{"id":682384,"date":"2026-03-26T05:05:23","date_gmt":"2026-03-26T05:05:23","guid":{"rendered":"https:\/\/www.europesays.com\/us\/682384\/"},"modified":"2026-03-26T05:05:23","modified_gmt":"2026-03-26T05:05:23","slug":"iran-war-could-boost-chinas-petroyuan-and-weaken-us-dollar-dominance-analysts-say","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/us\/682384\/","title":{"rendered":"Iran war could boost China\u2019s \u2018petroyuan\u2019 and weaken US dollar dominance, analysts say"},"content":{"rendered":"

The US-Israeli war in Iran<\/a> could weaken the US dollar\u2019s historic dominance in the oil-rich Middle East and bolster a \u201cpetroyuan\u201d<\/a> alternative backed by China\u2019s currency, according to analysts at a leading European bank.<\/p>\n

Fallout from the nearly month-long conflict was testing the \u201cfoundations of the petrodollar regime\u201d, while damage to Gulf economies \u201ccould encourage an unwind in their foreign asset savings\u201d, Deutsche Bank analysts said in a research note published on Tuesday.<\/p>\n

\u201cIf the Gulf moves closer to Asia in its trade and investment relationships and eventually prices less oil in dollars, there could be significant downstream effects to the dollar\u2019s usage in global trade and savings,\u201d they added.<\/p>\n

Most globally traded oil is priced and invoiced in US dollars under a system dating back to the 1974 petrodollar pact. Under that deal, Saudi Arabia agreed to price oil in the American currency and invest surpluses in US dollar assets in exchange for security guarantees.<\/p>\n

This arrangement helped dollarise global value chains, given oil\u2019s central role in global manufacturing and transport, the analysts said.<\/p>\n

But pressures on that system have grown in recent years. Sanctioned Russian and Iranian oil already trades in non-dollar units, and Saudi Arabia has experimented with non-dollar payments for infrastructure projects, the Deutsche Bank analysts said.<\/p>\n

Meanwhile, China launched yuan-denominated oil futures contracts in 2018, though petroyuan deals<\/a> remain far smaller than US dollar-based contracts due to Beijing\u2019s capital controls and the yuan\u2019s limited convertibility.<\/p>\n","protected":false},"excerpt":{"rendered":"The US-Israeli war in Iran could weaken the US dollar\u2019s historic dominance in the oil-rich Middle East and…\n","protected":false},"author":3,"featured_media":682385,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[12],"tags":[3774,64,74,26491,286751,79,440,24012,83,3097,79982,257,271,5503,67,132,68,220606,167038],"class_list":["post-682384","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-asia","tag-business","tag-china","tag-deutsche-bank","tag-dw-news","tag-economy","tag-europe","tag-gulf","tag-iran","tag-middle-east","tag-pacific","tag-russia","tag-saudi-arabia","tag-strait-of-hormuz","tag-united-states","tag-unitedstates","tag-us","tag-us-energy-information-administration","tag-yuan"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/116293738544809951","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/682384","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=682384"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/682384\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/682385"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=682384"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=682384"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=682384"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}