Russia's attempt to replace the US dollar with the Chinese yuan in international trade has largely collapsed under pressure from secondary US sanctions, according to Bloomberg. The yuan's share of payments for Russian exports has halved from its 2024 peak to just 22%, despite growing trade between Moscow and Beijing.
Chinese banks, fearing US sanctions, have increasingly refused or delayed Russian transactions, forcing businesses to rely on middlemen and alternative currencies. Russia now receives 69% of its export earnings from Asian countries in rubles. The reversal shows the vast reach of American financial power and the limitations of China's efforts to establish the yuan as an international alternative to the dollar.