Today, the US dollar (our FIAT currency) is under threat of losing its status as the holy Petrodollar. Why? See below.
- Brazil, Russia, India, China, South Africa formed an alliance to do trade amongst themselves and move away from the grasp of the USA (Known as the BRICS nations)
- BRICS has now gotten further support from Mexico, Pakistan, Saudi Arabia and Iran and have essentially formed an ongoing coalition.
- South America as a whole doesn't like the USA, so the world's landscape is surely appearing to be turning on the USA.
- China's National Offshore Oil Corporation and France’s TotalEnergies have reportedly completed China’s first purchase of imported liquefied natural gas to be settled in Chinese yuan.
Moreover, I just read that Japan's foreign minister is going to visit China for the first time in three years. Those who were once enemies are now soon-to-be friends?
The average lifespan of an Empire is 250yrs. If we take the timing from the 1940s onwards the US is 80yrs into their reign. Statistically the US have a looooong way to go until their reign ends. The Roman empire lasted 1,000yrs.
The plan is reduced consumption globally along with transition towards new tech. This is a transition, not the end of an empire.
I put arguments of 'we can't move away from oil' in the same bucket as 'we can raise interest rates', 'property prices can't go up more' etc.
If we are reducing consumption, movement, banning combustion motors then why would a petro dollar be important? The US has basically everything it requires inside it's borders meanwhile most have to import from elsewhere otherwise they'd be 3rd world countries.
What isn't on your list are the countries who ARE in agreements and continuing to form a strong alliance economically with the US. Australia and the UK are firm partners with the US. We don't just provide trade but also military support to the US machine.
In the last 40yrs when have you ever been worried about being taken over economically or military wise by: Pakistan, Brazil, India, South Africa, Iran, Saudi Arabia, Mexico or South America?
GDP wise:
US 25T / UK 3.2T / AU 1.7T we are education, tech, resource powerhouses of the world and we are the core Allies.
CN 18.3T relies on 85% imports to survive. Russia 2.1T relies on oil which is being phased out, is poor, low tech, low education. Brazil 1.9T has resources but poor, low tech, low education. Iran 2T relies on oil which is being phased out, Saudi Arabia relies on oil which is being phased out, the rest are all very small in their own right and act as individuals rather than a group.
As for Japan, they are in deep shit with debt to GDP of 264% which dwarfs anybody else.
The US is doing exactly what is required to dismantle China and continue their reign. Arguably, the US being all over the world spread them too thin and pulling back makes them considerably stronger than before.
