China-Chile free trade agreement: Role model for Latinamerica in pursuit of TPP2 in the Pacific?

Dr. Evan Ellis, Latinamerica expert of the US Army War College sent me an article and asked me to comment it. It was published in the China Brief of the Jamestown Foundation and is about the relations between China and Chile, its first Latinamerican freetrade agreement from which Dr. Ellis concludes that this could serve as an role model and avangardistic expample for Latinamerica to sign a new Transpacific Partnership 2 freetrade area agreement with Chilenean marketliberal standards. Here his article, afterwards our conversation:

China’s Relationship with Chile: The Struggle for the Future Regime of the Pacific

Publication: China Brief Volume: 17 Issue: 15

By: Evan Ellis

November 22, 2017

Though superpower diplomacy dominated coverage of the Asia Pacific Economic Cooperation forum (APEC) leaders summit in November, China’s upgrading of a free-trade agreement with Chile served to highlight the strength of an economic and political relationship that it has built with the country, and the influential position Chile currently occupies in shaping Chinese engagement with Latin America.

The agreement signed at APEC builds on a free-trade agreement first signed in 2005—the first of its kind between a South American nation and China. At first glance, China’s interactions with Chile appears to resemble its pattern of behavior with the region in general. Chile’s exports to the China are dominated by a limited number of low value-added commodities, including copper and potassium nitrate (used as fertilizer). Correspondingly, a broad range of Chinese products have significantly penetrated the Chilean market, from cheap manufactured goods, to motorcycles, cars, cell phones and computers.

On closer examination, China’s relationship with Chile has multiple elements that distinguish it from its relationship with others in Latin America.

Chile has been one of the most successful countries in the region in establishing a national brand in the PRC and positioning its products in the non-commodity goods segment of the Chinese market. Chile last year replaced Vietnam as the principal supplier of fresh fruit imported by the PRC (Santiago Times, April 2). Although the time and expense of shipping products to the PRC creates a barrier for non-differentiated agricultural goods, Chile has successfully positioned its cherries, table grapes, blueberries as luxury goods in China. Chilean wines have achieved similar recognition in the PRC, as consumption by the Chinese middle class grows.

Despite such success, and Chile’s reputation for efficiency, security, and rule of law, investment by Chinese companies in the country ranks among the lowest in the region. The Chilean government has taken note of the contrast between its successes in exporting its products to China, with its inability to attract significant Chinese investment. The annual “Chile Week” program, conducted in six of China’s largest cities since 2015, is an example of attempts by the government of Michelle Bachelet to remedy this deficiency (Santiago Times, August 30).

Ironically, the lack of Chinese direct investment in the country partially reflects Chile’s relatively good governance and strong institutions; Chinese companies often prefer to invest where they can secure state-to-state deals on preferential terms. Chile, with its good access to capital markets has not felt compelled to adapt its laws and regulations, such as those governing public procurement, to attract Chinese loans or investors.

Further inhibiting Chinese investment, Chile’s mining sector, the principal source of the country’s exports to the PRC, is generally off limits to equity investments. While the Chilean state mining entity CODELCO signed a $500 million agreement in 2005 for the advance purchase of Chilean copper, the deal went sour when the Chileans found themselves locked into a long-term agreement to sell almost 5 percent of their copper exports to the PRC at prices substantially below the market price. The Chilean government ultimately forced Minmetals to back out of its option to acquire a 49 percent the Gabriel Mistral (Gaby) mine, which it had used the Chinese loan to develop (Business News Americas, September 29, 2008). Chinese interest in investing in the Chilean mining sector virtually disappeared for years thereafter.

Despite such setbacks, in recent years, Chinese have expressed renewed interest in Chilean mining, focused on lithium, a strategic metal used in modern batteries to power devices from cars to cellphones.

Beginning in 2016, Chinese mining company Tianqi quietly began acquiring a minority share of Chilean lithium producer SQM. In October 2017, the Chinese petrochemicals giant Sinochem made public an intention to acquire a majority stake in SQM for $4.5 billion from the Canadian firm Potash (La Tercera, October 23, 2017). The Chilean government is currently evaluating bids for “value-added” development of its lithium reserves, in which four of the 12 companies bidding are Chinese. Each bidder must propose a project for how it will provide value added to the lithium within Chile. One contender is the Chinese MTL-Shenzen group, who, with a Korean partner, is proposing a project to build a factory to build lithium-ion batteries in the area where it will extract the metal (La Tercera, July 7). As China attempts to position itself as a leader in battery technology and production, these investments in strategic materials will be key to keeping Chinese batteries cheap and globally competitive.

In the telecommunications sector, as in other parts of Latin America, the Chinese company Huawei has established itself as an important player in the mobile telephone market, to include commercial facilities, and presence as a local brand, including the recruitment of one of Chile’s best-known soccer players as the face of the company in its Chilean advertising. Huawei has also won a contract for one of three tranches of a project to construct a submarine fiber-optic cable connecting the south of Chile from Puerto Montt to Puerto Williams, which may be a stepping stone for a Huawei role in an even more ambitious cable connecting China to South America through Chile (Ministerio de Transportes y Telecomunicaciones, October 16, 2017).

In the space sector, the PRC is building an observatory approximately 30 miles from the facility that it already shares with Chile’s Catholic University, in Paranal, in the Atacama Desert (La Tercera, 2016). Although in 2008, the China Aerospace Science and Technology Corporation (CASC) lost a bid to participate in the Chilean FASAT-C satellite program to the European firm Astrium, as the satellite neared the end of its useful life, Chile’s ambassador to the PRC Jorge Heine suggested that his country might turn to China’s Beidou satellite to replace it (Xinhua, April 27, 2016).

With respect to the electricity sector, one of the largest investments by a PRC-based company in Chile was that of Sky Solar, which committed to invest more than $1.3 billion to construct farms of photovoltaic cells to generate solar energy in the Atacama Desert (El Mercurio, January 25, 2013). Chinese companies have also been involved in a series of projects for wind generation (Global Wind Energy Council).

Despite such advances, and although power generation and transmission in Chile is in the hands of the private sector with a relatively modest regulatory burden, Chinese companies have not yet entered the sector in force, as Chinese companies such as State Grid, Three Gorges and State Power Industrial Corporation (SPIC) have entered Brazil (Newsmax, October 9, 2017). Nonetheless, that may be changing with SPICs acquisition of Pacific Hydro, which gives the company control over five hydroelectric facilities in Chile (Hydroworld, December 17, 2015).

Chile’s stable and developed financial system and access to international capital markets has limited the need for loans from Chinese policy banks such as China Development Bank and China Export-Import bank, often tied to the use of Chinese companies and laborers in the projects financed. Yet the same strength and sophistication of Chile’s financial system has also allowed the country to become the regional hub for clearing transactions conducted in Chinese RNB. To this end, the two countries have invested $189 million to establish a clearing bank in Chile, tied to China Construction Bank, as well a $3.5 billion currency swap agreement between the central bank of Chile and the People’s Bank of China (Xinhua, June 21, 2016). Chile, for its part, was one of the first Latin American companies to join the PRC-sponsored Asia Infrastructure Investment Bank (AIIB), in May 2017 (Asian Infrastructure Investment Bank, May 13).

Beyond traditional industries, tourist visits by PRC nationals to Chile are also on the rise. In 2016, almost 23,000 Chinese visited Chile, a 49 percent increase over the previous year, while in the first four months of 2017 almost 11,000 Chinese tourists visited, representing a further 51 percent year-on-year increase (Lun, July 2).

The Chinese ethnic community in Chile reportedly plays an important role in the expansion of such tourism. Although the community is relatively small, with an estimated 30,000 persons, many are recent arrivals who have acquired legal Chilean residency, yet have retained fluency in Mandarin Chinese or Cantonese and connections in the PRC. These Chinese Chileans who reportedly play a key role in bringing tour groups to Chile from the mainland, and coordinating with Chinese restaurants and Mandarin-speaking service providers in Chile to provide a culturally comfortable experience in Chile for visiting Chinese. One Chilean tour group operator indicated to the author that 70 percent of his business is now with the Chinese, although he had done almost no business with them a few years earlier.

Chinese activities in Chile’s defense sector have been minimal. Nonetheless, in June 2015, Chile’s Minister of Defense Jose Antonio Gomez traveled to the PRC to meet with his Chinese counterpart, Chang Wanquan to boost defense cooperation (Xinhua, June 24, 2015). A modest number of Chilean officers regularly travel to China for professional military education programs, and Chinese arms companies also had a significant presence at the Exponaval trade show in Santiago (Exponaval 2016).

In the end, Chile’s relationship with China will be critical in shaping the dynamics of the China relationship with Latin America in general. As noted previously, Chile’ success in placing products in the PRC has made its practices an important reference for the rest of the region. Reciprocally, its insistence on not bending Chilean laws and contracting procedures to accommodate Chinese companies, as occurred in many other countries across the region, provides an important indication of whether it is possible to attract Chinese investment and maintain a healthy business relationship within the framework of a nation’s existing laws and regulations.

Chile’s orientation toward China will also be important at the regional level. In the wake of the U.S. withdrawal from the Trans-Pacific Partnership (TPP), the support of Chile will be instrumental in taking forward a new version of the deal, denoted as “TPP 2”, which would make an important contribution in defining a Trans-Pacific commercial regime which addresses non-tariff barriers to trade, and which protects the intellectual property of the participating nations far more than the alternative “Free Trade Area of the Asia-Pacific” currently being promoted by China (Xinhua, November 3). U.S. policymakers should take note of what is happening in Chile, which has long been a friend to the United States, and where U.S. political and economic ideals have long found common ground.

The United States continues to have many friends in the region, yet the deepening of Chile’s relationship with the PRC is generating subtle yet significant changes in attitudes, not only about U.S. policy and requests, but also how Chileans react to parts of the U.S. style that they may find distasteful. Chinese activities in Chile, met with traditional Chilean warmth and efficiency, are an important wake-up call to take greater stock of how engagement with the PRC is transforming the region in ways that are increasingly uncomfortable for the United States, its global position, and the pursuit of its policy agenda.

Dear Evan,

thank you for the superb analysis of the Chilean-Chinese relations in the China Brief of the Jamestown Foundation which I regulary read. Interesting to note that Chile is the exception in Latinamerica, not changing the rule of law and investment procedures to Chinese state-to-state standards. As you described the Chile-China free  trade agreement and Chile´s investment standards could be a role model and avantgard for Latinamerica in its pursuit of TPP2 and future investment relations to China thereby defining the free trade and investment rules and regulations for the Pacific.. However, you also write that Chinese investment is pretty low in Chile and that many planned investments didn´t happen due to Chilean standards which didn´t fit in the Chinese state-to-state investment scheme.Maybe the Chinese have no interest that Chile could play the avantgard for different investment frameworks in the future and wants to punish Chile in order to disattract other countries to follow the Chileanian path. You also have to keep in mind that Chile is not such an economically important country as Brazil, Mexiko, Argentine and Venezuela where the old state-to-state investment scheme still works. And in the mega election cycle in Latinamerica leftwing populist movements or nationalist right winged movements could also win the election s or influence the policy of these countries and they might not like Chile´s rule of law and market liberalism.Chile under Pinochet became the laboratory for neoliberalism of the Chicago school of Hayek, Milton Friedmann and the Chicago boys. However, other Latinamerican countries, even other military dictatorships didn´t follow that example to the Chileanian degree which makes Chile more an out- than an insider in Latinamerica.

Chile has been a  laboratory for new economic policy experiments in both directions: Under Allendefor  a socialist planned cybernatic economy and under Pinochet and his successors for radical market liberalism, the birth of neoliberalism with the support of Milton Friedman and his Chicago boys. Interesting is also the Allende era. Allende engaged the British cybernatican and economic consultant Stafford Beer to set up a visionary computer network called Cybersyn that should controll and manage the 150 biggest nationalisied companies.This was the first time that a goverment used computer technology to manage and controll a whole national economy, even before the internet or the USA or the Sovjetunion invented such methods.

„Giving the state control of Chile’s most important industries constituted a central plank of Allende’s platform, but created management difficulties. The government had limited experience in this area. Yet by the end of 1971, it had taken control of more than one hundred and fifty enterprises, among them twelve of the twenty largest companies in Chile.

The problem of how to manage these newly socialized enterprises led a young Chilean engineer named Fernando Flores to contact a British cybernetician named Stafford Beer and ask for advice. Flores worked for the government agency charged with the nationalization effort; Beer was an international business consultant known for his work in the area of management cybernetics, which he defined as the “cybernetics of effective organization.”

Together, they formed a team of Chilean and British engineers and developed a plan for a new technological system that would improve the government’s ability to coordinate the state-run economy.

The system would provide daily access to factory production data and a set of computer-based tools that the government could use to predict future economic behavior. It also included a futuristic operations room that would facilitate government decision-making through conversation and better comprehension of data. Beer envisioned ways to both increase worker participation in the economy and preserve the autonomy of factory managers, even with expanding state influence.“

During the coup the Chileanian military stormed the centre of Cybersnc, the economic promotion agency CORFO to take possesion of the „communist evil machine“.

Today the Chilenean Cybersync becomes a role model for a new movement called the accelerationist, a leftwinged movement which has its roots in GB and is spreading to the hacker and IT community of the Silicon valley.They want a postcapitalist society and describe their programme in their „Manifesto for accellerationism“.

#ACCELERATE MANIFESTO for an Accelerationist Politics

by Alex Williams and Nick Smicek• 14 May 2013

Accel­er­a­tion­ism pushes towards a future that is more mod­ern, an altern­at­ive mod­ern­ity that neo­lib­er­al­ism is inher­ently unable to gen­er­ate.

01. INTRODUCTION: On the Conjuncture

1. At the beginning of the second decade of the Twenty-First Century, global civilization faces a new breed of cataclysm. These coming apocalypses ridicule the norms and organisational structures of the politics which were forged in the birth of the nation-state, the rise of capitalism, and a Twentieth Century of unprecedented wars.

2. Most significant is the breakdown of the planetary climatic system. In time, this threatens the continued existence of the present global human population. Though this is the most critical of the threats which face humanity, a series of lesser but potentially equally destabilising problems exist alongside and intersect with it. Terminal resource depletion, especially in water and energy reserves, offers the prospect of mass starvation, collapsing economic paradigms, and new hot and cold wars. Continued financial crisis has led governments to embrace the paralyzing death spiral policies of austerity, privatisation of social welfare services, mass unemployment, and stagnating wages. Increasing automation in production processes including ‘intellectual labour’ is evidence of the secular crisis of capitalism, soon to render it incapable of maintaining current standards of living for even the former middle classes of the global north.

3. In contrast to these ever-accelerating catastrophes, today’s politics is beset by an inability to generate the new ideas and modes of organisation necessary to transform our societies to confront and resolve the coming annihilations. While crisis gathers force and speed, politics withers and retreats. In this paralysis of the political imaginary, the future has been cancelled.

4. Since 1979, the hegemonic global political ideology has been neoliberalism, found in some variant throughout the leading economic powers. In spite of the deep structural challenges the new global problems present to it, most immediately the credit, financial, and fiscal crises since 2007–8, neoliberal programmes have only evolved in the sense of deepening. This continuation of the neoliberal project, or neoliberalism 2.0, has begun to apply another round of structural adjustments, most significantly in the form of encouraging new and aggressive incursions by the private sector into what remains of social democratic institutions and services. This is in spite of the immediately negative economic and social effects of such policies, and the longer term fundamental barriers posed by the new global crises.

5. That the forces of right wing governmental, non-governmental, and corporate power have been able to press forth with neoliberalisation is at least in part a result of the continued paralysis and ineffectual nature of much what remains of the left. Thirty years of neoliberalism have rendered most left-leaning political parties bereft of radical thought, hollowed out, and without a popular mandate. At best they have responded to our present crises with calls for a return to a Keynesian economics, in spite of the evidence that the very conditions which enabled post-war social democracy to occur no longer exist. We cannot return to mass industrial-Fordist labour by fiat, if at all. Even the neosocialist regimes of South America’s Bolivarian Revolution, whilst heartening in their ability to resist the dogmas of contemporary capitalism, remain disappointingly unable to advance an alternative beyond mid-Twentieth Century socialism. Organised labour, being systematically weakened by the changes wrought in the neoliberal project, is sclerotic at an institutional level and — at best — capable only of mildly mitigating the new structural adjustments. But with no systematic approach to building a new economy, or the structural solidarity to push such changes through, for now labour remains relatively impotent. The new social movements which emerged since the end of the Cold War, experiencing a resurgence in the years after 2008, have been similarly unable to devise a new political ideological vision. Instead they expend considerable energy on internal direct-democratic process and affective self-valorisation over strategic efficacy, and frequently propound a variant of neo-primitivist localism, as if to oppose the abstract violence of globalised capital with the flimsy and ephemeral “authenticity” of communal immediacy.

6. In the absence of a radically new social, political, organisational, and economic vision the hegemonic powers of the right will continue to be able to push forward their narrow-minded imaginary, in the face of any and all evidence. At best, the left may be able for a time to partially resist some of the worst incursions. But this is to be Canute against an ultimately irresistible tide. To generate a new left global hegemony entails a recovery of lost possible futures, and indeed the recovery of the future as such.

02. INTEREGNUM: On Accelerationisms

1. If any system has been associated with ideas of acceleration it is capitalism. The essential metabolism of capitalism demands economic growth, with competition between individual capitalist entities setting in motion increasing technological developments in an attempt to achieve competitive advantage, all accompanied by increasing social dislocation. In its neoliberal form, its ideological self-presentation is one of liberating the forces of creative destruction, setting free ever-accelerating technological and social innovations.

2. The philosopher Nick Land captured this most acutely, with a myopic yet hypnotising belief that capitalist speed alone could generate a global transition towards unparalleled technological singularity. In this visioning of capital, the human can eventually be discarded as mere drag to an abstract planetary intelligence rapidly constructing itself from the bricolaged fragments of former civilisations. However Landian neoliberalism confuses speed with acceleration. We may be moving fast, but only within a strictly defined set of capitalist parameters that themselves never waver. We experience only the increasing speed of a local horizon, a simple brain-dead onrush rather than an acceleration which is also navigational, an experimental process of discovery within a universal space of possibility. It is the latter mode of acceleration which we hold as essential.

3. Even worse, as Deleuze and Guattari recognized, from the very beginning what capitalist speed deterritorializes with one hand, it reterritorializes with the other. Progress becomes constrained within a framework of surplus value, a reserve army of labour, and free-floating capital. Modernity is reduced to statistical measures of economic growth and social innovation becomes encrusted with kitsch remainders from our communal past. Thatcherite-Reaganite deregulation sits comfortably alongside Victorian ‘back-to-basics’ family and religious values.

4. A deeper tension within neoliberalism is in terms of its self-image as the vehicle of modernity, as literally synonymous with modernisation, whilst promising a future that it is constitutively incapable of providing. Indeed, as neoliberalism has progressed, rather than enabling individual creativity, it has tended towards eliminating cognitive inventiveness in favour of an affective production line of scripted interactions, coupled to global supply chains and a neo-Fordist Eastern production zone. A vanishingly small cognitariat of elite intellectual workers shrinks with each passing year — and increasingly so as algorithmic automation winds its way through the spheres of affective and intellectual labour. Neoliberalism, though positing itself as a necessary historical development, was in fact a merely contingent means to ward off the crisis of value that emerged in the 1970s. Inevitably this was a sublimation of the crisis rather than its ultimate overcoming.

5. It is Marx, along with Land, who remains the paradigmatic accelerationist thinker. Contrary to the all-too familiar critique, and even the behaviour of some contemporary Marxians, we must remember that Marx himself used the most advanced theoretical tools and empirical data available in an attempt to fully understand and transform his world. He was not a thinker who resisted modernity, but rather one who sought to analyse and intervene within it, understanding that for all its exploitation and corruption, capitalism remained the most advanced economic system to date. Its gains were not to be reversed, but accelerated beyond the constraints the capitalist value form.

6. Indeed, as even Lenin wrote in the 1918 text “Left Wing” Childishness:

Socialism is inconceivable without large-scale capitalist engineering based on the latest discoveries of modern science. It is inconceivable without planned state organisation which keeps tens of millions of people to the strictest observance of a unified standard in production and distribution. We Marxists have always spoken of this, and it is not worth while wasting two seconds talking to people who do not understand even this (anarchists and a good half of the Left Socialist- Revolutionaries).

7. As Marx was aware, capitalism cannot be identified as the agent of true acceleration. Similarly, the assessment of left politics as antithetical to technosocial acceleration is also, at least in part, a severe misrepresentation. Indeed, if the political left is to have a future it must be one in which it maximally embraces this suppressed accelerationist tendency.

03. MANIFEST: On the Future

1. We believe the most important division in today’s left is between those that hold to a folk politics of localism, direct action, and relentless horizontalism, and those that outline what must become called an accelerationist politics at ease with a modernity of abstraction, complexity, globality, and technology. The former remains content with establishing small and temporary spaces of non-capitalist social relations, eschewing the real problems entailed in facing foes which are intrinsically non-local, abstract, and rooted deep in our everyday infrastructure. The failure of such politics has been built-in from the very beginning. By contrast, an accelerationist politics seeks to preserve the gains of late capitalism while going further than its value system, governance structures, and mass pathologies will allow.

2. All of us want to work less. It is an intriguing question as to why it was that the world’s leading economist of the post-war era believed that an enlightened capitalism inevitably progressed towards a radical reduction of working hours. In The Economic Prospects for Our Grandchildren (written in 1930), Keynes forecast a capitalist future where individuals would have their work reduced to three hours a day. What has instead occurred is the progressive elimination of the work-life distinction, with work coming to permeate every aspect of the emerging social factory.

3. Capitalism has begun to constrain the productive forces of technology, or at least, direct them towards needlessly narrow ends. Patent wars and idea monopolisation are contemporary phenomena that point to both capital’s need to move beyond competition, and capital’s increasingly retrograde approach to technology. The properly accelerative gains of neoliberalism have not led to less work or less stress. And rather than a world of space travel, future shock, and revolutionary technological potential, we exist in a time where the only thing which develops is marginally better consumer gadgetry. Relentless iterations of the same basic product sustain marginal consumer demand at the expense of human acceleration.

4. We do not want to return to Fordism. There can be no return to Fordism. The capitalist “golden era” was premised on the production paradigm of the orderly factory environment, where (male) workers received security and a basic standard of living in return for a lifetime of stultifying boredom and social repression. Such a system relied upon an international hierarchy of colonies, empires, and an underdeveloped periphery; a national hierarchy of racism and sexism; and a rigid family hierarchy of female subjugation. For all the nostalgia many may feel, this regime is both undesirable and practically impossible to return to.

5. Accelerationists want to unleash latent productive forces. In this project, the material platform of neoliberalism does not need to be destroyed. It needs to be repurposed towards common ends. The existing infrastructure is not a capitalist stage to be smashed, but a springboard to launch towards post-capitalism.

6. Given the enslavement of technoscience to capitalist objectives (especially since the late 1970s) we surely do not yet know what a modern technosocial body can do. Who amongst us fully recognizes what untapped potentials await in the technology which has already been developed? Our wager is that the true transformative potentials of much of our technological and scientific research remain unexploited, filled with presently redundant features (or pre-adaptations) that, following a shift beyond the short-sighted capitalist socius, can become decisive.

7. We want to accelerate the process of technological evolution. But what we are arguing for is not techno-utopianism. Never believe that technology will be sufficient to save us. Necessary, yes, but never sufficient without socio-political action. Technology and the social are intimately bound up with one another, and changes in either potentiate and reinforce changes in the other. Whereas the techno-utopians argue for acceleration on the basis that it will automatically overcome social conflict, our position is that technology should be accelerated precisely because it is needed in order to win social conflicts.

8. We believe that any post-capitalism will require post-capitalist planning. The faith placed in the idea that, after a revolution, the people will spontaneously constitute a novel socioeconomic system that isn’t simply a return to capitalism is naïve at best, and ignorant at worst. To further this, we must develop both a cognitive map of the existing system and a speculative image of the future economic system.

9. To do so, the left must take advantage of every technological and scientific advance made possible by capitalist society. We declare that quantification is not an evil to be eliminated, but a tool to be used in the most effective manner possible. Economic modelling is — simply put — a necessity for making intelligible a complex world. The 2008 financial crisis reveals the risks of blindly accepting mathematical models on faith, yet this is a problem of illegitimate authority not of mathematics itself. The tools to be found in social network analysis, agent-based modelling, big data analytics, and non-equilibrium economic models, are necessary cognitive mediators for understanding complex systems like the modern economy. The accelerationist left must become literate in these technical fields.

10. Any transformation of society must involve economic and social experimentation. The Chilean Project Cybersyn is emblematic of this experimental attitude — fusing advanced cybernetic technologies, with sophisticated economic modelling, and a democratic platform instantiated in the technological infrastructure itself. Similar experiments were conducted in 1950s–1960s Soviet economics as well, employing cybernetics and linear programming in an attempt to overcome the new problems faced by the first communist economy. That both of these were ultimately unsuccessful can be traced to the political and technological constraints these early cyberneticians operated under.

11. The left must develop sociotechnical hegemony: both in the sphere of ideas, and in the sphere of material platforms. Platforms are the infrastructure of global society. They establish the basic parameters of what is possible, both behaviourally and ideologically. In this sense, they embody the material transcendental of society: they are what make possible particular sets of actions, relationships, and powers. While much of the current global platform is biased towards capitalist social relations, this is not an inevitable necessity. These material platforms of production, finance, logistics, and consumption can and will be reprogrammed and reformatted towards post-capitalist ends.

12. We do not believe that direct action is sufficient to achieve any of this. The habitual tactics of marching, holding signs, and establishing temporary autonomous zones risk becoming comforting substitutes for effective success. “At least we have done something” is the rallying cry of those who privilege self-esteem rather than effective action. The only criterion of a good tactic is whether it enables significant success or not. We must be done with fetishising particular modes of action. Politics must be treated as a set of dynamic systems, riven with conflict, adaptations and counter-adaptations, and strategic arms races. This means that each individual type of political action becomes blunted and ineffective over time as the other sides adapt. No given mode of political action is historically inviolable. Indeed, over time, there is an increasing need to discard familiar tactics as the forces and entities they are marshalled against learn to defend and counter-attack them effectively. It is in part the contemporary left’s inability to do so which lies close to the heart of the contemporary malaise.

13. The overwhelming privileging of democracy-as-process needs to be left behind. The fetishisation of openness, horizontality, and inclusion of much of today’s ‘radical’ left set the stage for ineffectiveness. Secrecy, verticality, and exclusion all have their place as well in effective political action (though not, of course, an exclusive one).

14. Democracy cannot be defined simply by its means — not via voting, discussion, or general assemblies. Real democracy must be defined by its goal — collective self-mastery. This is a project which must align politics with the legacy of the Enlightenment, to the extent that it is only through harnessing our ability to understand ourselves and our world better (our social, technical, economic, psychological world) that we can come to rule ourselves. We need to posit a collectively controlled legitimate vertical authority in addition to distributed horizontal forms of sociality, to avoid becoming the slaves of either a tyrannical totalitarian centralism or a capricious emergent order beyond our control. The command of The Plan must be married to the improvised order of The Network.

15. We do not present any particular organisation as the ideal means to embody these vectors. What is needed — what has always been needed — is an ecology of organisations, a pluralism of forces, resonating and feeding back on their comparative strengths. Sectarianism is the death knell of the left as much as centralization is, and in this regard we continue to welcome experimentation with different tactics (even those we disagree with).

16. We have three medium term concrete goals. First, we need to build an intellectual infrastructure. Mimicking the Mont Pelerin Society of the neoliberal revolution, this is to be tasked with creating a new ideology, economic and social models, and a vision of the good to replace and surpass the emaciated ideals that rule our world today. This is an infrastructure in the sense of requiring the construction not just of ideas, but institutions and material paths to inculcate, embody and spread them.

17. We need to construct wide-scale media reform. In spite of the seeming democratisation offered by the internet and social media, traditional media outlets remain crucial in the selection and framing of narratives, along with possessing the funds to prosecute investigative journalism. Bringing these bodies as close as possible to popular control is crucial to undoing the current presentation of the state of things.

18. Finally, we need to reconstitute various forms of class power. Such a reconstitution must move beyond the notion that an organically generated global proletariat already exists. Instead it must seek to knit together a disparate array of partial proletarian identities, often embodied in post-Fordist forms of precarious labour.

19. Groups and individuals are already at work on each of these, but each is on their own insufficient. What is required is all three feeding back into one another, with each modifying the contemporary conjunction in such a way that the others become more and more effective. A positive feedback loop of infrastructural, ideological, social and economic transformation, generating a new complex hegemony, a new post-capitalist technosocial platform. History demonstrates it has always been a broad assemblage of tactics and organisations which has brought about systematic change; these lessons must be learned.

20. To achieve each of these goals, on the most practical level we hold that the accelerationist left must think more seriously about the flows of resources and money required to build an effective new political infrastructure. Beyond the ‘people power’ of bodies in the street, we require funding, whether from governments, institutions, think tanks, unions, or individual benefactors. We consider the location and conduction of such funding flows essential to begin reconstructing an ecology of effective accelerationist left organizations.

21. We declare that only a Promethean politics of maximal mastery over society and its environment is capable of either dealing with global problems or achieving victory over capital. This mastery must be distinguished from that beloved of thinkers of the original Enlightenment. The clockwork universe of Laplace, so easily mastered given sufficient information, is long gone from the agenda of serious scientific understanding. But this is not to align ourselves with the tired residue of postmodernity, decrying mastery as proto-fascistic or authority as innately illegitimate. Instead we propose that the problems besetting our planet and our species oblige us to refurbish mastery in a newly complex guise; whilst we cannot predict the precise result of our actions, we can determine probabilistically likely ranges of outcomes. What must be coupled to such complex systems analysis is a new form of action: improvisatory and capable of executing a design through a practice which works with the contingencies it discovers only in the course of its acting, in a politics of geosocial artistry and cunning rationality. A form of abductive experimentation that seeks the best means to act in a complex world.

22. We need to revive the argument that was traditionally made for post-capitalism: not only is capitalism an unjust and perverted system, but it is also a system that holds back progress. Our technological development is being suppressed by capitalism, as much as it has been unleashed. Accelerationism is the basic belief that these capacities can and should be let loose by moving beyond the limitations imposed by capitalist society. The movement towards a surpassing of our current constraints must include more than simply a struggle for a more rational global society. We believe it must also include recovering the dreams which transfixed many from the middle of the Nineteenth Century until the dawn of the neoliberal era, of the quest of Homo Sapiens towards expansion beyond the limitations of the earth and our immediate bodily forms. These visions are today viewed as relics of a more innocent moment. Yet they both diagnose the staggering lack of imagination in our own time, and offer the promise of a future that is affectively invigorating, as well as intellectually energising. After all, it is only a post-capitalist society, made possible by an accelerationist politics, which will ever be capable of delivering on the promissory note of the mid-Twentieth Century’s space programmes, to shift beyond a world of minimal technical upgrades towards all-encompassing change. Towards a time of collective self-mastery, and the properly alien future that entails and enables. Towards a completion of the Enlightenment project of self-criticism and self-mastery, rather than its elimination.

23. The choice facing us is severe: either a globalised post-capitalism or a slow fragmentation towards primitivism, perpetual crisis, and planetary ecological collapse.

24. The future needs to be constructed. It has been demolished by neoliberal capitalism and reduced to a cut-price promise of greater inequality, conflict, and chaos. This collapse in the idea of the future is symptomatic of the regressive historical status of our age, rather than, as cynics across the political spectrum would have us believe, a sign of sceptical maturity. What accelerationism pushes towards is a future that is more modern — an alternative modernity that neoliberalism is inherently unable to generate. The future must be cracked open once again, unfastening our horizons towards the universal possibilities of the Outside.

Best wishes

Ralf

Ralf,
Yes, this is an interesting point…I would concur that part of China’s success in managing it’s industrial policy more effectively than the Soviet Union did is modern information technology capabilities and big data.  What China is doing in the area of „social capital“ with this has, for me, truly frightening potential, if they „export“ it the way they have exported their surveillance systems to Bolivia and Ecuador…
Evan

Dear Evan,

yes, Chile´s Cybersyn could become the blueprint for a Chinese cybernatic economy.

In China IT and especially Artificial Intelligence has become some sort of national futuristic religion to Orwellian degree.They also  want to set up a computerized social boni system, which analyzes your social contacts, your communication and your social behaviour in real world and social media and gives you good or bad points which decide if you get housing, a working place, a study place, a carrer, propmotion or state welfare and transfers.That´s mindcontrol, but much more sophisticated than the brute force of Orwell´s 1984.With this computerized central socal boni sytsem the Chinese citizen will be transformed from a law-abiding citizen to a boni-abiding citizen and algorithsm instead of courts are the new justice.

Best wishes

Ralf

Über Ralf Ostner

Ralf Ostner geboren 1964 in Frankfurt am Main, 1984 Abitur in Bayern--Leitungskurse: Physik und Kunst/ Schülerzeitung. Studium der Physik (Nebenfächer: Mathematik, Chemie), Wirtschaftsgeographie (Nebenfächer: BWL, VWL) und Studium der Sinologie. 1991 Abschluss als staatlich geprüfter Übersetzer in der englischen und chinesischen Sprache am Sprachen- und Dolmetscher-Institut/München (Leiter der Chinesisch-Abteilung: Herr Zhang, ehemaliger Dolmetscher von Deng Xiaoping und Franz-Josef Strauß).Danach 5 Jahre Asienaufenthalt: China, Indien, Südostasien (u.a. in Kambodscha während des ersten Auslandseinsatzes der Bundeswehr, Interviews mit Auslandschinesen, Recherche im Karen-Guerillagebiet in Burma, Unterstützung einer UNO-Mitarbeiterin während den Aufständen in Nepal und bei UNO-Arbeit in Indien), Australien. Danach 5 Jahre als Dolmetscher, Delegationsbegleiter und Übersetzer in München. Abendstudium an der Hochschule für Politik /München (Schwerpunkt: Internationale Beziehungen). Abschluss als Diplom-Politologe (Diplomarbeit: Die deutsch-chinesischen Beziehungen 1989-2000 unter besonderer Berücksichtigung der SPD-Grünen-Regierung). Delegationsbegleitung von Hu Ping, Chefredakteur der chinesischen Dissidentenzeitung "Pekinger Frühling" (New York)und prominentester Vertreter eines chinesischen Liberalismus bei seiner Deutschlandtour (Uni München, Uni Mainz, Berlin/FU-Humboldt) bei gleichzeitigem Kontakt mit Liu Liqun (Autor des Buches "Westliches Denken transzendieren"/ heute: Deutschlandberater der chinesischen Regierung).Chefredakteur der Studentenzeitschrift UNIPOL . Projekte am Goethe-Institut und bei FOCUS TV. Seit 2000 Übersetzer (chinesisch-deutsch), Graphiker, freier Schriftsteller und Blogger.
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