After the withdrawal of American troops from Afghanistan, before Biden "caught his breath", China and Russia took a crucial step together and began to abandon the dollar on a large scale!
According to domestic and foreign media reports, on September 5th, Aleksandr Dyukov, CEO of Gazprom, told the outside world at the "Russian Eastern Economic Forum" that in the future, the aircraft refueling fee between China and Russia will not be settled in US dollars, but in rubles and RMB. This plan will be formally implemented in September, and it is expected that the conversion of all currencies in the settlement of jet fuel charges for Sino-Russian flights will be completed by the end of 20021.
As soon as this news came out, it was inspiring and brought great benefits to related energy enterprises in China and Russia.
In recent years, the process of "dollarization" between China and Russia has been accelerating, the share of US dollar settlement has been declining, the share of local currency settlement between the two countries has been increasing, and Sino-Russian economic cooperation has been further deepened. The "Belt and Road" strategy has brought new opportunities for the development of the two countries.
Russia is a big energy trading country, with the world's top quality and reserves of energy resources, while China is the world's second largest economy, and the country's economic development is still growing, with a huge energy consumption market and potential.
Taking natural gas as an example, natural gas is an efficient and clean energy source in nature. In 2030, China promised to reach the "peak of carbon dioxide emission", that is, China's carbon dioxide emission reached its peak, and then began to decrease from increase to decrease. Therefore, the China market needs a lot of natural gas, which means that if China and Russia use local currency to settle accounts, the two countries will fully combine their respective advantages, supply and demand complement each other, and further develop the market.
At this time, the dollarization of jet fuel cost between China and Russia and the adoption of local currency settlement between the two countries are an attempt and a warm-up, which will have an important impact on the in-depth cooperation between the two countries in the energy market in the future. This will also profoundly challenge the hegemony of the dollar, which can be called a turning point for China and Russia to start the hegemony war of the dollar.
Ending dollar hegemony is the understanding of all countries in the world, and dollarization is the "economic weapon" for all countries in the world to resist American hegemony.
For a long time, the US dollar has been tied to oil settlement through the Organization of Petroleum Exporting Countries, and its hegemonic position has been maintained by military hegemony. According to its own economic cycle, the United States controls the value of the dollar by printing money, plunders foreign exchange reserves of various countries, plunders high-quality assets of various countries, passes on the American economic crisis, and constantly pushes up global financial risks.
Especially after the outbreak of the COVID-19 epidemic, in order to boost the economy, the current President Biden proposed a sky-high budget of about $6 trillion. The Federal Reserve "released water" and adopted unlimited quantitative easing monetary policy. In just a few months, it printed 3 trillion dollars. Under the flood, the global financial market suffered a huge impact.
With dollar hegemony, the United States can make the world pay the price for its willfulness.
However, if you hang out, you have to pay it back. The wishful thinking of the United States is empty. The uncontrolled printing of money in the United States has ushered in a "rebound" in countries around the world. Countries around the world began to organize groups to "dollarize" and vigorously sell American debt.
According to relevant statistics, by the end of 2020, 53 countries in the world have "dollarization" plans, and 29 countries, including Russia, China, Britain and Germany, have taken the lead in selling nearly one trillion yuan of US debt.
In July, 20021year, Russia emptied up to 35% of its foreign exchange reserves in US dollars, and vigorously promoted dollarization.
In August, 20021,the new Iranian president came to power, explicitly proposed "dollarization" and enabled RMB to replace the US dollar for settlement.
The European Union has introduced a euro-centered settlement mechanism to replace the American settlement mechanism. By 2022, the EU will take the euro as the pricing basis, and the euro will become the default settlement currency for energy trade with third countries.
According to CCTV news reported on the evening of September 6, Russian Foreign Minister Lavrov said in St. Petersburg that the "Beixi -2" project will be completed and put into use in the near future. By then, not only China and Russia, but also the energy trade between Russia and Europe will be settled in euros instead of dollars.
The reason why the United States is "rampant" in the world is that the global hegemony of the dollar is indispensable. It can be said that the dollar is "seven inches" of the United States. The world has suffered from America for a long time. Only by "playing the snake seven inches" and completely ending the hegemony of the dollar can the world move towards real stability and prosperity.