China Kills Apple, Tesla, Now Amazon? Renminbi is a Sign of "No Middleman Supply Chain"

[Microbio-glutonist + 61]

Why does the WORLD use the United States Dollar? 

Does it make sense to the People's Republic of China that the Renminbi is ready to assume the dollar's place? 

Given that China is the manufacturer of the world, why should transactions take place in USD?

Petrodollars may become Petroyuan. Are you ready? 

Wouldn't RMB use be easier, faster, and cheaper for trade-settlement with the global manufacturer?

The USD is the center international currency, used the most over any other in trade settlement and reserve. Most people accept that the USD is the safe-haven currency; the currency that holds its value and is easy to exchange. 

Globally, after WWII generations of dollar abuse, the world accepts the paradigm of forever increasing U.S. currency and liquidity. Today, over 60% of physical USD notes exchange outside the United States.  America's amazing security, lifestyle, and economy are so dependent on the USD that without it, Mei Guo (Mandarin for the Beautiful Country) would cease to exist. Furthermore, without the American military and trillions a year of global dollar spending, world lifestyles would fall back into poverty and despair. Suckling off America's USD teets will eventually end in a complete global collapse. 

China, the manufacturer of the world has very shrewdly and effectively tapped into America's (and the world's) desire and willful gullibility. 

Today, everything is about Logistics and Supply Chain Management. The U.S. Customs and Border Control records indicate that almost 3,000 metal containers (TEUs) per hour unload foreign commodities to America's online and brick and mortar retailers. Twenty-five million metal containers (TEUs) enter America's domestic mainland each year. Does anyone see the insanity? 

"Fulfillment Centers" at Amazon, Walmart, and Target eke-out every possible efficiency, which leads to lower end-consumer prices and savings.

However, what if further efficiency is possible? Why not eliminate the middleman? 

If Americans purchase products directly from the manufacturer the cost savings will be substantial, right?

That's China's plan; Jack Ma, Alibaba, and Baidu will certainly step in and fulfill the last mile delivery of Chinese products to Americans. Jack Ma recently acknowledged his Communist Party membership and allegiance. In China, people actually think Ma is an entrepreneur, however, we all know what happens when someone tries to compete against the communist party. Monopolies, or at least command and control companies, exist in China. SOEs manufacture an overwhelming majority of products. SMEs appear as independent private enterprises, yet they are forced to manufacture their products through SOEs. EV manufacturers are the same! China's supposed 400 EV manufacturers are SMEs that utilize only a handful of SOEs in manufacturing the parts needed in their cars.  

Jeff Bezos isn't doing favors for me or any other American consumer. The richest man is about to create the world's richest woman, so maybe his divorce will add value to someone. 

What is certain is that America and the Free World are ridiculously, insanely, and gullibly causing their own death. America's USD printing press is broken and it is only a matter of time before the world is forced to face the ramifications. 

Now you may know why President Trump and Jeff Bezos don't like each other. 

Bank of China to enable payment in yuan on U.S. e-commerce platforms: Xinhua

 

Edited January 13, 2019 by Microbio-glutonist

[JoMack + 549]

The U.S. has been through many recessions and always comes back stronger.  The global market doesn't ever seem to be concerned about the U.S. economy so the dollar appears to be the "safe place" for countries to rely upon for exchange.  We've always been consumer driven.  Therefore billions of dollars go to many, many countries, especially China.  I think when the Chinese government drives down the yuan to make their goods more attractive, pegging your dollars or euros or whatever currency to the yuan would not be a reliable or stable return on your exchange in the currency.  I may be wrong here, but a market driven economy is always the better place to go.