Turkey has one foot in Europe and one in Asia, and it plays every geoppolitical end against the middle. From Tom Luongo at tomluongo.me:
This year’s BRICS Summit was a big show. No question. The main event was provided by Turkish President cum Dictator Recep Tayyip Erdogan.
Erdogan wants to a a “T” to the acronym, making them the BRICTS.
Erdogan also made it very clear Turkey’s shift away from the West will proceed faster if the bullying and marginalization continue. For months now, Turkey has struggled with a crashing Lira and sovereign bond market.
The poster child for the unfolding sovereign debt crisis.
The Trump Administration knows that Turkey is slipping from its grasp. Do you ever wonder why certain countries’ currencies get trashed when others with worse balance sheets or balance of trade don’t?
You should. Because asking that simple question will lead you to asking “Why X? Why Now?”
And in Turkey’s case it is for many reasons:
- Turkey was key in assisting Iran resist pre-JCPOA sanctions by laundering Iranian oil sales in physical gold through Turkish banks.
- Turkey is highly dependent on foreign energy imports and is one of Iran’s largest customers.
- To alleviate this foreign-energy dependence Turkey, through Russia, are building nuclear power plants and the Turkish Stream pipeline.
- Turkish Stream will provide Russian Gas from Gazprom at an effective discount since most of its capacity is targeted for European destinations and Turkey will likely get transit fees for that gas offsetting some of the costs of the gas they buy from Gazprom.
- Turkey refuses to comply with Trump’s edict to not buy Iranian oil in November.
- Turkey is buying S-400 missile defense systems from Russia
- The U.S. blocked the sale of F-35s to Turkey as a retaliatory measure. Given the F-35’s cost/benefit ratio, I’d say Turkey wins on that front as well.
- Turkey’s occupation of Northern Syria was a blocking move to keep the U.S. from moving West to Afrin and uniting the Kurdish cantons.
I could go on, you get the point.
To continue reading: Turkey is Getting off the U.S. Reservation