Saudi Arabia Considers Accepting Yuan Instead of Dollars for Chinese Oil Sales

Saudi Arabia Considers Accepting Yuan Instead of Dollars for Chinese Oil Sales(wsj.com)

12 points by mrleiter 4 years ago | 5 comments

adriancr 4 years ago |

> In a series of meetings, the United States and the Saudi royal family made an agreement. The United States would offer military protection for Saudi Arabia's oil fields, and in return the Saudi's would price their oil sales exclusively in United States dollars (in other words, the Saudis were to refuse all other currencies, except the U.S. dollar, as payment for their oil exports).[54][55]

From: https://en.wikipedia.org/wiki/Saudi_Arabia%E2%80%93United_St...

I doubt SA will give up US protection so they might just want to renegotiate terms.

david927 4 years ago | |

SA and Russia signed a military cooperation agreement last August.

Since January 2020 the US has printed nearly 80% of all US dollars in existence. $4 trillion at the start of 2020, October 2021 $20 trillion.

The petrodollar is dead. Therefore, send not to know for whom the bell tolls. It tolls for thee.

adriancr 4 years ago | | |

I'm sure Russia is willing and able to defend SA from iran and others if us pulls out...

After Ukraine there's serious doubt on the able part.

There's also the problem of SA fighting russian supported forces in Yemen.

As for SA, their army is even more corrupt and incompetent then russias, if US pulls out we might see them toppled or invaded easily. (regime change might be a good thing though)

You're also fast to proclaim petrodollar dead... everyone printed as much as the US or more.

david927 4 years ago |

Publicly announcing that "they're considering it" is the first stage to actually implementing it.

And the moment that happens I think history books will use as the marker for a new era.

guard0g 4 years ago |

Likely, this allows both SA and China to reduce their dollar reserve assets, especially since the dollar has been weaponized against Russia and Afghanistan in recent days.