Chavez Nationalizes Owens-Illinois

[SassyLady]

What are your thoughts about Hugo Chavez's nationalizing American subsidiaries?


http://www.laht.com/article.asp?ArticleId=373900&CategoryId=10717

In his long talk, he mentioned the accord signed with Russia to build a “small nuclear power plant” in Venezuela to generate electric energy, which could start up in 2020, and advocated the generalized use of atomic energy because of its advantages over other power sources in terms of pollution.

During the program, Chavez approved funds for improvements to the Caracas subway system, which has suffered a number of problems in recent weeks, and again warned private banks that they must collaborate with national development or risk being nationalized.

The president ordered the expropriation of the Venezuelan subsidiary of the U.S. company Owens-Illinois Inc., world leader in the manufacture of glass bottles and jars for drinks, food, medicine and cosmetics.

“Owens-Illinois, expropriate it!” Chavez said, speaking to Vice President Elias Jaua, who was present along with most ministers on the live broadcast that went on until after midnight.

(http://www.laht.com/article.asp?ArticleId=373900&CategoryId=10717)

[SassyLady]

More on Chavez's march to socialism.



Owens-Illinois Inc. says it is the world's leading glass container maker with more than 22,000 employees in 21 countries. The $7.1 billion company has global headquarters in Perrysburg, Ohio.

Chavez, who has nationalized other industries and land holdings during his 11-year tenure, said he soon will announce the takeover of other foreign companies that have been "exploiting the country's working class."

U.S. officials said Tuesday they were monitoring developments. "We've seen the announcement and are following the situation closely," the State Department said. "We would expect Venezuela to provide prompt, adequate and effective compensation for any expropriation of the investments of Owens-Illinois in accordance with international law."

Chavez nationalized a local unit of U.S. food giant Cargill last year. He previously has appropriated privately owned oil, telecommunications, power, cement and steel companies.

http://edition.cnn.com/2010/WORLD/americas/10/26/venezuela.appropriation/?hpt=Sbin

[SassyLady]

And, he sounds so much like Obama in that he is blaming previous administrations for the horrible condition the country is in ... even though he's been in power for the last 11 years.

Seems like his recent nationalizing spree is due his party gradually losing power. And, it's a way to punish powerful business owners who speak out agains him.

[Agnapostate]

The mainstream media is determined to vilify opponents of the U.S. government; here is a good article (http://www.zcommunications.org/venezuela-not-what-you-think-by-robin-hahnel) that refutes a significant amount of the propaganda about Chavez. The intellectually honest owe it to themselves to read and consider it, even if they ultimately reject it. The PSUV retains a legislative majority, though opposition did make gains in the most recent election. Of course, there is a catch-22 in that critics would have simply claimed that they had rigged the elections if they had made gains instead of losses.

I don't know about blaming past administrations. It's true that remarkably corrupt presidents (i.e. Jaime Lusinchi, Carlos Andres Perez), preceded Chavez, but the primary cause of economic hardship in Venezuela would presumably be the fact that it is not an autarkic country, and that its government is reliant on international trade for revenue, so any global economic crisis that occurs will obviously have repercussions for Venezuela.

I am not supportive of the republican system because I don't think it's facilitative of genuine democratic input, or a mild cult of personality forming around any figure (which goes for many heads of state, not simply Chavez), but that administration is better than the alternatives. He is also certainly an ally of the heroic anti-colonial struggle.

Indian movement seeks 'to expel white invasion' (http://www.washingtontimes.com/news/2005/jun/23/20050623-112430-1607r/?page=1)


SANTA CRUZ, Bolivia -- A growing indigenous movement has helped topple successive governments in Bolivia and Ecuador and, angered by the destruction of Andean coca crops, now threatens the stability of other countries where Indians are in the majority.

Drawing support from European leftists and Venezuelan President Hugo Chavez, the long-marginalized Indians are tasting political influence for the first time since the Spanish conquest and beginning to wrest power from South America's white elites...Mr. Chavez makes no secret of his support for Indian radicals. In a speech last year announcing plans to export his "Bolivarian" brand of revolution, Mr. Chavez said "the powerful indigenous currents of Ecuador, Peru and Bolivia are all Bolivarian, as are the peasant movements in Central America and Brazil."

Granted, the Washington Times is a right-biased source whose contributors are trying to depict this campaign as an example of “reverse racism,” but the issue is not that the entrenched elites are white, but that they are elites at odds with the majority of the population.