Skip to main content

The war of Argentina on foreign multinationals

The WIKILEAKS Public Library of US Diplomacy (PlusD) holds the world's largest searchable collection of United States confidential, or formerly confidential, diplomatic communications. As of April 8, 2013 it holds 2 million records comprising approximately 1 billion words. The collection covers US involvements in, and diplomatic or intelligence reporting on, every country on earth. It is the single most significant body of geopolitical material ever published. The PlusD collection, built and curated by WikiLeaks, is updated from a variety of sources, including leaks, documents released under the Freedom of Information Act (FOIA) and documents released by the US State Department systematic declassification review.


A cable from September 2007, reveals some US serious concerns about the fact that Exxon-Mobil and other multinationals were indirectly forced to abandon Argentina under Nestor Kirchner administration.

The letter is particularly revealing because it also shows that Argentina was trying to oust foreign big interests and put the energy sector under state and domestic private control. It also shows that the Leftist governments in Latin America at the time were trying to cooperate in the energy sector by using the state-controlled big companies at the expense of foreign multinationals and, apparently, for the benefit of their people.

Key parts:

Energy sector players in Argentina observe that the Kirchner administration has made a strategic decision to promote expanded direct state and private Argentine participation at the expense of foreign multinationals. To "encourage" foreign multinationals to cede control of energy assets, they say, the GoA [Government of Argentina] has used its formidable regulatory oversight powers and heavy-handed market interventions to limit these companies' freedom of action and profitability. Over the past two years alone, energy majors CMS, Total and Electricite de France have departed the Argentine market, selling their assets cheaply to local interests.

Local energy analysts are watching developments closely and will take any low-balling of Exxon's asset value as a sign of overt GoA interference. Many question the wisdom of allowing local players with no experience in the highly technical refining sector to take over one of Argentina's most important refineries. One possible outcome could be a purchase of Exxon assets by recently created state-owned energy company ENARSA. Given ENARSA's burgeoning cooperation with its Venezuelan counterpart PDVSA, another scenario could involve the Chavez administration seeking to purchase Exxon's assets in a joint venture with ENARSA as a means to gain a quick and strong retail presence in the Argentine market. Recetly, considerable media attention has focused on Brazil's Petrobras as an interested bidder on Exxon assets. Since Petrobras already has a refining presence in Argentina, GoA anti-trust approval could be a possible barrier to such a bid.

Exxon's 96-year presence in Argentina has made its local "Esso" brand emblematic of this nation's highly developed automobile culture. Rumors that Exxon is shopping its Argentine assets, after having braved almost century's worth of Argentina's extreme economic volatility, have raised many eyebrows. Beatrice Nofal, head of the GoA's investment promotion entity, Prosper-AR, privately acknowledged a possible Exxon departure as "an Argentine investment climate public relations nightmare." A near-term Exxon departure from Argentina would be widely viewed as a no-confidence vote in the economic policies of a likely incoming Christina Fernandez de Kirchner administration.

Since 2004 the GoA has variably curtailed natural gas exports to Chile, a direct consequence of a GoA domestic energy pricing policy that makes domestic natural gas consumption considerably cheaper than alternative liquid fuels. Exxon notes that such unilateral GoA export restrictions have created conflicts with Exxon's Chilean customers, put Exxon in legal jeopardy, and damaged the company's reputation as a reliable supplier.

Full cable:



As has been mentioned, ten years ago, most of Latin America was governed by Center-Left progressive or even Leftist governments. For example, Cristina Fernandez in Argentina, Evo Morales in Bolivia, Rafael Correa in Ecuador, Fernando Lugo in Paraguay, Daniel Ortega in Nicaragua, Manuel Zelaya in Honduras, and Lula da Silva in Brazil, just as an example. And Hugo Chavez, of course, in Venezuela. Since then, the so-called 'pink tide' has receded quite dramatically.

Of these 10 governments that were Left of Center, only four remain. Nicolas Maduro in Venezuela, Morales in Bolivia, Vazquez in Uruguay, and Daniel Ortega in Nicaragua. What happened? Some would argue that the US played an important role in at least some of these changes.

This cable provides another evidence for the real reason behind US efforts to wipe out the Leftist governments in Latin America. It is certain that the big oil lobby is spending millions of dollars to buy politicians in the US and abroad, in order to rebound in Latin America with the help of right-wing puppet regimes.

Comments

Popular posts from this blog

Όσοι περνάν των χώρα της απόγνωσης παθαίνουν αμνησία ...

globinfo freexchange Δανειστήκαμε αυτή τη φράση από ένα παλιό κομμάτι της Ελληνικής ροκ μπάντας "Τρύπες", για να περιγράψουμε με λίγα λόγια αυτό που φαίνεται να έχει πάθει η Ελληνική κοινωνία.  Πώς είναι δυνατόν μια ολόκληρη κοινωνία να έχει ξεχάσει ποιοι τη χρεοκόπησαν; Ποιοι έστησαν το άθλιο σύστημα των κρατικοδίαιτων 'ημέτερων' και της οικογενειοκρατίας; Ποιοι έσωσαν τις τράπεζες με πακτωλό δισεκατομμυρίων σε βάρος της μεσαίας τάξης; Ποιοι έκαναν τη μίζα και το ρουσφέτι επάγγελμα; Πώς είναι δυνατόν αυτή η κοινωνία να ετοιμάζεται να ξαναφέρει στην εξουσία ένα κομμάτι αυτού του άθλιου πολιτικού κατεστημένου, με την επιστροφή μάλιστα του αμετανόητα νεοφιλελεύθερου Κυριάκου Μητσοτάκη και της ομάδας του;   Η απόγνωση που έφεραν εννέα χρόνια βάρβαρων νεοφιλελεύθερων πολιτικών και σκληρής λιτότητας και που ανάγκασε τη χώρα να διαβεί τον εφιαλτικό μονόδρομο της μόνιμης χρεοκοπίας, πρέπει να έπαιξε σημαντικό ρόλο.  Διότι ως γνωστόν, η απελπισία...

Iran Backs Yemen's MASSIVE Attack, Missiles SLAM Saudi & US Navy

Danny Haiphong Prof. Seyed Mohammad Marandi discusses Iran's major support for Yemen's ongoing offensive against US-Saudi forces and the game changing shift in the war.

EU Is Finished & China Can Now Pull the Plug on the U.S. Economy

Glenn Diesen Yanis Varoufakis is an economist, the former Finance Minister of Greece, and the author of numerous bestselling books. Varoufakis discusses how the EU is a cartel designed by the U.S. that is no longer fit for purpose. The German economic locomotive has broken down; the EU no longer has an economic model, its foreign policy is consumed by war, and it has already become a technological colony. Varoufakis also argues that China can now pull the plug on the U.S. economy if it chooses to do so.

EXPOSED: Zohran Reveals MASSIVE 9/11 Cover Up & SHOCKS ALL!!

Secular Talk

Trump PANICS As US BOMBS WEDDING & Iran GETS REVENGE!!

Secular Talk  /  Breaking Points

Trump & AI Companies Blatantly Meddled in Brazil’s Election to Help the Fascist

The Humanist Report Fascist Flavio Bolsonaro, the son of disgraced insurrectionist ex-president Jair Bolsonaro, came out ahead of leftist President Lula da Silva in Brazil’s election by 2-points. Both candidates will face off in a runoff election in three weeks. Flavio Bolsonaro prevailed, in part, because he enticed Trump to get involved by promising to give American corporations access to Brazil’s natural resources. In other words, Flavio Bolsonaro is willing to sell out his own country for power. Big tech companies also got involved and waged a disinformation campaign to help Bolsonaro. In this video we’ll talk about how Trump and AI companies blatantly meddled with Brazil’s election and talk about why the far right did so well more broadly speaking.

Iran Has DESTROYED US Bases in the Gulf

The Chris Hedges YouTube Channel

Julian Assange Is Back — Here's What That Means

Glenn Greenwald

Iran & Yemen’s Maritime Trap: How They Control Global Trade

BreakThrough News Saudi Arabia has $142 billion in American weapons. Yemen is the poorest country in the Arab world. So why can't Riyadh win? Last month, Ansar Allah seized Mokha and Perim Island, and with them the Bab el-Mandeb Strait, cutting off Saudi Arabia's alternative oil route around the closed Strait of Hormuz. Mohammed bin Salman begged Trump for US airstrikes, then backed "Dawn of Yemen," a 100-warplane offensive aimed at Sanaa, as crude oil again tops $100 a barrel. Veteran war correspondent and analyst Elijah Magnier joins Rania Khalek and Zoe Alexandra on the Red Sea front, as nearly 1,000 Yemenis have been killed and 184,000 displaced since fighting resumed. But Magnier argues Ansar Allah – often referred to in US media as the Houthis – hasn't lost much ground. He explains why Saudi warplanes are largely powerless in Yemen's mountainous terrain, and why he sees the movement advancing on Taiz and Marib. And Magnier breaks down how Hormuz and Bab ...

Σε επανάληψη το έργο «η Άγκυρα είναι εκνευρισμένη» από το μιντιακό τσίρκο Μητσοτάκη

globinfo freexchange Το Μητσοτακικό μιντιακό τσίρκο παίζει για άλλη μια φορά το έργο «η Άγκυρα είναι εκνευρισμένη» με την συμμαχία Ελλάδας-Ισραήλ. Φυσικά, οι μιντιακοί καθεστωτικοί παπαγάλοι δεν θα σας πουν ποτέ ότι ο Νετανιάχου είναι εγκληματίας πολέμου με βάση την απόφαση του διεθνούς ποινικού δικαστηρίου, ότι το Ισραήλ στην τελευταία σύνοδο του ΟΗΕ ήταν περισσότερο απομονωμένο από ποτέ, ότι η υποστήριξη των Αμερικανών ψηφοφόρων προς το Ισραήλ έχει κυριολεκτικά κατακρημνιστεί και συνεχίζει την κατιούσα με βάση τελευταίες δημοσκοπήσεις και ότι οι διαδηλώσεις και εκδηλώσεις ενάντια στο Ισραηλινό κράτος-τρομοκράτη, εντός και εκτός Δύσης, είναι καθημερινό φαινόμενο. Οι μιντιακοί Γκέμπελς προσπαθούν απεγνωσμένα να δημιουργήσουν κλίμα υπέρ του Μητσοτάκη, αντιστρέφοντας την πραγματικότητα, καθώς βλέπουν ότι, ακόμα και στις στημένες δημοσκοπήσεις, τα ποσοστά της ΝΔ απέχουν παρασάγγας από την αυτοδυναμία. Πράγμα που σημαίνει ότι το διεφθαρμένο κόμμα Μητσοτάκη ενδεχομένως να μην αγγίζει ούτε κ...