The petrodollar theory has always failed to understand that when joules are sold in the form of barrels of oil, the seller can accept any payment he chooses.
And maybe he will choose to accept counterfeit 1s and 0s to pay for the oil, which then are forwarded elsewhere.
The US has no control of this. “Petrodollars” are not any sort of advantage.
The origin of the petrodollar was a 1974 agreement between the US and Saudi, that Saudi would only accept dollars in payment for their oil. Other oil exporters went along. This meant that foreign countries needed to buy dollars to pay for oil imports. This strengthened the dollar’s place in the world economy, with great benefit to the U.S.
“The US has no control of this. “Petrodollars” are not any sort of advantage.”
They were a huge advantage when the Saudis would only sell worldwide to people who brought them US Dollars. That was in return for the USA protecting the house of Saud from any attacks, from anywhere. That has ended now.