Since the fall of Thatcher, the prolonged Tory crisis over European unity has not been resolved. The new stage of European capitalist integration posesa huge question mark over the whole of Tory political strategy.
During the 1980s the Thatcher project combined the following elements. First to deliver major defeats to the labour movement, second to export large amounts of the capital gained from North Sea oil to more profitable areas abroad, and third to encourage inward investment form the US and Japan. In this framework it was quite possible to remain in the European Community (EC), while maintaining a nationalist rhetoric which is central to Conservative political ideology. Indeed, being part of the EC aidec inward investment, because Japan in particular 11c00 Britain as a launch pad to penetrate European markets The Tories could live with the single European market; but the problem became acute when it became apparent that the EC was serious about moving towards a higher form of economic and political unity. It was obvious that whole sections of the Tory party would oppose it.
Tory nationalism
The dilemmas were acutely posed by Geoffrey Howe when he resigned from the Cabinet. Big sections of capital want to make sure Britain is not left out of Europe, and the City of London is also worried about being excluded. But the prospect of having major decisions made y new supra-state institutions in Europe strikes at the heart of Tory nationalism. It is a question of which institutions command popular loyalty will they continue to be those of the Crown and Parliament, or EuropeanJuly 20, 1991 No. 6 wide institutions? The political dimension of this is crucial: Toryism in Britain, like Gaullism in France, has always been distinguished by a strident nationalist trend. quite different to the German or Italian Christian Democrats, who are quite prepared to accept federalism. should add that Thatcher and her supporters were particularly linked sections of British capital dependent on the North American market, rather than Europe. But these sections of capital are really a minority in the capitalist class, both in the CBI and the City. Fear of 'federalism' While the Thatcherites are utilising "Toryism in Britain, like Gaullism in France, has always been distinguished by a strident nationalist trend. This is quite different to the German or Italian Christian Democrats, who are quite prepared to accept federalism" united capitalist Europe? It is important here to distinguish rhetoric and reality. The overall trend is towards an increas ingly united Western Europe dominated by its most powerful economic and political force - German capital. But the German ruling class wants this on its own terms - a 'harmonisation' conomics, especially monetary policy vith the harsh anti-inflaționary policy of the German Bundesbank. United capitalist Europe No one should have doubt what this means. A united capitalist means devastation for huge swathes of industry, especially on the periphery of Europe, which cannot compete with the manufacturing strength of its Germandominated heartland. It would not be a Europe where suddenly all workers had the prosperity of workers in western This is We with Spain's Felipe Gonzalez fear 'federalism' to strengthen their factional position in the Tory party, Major is really which will have connot making fun- trol of the decisive indamental choices stitutions, like a new but attempting to European hold the Tories bank. Jaques Delors' together to win vision of the European the next election. Commission and the What are the European Parliament real plans being as really developed for a democratic institutions is a non starter. The French government itself does not even support Delors. In fact, being discussed today Europe tions. Germany or where the Social Charter eliminates poverty. On the contrary, it would be a Europe of a very tough anti-working class regime. We would see permanent rates of unemployment much higher than the highest in Éurope today like those in France and Spain.
In all the plans for European unity, it is German capitalism which will call the shots. And German capitalism will not go for new supra-national institutions central "An increasingly united capitalist Europe will be a Europe which attempts to crush any democratic control powerful of its institutions" the type of European unior would even strengthen the power of the individual have state apparatuses, against any form of democratic control. An increasingly united capitalist Europe will be a Europ which attempts to crush any democratic con trol of its institutions. It will be a harsh horse. right-wing Europe, with real 'politics' done behind the backs of the masses in the corridors of central economic instituLabour Movement The right-wing Europe which is in the making is not a 'German-dominated' Europe, but a Europe dominated by German capital. This distinction is important the German labour move ment in future struggles. Two of the crucial labour movement forces in capitalist Europe in the past 40 years have been the German and Italian and their mass parties, the German Social Democrats (SPD) and the Italian Communists (PCI). Now the Italian Communists are in full retreat and collapse. The Ochetto leadership of what now calls itself the Party of Democratic Socialism (PDS) collapsing rightwards at an horrendous rate, and their likely future is to be gobbled up by the right wing Social Democrats under Craxi. Of course, it is very good that the 'refounders', who have split from the PDS will have maybe 150,000 in their new party, but that is very weak compared with the 1.75 million in the old Italian Communist Party.
The German labour movement has been an immense point of support for progressive policies like the 35-hour week, and is a major objective factor in the organisational strength of the European working class. So there is nothing 'anti-German' in outlining the reactionary consequences of the domination of German capital. This relates to the political develope ment European workers movement. Much of social democracy has shifted to the right. But there is also utter shipwreck in the Communist and exparties. In many places there are forces in those parties which don't simply wantto collapse into social democratic or openly pro-capitalist politics. Socialists have to reach out to those forces. To do that we to break with knee-jerk Stalinophobic attitudes. We are in a postStalinist situation. To imagine that the central, or even a major task today is 'the fight against Stalinism' is to flog a dead Right wing What will be the reaction of the right wing to a Europe dominated by German capital? In Britain the Thatcherites certainly think they have a future on a nationalist anti-German basis. They have been extending their attempts to linkup with the French right. The Bruges
French troops: Mitterrand is pressing for a joint European strike force groupintne lory party nas been at meetings 'attended by deputies from the French Front National. Chirac and the Gaullists in France have drawn back from their enthusiastic Europeanism, and are preparing to play the nationalist card.
What we are seeing is the possible birth of a nationalist-populist 'antifederalist' right wing throughout Europe.
World system How close are we to this vision of a united capitalist Europe? Despite the rhetoric, things havetemporarily slowed down, for two reasons. First, Germany is insistent that montary union will take place on its own terms; they have delayed monetary union from 1994 to 1997 to ensure that this happens. Second, there are the political consequences in Europe of the Gulf war, which relate directly to ideas about a common European foreign, security and defence policy.
During the Gulf war and after, leading German politicians like Kohl, foreign mınc er cónccer zn cnce mınccer Stoltenberg sent'a very clear message to Washington that on matters of high state. policy they "Despite the European security would not at- system being based on NATO, a tempt to form a joint European strike force will European bloc probably go ahead. This would be Washington: galnsı aimed primarily at supporting the The crux of the United States in policing the third matter is this; will there be a common forum for developing European foreign policy and security view which excludes the Americans? And crucially, will there be a military command structure based on Europe, outside the framework of the US-dominated NATO? For the moment at least, the Germans say no. Mitterrand says yes, but the German view prevails.
Despite the European security system being based on NATO, a joint European strike force will probably go ahead. This would be aimed primarily at supporting the United States in policing the third world. If it was under NATO control. the US will have no objections.
EC responsibility There are two qualifications to this overali scheme. The EC will want to have its own areas of responsibility, and has in a very limited way tried to develop a specifically 'European' approach" Yugoslavia, although there has been much co-ordination with the US.Second, German capitalism wants to be free to develop its own sphere of interest -specifically towards dominating as much of eastern Europe as possible, and dereloring close links with the Soviet which are a precondition for its operations in eastern Europe.
In other words German capitalism has for the moment decided not to go along with the French drive for Europe versus America'. And that means that the drive for capitalist unity in Europe has to some extent been put back.
This has a bearing on the whole world political system which will come out of the Gulf war. We should not come to premature conclusions about an intensification of trade wars or even sharper conflicts between the three main capitalist blocs - Europe, North America and Japanese-dominated Asia. Neither the US nor Europe wants a trade war now. But there is a sharp trade war developing between Europe and Japan. The way the world system will develop is open, despite the tremendous turbulence which exists in the post-Gulf war situation.
The real question is what the United States will do in the face of its delining economic position in relation to Europe It faces two central dilemmas. First, should it launch an economic and political battle for absolute dominance of the capitalist world now, with all the consequences that would have? They are not convinced it is absolutely neces• sary, 011÷| other hand in tens years time they will ›e in a weaker economic position to do it. The carono fe that, to really compete in the interna-. tional economy, they renovate their productive structure dramatically. First and foremost that means drastically cutting the huge unproductive drain which their vast military forces impose. But much of their political and economic power is linked to that militarism, and to After the Gulf war, we have to ask: are we drifting to 'ultra-imperialism', an arrangement between the major imperialist powers in waich contalers tail e minimised, and the world carved up into co-operating spheres of influence, behind the US, Germanv and Tapan. There are real signs of this. European, Japanese and US capital is not just competing, it is also fusing in important areas.
But for 'ultra-imperialism' to be successful, it has to forge new international political structures to police it. Here we come to the real dilemma; whose military and political authority will be imposed internationally? In Western Europe some capitalist politicians say hat this new international power shouk be the United Nations, not the United States itself. But that has consequences; Germany and Japan would have to be permanent members of the UN Security Council, something which means Mitterrand: shrugging it off diminishing the power of Britain, France and the US itself. The Soviet Union strongly backs German entry into the Security Council, but the other capitalist powers would block it.
In any case, in the Gulf war, through his rhetoric about the 'New World Order' George Bush stole the hunder of those who wanted the UN to be the focus of a new international order. It seems like a non-starter for the mo ment. Socialist response The left has to grasp that beneath all the changes taking place in Europe the cold war is still going on. By that I mean there is still a tremendous trade embargo against eastern Europe which with the collapsé of the state-ised economies is causing tremendous hardships to the peoples Jacques Delors of eastern Europe. We saw that when the trade barriers come down, as they did partially in Hungary and Poland, then exports from these countries rise rapidly.
The West, including the EC, is carrying on a cynical operation promising aid in return for privatisation, creating the basis for the destruction of native industries like the Polish steel industry, and thetaking over of the most profitable sectors by Western capital.
This then is the twin attack being prepared on the peoples of Europe. The tragedy of capitalist restoration in eastern Europe, together with the bulding of a 'fortress' capitalist super-state under the domination of German capital on the other.
Socialist programme
Socialists must counterpose their own programme to this, and it must be a Europe-wide programme. First, wemust defend basic working class organisation and gains - and fight to extend them. This means the fight against redundancies and austerity, against the effects of the Single Market. It means an international fight for the 35-hour week, and the many.
End blockade
A united Europe potentially creates the basis for the liberation of the productive forces and their use to reduce working time, boost prosperity, develop every aspect of social services, defend the environment and create a new order of peace and equality. The working class and its organisations cannot repond with neutrality to the bosses' planis for Europe, east or west. We have to argue strongly against the continued economic blockade of eastern Europe and against the privatisation and destruction of the industries in those countries.
For such a programme to become a reality it is necessary to redouble efforts at Europe-wide working class organisation and co-ordination. The plans for a bosses' Europe cannot be fought country-by-country: No.6 July 20, 1991 Page 9
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