What's new

Russia and China announce decoupling trade from US Dollar

Raphael

SENIOR MEMBER
Joined
Mar 1, 2012
Messages
3,287
Reaction score
5
Country
China
Location
China
https://www.wikileaksparty.org.au/r...the-end-for-the-usa-is-nigh‏-by-peter-koenig/

Russia has just dropped another bombshell, announcing not only the de-coupling of its trade from the dollar, but also that its hydrocarbon trade will in the future be carried out in rubles and local currencies of its trading partners – no longer in dollars – see Voice of Russia
Russia’s trade in hydrocarbons amounts to about a trillion dollars per year. Other countries, especially the BRICS and BRCIS-associates (BRICSA) may soon follow suit and join forces with Russia, abandoning the ‘petro-dollar’ as trading unit for oil and gas. This could amount to tens of trillions in loss for demand of petro-dollars per year (US GDP about 17 trillion dollars – December 2013) – leaving an important dent in the US economy would be an understatement.

Added to this is the declaration today by Russia’s Press TV – China will re-open the old Silk Road as a new trading route linking Germany, Russia and China, allowing to connect and develop new markets along the road, especially in Central Asia, where this new project will bring economic and political stability, and in Western China provinces,where “New Areas” of development will be created. The first one will be the Lanzhou New Area in China’s Northwestern Gansu Province, one of China’s poorest regions.

“During his visit to Duisburg, Chinese President Xi Jinping made a master stroke of economic diplomacy that runs directly counter to the Washington neo-conservative faction’s effort to bring a new confrontation between NATO and Russia.” (press TV, April 6, 2014)

“Using the role of Duisburg as the world’s largest inland harbor, an historic transportation hub of Europe and of Germany’s Ruhr steel industry center, he proposed that Germany and China cooperate on building a new “economic Silk Road” linking China and Europe. The implications for economic growth across Eurasia are staggering.”

Curiously, western media have so far been oblivious to both events. It seems like a desire to extending the falsehood of our western illusion and arrogance – as long as the silence will bear.

Germany, the economic driver of Europe – the world’s fourth largest economy (US$ 3.6 trillion GDP) – on the western end of the new trading axis, will be like a giant magnet, attracting other European trading partners of Germany’s to the New Silk Road. What looks like a future gain for Russia and China, also bringing about security and stability, would be a lethal loss for Washington.

In addition, the BRICS are preparing to launch a new currency – composed by a basket of their local currencies – to be used for international trading, as well as for a new reserve currency, replacing the rather worthless debt ridden dollar – a welcome feat for the world.

Along with the new BRICS(A) currency will come a new international payment settlement system, replacing the SWIFT and IBAN exchanges, thereby breaking the hegemony of the infamous privately owned currency and gold manipulator, the Bank for International Settlement (BIS) in Basle, Switzerland – also called the central bank of all central banks.

To be sure – the BIS is a privately owned for profit institution, was created in the early 1930’s, in the midst of the big economic melt-down of the 20th Century. The BIS was formed precisely for that purpose – to control the world’s monetary system, along with the also privately owned FED and the Wall Street Banksters – the epitome of private unregulated ownership.

The BIS is known to hold at least half a dozen secret meetings per year, attended by the world’s elite, deciding the fate of countries and entire populations. Their demise would be another welcome new development.

As the new trading road and monetary system will take hold, other countries and nations, so far in the claws of US dependence, will flock to the ‘new system’, gradually isolating Washington’s military industrial economy (sic) and its NATO killing machine.

This Economic Sea Change may bring the empire to its knees, without spilling a drop of blood. An area of new hope for justice and more equality, a rebirth of sovereign states, may dawn and turn the spiral of darkness into a spiral of light.
 
.
Oh please, just do it already! How many times have we heard this?

Deja Moo: The feeling that you have heard this bullshit before.
 
.
Oh please, just do it already! How many times have we heard this?

Deja Moo: The feeling that you have heard this bullshit before.

But it has been done. China and Russia have finished their huge currency swaps, and cross-border trade now mostly happens in local currencies. The biggest break will come very soon, when Putin visits China to conclude the gas contract. If you're asking when you'll feel the impact: it should mostly be gradual. The fact that the US can't unilaterally intervene in Syria or Ukraine - these incidents are all related. Of course, the impact will not be gradual if the USA strikes back to demonstrate its displeasure at the erosion of its hegemony. Then a shooting war will start, a la Iraq or Libya, and the end game will of course be to reestablish the petrodollar as the reserve currency.
 
.
But it has been done. China and Russia have finished their huge currency swaps, and cross-border trade now mostly happens in local currencies. The biggest break will come very soon, when Putin visits China to conclude the gas contract. If you're asking when you'll feel the impact: it should mostly be gradual. The fact that the US can't unilaterally intervene in Syria or Ukraine - these incidents are all related. Of course, the impact will not be gradual if the USA strikes back to demonstrate its displeasure at the erosion of its hegemony. Then a shooting war will start, a la Iraq or Libya, and the end game will of course be to reestablish the petrodollar as the reserve currency.

Oh yeah!

"This Economic Sea Change may bring the empire to its knees, without spilling a drop of blood. An area of new hope for justice and more equality, a rebirth of sovereign states, may dawn and turn the spiral of darkness into a spiral of light."

Dream on!
 
.
Oh yeah!

"This Economic Sea Change may bring the empire to its knees, without spilling a drop of blood. An area of new hope for justice and more equality, a rebirth of sovereign states, may dawn and turn the spiral of darkness into a spiral of light."

Dream on!

You are the one who is dreaming. Or should I say having nightmares? ;)
 
.
Oh please, just do it already! How many times have we heard this?

Deja Moo: The feeling that you have heard this bullshit before.

you do like if someone is implementing it America is gonna collapse tomorrow. You can only value long term effects like looking in 10 years.
 
.
But it has been done. China and Russia have finished their huge currency swaps, and cross-border trade now mostly happens in local currencies. The biggest break will come very soon, when Putin visits China to conclude the gas contract. If you're asking when you'll feel the impact: it should mostly be gradual. The fact that the US can't unilaterally intervene in Syria or Ukraine - these incidents are all related. Of course, the impact will not be gradual if the USA strikes back to demonstrate its displeasure at the erosion of its hegemony. Then a shooting war will start, a la Iraq or Libya, and the end game will of course be to reestablish the petrodollar as the reserve currency.



This guy vcheng is an embarrassment to most Pakistanis on PDF.

He is a disgruntled former Pakistani who can't return to Pakistan.
 
. . .
This guy vcheng is an embarrassment to most Pakistanis on PDF.

He is a disgruntled former Pakistani who can't return to Pakistan.

That guy VCheng is overly pessimistic when it comes to anything to do with Pakistan or China.

But he seems overly optimistic whenever it has anything to do with America.

So it's not a case of just being an overall pessimist, but only being a pessimist when it comes to Pakistan and China. And the reverse when it comes to America.
 
. .
I think in another decade the US dollar will no longer be the world's reserve currency.

Expect a significantly lower US GDP than has been predicted.

A decade is a long time in economics. Much can happen.
 
.
That guy VCheng is overly pessimistic when it comes to anything to do with Pakistan or China.

But he seems overly optimistic whenever it has anything to do with America.

So it's not a case of just being an overall pessimist, but only being a pessimist when it comes to Pakistan and China. And the reverse when it comes to America.

OR, you should consider the other possibility: Fanbois here pump up China and Pakistan without much substance, and deride USA, all with the covert blessings of PDF, right down to personal attacks? In such a situation, my being fair and even-handed goes against the carefully nurtured bias here and hence is unpopular. That is not my problem. :D

================================

Back to the topic, the reign of the US dollar as the world's reserve currency will carry for at least several more decades. At least.
 
.
People every one is entitled to their opinion lets not "personal attack".
 
.
Why the hell were Russia and China trading dollars in the first place?? Does that mean they each had ZER0 faith in each other's currency?

So now after so many decades they finally have some faith...to do what they should have already been doing.
 
.
Back
Top Bottom