Geopolitics Unplugged

Summary:IN this episode, we discuss the April 28, 2025 blackout across Spain and Portugal, analyzing its causes, impacts, and lessons learned for the global energy transition. We highlight how a rapid loss of solar generation in a grid with low inertia and limited storage and interconnections led to the massive outage, impacting millions of people and causing significant economic losses. We emphasize the technical challenges posed by the low energy and power density of renewables and argue for investments in grid modernization, storage, dispatchable backups, and enhanced interconnections to ensure grid resilience and balance renewable integration with reliability. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this episode, we collectively analyze the ongoing conflict in Yemen, focusing on the U.S.-led air campaign against the Houthi movement and its limited effectiveness in stopping Houthi attacks. We highlight the economic disparity of the conflict, where costly U.S. munitions are used against inexpensive Houthi drones, and explore the significant global economic impact of Houthi attacks on Red Sea shipping. We also consider the potential necessity and significant risks of a ground operation to counter the resilient Houthis and discuss realistic timelines for suppressing Houthi capabilities and achieving long-term stability in Yemen. Ultimately, we suggest that airstrikes alone are insufficient and emphasize the need for a multifaceted strategy incorporating diplomacy, support for local forces, and addressing the humanitarian crisis to avoid a protracted conflict. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this episode, we discuss the immense challenges associated with the Trump administration's 2025 goal of negotiating dozens of bilateral trade agreements simultaneously within a 90-day period. The key difficulties identified include a severe shortage of qualified staff at the U.S. Trade Representative (USTR), the technical complexity of each agreement requiring specialized expertise and data analysis, and the staggering man-hours necessary for preparation, negotiation, and implementation. We also highlight logistical hurdles like coordinating across time zones and managing stakeholder input, drawing lessons from past negotiations like the USMCA and EU-Mercosur talks which took significantly longer with fewer partners. Mitigating these challenges will require strategic prioritization of key allies, technological advancements, and a significant expansion of USTR capacity. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this episode we extensively examine Belarus's multifaceted situation following a potential resolution to the Ukraine-Russia conflict. We analyze the political ramifications for Lukashenko's regime and the opposition, considering Russia's influence and domestic pressures. We also explore the economic challenges stemming from Belarus's dependence on Russia and Western sanctions, along with potential shifts in trade and investment. Furthermore, we investigate the social dynamics, including public sentiment, cultural identity, and migration. Finally, we assess the military and international relations landscape, focusing on Belarus's alliance with Russia and its strained ties with the West. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this episode, we examine whether countries like China and Japan could use their holdings of U.S. Treasury debt as leverage against potential American tariffs. We consider the risks and potential consequences of such financial weaponization for both the United States and the debt-holding nations, including impacts on bond markets, currency values, and broader economic stability. While theoretically possible, we suggest that the U.S. financial system's resilience and the potential for self-harm make this strategy less appealing than alternative economic or geopolitical responses, like supply chain manipulation or shifting trade alliances. Ultimately, we explore the complex interplay between trade policy, financial power, and the limitations of economic coercion in the current global landscape. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this episode, we extensively cover the ongoing and complex trade relationship between the United States and India, particularly focusing on India's strong interest in securing a comprehensive trade agreement. India is urgently pursuing this deal due to rising global trade volatility and US protectionist policies, aiming to protect its economic interests and strengthen its geopolitical standing. We highlight key obstacles in negotiations, including disagreements over tariffs, non-tariff barriers like agricultural subsidies and data localization, and intellectual property rights. Furthermore, we examine the economic and geopolitical motivations behind India's eagerness for the agreement, along with the potential benefits and risks for both nations should the negotiations succeed or fail. Finally, we analyze the technical and political challenges inherent in reaching a consensus within the current global trade environment. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this episode, we outline a significant downturn in the U.S. shale industry in 2025, marked by low oil and gas prices stemming from oversupply and new trade tariffs. This situation is squeezing producer profits as break-even costs exceed market prices, leading to a production slowdown with reduced drilling and capped wells. A mismatch between shale crude and refinery capacity is also keeping gasoline prices high despite lower crude costs. These factors collectively threaten a future supply crunch and potential price spikes, negatively impacting the U.S. trade deficit and broader economy. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this episode we thoroughly examine the critical distinction between mining and refining metals, particularly in the context of the United States and China. We highlight China's dominant position in the energy-intensive, water-heavy, and environmentally impactful refining stage of critical minerals essential for modern technologies. We detail the regulatory, economic, and public sentiment factors contributing to the U.S.'s reluctance to significantly engage in domestic refining. Consequently, the U.S. relies heavily on China for processed metals, creating geopolitical and economic interdependencies. We also explore the resource intensity and environmental consequences of refining, contrasting them with mining operations. Finally, we discuss the strategic implications of this global division of labor and potential pathways for the U.S. to enhance its refining capabilities or secure stable supply chains. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this episode, we extensively compare SWIFT, the established global financial messaging network, with CIPS, China's burgeoning cross-border payment system, analyzing their historical development, technical capabilities, advantages, and disadvantages. We explore SWIFT's dominance, reach, and reliability alongside its vulnerabilities to geopolitical influence and technological limitations. Conversely, we examine CIPS's potential as a sanctions-resistant alternative, its role in promoting the RMB, its modern features, and the constraints hindering its global expansion, ultimately considering whether CIPS can evolve into a significant rival to SWIFT in the future financial landscape. The analysis incorporates economic, technological, and geopolitical factors influencing the trajectory of both systems. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this article, we describe the escalating crisis in Somalia, where the Al-Qaeda-affiliated group Al Shabaab is gaining significant territory and threatens to overtake the capital, Mogadishu. This situation is compared to the Taliban's takeover of Afghanistan but is argued to be potentially more dangerous due to Somalia's strategic coastal location, Al Shabaab's ties to global terror networks and financial strength, and its alliances with groups like the Houthis and potentially Iran and Russia. We analyze the unique characteristics of Al Shabaab compared to the Taliban, Al Qaeda, and ISIS, highlighting its potential as a long-term global threat. Finally, we discuss implications for the United States and explore policy options for the Trump administration to address the looming crisis and prevent the establishment of a new terror epicenter. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this episode, we analyze tariff disparities in global trade, highlighting how the United States faces higher tariffs on its exports compared to what it imposes. We focus on Trump's 2025 tariff strategy as a "shock intervention" aimed at addressing these imbalances and forcing trade partners into negotiations. We discuss the potential effectiveness and consequences of this approach, including possible retaliation and its impact on the U.S. and global economies. Ultimately, we examine whether these tariffs represent a temporary tool for achieving fairer trade or a step towards damaging protectionism. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:South Sudan faces renewed instability following the detention of Vice President Riek Machar, accused of plotting a rebellion against President Salva Kiir. This action threatens the already fragile 2018 peace agreement and risks a resurgence of civil war, potentially mobilizing Machar's supporters and exacerbating ethnic tensions. Regionally, neighboring countries like Uganda and Sudan face increased instability and refugee flows, while critical oil pipelines are at risk. Internationally, the UN and AU are pushing for mediation, the US is demanding Machar's release, and global powers like China and Russia have their own strategic and economic interests in the unfolding crisis. The situation could have lasting consequences for power-sharing agreements and regional stability, testing the effectiveness of international diplomatic efforts. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this episode, we detail President Trump's 2025 strategy to pressure Venezuela through escalating economic sanctions. This includes an order for global oil companies to cease terminal operations, aiming to halt Venezuelan oil exports. Furthermore, the strategy introduces secondary tariffs on nations buying Venezuelan oil and expands direct sanctions beyond the oil sector, targeting finance, gold, and individuals. We analyze the potential for regime change in Venezuela alongside the broader implications for global energy markets, U.S. foreign policy, and the humanitarian crisis within Venezuela. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this episode, we examine how President Trump's administration is proposing significant fines on containerships built in China that call at U.S. ports, aiming to revitalize the struggling American shipbuilding industry and address national security concerns regarding reliance on Chinese-built vessels. This policy is sparking widespread alarm within the maritime industry, with warnings of potential business failures, substantial cost increases for shippers, and significant disruptions to global supply chains. The fines are intended to counter China's dominance in shipbuilding, fueled by state subsidies, but critics argue the U.S. lacks the capacity to meet demand and the retroactive nature of the fines unfairly punishes past investments. Industry stakeholders are urging alternative solutions like subsidies for U.S. shipyards and a phased implementation to avoid catastrophic economic consequences. We explore the policy's rationale, potential costs, industry reactions, and possible ramifications for both domestic and international trade. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe

Summary:In this episode, we describe Guam's crucial role as a U.S. military hub in the Indo-Pacific and the growing threat it faces from North Korea's evolving missile capabilities as of March 2025. We highlight Guam's strategic assets, such as air and naval bases, and the ongoing efforts to enhance its missile defense systems. We also examine North Korea's motivations for targeting Guam, including its proximity and symbolic value, and the potential for escalation in the region due to this dynamic. Furthermore, we consider the implications for Guam's residents and the broader geopolitical challenges arising from this strategic confrontation. Get full access to GeopoliticsUnplugged Substack at geopoliticsunplugged.substack.com/subscribe