Written By: Adam Peach
February 4, 2017 6:00AM EST
Tuesday, September 11, 2012 was a particularly eventful day for the US. This was the day the famous “Benghazi incident” occurred, in which, an outnumbered team of US soldiers battled what seemed like an endless, strategic attack on their compound. US Ambassador Chris Stevens was murdered during the events of that evening. This was said to be the start of the “Arab Spring”, in which a series of governments were overthrown in the Middle East, inlcuding Egypt. The events at Benghazi sparked quite a lot of controversy in the US.
Earlier that same day, Pastor Lindsey Williams – former minister to the global oil companies, during the building of the Alaskan pipeline – revealed what is probably the most important event to happen to the US dollar, since its very inception. He revealed that on September 6, while the 2012 Democratic National Convention was underway, China had announced it would begin trading crude oil in its own currency, the Yuan. This is the first time this had happened since Henry Kissinger solidified a deal in the 1970’s with The Royal House Saud – that crude would be traded only in US dollars, among OPEC nations and it’s customers. After September 6, any nation that wished to trade oil in Chinese currency, could now do so.
On Sept 7, one day after the announcement, China signs a new trade agreement with Russia. Russia promises to sell China as much crude oil as it desires. In this agreement, crude will not be bought or sold with US dollars, between the two nations. This was the start of what became known as the “anti-dollar alliance” by two of the most powerful adversaries of the US. The very backbone of the US economy is crude oil. Therefore, this can be viewed as one of the biggest shifts in global currency in history – and nobody was talking about it!
As time went by, more and more countries started dropping the US dollar in trade deals with China, including Australia, South Korea, Singapore, Iran, and many others.
China’s main suppliers of crude oil are Saudi Arabia, Iran, Russia, Venezuela, Sudan, Oman, and Angola.
As some of these countries are adversaries to the US, transitioning to a different currency could be seen as a weakening blow for the US economic empire. Crude oil can be considered the currency of the world. It is the backbone of the world’s strongest economies. If majority of the world bypasses the US dollar to trade oil, the full brunt of US debt and diminished manufacturing structure would then be felt by its’ people.
This scenario renders economic sanctions issued against Iran pretty much useless – something we saw recently, when Iran immediately dropped the US dollar after Congress approved use of force against them. This came after an alleged attack by Iranian militants against a Saudi naval vessel. This can be speculated as a political move, more than anything. Iran has been trading oil with the Yuan for a few years now, and the retaliatory announcement seemed more of a “political jab” – and came quick. The transition had already been made, therefore, the announcement itself meant nothing. But the political tone has changed. What was once a quiet, strategic, economic uprising is now a political revolution – in terms of the global power struggle. Started by the Chinese, and lobbied to apposing nations of the US; it seems the Chinese have finally learned to “drink your milkshake”, in the words of Daniel Day Lewis. In late 2016, China surpassed the US as the worlds biggest consumer of crude oil.
Protecting resources is a vital strategy during war. Wars have been won by cutting off an enemy’s supply of resources, particularly fuel. Iran and Russia are major suppliers of oil to China. These nations depend on each other. If Iran becomes attacked, Russia and China are bound to defend it, as their strategic allies.
Similarly, the US are strategic allies with Israel. During the Syrian conflict, which still wages today, Israel has been firing missiles into Syria. Some say this is a way for Israel to “egg-on” Syria to counter attack – causing the US to come to Israel’s defence with military force. In this scenario, due to Russia being strategic allies with Syria, this could cause Russia to aid Syria’s defence against the US and Israel.
Currently, Canadian forces are training Ukrainian soldiers in a NATO-led mission on the Ukraine-Russia border, to prepare against separatists. The installation of a controversial NATO missile defense system in countries such as Romania, Turkey, and India have increased tensions in Russia. Russia sees this system as a sign of force against it, pushing their borders further east. Vladimere Putin warned in August 2016 that if Russia feels threatened, they will retaliate – with nuclear force that would potentially obliterate the entire world. This tension is due to Russia’s claim that the US is trying to achieve global dominance over every other nation on the planet. Putin has said he believes the cold war was necessary to maintain a balance of power, between the two most powerful nations. This cold war tension kept the world at peace, through fear – he believes.
Tensions are high in the South China Sea, where the US currently has an enormous navy presence. One particular issue, the “man-made islands” in which the Chinese have been manufacturing and staging military bases off-shore. The US argues that due to the islands being “man-made”, they can not be claimed by China, as they were manufactured in “International Waters”. To the Chinese, the islands are their property, and they demand the US stay clear, same as they would of their main shoreline. In an act of defiance, the US have continuously ignored them – defending their stance that the islands are built illegally, in international waters. Secretary of State, Rex Tillerson, has suggested blocking access to the islands from China, as a response. Trump planned to strengthen military deployment in the West Pacific, including 75 new ships for the Navy, pushing onto a new stage with more routine freedom of navigation – and to deploy more offensive and defensive weapons to the region. It’s been reported that it’s expected at least 60 percent of the US overseas forces will be put into the Asia-Pacific region. China and the US are also waging a propaganda war on other nations in the South China Sea – such as Taiwan – in an attempt to sway neighbours of China to invest in either Chinese business versus US business, or vote Chinese-friendly, versus US-friendly governments. African regions, rich with various natural resources, have also been the setting for US-Chinese economic espionage.
Political tension is running rampant throughout the country, and throughout the world. Politicians have created confusion, divide, and hate – from fear, uncertainty, and “alternative facts”. This past Thursday, February 2, Sean Spicer claimed an Iranian ship attacked “one of our vessels”. He was corrected by a member of the press in attendance, saying that it was actually a Saudi ship that was attacked – not a US ship. Spicer barely acknowledged this, with just a nod, a quick “yes”, and he moved on.
With all the political noise being created, no one talks about this. We’re “sheltered” from these unpleasant conversations, by right versus left rhetoric. Constantly ignoring what most already know – currency rules the world.