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Regional response to Gaza war jeopardizes Israeli economic hegemony

  • By Al Mayadeen English
  • Source: Mondoweiss
  • 6 May 2024 15:46
7 Min Read

Regional blockades against "Israel" have dealt a significant blow to plans for a critical Israeli transportation hub, marking a major setback for the project.

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  • Regional response to Gaza war jeopardizes Israeli economic hegemony
    From left, Turkish Transport Minister Abdulkadir UraloÄŸlu, UAE Energy Minister Suhail Mohamed al-Mazrouei, President Recep Tayyip ErdoÄŸan, Iraqi Prime Minister Mohammed S. Al Sudani, Qatari Minister of Transport Jassim bin Saif bin Ahmed al-Sulaiti and Iraq's Transport Minister Razzaq Muhaibas al-Saadawi applaud during their meeting for the signing of the Development Road framework agreement on security, economy and development, Baghdad, Iraq, April 22, 2024. (AFP)

"Israel's" ambitions to become the central transportation hub in the Middle East have been thwarted by the ongoing maritime and land blockade aimed at halting the ongoing Israeli genocide in Gaza, according to an analysis by Ahmed Alqarout, a contributor to Mondoweiss.

The regional blockade, as per the analysis, has proven effective and dealt a significant blow to one of "Israel's" primary initiatives: the establishment of a potential "land bridge" linking Gulf countries with "Israel" and Europe.

The "Israel"-centric India Middle East Europe Economic Corridors project (IMEC), initially suggested by US President Biden during the G20 gatherings in September last year, is encountering a significant challenge to its existence, as per Alqarout.

He also highlighted that the IMEC seeks to link Asia and Europe through a network of railways and ports traversing India, the UAE, Saudi Arabia, Jordan, "Israel", and Greece.

A declining global confidence in 'Israel's' ability

The IMEC project suffered a significant setback last week when the UAE entered a Memorandum of Understanding with Turkey, Iraq, and Qatar to support the rival Development Road Project. This initiative proposes alternative railway and highway routes for trade between Asia and Europe via Iraq, aiming to enhance local, regional, and global commerce. The action suggests, as per Alqarout's analysis, a declining global confidence in "Israel's" ability to guarantee the continuation of the IMEC, especially amid the ongoing Gaza genocide.
 
Furthermore, the maritime blockades in the Red and Mediterranean seas, coupled with the land blockade in Jordan, have cast doubts on "Israel's" potential as a proficient and dependable transportation center.

Alqarout notes, "The cost of the genocide in Palestine on Israel is now having strategic ramifications that undermine Israel’s future economic prospects."

Dive deeper

In May 2023, Iraq initiated the Development Road Project, aiming to connect the Grand Faw Port in its oil-rich southern region to Turkey through a network of railways and roads. The project's goal is to elevate Iraq into a pivotal transportation center in the region, with ambitions to reduce travel time between Asia and Europe, presenting a competitive alternative to the Suez Canal.

Iraqi authorities intend to employ high-speed trains for the swift transportation of both goods and passengers to industrial centers. Additionally, the project encompasses plans for the construction of oil and gas pipelines.

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The Grand Faw Port, now at the halfway mark of construction, anticipates completion within the next five years, pending secured funding.

Just three months after the May 2023 announcement of the Development Road Project, "Israel" introduced the IMEC as a competitor, proposing it as a fresh regional transportation center in partnership with its strategic Gulf ally, the UAE, under the framework of the normalization deals with "Israel".

This initiative was positioned as a linchpin of a "New Middle East" in the context of potential normalization between "Israel" and various Arab Gulf nations, including Saudi Arabia, as per the analysis.

Maritime blockade

Following Netanyahu's presentation of a map showcasing a "New Middle East" that notably excluded Palestine, the landscape drastically changed with the outbreak of Israeli violence and genocide. In response to the atrocities in Gaza, Yemen's Ansar Allah enforced a maritime blockade on Israeli vessels in the Red Sea. Simultaneously, protests erupted in Jordan aimed at obstructing land transportation from the Gulf to "Israel". Additionally, the Iraqi Islamic Resistance initiated a partial blockade in the Mediterranean Sea.

In Alqarout's view, the implementation of these blockades has raised concerns among global stakeholders about the feasibility of the IMEC project going forward. This skepticism has been fueled by the growing perception of "Israel as a rogue state", despite its ongoing support from the United States in terms of diplomacy, finance, and military aid.

Consequently, nations and investors are increasingly considering the Development Road as a viable alternative to the IMEC. Whether indicative of a strategic shift or merely a precautionary measure, this recent development underscores a form of hedging by various state actors, as per the analysis.

"Turkey and the UAE, both parties to the Abraham Accords, along with Iraq and Qatar — who are not part of the Accords but maintain strategic ties with the U.S. — are now all collaborating on the Development Road Project. While it might appear that Israel’s exclusion from regional connectivity plans undermines the U.S.-led Abraham Accords, this recent move does not necessarily sound the Accords’ death knell," Alqarout argued.

Embracing the Development Road could be interpreted as a precautionary tactic by the US and other signatories of the normalization deals with "Israel", preparing for a scenario where Tel Aviv faces international isolation over its ongoing atrocities in Palestine, he stressed.

Furthermore, there is a growing prospect of certain nations imposing economic penalties on the Israeli occupation. Turkey's recent decision to suspend trade with "Israel" until a ceasefire is established in Gaza is a prime example, with additional sanctions likely if Tel Aviv persists in its genocidal actions.

Turkey, UAE strategic trade partnership

Meanwhile, Turkey and the UAE are bolstering their ties through the "Abraham Accords", including a strategic trade partnership. Qatar and the UAE are also improving relations, potentially enhancing their cooperation under the US security umbrella. Iraq aims to undermine IMEC and promote its own project, driven by economic interests. Iraq seeks to align itself with the US indirectly, positioning itself as a strategic ally. Saudi Arabia's interest in joining the project, coupled with its trade ties with the UAE, suggests tacit support, as per the analysis.

Lebanon is suggesting that Beirut Port be included in the IMEC instead of participating in the Development Road. This proposal comes as Haifa Port faces challenges due to the ongoing maritime blockade.
 
"This development confirms that regional actors are preparing for a post-Israel Middle East in which Israel is no longer a major player. Consequently, an alternative to the Abraham Accords is being envisioned, allowing the U.S. to construct a regional security and economic arrangement without direct Israeli involvement. This regional pivot away from Israel represents an undeniable strategic loss for the Jewish State," Alqarout contends.

The analysis concluded by stressing that the Israeli entity is experiencing strategic setbacks despite short-term gains,  as it persists in its genocidal actions in Palestine, adding that the focus on Resistance operations has led Tel Aviv away from a trajectory that could have secured a prominent position in the region's future. Consequently, Arab nations involved in the normalization deals are now reassessing their economic partnerships.

Read next: We lost the war, October 7 will affect us for years: Israeli media

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