Reuters: Chinesische Banken stoppen massenhaft Transaktionen mit Russland

Nobody wants rubles.

Chinese banks halting transactions with Russia “en masse” highlights the growing impact of U.S. sanctions and the increasing caution among Chinese financial institutions to avoid secondary sanctions

If I’m not mistaken aren’t the majority of transactions between Russia and China handled by teapot banks

Somebody ain’t paying their bills.

I love how BRICS countries are in the alliance even though pretty much everyone hates each other there. It’s like, *”let’s all pretend we all get along and to fool the west we’re better and richer”*. Except they only fool themselves, not us.

Chinese banks have so many Chinese customers and corporations that work heavily with US companies and dollars that if there are secondary sanctions on them, their customers will rage and potentially leave the Chinese bank for another so they can continue running *their* businesses. So it’s easier to sacrifice processing RUB transactions than risk all USD.

This is one of those things that I think even the Chinese government has difficulty controlling because the US effectively pits all Chinese banks against each other in a prisoner’s dilemma.