WEBVTT - America’s Limits, Iran’s Leverage, Pakistan’s Moment: Maleeha Lodhi on a Shifting Order

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news.

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<v Speaker 2>Certainly the Middle East has changed forever. We are looking

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<v Speaker 2>at a very different world, not just because of the war,

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<v Speaker 2>but because the war has reinforced certain trends that were

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<v Speaker 2>already in play.

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<v Speaker 1>Mali Ha Lothi, who's been one of Pakistan's top diplomats,

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<v Speaker 1>on power shifts and the role her country's playing.

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<v Speaker 2>It shows the advent and the importance of middle parts

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<v Speaker 2>that are now able to shape geopolitics.

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<v Speaker 3>So Pakistan, by playing this role of mediation, has established

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<v Speaker 3>itself as a middle par which has the capacity to influence,

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<v Speaker 3>if not shape, international politics.

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<v Speaker 1>From Blue Weekend, This is the Michelle Hussein Show. I'm

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<v Speaker 1>Michelle Hussein. After nearly six weeks of war, these last

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<v Speaker 1>few days have brought a moment of pivot, or at

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<v Speaker 1>least a potential one, as the United States and Iran

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<v Speaker 1>agreed to talk. The diplomacy that made it possible was

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<v Speaker 1>not led by one of the big powers or the

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<v Speaker 1>UN or Oman which mediated before, but by Pakistan. How

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<v Speaker 1>and why did that happen? What's the background to the

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<v Speaker 1>Islamabad summit and is there a reshaping of relationships under

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<v Speaker 1>way that we should all pay attention to As I

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<v Speaker 1>thought about these questions in recent days, the person I

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<v Speaker 1>wanted to hear answering them is a woman who was

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<v Speaker 1>Pakistan's ambassador to Washing twice and who also served her

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<v Speaker 1>country as ambassador in London and at the UN Before that.

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<v Speaker 1>Malihlothi was a newspaper editor, and as it happens, I

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<v Speaker 1>once interned for her way back as my very first

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<v Speaker 1>taste of journalism. At that time, I would barely have

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<v Speaker 1>had the courage to speak directly to her. She was

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<v Speaker 1>not Anna Winter, but she was exacting. In this conversation,

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<v Speaker 1>you'll hear her look beyond this crisis and beyond the

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<v Speaker 1>Middle East and South Asia, with observations on the United

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<v Speaker 1>States and also on where she differs with her own

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<v Speaker 1>country's leadership. Our starting point was how Pakistan's role as

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<v Speaker 1>a peace broker came about.

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<v Speaker 2>I think Pakistan's military and civilian leaders were both working

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<v Speaker 2>the fams. Pakistan's army chief in particular, was on the

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<v Speaker 2>line to Washington at all times from what I hear,

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<v Speaker 2>especially in the last couple of days just before the

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<v Speaker 2>agreement was forged, and of course Pakistan's prime ministers on

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<v Speaker 2>the phone to the Iranian leadership constantly, and I think

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<v Speaker 2>the main thing that I understood was they never really

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<v Speaker 2>gave up, even when the situation looked very bleak, especially

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<v Speaker 2>when President Trump began to say what he said, and

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<v Speaker 2>I don't want to repeat all the things he said,

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<v Speaker 2>but at that time it wasn't clear whether you know,

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<v Speaker 2>that was just bluster or that was you know, statements

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<v Speaker 2>that would so offend the Iranians that they were just

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<v Speaker 2>call off everything.

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<v Speaker 1>You mean, the words about ending a civilization, Yes, this

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<v Speaker 1>kind of rhetoric. And did you in that period also

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<v Speaker 1>think how is this going to bear fruit? That this

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<v Speaker 1>situation is so extreme?

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<v Speaker 2>Well, yes, I think there was a point at which

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<v Speaker 2>it seemed that even the progress that we were learning

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<v Speaker 2>from Pakistani officials that was being made seemed to be

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<v Speaker 2>in jeopardy. So I thought that, you know, when President

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<v Speaker 2>Trump began to sound so frustrated and angry, actually I thought,

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<v Speaker 2>this is it, and the US will never agree to

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<v Speaker 2>the terms that the Iranians conveyed at the end. You know,

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<v Speaker 2>the famous ten points, the famous now because everybody knows

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<v Speaker 2>about them, because you know, initially the Americans rejected them

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<v Speaker 2>and said we don't accept them. But then as we've seen,

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<v Speaker 2>both sides actually walked back from their maximilist positions. Iran

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<v Speaker 2>did and so did the US.

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<v Speaker 1>And before we get to those points, I still want

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<v Speaker 1>to explore the relationships that Pakistan has both with the

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<v Speaker 1>United States, which you've seen in your own career over

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<v Speaker 1>multiple cycles, and with Iran. So, first of all, on

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<v Speaker 1>the US is the key to this personal relationship between

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<v Speaker 1>Phil Marshal Arsimonir and President Trump And how on earth

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<v Speaker 1>was that bond formed?

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<v Speaker 2>Well, very wet. So I think this personal relationship between

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<v Speaker 2>the two which really came about very early in President

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<v Speaker 2>Trump's second term, and it really started with the first

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<v Speaker 2>sort of early win that in a way Pakistan handed

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<v Speaker 2>it to him when it arrested and then extradited the

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<v Speaker 2>terrorist who was responsible for the bombing in Kabul during

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<v Speaker 2>the American evacuation from Afghanistan. I mean, I think President

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<v Speaker 2>Trump was so taken in by this gesture, by this action,

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<v Speaker 2>that he chose to mention this in his first address

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<v Speaker 2>to Congress, and then during the conflict between India and

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<v Speaker 2>Pakistan once that conflict was over and Trump played a

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<v Speaker 2>role in diffusing it. Pakistan, of course, you know by

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<v Speaker 2>a sidari leaders I should say, you know, kept saying

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<v Speaker 2>how grateful they were to President Trump, and then of

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<v Speaker 2>course announcing Nobel Peace Prize for him, which I personally

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<v Speaker 2>was a critic of. I wrote against it, I tweated

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<v Speaker 2>against him, and I said, why are we giving a

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<v Speaker 2>Nobel Peace prize to a man who has not exactly

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<v Speaker 2>been promoting peace around the world. But it seemed to

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<v Speaker 2>do the trick, and Trump became even closer to the

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<v Speaker 2>Pakistani leadership, particularly of course to Field Marshall, aarsimonyir.

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<v Speaker 1>That level of flattery, even of sequousness, some would say,

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<v Speaker 1>made many Pakistanis uncomfortable.

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<v Speaker 2>Well, yes, absolutely, because remember President Trump he'd attacked Iran

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<v Speaker 2>along with Israel around that time, on a little later

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<v Speaker 2>than that time, so clearly there was questioning about that decision.

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<v Speaker 2>But I think beyond that announcement of the Nobel Peace Prize,

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<v Speaker 2>there were also these sweetheart business deals that Pakistani leaders

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<v Speaker 2>were offering Trump. And in addition to that, Pakistan's offer

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<v Speaker 2>to open up the country for mining for critical minerals,

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<v Speaker 2>which they knew was really very high up on Trump's

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<v Speaker 2>agenda given the fact that the US had fallen behind China.

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<v Speaker 2>So I mean, I think if you put all of

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<v Speaker 2>that together, that went into the relationship that you know,

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<v Speaker 2>then helped Pakistan emerge as the mediator.

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<v Speaker 1>And let's talk about the other side of them, the

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<v Speaker 1>relationship between Pakistan and Iran, which has also been complex

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<v Speaker 1>at times, including relatively recently in twenty twenty four, when

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<v Speaker 1>the two countries were striking each other towards Iran's east

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<v Speaker 1>and Pakistan's west and saying that there were terrorists hideouts

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<v Speaker 1>on each other's soil.

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<v Speaker 2>Yes, Michelle, you're absolutely right. The relationship with Iran has

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<v Speaker 2>been you know, up and down for the last couple

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<v Speaker 2>of decades, but also because of what you mentioned, the

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<v Speaker 2>exchange of missile strikes, with both countries accusing the other

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<v Speaker 2>of giving a safe haven, albeit unintentionally, to militants that

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<v Speaker 2>had threatened their security. So it really was after these

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<v Speaker 2>missile strikes when the two countries decided to mend fences

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<v Speaker 2>that I think the new relationship began to take shape.

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<v Speaker 2>And that's when we saw the two engaging very closely,

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<v Speaker 2>visitors coming to Pakistan from Iran, and then I think,

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<v Speaker 2>even more significantly, the way Pakistan stood in solidarity with

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<v Speaker 2>Iran last year when there was a joint Israeli American

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<v Speaker 2>attack actually to Israeli attack, and then the Americans joined

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<v Speaker 2>in the bombing. You would recall at that time, Pakistan,

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<v Speaker 2>I think, amongst all the Muslim countries, are probably the

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<v Speaker 2>most outspoken in expressing its solidarity with Iran, for which

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<v Speaker 2>Iranian leaders were very, very publicly grateful. And then that

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<v Speaker 2>was followed by a stream of Iranian visitors to Pakistan,

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<v Speaker 2>including mister Larajani, who was of course later assassinated. He

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<v Speaker 2>came to Pakistan, others came to Pakistan, so you could

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<v Speaker 2>see that the relationship was, you know, being strengthened by

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<v Speaker 2>all these visits and interactions, and you know, ultimately I

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<v Speaker 2>think the search for a mediator whom both countries could

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<v Speaker 2>have confidence in there really wasn't any other country. I mean,

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<v Speaker 2>the Arab country were ruled out. Oman had had their

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<v Speaker 2>fingers burnt, so Oman couldn't re emerge or didn't want to,

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<v Speaker 2>and then there was only really Pakistan and Turkey left.

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<v Speaker 2>And I think Pakistan, because of the personal factor, Turkey

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<v Speaker 2>didn't enjoy that sort of closeness with the Trump administration

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<v Speaker 2>that in Marshall, we needed it.

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<v Speaker 1>There's also been a bit of tighter walking hasn't there

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<v Speaker 1>for Pakistan in this period, in that it you know,

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<v Speaker 1>condoled over the killing of the Supreme Leader and also

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<v Speaker 1>said to Iran that its attacks on the Gulf were regrettable.

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<v Speaker 1>I do also want to ask you about Pakistan's self

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<v Speaker 1>interest in this because in this last month, how badly

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<v Speaker 1>has the country been affected by the energy disruption? What

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<v Speaker 1>have you seen play out around you in Islamabad.

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<v Speaker 2>Look, this was very high stakes for Pakistan because of

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<v Speaker 2>the economic pain that Pakistan had begun to feel already

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<v Speaker 2>and could see that a protracted conflict would bring even

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<v Speaker 2>more economic pain. So although Pakistan didn't get into rationing

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<v Speaker 2>of oil, you didn't see cues at petrol pumps in

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<v Speaker 2>the capital or elsewhere, but you did see the spike

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<v Speaker 2>in the oil price. The government had to raise the

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<v Speaker 2>price of oil, and of course the government announced a

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<v Speaker 2>series of austerity measures because it wanted to conserve fuel.

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<v Speaker 2>Remember that Pakistan imports almost ninety percent of its oil

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<v Speaker 2>requirements from the Gulf countries. So again, if the conflict

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<v Speaker 2>had prolonged, the economic damage at a time, and when

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<v Speaker 2>Pakistani economy in any case, it's very fragile, very weak

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<v Speaker 2>within an IMF program. I mean it would have blown

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<v Speaker 2>our economy. Of course, if the war had continued.

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<v Speaker 1>And schools have been closed. It has been too expensive

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<v Speaker 1>for some people to get to work, so they've been

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<v Speaker 1>all kinds of hardships of that kind. What it means

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<v Speaker 1>for people's incomes. Let's talk then about this ten or

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<v Speaker 1>fifteen point plan. Iran is going into these talks with

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<v Speaker 1>very ambitious, some would say outlandish demands, and at the

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<v Speaker 1>same time President Trump is saying the military objectives have

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<v Speaker 1>been met. Well.

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<v Speaker 2>Right now, both sides have a narrative which says that

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<v Speaker 2>they've achieved their objectives, that they are they've been victorious.

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<v Speaker 2>Both sides are saying that. But I think both sides

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<v Speaker 2>know that their demands or conditions or terms for these

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<v Speaker 2>negotiations are maximalist. So the question, and I think it's

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<v Speaker 2>hard to answer that question right now, is whether they

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<v Speaker 2>can find sufficient common ground. Because you know, Michelle, they

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<v Speaker 2>did find common ground when Oman was mediating, as the

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<v Speaker 2>Omani's foreign minister has said so many times, they were

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<v Speaker 2>close to a deal at that time, and then suddenly,

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<v Speaker 2>in the midst of negotiations, America decided to join Israel

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<v Speaker 2>and attacking Iran, so that part perhaps can be sort

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<v Speaker 2>of in a way, you know, they can go back

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<v Speaker 2>to that kind of an agreement. But the additionality is

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<v Speaker 2>provided by the Strait of Hormus because that now becomes

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<v Speaker 2>central to the negotiations. And there you can see the

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<v Speaker 2>positions are very far apart the Americans. I mean, President

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<v Speaker 2>President keeps changing his mind every few hours. If I

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<v Speaker 2>say it, he said this last time, it may change

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<v Speaker 2>in the next two days. I mean, I can't guarantee that,

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<v Speaker 2>but you know, he's saying he'd like to work with

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<v Speaker 2>it on to regulate or operate the Strait of hormones.

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<v Speaker 2>The Iranians are probably aghast at having to work with anybody,

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<v Speaker 2>but they're prepared to work with Alan. But they're saying,

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<v Speaker 2>we're going to charge fees now. I mean, this has

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<v Speaker 2>been a free ride, and we're going to charge fees

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<v Speaker 2>for whatever maritime traffic takes place through the strait. So

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<v Speaker 2>I think, you know, again maximilist positions. We don't know

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<v Speaker 2>the kind of agreement they'll reach because this now will

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<v Speaker 2>become very central to a comprehensive settlement.

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<v Speaker 1>We don't know how what kind of agreement they'll reach

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<v Speaker 1>or its chances of being anything lasting. I mean one thing,

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<v Speaker 1>for example, where we know there's a difference is on Lebanon.

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<v Speaker 1>Pakistan's Prime Minister Shabastarif saying Lebanon, the Israeli war in

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<v Speaker 1>Lebanon is part of this, and Israel saying very clearly that.

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<v Speaker 2>It is not well. I think the bigger question is

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<v Speaker 2>whether Israel will sabotage the agreement, this ceasefire, So Lebanon

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<v Speaker 2>is only part of it. I mean, the major part

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<v Speaker 2>is it concerns the cease fire between the United States

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<v Speaker 2>and Iran. So if they were to sabotage it and

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<v Speaker 2>place spoiler in that by continuing attacks on Iran and

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<v Speaker 2>then sort of exposing Trump's inability if he's unable, that is,

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<v Speaker 2>or unwilling to constrain and restrain Israel, then we're looking

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<v Speaker 2>at a very complex and challenging situation. So I think

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<v Speaker 2>the key lies in Trump showing that he can restrain

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<v Speaker 2>it and yahoo he can control and contain Israel. That

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<v Speaker 2>is the big sort of question, I think, and we

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<v Speaker 2>don't have an answer to that yet.

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<v Speaker 1>So even though there are many unknowns in this, what

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<v Speaker 1>does your gut instinct tell you about the chances of

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<v Speaker 1>this process in Islamabad leading to something that averts a

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<v Speaker 1>return to war, or even just bring some stuff ability

0:15:00.560 --> 0:15:01.640
<v Speaker 1>to the global economy.

0:15:02.600 --> 0:15:05.120
<v Speaker 2>But I'd like to be optimistic, and my optimism, I

0:15:05.160 --> 0:15:09.440
<v Speaker 2>think rests on firm ground because both sides know that

0:15:09.520 --> 0:15:14.000
<v Speaker 2>there is more economic pain for everyone, including themselves, if

0:15:14.080 --> 0:15:18.160
<v Speaker 2>there was a relapse into fighting. Both sides are in

0:15:18.160 --> 0:15:21.040
<v Speaker 2>a position right now to sort of proclaim that we've

0:15:21.080 --> 0:15:24.120
<v Speaker 2>achieved our objectives. They may not be able to do

0:15:24.200 --> 0:15:28.480
<v Speaker 2>that if there is again a recurrence of war. So

0:15:29.000 --> 0:15:32.360
<v Speaker 2>you know, that provides a strong incentive to both sides

0:15:32.800 --> 0:15:36.800
<v Speaker 2>to try to hammer out a deal. So, you know,

0:15:36.960 --> 0:15:42.360
<v Speaker 2>I hope my optimism pays off in the sense that,

0:15:42.480 --> 0:15:44.040
<v Speaker 2>you know, I hope they're able to arrive at a

0:15:44.040 --> 0:15:47.600
<v Speaker 2>settlement because they can't keep going to war every seven months.

0:15:48.000 --> 0:15:50.560
<v Speaker 2>I mean, they can, but I think the costs of

0:15:50.640 --> 0:15:52.240
<v Speaker 2>piling up have been piling up.

0:15:53.040 --> 0:15:56.720
<v Speaker 1>But also, Iran has really discovered its power, hasn't it.

0:15:56.720 --> 0:15:59.200
<v Speaker 1>Perhaps it always knew that its powers there and it's

0:15:59.240 --> 0:16:02.960
<v Speaker 1>everyone else who discovered it. But that dimension, the Strait

0:16:03.000 --> 0:16:07.520
<v Speaker 1>of Hormus, this uniquely placed part of the world, appears

0:16:07.520 --> 0:16:11.600
<v Speaker 1>to have been a dimension that the Americans did not fullesee,

0:16:11.680 --> 0:16:13.040
<v Speaker 1>did not think through at all.

0:16:13.840 --> 0:16:17.480
<v Speaker 2>Yes, absolutely, I think the Americans made several miscalculations, and

0:16:17.520 --> 0:16:20.200
<v Speaker 2>this was one of them. The other big mess calculation,

0:16:20.360 --> 0:16:23.160
<v Speaker 2>as you know, was the thought that the Iranians would simply,

0:16:23.200 --> 0:16:26.560
<v Speaker 2>you know, once their leaders had been decapitated or assassinated,

0:16:27.080 --> 0:16:31.280
<v Speaker 2>that the Iranian regime would just collapse. Didn't happen. So,

0:16:31.520 --> 0:16:35.000
<v Speaker 2>I mean there were a series of miscalculations, including the

0:16:35.040 --> 0:16:39.400
<v Speaker 2>fact that the Iranians would get so much leverage by

0:16:39.400 --> 0:16:44.480
<v Speaker 2>controlling the strait of hormones. So you know. But ultimately

0:16:44.520 --> 0:16:48.520
<v Speaker 2>and fundamentally, and I've written about this, the US historically

0:16:49.200 --> 0:16:53.440
<v Speaker 2>underestimates the power of nationalism. It's done that throughout history.

0:16:54.080 --> 0:16:57.440
<v Speaker 2>Did that in Vietnam, did that in Afghanistan, did that

0:16:57.480 --> 0:17:00.560
<v Speaker 2>in Iraq, and now did this in Iran. They really

0:17:00.600 --> 0:17:04.400
<v Speaker 2>thought that by attacking Iran, the people of Iran, the dissidents,

0:17:04.680 --> 0:17:09.160
<v Speaker 2>those who opposed the regime, will rise. You know, war

0:17:09.240 --> 0:17:13.320
<v Speaker 2>has the opposite effect. People close ranks, they forget the

0:17:13.400 --> 0:17:18.040
<v Speaker 2>internal differences. They come together because the strong force of

0:17:18.119 --> 0:17:23.200
<v Speaker 2>nationalism is what motivates them to become a more unified nation.

0:17:23.320 --> 0:17:26.280
<v Speaker 2>And that's exactly what happened. I mean even in Afhanistan.

0:17:26.280 --> 0:17:29.199
<v Speaker 2>I mean, Taliban weren't exactly the most popular people in

0:17:29.240 --> 0:17:35.000
<v Speaker 2>that country, and yet twenty years they managed to well,

0:17:35.080 --> 0:17:38.159
<v Speaker 2>if not defeat the United States, but prevent them from winning.

0:17:38.640 --> 0:17:41.480
<v Speaker 1>Is that what you hope that the United States learns

0:17:41.960 --> 0:17:46.520
<v Speaker 1>this time? Because you've worked with successive American administrations. You

0:17:46.560 --> 0:17:49.600
<v Speaker 1>were in the United States as Pakistan's ambassad whre nine

0:17:49.640 --> 0:17:51.560
<v Speaker 1>to eleven took place, which meant that you were there

0:17:51.760 --> 0:17:57.000
<v Speaker 1>when the Afghanistan engagement began, and that drew Pakistan into

0:17:57.040 --> 0:18:00.439
<v Speaker 1>the US military and political orbit for many years, and

0:18:00.480 --> 0:18:02.800
<v Speaker 1>you would also have seen the start of what became

0:18:02.840 --> 0:18:03.439
<v Speaker 1>the build up to.

0:18:03.440 --> 0:18:06.520
<v Speaker 2>War in Iraq. Yes, you're right, I was there in Washington,

0:18:06.560 --> 0:18:08.560
<v Speaker 2>and I remember the early days after nine to eleven.

0:18:08.600 --> 0:18:13.920
<v Speaker 2>Of course, it was a tremendously horrific tragedy that befell America,

0:18:14.000 --> 0:18:18.520
<v Speaker 2>no question about that. But what my country's officials privately

0:18:18.520 --> 0:18:20.680
<v Speaker 2>told the Americans at that time in those early days

0:18:21.520 --> 0:18:26.040
<v Speaker 2>was that don't go and occupy Afhanistan. We understand you

0:18:26.080 --> 0:18:28.600
<v Speaker 2>want to take some kind of military action, but it

0:18:28.640 --> 0:18:31.399
<v Speaker 2>should be, in the words of the then president, short

0:18:31.440 --> 0:18:34.920
<v Speaker 2>and surgical. So he even said at that time, don't

0:18:34.960 --> 0:18:39.000
<v Speaker 2>become an army of occupation. Why, because you know, we

0:18:39.080 --> 0:18:42.679
<v Speaker 2>have experience in this region, and we know that people

0:18:42.680 --> 0:18:47.320
<v Speaker 2>will resist an outsider, they will resist foreign occupation, and

0:18:47.359 --> 0:18:50.800
<v Speaker 2>that's exactly what happened. Now, whether the US learns this lesson,

0:18:51.320 --> 0:18:54.240
<v Speaker 2>and it's such a paradox because here is a country

0:18:54.440 --> 0:18:58.200
<v Speaker 2>where I've spent many years as a diplomat, which really

0:18:58.359 --> 0:19:02.600
<v Speaker 2>sort of takes pride in its own country, where people

0:19:02.680 --> 0:19:06.320
<v Speaker 2>are sort of flag waving, patriotic, sort of you know

0:19:06.440 --> 0:19:09.159
<v Speaker 2>what stories put on all of that, and yet they

0:19:09.240 --> 0:19:13.000
<v Speaker 2>don't understand that other countries have people who are equally

0:19:13.000 --> 0:19:17.000
<v Speaker 2>proud of their country and nationalists they want to protect

0:19:17.000 --> 0:19:31.920
<v Speaker 2>their country.

0:19:34.720 --> 0:19:36.240
<v Speaker 1>I do want to ask you to look a bit

0:19:36.320 --> 0:19:40.560
<v Speaker 1>further and whether you think this moment will mark the

0:19:40.600 --> 0:19:46.080
<v Speaker 1>start of a different world order where America has learned

0:19:46.160 --> 0:19:48.880
<v Speaker 1>that it can start wars, but they can spin out

0:19:48.880 --> 0:19:53.240
<v Speaker 1>of control and it can't control the economic fallout, and

0:19:53.280 --> 0:19:58.800
<v Speaker 1>where other regional dynamics and alliances shift as a result.

0:19:59.520 --> 0:20:01.600
<v Speaker 2>I mean hope that the lesson learned would be that

0:20:01.680 --> 0:20:08.199
<v Speaker 2>military supremacy doesn't achieve the outcome that is desired. I

0:20:08.240 --> 0:20:11.720
<v Speaker 2>think the world in any case is moving towards a

0:20:11.720 --> 0:20:15.480
<v Speaker 2>more multipolar world, if I can put it that way,

0:20:16.560 --> 0:20:22.440
<v Speaker 2>and that US dominance is fading, has been fading. I mean,

0:20:22.880 --> 0:20:26.159
<v Speaker 2>the combined military might of the United States and Israel

0:20:26.880 --> 0:20:30.880
<v Speaker 2>took on a country that was militarily much much weaker,

0:20:31.600 --> 0:20:34.800
<v Speaker 2>whose allies in the region had also been weakened, and

0:20:34.880 --> 0:20:38.440
<v Speaker 2>yet that country resisted. Now what does that say. What

0:20:38.480 --> 0:20:42.159
<v Speaker 2>that says is that America's dominance, and the error of

0:20:42.200 --> 0:20:47.200
<v Speaker 2>americans dominance in the region is basically over. It also shows,

0:20:47.720 --> 0:20:50.840
<v Speaker 2>I mean, in the case of my country and the

0:20:50.920 --> 0:20:55.720
<v Speaker 2>role Pakistan played, it shows the advent and the importance

0:20:56.040 --> 0:21:00.000
<v Speaker 2>of middle paths that are now able to shape geopolitics.

0:21:00.720 --> 0:21:05.560
<v Speaker 2>So Pakistan, by playing this role of mediation, has established

0:21:05.560 --> 0:21:10.040
<v Speaker 2>itself as a middle power which has the capacity to influence,

0:21:10.359 --> 0:21:14.440
<v Speaker 2>if not shape, international politics.

0:21:15.040 --> 0:21:19.320
<v Speaker 1>Is a loser in that though perhaps democracy in Pakistan

0:21:19.520 --> 0:21:21.840
<v Speaker 1>in that the key player that we see in all

0:21:21.880 --> 0:21:25.600
<v Speaker 1>of this is an unelected army officer.

0:21:26.240 --> 0:21:29.600
<v Speaker 2>Welcome to Pakistan. That's where we've beamed for a lot

0:21:29.640 --> 0:21:33.280
<v Speaker 2>of our history. And yes, I mean we have in

0:21:33.320 --> 0:21:36.800
<v Speaker 2>place a hybrid government, which means that parer is shared

0:21:37.480 --> 0:21:40.040
<v Speaker 2>between civilians and the military. And in this particular case,

0:21:40.640 --> 0:21:44.880
<v Speaker 2>it was the military that was, you know, conducting much

0:21:44.880 --> 0:21:46.760
<v Speaker 2>of the diplomacy. I mean, you can't say that the

0:21:46.800 --> 0:21:49.159
<v Speaker 2>Prime Minister wasn't involved. Of course he was. So the

0:21:49.160 --> 0:21:52.720
<v Speaker 2>civilians were also, of course involved, but the driving force

0:21:53.800 --> 0:21:58.000
<v Speaker 2>was the Field Marshal and the military. That's the nature

0:21:58.040 --> 0:21:59.760
<v Speaker 2>of politics and government in Pakistan.

0:22:00.680 --> 0:22:03.320
<v Speaker 1>When you say you believe the era of American dominance

0:22:03.440 --> 0:22:07.280
<v Speaker 1>is over, just explain how you see that playing out

0:22:07.359 --> 0:22:09.399
<v Speaker 1>in the Middle East. Because President Trump is saying he

0:22:09.480 --> 0:22:12.760
<v Speaker 1>thinks that this could be the Golden age of the

0:22:12.760 --> 0:22:15.800
<v Speaker 1>Middle East, and America has all these bases in the region,

0:22:16.560 --> 0:22:19.520
<v Speaker 1>what happens do you think in the long run or

0:22:19.520 --> 0:22:23.720
<v Speaker 1>maybe even the medium term to those bases in the Gulf.

0:22:24.840 --> 0:22:26.720
<v Speaker 2>Look, I mean when I say that the era of

0:22:26.800 --> 0:22:29.480
<v Speaker 2>American dominance is over, I think they will be rethinking

0:22:29.520 --> 0:22:32.520
<v Speaker 2>in the US about you know, what is the point

0:22:32.520 --> 0:22:36.159
<v Speaker 2>of having thousands and thousands of US troops based in

0:22:36.200 --> 0:22:40.600
<v Speaker 2>the region when they can't on their own determine what

0:22:40.720 --> 0:22:44.760
<v Speaker 2>happens in the region. They can't shape the Middle East

0:22:44.960 --> 0:22:48.840
<v Speaker 2>the way they wanted to even before. I mean Iraq

0:22:49.000 --> 0:22:51.959
<v Speaker 2>is something that you mentioned before. I mean, what did

0:22:51.960 --> 0:22:54.560
<v Speaker 2>they do there? So I mean, it's been a process.

0:22:54.680 --> 0:22:57.399
<v Speaker 2>It's not as if this war has brought it about.

0:22:58.119 --> 0:23:02.120
<v Speaker 2>A process was already underway that US dominance over the work,

0:23:02.160 --> 0:23:05.560
<v Speaker 2>actually not just the region, was beginning to be replaced

0:23:05.680 --> 0:23:10.320
<v Speaker 2>by the fact that power was being dispersed amongst many

0:23:11.119 --> 0:23:15.560
<v Speaker 2>in different places, not just one country being able to,

0:23:15.680 --> 0:23:18.600
<v Speaker 2>you know, get the outcomes that it wanted. It could

0:23:18.600 --> 0:23:21.280
<v Speaker 2>only get the outcomes that it wanted in cooperation with

0:23:21.320 --> 0:23:24.560
<v Speaker 2>other countries, something that President Trump clearly doesn't believe in.

0:23:25.119 --> 0:23:27.280
<v Speaker 2>So he decided to action ilaterally or I mean, of

0:23:27.359 --> 0:23:30.720
<v Speaker 2>course he had a co partner in Israel, never consulted

0:23:30.720 --> 0:23:33.679
<v Speaker 2>his allies. So I think, you know, we're looking at

0:23:33.720 --> 0:23:36.400
<v Speaker 2>a very different world, not just because of the war,

0:23:36.840 --> 0:23:40.240
<v Speaker 2>but because the war has reinforced certain trends that were

0:23:40.280 --> 0:23:41.160
<v Speaker 2>already in play.

0:23:42.640 --> 0:23:44.320
<v Speaker 1>But if there is one winner in all of this,

0:23:44.400 --> 0:23:47.199
<v Speaker 1>would you say it was China? And to what extent

0:23:47.240 --> 0:23:50.800
<v Speaker 1>do you believe it has been involved in bringing the

0:23:50.920 --> 0:23:51.639
<v Speaker 1>summit about?

0:23:52.840 --> 0:23:54.760
<v Speaker 2>Well, I think, I mean, there are reports that the

0:23:54.880 --> 0:24:01.080
<v Speaker 2>Chinese eventually persuaded Iran, and they also played a role

0:24:01.520 --> 0:24:04.439
<v Speaker 2>visibly communication with the United States. I have no idea

0:24:04.680 --> 0:24:08.359
<v Speaker 2>about the veracity of these reports, but certainly when you

0:24:08.400 --> 0:24:12.359
<v Speaker 2>say China is a beneficiary, yes, I think one could

0:24:12.359 --> 0:24:16.280
<v Speaker 2>say that because what this entire episode has shown and

0:24:16.400 --> 0:24:22.320
<v Speaker 2>highlighted is that America has an unstable leader who conducts

0:24:23.080 --> 0:24:28.119
<v Speaker 2>unilatural policies and acts unilaterally. But China, on the other hand,

0:24:28.480 --> 0:24:31.080
<v Speaker 2>is a force for stability in the world, and that's

0:24:31.080 --> 0:24:33.879
<v Speaker 2>how they project themselves also, but it also happens to

0:24:33.960 --> 0:24:37.560
<v Speaker 2>be true. I mean, more countries have trading agreements now

0:24:37.560 --> 0:24:40.840
<v Speaker 2>with China. China is a bigger trading partner of most

0:24:40.880 --> 0:24:43.520
<v Speaker 2>countries in the world. I mean I say that absolutely,

0:24:43.560 --> 0:24:47.920
<v Speaker 2>It's absolutely accurate. The EU's largest trading partner is China.

0:24:48.960 --> 0:24:53.080
<v Speaker 2>Many Asian countries' largest trading partner is China. India's largest

0:24:53.119 --> 0:24:56.840
<v Speaker 2>trading partner is not the United States, it's China. So

0:24:56.920 --> 0:24:59.679
<v Speaker 2>what does that say. It's what it says is that

0:24:59.800 --> 0:25:03.480
<v Speaker 2>China is a force for peace, cooperation and stability. But

0:25:03.600 --> 0:25:06.440
<v Speaker 2>as the US is being run by a man who

0:25:06.480 --> 0:25:10.360
<v Speaker 2>conducts himself in such a whimsical manner and who has

0:25:10.440 --> 0:25:13.919
<v Speaker 2>disrupted so much in the world global trade, and of

0:25:13.920 --> 0:25:17.200
<v Speaker 2>course has been engaged in this in this war of choice.

0:25:17.840 --> 0:25:19.320
<v Speaker 2>So the contrast is stunning.

0:25:20.840 --> 0:25:24.960
<v Speaker 1>Painter picture then of the Gulf and South Asia. Say

0:25:25.200 --> 0:25:29.440
<v Speaker 1>in three years time, I'm going to pick that timeframe.

0:25:30.480 --> 0:25:32.240
<v Speaker 1>Do you think it is going to be a more

0:25:32.520 --> 0:25:37.320
<v Speaker 1>settled place or do you think what has been unleashed

0:25:37.520 --> 0:25:41.840
<v Speaker 1>this kind of instability is two amense for the situation

0:25:42.040 --> 0:25:44.119
<v Speaker 1>to go back in the box that was in at

0:25:44.119 --> 0:25:44.880
<v Speaker 1>the start of the year.

0:25:45.800 --> 0:25:48.800
<v Speaker 2>Well, certainly the Middle East has changed forever. It will

0:25:48.840 --> 0:25:53.160
<v Speaker 2>not be statusco anti at all. Things are not going

0:25:53.160 --> 0:25:55.439
<v Speaker 2>to go back to what they were before, that's for sure.

0:25:56.080 --> 0:25:59.439
<v Speaker 2>Now what comes in its place, it depends on I

0:25:59.440 --> 0:26:03.800
<v Speaker 2>think real alignments that will take place, reassessments that many

0:26:04.240 --> 0:26:06.800
<v Speaker 2>Gulf countries may have to carry out. I mean, what

0:26:06.840 --> 0:26:09.040
<v Speaker 2>happened to them. So many of them are feeling abandoned

0:26:09.040 --> 0:26:13.280
<v Speaker 2>by the United States. Many feel that this American security umbrella,

0:26:13.880 --> 0:26:15.919
<v Speaker 2>when the push came to show it was of no

0:26:16.040 --> 0:26:20.040
<v Speaker 2>value to them because America didn't defend them. America defended Israel,

0:26:20.720 --> 0:26:24.800
<v Speaker 2>and Israel always has the priority over them. So you know,

0:26:25.040 --> 0:26:28.000
<v Speaker 2>a lot of the dynamics in the years to come

0:26:28.040 --> 0:26:33.560
<v Speaker 2>will be shaped by these kinds of assessments and calculations.

0:26:34.200 --> 0:26:37.560
<v Speaker 2>But certainly we're not going to be in for a

0:26:37.600 --> 0:26:42.480
<v Speaker 2>period of immediate stability. I think that one can conclude,

0:26:42.760 --> 0:26:44.920
<v Speaker 2>but it will be a period where the US will

0:26:45.119 --> 0:26:49.720
<v Speaker 2>increasingly withdraw, which is what Trump had said in the

0:26:49.720 --> 0:26:52.840
<v Speaker 2>first place in his national security strategy. And then who

0:26:52.880 --> 0:26:56.359
<v Speaker 2>fills that power vacuum will depend on the realignments that

0:26:56.440 --> 0:26:57.359
<v Speaker 2>will take shape here.

0:26:58.040 --> 0:27:01.480
<v Speaker 1>You talked about this being a moment for the Middle Powers.

0:27:02.000 --> 0:27:07.040
<v Speaker 1>From the Indian perspective, the strategy has never been for

0:27:07.160 --> 0:27:13.640
<v Speaker 1>Pakistan to be in that category of Middle powers, whereas

0:27:13.680 --> 0:27:17.000
<v Speaker 1>actually in the last few weeks we have seen Saudi

0:27:17.040 --> 0:27:20.240
<v Speaker 1>Arabia working on this, We've seen Turkey working on this.

0:27:20.440 --> 0:27:24.520
<v Speaker 1>In Pakistan's Prime Minister as thanked Katar and Egypt as well.

0:27:25.160 --> 0:27:26.719
<v Speaker 1>Where do you think this leaves India.

0:27:27.359 --> 0:27:29.159
<v Speaker 2>I think right now on the wrong side of history.

0:27:30.119 --> 0:27:32.840
<v Speaker 2>They just lined up with the wrong countries. They broke

0:27:32.880 --> 0:27:36.440
<v Speaker 2>from their traditional position of support for the Palestinians. As

0:27:36.440 --> 0:27:41.680
<v Speaker 2>I said, they lined up with Israel and supported Israel,

0:27:42.880 --> 0:27:45.720
<v Speaker 2>whereas they had a good relationship with Itran, they had

0:27:45.760 --> 0:27:48.880
<v Speaker 2>cooperation on trade with it on. All of that went

0:27:48.920 --> 0:27:52.199
<v Speaker 2>for a six when the Indians decided or the ore

0:27:52.240 --> 0:27:55.360
<v Speaker 2>the Prime Minister Modi's government, who came under a lot

0:27:55.359 --> 0:27:58.960
<v Speaker 2>of domestic political fire from the opposition who said, why

0:27:58.960 --> 0:28:04.080
<v Speaker 2>are you India's well known, well established foreign pancy, which

0:28:04.119 --> 0:28:06.600
<v Speaker 2>is what he did. He actually did a tramp on India,

0:28:07.040 --> 0:28:13.160
<v Speaker 2>completely reversed and upended many of India's traditional alignments. So

0:28:13.240 --> 0:28:17.840
<v Speaker 2>I mean they've been sidelined by all this. Now, whether

0:28:17.880 --> 0:28:20.160
<v Speaker 2>that leads to a reassessment by India, I don't know.

0:28:20.960 --> 0:28:24.119
<v Speaker 2>But I think for Pakistan it is very important because

0:28:24.160 --> 0:28:27.679
<v Speaker 2>in a way it helps Pakistan to extricate itself, if

0:28:27.680 --> 0:28:29.879
<v Speaker 2>I could put it that way, not that it physically

0:28:29.880 --> 0:28:34.520
<v Speaker 2>can extricate itself, but at least diplomatically extricate itself from

0:28:34.520 --> 0:28:38.640
<v Speaker 2>South Asia and become a player on a much bigger canvas,

0:28:38.960 --> 0:28:41.320
<v Speaker 2>which is the Middle East. I mean, not that it's new.

0:28:41.480 --> 0:28:44.120
<v Speaker 2>It has played this role before, but it had in

0:28:44.160 --> 0:28:48.520
<v Speaker 2>recent years become rather more focused, let's say, on India

0:28:48.520 --> 0:28:52.200
<v Speaker 2>and its eastern border rather than the western, rather than

0:28:52.240 --> 0:28:53.240
<v Speaker 2>on the western frontier.

0:28:53.520 --> 0:28:56.239
<v Speaker 1>In the complexities of Pakistan in the Middle East, the

0:28:56.280 --> 0:28:59.160
<v Speaker 1>Prime Minister of Farkistan being on the board of peace

0:29:00.080 --> 0:29:02.960
<v Speaker 1>an organization, if one can call it that, which it's

0:29:03.000 --> 0:29:05.440
<v Speaker 1>perfectly clear President Trump would like to be an alternative

0:29:05.480 --> 0:29:10.480
<v Speaker 1>to the UN. How does that square with having principles

0:29:10.840 --> 0:29:17.120
<v Speaker 1>on peace and stability and supporting long established international organizations.

0:29:17.360 --> 0:29:20.440
<v Speaker 2>I was a critic of Pakistan joining the Board of Peace,

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<v Speaker 2>So you know, when you ask me that question, you

0:29:23.400 --> 0:29:27.720
<v Speaker 2>are sort of asking somebody who's already there saying my

0:29:27.800 --> 0:29:31.680
<v Speaker 2>country shouldn't have lined up on that because it was

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<v Speaker 2>so unclear what President Trump really wanted. He wanted to

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<v Speaker 2>legitimize his Middle East plan for Gaza, and I didn't

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<v Speaker 2>think that Pakistan should be a party to that. But

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<v Speaker 2>it seems that President Trump got board of the Board

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<v Speaker 2>of Peace, and I mean it's tragic that the Palestinians

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<v Speaker 2>and their issue has been again, you know, overshadowed, sidelined

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<v Speaker 2>by this war that was imposed on Iran.

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<v Speaker 1>Before we let you go, a final question related to

0:30:02.640 --> 0:30:06.080
<v Speaker 1>your long experience as a diplomat, if you could give

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<v Speaker 1>advice to the people who are presumably going to be

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<v Speaker 1>face to face with each other in a very high

0:30:11.640 --> 0:30:13.920
<v Speaker 1>stakes encounter, what would you say.

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<v Speaker 2>I would say what we used to say a lot

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<v Speaker 2>at the UN, which is you have to think of

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<v Speaker 2>the other's concern as much as you push your own interests,

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<v Speaker 2>and therefore the need to show flexibility so that common

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<v Speaker 2>ground can be found, otherwise we can't have any agreement.

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<v Speaker 1>Willie Hellodi, thank you very much. It's a pleasure, and

0:30:43.720 --> 0:30:47.320
<v Speaker 1>that's where we left the conversation. Thanks as ever to

0:30:47.400 --> 0:30:51.480
<v Speaker 1>the team producers Jessica Beck and Chris Martlu, video producer

0:30:51.520 --> 0:30:56.720
<v Speaker 1>Andy Hayward, executive producer Louisa Lewis. This week Bart Walshaw,

0:30:56.880 --> 0:31:01.520
<v Speaker 1>composer of our music, also did our audio bick. Alex

0:31:01.560 --> 0:31:05.320
<v Speaker 1>Morgan looks after. Social media production assistance is by Jennifer

0:31:05.360 --> 0:31:09.440
<v Speaker 1>Seeley and at Bloomberg Weekend. Thanks to Brendan Francis Newnham

0:31:09.680 --> 0:31:13.920
<v Speaker 1>and our executive editor Catherine Bell. As a reminder to

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<v Speaker 1>you all, our email Michelle Show at Bloomberg dot net

0:31:18.400 --> 0:31:22.040
<v Speaker 1>and you can expect a reply until next time.

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<v Speaker 3>Goodbye,