What If?

[laredo7mm]

We recently saw the USA is thinking about another sanction to Russia. We know this will take a negative impact on Russia's economy. But what if Russia ally like a chain, Iran and other countries stop accepting US dollars for import and export goods from other countries. We all know China has one of the biggest markets in the world and in 2020 USA imported $434.7 billion worth of goods from China. So what will happen if the Anti-USA countries agreed to this and stop accepting us dollars. Actually, I want to know is it possible for them to do that? What is your opinion about it?

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[jackg]

Most large companies in the US have subsidiaries in the EU - so they can just use European currencies. I doubt much will actually change if China decided to "stop" accepting dollars (even though it probably doesn't have power to do that and doesn't want anyone holding its own currency for long).

[paxmao]

We recently saw the USA is thinking about another sanction to Russia. We know this will take a negative impact on Russia's economy. But what if Russia ally like a chain, Iran and other countries stop accepting US dollars for import and export goods from other countries. We all know China has one of the biggest markets in the world and in 2020 USA imported $434.7 billion worth of goods from China. So what will happen if the Anti-USA countries agreed to this and stop accepting us dollars. Actually, I want to know is it possible for them to do that? What is your opinion about it?

You would be talking about a bunch of countries that would, in theory, form a group and decide that they would want to boycott the USA by not accepting US.

The first obstacle is that USD is widely accepted because you can buy crude oil with it. Just like that. The easiest way to boycott dollar would come from oil producing countries. An guess what, a large number of them are actually allies of US because they fear other more and their rules do really well with Capitalism.

[sunsilk]

They'll seek help from China as it's now one of the big countries that can help them to improve their economy. But knowing that this is Russia having sanctions, I think that they can handle it alone, they're also a large country that has resources and they won't stop since they're also competing against the USA. 

Turkey stopped the connection to the USA and USA has given them the impact that they don't like. Maybe similar can happen to their economy but we don't know yet exactly how it will go until we see it.

[hatshepsut93]

Then their economy crashes, people riot, government dissolves, etc. They don't get to choose which currency to accept, because they are economically weak. Sure, they can trade between themselves with whatever currency they want, but they are very reliant on trade with the West. These countries from time to time actually talk how they plan to ditch the US dollar, and so far nothing like that happened.

[sheenshane]

There could be a war if that will happen and many economies will crash once dollars fall down.
Maybe because the function of this  US financial system is to facilitate dollar denominated transactions.  And when it comes at the point dollar will become denominated, all transactions lost their value all together with the US financial system.  There could be suffering consequences if your what if will happen.

AFAIK, countries didn't accept dollars are include Republic of El Salvador which is are now embracing Bitcoin and there are more of them.

[Hydrogen]

I remember reading news articles about russia seeking ways to insulate its economy from SWIFT banking networks many years ago. There have been many journalistic pieces published on russia seeking ways to de dollarize and distance itself from being pegged to the dollar as an international reserve currency. Likewise, russia has had many years to find solutions to economic sanctions.

Its surprising to me russia's economy hasn't become more hardened against crashes over the years considering they appear to have had support at the highest levels seeking answers for how to deal with these types of crisis.

Does anyone know which commodities or assets russia is dependant upon foreign nation's for?

I think russia has a scarcity of food production. They're forced to rely on china for food imports. That appears to be one key issue they have been unable to resolve. Wouldn't the simple solution be for russia to grow more food? But somehow it to doesn't appear to be so easy. Putin doesn't appear able to make it happen. It makes no sense to me. Russia is such a massive territory on maps, do they really have no farmland? The poor american in me fails to comprehend this situation at all.

[cornhodlr]

Russia relies heavily on oil price but they are well above their break even price now so they are making plenty of money to top up their 650 billion dollar cash reserve.Plenty of countries will keep buying their oil and Germany no matter what anyone says will ensure nordstream is operational bypassing ukraine.This is what the real issue is about and not so much the waring factions.Ukraine is buthurtabout not being a middleman for european gas transit.Russia has more agricultural landmass than any country and could easily reduce its 40% to 20% regaarding imported foodstuff.The US is a dying empire who cannot even beat towel headed extremists driving pickups.The EU is only an experiment for central bankers and european aristocrats which in the end will either self destruct or be ran over by Russia or China.The EU is now an autocratic bloc ran by scummy fuckers their citizens hate.

[jrrsparkles]

We recently saw the USA is thinking about another sanction to Russia. We know this will take a negative impact on Russia's economy. But what if Russia ally like a chain, Iran and other countries stop accepting US dollars for import and export goods from other countries. We all know China has one of the biggest markets in the world and in 2020 USA imported $434.7 billion worth of goods from China. So what will happen if the Anti-USA countries agreed to this and stop accepting us dollars. Actually, I want to know is it possible for them to do that? What is your opinion about it?

If any country stops the import and export the loss is for their economy as well, we can't always see from the revenge perspective in the world political the leaders know how to handle them smooth and just keep them in pending so their economy won't be in critical position until their ruling period ends.

[laredo7mm]

We recently saw the USA is thinking about another sanction to Russia. We know this will take a negative impact on Russia's economy. But what if Russia ally like a chain, Iran and other countries stop accepting US dollars for import and export goods from other countries. We all know China has one of the biggest markets in the world and in 2020 USA imported $434.7 billion worth of goods from China. So what will happen if the Anti-USA countries agreed to this and stop accepting us dollars. Actually, I want to know is it possible for them to do that? What is your opinion about it?

You would be talking about a bunch of countries that would, in theory, form a group and decide that they would want to boycott the USA by not accepting US.

The first obstacle is that USD is widely accepted because you can buy crude oil with it. Just like that. The easiest way to boycott dollar would come from oil producing countries. An guess what, a large number of them are actually allies of US because they fear other more and their rules do really well with Capitalism.

Russia, Iran, Venezuela are also some of the largest oil exporter countries that are anti-USA. So I do not think all of them need to boycott USD to make a difference in the world economy. Russia exports 11% and Iran 4% of the world's total oil production. Crude oil is the being the most demanded commodity that the world needs to run their machinery right now. So a little bit of disruption in supply could shake the economy.

[TheEconomists]

How do you know that US is thinking of such a thing? I believe your assumption or speculation is not true and if peradventure is come to pass then the effects will not be as much as you think because the bon of contention will be resolved amicably to avoid further excavation of its effect.

[Lucius]

We recently saw the USA is thinking about another sanction to Russia. We know this will take a negative impact on Russia's economy.

Russia has been under sanctions for years, and even if the US and its vassals impose some new ones, after so long it will not mean much to Russia. If we look at who are the most important trade partners, then we see that China is dominant (imports & exports), while significant places are occupied by the Netherlands, Germany and Belarus (data for 2017). The US may influence Germany or the Netherlands in their decisions, but China, as its most important trading partner, has never and will not support any sanctions against Russia.

But what if Russia ally like a chain, Iran and other countries stop accepting US dollars for import and export goods from other countries. We all know China has one of the biggest markets in the world and in 2020 USA imported $434.7 billion worth of goods from China. So what will happen if the Anti-USA countries agreed to this and stop accepting us dollars. Actually, I want to know is it possible for them to do that? What is your opinion about it?

This is an option that is on the table and has already been announced by Russia in light of recent events. So even though it would have been expected earlier that all those countries to which the US is constantly imposing sanctions and creating problems will reject US $, it does not seem that this is something they want to do so easily. The US has too much influence in the world, and as much as someone dislikes them it’s hard to get out of their grip.

Russian Deputy Prime Minister Alexander Novak on Thursday said the oil and gas-rich country may soon be tempted to move away from U.S. dollar-denominated crude contracts if President Joe Biden’s administration continues to impose targeted economic sanctions.

I remembered one piece of news from 2019 -> Russia's Rosneft to switch to euros in oil products tenders - traders

[Gasty4]

How do you know that US is thinking of such a thing? I believe your assumption or speculation is not true and if peradventure is come to pass then the effects will not be as much as you think because the bon of contention will be resolved amicably to avoid further excavation of its effect.

And how do you know he is not sure of what he is asking ?
You trying to add to what he's saying or you're here to criticize ?
The dollar definitely will get old and nobody will want to use it, in the new phase ahead they have to accept the what the future brings, failure to this might lead to a bad situation.
If china can do with the US dollars, then what are we not saying ? It'll only take longer time for this to come through.

[yhiaali3]

I doubt that these countries will do that, for a while we used to hear about the alliance of BRICS countries (Brazil, Russia, India, China and South Africa) that confront the United States economically, but we no longer hear anything about that alliance now. It is difficult to stand up to the United States and the dollar, even the countries that It is hostile to the United States and is working to stabilize the dollar because it is an indicator of the stability of the global economic system. In the event of the dollar's collapse, no one can guess what will happen? Perhaps the economies of these countries will collapse as well, so I don't think they will think about that unless they think about finding an alternative to the dollar.

[Alert31]

 The dollar is seen as one of the safest investments in the world and I don’t think it can be replaced by another currency despite the issue that there are countries like China, Russia and the European Union that have a strong motivation to de-dollarize.
 If ever those counties really don't want to use dollar to avoid U.S sanction, maybe it will happen but just in a short period of time because U.S is still a powerful country.

[kaya11]

We recently saw the USA is thinking about another sanction to Russia. We know this will take a negative impact on Russia's economy. But what if Russia ally like a chain, Iran and other countries stop accepting US dollars for import and export goods from other countries. We all know China has one of the biggest markets in the world and in 2020 USA imported $434.7 billion worth of goods from China. So what will happen if the Anti-USA countries agreed to this and stop accepting us dollars. Actually, I want to know is it possible for them to do that? What is your opinion about it?

It will have impact, seeing your currencies not accepted by any country is an insult. This already happened before and they did destroy the country who tried to do that. They don't care much about the currency but it represents their country, not acknowledging their money means also you don't acknowledge them as a whole. You remember Lebanon (Col. Gadhafi), He said paper money isn't worth at all, and they want their Oil paid in terms of gold, and look what they have done to their country now. I don't know in the case of China and other allies of Russia, because USA can't easily penetrate those super Power Countries, they will be having a hard time. If they can't do more damage to countries using sanctions then they will fine other ways like using CIA and methods, China is a Communist Country and it will be hard as hell to inject them with something to destroy the core of their(beliefs) Nation. It is not like other any democratic country where you could put rallies on the road and demonstrations, it is different.

[palle11]

If there is a possibility that such could be achieved and the dollar will be replaced with what currency ? That is a question. And if we are thinking that the yuan will play that role, I will doubt that because yuan is not global standard and countries behind China is relatively low compared to the US. US is a friend to many countries including Europe and that will be a tough nut to crack. Dollar exchange is easily done than many other currency, America is the world power leader and won't allow that to happen because currency stand as a strength that can be used to control and manipulate every other thing.

[fiulpro]

That will only happen if the Russians decide to attack Ukraine. Which is highly likely. Now Ukraine has an extremely small army and they would not be able to defend for sure. It's important to actually sort these things out because at the end this could not just involve Russia and Ukraine but can also cause the start of a new world war. If this can be attained by doing things like sanctions and not deploying the troops and fighting on the border then I do think that's good. Their currency is falling and I do think that cryptos would be helpful for the people during this time.

[el kaka22]

Does it really even matter? I mean China is already a nation that benefits from using dollars, if they stopped doing it, would that hurt USA? Of course, but it is obvious that it would hurt China even more because that is how they get rich. They manufacture stuff, sell it to the whole world and get dollars in return, making them hold more dollars than even USA in the future.

So, I would guess that there is a good case to be made for China to keep using it, but even if they did stop, that would not really hurt the USA as much as it would hurt their opponents. Same goes for Iran, they are already not trading with USA anyway, so it wouldn't change much. We have to accept the fact that even though China is growing in power, the type of power China has and the type of power USA has will always be different, and that is why China could never blackmail too big countries, maybe some small one in Africa, but not the USA, the UK, France, Germany etc etc.

[Ozero]

We recently saw the USA is thinking about another sanction to Russia. We know this will take a negative impact on Russia's economy. But what if Russia ally like a chain, Iran and other countries stop accepting US dollars for import and export goods from other countries. We all know China has one of the biggest markets in the world and in 2020 USA imported $434.7 billion worth of goods from China. So what will happen if the Anti-USA countries agreed to this and stop accepting us dollars. Actually, I want to know is it possible for them to do that? What is your opinion about it?

Sanctions against Russia are accepted not only by the United States, but also by their NATO partners and the European Union. Therefore, boycotting the dollar will not help much here. It's not just about dollars. Russia will be banned from importing high-tech goods, and because it depends heavily on it, its economy will simply collapse. After all, if a part of industrial goods is produced in Russia, then all the same, part of the components is purchased abroad. If we jointly block access to such components correctly, not a single state will be able to cope with this in the coming years. So everything will collapse like a house of cards.
Putin's government is leading its country to an inevitable collapse.