January 10: United States

U.S. President George W. Bush lifts a ban on oil and gas drilling in Bristol Bay, Alaska. The Interior Department will conduct an assessment of the land, which is estimated to contain some 200 million barrels of oil and about five trillion cubic feet of natural gas. Environmentalists and local fishing communities oppose the drilling; while proponents point to the need for energy security.

January 11: United States

U.S. President George W. Bush outlines a new military plan for Iraq that proposes sending an additional 20,000 U.S. troops in an effort to control rising sectarian violence. The plan also promises an additional $1 billion in aid for Iraq’s reconstruction. Critics of the plan say that sending 20,000 extra troops is not enough to fight the growing insurgency, and will prevent the Iraqis from taking responsibility for their own future.

January 12: United States

U.S. troops raid an Iranian consulate in the northern Iraqi town of Irbil, seizing computers, papers, and six staff members believed to have compromised Iraqi and U.S.-led coalition forces The United States continues to accuse Iran of destabilizing Iraq and seeking nuclear arms, while Iran denies both charges. It further counters that U.S. military involvement in the Middle East endangers the whole region.

January 31: United States

Stuart Bowen, the Special Inspector General for Iraq Reconstruction, issues a report stating that millions of dollars in U.S. rebuilding funds have been squandered. For example, it noted that despite spending 23 percent of the funds on rebuilding electrical capacity, electricity production remains at the pre-war level. The report comes at a time when U.S. President George W. Bush is asking Congress to approve an additional $1.2 billion for Iraq’s reconstruction.

February 17: United States

The U.S. House of Representatives passes a resolution criticizing President George W. Bush’s plan to send more troops to Iraq. Although the resolution is non-binding, it sends a message to the President that his Iraq policy needs a new direction.

March 29: United States

According to the 2006 Networked Readiness Index published by the World Economic Forum (WEF), the United States has lost its position as the world leader in technological advancement, falling to seventh place. The top position has been taken by Denmark. The WEF made its ranking based on the integration of technology in business, the available infrastructure, government policy encouraging innovation and progress, and leadership in promoting the usage of the latest information technology tools.

April 2: United States

South Korea and the United States agree on a free-trade deal after ten months of talks. The two governments say that removing tariffs and other trade barriers will boost commerce between the two countries by 20 percent. The deal sparks opposition on both sides. The trade agreement, which is the largest for the United States since the North American Free Trade Agreement signed in 1992 and the largest ever for South Korea, requires legislative approval in both countries.

April 2: United States

The U.S. Supreme Court decides that it will not rule on the constitutionality of an anti-terror law passed by Congress in 2006. The provision in question, upheld by a federal appeals court in Washington, prevents the detainees held at Guantanamo Bay from challenging their detentions in U.S. civil courts. The law allows keeping the 385 camp prisoners indefinitely as “enemy combatants.” The United States plans to prosecute about 80 prisoners in special military tribunals.

April 4: United States

Amnesty International issues a report that criticizes harsh and inhumane conditions of detainees at the United States detention camp at Guantanamo Bay, Cuba. The report says that many of the 385 detainees have been held there for at least five years, most in solitary confinement, and are unable to challenge their detention. Amnesty International calls for the United States to either send the prisoners to trial or release them.

May 3: United States

U.S. Secretary of State Condoleezza Rice and Syrian Foreign Minister Walid Muallem meet in Egypt to discuss the situation in Iraq. Both countries endorse a five-year International Compact for Iraq (ICI), according to which Iraq will implement reforms promoting national reconciliation and will receive financial assistance.

May 9: United States

The Clinton Foundation and two Indian generic drug companies, Cipla Ltd. and Matrix Laboratories Ltd., agree to lower the price of HIV/AIDS drugs. The companies worked to reduce the cost of production by using cheaper materials and improved techniques. The drug will be available to sixty-six developing countries in Africa, Asia, and Latin America.

May 25: United States

Both houses of the U.S. Congress approve a bill funding the wars in Iraq and Afghanistan with no timetable for U.S. troops to withdraw. The bill reflects a compromise between Republican and Democratic parties. However, opinion polls suggest that a majority of Americans think that the war is going badly, and that there should be a timetable for troop withdrawal from Iraq.

May 29: United States

The United States toughens its sanctions against Sudan, protesting the government’s alleged involvement in killings in the region of Darfur. More Sudanese companies and individuals involved in the violence will be barred from trading or banking with the United States. Sudan, however, can still rely on major commercial partners such as China.

May 30: United States

The United States President George W. Bush nominates Robert Zoellick, former deputy secretary of state, to be the new president of the World Bank. He will replace Paul Wolfowitz, who is stepping down after a scandal over his role in securing a promotion and pay raise for his girlfriend. Zoellick was the United States’ Trade Representative from 2001 to 2005.

June 4: United States

Russian President Vladimir Putin threatens to retaliate if the United States deploys its missile defense system in Eastern Europe. Russia rebukes U.S. claims of a potential threat from rogue states, such as Iran and North Korea, and blames the United States for starting a new arms race.

July 10: Canada

Canadian Prime Minister Stephen Harper unveils his government’s plan to reassert Canada’s claim to sovereignty over Arctic waters. The plan includes building six patrol ships with ice-breaking hulls to make the country’s presence visible in the area. Canadian claims are challenged by Russia, which has sent an exploratory submarine to Arctic waters to find an underwater ridge, a proof that the northern continent is an extension of Russia’s continental territory. The Arctic is thought to be rich in natural resources, including gas, oil, and diamonds. Other countries state that the Arctic waters are international territory.

July 17: United States

After meeting with U.S. President George W. Bush, Polish President Lech Kaczynski reaffirms Poland’s decision to allow parts of a U.S. missile defense system on its territory. Russia, however, is against the project, and threatens that if the United States proceeds, Russia will point its missiles at Europe. Three days earlier, Russia suspended the 1990 Conventional Forces in Europe Treaty (CFE), which limits the amount of major conventional weapons deployed between the Atlantic Ocean and the Ural Mountains.

August 2: Canada/United States

Russia plants its flag on the seabed 14,000 feet below the North Pole, staking claim to a large part of the Arctic territory. Other countries bordering the Arctic — the United States, Canada, Denmark, and Norway — challenge Russia’s claim. According to current laws, countries bordering the Arctic are granted 200-nautical-mile economic zones beyond their land borders.

August 15: United States

Japan gives the Palestinian Authority $20 million in aid and humanitarian assistance in order to boost economic relations between Israel and the Palestinian Territories and revive the peace process. Earlier in the month, U.S. Secretary of State Condoleezza Rice signed an aid deal granting the Palestinian Authority $80 million to reform its security services and strengthen the Fatah leadership.

August 16: United States

The United States signs a military aid agreement with Israel, providing Israel with $30 billion over the next 10 years. Israel is allowed to spend 26 percent of the aid money on military equipment from local companies. The rest, however, has to be spent on US arms. The Israeli Prime Minister Ehud Olmert says the aid will help preserve Israel’s military advantage among the countries in the Middle East.

September 4: United States

The U.S. Government Accountability Office (GAO), a non-partisan Congressional oversight body, issues a report on progress in Iraq. The report finds that only three out of 18 political and military benchmarks set by the U.S. Congress have been fully met by the Iraqi government. It says that the Iraqi government’s performance has been poor, failing to fulfill key goals of reducing sectarian violence, passing laws on oil revenue sharing, and ensuring safe streets, clean water, electricity, and other basic necessities for their citizens. In the meantime, U.S. President George W. Bush strongly defends his Iraqi policy, saying there is evidence that the Iraqi government is beginning to work.

September 11: United States

The top U.S. military commander in Iraq, General David Petraeus, delivers a report to Congress on the progress of the U.S. military surge in Iraq. According to his report, sectarian violence has declined since the start of the surge, and the 30,000 surge troops could be withdrawn by mid-2008. However, his report also states that the situation in Iraq remains difficult. According to a survey for the BBC, ABC News, and NHK (Japan Broadcasting Corporation), 70 percent of the Iraqis polled believe that the surge has failed, hindering the conditions for political reconciliation and reconstruction.

September 14: North America

Ice cover in the Canadian Arctic shrinks to record lows and allows the Northwest Passage to become fully navigable, opening the most direct shipping route between Europe and Asia. The European Space Agency (ESA) reports that the shrinkage of ice has been steady and raises concerns about the speed of global warming. The opening of the new route has already caused international disputes. While Canada claims control over the passage, the European Union and the United States say the passage should be an international strait.

October 7: United States

Costa Rican voters narrowly approve a controversial free-trade agreement with the United States, the Central American Free Trade Agreement (CAFTA), in a national referendum. If approved by the Costa Rican parliament, the agreement will abolish all trade barriers among Costa Rica and other CAFTA members over the next ten years.

October 9: United States

The Gates Foundation commits another $100 million, on top of the $450 million already committed, for the Grand Challenges Explorations initiative, which supports innovative research projects to promote global health. The initiative encourages scientists to explore new creative methods that could lead to development of new vaccines, diagnostics, medicines, and other technologies that would prevent the spread of deadly diseases around the world.

October 15: United States

The World Trade Organization (WTO) rules that cotton subsidies to American farmers by the United States government are illegal. Cotton industries in West Africa and Brazil welcome the ruling, saying the subsidies drive down prices, making it difficult for cotton farmers in developing countries to compete.

October 18: United States

The United States awards a Congressional Gold Medal to the exiled Tibetan spiritual leader, the Dalai Lama, for his contributions to peace, nonviolence, human rights, and religious understanding. U.S. President George W. Bush attends the ceremony at the U.S. Capitol. Past recipients of this top civilian honor include Pope John Paul II, Nelson Mandela, and Mother Teresa. The award enrages China, which considers the Dalai Lama a separatist. China accuses the United States of interference in its internal affairs.

October 22: United States

United States President George W. Bush asks Congress to approve the first installment ($500 million) of the proposed $1.4 billion-aid program to help Mexico fight drug trafficking. Upon approval by the U. S. Congress, the program will pay for equipment, such as helicopters, boats, and inspection equipment, as well as intelligence and training. Critics of the plan question whether the plan will be effective, saying that it is not designed to tackle the core of the drug problem, such as corruption and demand for drugs.

November 2: Mexico

Mexican authorities seize 23.5 tons of cocaine concealed in two cargo containers on a ship from Colombia, making it one of the world’s largest drug seizures. The drugs’ value is estimated at more than $400 million. In October, the country’s soldiers captured more than 11 tons of cocaine at the port of Tampico. The recent drug seizures demonstrate President Felipe Calderon’s commitment to fighting illegal drugs and drug cartels. This year alone, about 2,350 people have been killed in Mexico as a result of drug violence.

November 5: United States

Five U.S. soldiers are killed by roadside bombs in the Iraqi provinces of Kirkuk and Anbar, bringing the number of U.S. troop casualties in 2007 to over 850. This makes 2007 the deadliest year for U.S. troops since the invasion of Iraq in 2003. According to the independent organization icasualties.org, to date 3,857 U.S. troops have been killed in the conflict.

November 27: United States

The United States gathers more than fifty countries and international organizations at the U.S. Naval Academy in Annapolis, Maryland, for a meeting intended to reopen peace talks between Palestinians and Israelis and build international support for a Palestinian state. The issues for discussion include sharing Jerusalem, borders, water, security, and the future of Palestinian refugees. In a joint statement, the Israeli Prime Minister Ehud Olmert and the Palestinian President Mahmoud Abbas promise to make every effort to reach a full peace deal before the end of 2008. Hamas, which controls the Gaza Strip and is not represented in Annapolis, holds protests denouncing the conference and President Abbas.

December 3: United States

A new National Intelligence Estimate from the sixteen U.S. intelligence agencies reports that Iran stopped its nuclear weapons program in 2003 in response to international pressure. Iran welcomes the report and reiterates that its nuclear program is for peaceful purposes only. The report’s findings might make it more difficult for the United States and Europe to justify imposing further sanctions on Iran.