Tag Archive for: United States

Is the CTBT making a comeback?

US nuclear weapons test in Nevada in 1951

Recent reports that the Obama administration has begun pursuing US Senate approval for ratification of the Comprehensive Test Ban Treaty don’t sound entirely credible. It might be that the administration wants to flag the issue as ‘unfinished business’. A US official suggested as much in a recent speech, observing that the administration was focused on ‘an open dialogue, rather than a timeline, to refamiliarize Senators with the Treaty’. But we’re only a year out from a presidential election. And it would be courting disaster to resubmit the treaty for the Senate’s ‘advice and consent’—it was rejected in 1999—unless the administration was sure it would pass.

Why are constraints on nuclear testing so contentious? Back in the 1980s and 1990s, the debate about testing was especially lively. Advocates of continued testing argued that it contributed to four technical objectives: modernisation of the arsenal, improved safety and security of warheads, stockpile reliability, and a better appreciation of weapons effects. Critics of testing argued that it contributed to the relentless progress in weapons development, harmed the environment, and made proliferation easier for new nuclear weapon states.

Believers can be found on both sides of the argument. And for those people, the decision’s about politics as much as it’s about technical factors. Some think that retaining a right to test retains an important capacity both to signal determination to an adversary and to respond to a sudden technological shift. On the other side of the argument, some say that ratifying the CTBT now signals a renewed commitment to the ageing framework of international arms control.

Do actual tests still matter? True, in the advanced nuclear weapon states computer simulation now allows ‘virtual testing’. But not all nuclear weapon states have equal access to those simulations, nor to the material data upon which they are based—and nor would we want them to. If North Korea could enhance and miniaturise its warheads without further testing, the gains from a test ban would be less clear cut. In short, there’s an irony in steadily-improving simulation techniques: the more they improve and spread, the less valuable a ban on actual tests. It was frequently argued during the 1990s that a CTBT would ‘lock-in’ Western technical advantages in nuclear weapon design, for the simple reason that the US had conducted more nuclear tests than anyone else. That argument’s still true, but weakening as other countries’ simulation models improve.

Today’s advocates of CTBT ratification are especially keen to put to work the global seismic verification system that’s been built since the 1990s. They see this as a solution to the traditional problem of verification that dogged test-ban worries in the 20th century. Then, small nuclear tests were seen as especially problematic. I can remember one suggestion at the time that the CTBT should permit any nuclear detonation which could be safely contained in a sealed above-ground container, for the simple reason that such tests would be exceedingly difficult to detect—unless, of course, they burst the container.

Decoupled tests—in which nuclear devices are detonated within a previously excavated underground cavity—were also of concern. US anxieties on that score go way back to the mid-1960s, when the Americans conducted a series of nuclear and chemical explosions at the Tatum salt dome in Mississippi. Today’s global seismic system probably offers better capabilities against really weak seismic signals, but I’m not sure it’s ever been tested against a country working actively to conceal a nuclear explosion. The North Koreans made few efforts to conceal their tests. And the Indians and Pakistanis wanted to advertise their nuclear status with their 1998 tests.

Australia has long been an advocate of a CTBT, driven in part by its own experience as a nuclear test site for the British program and its consciousness that the Pacific seemed to bear the brunt of the early-US and late-French testing programs. But the CTBT hasn’t featured much in Australian arms control thinking since 1999, when the treaty failed to attract US Senate approval last time around. Not surprisingly, the post 9/11 world has offered a variety of distractions. And meanwhile, the signatories of the treaty have abided by their commitment not to test, so at least some of the benefits of the treaty have been available without having to jump the most difficult hurdles.

Still, the treaty hasn’t yet entered into force. And it won’t do so anytime soon; not until the 44 countries specifically identified in Annex 2 as ‘nuclear-capable’ have all signed and ratified the treaty. Only 36 have done so. Five of the 44—the US, China, Israel, Egypt and Iran—have signed but not ratified. Three—Pakistan, India, and North Korea—haven’t even signed, and it’s possible all three have deliberately chosen to keep open the possibility of a return to testing.

So, are we about to embark on one more crusade to conclude a CTBT? Well, a slow-motion effort certainly seems to be under way in Washington—an effort intended gradually to put the issue back on the agenda. But it’s hard to see much happening soon. And getting the US Senate on board is only one of a number of challenges.

Getting down to business: Jokowi in the US

Silicon Valley from above

It’s been 10 months in the planning, but when Indonesian President Joko Widodo flies to the United States next week the agenda for his 26 October meeting with President Barack Obama will be considerably different from when the country’s previous leader, Susilo Bambang Yudhoyono, visited the White House five years ago.

The two leaders may well touch on the South China Sea and other security issues, but Widodo will be all business—literally. Far from engaging Obama in matters of global, environmental or regional concern, as Yudhoyono liked to do, Widodo will concentrate on ways the US can help rejuvenate Indonesia’s flagging economy.

In fact, foreign affairs adviser Rizal Sukma says he wants to start where he left off when he met the US president for the first time at the Asia Pacific Economic Co-operation (APEC) Summit in Beijing last November, surprisingly him with his single-minded focus on the domestic economy.

Enhancing the US–Indonesia Comprehensive Partnership, which Yudhoyono and Obama signed in 2010, will be pursued by Widodo and his team of seven ministers, given its emphasis on science and technology, and education—two areas he sees as key to future growth.

Widodo particularly wants to explore cooperation in information technology and e-commerce and how US and its major corporations can help Indonesia grow its creative economy, another Yudhoyono initiative, which is expected to contribute to 12% of Indonesia’s total export value this year.

The Americans, for their part, will be looking to see whether Widodo has positive things to say about the recently-signed Trans-Pacific Partnership trade agreement (TPP), although Indonesia’s current priority is a free trade deal with the European Community which his advisers say may provide a shorter route to the TPP.

Widodo is well aware trade liberalisation won’t win him any friends at home, with nationalists and self-interest groups exploiting public apprehension over the ASEAN Economic Community, which comes into force at the end of the year. Rather than being perceived as an opportunity, it’s regarded more as a threat because of Indonesia’s lack of competitiveness.

The president will sign at least US$17.9 billion in new deals at a US Chamber of Commerce investment summit in Washington, swelling to US$36 billion if there’s a last-minute inclusion of Jakarta’s recent agreement in principle to extend the contract of US mining giant Freeport McMoRan Copper & Gold.

The company plans to invest US$18 billion on building a new smelter and transforming its Grasberg mine in Papua from an open pit into the world’s biggest underground operation. But foot-dragging on the extension had gone on for so long a breakthrough had become almost a pre-requisite for Widodo’s US visit.

The president must now amend a regulation under which the Government is only bound to begin contract-renewal negotiations two years before the expiry date—something Freeport can hardly live with and which has led it to delaying the mine conversion until 2018.

US companies contributed $65 billion in new investment in Indonesia between 2004 and 2013, with potential for an additional $61 billion between now and the end of Widodo’s term in 2019. But the challenges are immense, ranging from regulatory uncertainty to poor infrastructure and a shortage of skilled labour.

During his 26–28 October visit, the Indonesian president will sit down with Freeport CEO Richard Adkerson and senior executives of four or five other multinationals, before flying to California’s Silicon Valley for important meetings the Indonesians arranged with Microsoft, Apple and Google.

In a determined effort to revitalise the economy, aides say Widodo is dead-serious about re-focusing the economy away from natural resources and back on to manufacturing, in the same way as president Suharto’s New Order regime did at the end of the oil boom in the early 1980s with textiles, footwear and consumer electronics.

The president now understands that to attract the foreign investment needed to achieve that goal and also help fund a major infrastructure-building programme, he has to dispense with much of the economic nationalism policy he inherited—and initially embraced—from the Yudhoyono Government.

The Government has only recently issued its fourth package of stimulus measures and although they are considered so far to address the low-hanging fruit, policymakers have pledged to liberalise the creative-industry, e-commerce and health sectors to attract more outside investors.

Ministers and close aides say the president has every intention of continuing along the path of deregulation, not only for the next five or six months as US Ambassador Robert Blake suggested at a recent briefing, but until he’s satisfied all the impediments to an improved business climate are gone.

Officials say the normally-reserved Widodo is genuinely ‘enraged’ at the slow progress in clearing out what one calls the ‘thicket of regulations’ standing in the way, including a strange stipulation that overseas-based executives have to obtain temporary work permits to attend meetings in Indonesia.

In finally getting back on the same page as the president, the Manpower Ministry recently told a business gathering it would be retracting that regulation and also amending other contradictory provisions that have imposed limits on work permits and ex-patriot staffing levels.

So far, Widodo has found it to be three steps forward and one step back with ministries piling on the confusion by sending different signals and mixed messages. ‘This is not a flash in a pan thing,’ says one official. ‘He wants a rationalisation of policies and he wants deregulation in the field.’

Bringing in new chief economic minister Darmin Nasution is part of an effort to impose policy discipline on Indonesia’s notoriously uncooperative bureaucracy. That and the extent of deregulation is likely to have a far more far-reaching impact than anything he achieves on his four nights in the US.

Cyber stability: why retaliation won’t deter

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Nuclear deterrence theory is often seen as the go-to solution to cyber instability. After suffering a sequence of alleged Chinese hacks on its corporations and government departments, the US prepared a suite of potential economic sanctions for China in the hope of bringing Xi Jinping to the negotiating table and deterring future attacks. This move came in the wake of public commentary citing the need for a ‘cyber equivalent of a nuclear deterrent’ and a US shift towards a more offensive cyber posture, as seen in the Department of Defences’ April Cyber Strategy that outlines the importance of ‘effective response capabilities to deter an adversary from initiating an attack.’

That language is a clear attempt to apply nuclear deterrence theory to international cyber relations. Deterrence by punishment uses the threat of an unacceptable cost to make an attacker’s perceived reward no longer justifiable. This strategy prevented the Cold War from turning ‘hot’ and some hope this stabilising affect can be brought to bear in cyberspace. The threat of sanctions may have helped facilitate the Sino–US ‘common understanding’ in Washington last month, which has been interpreted as an ‘historic’ shift in relations. This was followed soon after by news that Chinese police recently arrested hackers at the request of the US government. Unfortunately, the Washington agreement lacks tangible enforcement measures and the arrests, likely an attempt to ease tensions in the weeks leading up to Xi’s trip, weren’t the first time China has obliged the US in this way. The lingering threat of US punishment is unlikely to be a successful deterrent in the long-term, with experts expecting hacks to continue unabated. Such attempts to apply nuclear deterrence theory to cyberspace will likely generate no lasting change for three reasons.

First, in order for an adversary to be deterred from taking an unwanted action, the deterring state must be able to identify and articulate the behavioural red line past which the adversary will be punished. The binary nature of nuclear weapons makes this simple. However, it’s far more challenging to establish a threshold for retaliation in cyberspace due to the continuous spectrum of actions possible and absence of a ‘red button’.

This challenge is visible in the US’ current deliberations over how to respond to China’s alleged hacking of the Office of Personnel Management (OPM) in June this year. The former Director of both the CIA and the NSA, Michael Hayden, argued that the OPM breach represented a ‘legitimate foreign intelligence target’. However, other US officials are divided over whether the sheer size of that intrusion changes things. Normative behaviour in cyberspace is still yet to be determined and entrenched so the credibility of a deterrence threat is undermined, as there’s no confidence in what behaviour will or won’t be punished. As The Diplomat’s headline put it: ‘America Can’t Deter What It Can’t Define in Cyberspace’.

Second, low detection levels of the majority of hacks pose another obstacle to deterrence. A threat is only effective if the perpetrator believes they will be caught. This isn’t an issue for nuclear deterrence, thanks to missile trajectory analysis and the limited number of potential culprits. However, high frequency/low intensity cyber intrusions often slip under the radar—35­­-70% of all hacks go undetected. These hacks are individually insignificant, however in aggregate they represent a persistent syphoning of intellectual property and government data through a salami-slicing tactic. So, even if an adversary was convinced of the credibility of a threat, it may fail as a deterrent if they think that they can succeed unnoticed.

Third, the difficulty and desirability of the attribution process undermines deterrent threats. Network technologies weren’t designed with identity in mind, and as a result it’s challenging to determine the specific computer that launched the attack, let alone who was operating that computer. Adversaries aren’t discouraged by a threat if they don’t expect to be identified. For example, ISIS was thought to be responsible for the highly sophisticated hack of TV5 Monde earlier this year, and it’s only recently been discovered that it was in fact the work of a Russian group called APT28. Attribution is a risky business: misinformed retaliation could translate into an attack on an innocent party, the creation of a new enemy and an escalation of conflict.

Moreover, even if a perpetrator could be accurately identified, attributing blame may be a pyrrhic victory. In the rules-based international order, a state may have to expose valuable data resources, detection capabilities or assets in order to prove the guilt of the party on whom they are enacting punishment. Revealing those capacities may compromise ongoing operations and capabilities, resulting in a tactical win but a strategic loss.

Cyber retaliation is all well and good if the end is punishment itself, however if a state is seeking to establish a deterrent, this approach is likely to leave them disappointed. Governments must be cautious of pursuing a policy that’s not only unlikely to work, but also risks escalating tensions and exposing vital intelligence assets. As former Deputy Secretary of Defense William Lynn foreshadowed in 2010, the unique qualities of cyberspace necessitate that cyber deterrence ‘be based more on denying any benefit to attackers than on imposing costs through retaliation.’

Cyber sanctions: find another way forward

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Recent news that the US is considering targeted sanctions against China for economic cyber espionage is unsurprising. However, any sanctions imposed are unlikely to discourage future Chinese cyber espionage, but instead will only serve to burn precious US diplomatic capital in Beijing.

The White House announced in April this year that it would impose sanctions on individuals and corporations who gain a financial or commercial advantage from stolen information, or are involved in cyber espionage that affects critical infrastructure, disrupts major computer networks, or steals intellectual property.. It now appears that the US is preparing to implement sanctions in accordance with the Executive Order. Calls for a response to cyber espionage have become increasingly shrill in Washington DC, particularly from some of the candidates in the large field of presidential hopefuls that have taken a firm anti-China stance. Some suggestions, including proposals to take down China’s Great Firewall, make sanctions the more moderate solution.

Imposing sanctions isn’t an unprecedented move. The US imposed sanctions on North Korea for the Sony hack, and any sanctions of Chinese firms would be just the next step in a long-running US effort to counter Chinese cyber spies. The US has been pursuing Chinese hackers for several years, and has responded in a variety of ways including public denouncements, diplomatic demarches, and symbolically indicting Chinese military personnel. In addition, the release by private cybersecurity companies of detailed information on PLA cyber espionage units has added to the war of words between the two nations on cyber espionage.

The impetus to impose sanctions appears to be driven by frustration that despite previous efforts to ‘name and shame’ China for economic espionage, there’s been little respite. While the breach at the Office of Personnel Management may have encouraged further thinking on the issue, it’s unlikely that any sanctions would be in direct response to this incident. The US has previously made clear that it sees a difference between cyber espionage for commercial ends and such activities for national security intelligence collection purposes, as in the case of the OPM breach.

While not unprecedented, imposing targeted economic sanctions is a bold step, and will likely sate some of the hunger of those demanding a reaction. But it’s likely to cause more harm to the US–China relationship than to stop or slow Chinese cyber espionage. Beyond the usual statements about irresponsible behaviour and its own victimisation, China is likely to respond practically—in contrast to North Korea, the Chinese have the ability to impose costs on the US. US Treasury and Commerce Department officials have reportedly alerted the White House to the many counter-sanctions that China could implement in retaliation. In addition, Chinese president Xi Jinping’s visit to Washington DC this month makes the timing difficult for the Obama administration. Announcing sanctions before the visit risks a high-profile cancellation; doing so after will undermine any gains made during the leader’s dialogue.

The US intends to impose a cost on China for its cyber activity to dissuade them from further theft of US trade secrets, but those who benefit from cyber espionage know that the cost–benefit calculation is still in their favour. They receive the results of their competitor’s research and development at low cost, or use the information to undermine their competitors in other ways for their own financial gain. Attempting to stop cyber espionage by punishing a select few is unlikely to convince the larger whole that the cost–benefit calculation has changed. It will, however, make it more difficult for the US and China to deal with other issues that threaten global stability—such as the South China Sea.

So how should the US respond? Raising the cost is an obvious answer, but sanctions probably aren’t the solution. A more effective approach is to make commercial and propriety information, as well as Government data, more secure. An insurance company wouldn’t pay out if your house was robbed because you built it without doors, and neither should the US threaten a critical global relationship for the sake of those who haven’t properly secured their data. Other suggestions include supplying false information or ‘poisoning the well’. While tried and tested, this requires significant levels of coordination, and ignores the issue that many hacking victims haven’t taken adequate cybersecurity precautions. The US and China have already begun a discussion about norms of behaviour in cyberspace, and more careful application of national power to the problem of cybersecurity would enable this process to achieve a better and sustainable solution than actions that threaten to undermine the bilateral relationship.

Cyber wrap

An American teenager has been sentenced to 11 years in prison

The US Third Circuit Court of Appeals has affirmed the Federal Trade Commission’s (FTA) authority to charge corporations over insufficient levels of cybersecurity. Wyndham Worldwide, the parent company of several hotel chains is being taken to court by the FTA for the company’s alleged failure to protect customers’ personal data, which resulted in more than 600,000 customers having their credit card details stolen between 2008 and 2010. This court ruling marks a significant step towards reaffirming the powers of the FTC, setting legal precedent for cybersecurity liability and raising questions in regards to other large-scale corporate breaches, like those which affected Target in 2013 and eBay last year.

After their well-publicised hack of a Jeep Cherokee, computer security engineers Charlie Miller and Chris Valasek have been hired by Uber. You might recall that the duo exploited the vulnerabilities of Fiat Chrysler’s Uconnect software in order to remotely manipulate the Jeep’s blinkers, navigation, brakes and steering; Jeep responded by recalling 1.4 million vehicles. Miller and Valasek will now be working at Uber’s Advanced Technology Centre in Pittsburgh which is currently researching autonomous car technologies. While questions have been raised over the potential PR motives behind the hiring, this move comes as part of a much broader talent acquisition program which has recently poached more than 100 engineers from different divisions of Google.

The White House is reportedly in the process of crafting a suite of sanctions targeting Chinese firms responsible for corporate cyber espionage. Informed by an executive order made by Obama in April, the US has shortlisted five state-owned and private Chinese firms that steal trade secrets from American companies. Retribution for activities in cyberspace wouldn’t be an unprecedented move, with the US having imposed sanctions on North Korea after the Sony hack in 2014. The discussion is occurring at a politically precarious moment, only weeks before Chinese President Xi Jinping makes his first state visit to Washington. Some are in favour of the move, arguing that it will act as a vital deterrent for future cyberthefts, while other are wary that this could escalate Sino-US tensions and cause economic retaliation. A decision is expected to be reached in the coming weeks, and will undoubtedly impact the outcomes of the visit, with the spokesperson of the Chinese embassy in Washington advocating for ‘enhanced dialogue and cooperation’ between the two parties.

An American teenager has been sentenced to 11 years in prison for supporting Islamic State. Ali Shukri Amin, a 17 year old high school student from Virginia, has been convicted of running an influential pro-ISIS Twitter account with the handle @Amreekiwitness, which accrued more than 4,000 followers. In addition to his social media outreach, Amin raised funds for the terrorist organisation by giving tutorials on how to use the cytpocurrency, Bitcoin. The teen’s jail sentence has sparked debate over whether the government is being overly harsh on those who, while expressing hateful views, possess no capacity to inflict actual harm. However, Amin was also accused of radicalising a fellow teen who proceeded to travel to Syria as a foreign fighter.

Japan’s Internal Affairs and Communications Ministry will execute large-scale simulated cyberattacks in order to prepare for the 2020 Tokyo Olympics and Paralympics. The new National Centre of Incident Readiness and Strategy for Cybersecurity will run drills to anticipate and prevent likely cyberattacks on critical infrastructure and processing systems.  The urgency is fuelled by a lack of public confidence in the government’s cybersecurity following the data breach of the Japan Pension Service earlier this year. Starting in the 2016 financial year, Japan will allocate more than ¥1 billion to the effort, however a shortage of trained cyber security experts remains a critical obstacle.

Cyber wrap

Canadian dollars

The US Department of Commerce announced last week that it’s extended its Internet Assigned Numbers Authority (IANA) contract with the Internet Corporation for Assigned Names and Numbers until 30 September 2016. While originally scheduled for handover this September, the delay in formulating a transition plan has made it necessary to extend US Government involvement in managing the Domain Names System. Comments on the draft IANA transition plan are due by 8 September.

Impact Team, the group that have claimed responsibility for the Ashley Madison hack, carried through with their threat to release a database containing information on 37 million members worldwide. Ashley Madison’s parent company Avid Life Media has now offered a CAD$500,000 reward for information that leads to the prosecution of the hackers. Some scammers are reportedly now targeting Ashley Madison members, fraudulently offering to remove the leaked data from the internet, and using interest in the hack to entice others to visit compromised websites. Sadly, the release of data identifying members of the site has so far allegedly been linked with two suicides in Canada and one in the US.

This week, the Council for Foreign Relations (CFR) released its third Cyber Brief on developing proportionate responses to cyber incidents, penned by Tobias Feakin, the director of ASPI’s International Cyber Policy Centre. The brief proposes a framework that policymakers can use to respond to disruptive or destructive state-sponsored cyber activity in a proportionate, legal, timely and discriminatory manner. It notes that determining attribution is critical to crafting an appropriate response, a point also cited by computer security expert Bruce Schneier as a complicating factor in responding to what he sees as the beginning of a cyber arms race.

Also at CFR, Elaine Korzak has dissected the bilateral agreement signed by Russia and China in May this year. She notes that the agreement, which includes a non-aggression clause, is a continuation of the international initiatives that China and Russia have pursued since 2009, notably their 2011 proposal for a code of conduct in cyberspace.

The theft of personal data from Japan’s Pension Service has prompted the release of a draft Cybersecurity Strategy by the Japanese government this week. The draft of the strategy was released in May, but was revised to expand the scope of the NISC cybersecurity monitoring to include non-core government agencies. Japan’s cybersecurity posture will become increasingly critical as the country hosts major international events in the coming years, notably the 2020 Olympic Games. The strategy calls for greater public–private cooperation including a joint response team that can be activated in cyber emergencies.

And finally, those of you with an evil twin should feel comforted that they won’t be able to use Microsoft’s new facial recognition login feature—Windows Hello—to access your computer. The Australian gathered a group of identical twins and attempted to fool the system into logging in the wrong person. Windows Hello wasn’t fooled once, although it did lock out one genuine user.

Cyber capacity-building through the lens of techno nationalism

Beijing

The Chinese Assistant Foreign Minister, Zheng Zeguang, set the tone for the recent ARF Cyber Workshop in Beijing when he said there should be three priorities for the nations gathered in the room. First, that they should ‘respect each other’ and ‘build political consensus’ on cyber capacity-building. According to Zheng, that’s because Asia–Pacific nations ‘differ and have different requirements’ and that there was a need to ‘accommodate all of those on the basis of mutual respect and the need for common development’. His second point was that the ASEAN Regional Forum should take a ‘pragmatic’ approach to ‘build cyber capacity together’ to include joint research on both software and hardware as well as information sharing, and that nations with greater capabilities should work to build the capacity of those that don’t. Third, this should be done in a way that all ASEAN Regional Forum members can ‘benefit together from the digital economy’.

Many of these themes should be present in the keenly anticipated and snappily titled, ‘ASEAN Regional Forum Work Plan on Security of and in the use of Information and Communications Technologies (ICTs)’, to be released by the ARF. The key purpose of the work plan is to promote a peaceful, secure, open and cooperative cyber environment, and prevent conflict and crises in cyberspace through building confidence between states in the region and capacity building.

Minister Zheng’s comments appear to resonate well with the work plan’s narrative; that the region is approaching the point of an emerging consensus on cyber capacity in the region shouldn’t be underestimated. However, the key to all of this is the interpretation of his three points, and members states’ interpretations will vary wildly depending upon where on the political ideological spectrum they sit. This became evident as the ARF progressed and the key messages emerged from some of the presentations.

The message—that cyber capacity building is going to take place in the Asia–Pacific and the ‘big players’ are getting ready to lead this effort in earnest—was clear and was received in no uncertain terms by all present. This is a positive message, as some presenters went to great pains to point out, the digital divide is still evident in the Asia-Pacific and the gaps between the ‘haves’ and the ‘have-nots’ is growing quickly. Creating some baselines will assist in raising security, stimulate economic growth and lower the potential for miscalculation or misinterpretation.

As a keen listener to the presentations it felt like the Chinese were couching themselves amongst those that were developing in this area, and to a degree this is true. Only 46% of the population has internet access which gives enormous capacity for growth, and China is only beginning to cultivate an innovation culture in this area. But this seems counter to their wish to be considered part of new ‘great power relations’ which would place China on a more level playing field with the US. Rather, the image of a fellow developing nation makes the Chinese less imposing to its smaller neighbours when it offers its cyber capacity building wares. And this could reduce suspicion of their true motives when they offer to build entire networks.

Let’s not kid ourselves that the US will differ much in its approach, despite its claims of an entirely altruistic agenda. Cyber capacity building will be used to re-enforce existing alliances and friendships and strike up new ones. Illustrating how easily the capacity building agenda will become part of the broader contest for strategic influence in the Asia–Pacific.

There are many regional nations regionally who find it hard not to accept China’s assistance in cyber capacity building. That assistance will be delivered through the lens of ‘techno-nationalism’. This part of the discussion from Chinese presenters emphasised the capability of Chinese industry to develop affordable computing for all, and how companies such as Alibaba are driving new innovative business models within China.

This can’t be disputed, but this goes hand in glove with President Xi’s ambitious drive to place China as a major cyber power. Xi’s plan includes nationalising the ICT base of China and creating an environment that pushes China to the forefront of technological advancements and gives its companies a competitive edge over foreign enterprises. It also includes the introduction of draft cyber security legislation which further legislates for content control, allows the Chinese authorities to cut internet access during public security emergencies, and set up alert systems and emergency-response measures. Furthermore, it calls for technology that supports crucial sectors to be ‘secure and controllable’ which lends itself easily to requirements for companies to build in ‘back-doors’ allowing third party access to systems, provide encryption keys or hand over source code.

Nations which are being given capacity building assistance by China will, of course, be presented policy and technical advice flavoured by this kind of techno-nationalism. They’ll need to be conscious of whether it’s the correct approach for them. Developing nations such as Myanmar, Cambodia or Laos who are at the beginning of the ICT development journey are already being wooed by all sides. They must think carefully about the kind of cyber ‘blueprint’ they want to develop.

 

The Iran nuclear deal: a diplomatic marvel

The Azadi Tower, literally the Tower of Freedom, is a symbol of Tehran.

Acquiring nuclear weapons is a difficult, costly and prolonged process. It’s also dangerous because adversaries will be tempted to strike before you succeed. States that embark on this path do so for what they consider to be utterly compelling national interests and are correspondingly reluctant to accept the sort of constraints that will restore confidence among other states that the interest in nuclear weapons has indeed been reliably quashed. This makes them among the most difficult issues to resolve through negotiations. Factoring in the extraordinary hostility between the US and Iran makes the 159-page agreement announced earlier this week almost unbelievable, a diplomatic marvel.

True marvels, however, are pretty scarce. What this agreement really signifies is that, behind all the belligerent posturing, a stronger mutual desire to change the status quo than either side is prepared to acknowledge eventually emerged. In other words, the key players eventually looked beyond their own to the core interests of others and took into account what other parties needed to sell the deal domestically.

Indications of Iranian interest in nuclear weapons reach back to the 1990s. The US endeavoured to make this an international issue but was blocked by Russian and Chinese opposition and, in the absence of a ‘smoking gun’, a lack of interest on the part of its allies and friends. Everyone was aware of the implacable hostility between Washington and Tehran since the Iranian revolution including, of course, the sacking of the US embassy and keeping American personnel hostage for over a year. Both sides remained vigilant to opportunities to damage the others’ interests. And since Iran was central to every political equation in the Middle East—Israel, Palestine, the Sunni–Shia and Arab–Aryan divides—the cumulative cost of this undeclared war has almost certainly been quite formidable.

The smoking gun appeared in 2003. Iran was a party of long standing to the NPT but was exposed as operating an undeclared uranium enrichment facility. The political atmosphere was intensified by the coincident US-led regime change in neighbouring Iraq (publicly justified by suspicions of WMD acquisition) and the breaking open, also in 2003, of the black market nuclear proliferation network operated by Pakistan’s AQ Khan, including the fact that Iran had been a major customer. Washington has since led the effort to dissuade Iran from joining the nuclear club.

The nuclear deal must still survive scrutiny on its merits. I believe it does so. The detailed agreement appears to fulfil the aspirational targets set out in April in respect of stockpiles of low enriched uranium, the capacity to add to this stockpile, the alternative plutonium pathway to bomb fuel and, above all, the inspection regime that Iran must live with over the coming decades. Once the IAEA confirms that Iran has established the baseline conditions specified in the agreement regarding uranium stockpiles and operational enrichment centrifuges, action will be taken in the UN Security Council to lift the current economic sanctions imposed on Iran. The agreement also provides for such sanctions to ‘snap back’ should Iran violate any of its terms.

When Iran was caught red-handed in 2003, it brazenly insisted that it had no case to answer because its nuclear activities were consistent with its intention to build and support a civilian nuclear power industry. Failing to disclose an enrichment plant may have been a technical breach, but in substance everything it was doing, and had done, was compliant with its rights and obligations under the NPT. There were indications that Iran set about erasing all evidence of an interest in nuclear weapons—including a large building in Tehran, and the topsoil on which it stood, that vanished without trace in the space of a few days.

In 2007, a US intelligence report concluded that Iran did appear to have shut down every activity associated with an active nuclear weapons program. For more than a decade, Iran rejected absolutely any suggestion that it would have to accept special restrictions on its nuclear activities and meet demands for an unusually high degree of transparency in order to rebuild confidence in its integrity. Negotiations stalemated repeatedly as Iran’s nuclear competencies grew, and as reminders that the use of force remained an option grew more frequent.

That pivotal stumbling block gradually fell away over the past couple of years. Iran ultimately conceded arrangements that are indisputably special (and subtly acknowledge that it had dabbled with a nuclear weapons program in the past) but at the same time protected the principle that it was entitled, under the NPT, to have a (safeguarded) uranium enrichment capacity.

Whether this agreement (assuming it gets up in Tehran and Washington) will also allow the US and Iran to begin to dilute the poisonous relationship that they have sustained since 1979 is an open question. It’s entirely possible that the nuclear deal involved ‘understandings’ to this effect that will be tested over the months and years.

It’s difficult to be genuinely optimistic since they embrace things like its stance on Israel, and its attitude toward its predominantly Sunni neighbours where Tehran has sustained a highly confrontational record that has taxed American ingenuity and resources. But the nuclear deal will certainly shift the ground under these issues and positive outcomes, beyond the deal itself, cannot be excluded.

Iran: a better deal needed

President Barack Obama walks down the Cross Hall with Vice President Joe Biden after he delivers a statement on the Iran nuclear agreement in the East Room of the White House, July 14, 2015. (Official White House Photo by Chuck Kennedy)

At the heart of the international effort to stop Iran from developing nuclear weapons has been the knowledge and understanding that Iran is a dangerous, expansionist rogue country and a leading state sponsor of terrorism that must be prevented from obtaining even the capability to produce the world’s most dangerous weapons.

The newly unveiled Iran nuclear agreement represents an historic mistake for the simple reason that it has traded—and even the deal’s crafters admit this—at best a temporary delay in Iran’s drive towards nuclear weapons for permanent international legitimisation of Iran’s nuclear program. It will also lead to a supercharging of Iran’s economy and conventional military capabilities and a removal of all penalties for Iran’s global terror activities, past and present.

This agreement lavishly rewards Iran for embarking on its illegal nuclear program, changes the balance of power strongly towards the Iranian bloc, and promotes Iranian hegemony in the Middle East despite the fact that its expansionist international agenda and repressive domestic policies persist.

This is a concern shared not only by Israel, threatened by Iranian proxies on its Gaza and Lebanese borders, but other countries in the region. Indeed, we can see Iran’s ‘handiwork’ throughout the Middle East; whether through support of the murderous Assad regime in Syria, Shiite interests in Iraq or the Houthis in Yemen—and all this happening even under sanctions. Such Iranian terror sponsorship and military intervention is certain to increase exponentially from the $150 billion windfall that Teheran is expected to reap from the lifting of sanctions as a result of this agreement.

When and why did the global objective to stop Iran acquiring nuclear weapons get downgraded to stop building a nuclear bomb for only the next 10–15 years? Alarmingly, this agreement paves the way for Tehran to develop a nuclear weapons capability whether it follows the terms of the deal or not. If Iran decides to violate the deal in a selective and piecemeal fashion—not improbable given its track record of cheating—the contrived, ‘managed’ inspection scheme combined with vague, tardy compliance mechanisms, will make it extremely difficult to hold Iran accountable.

Western demands during negotiations for ‘anywhere, anytime’ inspections have been diluted in the final agreement to ‘sometime, someplace’ inspections that Iran will find easy to avoid. It’ll take at least 24 days to force Iran to agree to a ‘snap’ inspection!

Meanwhile, the highly-touted ‘snap-back sanctions’ feature of the agreement that the US insisted would keep Iran wary of any violations has been exposed as a toothless gimmick. Not only would it not apply retroactively to contracts signed between now and the time the sanction is reimposed, but a UN Security Council resolution draft on the agreement being written with full US support would nullify all previous UN sanctions on Iran in 10 years—regardless of Iran’s actions. To put it succinctly, after 10 years, it appears there will be no sanctions to ‘snap back’ to.

In terms of infrastructure, nothing is permanently scaled back, no nuclear sites shut down, and nothing actually dismantled yet Iran can advance certain aspects of their program. Significantly, any curbs on Iran’s research and development of faster centrifuges are temporary. This means that breakout time to the enriched material for a bomb once the agreement concludes would almost certainly be measured in days or weeks, not months. Alarmingly, the deal places no restrictions on Iran’s intercontinental ballistic missile program—useful only as a delivery system for a nuclear warhead, and nothing else.

The end of the arms embargo of Iran will touch off a conventional arms race between Iran and the Gulf Sunni states, while Saudi Arabia has already vowed to procure nuclear weapons if Iran succeeds in developing them. Proponents argue it’s the best possible deal that could be achieved claiming that there was no alternative, except war. Yet President Obama and Secretary of State Kerry previously said that having no deal would be preferable to a bad deal. They are now in effect arguing that any deal by which Iran agrees to limit its nuclear activity in any way is by definition a ‘good deal’ because it is better than war or Iran simply ‘racing’ to a bomb.

In fact, no deal would have been infinitely better than the bad deal delivered. And good diplomatic deals are possible as President George W. Bush’s agreement leading to the total dismantling of Libya’s elaborate nuclear infrastructure in 2003 demonstrates. And one must recall that Iran did pause its nuclear activity in 2003 soon after the US invasion of Iraq. Yet with the credibility of a US military strike reduced as a result of President Obama’s view—well understood in the region—that military action would be even worse than Iran’s eventual acquisition of a nuclear capability, the potential dividends of coercive diplomacy have been squandered.

Indeed, simply renewing indefinitely the Geneva 2013 interim nuclear deal would have been preferable, because it would have kept the sanctions and arms embargo in place, maintaining pressure on Iran over time to abandon its costly nuclear program.

In Washington, all the Republican presidential contenders and informed Democratic and Republican lawmakers are trenchantly exposing the inherent flaws in this deal. Congress has the power to demand the White House strikes a better agreement by overriding a promised presidential veto and prevent the removal of sanctions that this deeply dangerous agreement depends upon.

These rightly troubled US lawmakers have an uphill battle to mobilise enough Congressional support to insist the White House renegotiates a better agreement that will help secure, rather than destabilise, regional and global affairs.

The Iran deal: the view from Washington and Tehran

 Iran’s Majles

Last week, negotiators attempted a final push for a nuclear agreement with Iran. While points of disagreement remained, both sides haven’t walked away from the negotiations. But what happens once both sides agree to a deal?

Before both parties begin implementing the agreement, Republicans in the US Congress will jump at the chance to kill the deal. They don’t want a ‘bad deal’—and according to them, the one the administration has been negotiating is just that. They aim to kill a deal by blocking the lift of congressional sanctions—essential to incentivise Iran to continue the implementation of its commitments.

In May, the US Congress passed legislation that ensures congressional oversight on an agreement on Iran’s nuclear programme. While Republicans tried to insert some controversial amendments, the final piece of legislation actually makes blocking the agreement difficult.

After the P5+1 and Iran announce the final agreement, the US delegation will need to fill in the blanks, annexes, associated certifications and final paperwork before it’s submitted to Congress. Had they reached an agreement by 9 July, Congress would have had 30 days to review it. But when the negotiators blew past yet another deadline last week, they resigned themselves to a 60-day review period.

What does this mean?

The additional 30-day review period allows Republicans to take the President on after the August congressional recess. Opponents of the agreement will need at least 13 Democratic votes in the Senate to build a veto-proof majority. Last Thursday, Republicans were focusing their efforts on a number of lawmakers, including undecided Democrats waiting to hear what was in the final agreement. But even if opponents could somehow manage to get a resolution expressing their disapproval, President Obama could still veto it.

Obama needs 34 votes in the Senate to sustain his veto—far from impossible. It’s worth noting that Senator Tom Cotton (R-Ark.), a fierce critic of Obama’s foreign policy, and known for his letter to the Iranian leadership a few months back, was the only senator to vote against the Iran review bill this Spring. According to him, the bill gives the ‘illusion of oversight without oversight’. It forces Congress to gather enough votes to prevent a veto, rather than requiring Obama to attract enough votes (67) to approve the agreement, like with a formal treaty. Under the bill, lawmakers can vote on a resolution of approval or disapproval. If Congress approves the deal or takes no action, implementation begins under the schedule that the pact will set. If they pass a resolution of disapproval, which is then vetoed by Obama, they will have up to another 22 days to override the veto with a two-thirds majority.

Needless to say, Congressional opposition to a deal may be vocal but it won’t kill a deal. What they can do however, is prevent Obama from permanently lifting US sanctions and create a wedge between the US and its allies in the P5+1.

Opposition to a deal isn’t limited to US Congress. Iran’s Majles (parliament) has its own hardliners too.

In June, Majles passed its own legislation, 213 to 10. The bill, which was subsequently approved by the Council of Guardians, forbids foreign access to its military, security, sensitive non-nuclear facilities and its nuclear scientists. It demands that all sanctions be lifted immediately, and gives Majles the right to ratify the Additional Protocol on wider inspections.

Interestingly, the bill effectively curtails parliament’s ability to veto a deal. While the original outline requires Majles to review it, the amended version submits the final agreement to the oversight of the Supreme National Security Council (SNSC), under Supreme Leader Ali Khamenei’s influence. Given Khamenei’s cautious support of the negotiators, it’s unlikely the SNSC will veto a final agreement. In a recent interview with the Bulletin of the Atomic Scientists, Majid Takht-Ravanchi, Deputy Foreign Minister and a lead Iranian negotiator, outlined that the bill required the Foreign Ministry to update the Majles on the progress of implementation every six months. This stems from parliament’s desire to be included in the negotiation and implementation process.

The immediate post-deal context won’t be easy to navigate. It’ll require both sides to engage in a great deal of campaigning about the merits of a final deal with Iran to convince domestic hardliners. But despite their vocal opposition, it’s unlikely the US Congress and Iranian parliament will actually derail the process.