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AQuietNight
Sean Foo
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Comments by "AQuietNight" (@AQuietNight) on "Germany Teams Up With China To Save Their Economy!" video.
Russia's prime source of income is oil sales. Eventually they'll have to start selling oil to Europe again, they need the money, Most of their major oil sales now come with a deep discount. China has announced a huge reserve and this will lessen dependence on Russian oil. Another large reserve was found in South America and Guyana will probably not want to sit on it, they'll want some of that oil money. Russia has few fallback options, they'll have to start selling oil to Europe. It was easy money for them as all they had to do was pump the oil to Europe through pipelines.
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Over time what will happen is countries will become plantations for China, not unlike the British Empire from years ago. The colonies will supply raw materials and China supplies finished goods. If German companies move to China the German economy will hollow out. This same effect was happening in the U.S. and the U.S. started countering it by increasing tariffs and changing tax codes to strengthen domestic industry. China buys primarily raw materials from the U.S., not finished goods. This colony effect will eventually bring down China as China will have less customers to sell their finished goods to because their export customers will have less disposalable income. One should point out China is now developing a huge portfolio of countries that China has to constantly send money to in order to retain their loyalty to China yet will never be big buyers of Chinese products.
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Europe bought on the spot market, one of the more expensive ways to buy gas and oil. The United States supplies natural gas around the world and supplies are very tight. The U.S. domestic price has gone up quite a bit.
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