Something is HAPPENING!!!

Eleven Countries Announce Transition Away from the U.S. Dollar in 2025 A coalition of 11 nations, primarily members of the Commonwealth of Independent States (CIS), has announced plans to phase out the U.S. dollar in international trade and domestic transactions starting in 2025. This move signals a strategic shift toward economic sovereignty and reduced reliance on Western financial systems. Below is a detailed analysis of the decision, its implications, and the broader context: 1. Countries Involved The 11 nations abandoning the dollar include former Soviet republics: - Armenia - Azerbaijan - Belarus - Kazakhstan - Kyrgyzstan - Moldova - Russia - Tajikistan - Turkmenistan - Uzbekistan - Ukraine. Notable Inclusion: Despite ongoing geopolitical tensions, Ukraineis part of this initiative, highlighting a shared economic priority over political disputes . 2. Key Reasons for De-Dollarization - Geopolitical Independence: Reducing vulnerability to U.S. sanctions and financial policies, particularly after Russia faced severe sanctions post-2022 . - Economic Sovereignty: Strengthening local currencies (e.g., ruble, tenge) to control inflation, trade terms, and monetary policy . - Technological Advancements: Leveraging digital currencies and alternative payment platforms (e.g., Russia’s SPFS, China’s CIPS) to bypass dollar-dependent systems . - Regional Cooperation: Increasing intra-CIS trade in national currencies, which already accounts for 85% of transactions among member states . 3. Implementation Timeline. - Phased Transition: The shift will begin gradually in mid-2025, mirroring Russia’s existing de-dollarization model . - No Immediate Ban: Citizens and businesses will adapt incrementally, with governments prioritizing local currencies in official trade and banking systems . 4. Impact on Citizens and Global Markets - Domestic Effects: Ordinary citizens may see reduced dollar circulation over time, though no fines are imposed for holding dollars. Banks and businesses will transition to local currencies for cross-border transactions . - Global Implications: - Weaker Dollar Influence: The dollar’s share in global trade (currently 80%) and reserves (57%) may gradually decline, though its dominance remains intact for now . - Sanction Evasion: Reduced dollar dependency could undermine U.S. financial leverage, as seen in Russia-China trade (95% in ruble/yuan) . - Multipolar Currency System: Currencies like the yuan, euro, and digital assets may gain traction, diversifying the global financial landscape . 5. Expert Perspectives - Joyce Chang (JP Morgan): Acknowledges the dollar’s dominance but warns of "early signs of weakening," predicting a decades-long transition . - Gary Hufbauer (Economist): Notes that reduced dollar usage could raise U.S. borrowing costs and complicate sanctions enforcement . - Vladimir Putin: Emphasizes the success of CIS trade in national currencies, calling it a step toward "economic resilience". While the dollar remains the world’s primary reserve currency, the 2025 de-dollarization initiative marks a symbolic challenge to U.S. economic hegemony. This move reflects broader trends of financial multipolarity, driven by geopolitical tensions and technological innovation. For now, the dollar’s collapse is unlikely, but its unchallenged supremacy may be nearing an inflection point . Recommendation: Investors and businesses should monitor exchange rate volatility and diversify portfolios to navigate this evolving landscape. #fyp

0

8

Share

Professor Jeffrey sacks University of Colombia explains How China leave United States behind of their technology such as Solar power, EV, green energy for example In 2023, Chinese automaker BYD officially overtook Tesla to become the world’s largest producer of electric vehicles, marking a historic shift in the global auto industry. The rise of BYD, led by founder Wang Chuanfu, is a major victory for China’s EV sector, and a serious blow to Elon Musk’s longtime dominance. Just a few years ago, China was a net importer of cars. Now, it’s the top vehicle exporter worldwide, and BYD is at the center of this transformation. With affordable models like the BYD Seal, an EV priced under $30,000, BYD is delivering competitive tech at prices traditional Western automakers can’t match. A Battery Company Turned EV Leader BYD started in 1995 in Shenzhen as a battery manufacturer. Using a $1 million family loan, Wang Chuanfu built the company from the ground up, supplying phone batteries to brands like Nokia and Motorola. In 2003, BYD bought a small EV company and shifted into the car business. Unlike others, BYD took a different approach; it built cars around its batteries, giving it an advantage in efficiency and cost. By 2009, BYD had caught the eye of Warren Buffett, who invested $250 million in the company. Over the next decade, BYD grew rapidly, helped by the Chinese government’s push for electric vehicles under its “Made in China 2025” strategy. Surpassing Tesla by the Numbers In 2024, BYD earned $170 billion in revenue, beating Tesla’s $155.5 billion. Its valuation climbed to over $100 billion, putting it ahead of Tesla at $97.7 billion. This success comes from vertical integration—BYD produces its batteries, builds its vehicles, and even controls parts of its lithium supply chain. According to UBS, BYD cars cost around 15% less to produce than Teslas built in the US or Europe. With deep control over its supply chain and manufacturing, BYD can deliver EVs at prices that make global competition extremely difficult. #china #byd #overtake #tesla #become #world #largest #producer #electric #vehicles