‘Obama Humiliated’ on AIIB

From left, right, and center, the Obama Administration is getting slammed for opposing the Asian Infrastructure Investment Bank (AIIB), and for seeking to dissuade nations from joining. As of today, there are 32 nations either confirmed to be AIIB founding members, or in the process of doing the paperwork. The United States is the odd man out.

A selection from the latest batch of attacks:

• “Diplomatic Disaster: Obama Humiliated by Allies’ Rush to Join China’s New Bank.” In the Washington Times March 18, David R. Sands writes that, “The battle of wills between Beijing and Washington over a China-sponsored development bank for Asia is turning into a rout, and the Obama Administration has found itself isolated and embarrassed….”

• U.S. Allies, Lured by China’s Bank The New York Times conveys the sense of failure from the Obama administration, in this piece from March 20th.

• “An Influential Voice Slams U.S. Handling of New China-Led Infrastructure Bank.” In a ChinaRealTime posting run by the Wall Street Journal, March 19, writer Ying Ma features the criticisms of Robert Zoellick, former World Bank president, and U.S. Trade Representative and Deputy Secretary of State in the George W. Bush administration.

Obama’s approach is “mistaken both on policy and on execution.” Zoellick means that the U.S. should have seen the AIIB as an “opportunity” to push on China, U.S. objections such as anti-corruption, and governance issues. “If I had been at the World Bank, I would have tried to embrace the AIIB as a partner,” Zoellick said. On Obama’s failure of “execution” of policy, author Ying Ma wrote that no alternative to shunning the AIIB was proffered by the U.S. to nations. Zoellick said, “After the Obama administration pressured allies and partners not to join, it seemed to drop the ball….”

• “China Takes a Jab at U.S. as Europeans Back Asian Bank.” In the Washington Post March 19, Simon Denyer reports on “the significant diplomatic setback for the United States…[with]…the European decision to break ranks with Washington,” over the AIIB. Specific criticisms by three individuals are reported.

David Sedney, former State Department official: “The Administration has made a major mistake. Not just our refusal to take part in the bank, but the pressure on our allies not to take part, was very short-sighted…. And it is clearly going to go ahead whether we like it or not….”

Thomas Wright, at the Brookings Institution, wrote that the U.S. policy on the AIIB has been “confused and contradictory.”

Paul Haenle, Director of the Carnegie-Tsinghua Center in Beijing, said the Obama Administration has “played it very badly…. We are going to come out looking insecure and weak…”