Russia, China sign deal to bypass U.S. dollar
“In a symbolic blow to U.S. global financial hegemony, Russia and China took a small step toward undercutting the domination of the U.S. dollar as the international reserve currency on Tuesday when Russia’s second biggest financial institution, VTB, signed a deal with the Bank of China to bypass the dollar and pay each other in domestic currencies.
The so-called Agreement on Cooperation — signed in the presence of Chinese President Xi Jinping and Russian President Vladimir Putin, who is on a visit to Shanghai — was followed by the long-awaited announcement on Wednesday of a massive natural gas deal 10 years in the making.
“Our countries have done a huge job to reach a new historic landmark,” Putin said on Tuesday, making note of the $100 billion in annual trade that has been achieved between the two countries.”
http://america.aljazeera.com/articles/2014/5/20/russia-china-bankdeal.html
This is one instance in which I’d be really inclined to smack a tariff on both countries for access to the US market. There isn’t a single thing China gives us that we can’t find another source for. And their cheap cheap goods are better replaced with more expensive quality goods.