South Africa scores by taking on Israel

South Africa has scored a diplomatic triumph by taking Israel to court [View in browser]( [Bloomberg]( Welcome to Balance of Power, bringing you the latest in global politics. If you haven’t yet, sign up [here](. No matter how the International Court of Justice rules on Israel’s bombardment in Gaza today, South Africa will have made its mark. The 17-judge panel at the Hague is deciding whether to order Israel to end its three-month campaign against Hamas in Gaza, something the court has no power to enforce. South Africa’s [broader charge of genocide]( will take years to consider. Regardless of the outcome, Pretoria has picked a moment when Israel is coming under growing pressure, as images of destruction and a worsening humanitarian crisis spark revulsion and pro-Palestinian demonstrations around the world. Prime Minister Benjamin Netanyahu’s government [argues that it’s defending itself]( after Hamas — designated a terrorist group by the US and the European Union — attacked Israel on Oct. 7 and claimed 1,200 lives — the most extensive mass murder of Jews in a single day since the Holocaust. But he’s looking increasingly isolated internationally the longer the war continues. While the US has refrained from demanding a cease-fire, the case is the latest in a series of diplomatic moves by South Africa to rally the Global South, including seeking peace in Russia’s war in Ukraine. It’s given President Cyril Ramaphosa a chance to claim the moral high ground as his government faces mounting criticism at home for its failure to deal with an energy crisis and rampant crime. His African National Congress may lose its parliamentary majority in elections this year for the first time since 1994. The Palestinian cause has long struck a chord in South Africa, where many draw parallels between Israel’s occupation and apartheid, the system of institutionalized racial segregation that ended in the early 1990s. Championing the Palestinians’ plight at the United Nations’ top court has restored a sense of pride in South Africa, and may resonate worldwide. — [Karl Maier]( Relatives mourn people killed during Israeli bombardment in Khan Younis on Jan. 7. Photographer: Ahmad Salem/Bloomberg Global Must Reads Joe Biden touted better-than-expected US economic growth on the campaign trail in Wisconsin, a critical battleground in a likely rematch with Donald Trump in November’s election. The expansion is welcome news for the president, who has [struggled to convince]( voters his policies are working, and he has seized on data showing Americans might slowly be feeling more positive about the economy. President Vladimir Putin has put out feelers to the US via indirect channels to signal he’s [open to talks]( on ending Russia’s war in Ukraine, sources say. The discussions could extend to security arrangements for Ukraine including even eventual NATO membership, but it would come at a cost that Kyiv has rejected - Kremlin control over occupied territory. US officials say they’re not aware of the overtures. Kim Jong Un’s aggressive rhetoric in recent weeks has stoked speculation that the North Korean leader might be preparing for war. But Kim has [at least one new reason]( to avoid conflict: thanks to weapons sales to Russia and expanding trade with China, economic growth is on track to accelerate to the strongest in almost a decade. Kim Jong Un and Russian Defense Minister Sergei Shoigu visit an arms exhibition in Pyongyang, July 2023. Source: KCNA/KNS French far-right leader Marine Le Pen raised doubts over her party’s continued ties to Germany’s AfD party after a “re-migration” scheme with Nazi overtones was uncovered and triggered mass protests. Le Pen’s National Rally belongs to the same group as the anti-immigrant AfD in the European Parliament, which is due to hold elections in June, and Le Pen said yesterday that [this relationship is now up for discussion](. Enraged at the US and Europe for not doing more to get Israel to end its offensive in Gaza, consumers across the Middle East and in Muslim nations such as Pakistan [are shunning foreign brands]( like Starbucks and McDonald’s and opting for local alternatives. It’s the latest example of how global chains are increasingly being forced to grapple with geopolitical upheaval and polarizing scenarios. China reiterated its call for Houthi militants to halt [attacks on Red Sea shipping](, comments that come after Beijing reportedly asked Tehran to help rein in the rebel group. The disapproval rating for South Korean President Yoon Suk Yeol hit its highest level in about nine months in a major poll [amid escalating questions]( over whether the First Lady inappropriately received a designer bag. US Republican presidential candidate Nikki Haley raised $50.1 million in the last six months of 2023, a source says, [a haul fueled by Wall Street]( and corporate executives who are seeking to stop Trump’s White House comeback bid. Washington Dispatch The jury in the New York writer E. Jean Carroll’s [defamation lawsuit]( against Trump will begin deliberating today on how much, if anything, he should pay her in damages. Those deliberations begin after an extraordinary few minutes yesterday when the former — and perhaps future — president took the stand in his defense. Just two days after winning the New Hampshire primary and with much of the Republican Party proclaiming him as the 2024 nominee, Trump’s brief testimony in the US District Court in Manhattan came with sharp restrictions by Judge Lewis Kaplan. Last year, a separate jury found Trump liable for sexually assaulting Carroll. Kaplan found him liable for defamation, so this jury will decide just on damages. Kaplan had prohibited Trump from denying Carroll’s allegation that he raped her in the dressing room of a New York department store in the 1990s. He also warned Trump’s lawyers against turning his testimony into a campaign speech. On his Truth Social platform later, Trump dismissed the proceeding as “a False Accusation case.” One thing to watch today: Data on Americans’ personal income and spending in December will be released. [Sign up for the Washington Edition newsletter]( for more from the US capital and watch Balance of Power at 5pm ET weekdays on Bloomberg Television. Chart of the Day The fortunes of Europe’s lowest-paid workers are set to improve this year, as hikes in minimum wages outstrip inflation in many countries, [an EU study showed](. The real-terms pay increases suggest a “turning of the tide” on the trend of eroding purchasing power seen in early 2023, according to Eurofound, an EU agency for providing knowledge to help improve social and employment policies. And Finally Shipping has long been one of the most polluting industries, but it’s starting to respond to intensifying pressure from major customers like Ikea and Amazon to tackle emissions. Shipping line Maersk has just unveiled the world’s first ocean-going [container vessel powered by “green methanol,”]( a cleaner form of fuel. Maersk is also studying ammonia and battery power as part of its ambitions to reach net-zero emissions by 2040. A methanol-powered Maersk ship in Ulsan. Photographer: SeongJoon Cho/Bloomberg Pop quiz (no cheating!) 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