Name: Trump Just Did Something IRREVERSIBLE to US Economy
Uploaded: 2026-03-15T18:00:02.000Z
Duration: 10 min 59 s
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Adverbs of degree

Trump just did something irreversible to the US Economy.

Adverbs of manner

This decision alone could fundamentally destroy the foundation of the petrodollar.

The US Iran war is turning into a disaster and forcing the United States to take really bad decisions.

Oil prices have been rising faster than ever and they have crossed over $100.

And this is creating a very dangerous situation in the market because a lot of US Allies rely on that oil.

First of all, let's take Japanese countries or Asian countries such as Japan and South Korea.

95% of the Japanese oil comes from Middle East.

70% of South Korean oil comes from Middle East.

And since Iran has closed the Strait of Hormuz, since the United States have launched this attack on Iran, now these countries, which are very close allies of the United States, don't have much oil.

So Japan has released it is strategic oil reserves.

And when that is going to be over, it is going to be a catastrophe for a country that heavily relies on manufacturing.

The same thing could be said about South Korea.

But it's not just about the Asian countries.

Yes, Europe does not import much of its oil from Middle east, but

global oil prices are interconnected with one another.

So if oil prices globally rise, that means that oil prices in Europe are also going to rise.

And if you look at countries such as Germany that heavily relies on manufacturing, they are going to get out of business.

Now, Germany suffered a lot when the Russian energy stopped flowing to Germany because a lot of German factories began closing down.

It seems like it is going to send Germany into a stone age.

And finally, it's also a pressure over the United States as well because if you look at oil prices or gas prices, the they have risen by 30, 50 or even doubled in some places.

And that is creating political instability, even though that from the other side it might be beneficial for the United States.

Rising oil prices means that more countries will be buying oil using US Dollars.

That means that there is more demand for the U.S. treasuries.

I mean, look at a country such as Japan that holds $1.3 trillion of U.S. treasuries.

Part of the reason they do that is because they use a lot of that money to buy oil from Middle east since Middle east only sells oil in US Dollars.

But it seems like that is about to change because countries are trying to negotiate with Iran, bypassing the United States.

China, for example, secured its ships to pass through the Strait of Hormuz because it is a close ally of Iran, France is right now negotiating with Iran and forgetting about the United States.

Something like that was unimaginable even two weeks ago.

Now, maybe what, two weeks from now, Japan is going to negotiate with Iran and will say, listen, we will buy your own oil, and

Do you see how this is quickly accelerating and putting an end to the petrodollar?

And Iran could set actually its own terms.

And part of the terms could be, if you want us to sell you the oil and if you want us to let your ships to go through this trade of Hormuz, maybe it's time to lift the sanctions out of the United States.

And that could potentially jeopardize the entire financial power that the United States has built since 1944.

But Trump has a plan to fix this problem, because Trump always has a plan.

So if you look at oil prices, there are different kind of benchmarks to track oil prices.

Because this is an American oil or mostly light oil.

However, these are not the only benchmarks.

And why do we have so many different kind of oil prices?

And that's because the oil industry is extremely complicated.

First, you have two different kind of oils in different parts of the world.

So you have heavy oil, you have light oil.

That oil must be extracted from the ground first, and

then it must be refined, and then it can be sold.

So it must be shipped to its final destination.

It's not easy, and nobody actually wants to build them.

The United States has a lot of light oil, but

most of the refineries in the United States has been built back in 1960s and 70s when the United States was extracting a lot of heavy oil.

So a lot of oil that the US Extracts is being shipped to the rest of the world.

And the United States imports heavy oil from Canada because it is much more financially reasonable to do something like that, since margins on selling oil are extremely low.

And you have to make a lot of investments to extract that oil.

A lot of businesses that are not ready to invest billions of dollars, they might rather use the current refineries that we have all across the globe.

Venezuela Why don't we build more refineries in the United states and detach U.S.

prices from the rest of the world so that the United States is no longer going to be dependent on the Strait of Hormuz?

And since the US Has a lot of oil and Venezuela is the largest oil, not producer, but

rather has proven reserves in the world, we can simply make all the oil in the United States and sell them to Japan and the European Union.

And the allies of the United States will simply be dependent on the United States and nobody would care about this trade of Hormuz.

That seems like a reasonably great plan because it will make the rest of the world dependent on the United States on energy.

The only question is why nobody has about this plan before Trump.

Is Trump such a genius that he came out with this brilliant plan to make the United States the global center of energy?

Unfortunately, there is one huge plan or one huge problem with this plan, and

that is if you want to build a refinery, it takes at least five to 10 years to build a refinery.

And that is, in the best case scenario, when you build the refinery, it's a financial investment.

So if you put, for example, $1 billion to do it, but

it usually costs like 10 to $20 billion, you need to make the 10 to $20 billion back before you are going to make a profit.

And it usually takes around 15 to 20 years to break even for every single refinery.

And that's why the United States in the last 50 years hasn't actually built a single refinery.

Why would you build a refinery when it's gonna take you probably 20 to 30 years to break even?

It would be far better financially viable for you to extract the oil and refine it whenever you have a good refinery for that particular oil.

He just signed a deal that they will be building more refineries across the United States.

And this refinery is most likely never going to pay off.

But that also creates another problem, and that is the future is electric.

The entire world is moving into renewable energy because we know for a fact that there is a finite amount of oil in the world.

And if you want to be energy independent, if you want to be energy sufficient, then you have to improve the renewable energy so that most of the source of your energy is going to come from renewables, such as sun.

And that means that you have unlimited amount of energy.

And that's why China, for example, has been investing hundreds of billions of dollars in building these technologies.

And guess which country leads the world in renewable energy?

At least 20 to 40% of China's energy right now comes from renewable energy.

And in 30 years from now, it is going to be most likely 80 because they have built the infrastructure and if they grow at this rate and in 30 years from now, they will dominate the renewable energy because most of their energy is going to come from there.

China also manufactures about 90% of global batteries.

So here is the problem that the United States is facing.

The United States is taking a strategic decision to focus on the past.

Instead of investing in renewable energy, we are going to invest more money in refining oil and investing in the past, while China is investing in the future to dominate the entire future.

So who, who do you think, for example, European countries are going to ally themselves with?

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Trump Just Did Something IRREVERSIBLE to US Economy

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