Putin Takes Russia Into Dark Period

by John M. Curtis
(310) 204-8700

Copyright June 5, 2014
All Rights Reserved.
                                    

             Since taking the reigns from Russian President Boris Yeltsin May 7, 2000, Russian President Vladimir Putin reversed much of the democratic gains started under President Mikhail Gorbachev’s glasnost and peristoika, a new beginning from Russia’s Soviet past.  Inside the guilded walls of the Kremlin, Putin promised to continue the Western-bound tradition of transitioning Russia from the world’s most socialist state to a new age of capitalism and openness.  Instead of taking the handoff from Gorbachev and Yeltsin, Putin continued his KGB past ushering Russian into a new age of secrecy and totalitarianism.  Shortly after taking office, Russia’s fledgling free press found newspapers and TV stations closing in a repressive era of not seen since Khrushchev’s Cold War nearly caused a nuclear confrontation with the U.S. in the Caribbean in 1962 with the Kremlin’s attempt to put nuclear missiles in Cuba.

             Putin’s first move on taking office was to trim back Russia’s oligarchs that had taken over many of the industries once controlled by the Soviet Union.  Two year into his first term, Putin decided to get into the oil business confiscating the oil companies of Russia’s wealthiest oligarchs.  Putin drove Boris Berezovsky and his partner Roman Abramovich into exile, eventually incarcerating Mikhail Khordorkovsky, Russia’s richest man with a net worth of $16 billion, owner of Russia’s largest oil company Yukos.  When Khordorkovsky hinted he might run against Putin in 2004, Putin promptly had the KGB, now called the FSB, charge Khordorkovsky with fraud, putting him into a Siberian prison.  On Dec. 19, 2013, Putin released Khordorkovsky from solitary confinement, allowing him to accept exile.  Khordorkovsky now lives with his family in Basel, Switzerland.

             Since seizing Russia’s oil industry, Putin has transformed the Russian economy into a Mideast-style petroleum business, competing with Saudi Arabia and other OPEC oil exporters but primarily focused on Europe’s needs for natural gas.  Rumored to supply about 30% of the European Union’s need for natural gas, Putin has made it difficult for Europeans to break their dependence on Russian energy.  Putin’s March 1 annexation of Crime threw the EU for a loop, now concerned about more Russian expansion in Eastern Europe and former Soviet satellites.  Putin’s seizure of Crimea prompted his March 24 expulsion from the G8, where the world’s richest economies work on common economic interests.  Since getting the boot, Putin’s tried to bypass the G7, forming his own economic union with Kazakhstan and Belarus to offset economic losses threatening the Russian economy.

             Putin didn’t waste too much meeting first with Chinese President Xi Jinping at the Sochi Winter Olympics, only days before he invaded Crimea.  When Putin met Xi in Shanghai May 20, they talked turkey over Russia supplying China with the expected petroleum and natural gas surplus from dwindling demand in Europe.  Moving quickly to make up potential economic losses from Europe looking to other suppliers, Putin showed no interest in returning Crimea, no matter what the economic consequences with Europe.  Meeting in Brussels, the G7 expressed a unified message to Putin to deescalate tension in Eastern Ukraine and give back Crimea.  “We stand ready to intensify targeted sanctions and to consider additional restrictive measures to impose further costs on Russia should events so require,” said a G7 statement.  Knowing he’s on the outs with the G7, Putin moved ahead with closer ties to North Korea.

             Looking to form more economic ties with North Korea, Putin hopes to put more pressure on the U.S. and EU on Kim Jong-Un’s nuclear program.  Knowing that Moscow plays a role, along with China, in containing Kim’s nuclear ambitions, Putin hopes to pressure the U.S. and EU to abandon economic and trade sanctions that have driven down the ruble and Russian stock market.  Expectations of less economic ties to the EU hurts the Russian economy and effectively seals Russia off from world’s economic powers in the G7.  Putin’s March 1 decision on Crimea turns the clock back on Russian progress since Gorbachev started the process in 1985 to begin overhauling the failed Soviet economic system.  Putin’s step backward hurts Russia economically, but, more importantly, harms Russia’s standing on the U.N. Security Council as a respected member seeking world peace.

             Putin reacted harshly to former Secretary of State Hillary Rodham Clinton’s comparison of Putin to Hitler in the 1930s.  “When people push boundaries too far, it’s not because they are strong but because they are weak,” Putin told French TV in response to questions about Hillary’s comparison to Hitler.  “But maybe weakness is not the worst quality for a woman,” Putin said sarcastically, knowing Hillary could run for president in 2016.  Moving away from Europe and toward alliances with rogue regimes, Putin betrays Russia’s privileged role on the U.N. Security Council.  Since Putin doesn’t respond to economic sanctions, it’s possible he’d heed calls for Russia to get dropped from the U.N. Security Council.  Bounced out the G8 March 24, Putin shows a tone deafness to appropriate international decorum.  Now that he’s willing to jump in bed with North Korea’s Kim Jong-Un, the Security Council should take a second look.

John M. Curtis writes politically neutral commentary analyzing spin in national and global news.  He's editor of OnlineColumnist.com.and author of Dodging the Bullet and Operation Charisma.


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