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What We're Watching: Pentagon leaker suspect arrested, Gershkovich swap chatter, Uruguay’s free trade ambitions
And the suspected leaker is ...
On Thursday afternoon, the FBI arrested a suspect in the most damaging US intel leak in a decade, identifying him as Jack Teixeira, a 21-year-old member of the Massachusetts Air National Guard. Teixeira was reportedly the leader of an online gaming chat group, where he had been allegedly sharing classified files for three years. If convicted of violating the US Espionage Act, he could spend the rest of his life behind bars. Teixeira will appear in a Boston court on Friday.
We know that the chat group was made up of mostly male twentysomethings that loved guns, racist online memes, and, of course, video games. We don’t know what motivated the leaks, what other classified material the leaker had, or whether any of the docs were divulged to a foreign intelligence agency.
Arresting a suspect, though, is just the beginning of damage control for the Pentagon and the Biden administration. Although the content of the leaks surprised few within the broader intel community, many might not have realized the extent to which the US spies on its allies.
Uncle Sam obviously would’ve preferred to have intercepted the message this scandal sends to America’s enemies: US intel is not 100% secure.
Russia is maybe considering swap for Evan Gershkovich
A top Russian diplomat suggested Thursday that Moscow could explore a prisoner swap with the US in order to release American journalist Evan Gershkovich, whom Russian authorities jailed earlier this month on espionage charges.
But first, said Deputy Foreign Minister Sergei Ryabkov, the trial against Gershkovich will have to play out in full. That could take as long as a year.
What might Russia want in exchange? Hard to say. Last year, the Kremlin swapped WNBA star Brittney Griner, convicted of a drug offense while traveling in Russia, for notorious arms dealer Viktor Bout. At the time, the Kremlin also reportedly sought the release of a Russian assassin from a German prison, but that swap broke down when the Kremlin refused to also release Paul Whelan, an American currently serving an espionage sentence in Russia.
A year from now, the world, and the Ukraine war, might look very different. But expect the Kremlin to throw the book at Gershkovich to maximize their leverage ahead of any talks about his release.
Meanwhile, elsewhere in Russia’s prison system, opposition leader Alexei Navalny — currently in solitary confinement — has suffered a fresh health crisis that his spokeswoman says is another attempt to poison him.
For context, see our recent interview with Daniel Roher, director of the Oscar-winning documentary Navalny.
Uruguay’s FTA dream
Uruguay's Foreign Minister Francisco Bustillo will soon meet with Chinese officials to take steps toward establishing a Free Trade Agreement between the two countries. Uruguay has wanted an FTA for three decades, and the timing might finally be right as China seeks to increase its influence in South America.
Getting an FTA with China has been a priority for Uruguay’s President Luis Lacalle Pou's administration. The meeting will come on the heels of trade talks between Brazil and China, countries that saw their two-way trade hit a record $171.5 billion in 2022. Uruguay wants in on the action.
China has deepened its trade relationships in Latin America throughout the 21st century, beating out the US as the region's largest trading partner. Beijing benefits politically from these partnerships, gaining votes at the UN and support for Chinese appointees to multinational institutions, as well as the ability to implement technology standards into regional infrastructure.
But not all of Uruguay's neighbors are comfortable with China's swelling influence in the region, or with Uruguay flying solo. Uruguay is facing resistance from other Mercosur countries that favor negotiating regional trade deals as a bloc. Paraguay, which still recognizes Taipei in lieu of the government in Beijing, is leading the pushback – a conflict that could test one of the bloc’s few rules: a restriction on making preferential agreements with third countries.
What We’re Watching: Suspected US intel leaks, peace talks for Yemen, Lula talks trade with Xi
A murky document mystery
Some months ago, mysterious documents began showing up on websites used mainly by online gamers that appear to reveal top-secret US government information on the war in Ukraine and other sensitive topics. In particular, they include what seem to be maps of Ukrainian air defenses and an analysis of a secret plan by US ally South Korea to covertly deliver 330,000 rounds of ammunition to Ukraine to boost its widely expected spring counteroffensive.
Once noticed, copies of the documents made their way into mainstream media and triggered investigations by the Pentagon and the US Justice Department over possible leaks. Ukrainian officials say the documents may have come from Russian spies. Others say someone inside the US intel community must have leaked them. Some experts warn the documents may be fakes.
Given the stakes for Ukraine and for US relations with allies, this isn’t a story anyone should ignore. But the most important questions – Who did this? Why? Are the documents real? Will they change the war? If so, how? – can’t yet be answered. And like the mystery surrounding the explosion that damaged the Nord Stream pipeline last September, they may never be answered. We’ll keep watching.
Will peace finally come to Yemen?
A Saudi delegation is visiting Sanaa, Yemen’s capital, for talks with Iran-backed Houthi rebels in hopes of ending the nine-year conflict that’s turned Yemen into one of the world’s worst humanitarian crises.
The war began in 2014 when Houthis, who are Shiite, overthrew the Saudi-backed Sunni government and took over the capital. Violence has since plagued the country, and the conflict has broadly been seen as a proxy war between Iran and Saudi Arabia. Fighting has also spilled over into Saudi territory, where rebels have targeted the kingdom’s oil infrastructure.
The talks – mediated by Oman – come after both sides agreed last month to renew a previously expired ceasefire. Still, several thorny issues remain, including how to secure oil fields in rebel-held areas, as well as the easing of blockades on Sanaa’s airport (by the Saudis) and Red Sea ports (by Houthis) that are obstructing the flow of humanitarian aid to 21.6 million people.
Hopes of a resolution in Yemen come after Tehran and Riyadh recently agreed to renew diplomatic ties after a seven-year rupture. Expectations of a cessation of hostilities, however, have been raised and dashed in the past.
Lula to talk trade in China
Brazilian President Luiz Inacio “Lula” da Silva is heading to China on Tuesday for a four-day summit. The trip was originally planned for March but was postponed after Lula contracted pneumonia.
Lula lands in Shanghai before heading to Beijing, where he’ll meet with Chinese President Xi Jinping. The Brazilian leader is being accompanied by more than 250 business leaders, nearly a third of whom belong to Brazil’s agricultural sector. His entourage tells us that these meetings will be about trade, trade, and more trade. Lula will also invite President Xi to Brazil to view projects for which Brazil is seeking Chinese investment.
After Lula’s last visit to Beijing in 2009, China became Brazil’s top trading partner, causing demand for its soybeans, iron ore, and oil to skyrocket and fueling an economic boom for Brazil. By 2021, Brazil was China’s largest destination for foreign direct investment. Now in his third term, Lula is facing a tough economic and political landscape and hopes to revive his stagnating economy by diversifying Brazil’s trade relationship with China.
The two men will also discuss the war in Ukraine, with Lula believing he can help negotiate peace.
But Brazil is already navigating tensions between the US and China. In February, Lula met with US President Joe Biden to affirm his relationship with Brazil’s most important regional security partner. Meanwhile, China is hoping that by strengthening its relationship with Brazil it can boost its influence in Latin America and weaken Brazil’s ties to the US. The meetings come just days after China and Brazil agreed to ditch the US dollar and exchange their currencies directly. So in China, Lula must tread carefully to stay in both Biden's and Xi’s good graces.
What We’re Watching: Bibi’s defiance, US strikes in Syria, Lula’s China visit, Putin’s Hungary refuge, India vs. free speech
Bibi’s not backing down
Israelis waited with bated breath on Thursday evening as news broke that PM Benjamin “Bibi” Netanyahu was preparing to brief the nation after another “day of disruption” saw protesters block roads and strike over the government’s proposed judicial reforms.
The trigger for the impromptu public address was a meeting between Bibi and Defense Minister Yoav Gallant, also from the ruling Likud Party, who has voiced increasing concern that the looming judicial reform would threaten Israel’s national security, particularly as more and more army reservists are refusing to show up for training.
That never happened. While he talked about healing divisions, a defiant Netanyahu came out and said he will proceed to push through the reform, which, among other things, would give the government an automatic majority on appointing Supreme Court judges. This came just a day after the Knesset, Israel’s parliament, passed a bill blocking the attorney general from declaring Netanyahu unfit for office due to a conflict of interest over his ongoing legal woes and his bid to dilute the power of the judiciary. In response, the attorney general released a letter Friday saying Netanyahu's involvement in judicial reform is "illegal," suggesting a much-dreaded constitutional crisis may have begun.
Two things to look out for in the days ahead: First, what does Defense Minister Gallant do next? If he threatens to – or does – resign, it could set off subsequent defections and be a game changer. Second, how do the markets respond? Indeed, markets rallied Thursday before Bibi’s address in hopes that the government was set to backtrack on the reforms that are spooking investors, but the shekel value slumped after the speech.
US strikes Iranian-backed group in Syria
The US confirmed Thursday that it had struck an Iranian-backed group in northeastern Syria after a Tehran-aligned militia launched a drone attack against a US base near the province of Hasakah, killing at least one US contractor and injuring another contractor as well as five US troops.
While strikes on US bases in northeastern Syria are not necessarily uncommon, the scale of casualties seen Thursday is quite rare. Indeed, a high-ranking US official recently said that Iran’s Revolutionary Guards Corps, which takes orders directly from the supreme leader, has launched 78 attacks on US positions in Syria since Jan. 2021.
The US Department of Defense, meanwhile, said that the drone used in this attack was of Iranian origin, and that President Joe Biden had given the go ahead for a precision-guided retaliatory strike on an Iranian-backed group that reportedly killed 11 fighters.
Video footage suggests the strike was on Deir Ez-Zor, a province that borders Iraq and contains oil fields. The US still maintains around 900 troops in the country’s northeast after President Donald Trump ordered the withdrawal of roughly 2,000 troops in 2018. It is at least the fourth known attack on Iranian assets in northwestern Syria under the Biden administration.
Iran, for its part, has not commented on the strikes, but the likelihood of increased tensions with the US is only rising.
Lula takes his beef directly to Xi Jinping
“Tell me who you walk with,” the saying goes, “and I’ll tell you who you are.” Well, Brazilian President Luiz Inácio “Lula” da Silva is rolling deep to his upcoming summit with Xi Jinping, taking nearly 250 businesspeople along for the ride. More than a quarter of them are from Brazil’s powerful meat export industry alone.
That tells you everything about the trip’s main focus: trade, trade, and more trade. And why not? It was during Lula’s last stint as president that China displaced the US as Brazil’s largest commercial partner, fueling a historic economic boom as it gobbled up huge quantities of Brazilian meat, soybeans, and iron ore. Nowadays, facing a much tougher economic and political environment, Lula is keen to recapture some of that commercial magic.
But the geopolitical context also matters. Important as China is commercially, the US is Lula’s most important regional security and investment partner, and Washington was Lula’s first trip beyond Latin America as president. As the US-China rivalry deepens, Lula and his dealmaking entourage will need to tread carefully in a world that is splitting apart under their feet.
Hungary is a safe space for Putin
The Hungarian government said Thursday it wouldn’t jail Vladimir Putin if he came to Hungary, despite the International Criminal Court’s recent issuance of an arrest warrant for the Russian president for war crimes.
Budapest’s reasoning was a doozy: While they have signed and ratified the Rome Statute, which created the ICC, they say they haven’t gotten around to incorporating it into Hungarian law yet, so no-can-do on arresting Putin.
It’s all purely hypothetical, as there’s no chance of Putin going to Hungary any time soon. But that’s the point. Hungary’s avowedly “illiberal” PM Viktor Orban has long made clear that he won’t just toe the EU party line on Russia. He’s reluctantly gone along with EU sanctions on Russia, but he’s also said the EU is needlessly expanding and prolonging the war by arming Ukraine – something his government won’t do.
Moscow, for its part, says arresting Putin abroad would be “an act of war.”
India's opposition leader sentenced to prison for defamation
The world’s largest democracy seems to be getting less comfortable with a key tenet of it: free speech.
Rahul Gandhi, a member of the Indian National Congress, the main opposition party, was sentenced on Thursday to two years in prison for “defaming” Prime Minister Narendra Modi. He was also disqualified as a lawmaker by the lower house of parliament. In April 2019, Gandhi referred to the PM — along with two corrupt officials also named Modi and charged with embezzling millions of dollars — as “thieves.”
This is a big deal because Gandhi is Indian political royalty. After all, he's the son, grandson, and great-grandson of prime ministers (his great-grandfather, Jawaharlal Nehru, was India's first PM), and was surely planning to run against Modi for the top job in 2024. What's more, he recently completed a five-month-long march in hopes of reviving the Congress party, which for decades dominated Indian politics but took a beating from the BJP in the last election.
Although his party is appealing the conviction, the stakes are very high for Gandhi due to a provision in India’s election law that disqualifies MPs sentenced to, coincidentally, at least two years in prison for any offense, including defamation. Gandhi turned to Twitter in defiance, tweeting up a storm on Thursday with messages like "Long live the revolution" and quoting Mahatma Gandhi with "truth is my God."
Meanwhile, opposition groups accuse the PM of using the courts to go after his political rivals. Indeed, Gandhi’s sentence comes on the heels of the recent arrest on corruption charges of Manish Sisodia, the head of the AAP, another opposition party that runs the capital, New Delhi. Democratic backsliding indeed.