ITK Weekly by Caracal | June 23, 2022
10 global business issues at the intersection of globalization, disruption, and politics.
Geopolitical Business Intelligence
1. Report: Michigan recognized globally as the number one emerging startup ecosystem: DBusiness reports that the 2022 Global Startup Ecosystem Report (GSER) has recognized Detroit as the top emerging startup ecosystem. Detroit's top-ranking marks a 13-spot jump from the previous year, solidifying the city's growth in early-stage funding and investor activity
+ There are currently 165 venture-backed startup companies in Michigan – an increase of 17% over the last five years
+ Global Great Lakes = The future of the global economy is the Great Lakes
2. Canada banning single-use plastics to combat pollution and climate change: WP reports Prime Minister Justin Trudeau said the ban, which would include many plastic grocery bags, cutlery, and straws, could eliminate 1.3 million tons of waste over the next decade.
+ Canada will also prohibit the export of those plastics by the end of 2025 to address international plastic pollution
3. Canada plans billions in military spending to counter Russia threat in the Arctic: WSJ reports the move would deliver on a promise to the US to modernize Ottawa's capabilities to help defend North America.
+ NORAD overhaul will replace aging radar stations in the Far North
+ The nature of NORAD has changed in recent years as it has assumed additional responsibilities for monitoring sea lane approaches to North America and guarding against cyberattacks
4. US lawmakers push for more money to counter China in Indo-Pacific: FT reports Democratic and Republican lawmakers will next week introduce legislation to spur the White House to funnel more money to the Indo-Pacific region to help counter China.
+ The proportion of the foreign operations budget allocated to the East Asia bureau has hovered between 3 and 5 percent over the past decade, according to the Congressional Research Service. By comparison, budgets for Europe and Eurasia have risen 65 percent over that period
+ "Going back to the Obama administration, we've been trying to do this pivot to the Indo-Pacific. We're getting there, but we're getting there awfully slowly." -- Ami Bera, the Democratic chair of the House foreign affairs Asia subcommittee
5. Beijing bans Teslas from Communist Party elite's favorite seaside resort: The Times reports China has identified a new threat: no one will be driving around the coastal resort town of Beidaihe in a Tesla amid a growing paranoia that the "smart" electric cars' array of sensors can be used to spy on Xi and party officials while they enjoy their workers' holiday.
6. Last month, China imported more Russian crude oil than ever before: WP reports that over the first 100 days of the war, China has become the world's leading buyer of Russian fossil fuels.
+ A year-over-year rise of 55 percent in May, to 8.42 million metric tons, meant imports from Russia overtook those from Saudi Arabia to become China's largest single source of crude for the month, according to Chinese customs data
7. 2024 intrigue: DeSantis declines to ask Trump for reelection endorsement: Politico reports DeSantis' reluctance to seek the former president's public support comes as the Florida governor prepares for a likely 2024 White House bid.
+ A new University of New Hampshire poll finds Gov. Ron DeSantis (R) leading Donald Trump (R) in a Republican presidential primary, 39% to 37%
8. Colombia braces for historic change with Petro as president: When Gustavo Petro takes office on August 7, Petro will become the country's first left-wing president. He offers a radical departure from a century of right-wing and centrist rule. Petro's running-mate, Francia Márquez, an environmental activist, will be the country's first black vice-president.
9. Macron faces five years of gridlock after stunning parliamentary defeat: The French have chosen their National Assembly for the next five years. And the outcome? No party, but notably not Macron's, has come out with an absolute majority. Macron's centrist alliance, Ensemble!, won the largest number of seats in the parliamentary elections -- with 245 out of 577 seats -- it still falls short of the 289 needed for an absolute majority
+ The loss of the French president's majority is an early sign of higher stakes for European leaders as fighting in Ukraine becomes a war of attrition
+ 'We will have to learn a new way to govern and to legislate,' Macron says
10. The Ohio State University officially trademarks 'THE': WSJ reports the trademark, which applies to T-shirts and hats, is a victory for the school's branding that will produce eye rolls from Michigan fans and other rivals.
+ "A college sports powerhouse trademarks a three-letter word. Is it hubris or THE apocalypse?" -- Jason Gay
ITK Weekly by Caracal | June 16, 2022
10 global business issues at the intersection of globalization, disruption, and politics.
Geopolitical Business Intelligence
1. Europe splits over how war in Ukraine should end, poll shows: The Times reports breaks between doves pushing for a quick diplomatic exit from war in Ukraine and hawks calling for Putin to be defeated threaten to tear the European Union apart this summer, a study finds. The polarisation is reflected in popular national opinion, according to new polling by the European Council on Foreign Relations (ECFR), a Berlin-based think-tank, which finds Macron's outlook ascendant in Italy, Germany, and France.
+ "Most would concede territorial losses in return for an end to the conflict, new polling reveals."
2. Biden to meet with Saudi Arabia's crown prince in July: WSJ reports the president aims to reinvigorate relations with key Middle Eastern partners during a visit to the region next month that includes a stop in Saudi Arabia, administration officials said.
+ Biden will visit the country on 15-16 July and will meet King Salman and Crown Prince Mohammed bin Salman
3. Scotland's leader starts a campaign for a new independence vote: Sturgeon now says she is confident that Scotland can navigate towards a legal independence vote, and the detail of how that could be done would be presented to the Scottish Parliament "very soon."
+ The Scottish government plans to hold a second independence referendum in October of next year, according to its constitution secretary
+ Scotland rejected independence in a 2014 referendum, with 55% of voters saying they wanted to remain part of the United Kingdom
4. Macron's prospects uncertain after tight parliamentary election - a majority, hung parliament, or cohabitation: French President Emmanuel Macron may find himself without a ruling majority during his second term and deprived of the ability to push through his economic reform agenda after Sunday's first round of parliamentary elections saw his ruling coalition tied with a new left-wing alliance.
+ "Marked by a new record of abstention, the first round is an undeniable setback for Emmanuel Macron, whose majority is, for the time being, slimmer than that of all of his predecessors," writes 'Le Monde' director Jérôme Fenoglio.
5. Jamaican me crazy: Queen to be removed as head of state in Jamaica. Jamaica's government has announced plans to make the country a republic in time for the 2025 general election. Obtaining republic status would remove Queen Elizabeth II as head of state.
6. Australia + NATO: Prime Minister Anthony Albanese is considering whether to attend the summit in Madrid on June 29-30 as part of a show of support from Asia Pacific partners, including leaders from Japan, South Korea, and New Zealand.
7. Should Biden run in 2024? Democratic whispers of 'no' start to rise. NYT reports that in interviews, dozens of frustrated Democratic officials, members of Congress, and voters expressed doubts about the president's ability to rescue his reeling party and take the fight to Republicans.
+ Not good for Team Biden
+ Biden will need to decide by February 2023 if he will seek a second term
8. The US Army's new paratrooper unit will focus on polar warfare: The US Army is standing up a new airborne division for the first time in more than 50 years. The 11th Airborne Division, the "Arctic Angels," will reorganize Army troops based in Alaska into a full-fledged combat division capable of deploying throughout the arctic region—and beyond.
9. Venezuelan leader and Iranian president sign 20-year agreement: Venezuelan leader Nicolas Maduro and Iran's hard-line president signed a 20-year cooperation agreement Saturday, a day after Maduro praised the Islamic Republic for sending badly needed fuel to his nation despite US sanctions.
10. Apple will stream every Major League Soccer match for 10 years starting in 2023: MLS becomes the most prominent American league to have an all-digital, global agreement.
+ Does this mean 20 more seasons of Ted Lasso?
+ Wonderful marketing insights on who watches soccer in America