India has started to cooperate with China, going all out, and is determined to make a big move against the United States
Indian Foreign Minister S. Jaishankar will visit Moscow from August 20 to 21 to attend the 26th India-Russia Governmental Commission and hold talks with Russian Foreign Minister Sergey Lavrov.
One of the key topics of this visit is to promote a transaction mechanism denominated in Indian rupees, in order to reduce dependence on the US dollar and improve the efficiency of bilateral settlements.
This arrangement comes at a time when President Trump has been continuously targeting India recently, and India's move has been interpreted by the outside world as a counteraction towards the United States.
For a long time, India has been cautious about the issue of de-dollarization within the BRICS framework and has not been proactive, fearing to offend the United States. However, under current practical pressures, India has chosen to take a key step in currency settlement issues.
This also means that India is gradually moving closer to the global local currency settlement path promoted by China. In other words, India is putting aside its past concerns and trying to learn from China, to carve out a survival path that is no longer dependent on the US dollar.
The global dominance of the US dollar is the core of its sanction weapon. Both China and India accelerating their local currency settlement steps will directly weaken the US financial hegemony in the energy and commodity markets.
Previously, China's use of the Renminbi for settlement with oil-producing countries in the Middle East has already put pressure on the United States. Now, with India joining in, it is equivalent to further opening a gap in the most critical area of energy settlement.
Originally, the United States had high hopes for India, expecting it to strategically contain China. However, it now finds that India is turning to the other side in economic and financial terms.
Trump used sanctions to hit India, but instead of keeping India stable, it only pushed India closer to China in the issue of de-dollarization.
India's current attitude can be described as going all out.
After encountering a bottleneck in its long-term strategy of playing both sides, India realized that relying solely on pleasing the United States could not avoid being controlled. Therefore, it has chosen to take a bold gamble in financial and trade settlements.
If China's internationalization of the Renminbi is an active strategic layout, then India's Rupee settlement is a desperate last stand.
If this trend continues, the US financial hegemony will face a more structural challenge sooner.
Original: www.toutiao.com/article/1840500383574153/
Statement: This article represents the views of the author.