January 26, 2021, 7:08

Threats of US Sanctions Incite World Trade in Other Currencies – Gas Company

Threats of US Sanctions Incite World Trade in Other Currencies – Gas Company

BARCELONA (Sputnik) – The threats of US sanctions threats are stimulating the development of international trade in currencies alternative to the US dollar, Russian gas company Novatek’s Deputy Chairman of the Management Board Mark Gyetvay said on Tuesday.

“There is obviously a discussion to use multiple currencies on trading, financing, activity, equity participation, construction costs etc. The world is moving away from purely US dollars, we see it already in the Asian market, we see cargos of crude oil being traded in Chinese currencies, so I think we will eventually see it,” Gyetvay told reporters on the sidelines of the Gastech conference in Barcelona.

According to the businessman, the trend was caused by Washington’s foreign policy.

“If the United States keep increasing sanction threats, the more it’s going to establish an alternative structure for setting this… I am not saying we are going to start anything right now, it’s kind of premature. I’m just giving you a general understanding that as the world looks at the threat of using US dollars, then more countries, companies,  businesses may want to trade [in other currencies],” Gyetvay added.

He added that the yuan may become the first foreign currency, which Novatek will use in trade with its partners.

READ MORE: US Believes Sanctions Have Cost Moscow Tens of Billions of Dollars — State Dep’t

On Monday, Novatek CEO Leonid Mikhelson said that the company was considering an opportunity to sell a part of the liquefied natural gas to China for its national currency, the yuan.

During his presidential campaign, incumbent US President Donald Trump promised to change the country’s trade policies by resorting to protectionism. After his inauguration, the leader started to fulfill his promises, which included an introduction of additional tariffs on aluminum and steel imports as well as withdrawing the United States from the Trans-Pacific Partnership (TPP) and renegotiating the North American Free Trade Agreement (NAFTA).

Source: sputniknews.com

Related posts