TitaRusell
13 hours ago
America can't win this war nor admit it can't win. It will likely take the PRC to end this conflict. Xi winning the Nobel Peace Prize next year? What is "holding all the cards" in Mandarin.
tonyedgecombe
2 hours ago
I doubt this will end whilst there is a Republican president in office. You have at least two more years of this to go.
klipt
12 hours ago
Expensive oil means more people buying Chinese EVs and Chinese solar panels. Good for the environment and good for China. Why would China want cheap oil?
mostlysimilar
12 hours ago
Their economy relies on exports that just got a LOT more expensive to ship, and the US economy destructing would likely take theirs down with it.
porkshoe
11 hours ago
The US only represents about 3% of China's GDP. If the US economy declined 10 or 20%, it'd be basically just noise to them.
prewett
11 hours ago
The US is 150% of China's GDP (in nominal numbers) [1]. AI claims that China's "purchasing power parity" GDP is $44t compared to $32t for the US. There is no way that the US, which has been the world's largest economy for decades, is 3% of China's GDP.
Exports to the US is about 20% of China's GDP [2].
Regardless of any of China's contingency plans, US exports are well above noise-levels.
[1] https://www.statista.com/statistics/268173/countries-with-th...
[2] https://data.worldbank.org/indicator/NE.EXP.GNFS.ZS?location...
raven12345
10 hours ago
I think he means exports to the US as a percentage of China's GDP is 3%
NewJazz
7 hours ago
Isn't [2] exports in general, not exports to the US specifically?
carefree-bob
10 hours ago
That's not how you would want to measure this, as it doesn't much matter whether a good is directly exported from China to the US, or whether it is routed through a third country like Vietnam, or used as an intermediate input to a different good which is then exported to the US, etc.
What you should take note of, is that China's trade surplus tracks the US trade deficit extremely closely, and this has been the case for the last 20 years.
Said another way, most nations in the world run roughly balanced trade. There is only one nation on earth that can sustain large and prolonged trade deficits. Only one. That is the US. So if you are a nation whose entire economic strategy rests on running large and sustained trade surpluses, then you are going to be exporting your surplus to the US, directly or indirectly, and only to the US.
Now in practice, some of that will be direct sales to the US, some will be indirect sales to the US, but at the end of the day, if you want to run a 1.2 trillion dollar trade surplus, then you have to hope to God that the US is willing to run at least a trillion dollar trade deficit, because no other country is going to do that for you, the entire rest of the world may be willing to accomodate a hundred billion or so, but for everything else, you will depend on the US, directly or indirectly, to absorb your surplus.
mindslight
10 hours ago
This is a good analysis, but coming full circle - having a trade surplus is not itself a vulnerability. Rather the actual vulnerability would be needing US dollars, to pay for imports (raw materials and whatever else they don't manufacture themselves). If China doesn't need more US dollars (because perhaps they are already holding plenty of treasuries), then they can simply prop up their internal economy with financial stimulus. And longstanding currency controls make it so they can manage this easily. Print yuan to buy that stream of goods that were previously being exported, and just bury them in a hole in the ground. Or more fruitfully, give that yuan away to their poor rural population to boost their standard of living, improving the country and shoring up support for the Party.
somenameforme
8 hours ago
I don't think things are so straight forward because everything is connected in ways that are sufficiently complex to defy any sort of straight forward thinking; when you change one thing, 10 other things change and in ways that will invariably end up with completely unexpected outcomes. For the most straight forward example - those things that are exported are not just buried, but end up being used in various processes. And China itself is also heavily dependent on imports, importing upwards of $3 trillion in goods and services. When your exports are no longer available, you may soon find that neither are your imports, and suddenly everything starts breaking.
carefree-bob
2 hours ago
The reason why you need the dollar is because of the balance of payments identity: changes to the capital account + current account = 0
So to run a current account surplus against the rest of the world of $100, you need to accumulate $100 of financial claims belonging to the rest of the world. There are complexities, for example I switched from "trade surplus" to "current account" because things like interest payments also need to be added in, but with these adjustments, you cannot run prolonged trade surpluses without storing your money in some other nation's jurisdiction.
Now the question is, which nation is willing to accomodate inflows of a trillion dollars a year? That's right, only a single nation is willing to do that. Most nations ban or severely restrict foreign capital inflows. Those that don't ban it, they don't have the necessary financial infrastructure to accomadate the scale of surpluses that China needs to run. This is why I laugh at all these reports of "China is dumping treasuries". China accumulated over a trillion dollars of dollar claims over the last year. That's in addition to what they already had. Why? Because who else would allow those levels of foreign capital inflows into their economy.
So once again, the US is the only nation willing and able to absorb these capital inflows.
Personally, I don't think this is sustainable, it's deindustrializing the US and is highly destabilizing, but since the liberalization of global capital flows launched by the Clinton administration, we have been doing this 30 year experiment in what happens when you let countries print money and use them to buy your bonds. The results have been, in my opinion, highly destabilizing, and it's not going to end well. But many of those who grew up in this period, think this is just how the world works and they can't imagine any other system, one in which capital inflows were highly restricted and as a result, no nation ran large trade surpluses against any other. Or they don't think about this at all and believe that China's hard work and industrial prowess is why they are able to run large trade surpluses, completely ignoring the whole money printing to buy US bonds that is happening in the background. When the US was the world's primary industrial power in the period 1870 - 1920, we ran current account deficits, not surpluses. What China is doing, industrializing while exporting capital -- that is truly unprecedented and possible only due to the combination of fiat non-convertible money combined with the US allowing unrestricted capital inflows. It's a truly bizarre state of affairs.
jaggs
11 hours ago
Hmm...not really.
rayiner
12 hours ago
[flagged]
kalleboo
9 hours ago
But the cost of shipping that oil is up 25x https://edition.cnn.com/2026/10/09/business/oil-gas-diesel-t...
> Last year, the daily cost of hiring an oil supertanker (known as a Very Large Crude Carrier, or VLCC) to sail from the Persian Gulf to China was just $65,000, according to Clarksons, a London-based research firm.
> Now? It costs $1.6 million per day to hire a VLCC for that route, according to Clarksons.
porkshoe
12 hours ago
How would that represent victory?
Iran's leadership was replaced with more extreme leadership and America has spent countless billions.
Nothing is better.
Only a hyperpartisan brain could refer to that as any sort of victory.
rayiner
7 hours ago
I was responding to the statement: “America can't win this war nor admit it can't win.”
Getting the oil supply back to prewar levels isn’t winning by itself, and I didn’t say it was. But it does open a path to winning, because holding the oil hostage is the only leverage the Iranian regime has.
casey2
11 hours ago
Iranian citizens couldn't handle their previous leadership, it's likely that after things cool down there will be some sort of rebellion.
Can the hyperpartisan brain not count past 113?
cr1895
10 hours ago
>it's likely that after things cool down there will be some sort of rebellion.
Please support this statement.
Cyph0n
11 hours ago
Dude thinks this a game.
Imagine that your country - whose rulers you do not agree with - is attacked by two states unprovoked in the middle of negotiations, not once, but twice in a single year.
And how do they initiate this attack? They strike a number of targets, one of which the compound your head of state is living in along with members of his family, including a child (his granddaughter). Mind you, your head of state was not in a bunker, but was an 87 year old man living his life as normal. After executing this amazing operation, these two states then call on your people to rise up and overthrow the government.
What would you do?
rayiner
7 hours ago
I strongly oppose the Iran war. But saying that any action against Iran is “unprovoked” is utter bullshit. Iran just gave Hezbollah $200 million while Iranians are in dire straits: https://www.reuters.com/world/middle-east/lebanons-hezbollah.... Iran has been doing this shit for decades. Their commitment to “fucking around” is truly epic.
Saddam, Maduro, Gaddafi, Assad—all those guys were mostly terrorizing their own people and shouldn’t have been taken out. I don’t think Khamenei should’ve been taken out either, but boy did he deserve it more than any of the others.
hollerith
9 hours ago
Also, how do you think the average non-wealthy Iranian, who because of US sanctions has been eating meat about once a month for many years and undergoing other privations thinks about the US government?
BoggleOhYeah
11 hours ago
You base this on?
Georgelemental
10 hours ago
That's what Putin believed about the Donbas. But, it turns out, people really really hate being bombed!
pqtyw
2 hours ago
[dead]
user
2 hours ago
Cyph0n
11 hours ago
Run through the objectives at the outset of this “war” (illegal and unprovoked attack on a sovereign state), and then compare that against “price of oil going back to pre-war levels”.
Trust me, by almost any metric you can think of, this was a strategic defeat for the US.