False Flag: Trump Warns ‘Animal Assad’ Over Chemical Weapons Attack That Killed 70

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Caving to neocon interests, US President Donald Trump has said Syrian President Bashar al-Assad will have a “big price to pay” for allegedly launching a deadly chemical weapons attack on civilians — and blamed Iran and Russian President Vladimir Putin for backing “animal Assad”.

This follows Trump’s earlier decision to strike a Syrian airbase in April 2017 in retaliation for Assad’s alleged use of chemical weapons against his own people.

Recent tweets from Trump appear to advocate a direct overthrow of Assad.

In one of the tweets, Trump slammed Obama, who vowed in 2012 that such actions (a chemical weapons attack) would cross a “red line,” but later failed to enforce the promise a year later when hundreds of Syrians were killed by sarin gas.

Instead, Obama brokered a multi-nation deal in which Syrian President Bashar Assad pledged to remove his chemical-weapons stockpile.


The continuation of war.

This latest, likely false flag chemical weapons attack in Syria follows the defeat of ISIS, and provides the much-needed justification for the Zionist-neocon lobby to keep the US forces in Syria indefinitely — and judging by the heated rhetoric, maybe even move to overthrow Assad.

Despite all this, at a rally in Cleveland last week, Trump said that the US will get out of Syria “very soon.” It is now clear that the 4,000 US troops currently occupying Syria will in fact stay in Syria.

But just as Trump again comes out urging for military withdrawal, a false flag crops up and the US is thrown back into contention. The strings are being pulled.

Trump buying into this latest publicity stunt is a worrying sign of escalation and further interventionism — it was only a matter of time before something came up and the banker’s war was given a new lease of life.

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There’s no motive for Syria to use chemical weapons and draw more attention to itself.

There is no reason for Assad to attack his own people with chemical weapons, the motive is not there, he wants deescalation and for NATO to leave Syria, why would he create reasons for further occupation? — also, the means of carrying out the attack aren’t there if we take Assad’s word for the dismantlement of Syria’s chemical weapons. If there are no means, there is no opportunity to carry out the attack to begin with.

Last year, a Syrian military statement published by state media on 4 April denied the use of “any chemical or toxic substance”, saying that the military “has never used them, anytime, anywhere, and will not do so in the future”.

President Bashar al-Assad subsequently said the 2017 chemical weapons incident was a “fabrication” used to justify a US cruise missile strike on Syria’s Shayrat airbase on 7 April.

Now, in 2018, history is repeating itself.

This shock-factor child poster image from the Zionist-owned Associated Press is up across all the mainstream media outlets.


US intelligence has links to training ‘moderate’ rebels in using chemical weapons.

Globalresearch reports:

CNN accuses Bashar Al Assad of killing his own people while also acknowledging that the “rebels” are not only in possession of chemical weapons, but that these “moderate terrorists” affiliated with Al Nusra are trained in the use of chemical weapons by specialists on contract to the Pentagon.

Moscow has provided evidence that the U.S is training Al Qaeda affiliated “militants groups” in the use of chemical. A March 17, Russia’s Ministry of Defense  states the following:

“We have reliable information at our disposal that US instructors have trained a number of militant groups in the vicinity of the town of At-Tanf, to stage provocations involving chemical warfare agents in southern Syria. The provocations will be used as a pretext by the United States and its allies to launch strikes on military and government infrastructure in Syria.”

The CNN report by Barbara Starr below dated September 2013 ultimately confirms Russia’s allegations.

Moreover, in an earlier report dated December 9 2012, CNN confirms that:

“The training [in chemical weapons], which is taking place in Jordan and Turkey, involves how to monitor and secure stockpiles and handle weapons sites and materials, according to the sources. Some of the contractors are on the ground in Syria working with the rebels to monitor some of the sites, according to one of the officials.

The nationality of the trainers was not disclosed, though the officials cautioned against assuming all are American. (CNN, December 09, 2012, emphasis added)

The above report by CNN’s award winning journalist Elise Labott (relegated to the status a CNN blog), refutes CNN’s numerous accusations directed against Bashar Al Assad.

Who is doing the training of terrorists in the use of chemical weapons? From the horse’s mouth: CNN

And these are the same terrorists (trained by the Pentagon) who are the alleged target of Washington’s counter-terrorism bombing campaign initiated by Obama in August 2014:

“The Pentagon scheme established in 2012 consisted in equipping and training Al Qaeda rebels in the use of chemical weapons, with the support of military contractors hired by the Pentagon, and then holding the Syrian government responsible  for using the WMD against the Syrian people.

What is unfolding is a diabolical scenario –which is an integral part of military planning– namely a situation where opposition terrorists advised by Western defense contractors are actually in possession of chemical weapons.

This is not a rebel training exercise in non-proliferation. While president Obama states that “you will be held accountable” if “you” (meaning the Syrian government) use chemical weapons, what is contemplated as part of this covert operation is the possession of chemical weapons by the US-NATO sponsored terrorists, namely “by our” Al Qaeda affiliated operatives, including the Al Nusra Front which constitutes the most effective Western financed and trained fighting group, largely integrated by foreign mercenaries. In a bitter twist, Jabhat al-Nusra, a US sponsored “intelligence asset”, was recently put on the State Department’s list of terrorist organizations.

The West claims that it is coming to the rescue of the Syrian people, whose lives are allegedly threatened by Bashar Al Assad. The truth of the matter is that the Western military alliance is not only supporting the terrorists, including the Al Nusra Front, it is also making chemical weapons available to its proxy “opposition” rebel forces.

The next phase of this diabolical scenario is that the chemical weapons in the hands of Al Qaeda operatives will be used against civilians, which could potentially lead an entire nation into a humanitarian disaster.

The broader issue is: who is a threat to the Syrian people? The Syrian government of Bashar al Assad or the US-NATO-Israel military alliance which is recruiting “opposition” terrorist forces, which are now being trained in the use of chemical weapons.” (Michel Chossudovsky, May 8, 2013, minor edit)

Saudi Crown Prince: Spread of Wahhabism Was Done at Request of West During Cold War

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The Saudi-funded spread of Wahhabism began as a result of Western countries asking Riyadh to help counter the Soviet Union during the Cold War, Crown Prince Mohammed bin Salman told the Washington Post.

Speaking to the paper, bin Salman said that Saudi Arabia’s Western allies urged the country to invest in mosques and madrassas overseas during the Cold War, in an effort to prevent encroachment in Muslim countries by the Soviet Union.

He added that successive Saudi governments had lost track of that effort, saying “we have to get it all back.” Bin Salman also said that funding now comes mostly from Saudi-based “foundations,” rather than from the government.

The crown prince’s 75-minute interview with the Washington Post took place on March 22, the final day of his US tour. Another topic of discussion included a previous claim by US media that bin Salman had said that he had White House senior adviser Jared Kushner “in his pocket.”

Bin Salman denied reports that when he and Kushner – who is also Donald Trump’s son-in-law – met in Riyadh in October, he had sought or received a greenlight from Kushner for the massive crackdown on alleged corruption which led to widespread arrests in the kingdom shortly afterwards. According to bin Salman, the arrests were a domestic issue and had been in the works for years.

He said it would be “really insane” for him to trade classified information with Kushner, or to try to use him to advance Saudi interests within the Trump administration. He stated that their relationship was within a normal governmental context, but did acknowledge that he and Kushner “work together as friends, more than partners.” He stated that he also had good relationships with Vice President Mike Pence and others within the White House.

The crown prince also spoke about the war in Yemen, where a Saudi-led coalition continues to launch a bombing campaign against Houthi rebels in an attempt to reinstate ousted Abdrabbuh Mansur Hadi as president. The conflict has killed thousands, displaced many more, driven the country to the brink of famine, and led to a major cholera outbreak.

Although the coalition has been accused of a large number of civilian deaths and disregard for civilian lives – an accusation which Riyadh denies – the crown prince said his country has not passed up “any opportunity” to improve the humanitarian situation in the country. “There are not good options and bad options. The options are between bad and worse,” he said.

The interview with the crown prince was initially held off the record. However, the Saudi embassy later agreed to led the Washington Post publish specific portions of the meeting.


Article from RT.

Trump Officially Declares Trade War on China Days Before Launch of Petroyuan

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D-Day for the US Dollar: China’s Petroyuan oil futures contracts to be issued from 26th March 2018.

Between 1944 and 1971, the international monetary system, known colloquially as the Bretton Woods System, revolved around the gold backed US Dollar. Whether in Africa or Asia, a US Dollar was literally as good as gold, because it was pegged to and therefore could be converted to gold anywhere in the world. Then in 1971, US President Richard Nixon made the decision to un-peg the US Dollar from a gold standard, thus transforming the world’s major currency into a floating fiat currency.

In order to maintain the Dollar’s position as the world’s leading currency, the US reached an agreement with the leaders of OPEC, Saudi Arabia in particular, to sell oil exclusively in US Dollars, irrespective of who the buyer was.

This system remained largely unchallenged until the the arrival of a non-Dollar based economy, China, as the new leading economic power of the world, whose GDP will soon eclipse that of the US. Already, China purchases more oil than any other country in the world, in spite of its increased domestic energy production and furthermore, China now has the world’s highest purchasing power of any nation on earth. Even before oil became the highly valued commodity it became in the 20th century, the nation with the largest economy and more importantly, the largest and most wide reaching purchasing power, has traditionally set the bar for their own currency becoming the de-facto global currency of exchange and the most pervasive reserve currency for global treasuries.

Western-aligned states will shift to Eastern alignment.

For China and China’s partners this means that they will be able to set the terms of major international trade deals. For OPEC, it means intensifying discussions with China and China’s long term partners, as opposed to the US and its long term partners. This means that even traditional US allies like Saudi Arabia will begin looking to open new doors with China in preparation for an oil export market that will see banknotes featuring images of Mao Zedong supplant those with images of George Washington.

This will have a knock on-effect in geopolitics, making the richest countries in the Arab world, particularly those in the Gulf Cooperation Council, less attached to US foreign policy making. If China becomes their biggest trading partner and if the trade is conducted in the Petroyuan, it will be China whose geostrategic goals will be able to hold sway in the court of Gulfi Arab monarchies rather than the whims of Washington. Already, Saudi Arabia has begun courting China, likely in order to attract investment for its new megaproject, the creation of a massive new city on the Gulf of Aqaba.

U.S. sanctions will lose their effectiveness.

The Petroyuan will also help to render US Treasury sanctions far less effective, as countries whose global trade is linked in with Chinese monetary and trade policies, will be out of the loop of the US Dollar based system. This represents new opportunities for countries as diverse as Syria, Venezuela, Iran and if the right conditions are met from Beijing’s perspective, also the DPRK.

While Washington denies that its Federal Reserve system is now the biggest basis for its continued, however waning international influence, the fact that US political leaders are openly horrified by the arrival of China and its Petroyuan, is a prima facie admission that while China has industry, innovation, military might and is on the cusp of edging the Dollar out as the world’s leading reserve and trading currency, soon the US will have little but military might to show for its superpower status and given how expensive this military might is for the US, the changes in world monetary markets, could also impact America’s ability to invest in its own military-industrial complex.

The myth of an “undervalued” Yuan.

Of course, the US accuses China of purposefully undervaluing the Yuan so as to make Chinese exports more affordable and thus attractive. What the US hasn’t considered is that when the Yuan becomes the de-facto global reserve currency, it’s floating rate will likely be higher than that of the US Dollar. In this sense, the lesson for the US is “be careful what you wish for” and the lesson for China is that if the US seeks to shut Chinese goods out of the US market with tariffs, sanctions or even embargoes – then China has nothing to lose by floating the Yuan and letting the Dollar’s value sink vis-a-vis the Yuan.

China is in a win-win position vis-a-vis the US Dollar, while for the US, Washington and Wall Street will have to examine how major European currencies coped in the post-Bretton Woods and pre-Euro period. Ultimately, the only way the US will be able to cope in such an environment is to invest more into domestic production in order to regenerate confidence in a Dollar whose value will have to be based on what America does, rather than what America was. While technically the US still is a monetary leader, when the Yuan inevitably eclipses the Dollar, the US will have to get used to the word was in respect of global hegemonic monetary dominance. Much to the relief of millions, the US will no longer be able to peddle the lie that US hegemony is due to a somehow superior political and social system. The reality that US hegemony is based on the accepted value of the Dollar will be starring the US, its allies and its adversaries in the face like an emperor without clothes.


As China takes a decisive economic step away from the dollar; the international bankers move in.

Now, in the run up to the launch of the Chinese Petroyuan on March 26th 2018, U.S. President Donald Trump is declaring economic war on China on the behalf of international banking interests.

Protectionism has its time and place and this is usually in a newly industrializing nation that has not yet reached its peak output.

When countries like Britain, the US, Germany, Japan and China began their unique and highly notable industrial revolutions, they did so under the cover of protectionist policies. In this sense, as a nation develops an industrial base, in order to reach the zenith of development, it is important not to rest on someone else’s laurels in the form of easy imports. Protection turns the industrializing nation into an industrial island, thus testing the limits of self-sufficiency in terms of industrial development and the development of an internal market.

This is exactly what is happening, a second planned industrial revolution — a shift away from Tertiary and Quaternary imbalanced economies back to the industrial roots that will make the West once more a major economic contender.

Once such a revolution reaches a comfortable level of self-sufficiency, a protectionist economy has reached maturity and is ready to test the waters of free trade.

In the short to mid-term, the Globalists are promoting an artificial divide of trade protectionism, pursuing a split between Western and Eastern exchange in a bid to isolate China and its partners, Trump’s latest sanctions are one facet of this, for example; artificially inflating the price of Chinese goods to stimulate confidence in domestic economies. Protectionist blocs and trade agreements such as the EU are at the forefront of these protectionist efforts to sever ties with non-Globalist economies.

In the longer term, Globalist agents seek to boost the third world population of Europe to create a low-paid, manufacturing powerhouse to challenge China, as well as shift manufacturing and industry back to Western soil to reduce dependencies on non-Western imports and diversify Western import-reliant economies.

To successfully do this, they must eliminate or reduce the majority Western white middle class that demands higher wages and tends to avoid work in laborious, low-pay jobs.

This is something they are actively pursuing by promoting the migrant crisis, promoting anti-nationalism, promoting white-guilt, and the racism hysteria, all intended to ‘water-down’ the West and give emphasis to a more lucrative, lower IQ, third world population.

Many economists call the sanctions ‘damaging’ for both economies, but that’s the point, that the West is filing for a near total divorce from the economies of the non-Globalist variety, this is just the beginning.

New Tariffs.

Trump has signed a Section 301 Action of the 1974 Trade Act, authorizing the implementation of new wide reaching tariffs covering the import of a wide variety of Chinese goods into the United States, with an emphasis on barring Chinese technology and technology investment from the US market. Trump also threatened to take further action against alleged intellectual property rights violations in China. During his speech he also threatened the European Union, Japan and South Korea, but most of his ire was aimed at China. Where weeks ago it was suggested that the US would pass $30 billion worth of tariffs on Chinese goods, today Trump doubled the figure to $60 billion. By invoking the Trade Act of 1974, Trump has bypassed the Congress to take unilateral action in a trade war that most of the Congress and the US Chamber of Commerce does not support.

Donald Trump reaffirmed that while the new measures will be implemented immediately, he will be willing to negotiate with all parties, including China regarding establishing what he calls a better trade balance. He even suggested that the countries whose goods he is slapping new tariffs on would welcome the move because they were “taking advantage” of the US for years. In reality, China, South Korea, the EU, Canada and others have already strongly criticised Trump’s reactionary approach to trade.

It beggars belief that Trump purposefully held off on attempting to negotiate new trade deals until after ordering tariffs which have a punitive effect on both America’s trading partners and the American tax payer. This kind of bullying of powerful nations will if anything, make countries less likely to negotiate a favourable deal in the future. Rather than use tariffs as a last resort after a respectful negotiating process, Trump has decided to use tariffs as a means of blackmailing other nations. The US will now learn the hard way, that there are many markets for goods other than the US market. If anything, this will enforce China’s decision to sell-off even more US Treasury bonds in preparation for a larger divestment of assets from the US, which itself is a requisite to the Yuan detaching its value from the Dollar and floating freely on global currency markets. A floating Yuan was always a matter of ‘when’ rather than ‘if’. Trump’s zero-sum attitude has now made the question of ‘when’, a matter of ‘sooner rather than later’. The result will be less investment in the US economy which means fewer jobs, combined with a weakening dollar which means less purchasing power for both US companies and US consumers. Trump’s move has made this reality all the more inevitable.

When signing the executive order, he claimed “This is only one…it is the first of many”. The markets are likely to respond negatively to this development, but in the medium term, Trump’s move could usher in a pivot away from the US on the part of wider international trading, including in the all important areas of currency and energy commodities markets.

On the 26th of March, China will formally introduce the Petroyuan. The issuing of oil futures contracts in China’s national currency looks to threaten the long term efficacy of the Petrodollar – something the US has used to artificially inflate the value of its currency ever since Richard Nixon detached the Dollar from a gold standard in 1971.

With the US failing to produce desirable quality goods as efficiently as other major industrial powers, Washington has resorted to a combination of tariffs and sanctions as its only remaining weapons to try and inflect economic harm on other nations. Just as sanctions have not caused any significant damage to the Russian economy, so too will China which now has the most powerful internal market in the world, not suffer from Trump’s tariffs, certainly not as much as American businesses and consumers. China’s rapid expansion into new global markets combined with its own continually growing internal market, will rapidly compensate for losses in terms of exports to the US.

“US Instructors” Training Syria Militants for False Flag Chemical Attack, to Justify Airstrikes

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Russia’s Defense Ministry says “US instructors” are training militants to stage false flag chemical attacks in south Syria. The incidents are said to be a pretext for airstrikes on Syrian government troops and infrastructure.

“We have reliable information at our disposal that US instructors have trained a number of militant groups in the vicinity of the town of At-Tanf, to stage provocations involving chemical warfare agents in southern Syria,” Russian General Staff spokesman General Sergey Rudskoy said at a news briefing on Saturday.

“Early in March, the saboteur groups were deployed to the southern de-escalation zone to the city of Deraa, where the units of the so-called Free Syrian Army are stationed.”

“They are preparing a series of chemical munitions explosions. This fact will be used to blame the government forces. The components to produce chemical munitions have been already delivered to the southern de-escalation zone under the guise of humanitarian convoys of a number of NGOs.”

The planned provocations will be widely covered in the Western media and will ultimately be used as a pretext by the US-led coalition to launch strikes on Syria, Rudskoy warned.

“The provocations will be used as a pretext by the United States and its allies to launch strikes on military and government infrastructure in Syria,” the official stated.

“We’re registering the signs of the preparations for the possible strikes. Strike groups of the cruise missile carriers have been formed in the east of the Mediterranean Sea, Persian Gulf and Red Sea.”

Another false flag chemical attack is being prepared in the province of Idlib by the “Al-Nusra Front terrorist group, in coordination with the White Helmets,” Rudskoy warned. The militants have already received 20 containers of chlorine to stage the incident, he said.

The US military has dismissed the accusations raised by the Russian Defence Ministry. Pentagon spokesman Adrian Rankine-Galloway described Rudskoy’s statement as “extremely absurd,” RIA Novosti reported.

Moscow and Damascus have repeatedly warned about upcoming chemical provocations, and have highlighted that banned warfare agents have been used by the militants. Earlier this week, Syrian government forces reportedly captured a well-equipped chemical laboratory in Eastern Ghouta. Footage from the facility has been published by the SANA news agency. The installation contained modern industrial-grade hardware of foreign origins, large amounts of chemical substances as well as crude homemade munitions ad their parts.


De-dollarization: The End of the Petrodollar Age?

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The diminished reliance on the US dollars is one of the major trends of international geopolitics. A lot of media attention has been paid to steps taken by the BRICS states, namely Brazil, Russia, India, China and South Africa to decrease their dependence on American currency. Both the BRICS states and a number of other international players have repeatedly voiced their concern over the design of the modern global economic architecture that was imposed on the rest of the world by the United States. The whole structure of this global economy simply ignores the growing influence of new emerging markets. Because of Washington’s relentless desire to remain a global hegemon, imposing its will on other countries, the US dollar remains an instrument of economic suppression. The creation of the Euro, the rapid rise of the Chinese economy, and the intentions of a number of countries of the former USSR,  the Middle East and Asia to switch to regional currency settlements have transformed the US dollar in a measuring instrument, thus undermining its status as a mandatory transaction currency.

To reach the goal of a Petroyuan, China will pressure Saudi Arabia and other leading oil exporters to trade oil in yuan instead of the U.S. Petrodollar, which would create the new Petroyuan and weaken the dollar significantly. Analysts believe the Saudis will certainly bend to this pressure as a result of China’s immense buying power, a buying power the West is attempting to counter, but has a long way to go in doing so.

For decades, the U.S. dollar has served as the world reserve currency and helped solidify the United States’ role as a global economic power.

That’s all about to come crashing down as China seeks to make its yuan the preeminent global currency.


Foreign policy: The U.S. response.

Creating a Western industrial & manufacturing powerhouse:

By engineering a ‘migrant crisis’ and importing a significant number of migrants into Europe, Washington will be able to create a ‘new China’ equivalent — imported migrant workers will saturate the lower end of the job market, dramatically increasing the employment of low-paid migrant workers, pushing down wages and eliminating the Western middle class; coupled with a huge expansion of the agricultural & industrial sectors, and economic diversification (Western nations are predominantly services based at the moment).

The aim of this is to counter the overwhelming sino-centric dependency.

This will usher in the formation of a high-birthrate, high-population working-class industrial powerhouse to rival, and eventually surpass China’s immense purchasing power and industrial preeminence. The goal is to overturn China’s huge market share in agriculture and industry, which is actively being used to pressure oil exporters to deal in the Petroyuan.

Sanctions and tariffs:

Furthermore, by sanctioning and imposing tariffs on Chinese trade, shifting jobs back to the U.S., and boosting industry in Europe, the Globalists hope to tilt the scales back in their favour, reducing dependency on Chinese and Eurasian goods and services that are not aligned with U.S. hegemony.

Protectionist trade agreements and unions of Western states:

The U.S. backed formation of the EU has created a protectionist shield against the growing Eurasian trade dominion, as various Eurasian trade projects attempt to steal trade influence from Western-aligned nations.

Plans for further Western unionization, the “ganging up” against Eastern economic and military competition are in place.

Invasion, occupation, and subversion of non-aligned states.

U.S. subversion and occupation of states that refuse to align with Washington’s interests is commonplace. The economic sabotage of Venezuela, the occupation of Syria and attempted removal of Assad, the war drums beating against Iran, any state that won’t voluntarily align with Western interests will be occupied for a ‘humanitarian’ reason until they change their mind, or are forced to.

Information warfare:

Negative press and numerous staged ‘atrocities’ have been pinned to Eastern powers, these are designed to pull investment and business away from the East and towards the Western sphere. It also whets public appetite for anti-Eastern foreign policy.


Russia’s and China’s gold reserves against the dollar domination.

The traditional transaction scheme, in which all financial operations are processed by London and a number of Swiss banks is losing its relevance these days as new centers of gold trade are emerging, primarily in India, China and South Africa. Suffice to say that Moscow and Beijing have already signed a memorandum on the development of mutual trade in gold. According Singapore -backed financial expert Ronan Manly, the gold reserves accumulated by China and Russia are a part of their strategy to move away from international trade denominated in US dollars. Manly is convinced that should those states show that they are holding more gold combined than the US, this would deal an enormous blow to the US dollar and to the position of the US within the global economy.

Article: Will The Dollar Survive The Petro-Yuan?

While all these initiatives can not immediately render the US dollar obsolete, one has to remember that China has been building its financial system for years and shows no signs of stopping.

The existing Western sanctions along with threats of new sanctions are forcing China and Russia to cooperate more strategically in what is becoming the seed of a genuine alternative to the petro-dollar system.

Since the 1998 sovereign default triggered by the West, Russia has been extremely cautious in all of its financial dealings, which allowed it to withstand the sanctions imposed on in by Washington in 2014, and forced the country to search elsewhere for the means of ensuring financial stability. That “elsewhere” is increasingly called the Peoples’ Republic of China.

Yuan-denominated bonds.

Now the Treasury of Russia is planning to launch the sale of Russian debt in the form of bonds denominated in Chinese yuan. The size of the first offering, a sort of a test of the market, will barely reach 1 billion US dollars, which amounts to 6 billion yuan. The move is being accelerated by reports that the US Treasury is examining the potential consequences of extending its economic pressure on Russia. It’s curious that Turkey’s Deputy Prime Minister Mehmet Şimşek has recently announced that Ankara is going to issue bonds in rubles and yuan in 2018, as it’s been reported by the Gercek Gundem recently.

These events are unravelling against the backdrop of the undeclared economic war between the US and China, which is moving into its active phase. The United States has already formally notified the World Trade Organization (WTO) that they refuse to recognize China as a market economy and are preparing another portion of anti-dumping duties. Washington has been constantly engaged in all sorts of investigations of China’s market policies, while relying on the rules that are most commonly applied to states with non-market economies. In turn, China’s authorities are seeking ways to achieve a “market” status, in a bid to get rid of the protective duties that are hampering its goods.

Gold for oil.

But China has its own ways of turning the tables back on Washington, and while those ways are not quite as straightforward, their effects can potentially be much more devastating. China keeps pushing the US dollar off the global exchange market. Earlier, Beijing achieved the inclusion of the yuan in the SDR basket and is now about to challenge the dollar as a universal means of settling for oil futures. The twist is that the futures priced in yuans are going to be convertible into gold. It should be noted that gold-backed-oil-yuan-futures can prove to be extremely attractive for investors and oil-producing countries, particularly those that possess conflicting interests with the sole remaining “superpower”. Those are, among others, Russia, Venezuela, and Iran.

The sale of yuan priced futures is aimed at decreasing the dependency of the global financial markets on the US dollar, but this process can take a while. Since the 1970s, OPEC states have been selling oil in petrodollars, which has made the transformation of petrodollars into US treasury bonds an integral component of the US economy. But from now on, oil producers will be able to sidestep dollar priced futures by choosing those futures that they can freely convert into gold. In addition, China is going to give a greater share of the market to those countries that will agree to trade oil futures in yuan, thus the biggest trading partners of Beijing are going to be forced to invest in those futures in a bid to preserve their market share. The possibility of trading oil futures for yuan, no doubt, will be very in high demand across the Eurasian economic space, as well as in several countries of Africa and Latin America. Yet, this will be enough to increase China’s influence along the path chosen for the implementation of the One Belt, One Road massive infrastructure project.

Given the great strategic importance of oil and energy resources in general, the political aspect of yuan priced futures outweighs even the economic component of this shift. Even if initially they will occupy a small margin of the market, this will mean that China is capable of undermining the global reliance on the US dollar, which lays at the very foundation of Washington’s geopolitical power. As a result, we should expect a gradual, but nonetheless imminent reduction in the global dependence on petrodollars.

But don’t expect Washington to roll over and take it, escalations seen in Venezuela, with Iran, Syria, Pakistan, and any other nation that pivots away from the dollar and US hegemonic interests is all a direct result of this economic warfare that underpins major world events, unbeknownst to most.


Martin Berger is a freelance journalist and geopolitical analyst, exclusively for the online magazineNew Eastern Outlook.”