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Stoltenberg on the Arctic: Strategic for NATO

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NATO Secretary General Jens Stoltenberg will visit Canada and Canadian Arctic with an agenda for Ukraine, climate change, and Arctic defence. The tour is particularly noteworthy as it represents the first visit by a NATO secretary general to the Canadian Arctic since NATO was founded in 1949.

Canada, the second largest border state in the region after Russia, has long opposed NATO involvement in the Arctic, which included even vetoing a statement on the Alliance’s role in the Arctic during a major summit in 2009. There are various opinions on the reasons why. There are those who are concerned about militarizing the Arctic and provoking Russia, as well as those who do not want non-North Alliance members such as Italy and Spain to have a say in the Arctic. But Canada wants to preserve its essentially exclusive economic territory. Moreover, the sea ice has been melting in the Northwest passage through Canadian Arctic due to climate change, and it will potentially be fully open and navigable by 2040. This means changes in routes and marine traffic in international waters. There are those who do not want to share this advantage, as well as those who argue that this will create new security requirements and thus increase the need for the Alliance.

However, the US is trying to completely change Canada’s attitude by using the Ukrainian war and the existence of Russia and China as an excuse. 

Andrea Charron, an expert on North American security at the University of Manitoba, spoke to Canadian press about Stoltenberg’s visit: “It’s more of a sign of continued solidarity between NATO’s members as opposed to an actual signal that they are opening the door to NATO exercises in the Canadian Arctic.”

For some, the visit represents an easing of past reluctance to work with NATO on the Arctic.

NATO seeks to improve its defence against China and Russia in North America and expand its position in the Arctic. Finland and Sweden’s integration into NATO is also important in the Arctic context.

‘Russia and China Threats’

Just before his visit to Canada, the NATO Secretary General wrote an article underlining the Alliance’s Arctic defence policy.

Stoltenberg underlined the region’s strategic importance for Euro-Atlantic security and noted that the shortest path to North America for Russian missiles would be over the North Pole.

Stoltenberg stressed that the North Pole will be rapidly ice-free due to climate change, and this will unlock opportunities for shipping routes, natural resources, and economic development, also pointed out Russia and China for increasing the risk of tension.

Stoltenberg note that Russia has significantly increased its military activities in recent years and set up a new Arctic Command, describing Russia’s activities as a “strategic challenge” to the Alliance.

China has declared itself as a ‘near-Arctic state’ and “is expanding its reach by planning a “Polar Silk Road” linking Beijing to Europe via the Arctic, it is rapidly strengthening its navy, with plans to build the world’s biggest icebreaker vessel. China is also investing tens of billions of dollars in energy, infrastructure and research projects in the region” told the NATO Secretary General.

“Earlier this year, Beijing and Moscow pledged to intensify practical co-operation in the Arctic, as part of a deepening strategic partnership that challenges our values and interests,” Stoltenberg said, citing Beijing and Moscow’s collaboration.

‘Finland and Sweden’s membership is critical for the region’

Describing the Arctic as the “the gateway to the North Atlantic, hosting vital trade, transport and communication links between North America and Europe” Stoltenberg said: “Once Finland and Sweden join the Alliance, seven out of the eight Arctic states (Russia, the United States, Denmark, Canada, Norway, Sweden, Finland, Iceland) will be members of NATO. Finland and Sweden’s membership will significantly enhance our posture in the High North and our ability to reinforce our Baltic Allies.”

Arctic geopolitics appears to be at the heart of Sweden’s and Finland’s insistence on NATO membership.

Stoltenberg signs that NATO will secure and militarize the Arctic region, citing it as one of the key areas of competition with China and Russia. NATO, which declared China and Russia a threat at the ‘historic summit’ in Madrid, considers the cooperation of both countries a threat to their interests. In his article, Stoltenberg highlights Beijing-Moscow cooperation in the Arctic, presenting the Alliance to North America as a security need for the Arctic.

Time will tell whether Canada, which has so far opposed the Arctic becoming a NATO agenda, will resist this further after NATO Secretary General’s visit.

Geopolitics of the Arctic

Increasing interest in the Arctic basin stems from the potential for new hydrocarbon and mineral reserves, sea transport routes and fishing in the region soon as glaciers melt due to climate change.

The United States, which stands out with its 48 trillion cubic meters of natural gas and 90 billion barrels of oil reserves, also sees the region as geostrategic in terms of surrounding Russia. By contrast, a new maritime doctrine signed by Putin explicitly challenges Russia being surrounded through the Arctic Ocean. Pointing out that the Arctic waters are a concern of Russia’s national interests in the new doctrine, Putin emphasized that “We will ensure their [Arctic waters] protection firmly and by all means”. The northern route began to gain importance as part of Beijing’s “New Silk Road” project. Because the opening of the Arctic due to melting glaciers will dramatically shorten the distance between Asia and Europe and create new commercial opportunities for China.

With its location and energy resources, the Arctic region is likely to become more prominent as one of the new areas of competition between NATO and Russia-China forces.

AMERICA

Biden plans to write off Ukraine’s $4.6bn debt ahead of Trump

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President Joe Biden’s administration has officially notified Congress of its intention to forgive Ukraine’s $4.65 billion debt, a move tied to ongoing efforts to support the country amid its conflict with Russia.

This debt represents half of the $9 billion provided to Kyiv as part of the $61 billion aid package approved by Washington in April. Unlike other forms of assistance, this funding was issued as conditionally repayable loans, with provisions allowing the United States President to cancel up to 50% of the debt if deemed necessary.

In a statement, the U.S. State Department explained that the debt cancellation is intended to “help Ukraine win” and serves the national interests of the U.S., the EU, G7+, and NATO.”

According to Bloomberg, President Biden is determined to maximize aid to Ukraine before President-elect Donald Trump assumes office. However, the decision to write off the debt has drawn sharp criticism from Republicans.

Republican Senator Rand Paul argued that the Biden administration’s decision places undue financial burden on the American public. He pledged to demand a vote in the Senate to challenge the proposal.

Despite this, Bloomberg notes that any effort to overturn the debt cancellation would require approval from both houses of Congress, a scenario that appears unlikely given the Democratic majority in the Senate. Furthermore, President Biden holds veto power, making reversal of the decision even more challenging.

Earlier, U.S. Secretary of State Antony Blinken announced plans to exhaust all remaining aid approved by Congress before President Trump’s inauguration on January 20.

National Security Advisor Jake Sullivan emphasized that one of the administration’s key goals is to position Ukraine as strongly as possible—both militarily and at the negotiating table.

Pentagon officials reported that $9.3 billion in military aid is currently in the pipeline. Pentagon spokeswoman Sabrina Singh confirmed plans for weekly arms deliveries to Kyiv, with the aim of expediting aid distribution before the presidential transition.

On November 20, the Pentagon unveiled an additional $275 million military aid package for Ukraine, further underscoring the administration’s commitment to strengthening Ukraine’s defense capabilities.

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AMERICA

Donald Trump taps Howard Lutnick to lead Commerce Department

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Donald Trump has announced his intention to nominate Wall Street investor and campaign donor Howard Lutnick as the new head of the U.S. Department of Commerce, placing the billionaire at the forefront of implementing the sweeping tariffs promised during his presidential campaign.

Lutnick, who co-chaired Trump’s transition team, had previously been considered for the role of Treasury Secretary. He is also the CEO of Cantor Fitzgerald, a prominent investment firm.

In a statement on Tuesday, Trump declared that Lutnick would be “directly responsible” for leading the Commerce Department and overseeing the Office of the U.S. Trade Representative (USTR).

The USTR, established in 1974 to manage negotiations with U.S. trading partners, traditionally reports directly to the president. If confirmed by the Senate, the 63-year-old Lutnick will play a pivotal role in aiding U.S. businesses and executing Trump’s proposed tariffs on international trade partners.

Trump has outlined plans for a 60% tariff on imports from China and a global tariff of up to 20%, signaling a major shift in U.S. trade policy.

Lutnick, despite lacking prior government experience, has been a steadfast advocate for Trump’s economic agenda. During a New York campaign rally, Lutnick remarked, “When was America great? At the turn of the century, our economy was floundering! That was 125 years ago. We had no income tax and all we had were tariffs.”

While Lutnick has emerged as a major donor to Trump, he has also supported establishment Democrats and Republicans in the past, including Chuck Schumer and Jeb Bush. He contributed to both Hillary Clinton’s 2008 and 2016 campaigns, hosting a fundraiser for her in 2015. Lutnick maintains a personal friendship with the Clintons, noting their attendance at a Cantor Fitzgerald fundraiser in September 2022.

Lutnick has also maintained a long-standing relationship with Trump, even appearing on The Celebrity Apprentice in 2008. He disclosed to the Financial Times in October that he has donated over $10 million to Trump’s 2024 campaign and another $500,000 to the transition team, totaling approximately $75 million.

Treasury Secretary selection process still uncertain

The position of Treasury Secretary, one of the most significant roles in Trump’s administration, remains undecided. Lutnick’s name has been floated for the role, though he faces competition from hedge fund manager Scott Bessent, private equity billionaire Marc Rowan, and former Federal Reserve governor Kevin Warsh.

Marc Rowan, the CEO of Apollo Global Management, has emerged as a leading contender and is expected to meet with Trump to present his case. Rowan’s supporters cite his extensive expertise in financial markets, though competition remains fierce.

Forecasting site Polymarket currently lists Warsh as the favorite for Treasury Secretary, followed by Bessent, Rowan, and William Hagerty. If unsuccessful in his bid for Treasury Secretary, Bessent is reportedly vying for the chairmanship of the National Economic Council.

Trump names Mehmet Oz to run Medicare and Medicaid

Trump also announced on Tuesday his nomination of Dr. Mehmet Oz to lead the Centers for Medicare and Medicaid Services (CMS). Describing Oz as “one of the most talented physicians” capable of “making America healthy again,” Trump expressed confidence in Oz’s ability to reduce waste and fraud within the nation’s largest government agency.

Dr. Oz, a former heart surgeon and Columbia University professor, rose to prominence as Oprah Winfrey’s health expert before hosting his own popular talk show. However, his career has been controversial, with critics accusing him of promoting scientifically dubious theories and unproven treatments.

Oz’s political experience includes a 2022 Senate race in Pennsylvania, where he was endorsed by Trump but ultimately lost to Democrat John Fetterman.

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AMERICA

U.S. may start its plan to separate Google from Chrome

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The Department of Justice (DOJ) may move forward with plans to force the sale of Google’s Chrome web browser as part of its ongoing antitrust case against Alphabet (Google).

According to sources familiar with the case, the department intends to ask the judge—who ruled in August that Google illegally monopolized the search market—to address concerns related to artificial intelligence (AI) and the Android smartphone operating system. This information was reported by Bloomberg.

Antitrust officials, along with participating state attorneys, are expected to recommend that federal Judge Amit Mehta impose data licensing requirements on Google. These officials have indicated that Chrome, the world’s most widely used browser, is a critical gateway for many users accessing Google Search. For this reason, they are urging the judge to mandate the sale of Chrome.

Officials stated that a Chrome sale could be considered later if other settlement measures fail to foster a more competitive market. Currently, Google Chrome commands a dominant 61% share of the U.S. browser market, according to StatCounter, a web traffic analysis service.

Over the past three months, state attorneys interviewed numerous companies to prepare their recommendations. Officials noted that some recommendations are still under review, and details may evolve before submission.

While a proposal to force Google to sell its Android platform was considered, officials have since stepped back from this more aggressive option.

If Judge Mehta adopts these recommendations, the ruling could significantly reshape the online search market and influence the emerging artificial intelligence industry.

The case, originally filed during the Trump administration and continued under President Joe Biden, represents one of the most aggressive efforts to regulate a major tech company in decades. The last comparable attempt was Washington’s unsuccessful bid to break up Microsoft in the early 2000s.

Chrome plays a crucial role in Google’s advertising business by providing user data that enhances ad targeting, a primary revenue source. Additionally, Google has been leveraging Chrome to promote Gemini, its new AI bot. Gemini has the potential to evolve from a simple answer bot to a comprehensive assistant, supporting users across the web.

Bloomberg Intelligence analyst Mandeep Singh estimates that Chrome could be worth $15–20 billion if sold, considering its more than 3 billion monthly active users. However, Bob O’Donnell of TECHnalysis Research notes that Chrome’s value depends on its integration with other services, stating: “It’s not directly monetizable. It acts as a gateway to other things. Monetization would depend on how buyers link Chrome to their services.”

Google has strongly opposed the DOJ’s recommendations. Lee-Anne Mulholland, Google’s vice president of regulatory affairs, criticized the move as government overreach, arguing: “This agenda goes far beyond the legal issues in this case and will harm consumers, developers, and American technological leadership at a critical time.”

Former Google CEO Eric Schmidt echoed this sentiment in an interview with CNBC. He emphasized the value of Chrome in enhancing the Google ecosystem, stating: “Singling out these companies won’t fundamentally solve the broader issues.”

In a blog post, Google warned that under new ownership, Chrome might no longer remain free or receive the same level of investment, potentially leading to a shift in its business model.

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