Toward the Formation of a Transnational Alliance of Working and Oppressed Peoples

Toward the Formation of a Transnational Alliance of Working and Oppressed Peoples

Editor’s note: We have never believed that the Deep Green Resistance strategy alone is sufficient to end empire. Our movement has one part to play in a much broader struggle. This call to action speaks to the necessity of internationalist, cross-movement solidarity between working and oppressed people. In these times, the more solidarity we can build between revolutionary and radical people’s organizations, the better. This article has been republished from Monthly Review with permission.

by Samir Amin and Firoze Manji

Shortly before his death on August 12, 2018, Samir Amin, working together with Firoze Manji, prepared a document he hoped would be widely circulated. His aim was to initiate the building of a transnational alliance that was both radical and enabled a diversity of perspectives. Amin’s friends have commenced an international conversation to that end. With the intent of furthering that nascent project, and in boundless appreciation of his invaluable contributions to Monthly Review over many decades, we present the last written words of our comrade Samir Amin.
        — Monthly Review editors

1

For the last thirty years, the world system has undergone an extreme centralization of power in all its dimensions—local and international, economic and military, social and cultural.

Some thousand giant corporations and some hundreds of financial institutions, which have formed cartels among themselves, have reduced national and globalized production systems to the status of subcontractors. In this way, the financial oligarchies appropriate a growing share of the profits from labor and from companies that have been transformed into rent producers for their own exclusive benefit.

Having domesticated the main right-wing and left-wing parties, as well as the unions and organizations of so-called civil society, these oligarchies now also exercise absolute political power. They exercise power over the media that is subordinated to them, creating the necessary disinformation to depoliticize public opinion. The oligarchies have annihilated the traditional practice of multipartyism, virtually replacing it with a one-party system controlled by capital. Representative democracy, having lost all its meaning, has also lost its legitimacy.

Late contemporary capitalism, which has become a completely closed system, matches all the criteria of totalitarianism, although care is taken not to name it as such. This totalitarianism is still soft but is always ready to resort to extreme violence as soon as the victims—the majority of workers and oppressed peoples—begin to revolt. All changes that are part of this so-called modernization must be seen in light of the foregoing analysis. Thus, we face major ecological challenges (especially climate change) that capitalism is incapable of resolving (the Paris agreement of December 2015 was only a smokescreen). We are witnessing scientific developments and technological innovations, including information technology, rigorously subjected to the requirements of the financial profit they can make for the monopolies. The glorification of competitiveness and the freedom of the market, which the subservient media present as guarantees of the freedom and efficiency of civil society, are in fact antitheses of the actual situation, which is riven by violent conflicts between fractions of the existing oligarchies and is the cause of the destructive effects of their governance.

2

Contemporary capitalism always follows the same imperialist logic of globalization that has been its characteristic since its origins (the colonization of the nineteenth century was clearly a form of globalization). Contemporary globalization does not escape this logic; it is nothing other than a new form of imperialist globalization. This term, globalization, so often used without any definition, hides an important fact: the deployment of systematic strategies developed by the historical imperialist powers (the United States, Western and Central European countries, and Japan, which we shall call the triad) that continue to pillage the resources of the global South and carry out the superexploitation of labor that is associated with delocalization and subcontracting. These powers intend to maintain their historical privilege and to prevent all other nations from extricating themselves from the status of dominated peripheries. The history of the last century was in fact a history of the revolt of the peoples of the peripheries of the world system who were engaged in either a socialist delinking from capital or in attenuated forms of national liberation. The pages of that history have, for the moment, been turned. The current process of recolonization has no legitimacy and is therefore fragile.

For this reason, the historical imperialist powers of the triad have set up a system of collective military control over the planet, directed by the United States. Membership of the North Atlantic Treaty Organization (which is inextricably linked to the construction of Europe) and the militarization of Japan reflect the requirement of this new collective imperialism that has taken over the national imperialisms (of the United States, Great Britain, Japan, Germany, France, and a few others) that were formerly in permanent and violent conflict.

In these circumstances, constructing a transnational alliance of workers and oppressed peoples of the entire world has to be the main objective of the struggle to counteract the spread of contemporary imperialist capitalism.

3

Confronted by this tremendous challenge, the inadequacy of the struggles being carried out by the victims of the system is all too apparent. The weaknesses of these struggles are of different kinds, which we would classify under the following headings:

  1. The extreme fragmentation of the struggles, whether at the local or world level, which are always localized and focused on a single issue (such as ecology, women’s rights, social services, or housing). Those rare single-issue campaigns conducted at the national or even international level have not had any significant success in that they have not forced any significant changes to the policies of those in power. Many of these struggles have been absorbed or incorporated by the system that fosters the illusion that it is subject to reform.
    Nevertheless, there has been an enormous acceleration in the process of generalized proletarianization. Almost all the populations in the central capitalist countries are now waged workers who sell their labor power. The industrialization of regions in the global South has created worker proletariats (large sections of which have precarious jobs and many of whom are permanently unemployed) and a salaried middle class, while the peasantry is fully integrated into the market system. The political strategies employed by the powerful have succeeded in fragmenting this gigantic proletariat into diverse fractions that are often in conflict with each other. This contradiction must be overcome.
  2. The peoples of the triad appear to have renounced international anti-imperialist solidarity, which has been replaced at best by so-called humanitarian campaigns and aid programs that are controlled by the capital of the monopolies. The European political forces that inherited left-wing traditions today support the imperialist vision of existing globalization.
  3. A new right-wing ideology has gained support among the people.

In the North, the central theme of anticapitalist class struggle has been abandoned by the left or reduced to a supposed new definition of the left wing defined by partner culture or communitarianism, separating the defense of specific rights from the general fight against capitalism.

In certain countries of the South, the tradition of struggles that associated the anti-imperialist struggle with social progress has given way to reactionary backward-looking illusions expressed by religions or pseudoethics. In other countries of the South, the successful acceleration of economic growth over the last decades feeds the illusion that it is possible to construct a developed national capitalism capable of imposing its active participation in shaping globalization.

4

The power of the oligarchies of contemporary imperialism appears to be indestructible in the countries of the triad and even at the world level (“the end of history”!). Public opinion subscribes to its disguise of market democracy, preferring it to its past adversary—socialism—which is invariably embellished with such odious sobriquets as criminal, nationalist, or totalitarian autocracies.

However, this system is not viable for many reasons:

  1. Contemporary capitalism is presented as being open to criticism and reform, as innovative and flexible. Some claim that it is possible to put an end to the abuses of uncontrolled finance capital and the permanent austerity policies that accompany it—and thus to save capitalism from itself. But such calls are in vain since present practices of capitalism serve the interests of the oligarchs of the triad—the only ones that count—as they guarantee the continual increase of wealth in spite of the economic stagnation that besets their countries and peoples.
  2. The European subsystem—the European Union—is an integral part of imperial globalization. It was conceived in a reactionary spirit that was antisocialist and proimperialist, subordinate to the military command of the United States. Within it, Germany exercises its hegemony, particularly in the framework of the eurozone and over Eastern Europe, which has been annexed just as Latin America has been annexed by the United States. As we saw in the Greek crisis, German Europe serves the nationalist interests of the German oligarchy, which are expressed with arrogance. This Europe is not viable and its implosion has already started.
  3. The stagnation of growth in the countries of the triad contrasts with the acceleration in growth of regions in the South that have been able to profit from globalization. It has been concluded too hastily that capitalism is alive and well, even if its center of gravity is moving from the old countries of the Atlantic West to the South, particularly Asia. In actual fact, the obstacles to pursuing this historical corrective movement are likely to become increasingly violent, including military aggression. The imperial powers do not intend to allow any country of the periphery—great or small—to free itself from their domination.
  4. The ecological devastation that is necessarily associated with capitalist expansion reinforces the reasons why this system is not viable.

We are now in the phase of the autumn of capitalism, without this being strengthened by the emergence of a springtime of peoples and a socialist perspective. The possibility of substantial progressive reforms of capitalism in its current stage is only an illusion. There is no alternative other than that enabled by a renewal of an international radical left, capable of carrying out—and not just imagining—socialist advances. It is necessary to end crisis-ridden capitalism rather than to try to end the crisis of capitalism.

Based on the first of the four hypotheses above, nothing decisive will affect the attachment of the peoples of the triad to their imperialist option, especially in Europe. The victims of the system will remain incapable of conceiving their way out of the path traced by the European project, one that has to be deconstructed before it can then be reconstructed with another vision. The experiences of Syriza in Greece, Podemos in Spain, and Insoumise in France, the hesitations of the German Die Linke, and others all testify to the extent and complexity of the challenge. The facile accusation of nationalism against those critical of Europe does not hold water. The European project is increasingly visible as being that of the bourgeois nationalism of Germany. There is no alternative in Europe, as elsewhere, to the setting up of national, popular, and democratic projects (not bourgeois, indeed antibourgeois) that will begin the delinking from imperialist globalization. It is necessary to deconstruct the extreme centralization of wealth and the power that is associated with the system.

According to this hypothesis, the most probable outcome will be a remake of the twentieth century: advances made exclusively in some of the peripheries of the system. But these advances will remain fragile, as have those of the past, and for the same reason—the permanent warfare waged against them by the imperialist power centers, the success of which is greatly due to their own limits and deviations. The hypothesis of a workers and peoples’ internationalism opens up ways to further evolutions that are necessary and possible.

The first of these ways is that of relying on the “decadence of civilization.” In this case, the paths forward are not to be masterminded by anyone, rather their trails must be blazed in response to the conditions imposed by the evolving situation of decay. However, in our epoch, given the power of ecological and military destruction and the disposition of the powerful to use such powers, the risk, denounced by Karl Marx in his time, is that there is a very real possibility that the fighting will destroy all the camps that oppose each other.

The second path, by contrast, will require the lucid and organized intervention of the international front of workers and all oppressed peoples.

5

Creating a new transnational alliance of workers and oppressed peoples must be the main objective for the genuine militants who are convinced of the odious nature of the world imperialist capitalist system that we have at present. It is a heavy responsibility and the task requires several years before reaping any tangible results.

As for ourselves, we put forward the following proposals:

  1. The aim should be to establish an alliance that can evolve as an organization and not just a movement. This involves moving beyond the concept of a discussion forum. It also involves analyzing the inadequacies of the notion, still prevalent, that the movements claim to be horizontal and are hostile to so-called vertical organizations on the pretext that the latter are by their very nature antidemocratic. Organization is, in fact, the result of action that by itself generates leaders. The latter can aspire to dominate, even manipulate movements. But it is also possible to avoid this danger through appropriate statutes. This should be discussed.
  2. The experience of the worker Internationals should be seriously studied, even if they belong to the past. This should be done, not in order to choose a model among them, but to invent the most suitable form for contemporary conditions.
  3. Such an invitation should be addressed to a good number of combative parties and organizations. A committee should first be set up to get the project started.
  4. This construction cannot be a remake of the Internationals of the past—the Second, the Third, or the Fourth. It has to be founded on other and new principles: an alliance of all working peoples of the world and not only those qualified as representatives of the proletariat (recognizing also that this definition is itself matter of debate), including all wage earners of the services, peasants, farmers, and the peoples oppressed by modern capitalism. The construction must also be based on the recognition and respect of diversity, whether of parties, trade unions, or other popular organizations in struggle, guaranteeing their real independence.

We shall therefore suggest organizing a meeting with a view to creating the new transnational alliance of workers and oppressed peoples. Each region should be represented by activists known and respected in their regions for their commitment to the defense of peoples’ interests, against the aggressions of capitalism, delegated if possible by their own organizations. Voices of communities in conflict with the state to which they belong, as well as communities with no state, should also be represented. Therefore, in contrast with previous Internationals, each country will be represented by several organizations, not a single one, in keeping with the respect of diversity, provided that all recognize that what unites us is more important than what divides us. Finally, the meeting should also help identify a first set of common targets for the struggles in the long run as well as for the immediate future.

Comrades, we call on your sense of historical responsibility. This meeting could help identify the conditions for achieving new revolutionary socialist advances (taking stock of the lessons of past revolutions). In the absence of such progress, the world will continue to be ruled by chaos, barbarian practices, and the destruction of the earth.


Samir Amin (1931–2018) was director of the Third World Forum in Dakar, Senegal, and the author of many books.

Firoze Manji is the founder and former editor of Pambazuka News and Pambazuka Press. He set up Daraja Press and is currently a member of its governing collective. He is Adjunct Professor of African Studies at Carleton University, Ottawa, Canada.

Deceit and Destruction Behind FAO’s Forest Definition

Deceit and Destruction Behind FAO’s Forest Definition

Featured image: Oil palm seedlings at Tamaco Commercial Oil Palm Nursery. Photo by CEphoto, Uwe Aranas

     by  via Intercontinental Cry

For decades, the World Rainforest Movement (WRM) has demanded that the United Nation’s Food and Agriculture Organization (FAO) urgently reviews its forest definition, which mainly benefits the interests of industrial monoculture tree plantations companies. FAO’s definition reduces a forest to any area covered by trees. In doing so, the FAO definition discards other life-forms as well as the biological, cyclical and cultural diversity that define a forest in its continuous interconnection with forest-dependent communitiesFAO’s reductionist definition also allows the companies behind tens of millions of industrial fast-growing plantations to claim their monocultures are “planted forests”. Countries’ forest statistics thus count these industrial monocultures as “forests”, in spite of the well-documented social and environmental impacts such plantations have caused around the world. The United Nations (UN) declared March 21st as the International Day of Forests in 2013.  At the WRM, we are taking this day as another opportunity to expose FAO’s misleading forest definition.

Already in 2009, the WRM denounced in its Bulletin 141 that: “the definition of forests is not an academic or linguistic discussion: it is a political issue having serious social and environmental consequences at the ground level. Defining plantations as forests empowers the corporate sector – particularly plantation companies – and disempowers local communities opposing them to protect their livelihoods. The FAO continues playing this role by refusing to change its definition.

FAO’s definition remains the most widely used forest definition today. It serves as a guide for national forest definitions worldwide – as we denounced in an Open Letter in 2017. It’s also the reference in international forums, such as the UN climate negotiations. Albeit speaking of forests, the 2016 UN Paris Agreement promotes the expansion of monoculture tree plantations in various ways. Tree plantations are promoted as so-called carbon sinks, dubious reforestation or restoration programmes are launched and wood is advertised as an energy source to replace fossil fuels. Because the Paris Agreement adopts FAO’s forest definition, its promotion of industrial tree monocultures is taking place under the guise of the positive image of forests.

As the WRM, together with La Via Campesina, Friends of the Earth International and Focus on the Global South, stated in an Open Letter to FAO in 2014The definition fails the at least 300 million women and men worldwide who, according to FAO, directly depend on forests for their livelihoods.”The FAO should take full responsibility for the strong influence its forest definition has over global economic, ecological and social policies.

Here we present a compilation of WRM Bulletin articles from 2015 until 2018 and further information that addresses the different impacts and consequences of FAO’s forest definition. We hope this compilation serves to underscore once again the importance for a change of the FAO’s definition.

Plantations are not forests!

Download the compilation here

28 Activists Arrested at Kinder Morgan Pipeline Construction Site

28 Activists Arrested at Kinder Morgan Pipeline Construction Site

      by  / Ecowatch

Despite a court-ordered injunction barring anyone from coming within 5 meters (approximately 16.4 feet) of two of its BC construction sites, opponents of the Kinder Morgan Trans Mountain pipeline expansion sent a clear message Saturday that they would not back down.

Twenty-eight demonstrators were arrested March 17 after blocking the front gate to Kinder Morgan’s tank farm in Burnaby, BC for four hours, according to a press release put out by Protect the Inlet, the group leading the protest.

According to the release, the protesters were a mixed group of indigenous people, families, retired teachers and other community members.

“We’re going to do whatever it takes, and by any means necessary, and we’ll show up day after day until we win this fight,” Treaty-6-Mathias Colomb-Cree-Nation member Clayton Thomas-Muller said in the release.

Saturday’s action was an intentional show of civil disobedience.

“Everyone was very aware of the situation, of the possibility of arrest. And everyone was given the chance at any time during the day to leave that zone and not be arrested,” Amina Moustaqim-Barrette, protestor and 350.org communications coordinator, told the Vancouver Sun.

According to the Protect the Inlet website, Saturday’s action will kick off a two-week mobilization from March 18 to March 24. The activists need to prevent Kinder Morgan from completing key clear-cutting work by March 26, when the return of migratory birds will cause delays.

Thursday’s injunction also applies to the pipeline’s construction site at Westridge Marine Terminal, the Sun reported.

According to 350 Seattle, the Trans Mountain pipeline expansion project aims to triple the amount of Alberta tar sands oil carried from the Canadian Rockies to Burnaby, BC and Anacortes, WA from 300,000 to 890,000 barrels per day. It would also increase oil tanker activity in the Salish Sea and Strait of Juan de Fuca by 700 percent, threatening vulnerable orca populations and other marine animals.

The Trudeau government approved the Trans Mountain expansion in November 2016, but the social action group the Council of Canadians says it is inconsistent with Canada’s commitments to reduce greenhouse gas emissions under the Paris agreement. It is also opposed by over 61 indigenous groups; of the nine cases challenging the project in Canadian courts, seven were brought by First Nations.

Saturday’s action comes exactly one week after indigenous leaders from the U.S. and Canada inaugurated a traditional Coast Salish “Kwekwecnewtxw” or “a place to watch from” in the pipeline’s projected path. While construction started on the Watch House, 10,000 demonstrators marched in solidarity.

Trans Mountain’s lawyer Shaun Parker requested that Justice Kenneth Affleck, who issued Thursday’s injunction, also order the new Watch House removed. Affleck, however, ruled that it could stay, the Canadian Press reported Thursday.

“I’m sensitive to the concern of those who created this Watch House, that it is of considerable significance to them,” Affleck said, further ruling that the pipeline could remove it only if it demonstrated an emergency need, and that it would have to replace it afterwards.

Saturday’s protest wasn’t the only direct action against the pipeline expansion this weekend. 30 “kayaktivists” from a group called Mosquito Fleet surrounded a Kinder Morgan oil barge in Seattle’s Elliott Bay Sunday to protest the increased tanker traffic the project is slated to bring to the Salish Sea, King5 News reported.

Mosquito Fleet’s Zara Greene told King5 that the pipeline expansion would threaten communities on both sides of the U.S.-Canadian border. “Kinder Morgan is a threat to us all,” she said.

IIPFCC in solidarity with Standing Rock Sioux Tribe

IIPFCC in solidarity with Standing Rock Sioux Tribe

     by Cultural Survival

“We call upon all member states, to condemn the destruction of our sacred places and to support our nation’s efforts to ensure that our sovereign rights are respected. We ask that you call upon all parties to stop the construction of the Dakota Access pipeline and to protect the environment, our nation’s future, our culture and our way of life.”
Standing Rock Sioux Tribe Chairman Dave Archambault II

The International Indigenous Peoples`Forum on Climate Change (IIPFCC) condemns the construction of the Dakota Access pipeline and stands in solidarity with our sisters and brothers of the Standing Rock Sioux Tribe and all Water Protectors in opposition to this project.

Human Rights and the Indigenous Rights Perspective
The Dakota Access pipeline is being built on the un-ceded treaty lands of the Standing Rock Sioux Tribe, without their free, prior and informed consent, as is described in the UN Declaration on the Rights of Indigenous Peoples in Articles 18, 19, and 32. The pipeline is also being constructed through sacred areas and ancestral burial grounds of the Standing Rock Sioux and other Indigenous Peoples of the area. This massive construction project does not respect the Standing Rock Sioux’s Treaty rights, sovereignty, or their right to self-determination. It is an outright violation of their rights over their lands and resources as Indigenous Peoples, and does not respect the human rights of Indigenous Peoples.

Climate Perspective
The Dakota Access pipeline will transport 470 000 – 570 000 barrels of oil every day, which will release emissions of 101,4 million tonnes CO2, as much as 30 American coal power plants, every year. This is not consistent with the State Parties’ obligations and commitments under the Paris Agreement or the Sustainable Development Goals (SDGs). The continued production of fossil fuels only assures that global temperature will rise well above 2°C in the immediate future and threaten the lives and livelihoods of Indigenous Peoples around the world. The potential for a major oil spill from the Dakota Access pipeline is immediate. The pipeline is scheduled to cross underneath the Missouri River, which is the main source for drinking water for the Standing Rock Sioux Reservation and for millions of people who live downstream. Sunoco Logistics, the operating company of the pipeline, alone has experienced over 200 oil spills in 6 years, and the US had in total over 3300 leaks since 2010, polluting rivers, ground waters, land and air, and both human lives, health and livelihoods has been lost.

The IIPFCC calls upon the US to halt the construction of the Dakota Access pipeline and to enter into serious consultations with the Standing Rock Sioux, and other tribes affected by this project, respecting the right of the Tribes to free, prior and informed consent.

The state owned Norwegian Oil Fund is heavily invested in the pipeline. The IIPFCC calls upon Norway to divest from the Dakota Access pipeline Project.

We also call on all States to ensure the protection of Indigenous Peoples´ territories across the world as a critical action in the implementation of the Paris Agreement and in achieving the SDGs.

Featured image by A. Golden/Flickr.

Mitsubishi Cancels Plans for a $1.3B Chemical Plant

Mitsubishi Cancels Plans for a $1.3B Chemical Plant

Editor’s note: “MMA is methyl methacrylate, a chemical compound that was banned by the FDA in the 1970s for use in nail enhancements due to its potential health hazards,” Hanna says. Celebrity manicurist Julie Kandalec adds, “It’s an ingredient commonly found in acrylic liquids, called monomer.”

One of the easiest ways to check if there is MMA in your acrylic or nail supplies is to check the ingredient list of your products. It should not be listed as an ingredient in any reputable acrylic nail product. A few additional tips include: Smelling a very harsh odor when applying and filing your acrylic nails – some people say it smells like cat urine.

“Mitsubishi Chemical Group (MCG) has concluded a license agreement with SNF Group regarding MCG’s N-vinylformamide (NVF) manufacturing technology. NVF is a raw material of functional polymers. Using the manufacturing technology licensed under this agreement, SNF will start the commercial production of NVF at its new plant in Dunkirk, France as of this June. NVF is a monomer used as a material for papermaking chemicals, water treatment agents, and oil field chemicals.”


Environmental activists claim victory as Mitsubishi scraps $1.3 billion chemical plant in ‘Cancer Alley’

Environmental groups are claiming victory after Mitsubishi Chemical Group dropped plans for a $1.3 billion plant in the heart of Louisiana’s industrial corridor.

In the works for more than a decade, the chemical manufacturing complex would have been the largest of its kind in the world, stretching across 77 acres in Geismar, a small Ascension Parish community about 60 miles west of New Orleans. Tokyo-based Mitsubishi cited only economic factors when announcing the cancellation last week, but a recent report on the plant’s feasibility noted that growing community concern about air pollution could also hamper the project’s success.

“The frontline communities are fighting back, causing delays, and that amounts to money being lost,” said Gail LeBoeuf with Inclusive Louisiana, an environmental group focused on the industrial corridor along the Mississippi River known as Cancer Alley.

The nonprofit group Beyond Petrochemical declared the project’s failure a “major victory for the health and safety of Louisianans.”

According to Mitsubishi, the plant could have produced up to 350,000 tons per year of methyl methacrylate, or MMA, a colorless liquid used in the manufacture of plastics and a host of consumer products, including TVs, paint and nail polish.

The plant was expected to be a major polluter, releasing hundreds of tons per year of carbon monoxide, nitrogen oxides, volatile organic compounds and other harmful chemicals, according to its permit information.

Mitsubishi cited rising costs and waning demand for MMA as the reasons for dropping the project. In a statement, the company indicated the plant likely wouldn’t have enough MMA customers to cover “increases in capital investment stemming from inflation and other factors.”

In July, a report on the plant’s viability warned that a global oversupply of MMA and fierce local opposition made the project a “bad bet.”

Conducted by the Institute for Energy Economics and Financial Analysis, the report said that credit agencies are paying more attention to “community sentiment” about petrochemical projects, particularly in Louisiana. In Geismar and other parts of Cancer Alley, there’s a “disproportionately heavy concentration of polluting industrial facilities” and Mitsubishi could become “entangled in a decades-long dispute involving issues of racial inequality and environmental justice,” the IEEFA report said.

Geismar residents are surrounded by about a half-dozen large chemical facilities that emit harmful levels of air pollution. Of the more than 6,000 people who live within the three miles of the planned project site, about 40% are Black or Hispanic, and 20% are considered low-income, according to federal data.

“The air here is already so dirty that the kids can’t play outside anymore,” said Pamela Ambeau, Ascension Parish resident and member of the group Rural Roots Louisiana.

The proposed plant is the latest in a string of failed industrial projects in Cancer Alley. Since 2019, local activism was instrumental in halting the development of two large plastics complexes in St. James Parish and a grain export terminal in St. John the Baptist Parish. All three projects would have been built in historically Black and rural communities.

Mitsubishi’s project had the strong backing of Louisiana political leaders. In 2020, then-Gov. John Bel Edwards, a Democrat, praised the project as a “world-scale” chemical manufacturing facility that would create “quality jobs.”

Louisiana Economic Development predicted the plant would create 125 jobs with an average salary of $100,000 and another 669 “indirect jobs” in the region.

The state agency began courting Mitsubishi in 2016, offering the company worker recruitment and training assistance and a $4 million grant to offset construction costs.

In 2021, Mitsubishi applied for property tax abatement via the state’s Industrial Tax Exemption Program, or ITEP. The tax relief, which Louisiana has granted to several similar projects, was pending the plant’s construction and would have saved the company an estimated $17 million in its first year, according to LED.

The first of a series of project delays began in 2022 due to what Mitsubishi called “market volatilities.”

Mitsubishi appeared to be betting on generous state subsidies “while ignoring the larger financial landscape,” said Tom Sanzillo, author of the IEEFA report.

The combination of sustained market weakness and strong public opposition “erased the potential benefits they are counting on,” he said.

This article first appeared on Verite News New Orleans and is republished here under a Creative Commons license.

 

Photo by Patrick Hendry on Unsplash