden has bypassed the congressional review and used this waiver process both for Ukraine and Israel.

Additionally, the US has another special arrangement for Israel called ‘qualitative military edge’ (QME), which was formalised through a 2008 law. The law reads: “The [US] President shall carry out an empirical and qualitative assessment on an ongoing basis of the extent to which Israel possesses a qualitative military edge over military threats to Israel. The assessment required under this sub- section shall be sufficiently robust so as to facilitate comparability of data over concurrent years.”

The CFR report calls QME “a conceptual backbone of US military aid to Israel.” The 2008 law “requires the US government to maintain Israel’s ability ‘to defeat any credible conventional military threat from any individual state or possible coalition of states or from non-state actors, while sustaining minimal damage and casualties.’”

In simple terms, it means that the US must not provide any weapons or platforms to any state in the Middle East that could compromise Israel’s QME. Or, if it does in some way, it must provide counter-measures to Israel, to offset any disadvantage to Israel.

The US also maintains a strategic stockpile of weapons in Israel since the 1980s. Israel has been drawing from that stockpile during its ongoing war. Given Israel’s consumption of interceptors, the US also “agreed to lease Israel two Iron Dome missile defence batteries that Washington had previously purchased from the country.”

The military aid provided to Israel by the US, the UK, Germany and France includes tank and artillery ammunition, bombs, rockets, small arms, interceptors, surveillance drones, night-vision goggles, body armour etc. At least $18 billion of aid, including 50 F-15 fighter jets are also in the pipeline, though that supply won’t materialise for some years.

This is by no means an exhaustive treatment of US support for Israel. There are hundreds of assessments out there and most are available to any diligent researcher. The essential point is that, without this unconditional military, financial and diplomatic support, Israel could neither sustain its current war nor its place in the comity of nations through the hubris it has consistently displayed. This hubris includes Israel’s government declaring the UN Secretary-General persona non grata, the Israeli military targeting UN aid workers and premises, and its Knesset (parliament) legislating to ban the UN Relief and Works Agency (UNRWA) — the primary agency delivering humanitarian aid to Palestinians in Gaza — from the areas under Israeli control.

It should also be clear that this sustainment works at two levels: the Israeli lobby’s ability to influence US domestic politics sustains the presence of pro-Israel politicians within US power structures; and the presence of those politicians, in turn, helps preserve the unique US-Israel relationship, which allows Israel to sustain its wars, violate international norms and continue to repress the Palestinians.

So, why is sustainment important? What does it mean?

WHAT IS SUSTAINMENT?

Sustainment is the ability of a nation and its military to fight and sustain that fight. Sustainment in a non-kinetic sense also means the ability of a state to override international legal norms and act independently, without suffering any consequences. Since the point about sustainment at the second level should already be obvious, I will stick to military sustainment.

This point, as any student of war knows, is crucial. Attritional wars are all about sustainment. Wars are expensive; long wars are very expensive. They take a toll on men and materiel.

To quote from a 1942 US Naval College report titled ‘Sound Military Decision’: “Success is won, not by personnel and materiel in prime condition, but by the debris of an organisation worn by the strain of campaign and shaken by the shock of battle. The objective is attained, in war, under conditions which often impose extreme disadvantages.” [Emphasis added]

Initial planning can go awry; initial supplies can run dry or troops can run low on them; logistics are crucial — you can have the best troops and equipment, but battles take their toll. Men get killed; materiel gets destroyed. Nothing remains in prime shape.

Modern war requires a very complex logistics and supply system with multiple tiers. The Table of Organisation and Equipment (TOE), a document in modern militaries, not only details the wartime mission, capabilities, organisational structure, and mission-essential personnel, but also supply and equipment requirements for military units.

Tanks, armoured personnel carriers and self-propelled artillery — all essential components of manoeuvre warfare — are very logistics-heavy. A typical armoured division would have supplies based on troop strength, such as rations; items listed and identified in the TOE (clothing, personal equipment, vehicle replacements, etc); POL (petrol, oil, lubricants); supply requirements for damaged equipment which cannot have a fixed quantity and would depend on attrition rates; and, yes, ammunition.

This brings us to the nexus between fighting and sustaining a war and a state’s economy. To quote US Rear Admiral Henry Eccles, “logistics is the bridge between military operations and a nation’s economy.” The linkage is not just about existing stocks and how reduced human resources and materiel can be replenished, but also the industrial base that can supply to the fighting troops what they need.

Rations, POL, replacement of damaged equipment, cannibalising equipment and vehicles, replenishing ammunition, evacuating casualties — the list of what needs to be done is long and everything that needs to be done gets done (or doesn’t) under fire. But most importantly, all of it requires money and a pipeline.

Israel’s extensive use of aerial platforms, including fighter jets, is a very expensive proposition. For instance, according to the US Government Accountability Office, a nonpartisan agency that provides information to the US Congress, the per-hour flight cost of an F-16 Fighting Falcon is $26,927, while that for an F-35 is $41,986.

The calculation metrics involve repair parts, depot and field maintenance, contract services, engineering support and personnel, plus “other things”, such as sortie-generation rate, pilot training etc. This cost might differ with different air forces but is a good benchmark to roughly monetise Israel’s use of aerial platforms over a year against targets in Gaza, Lebanon, Syria and Iran.

Similarly, the Tamir interceptor for the Iron Dome system costs $50,000-100,000 per interception. According to Brig-Gen Ram Aminach, the former financial adviser to the Israeli chief of staff, “the cost of defence last night [April 13 Iran attack] was estimated at between four to five billion shekels [$1.08-1.35B].” He was speaking to the Israeli Hebrew-language newspaper Yedioth Ahronoth.

According to the Stockholm International Peace Research Institute (SIPRI), Israel is spending much more per month on the military — from $1.8 billion before October 7, 2023, to around $4.7 billion by the end of last year. According to several Israeli economists, the Gaza war alone has cost the Israeli economy over $67.3 billion.

Yet another crucial aspect of how the US sustains Israel’s war is the close cooperation between US Central Command (CENTCOM) and Israeli military and intelligence agencies.

Since January 2021, following a Pentagon decision to shift Israel from US European Command (EUCOM) to CENTCOM — an arrangement described by YnetNews.com in an August 24, 2024 report as “the American wall of defence around Israel” — the US is sharing intelligence with Israel and providing it complete air defence support against Iran. That support has been on display in the two direct rounds exchanged between Iran and Israel since April this year.

By all evidence, Israel does not have the stocks to fight a long war, nor can it produce them in the volumes it requires. The fact that must be known and constantly reiterated is simple: Israel’s war has been sustained by the US and its Western allies.

The corollary is simple: even as the US has been mouthing its desire for a ceasefire, it has been perpetuating Israel’s war. And given the savagery of this war, it is also complicit in every war crime committed by Israel.

The writer is a journalist interested in security and foreign policies. X: @ejazhaider

Published in Dawn, EOS, November 3rd, 2024
Lights still out in Cuba after Hurricane Rafael


By AFP
November 7, 2024

Hurricane Rafael knocked out power to all of Cuba on Wednesday
 - Copyright AFP/File Tolga AKMEN

Cubans on Thursday were assessing the damage caused by Hurricane Rafael which lashed the island and plunged it into darkness but caused no reported fatalities so far.

Rafael hit western Cuba on Wednesday as a major Category 3 hurricane and swept across the island in two and a half hours before losing intensity as it entered the Gulf of Mexico.

It came just two weeks after Hurricane Oscar, which left eight dead in the east of the island during a national electricity blackout that lasted four days.

President Miguel Diaz-Canel said that the provinces of Artemisa, Havana and Mayabeque were worst hit.

Writing on the social platform X, he said that authorities were working to restore power to the center and east of the island and were assessing the damage to infrastructure in the west “to start recovery (of power) there too.”

In Havana, residents used brooms, shovels and buckets to clear branches, garbage, mud and pieces of cement from the streets.

The highway from the capital west to Artemisa was dotted with fallen electricity pylons and the streets of towns along the route were strewn with branches, tiles and pieces of concrete from damaged homes.

In the town of Candelaria, around 40 km from where Rafael made landfall, 49-year-old housewife Lidia was in despair.

“Now, the hurricane is leaving and we have another blackout, meaning we won’t have water,” she said standing outside her house. “What are we going to cook? What water are we going to drink?”

Cuba has been suffering hours-long power cuts for months — a symbol of the island’s worst economic crisis since the fall of the Soviet Union, a key ally and financial backer, in the early 1990s.

The UN General Assembly last week renewed its long-standing call for the US to lift its six-decade trade embargo on the communist island.





Thousands told to flee wildfire near Los Angeles


By AFP
November 7, 2024

The Mountain Fire grew to burn over 20,000 acres (8,100 hectares) in the first two days, with towering flames leaping unpredictably and sending residents scrambling - Copyright AFP/File SAUL LOEB

Etienne Laurent

Thousands of people were urged to flee an out-of-control wildfire burning around communities near Los Angeles on Thursday, with dozens of homes already lost to the fast-moving flames.

Fierce seasonal winds were casting embers up to three miles (five kilometers) from the seat of the fire around Camarillo, with new spots burning on hillsides, farmland and in residential areas.

The Mountain Fire grew rapidly from a standing start early Wednesday, and by the following day had consumed 20,000 acres (8,100 hectares), with towering flames leaping unpredictably and sending residents scrambling.

“We’ve been up all night watching this. I haven’t slept,” Erica Preciado told one local broadcaster as she drove her family out of the danger zone.

“We’re just trying to get a safe place. I didn’t even know what to take. I just have everything in my car,” she said, gesturing tearfully to her packed vehicle.

A number of houses have been destroyed, some consumed by flames in minutes.

One man told broadcaster KTLA he and his family had fled their home of 27 years, finding out later that it had been destroyed.

“It’s all gone,” he said, his voice catching. “It’s all gone.”

Dawn Deleon described how she had only moments to flee with her six dogs.

“We watched the neighbors’ houses burning and figured it was time to get out of there,” she said.

“We left and were just gone for five minutes and went back to get my phone, and the house was already on fire and gone.”

Ventura County Fire Department officials said they were throwing resources at the blaze in an area that is home to 30,000 people.

That included crews on the ground defending homes with hose lines working alongside bulldozers that were trying to remove fuels.

Helicopter pilots worked throughout the night dropping water, said Ventura County fire captain Trevor Johnson, predicting that the fight would continue for some time.

“We’re going to have an active presence in there for days to come,” he told reporters.

Hoses ran dry for crews battling the flames at one point late Wednesday, Ventura County Fire Chief Dustin Gardner said.

He said hundreds of fire trucks had been pumping water all night, putting a strain on resources.

“We have been fighting fire actively now for 26 hours, and we found all of those fire trucks hooked up to all of those hydrants, and we drained water systems down,” he told reporters.

That affected supplies higher up hillsides, and forced crews to shuttle water up to the blazes.

He said while it was not a common problem, it is known to happen in major incidents.

“It’s normal enough that we plan for it, so it’s impactful, but it will be mitigated,” he said.



– ‘Diminish’ –



Damage assessment teams were making their way through areas that had burned in a bid to understand how many properties had been affected.

Emergency managers said they did not know how many homes had been lost, but news crews on the ground found dozens in flames or utterly destroyed, with some estimates as high as 100.

The cause of the fire was not immediately known, but meteorologists had raised a Red Flag Warning in the area, indicating dangerous fire conditions.

They said two years of above-average rainfall had sparked abundant growth of vegetation, which was now all bone-dry after a long, hot summer.

Seasonal Santa Ana winds from California’s desert interior had brought gusts at one point as high as 80 miles (130 kilometers) an hour, making firefighting conditions exceedingly difficult.

Rich Thompson of the National Weather Service said those winds had eased slightly on Thursday, and were expected to drop considerably by the evening.

“We expect Santa Ana winds gusting from the northeast at about 25 to 35 miles per hour through the afternoon hours, along with humidity dropping down to around 10 to 15 percent,” he said.

“Fortunately, by mid-late afternoon, we expect those Santa Ana winds to diminish in strength.”

Electricity companies had cut power to tens of thousands of customers in the area — a common strategy in California during high winds in a bid to reduce the risk of new fires from toppled power lines.

Nissan announces 9,000 job cuts, slashes sales forecast

By AFP
November 7, 2024

Nissan Rogue: — © Nissan USA
Hiroshi HIYAMA

Japanese automaker Nissan on Thursday announced 9,000 job cuts as it slashed its annual sales forecast, saying it was taking urgent measures to tackle “a severe situation”.

The company reported a 93 percent plunge in net profit in the first half as CEO Makoto Uchida told reporters that weak sales in the North American market were a major factor.

Nissan and its domestic rivals are also struggling to stand their ground in China, as fast-growing electric vehicle firms backed by Beijing race ahead.

“Facing a severe situation, Nissan is taking urgent measures to turnaround its performance and create a leaner, more resilient business capable of swiftly adapting to changes in the market,” a company statement said.

Nissan did not issue a net profit forecast on Thursday, having downgraded it in July to 300 billion yen – Copyright AFP Yuichi YAMAZAKI

“Nissan will cut global production capacity by 20 percent and reduce its global workforce by 9,000,” it added.

Uchida “will voluntarily forfeit 50 percent of his monthly compensation starting in November 2024 and the other executive committee members will also voluntarily take a pay reduction accordingly”, the statement said.

The firm now expects net sales of 12.7 trillion yen ($80 billion) — down from 14 trillion previously forecast.

But Nissan did not issue a net profit forecast on Thursday, having downgraded it in July to 300 billion yen. In the six months to September, net profit was just 19.2 billion yen.

“Net income is to be determined due to ongoing assessment of costs necessary for the planned turnaround efforts,” Uchida said.

Nissan’s “core” vehicle models are not performing as well as before in North America, he added. “From the cost perspective, and the brand-strength perspective, we will rebuild our brand in America,” Uchida said.

Among other measures, the automaker will reduce its stake in Mitsubishi Motors by selling shares back to the firm.

It said its stake in Mitsubishi will fall to around 24 percent from 34 percent currently. Uchida added that Nissan would keep close ties with the company.

Nissan has seen a turbulent decade that included the shock 2018 arrest of former boss Carlos Ghosn, who later jumped bail and fled Japan concealed in a music equipment box.

Ghosn remains an international fugitive in Lebanon and denies the allegations against him. He said he fled Japan because he did not believe he could receive a fair trial.

When asked about Donald Trump’s victory in the US presidential election, Uchida said Nissan was “hearing various things, like tariffs, but it’s not just us”.

“We will be lobbying, and the direction of our medium- to long-term plans should remain, but we will conduct our business while monitoring the situation carefully,” he added.

Nissan shares slump after unveiling plan to cut jobs, production

 Nissan logo is seen next to a vehicle during the New York International Auto Show · 

Reuters
Updated Thu 7 November 2024 

TOKYO (Reuters) -Nissan Motor shares slumped as much as 10% in Tokyo trade on Friday, a day after the Japanese automaker said it would cut 9,000 jobs and 20% of its manufacturing capacity as it struggles with sales in China and the United States.

The stock was on track for its biggest one-day price drop since August. It last traded down 6.5% at 383.5 yen, just above a four-year low.

Japan's third-biggest automaker on Thursday slashed its full-year operating profit forecast by 70% and scrapped its net forecast altogether due to restructuring, which it said would cut costs by 400 billion yen ($2.61 billion) in the financial year to March-end.

Like many global automakers, Nissan is struggling in China where BYD and other domestic rivals are winning market share with affordable electric vehicles and petrol-electric hybrids equipped with advanced software.

Nissan is also challenged in the U.S. where it lacks a line-up of hybrids just as that vehicle type is in strong demand.

CEO Makoto Uchida said on Thursday Nissan had not foreseen hybrids' sudden popularity in the U.S. and that demand for revamped versions of core models had not been as strong as hoped.

Nissan's restructuring is the latest chapter in a long-running attempt to revitalise its business, having never fully recovered from the 2018 ousting of former Chairman Carlos Ghosn and scaling back of its partnership with Renault.

On Friday, Minister of Economy, Trade and Industry Yoji Muto declined to comment to reporters when asked his views on potential government support for Nissan.

Tokai Tokyo Intelligence Laboratory analyst Seiji Sugiura placed much of the blame for Nissan's U.S. hybrid situation on management that he said was mainly pinning hope on selling new EV and traditionally powered models.

"The company released its mid-term plan this spring, but it in the end there was no meaning to that. I think their understanding of the situation is completely wrong," Sugiura said.

Nissan's mid-term plan announced in March involved 30 new models over the next three years, raising global sales by 1 million vehicles, an operating profit margin exceeding 6% by the end of fiscal 2027 and total shareholder returns of more than 30%.

($1 = 153.2000 yen)

(Reporting by Daniel Leussink; Editing by Christopher Cushing)

 

Philippine Coast Guard Triples Fleet With French and Japanese Newbuilds

The Mitsubishi-built, 97-meter cutter BRP Teresa Magbanua (PCG file image)
The Mitsubishi-built, 97-meter cutter BRP Teresa Magbanua (PCG file image)

Published Nov 7, 2024 3:17 PM by The Maritime Executive

 

 

On Thursday, Philippine President Ferdinand Marcos Jr. approved an order for five 320-foot cutters for the Philippine Coast Guard, bringing the service's orderbook for new patrol vessels to a total of 49 hulls. The orders will roughly triple the service's number of cutters and patrol boats over 100 feet in length. 

The new series of large, oceangoing cutters will be built by a Japanese yard, with financial support from Japan's government. The order will significantly boost Manila's ability to ensure presence and law-enforcement capability in the Spratly Islands, where it regularly faces off with Chinese forces inside the Philippine exclusive economic zone. 

The shipbuilder for the five new 97-meter cutters was not named, but Mitsubishi Shipbuilding has previously delivered two oceangoing patrol vessels of the same size for the PCG, the BRP Teresa Magbanua and Melchora Aquino. Both have seen regular frontline service in the western Philippine Sea, confronting Chinese vessels and escorting outpost supply missions. 

The five-ship order comes hot on the heels of the announcement of a 40-vessel order for 100-foot fast patrol craft, financed by the French government. 20 of these boats will be built in the Philippines, bringing a significant new source of local jobs and business. In addition, France will be backing up the PCG by providing logistical support to sustain the new vessels. 

One likely contender for the project could be OCEA, a French shipbuilder that has pledged to invest in a new shipyard division in the Philippines. The company built the PCG's offshore patrol vessel BRP Gabriela Silang in 2020, and has also delivered four PCG fast patrol boats, BRP Boracay, Panglao, Malamawi and Kalanggaman. 

The value of the 40-boat deal comes to about $440 million, making it the largest single purchase in the Philippine Coast Guard's history, PCG chief Adm. Ronnie Gil Gavan told reporters Thursday. 

"It is a game-changer for us. It will enable the Philippine Coast Guard to have at least two patrol boats in every district, fast enough to reach edges of our socio-economic zone forms to enforce the laws," Adm. Gavan said. "In five years’ time we foresee that we will become the most respected and the most able coast guard [in Southeast Asia]."

 

Plans Announced for the Last Voyage of Famed Ocean Liner SS United States

united states liner
Tentatively the liner will depart Philadelphia next week on her last voyage before reefing (SS United States Conservancy)

Published Nov 7, 2024 4:47 PM by The Maritime Executive

 

 

After nearly 30 years on the Philadelphia waterfront, a tentative timeline has been set for the final departure of the once famed ocean liner the ss United States. The last voyage to be accomplished on a towline comes almost 55 years to the day that she was removed from commercial service in 1969.

Okaloosa County, Florida acquired the vessel on October 13 for $1 million from the non-profit SS United States Conservancy with plans to convert the ship into the “World’s Largest Artificial Reef,” off the coast of Florida along the Gulf Coast. It was part of the settlement agreement for the lawsuit from the operators of the Philadelphia pier, Penn Warehousing, with the country required to remove the ship by early December.

Towing the nearly 1,000-foot liner is a complicated plan including removing her from the pier. Her air draft causes additional concerns with officials in Pennsylvania and New Jersey determining to temporarily close the Walt Whitman, Commodore Barry, and Delaware Memorial bridges which span the Delaware River. The US Coast Guard and others are involved in the planning and approval to remove the vessel.

The tentative timeline calls for the vessel to be moved across the slip between Piers 82 and 80 at high tide (11:45 am) on November 14. The United States will stay there overnight waiting for the next low tide (6:59 am) on November 15. Before low tide, the plan calls for positioning the ship in the Delaware River and then commencing the trip under the bridges at low tide and along the Delaware River.

“Federal officials and Moran Towing pilots will be on board the ss United States, with Delaware Bay pilots assisting from ashore. Vinik Marine of New York will handle the ocean tow,” reports the Okaloosa Board of County Commissioners. It is expected diehard fans of the great liner will be along the river as well as those curious to see the ship depart on its final voyage.

The plan for the ship was changed from an original schedule to first go to the Norfolk, Virginia area to move the ship directly to Mobile, Alabama. The board highlights the facility in Mobile will be significantly less expensive and available for the full duration of the remediation and preparation for reefing. 

The tow to Mobile is expected to hug the East Coast to avoid ocean currents. It will take approximately 14 days with Okaloosa promising live tracking online with a GPS device installed on the ship. When it reaches Mobile, the ship will have to turn 180 degrees and will be towed astern up the Mobile River to her new berth.

The remediation and preparation are expected to require approximately 12 months and include removing the two iconic funnels and the radar mast, which will go to the Conservancy for its proposed museum. A few other artifacts including the builder’s plaque will be removed for the Conservancy, while the preparation includes removing all the portholes as well as onboard contaminants.

The SS United States Conservancy calls reefing the best option for the vessel. They will use the proceeds from the sale plus $1 million from Okaloosa toward the cost of establishing a permanent museum and visitor center for the ship. It will display the collection of artifacts from the vessel and tell the story of her design and speed record.
 

 

Efforts Begin to Pump Oil from Tanker Sounion Damaged by Houthis

Sounion tanker tow
Sounion being towed on September 14 in the first phase of the salvage operation (EUNAVFOR Aspides)

Published Nov 7, 2024 12:11 PM by The Maritime Executive

 

 

A ship-to-ship transfer of the crude oil cargo from the cargo tanks on the damaged tanker Sounion began today in Egypt more than two months after the Houthis badly damaged the vessel and set off fears of an oil spill catastrophe. Sources from Egypt’s Shipping Ministry told the news outlet ANA that the operation is expected to last between three and four weeks.

The damaged tanker was moved into the Suez anchorage south of the Suez Canal a week ago after approximately 20 files burning on the deck of the tanker were extinguished. EUNAVOF Aspides provided security for the vessel when towing began on September 14 and it was moved to a more secure location north of Yemen and closer to Eritrea. Salvage crews worked for approximately six weeks to dowse the fires reporting that they were mostly in the tank hatches.

Egyptian officials however told the media the concern is that the tanker’s structural integrity was compromised by the attacks on August 21 and then the later explosions set off by the Houthi on the deck. The rebels also destroyed the bridge of the tanker while the initial attacks had left the vessel without power. Egyptian officials said one of the concerns is that without power the vessel has no means of maintaining stability.

Delta Tankers of Greece which manages the Sounion dispatched another of the company’s crude oil tankers to Egypt as part of the operation. The Delta Blue (158,322 dwt) was sent from Greece and arrived early last week in Egypt in anticipation of the operation.

According to the reports, salvage crews boarded the Sounion (163,759 dwt) with portable pumps and rigged the vessels for the transfer. The Sounion was loaded with over 150,000 tons of crude oil (1 million barrels) it had taken on in Iraq. It was believed to be heading for Rotterdam when it was attacked. The crew of the tanker was safely evacuated by French naval forces the day after the initial attack.

The Houthis have vowed to continue their attacks on merchant shipping although the pace has been dramatically slowed over the past two months. Yesterday, the leader of the rebel group Abdul Malik al-Houthi said the U.S. election of Donald Trump would not impact the group’s determination to attack Israel and merchant ships. 

In a statement issued at the beginning of the week, the Houthis said they would, “continue to impose a naval blockade on the Israeli enemy and target all vessels belonging to it, associated with it or bound for it, and this blockade will continue until the aggression stops, the blockade of the Gaza Strip is lifted and the aggression against Lebanon is stopped.” They said the attacks would target ships regardless of their ownership warning companies not to acquire ships associated with Israel as they would continue to be a target.

 

Coast Guard Icebreaker Finds Small, Uncharted Seamount in Beaufort Sea

Beaufort seamount
Courtesy USCG

Published Nov 7, 2024 7:54 PM by The Maritime Executive

 

 

While under way off the coast of Alaska on a survey mission, the U.S. Coast Guard cutter USCGC Healy and an embarked science party found a previously-uncharted volcano-like feature, like a small seamount. 

USCGC Healy finished up a repair period in Seattle on October 1 and got under way for a rare late-season Arctic deployment. Her first mission was to deploy oceanographic buoys and conduct surveys along a portion of the Coast Guard's proposed Alaskan Arctic Coast Port Access Route Study corridor, a planned route connecting the village of Utqiagvik on Alaska's North Slope to the U.S.-Canadian border demarcation in the Beaufort Sea.

During the first phase of the survey, Healy's sonar revealed a volcano-like feature about 585 meters tall protruding from the seabed, with a minimum depth below the surface of about 1,600 meters. The science party also detected signs of what may be a gas plume rising from the feature - a common feature for volcanic seamounts. 

The area has very little marine traffic, and it was only lightly surveyed in decades past. Many parts of the Arctic lack detailed bathymetric charts, and the new surveyed routes are intended to ensure safe navigation for deep-draft shipping. "These findings are exciting and offer insight into what may exist beneath the ocean's surface, much of which is unknown in this region," said Capt. Meghan McGovern, the commanding officer of NOAA survey ship Fairweather and a member of the Healy's mapping team. 

A NOAA team from Fairweather is embarked aboard Healy to add hydrographic survey expertise for the mission. They are using the icebreaker's multibeam sonar to produce detailed, precise measurements of the seabed along the proposed deep-draft shipping route.

After completing the first elements of the mission, Healy returned south through the Bering Strait and called at Dutch Harbor, arriving Thursday. In a statement, the Coast Guard said that her mission continues. 

Healy sustained a fire in a transformer room on July 25 while operating off of Banks Island, near the western entrance to the Northwest Passage. While her propulsion remained functional, as a precautionary measure she returned to Seattle early, arriving August 16. She got back under way once more on October 1.  

Healy is one of the Coast Guard's two seagoing icebreakers, along with the 1976-built USCGC Polar Star. 

 

Singapore Arraigns Deck and Engine Officers Aboard Dredger in June Allison

Singapore oil spill response
Oil cleanup after the dredger hit the bunker tanker in Singapore harbor (MPA)

Published Nov 7, 2024 2:20 PM by The Maritime Executive

 

Nearly five months after the Netherlands-flagged hopper dredge hit a bunker tanker causing the worst oil spill in Singapore in a decade, two deck officers and two engineers have been arraigned. Singapore is charging the crewmembers of the Van Oord-operated dredger Vox Maxima with failure to execute their duties. The next hearing for the case is scheduled for December 4.

The dredger Vox Maxima (43,400 dwt) was underway on June 14 in Singapore harbor when the vessel struck the docked bunker tanker Marine Honour (9,000 dwt) while it was alongside another vessel at the Pasir Panjang Terminal. One of the bunker vessel’s tanks was ripped op and an estimated 400 tons of fuel oil leaked into the harbor and fouled the shoreline in sensitive environmental areas. 

The Vox Maxima reported a loss of propulsion and steering control just before the casualty, according to Singapore's Maritime and Port Authority (MPA).

After the incident, Singapore ordered the Vox Maxima to remain in Singapore during the investigation. The day after the allision, Singapore conducted a Port State inspection and reported a long list of 13 deficiencies aboard the dredger. Three of them, including issues with the fire ventilation system and lifeboats, were grounds for detention. They also reported seeing oil accumulation in the engine room and unspecified structural conditions. The vessel received a clean inspection on June 30.

The captain of the vessel, Richard Ouwehand, age 49, along with the navigation officer Martin Hans Sike, age 48, were brought up on charges that they failed to “ensure that emergency steering was carried out.” 

Two engineers, identified by the Straits Times newspaper as Merijn Heidema, age 25, and Eric Peijpers, age 55, were also charged. Singapore is contending that the engineers failed to make sure sufficient reserve power was available when the ship was maneuvering. 

Singapore devoted significant resources to the oil spill recovery including employing over 700 people and deploying 3,400 meters of containment boom. While they reported the oil slick had dissipated within four days, the Maritime and Port Authority reported about 550 tonnes of oil-soaked sand and debris was collected from all affected beaches

 

Vessels Pile Up as Foreman Lockout Continues at Canada’s West Coast Ports

Vancouver
Vessels are waiting as Vancouver and Canada's West Coast ports remain closed due to a union contract dispute (file photo)

Published Nov 7, 2024 2:45 PM by The Maritime Executive

 

 

The strike/lockout of the foreman for the dockworkers union in Canada is continuing with reports that there are no new talks between the two sides. As it enters its third day, vessels have begun to pile up at Vancouver while business associations are increasingly calling for the federal government to intervene.

The BC Maritime Employers Association told The Canada Press that there has been no engagement with the local representing the foremen or federal mediators since the lockout began Monday afternoon. The employers continue to blame the local for calling a strike while saying the offer they presented is the same as what the longshore union accepted in July 2023. They also added provisions to address the foremen’s issues while saying it does not require any concessions of the union nor to waive the technological change notice provisions.

The association representing the employers has repeatedly called this its “final offer” in the contract negotiations that date back to March 2023. They however said without qualifying that the employers may be “required to reassess” their position on the current offer.

The strike is impacting all the container terminals including in Vancouver which accounts for 40 percent of the cargo movement in Canada. General cargo and some bulk are impacted but not grain or cruise ships.

Carriers appear to be taking a wait-and-see approach so far while the terminals remain closed. Containers ships, including CMA CGM OrfeoHMM PeridotMOL PremiumYM Plum, and Ever Steady, all are waiting outside Vancouver Island. Reports said two more were due to arrive during the day on Thursday.  Several car carriers are also waiting off the terminal while in the Out Vancouver Harbor and elsewhere more than two dozen bulkers have piled up. 

“The shutdown of West Coast ports endangers approximately C$800 million (US$577 million) in daily trade in goods. This represents around 25 percent of Canada’s daily merchandise trade and will affect businesses, workers, and consumers across the country,” wrote the Business Council of British Columbia. They acknowledged the complexities of labor negotiations while emphasizing the importance of an agreement and saying “However, those negotiations having failed, we now call upon the federal government to intervene to reach a swift settlement.”

Similarly, the BC Chamber of Commerce issued a statement saying it was “disappointed” by the inability of the two to negotiate a new contract. Like the Business Council, the Chamber is saying the federal government should be involved so that both sides can work diligently to find a resolution quickly.

“Our port infrastructure is too critical to the health and success of businesses and workers to have this dispute continue one moment longer. It will only serve to inflict further harm to our provincial and national economies and our international reputation as a reliable trading partner,” writes Fiona Famulak, President and CEO of the BC Chamber of Commerce.

Businesses note that the pressures are greater in this year’s strike because of the time of year. In July 2023, the longshore union was on strike for 13 days closing down the West Coast ports.

The government has convened an Industrial Inquiry Commission to explore the labor disputes at Canada’s West Coast ports. It is due to release its recommendations in the Spring of 2025.