Quietly, America’s petrodollar deal expired. June 8 marked the end of an agreement signed in 1974 between Saudi Arabia and America. The original terms saw oil traded in US Dollars and a lot of money found its way into the American economy as a result, ensuring its stability and dominance. Petrodollars were the glue binding everyone to America.

When the deal ended, it opened the rest of the world to Saudi Arabia, allowing it to sell its vast reserves of oil in different currencies and markets. This is no trivial thing. Russia and China have been aggressively attempting to reshape the global economic environment in their favour and, through the creation of powerful economic agreements, remove the dominance of the US Dollar without firing a shot.

This has been going on for many years. In 2021 I wrote that China’s Belt and Road project was a demonstration of military prowess supported by its buying-off of UN votes to prevent opposition to its debt-trap behaviour and morally bankrupt water politics which sees the CCP deny (or threaten to deny) neighbouring Asian states water if they refuse to vote on certain topics.

‘Islamic dictatorships speak the same language as communism. Xi Jinping likes to deal with members of the Arab League where there is no inconvenience of democracy or a whinging free press to navigate.’

In another piece, you can find further detail about the complex schemes enacted by China in preparation for US decline.

‘Nearly eight trillion dollars has been invested in the BRI. It represents the bones of China’s dream to seat itself as the supreme global entity at the heart of international commerce. Through its Shanghai Cooperation Organisation, China has proposed the SCO Interbank Consortium to rival both the World Bank and the International Monetary Fund. It intends to use the BRI’s chief financier, the China Development Bank, as the founding member to expand China’s role as chief lender to the unstable developing world. Terrified, Russia has so far refused to agree for fear it would cede control of global economics to Beijing.’

Like diverting an oil pipe, diversifying the currency of Saudi oil is predicted to weaken the US Dollar right when America is in a precarious economic and social position. It is not as if anyone, not even the Americans, believe their President is in charge. The country is governed by an unknown swamp of Democrats. This makes other nations nervous.

The Democrats have not publicised the demise of a 50-year deal, but it is big news in countries like India who are sandwiched between the rising powers of the East. India is well aware that America is a better global power than China or Russia, they know this because of the way the other two already act with limited power. At the same time, peace with its immediate neighbours may be safer if America proves itself unable to defend, say, a small island in the Pacific.

Following this decision to end the petrodollar deal, Saudi Arabia joined mBridge, a central bank digital currency operation. From Wikipedia:

Currently five entities are jointly developing mBridge. They include the Hong Kong Monetary Authority (HKMA), the Bank of Thailand (BoT), the Central Bank of the United Arab Emirates (CBUAE), the Digital Currency Research Institute of the People’s Bank of China (PBC DCI), and the BIS Innovation Hub Hong Kong Centre (BISIH Hong Kong Centre). Saudi Arabia’s central bank joined in June 2024.

After the US imposed sanctions on Russia at the commencement of the Ukraine conflict, Russia massively reduced its reliance on the US Dollar. China noticed this and has exchanged a vast quantity of its US Treasury bonds for gold, protecting it from Russia-style sanctions in the event of conflict.

This action alone is both a reflection of America’s ill-advised weaponisation of the once stable and trusted US Dollar, and China’s romancing of military conflict against American allies such as Taiwan. China has taken a variety of steps which allow it to engage in military activity against US interests with as little damage as possible.

I suspect one of the reasons Tucker Carlson holds a ‘peaceful’ position when it comes to Russia and Putin is because he heard this discussion when he interviewed a congressman about the growing instability of the US Dollar and rapid reorganisation of global currency.

Far from being a ‘globalised world’, our planet is shifting into powerful alliances that centre around economic systems with communism making its bed alongside easily subverted, bought, and controlled Islamic theocracies. China keeps these theocratic regimes weak by arming rebels and separatists in rural areas.

Russia and China are in their own soft war to capture this oil revenue, and I suspect Russia will eventually find itself in hostilities with China given China is much further ahead when it comes to industrialising the raw materials of the third-world via its Belt and Road project. Xi Jinping is not a fan of sharing, either.

China also holds an uncomfortable amount of sway over Russia, being the largest importer of Russian oil while sitting over key pipeline connections.

And for those who shout ‘Free Palestine!’ it should be understood that Palestine is being used by this new alliance as a bizarre chess piece to force various deals and diplomatic behaviours against the interests of the West. Whatever your views on civilian causalities, Hamas resistance, land rights, and Israel’s dealings in the West – the removal of Israel from the world is part of the deal – as insisted by those selling the oil – when it comes to the ascendancy of Russia and China to America’s throne. This is the real reason why the UN and its figureheads call for a Palestinian State and it is deeply disturbing that our Minister for Foreign Affairs, Penny Wong, either does not know about this subtext or refuses to be honest with the public.

Getty Images: the merging of leftwing ideological causes.

The Australian press is too busy discussing the activist politics of former Labor members and radical Greens – rolling their eyes at Islamic banners being draped over Parliament House – all while ignoring the truth that the same mechanism seeking to destroy Israel is part of the machine tipping Australia, along with the rest of the West, into the dustbin of history. When we shout Free Palestine! we are shouting Death to America! and Farewell to the West! It is no surprise, then, that activists draped a banner over Parliament house calling for the demise of our colonial nation. These political causes are not confused; we are ignorant.

At some point we have to get serious about the bigger picture and make political moves for our own survival, and that of our democracy. Left up to Labor and the Greens, Australia will die as a vassal of China – just another open-cut mine and offshore farm for its monstrous regime.

Getty Images: Free Palestine and Climate Justice have merged protests.

The United Nations has been telling us it wants to flip the economy for decades. Transferring wealth from the first-world to the third-world is written into hundreds of agreements. At the moment we are watching these international bodies – now ruled over by interests hostile to the West – drain as much wealth as possible out of the West. Climate Change has been incredibly useful in attaining this goal, but a global pandemic and Pandemic Treaty that demands a binding economic contribution, is not a bad second pass at our wallet.

The irony is not lost that the petrodollar is being used to empower a new global economic system while Climate Change sits on the either side of the scale, dragging the West down. Why is the Free Palestine movement silent on China, Russia, and Saudi Arabia rising to power on the back of oil if they care about the climate so much? The answer is obvious, they do not care about the climate, they care about destroying the West by preying on our lingering Christian guilt. What it does explain is why Marxism and communism are so heavily invested in the global green movement. When the UN says we are facing a ‘global apocalypse’ they mean an economic one – for the West – and Net Zero wealth transfer really is their saviour (not ours).

For all the noise from the Biden regime about wanting to ‘go green’, ‘decarbonise’, and ‘just stop oil’ – they may find themselves in an oil-lite world with China and Russia piping oil straight from the Middle East without any interaction from the US.

This ‘green’ utopia the Democrats lusted over is going to usher in an enormously powerful alliance between communist nations and Islamic theocracies, with the West left vulnerable not only in trade, but to outright attack. Let’s not forget, Arab oil was instrumental in the US victory during the second world war.

But don’t worry.

Australia only tore down its energy grid and made itself wholly subservient to Chinese renewables.

Alexandra Marshall is an independent writer. If you would like to support her work, shout her a coffee over at donor-box.