China and Russia has formed an economic Alliance and Europe is freaking out so We know what happened after she met Putin they firmed up their No Limits Partnership and they are now essentially One economic block Russia provides Energy and cheap Commodities to China And China delivers cash and finished Goods to Russia and in this relationship The party that stands to lose out the Most is in the United States but it's in Fact the EU that's why we are seeing a Mad scramble from the politicians in Brussels to win China over now suddenly Half of Europe is booking flights to Beijing and are quite sure they're not Going there for dim sum or chicken Noodles we have the Spanish prime Minister booking a flight Emmanuel Macron of France flying over in April And this tells us how alarm they are Over this Alliance in the East because If China and Russia comes together Whatever China gains will be Europe's Laws Europe's economy is still in the Danger zone They still have an inflation Crisis going on with the CPR hitting 8.5 In February Germany's inflation has Actually rebounded up and now we have The banking crisis hitting Deutsche Bank With Olaf shows actually coming out to Defend the bank telling everyone not to Panic but let's look behind the curtain Europe is likely using the China Ukraine
Peace talks as diplomatic cover to Re-engage with Beijing because they know The US is rejecting any form of assist Fire broken by the Chinese now the French Finance Minister said something Very important in Davos China cannot be Out China must be in this is the Difference of view we have between the U.S and Europe we don't want to oppose China we want to engage with China and This tells us something very important Parts of Europe they are waking up they Are realizing that they can't really Decouple from Beijing China is now the Only Gateway Europe has with Russia Because after imposing all those Sanctions the relationship between Putin And the EU is almost Beyond repair China Is the middleman that's why Europe is Suddenly trying to restore ties with Them and let's realize that the war in Ukraine is bankrupting the EU they have Spent a lot of money they spend a lot of Treasure helping zelinski fight the Russians so let's quantify the damage The United States has given the most Ukraine so far coming in at over 73 Billion dollars and counting but the EU Has also spent a fortune coming in at 55 Billion dollars but the giving isn't Over yet they are discussing providing Another support package of 18 billion Euros for 2023 and 3 billion of which Has already been wired over to Ukraine
So this war is bleeding the coffers of Europe doing a period where they are Hiking rates to fight inflation that's Very dangerous the high economy is Slowing down with Germany's GDP already Contracting by 0.4 percent in Q4 2022 And this is the big worry that EU has if China supports Russia even if it's just Economic support how long more will this Conflict last will it drag on for Another year or maybe another five years Because it seems Putin is prepared for Long walk but it's Europe really as well Zielinski he is facing an ammunition Crisis and asking the EU for more ammo And according to Estonia Europe will Have to increase their manufacturing Capacity 7-4 to over 2 million shells Annually and that means poning up 4.2 Billion dollars shared by the EU member States once again that is a lot of Spending as the world's heading into a Recession and was expensive and if China Keeps buying Russian oil and with Putin This war could last indefinitely and That's why we have Emmanuel macron Flying over the Beijing very soon and His advisor giving call to China's Wang Yi giving support to the Chinese peace Plan and over a phone call the advisor Mentioned how we appreciate China's Active role in promoting peace and talks On the Ukraine issue France does not Support block confrontations and how do
We know this is probably a serious Statement because we have the head of EU Or sale of Wonder layer and Johnny Macron in his journey to China and this Is the first trip to Beijing as the eu's President so it's quite significant to Say the list and this brings us to the Split between the EU States some are Pushing to the couple While others Realize that moving away from China Isn't really a good move there are Several EU States waking up the truth With one official saying China is not Perfect but we might need it one day Which is actually severely downplaying The partnership that they have now just In 2022 the EU is the second biggest Trading partner with China with trade Hitting nearly 850 billion dollars so if They decouple Europe is going to lose Access to a ton of cheap Chinese Imports And a huge market for their exports We've all heard of the pushback against China but it's more important to judge Actions over words is Europe still Investing in China or are they pulling Out their money and this is where Fiction departs from reality EU Investments in China have actually grown By over 92 percent year on year in 2022 Even Germany which has been super Critical of the Chinese have have Increased di Investments by 53 percent And if China is such a horrible place or
Capital why is Europe still pouring in Tons of money into the country because It's pure economics firms in Europe Especially in Germany know that they Need access to China's markets the German Manufacturing Company The Chemical Company BASF for example has to Move their operations to China to stay Competitive they are cutting 2600 jobs Back home because manufacturing on German soil is becoming too expensive They are gas bill itself has searched by 2.2 billion euros in 2022 alone and this Is what happens when you lose access to Russian energy which is really a Consequence of all those self-imposed Sanctions now you would think that Europe has stopped importing any Russian Energy at all but that really isn't the Case Spain's Russian LNG Imports have Actually jumped by 84 showing us how Desperate they are for cheap energy but This window is closing because the EU is Moving to limit Russian G Imports as Well and this is why Europe is freaking Out about China's economic alliance with Russia whatever Europe won't buy China Will happily take it at a good discount China's LNG imports from Russia have Sought by 40 in 2022 and they are Re-exporting it to EU countries Including France and if China decides to Use the oil for their own consumption Then Europe is in a world of trouble
They are in store for even higher energy Inflation it should be super obvious by Now that the West is downplaying the Alliance between Putin and XI but there Are voices they are trying to tell the World the truth that hey we better start Paying attention because this is a Really significant Global event we have A renowned Harvard Professor calling This the most consequential Undeclared Alliance in the world and it's more Important that any of America's official Alliances today if we start seeing China And Russia as one big economic block Then we can begin to understand the Economic fear Europe truly has and let's Start with the most important commodity That controls the world which is oil now 2021 Russia produced over 12 percent of The world's oil or around 11 million Barrels of oil per day and that's a Production level on par with Saudi Arabia now obviously Europe they have Cut themselves away from that oil and With Russia now being China's top Supplier this is very disturbing to them But let's deep deeper into the Calculations China is now importing Nearly 2 million barrels of oil per day From Russia and this is a discounted oil That Europe can't touch so just imagine If China ramps up their intake to three Or even 4 million barrels this will just Spike the oil price for the West
Especially Europe the Eurozone is Getting their oil from the United States But the U.S doesn't have much spare Capacity to sell to Europe yes America Is the world's top oil producer popping Out nearly 70 million barrels a day but According to the eia the United States Consumes nearly 20 million barrels a day Of oil themselves so there is a much Better capacity they can supply to Europe as well just imagine how bad Things can get if this situation drags On for years China buying Russian energy At a big discount while the EU pays the Full sticker price and then some there Could be a big hollowing out of their Industries within a decade or less and I Think we must look under the hood when It comes to Europe's energy Supply Everything looks great on the surface Yes Europe still has consistent energy But it is coming at a consistently high Price and what are they doing to show Consumers we are talking about huge Amounts of deficit spending to subsidize The cost Europe has spent over 800 Billion euros to tackle this energy Crisis and it'll probably be a trillion By the end of the year if we look at the Percentage of GDP of this spending Germany is The Biggest Loser they have To allocate a whopping 7.5 percent of Their GDP to fight this energy crisis so Not only are they donating billions to
Ukraine but they're also bleeding out More treasure because of higher energy Prices but the real economic nightmare For the EU and the West is in the Middle East and this is where the true battle For Supremacy is being fought and the China Russia Alliance they are winning And we know that Saudi Arabia wants to Join brics and guess what they have Taken a step towards joining these Economic Alliance Saudi Arabia is now an Official dialogue partner in the SEO the Shanghai Corporation organization they Have joined the SEO and I need to Mention how groundbreaking this is the SEO is both for economic and security Union of countries that includes over 40 Percent of the world's population and 30 Percent of the global GDP and this is Basically a test drive by Saudi Arabia To see if China and Russia can help them Both economically and with their Security needs and we have said this Many times how the Saudis they are Moving East and this is another concrete Evidence of this they are moving away From the west and this means daily Consequences for both the United States And especially Europe now if we look Behind the scenes this shouldn't come as A surprise over the past few months we Have been seeing both Russia and China Forging peace in the middle is first it Was China bringing Saudi Arabia and Iran
Together they broken a deal to get them To resume diplomatic relations now Russia is about to get the Saudis and Syria back into the table to restore Ties and this Alliance is slowly Paving The way for Saudi Arabia to join Briggs It's just a matter of time before it Fully happens and just think of the Implications down the road of this Alliance now you have the leader of OPEC Russia and China in one big economic Block and this is enough to challenge The collective West and to essentially Split the world into two we're going to See more bilateral trade between the Middle East Russia China and Central Asia this means a further acceleration Of the dollarization and by extension Fewer Euros are also going to be used so Let's sit back and analyze how bad this Situation is especially for Europe and Let's just focus on energy now the West Has been talking endlessly about green Energy D's green energy debt and Demonizing fossil fuels in fact the EU Expects Renewables to comprise 45 Percent of its energy mix so if your Saudi Arabia if you are the Saudis it Doesn't make sense for you to dedicate Your energy supplies to Europe the Europeans are going green after all Right you rather Supply China and trade More with Russia and in fact the Saudis Have been buying millions of barrels of
Diesel from Putin in just the first 10 Days of March and this shows how they Are supporting Russian revenues and a Big irony is Saudi Arabia is Re-exporting this diesel back to Europe At Big markups this is why Europe is Freaking out because they are bearing The biggest cause of the conflict China And Russia's economic partnership is Only going to grow stronger China is Getting cheap energy Russia is still Surviving and the alliance is forging New Partnerships in the Middle East even The United States is having a good time As eu's top crude oil supplier 18 of Europe's crude is now coming from the US And this is expensive oil and this match Scrambled towards China tells us that Europe might be waking up to their Economic reality Russia and China as one Economic block is terrifying to them Because now Putin and she controls What's most important in the world we Are talking about natural resources and Commodities Plus the power of Manufacturing Finnish goods and the Biggest fear they have is if this Alliance can build trading relations With the rest of the world bypassing the West then Europe will be even more Isolated remember that the EU is burning Tons of money in Ukraine within the Western block itself Europe also isn't As self-sufficient as the United States
And this headline sums up the entire Situation perfectly the West may be more United today but it's also more isolated But let me know what you think in the Comments below will the China Russia Partnership last and why is the EU Running to Beijing let me know in the Comments below stay safe be sure to Smash the like button and subscribe as We navigate through these crazy times
